Melbourne’s property market is stretching further south-east as buyers continue to seek value beyond the city fringe. Areas that once sat in the background are now on the radar of both investors and first-home buyers. Driven by affordability, family needs, and improving infrastructure, these pockets are quietly gaining traction.

In 2025, this shift isn’t just about price. It reflects changing priorities: buyers want space, liveability, and room to grow. The south-east is starting to meet those needs — and people are paying attention.

What’s Driving the Change

Affordability is stretching many buyers out of the inner suburbs. With house prices continuing to rise closer to the CBD, many are turning their attention further out — especially towards Melbourne’s south-east.

Several key factors are influencing this shift:

• Price pressure is forcing both first-home buyers and investors to look beyond traditional hotspots.
• School zones and transport upgrades, including better rail links and road improvements, are making outer areas more attractive.
• Health precinct expansions are boosting local jobs and demand for nearby housing.
• Demographic shifts are reshaping what buyers want — more space, more value, and better access to daily essentials.

What used to be a compromise is quickly becoming a smart strategy.

Market Indicators to Watch

Keeping an eye on the right data points helps investors and homebuyers make smarter decisions in Melbourne’s shifting market.

• Median prices in the south-east are showing steady growth, especially in areas still priced under the citywide average.
• Supply is tight, with fewer new builds coming online due to rising construction costs and planning delays.
• Investor interest is rising, driven by strong rental demand and low vacancy rates. Properties near schools, hospitals, and public transport hubs are seeing the most activity.

These signals point to a market that’s heating up, but still accessible for those ready to act.

Buyer Priorities in 2025

In today’s market, buyers are thinking long-term and acting with care. The following features are shaping purchase decisions in Melbourne’s south-east:

• Homes that are easy to maintain and built to last are getting more attention than trendy makeovers.
• School zones, hospitals, and public transport access are high on the checklist, especially for families and essential workers.
• Balancing growth potential with immediate yield is key. Some buyers are accepting lower short-term rental income for stronger capital growth in emerging areas.

Understanding what matters most to buyers can help sellers, agents, and investors stay a step ahead.

Opportunities and Trade-Offs

Melbourne’s south-east still offers some promising entry points, but smart decisions require a clear view of both benefits and risks:

• Some pockets still offer entry-level prices, giving first-home buyers and investors a way in without stretching budgets.
• Delays in infrastructure upgrades or limited rezoning can hold back future growth and put pressure on rental returns.
• Local insight makes a big difference. Buyers who rely on experienced professionals with real market knowledge tend to make more confident, well-timed moves.

Final Thoughts

• Melbourne’s outer south-east is changing quickly, with more buyers exploring new growth areas.

• Working with someone who knows the area can give you the confidence to act at the right time.

If you’re looking to invest or buy in Melbourne’s shifting market, visit buyeragentfinder.com.au to compare trusted buyer’s agents who understand local trends and opportunities.