Brisbane has been renowned for being Australia’s fastest-growing city, recording an annual population growth rate of 1.8% over the last five years, outpacing both Sydney (1.4%) and Melbourne (1.5%). More recent data sourced from the ABS indicates that the tide is turning and that Melbourne is forecasted to be Australia’s fastest-growing city over the next 10 years.
The ABS population forecast shows that Melbourne is expected to continue to record an annual population increase of 1.5%, with Brisbane and Sydney recording a slowing population increase (1.3% and 1% respectively). At 1.5% per year, Melbourne’s population will increase by over 920,000 over the next decade.
Melbourne is on track to become Australia’s largest city. And new data indicates that Melbourne will outgrow Sydney’s population by 2030, bringing the forecast forward a year from the previous projection that it would happen in 2031.
With a growing population comes the need for more places for people to live. As dwelling commencements in Victoria have fallen off a cliff due to rising interest rates and increased construction costs, we’re bound to see an even more severe undersupply in Victoria’s property market over the coming years. Ultimately, a shortage of available properties and a continuously increasing population will result in an upward movement in property values.
Population growth is a key factor that is considered throughout our research methodology. It has proven to be one of the main drivers for long-term property growth, and Melbourne real estate remains as solid an investment as any we’ve ever come across. We remain focused on this awesome city, as history shows us that big cities get bigger, and it’s clear that Melbourne will be no exception.