Authored by the expert who managed and guided the team behind the Australia Property Pack
Yes, the analysis of Melbourne's property market is included in our pack
If you're curious about how much it costs to buy a home in Melbourne in 2026, you've come to the right place.
We've gathered the latest data from official Australian sources and put together everything you need to know about Melbourne property prices.
This article is regularly updated to reflect the most recent market conditions.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Melbourne.
Insights
- Melbourne's median house price sits around A$1.08 million in 2026, but the typical attached dwelling costs about 45% less at around A$620,000, making units a much more accessible entry point.
- Inner-city Melbourne apartments often cost more per square meter than larger suburban houses because you're paying for location and amenities, not floor space.
- Melbourne property prices stayed essentially flat over the past year (around +0.4% for houses), which actually means a slight decline in real terms once you factor in inflation.
- Over the past 10 years, Melbourne houses gained about 43% in nominal value, but after adjusting for inflation, the real increase is only around 7%.
- New builds in Melbourne typically sell for 8% to 12% more than comparable older homes in the same suburb, though off-the-plan apartments can sometimes trade at a discount when supply is high.
- The gap between listing price and final sale price in Melbourne averages around 3%, meaning most homes sell slightly below the advertised asking range.
- Premium inner-east suburbs like Kew and Hawthorn can reach A$9,000 to A$12,000 per square meter, while outer suburbs like Werribee sit closer to A$3,300 to A$5,400 per square meter.
- Stamp duty and government fees in Melbourne typically add 6% to 10% on top of your purchase price before you even consider renovation costs.
What is the average housing price in Melbourne in 2026?
The median housing price is more useful than the average because a few very expensive homes can pull the average up, while the median shows what a typical buyer actually pays in Melbourne's property market.
We are writing this as of the first half of 2026, using the latest available data from the Australian Bureau of Statistics and Domain, which we have manually verified for accuracy.
The median housing price in Melbourne in 2026 is around A$850,000 (approximately $570,000 or €485,000), while the average (mean) housing price sits higher at roughly A$950,000 to A$1.05 million ($637,000 to $705,000 or €541,000 to €597,000) because expensive properties skew the number upward. For houses specifically, the median reaches about A$1.08 million ($727,000 or €616,000), while units are more affordable at around A$591,000 ($396,000 or €336,000).
Around 80% of Melbourne residential properties in 2026 fall within the A$400,000 to A$2.0 million range ($268,000 to $1.34 million or €228,000 to €1.14 million), covering most units and family homes outside the prestige market.
A realistic entry-level range for Melbourne property in 2026 is A$350,000 to A$500,000 ($235,000 to $335,000 or €199,000 to €285,000), which could get you a 2-bedroom unit of around 75 square meters in Werribee or a 1-bedroom apartment in Sunshine.
Luxury properties in Melbourne in 2026 typically start at A$3.0 million and above ($2.01 million or €1.71 million), such as a 5-bedroom house of around 280 square meters in Kew at approximately A$4.47 million ($3.00 million or €2.54 million).
By the way, you will find much more detailed price ranges in our property pack covering the real estate market in Melbourne.
Are Melbourne property listing prices close to the actual sale price in 2026?
The estimated difference between listing price and final sale price in Melbourne in 2026 is around 3%, with most homes selling slightly below the last advertised asking range.
This gap exists because Melbourne sellers often set price guides to attract more buyers to inspections, especially before auctions, and final prices adjust based on competition and buyer financing limits. The variation is largest for auction properties where strong competition can push prices above the guide, while private sales of properties with building issues or in oversupplied areas tend to see bigger discounts.
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What is the price per sq m or per sq ft for properties in Melbourne in 2026?
As of early 2026, the median price per square meter in Melbourne is around A$6,450 ($4,330 or €3,670), which works out to about A$600 per square foot ($403 or €341). Houses average around A$5,700 per square meter ($3,824 or €3,244) while units tend to be higher at A$7,380 per square meter ($4,952 or €4,198) because apartment buyers pay more for location than floor space.
Smaller inner-city apartments and renovated period terraces near the CBD have the highest price per square meter in Melbourne, while larger outer-suburban houses have the lowest because land is cheaper and there's more comparable supply.
The highest prices per square meter in Melbourne in 2026 are found in premium suburbs like South Yarra, Kew, and Hawthorn, where you can pay A$9,000 to A$12,000 per square meter ($6,000 to $8,000). The lowest ranges are in outer suburbs like Werribee and Sunshine, where prices sit around A$3,300 to A$6,000 per square meter ($2,200 to $4,000).
How have property prices evolved in Melbourne?
Compared to one year ago, Melbourne property prices have stayed essentially flat in 2026, with houses up only about 0.4% and attached dwellings up around 0.5%. This stagnation is mainly due to high interest rates limiting how much buyers can borrow, combined with more supply in certain segments keeping sellers competitive.
Looking back two years, Melbourne prices have remained relatively stable with minimal growth in nominal terms. The main drivers have been the Reserve Bank's interest rate decisions affecting borrowing capacity, along with increased construction activity in the apartment sector creating more buyer choice.
By the way, we've written a blog article detailing the latest updates on property price variations in Melbourne.
Finally, if you want to know whether now is a good time to buy a property there, you can check our pack covering everything there is to know about the housing market in Melbourne.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Australia versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you’re planning to invest there.
What types of properties are available in Melbourne and how much do they cost in 2026?
In Melbourne's property market in 2026, apartments and units make up about 45% of listings, detached houses around 35%, townhouses and terraces about 15%, and prestige or specialty properties roughly 5%, reflecting the city's mix of high-density inner areas and sprawling suburban zones.
Average prices vary significantly by property type in Melbourne as of the first half of 2026. Units and apartments typically range from A$550,000 to A$650,000 ($369,000 to $436,000 or €313,000 to €370,000), detached houses sit around A$1.0 million to A$1.2 million ($671,000 to $805,000 or €569,000 to €683,000), and townhouses span a wide range from A$900,000 to A$1.3 million ($604,000 to $872,000 or €513,000 to €740,000) depending on location.
If you want to know more, you should read our dedicated analyses:
- How much do properties cost in Melbourne?
- How much should you pay for a house in Melbourne?
- How much should you pay for an apartment in Melbourne?
- How much should you pay for a townhouse in Melbourne?
- How much should you pay for a studio in Melbourne?
- How much should you pay for a loft in Melbourne?
- How much should you pay for a duplex in Melbourne?
How do property prices compare between existing and new homes in Melbourne in 2026?
New builds in Melbourne in 2026 typically sell for about 8% to 12% more than comparable existing homes in the same area.
This premium exists because buyers pay for modern layouts, lower immediate maintenance costs, and better energy efficiency, though the gap can shrink or even reverse for off-the-plan apartments when many similar new units compete at once.
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How do property prices vary by neighborhood in Melbourne in 2026?
South Yarra is one of Melbourne's most popular lifestyle suburbs, attracting professionals and expats who want walkability and trendy cafes. You'll mostly find 1 to 2 bedroom apartments here ranging from A$646,000 ($433,000 or €368,000) to large family homes reaching A$2.07 million ($1.39 million or €1.18 million), with prices driven by the suburb's proximity to the CBD and Chapel Street shopping.
Richmond is an inner-east favorite for buyers who want to be close to the city with good public transport options. The market is dominated by apartments and period terraces, with 2-bedroom units around A$620,000 ($416,000 or €353,000) and 3-bedroom houses reaching A$1.54 million ($1.03 million or €877,000), reflecting strong demand from young professionals.
Werribee offers Melbourne's most affordable family housing in the outer western suburbs. You can find 2-bedroom units starting around A$403,000 ($270,000 or €229,000) and 3-bedroom houses around A$567,000 ($380,000 or €323,000), making it popular with first-home buyers willing to trade commute time for affordability.
You will find a much more detailed analysis by areas in our property pack about Melbourne. Meanwhile, here is a quick summary table we have made so you can understand how prices change across areas:
| Neighborhood | Type | Price Range (AUD / $) | Per sqm (AUD / $) | Per sqft (AUD / $) |
|---|---|---|---|---|
| South Yarra | Lifestyle / Expat | A$646k - A$2.07m / $433k - $1.39m | A$8,600 - A$12,200 / $5,800 - $8,200 | A$800 - A$1,130 / $537 - $760 |
| Richmond | Expat / Commute | A$620k - A$1.54m / $416k - $1.03m | A$8,300 - A$9,100 / $5,500 - $6,100 | A$770 - A$840 / $515 - $565 |
| Fitzroy | Lifestyle / Trendy | A$797k - A$1.70m / $535k - $1.14m | A$10,000 - A$10,600 / $6,700 - $7,100 | A$930 - A$990 / $620 - $660 |
| Carlton | Student / Commute | A$560k - A$1.43m / $376k - $956k | A$7,500 - A$8,400 / $5,000 - $5,600 | A$690 - A$780 / $465 - $520 |
| Brunswick | Young Families | A$610k - A$1.32m / $409k - $884k | A$7,800 - A$8,100 / $5,200 - $5,500 | A$720 - A$760 / $485 - $505 |
| Southbank | CBD Living | A$589k - A$1.07m / $395k - $714k | A$7,900 - A$9,700 / $5,300 - $6,500 | A$730 - A$900 / $490 - $605 |
| Hawthorn | Family / Schools | A$633k - A$2.01m / $425k - $1.35m | A$8,400 - A$11,800 / $5,700 - $7,900 | A$780 - A$1,100 / $525 - $735 |
| Kew | Premium Family | A$695k - A$1.92m / $466k - $1.28m | A$9,300 - A$11,300 / $6,200 - $7,600 | A$860 - A$1,050 / $580 - $700 |
| Footscray | Value / Commute | A$495k - A$925k / $332k - $621k | A$5,400 - A$6,600 / $3,650 - $4,430 | A$505 - A$615 / $340 - $410 |
| Sunshine | Value / Commute | A$450k - A$800k / $302k - $537k | A$4,700 - A$6,000 / $3,150 - $4,025 | A$440 - A$560 / $295 - $375 |
| Werribee | Budget Family | A$403k - A$567k / $270k - $380k | A$3,300 - A$5,400 / $2,240 - $3,605 | A$310 - A$500 / $210 - $335 |
| St Kilda | Beach / Lifestyle | A$1.22m - A$1.59m / $818k - $1.07m | A$9,350 - A$10,170 / $6,280 - $6,820 | A$870 - A$945 / $585 - $635 |
How much more do you pay for properties in Melbourne when you include renovation work, taxes, and fees?
When buying property in Melbourne in 2026, you should budget an additional 6% to 10% on top of the purchase price for stamp duty, government fees, and legal costs before any renovation work.
If you buy a property around $200,000 (approximately A$298,000) in Melbourne, you would typically pay an extra A$18,000 to A$25,000 in stamp duty, registration fees, and conveyancing costs. This brings your total to around A$316,000 to A$323,000 ($212,000 to $217,000).
For a property around $500,000 (approximately A$745,000) in Melbourne, expect to add roughly A$45,000 to A$65,000 for stamp duty and associated fees. Your total cost before renovation would be around A$790,000 to A$810,000 ($530,000 to $543,000).
At the $1,000,000 level (approximately A$1.49 million) in Melbourne, stamp duty and fees climb to around A$95,000 to A$130,000. This pushes your all-in cost to approximately A$1.59 million to A$1.62 million ($1.07 million to $1.09 million) before any renovation work.
By the way, we keep updated a blog article detailing the property taxes and fees to factor in the total buying cost in Melbourne.
Meanwhile, here is a detailed table of the additional expenses you may have to pay when buying a new property in Melbourne
| Expense | Type | Estimated Cost (AUD / $) |
|---|---|---|
| Land Transfer (Stamp) Duty | Tax | Around 5% to 6% of the purchase price for most buyers, though first-home buyers may qualify for concessions or exemptions on properties under certain thresholds. For a A$1 million home, expect roughly A$55,000 ($37,000). Rates vary by purchase price bracket as set by the Victorian State Revenue Office. |
| Land Registration Fees | Fees | Typically A$500 to A$3,000 ($335 to $2,010) depending on the property value and lodgement method. These fees are paid to Land Use Victoria to officially record the transfer. Higher-value properties attract proportionally higher registration fees. |
| Conveyancing / Legal Fees | Fees | Usually A$1,200 to A$3,000 ($805 to $2,010) for a straightforward purchase. Complex transactions or issues discovered during settlement may increase costs. This covers the solicitor or conveyancer who handles the legal paperwork. |
| Building and Pest Inspection | Fees | Around A$400 to A$800 ($270 to $535) for a standard house inspection. Strata reports for apartments add another A$200 to A$400 ($135 to $270). These inspections help identify structural issues or pest damage before you commit. |
| Cosmetic Renovation | Renovation | Between A$15,000 and A$60,000 ($10,000 to $40,000) for painting, new flooring, and minor fixes. This level of work refreshes the property without major structural changes. Costs depend on property size and quality of finishes chosen. |
| Mid-Level Renovation | Renovation | Approximately A$80,000 to A$200,000 ($54,000 to $134,000) for kitchen and bathroom upgrades plus general updates. This typically includes new cabinetry, appliances, fixtures, and some replumbing or rewiring. Timeline is usually 2 to 4 months. |
| Major Renovation / Extension | Renovation | Starting at A$250,000 and above ($168,000+) for significant structural work or adding rooms. Extensions, second stories, or complete gut renovations fall into this category. Permits, architect fees, and extended timelines add to the total cost. |
We made this infographic to show you how property prices in Australia compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
What properties can you buy in Melbourne in 2026 with different budgets?
With $100,000 (approximately A$149,000), there is essentially no mainstream residential market in Melbourne in 2026, as this sits below the floor price for even the smallest studio apartments in any suburb.
With $200,000 (approximately A$298,000), you could consider a 1-bedroom existing unit of around 50 square meters in Carlton at about A$207,000, a 1-bedroom existing unit in Sunshine at around A$271,000, or possibly a very small older 1-bedroom apartment in Footscray if you're willing to compromise on condition or size.
With $300,000 (approximately A$447,000), you could purchase a 2-bedroom existing unit of around 75 square meters in Werribee at about A$403,000, a 2-bedroom existing unit in Sunshine at around A$450,000, or a 2-bedroom small house or villa-style home of around 120 square meters in Werribee at about A$441,000.
With $500,000 (approximately A$745,000), you could buy a 2-bedroom existing unit of around 75 square meters in Richmond at about A$620,000, a 2-bedroom existing unit in South Yarra at around A$646,000, or a 3-bedroom existing unit of around 110 square meters in Footscray at approximately A$690,000.
With $1,000,000 (approximately A$1.49 million), you could afford a 3-bedroom existing house of around 170 square meters in Brunswick at about A$1.32 million, a 2-bedroom existing house of around 120 square meters in Hawthorn at about A$1.40 million, or a 3-bedroom existing house in Carlton at approximately A$1.43 million.
With $2,000,000 (approximately A$2.98 million), you could purchase a 4-bedroom existing house of around 220 square meters in Kew at about A$2.8 million, a 4-bedroom existing house in Richmond at around A$2.2 million with budget remaining for stamp duty and renovation, or a 3-bedroom existing house of around 170 square meters in South Yarra at about A$2.07 million with room for additional costs.
If you need a more detailed analysis, we have a blog article detailing what you can buy at different budget levels in Melbourne.
What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about Melbourne, we always rely on the strongest methodology we can … and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source | Why It's Authoritative | How We Used It |
|---|---|---|
| Australian Bureau of Statistics (ABS) - Total Value of Dwellings | ABS is Australia's official statistics agency, making its housing data the baseline truth for public records. | We used it to anchor Melbourne's median transfer prices for houses and attached dwellings. We also used it for year-on-year and decade comparisons. |
| Domain House Price Report | Domain is one of Australia's largest property research publishers, widely referenced by banks and media. | We used it for Greater Melbourne median house and unit prices. We treated it as a market-facing complement to official ABS statistics. |
| Domain Suburb Profiles | These pages publish consistent 12-month median prices by bedroom count, making suburb comparisons straightforward. | We used it to build the neighborhood comparison table and budget examples. We also used it to show entry-level versus luxury price differences. |
| Reserve Bank of Australia (RBA) - Exchange Rates | The RBA is Australia's central bank, so its exchange rates are the official reference point. | We used it to convert AUD figures into USD and EUR throughout the article. We kept the same rates consistent for all conversions. |
| ABS Consumer Price Index (CPI) | CPI is the standard official inflation measure used by policymakers across Australia. | We used it to inflation-adjust the 10-year price comparisons. We also used it to explain why flat nominal prices mean real declines. |
| State Revenue Office Victoria | This is the official Victorian government source for stamp duty rates and thresholds. | We used it to estimate land transfer duty costs at different price points. We also noted first-home buyer concessions where applicable. |
| Land Use Victoria | This is the official source for land registration and transfer fee schedules in Victoria. | We used it to estimate registration and lodgement fees. We included these in the total transaction cost calculations. |
| Domain - South Yarra Profile | Domain's suburb pages provide verified sales data and median prices updated regularly. | We used it to get specific price points for South Yarra properties. We referenced the 12-month median figures for different bedroom counts. |
| Domain - Richmond Profile | Domain tracks actual sales data making their suburb medians reliable market indicators. | We used it to establish price ranges for Richmond units and houses. We included Richmond in budget examples and neighborhood comparisons. |
| Domain - Kew Profile | Kew is a premium suburb and Domain's data helps illustrate the luxury end of Melbourne's market. | We used it as our primary example of luxury pricing. We referenced Kew's 5-bedroom house median for the luxury range example. |
| Domain - Werribee Profile | Werribee represents Melbourne's affordable outer suburbs with reliable sales data available. | We used it as our main entry-level pricing example. We referenced Werribee medians in multiple budget scenarios. |
| Domain - Southbank Profile | Southbank's high-rise apartment market is well documented in Domain's data. | We used it to show CBD apartment pricing. We included Southbank in the neighborhood comparison table. |
| Domain - Footscray Profile | Footscray is a key value suburb with strong sales volume for reliable median data. | We used it to illustrate mid-range value pricing. We included Footscray in budget examples and comparisons. |
| Domain - Carlton Profile | Carlton's mix of student housing and period homes makes it a useful pricing reference. | We used it for budget examples showing affordable inner-city options. We referenced Carlton's 1-bedroom unit median for entry-level pricing. |
| Domain - Sunshine Profile | Sunshine provides reliable data for Melbourne's western suburbs value market. | We used it to show affordable western suburb options. We included Sunshine in the neighborhood price table. |
| Domain - Brunswick Profile | Brunswick is popular with young families and has strong sales data availability. | We used it for mid-range house pricing examples. We referenced Brunswick in the $1 million budget scenario. |
| Domain - Hawthorn Profile | Hawthorn represents the established family suburb market segment reliably. | We used it to show family-oriented premium pricing. We included Hawthorn in the neighborhood comparison table. |
| Domain - Fitzroy Profile | Fitzroy's trendy inner-city market is well tracked with consistent sales data. | We used it to show lifestyle suburb pricing. We included Fitzroy in the neighborhood comparison table. |
| Domain - St Kilda Profile | St Kilda's beach lifestyle market provides useful pricing benchmarks. | We used it to illustrate beachside suburb premiums. We included St Kilda in the neighborhood comparison table. |
| Which Real Estate Agent - Melbourne Market Update | This site aggregates vendor discount data helping understand list versus sale price gaps. | We used it to estimate the typical 3% difference between listing and sale prices. We referenced their discounting metrics for Melbourne. |
| CoreLogic Australia | CoreLogic is a major property data provider used by banks and government agencies. | We used their methodology as a reference for understanding median versus mean price calculations. We cross-referenced their market commentary. |
| Real Estate Institute of Victoria (REIV) | REIV is the peak body for Victorian real estate with access to member sales data. | We used their market insights to verify price trends. We referenced their auction clearance commentary for market conditions. |
| Victorian Government Housing Portal | Official government source for housing policy and first-home buyer information. | We used it to verify first-home buyer concession thresholds. We referenced government housing initiatives affecting the market. |
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