Cheapest Suburbs in Melbourne 2026: Affordable Areas Under $700K

Melbourne's property market has long been characterised by strong population growth and sprawling suburban expansion. While the inner and middle suburbs now carry median house prices well above $1 million, the outer west and north-west corridors still offer genuine affordability. Suburbs in these growth areas have median house prices ranging from $450,000 to $700,000 — making home ownership achievable for first-home buyers and providing accessible entry points for investors looking for rental yield and long-term capital growth.

This guide examines Melbourne's cheapest suburbs for 2026, covering what each area offers in terms of infrastructure, lifestyle, and investment potential. Whether you are buying your first home or expanding a portfolio, these suburbs deserve a closer look. Use Realestate Lens's property research tools to pull together detailed suburb-level data before you commit.

How We Selected These Suburbs

We identified Melbourne's cheapest suburbs using publicly available median house price data from CoreLogic and Domain, filtering for suburbs within the Greater Melbourne metropolitan area with at least 30 house sales per year. Each suburb was then evaluated against:

• Median house price: Must be substantially below the Melbourne median.
• Transport connectivity: Access to V/Line or Metro train services and major freeways.
• Amenities and services: Schools, shopping centres, healthcare, and recreation.
• Growth catalysts: Major infrastructure projects, population growth forecasts, and employment drivers.
• Rental yield: Gross yield above the Melbourne metropolitan average.

All price estimates are based on data available as of early 2026 and will shift with market conditions.

Melbourne's Cheapest Suburbs

Melton

Median house price: ~$480,000 | Gross rental yield: ~4.8%

Melton is one of Melbourne's most affordable established suburbs and serves as the commercial hub for the broader City of Melton local government area — one of Australia's fastest-growing municipalities. The suburb has its own V/Line train station with services to Southern Cross Station in the CBD (approximately 50-60 minutes), and it sits adjacent to the Western Freeway for road access.

Amenities include Woodgrove Shopping Centre, Melton Health hospital, a wide range of primary and secondary schools, and extensive parkland along Toolern Creek. The area is benefiting from significant investment in road upgrades, the planned electrification of the Melton rail line, and the long-term Suburban Rail Loop which will improve cross-suburban connectivity.

Kurunjang

Median house price: ~$470,000 | Gross rental yield: ~4.9%

Kurunjang sits immediately north of Melton and shares many of the same amenities. The suburb is primarily residential with a mix of 1980s-2000s era housing. Block sizes tend to be generous (600-800 sqm), and the streetscapes have a settled, suburban character with established trees and gardens.

Kurunjang Primary School is well-regarded locally, and the suburb is within the catchment of Melton Secondary College. Kurunjang Community Centre provides local gathering space and activities. The V/Line Melton station is approximately 3 km away, with bus services providing connections. Kurunjang's affordability and family-friendly feel make it popular with young families entering the market.

Brookfield

Median house price: ~$490,000 | Gross rental yield: ~4.7%

Brookfield is a quiet residential suburb in the City of Melton, located between Melton and Kurunjang. It features a mix of established homes from the 1990s and some newer infill development. The suburb is well-serviced by local schools, including Brookfield Primary School, and has good access to Melton's town centre amenities.

Transport connections include bus routes to Melton station and straightforward road access to the Western Freeway. The suburb is near several parks and sports grounds, and the Toolern Creek corridor offers walking and cycling paths. Brookfield appeals to buyers looking for a settled, community-oriented neighbourhood at one of Melbourne's lowest price points.

Mambourin

Median house price: ~$560,000 | Gross rental yield: ~4.3%

Mambourin is one of Melbourne's newest suburbs, situated in the fast-growing Wyndham growth corridor between Werribee and the planned western edge of the metropolitan boundary. The suburb is almost entirely composed of new housing estates, with modern homes on compact lots (300-450 sqm) being the standard offering.

A new primary school has opened to serve the growing population, and further education and retail facilities are planned. The nearest train station is Wyndham Vale, approximately 5 km away, with the proposed Wyndham Vale station upgrade and potential future rail extensions to service this corridor. Mambourin suits buyers who want a brand-new home in a developing community at a fraction of established Melbourne prices.

Rockbank

Median house price: ~$550,000 | Gross rental yield: ~4.4%

Rockbank has transformed from a semi-rural outpost into one of Melbourne's most active new housing estates. Located between Melton and Caroline Springs on the Western Freeway corridor, the suburb now has its own V/Line train station, which provides a direct service to the CBD.

Several new primary schools have been established, and retail convenience centres are emerging within the housing estates. Rockbank benefits from its position on the rail line — a significant advantage over some other growth-area suburbs that rely solely on bus connections. The planned electrification of the Melton line will further improve service frequency and commute times.

Harkness

Median house price: ~$500,000 | Gross rental yield: ~4.6%

Harkness is a newer suburb in the City of Melton, developed primarily from the 2010s onwards. It features modern, energy-efficient homes on typical growth-area lot sizes. The suburb has its own primary school (Harkness Primary), and the nearby Cobblebank development — including the future Melton Hospital — will bring significant health and community infrastructure to the area.

V/Line services are accessible from Melton station (approximately 4 km), and bus routes service the suburb. The Western Freeway provides road connections to both Melbourne CBD and regional Victoria. Harkness represents a middle ground between the older, more affordable Melton/Kurunjang housing and the brand-new estates further west.

Diggers Rest

Median house price: ~$590,000 | Gross rental yield: ~4.2%

Diggers Rest sits at the junction of Melbourne's north-west growth corridor, near the Calder Freeway and the Sunbury V/Line. The suburb has its own train station with services running to Flinders Street Station (approximately 40-50 minutes). Several new housing estates have expanded the suburb significantly in recent years.

Amenities include Diggers Rest Primary School, local parks and sports facilities, and a growing retail offering. The suburb's proximity to Sunbury (a more established town with comprehensive amenities) and Melbourne Airport provides convenience. Diggers Rest offers a slightly more connected feel than some of the more remote growth areas, reflected in its marginally higher price.

Werribee

Median house price: ~$580,000 | Gross rental yield: ~4.3%

Werribee is the established hub of Melbourne's western growth corridor and the administrative centre of the City of Wyndham. Unlike many suburbs on this list, Werribee has a mature town centre with extensive amenities — Werribee Plaza shopping centre, Mercy Hospital, a campus of Victoria University, the Werribee Open Range Zoo, and a wide range of schools.

Werribee station is on the Werribee Metro train line (not V/Line), providing more frequent services directly into the CBD loop. The suburb's infrastructure is significantly more developed than newer growth-area suburbs. Older parts of Werribee offer larger blocks and renovation potential, while newer sections feature modern estates.

Tarneit

Median house price: ~$610,000 | Gross rental yield: ~4.1%

Tarneit is one of Australia's fastest-growing suburbs by population and has evolved rapidly from farmland to a major residential area. It has its own train station on the Regional Rail Link (RRL), providing V/Line services to Southern Cross. Multiple new schools have been built, and several shopping centres service the area, including Tarneit Central.

The suburb is at the upper end of the affordable range for Melbourne's west, reflecting its better transport links and more advanced infrastructure compared to some neighbouring suburbs. Tarneit's strong population growth supports rental demand, and the suburb is expected to continue developing its amenity base over the coming years.

What to Watch Out For

Melbourne's cheapest suburbs offer genuine value, but buying in outer growth corridors comes with specific considerations:

• Long commute times: These suburbs are typically 35-60 km from the CBD. V/Line services can take 50-70 minutes, and peak-hour driving can be considerably longer. Factor commuting into your lifestyle assessment.
• Infrastructure lag: In newer estates, schools, medical centres, shops, and public transport may not yet be fully established. Check what is currently operational versus what is "planned."
• Oversupply risk: Large volumes of new housing in growth areas can suppress short-term capital growth and increase rental vacancy. Monitor the development pipeline.
• Compact lot sizes in new estates: Modern house-and-land packages often sit on lots of 300-400 sqm — significantly smaller than established suburbs. Consider whether this suits your needs.
• Body corporate or estate levies: Some newer estates come with community levies for shared amenities. Check ongoing costs before purchasing.

For more on what to investigate before buying, see our suburb research guide. You can also calculate your stamp duty costs for Victorian properties to understand total purchase costs.

Key Takeaway

Disclaimer: The prices and yields quoted in this article are approximate and based on publicly available data as of early 2026. Property markets change constantly. This is general information only and not personal financial or investment advice. Always conduct your own due diligence and consider consulting a qualified financial adviser before purchasing property.