When investors think of property markets with strong future potential, Melbourne usually tops the list. However Geelong, Victoria’s second largest city, has quietly been building a powerful case of its own as a destination for both long-term investment and lifestyle property buying.

The fundamentals that underpin its appeal are strong affordability sustained demand and infrastructure growth that continues to underpin its long-term prospects. In 2026 Geelong is emerging as a market with opportunity for investors and owner-occupiers alike.

Affordable Entry With Long-Term Growth Potential

One of Geelong’s most attractive features for investors is its affordability relative to Melbourne. In 2025 the median house price in Geelong sat around the mid-$700,000s to high-$700,000s, with the median unit value significantly lower than many parts of metropolitan Melbourne. This affordability provides a lower barrier to entry for investors looking to secure property with growth potential.

Even though prices have retraced from peak levels, recent data shows the market rising again with modest annual increases and renewed buyer confidence. According to PropTrack, Geelong’s median house values rose over the year, reflecting stronger buyer competition and underlying demand.

This combination of entry price and value potential creates an ideal scenario for investors with a long-term view. Buying closer to 2026, when the market is regaining momentum, means securing assets before broader cycles potentially drive more significant price growth.

Population Growth and Internal Migration

Geelong’s population dynamics are a powerful driver of housing demand. The city has experienced sustained internal migration, with families and professionals moving from Melbourne seeking more affordable housing and a better lifestyle balance. Regional centres like Geelong were among the most watched markets in Victoria throughout 2025, buoyed by their relative cost advantages and lifestyle offerings compared with metro areas.



This influx of new residents supports not just home buying but rental demand. Rental markets in Geelong’s established suburbs have remained tight, with vacancy rates lower than many metropolitan counterparts — a key signal for investors that rental demand is consistent and reliable.

Infrastructure Growth Supporting Demand

Infrastructure investment is one of the long-term pillars of Geelong’s value story. Major upgrades to transport corridors such as the Princes Freeway and duplication of the rail line continue to improve connectivity with Melbourne, shortening commute times and making the city more accessible. These improvements matter because they directly influence demand for housing, from people moving for work to those seeking a more affordable lifestyle without sacrificing access to the city.

Other infrastructure projects, such as strategic industrial works and developments around Avalon Airport, also generate jobs and support regional economic growth. As employment opportunities expand so too does demand for housing — both owner-occupied and investor-held properties.

Why House and Land Packages in Geelong Make Sense

For many buyers and investors, purchasing a house and land package in a new estate or masterplanned community can offer advantages that go beyond standard resales. Geelong has several emerging growth corridors where masterplans are facilitating vibrant new communities with thoughtfully designed amenities.

Areas such as Armstrong Creek are often highlighted as fast-growing precincts with strong value prospects. House and land packages in these estates allow buyers to secure land in locations positioned for long-term expansion with proximity to infrastructure and community facilities.

House and land purchases have traditionally performed well in markets transitioning from greenfield to suburb. This is because each new stage tends to be priced above the last as developers respond to demand and rising costs. Over time this pricing momentum supports capital growth, similar to the dynamic seen in Melbourne’s outer suburbs.

Aside from capital gains potential, new estates often feature modern designs higher energy efficiency and community-oriented layouts that appeal strongly to families and long-term renters. These attributes can translate into higher rental demand and more stable tenancy profiles compared with older stock in some locations.

Who Geelong Attracts

Geelong attracts a diverse buyer base, which is part of its strength as an investment market:

Young Families and First-Home Buyers
Geelong’s affordability makes it attractive to young families and first-home buyers priced out of larger cities. These buyers often prioritise space schools parks and community amenity — all of which feature strongly in Geelong’s suburbs.

Lifestyle Buyers
The coastal proximity and regional lifestyle appeal draw sea-changers and those seeking relaxed living without abandoning access to city services and employment. This has been a consistent trend driving population growth and housing demand.

Investors Seeking Yield and Growth
Investors find Geelong appealing due to its competitive rental yields and ongoing development potential. Rental demand is buoyed by the ongoing migration and lifestyle factors, and areas with strong amenity and transport links typically perform well in both rental and capital growth terms.

Diverse Market Opportunities
From entry-level suburbs such as Norlane and Corio, which have shown noticeable growth, to more established lifestyle markets such as Geelong West, the city offers a range of opportunities suitable for different investor strategies.

What to Expect Heading Into 2026

By early 2026 the consensus among market watchers is that Geelong’s housing market will continue its steady trajectory, driven by buyer demand returning after a market reset and improved borrowing conditions. There are opportunities to enter the market at value before sentiment potentially strengthens further.

For investors with a long-term horizon, the combination of affordability, population growth, infrastructure improvements and strong rental fundamentals makes Geelong a compelling choice. Patience and strategic suburb selection are key, not all pockets perform equally, but core growth corridors and emerging estates offer some of the most attractive prospects in regional Victoria.

If you are considering investing in Geelong, whether through established homes or house and land packages in new estates, PB Property can help.

We provide tailored insights on the best suburbs for investment, help you analyse market fundamentals and guide you through the buying process with confidence.

Get in touch today to explore opportunities with expert local support.