Melbourne is edging closer to regaining its crown as a $1 million city, with PropTrack’s latest Housing Price Index revealing the city’s typical house value rose by nearly $3900 in August to $991,000. If this pace of growth continues through spring, Melbourne’s median house price could hit the million-dollar milestone by November — a level not seen since 2021. Property analyst Terry Ryder believes one key player in this resurgence is Frankston, recently ranked as the fourth best place in Australia to buy this spring.

Frankston has rapidly emerged as a standout market, fuelled by its coastal appeal, significant infrastructure investment including a $1 billion hospital project, and a surge in apartment approvals. Ryder described the area as “probably the hottest market in Victoria right now,” a claim supported by a weekend auction where a Frankston property sold for $1.11 million — well above its $850,000 guide. With a current median house price of $800,000, nearly double its 2015 figure, Frankston is proving to be a powerhouse driving Melbourne’s broader market recovery.

While Frankston leads the charge, it’s not alone. Ryder’s Hotspotting report also named the City of Yarra, covering Fitzroy and Richmond, along with Geelong, as among the nation’s top 10 buying locations this spring. Meanwhile, Melbourne’s unit market is quietly strengthening, with values up to $610,000 — keeping the city one of the more affordable capitals compared to Sydney. PropTrack’s Eleanor Creagh noted that Melbourne’s dwelling values are now just 0.6% below their 2022 peak, highlighting a near full recovery after years of underperformance. If trends hold steady, Melbourne could soon rejoin Sydney and Canberra as Australia’s next $1 million housing market.