Once Australia’s second priciest city, Melbourne has become more affordable. What happened – and will it last?

More homes and less property investor activity has seen Victoria’s capital rise up the affordability rankings

In 2021, Melbourne’s median house price surpassed $1m, after a decade of rising by an average of more than $70,000 a year.

It was Australia’s second most expensive housing market, after Sydney. The next year, prices began to fall.