Melbourne Property Market Forecasts Revised Down for 2026-27

Forecasts for Melbourne house prices have been revised downwards, with Domain predicting a 4-8% decline by June 2027, while units are expected to perform better. Rising interest rates and reduced consumer confidence are key factors.

Buyers in Melbourne's western growth corridor may find more negotiation power, especially for houses. Investors could consider units, which are forecast to be more resilient, but overall market caution is advised.