October 23, 2026 — 5:00am

House prices in Victoria’s regions ballooned 6.7 per cent in the past year, despite the Melbourne property market languishing after successive rate hikes and legislative changes.

The Glenelg local government area (LGA) in the state’s west rose most, jumping by over a quarter in just 12 months, while neighbouring Ararat, as well as Gannawarra, Northern Grampians and Latrobe all increased more than 15 per cent over the same period, Domain’s House Price Report for the September quarter reveals.

Domain senior residential economist David Cannington said the growth in the median house price for Victoria’s regions, which hit a record $640,000 in the September quarter, showed house prices outside the Melbourne market were proving more resilient in the downturn.

“The regions are still being impacted by higher mortgage rates, by the high cost of living, particularly fuel prices, and the changes to housing investment tax policy settings,” he said.

“But I think what’s offsetting that is ……