Dandenong

Population growth drivers in Dandenong are slightly above average based on AreaSearch's ranking of recent, and medium term trends

The population of the Dandenong statistical area as of November 2025 is estimated at around 32,989. This figure reflects an increase of 2,862 people since the 2021 Census, which reported a population of 30,127. The change is inferred from the resident population of 32,022 estimated by AreaSearch following examination of the latest ERP data release by the ABS in June 2024, along with an additional 276 validated new addresses since the Census date. This level of population equates to a density ratio of 2,901 persons per square kilometer, placing it in the upper quartile relative to national locations assessed by AreaSearch. The Dandenong (SA2) experienced a growth rate of 9.5% since the 2021 census, exceeding the SA3 area's growth rate of 6.8%. Population growth for the area was primarily driven by overseas migration, contributing approximately 85.0% of overall population gains during recent periods.

AreaSearch is adopting ABS/Geoscience Australia projections for each SA2 area, released in 2024 with a base year of 2022. For areas not covered by this data, AreaSearch utilises the VIC State Government's Regional/LGA projections released in 2023, adjusted using a method of weighted aggregation of population growth from LGA to SA2 levels. Growth rates by age group are applied across all areas for years 2032 to 2041. Considering these projected demographic shifts, an above median population growth is projected for the Dandenong (SA2), with an expected increase of 7,135 persons to 2041 based on aggregated SA2-level projections, reflecting a total increase of 19.6% over the 17 years.

Residential development activity is lower than average in Dandenong according to AreaSearch's national comparison of local real estate markets

AreaSearch analysis shows Dandenong had approximately 114 dwelling approvals annually. Between FY-21 and FY-25, about 574 homes were approved, with another 45 in FY-26 so far. Despite population decline, housing supply has been adequate relative to demand, maintaining a balanced market with diverse buyer choices.

Average construction value per dwelling is $374,000. In FY-26, commercial approvals totaled $48.1 million, indicating robust development momentum. Comparing Dandenong's development levels to Greater Melbourne shows similarity on a per capita basis, reflecting the area's maturity and potential planning constraints. Recent construction comprises 19.0% detached houses and 81.0% attached dwellings, suggesting decreasing developable sites and shifting lifestyles. Dandenong's population is expected to grow by 6,480 residents by 2041, with development keeping pace though increased competition may arise as population expands.

Looking ahead, Dandenong is expected to grow by 6,480 residents through to 2041 (from the latest AreaSearch quarterly estimate). Development is keeping reasonable pace with projected growth, though buyers may face increasing competition as the population expands.

Dandenong has strong levels of nearby infrastructure activity, ranking in the top 30% nationally

Changes to local infrastructure significantly influence an area's performance. AreaSearch has identified 19 projects likely to impact the area. Key projects include Dandenong Wellbeing Centre, Webster Street Level Crossing Removal, Dandenong Community Hub, and Dandenong New Art (DNA). Relevant projects are detailed below.

Professional plan users can use the search below to filter and access additional projects.

Denotes AI-based impression for illustrative purposes only, not to be taken as definitive under any circumstances. Please follow links and conduct other investigations from the project's source for actual imagery. Developers and project owners wishing us to use original imagery please Contact Us and we will do so.

Employment conditions in Dandenong face significant challenges, ranking among the bottom 10% of areas assessed nationally

Dandenong has a skilled workforce with the construction sector prominent. Its unemployment rate was 15.5% in an unspecified past year, with estimated employment growth of 2.6%.

As of September 2025, 13,072 residents are employed, but the unemployment rate is higher than Greater Melbourne's at 10.8%, indicating room for improvement. Workforce participation lags behind Greater Melbourne's at 51.8%. Key industries include manufacturing, health care & social assistance, and construction. Manufacturing is particularly specialized with an employment share of 2.2 times the regional level.

However, professional & technical services are under-represented at 4.7% compared to Greater Melbourne's 10.1%. The ratio of workers per resident indicates substantial local employment opportunities. Over a 12-month period ending in September 2025, employment increased by 2.6%, while labour force grew by 4.7%, leading to an unemployment rise of 1.8 percentage points. In comparison, Greater Melbourne recorded higher employment growth at 3.0%. State-level data for Victoria up to November 25 shows employment growth of 1.13% year-on-year, with the state unemployment rate at 4.7%. National forecasts from May-25 suggest total employment will expand by 6.6% over five years and 13.7% over ten years. Applying these projections to Dandenong's industry mix indicates local employment should increase by approximately 5.8% over five years and 12.6% over ten years, assuming constant population projections for illustrative purposes.

The area's income levels rank in the lower 15% nationally based on AreaSearch comparative data

The suburb of Dandenong has a median taxpayer income of $45,402 and an average income of $52,232 according to the latest postcode level ATO data aggregated by AreaSearch for financial year 2023. This is below the national average, with Greater Melbourne having a median income of $57,688 and an average income of $75,164. Based on Wage Price Index growth of 8.25% since financial year 2023, estimated incomes for September 2025 would be approximately $49,148 (median) and $56,541 (average). According to the 2021 Census, household, family, and personal incomes in Dandenong fall between the 11th and 18th percentiles nationally. The earnings profile shows that 29.7% of locals (9,797 people) earn between $1,500 and $2,999, similar to the metropolitan region where 32.8% fall into this range. Housing affordability pressures are severe in Dandenong, with only 79.4% of income remaining, ranking at the 14th percentile.

Dandenong displays a diverse mix of dwelling types, with a higher proportion of rental properties than the broader region

Dwelling structure in Dandenong, as evaluated at the Census conducted in 2016, comprised 41.5% houses and 58.5% other dwellings. This compares to Melbourne metro's dwelling structure of 72.1% houses and 28.0% other dwellings. Home ownership in Dandenong stood at 20.5%, with the remainder being mortgaged (24.5%) or rented (54.9%). The median monthly mortgage repayment in Dandenong was $1,517, compared to Melbourne metro's $1,800. The median weekly rent figure for Dandenong was recorded at $319, whereas Melbourne metro's was $350. Nationally, Dandenong's mortgage repayments were significantly lower than the Australian average of $1,863, and rents were substantially below the national figure of $375.

Dandenong features high concentrations of group households, with a fairly typical median household size

Family households account for 65.2% of all households, including 31.5% couples with children, 18.5% couples without children, and 13.3% single parent families. Non-family households make up the remaining 34.8%, with lone person households at 27.3% and group households comprising 7.4%. The median household size is 2.8 people, which matches the Greater Melbourne average.

Educational outcomes in Dandenong fall within the lower quartile nationally, indicating opportunities for improvement in qualification attainment

The area's university qualification rate is 24.6%, significantly lower than Greater Melbourne's average of 37.0%. Bachelor degrees are the most common at 16.0%, followed by postgraduate qualifications (7.1%) and graduate diplomas (1.5%). Vocational credentials are prevalent, with 27.9% of residents aged 15+ holding them, including advanced diplomas (11.1%) and certificates (16.8%). Educational participation is high, with 34.5% of residents currently enrolled in formal education.

This includes 10.1% in primary education, 7.8% in secondary education, and 6.0% pursuing tertiary education.

Transport servicing is high compared to other areas nationally based on assessment of service frequency, route connectivity and accessibility

Dandenong has 164 active public transport stops. These include train and bus services. There are 51 different routes operating in total.

Every week, these routes facilitate 10,336 passenger trips. The average distance from residents to the nearest stop is 161 meters. Daily service frequency averages 1,476 trips across all routes, which equates to about 63 weekly trips per individual stop.

Dandenong's residents are extremely healthy with prevalence of common health conditions low among the general population though higher than the nation's average across older, at risk cohorts

Analysis of health metrics shows strong performance throughout Dandenong. The prevalence of common health conditions is low among the general population but higher than the national average across older, at-risk cohorts.

Approximately 48% of the total population (~15,692 people) has private health cover, which is lower than the national average of 55.7%. The most common medical conditions in the area are mental health issues and diabetes, impacting 6.9 and 5.5% of residents respectively. Seventy-seven point one percent of residents declare themselves completely clear of medical ailments, compared to 75.1% across Greater Melbourne. Dandenong has 13.3% of residents aged 65 and over (4,387 people), which is lower than the 17.4% in Greater Melbourne. Health outcomes among seniors present some challenges and require more attention than the broader population.

Dandenong is among the most culturally diverse areas in the country based on AreaSearch assessment of a range of language and cultural background related metrics

Dandenong, as per the Australian Bureau of Statistics Census Data from 2016, has a population where 73.8% speak languages other than English at home and 66.2% were born overseas. Islam is the predominant religion in Dandenong, with 37.9% of people practising it, compared to 13.1% across Greater Melbourne. The top three ancestry groups are Other (47.5%), English (9.2%), and Australian (8.6%).

Notably, Serbian (1.9%) is overrepresented in Dandenong compared to the regional average of 1.1%, Sri Lankan (2.1%) also exceeds its regional average of 1.8%, while Russian (0.6%) is slightly higher than the regional figure of 0.4%.

Dandenong's young demographic places it in the bottom 15% of areas nationwide

Dandenong has a median age of 33, which is younger than Greater Melbourne's figure of 37 and Australia's national average of 38 years. Compared to Greater Melbourne, Dandenong has a higher proportion of residents aged 25-34 (19.0%) but fewer residents aged 55-64 (8.9%). Between the 2021 Census and now, the proportion of residents aged 25 to 34 has decreased from 20.7% to 19.0%. By 2041, population forecasts suggest significant demographic shifts in Dandenong. The 45-54 age group is projected to grow by 37%, adding 1,348 residents and reaching a total of 4,944. Meanwhile, the 0-4 age cohort is expected to grow by a modest 4%, increasing by 88 people.