Dandenong

Population growth drivers in Dandenong are strong compared to national averages based on AreaSearch's ranking of recent, and medium to long-term trends

As of November 2025, the estimated population of Dandenong is around 32,394, reflecting an increase of 2,267 people since the 2021 Census. This growth represents a 7.5% rise from the previous population of 30,127. The current estimate is based on AreaSearch's validation of new addresses and examination of the latest ERP data release by the ABS in June 2024, which estimated the resident population at 32,137. This increase includes an additional 276 validated new addresses since the Census date. The population density ratio stands at 2,849 persons per square kilometer, placing Dandenong in the upper quartile compared to other national locations assessed by AreaSearch. Notably, Dandenong's growth rate of 7.5% since the 2021 census exceeded that of the broader SA3 area (6.8%), indicating its status as a growth leader in the region.

Overseas migration contributed approximately 85.0% of overall population gains during recent periods, driving this growth. AreaSearch is adopting ABS/Geoscience Australia projections for each SA2 area, released in 2024 with 2022 as the base year. For areas not covered by this data, AreaSearch utilises the VIC State Government's Regional/LGA projections from 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. Looking ahead, an above median population growth is projected for statistical areas nationwide, with Dandenong expected to increase by 7,146 persons by 2041 based on aggregated SA2-level projections. This reflects a total increase of 21.9% over the 17-year period.

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

Based on AreaSearch analysis using ABS building approval numbers, allocated from statistical area data, Dandenong has seen approximately 114 new homes approved annually. Between financial years FY21 to FY25, around 573 homes were approved, with an additional 16 approved so far in FY26. Despite population decline, this supply appears to be meeting demand, providing good options for buyers.

The average construction cost of these new homes is $366,000, lower than the regional average, suggesting more affordable housing options. This financial year has seen $43.9 million in commercial development approvals, indicating strong commercial development momentum. Compared to Greater Melbourne, Dandenong's new home approvals per capita are comparable, maintaining market balance consistent with the broader area and below the national average, suggesting an established nature and potential planning limitations. New building activity consists of 20.0% detached dwellings and 80.0% medium and high-density housing, marking a significant shift from existing patterns (currently 42.0% houses), possibly due to diminishing developable land availability and evolving lifestyle preferences. With around 413 people per dwelling approval, Dandenong shows a developed market. Population forecasts indicate an increase of 7,086 residents by 2041.

Construction is keeping pace with projected growth, but buyers may face growing competition as population increases.

Dandenong has very high levels of nearby infrastructure activity, ranking in the top 10% nationally

Changes to local infrastructure significantly influence an area's performance. AreaSearch has identified 19 projects that may impact the area. Notable projects include Dandenong Wellbeing Centre, Webster Street Level Crossing Removal, Dandenong Community Hub, and Dandenong New Art (DNA). The following list details those most likely to be relevant.

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 notable representation in the construction sector. Its unemployment rate was 15.7% as of an unspecified past year.

Employment growth over this period was estimated at 1.7%. As of June 2025, 13,005 residents are employed, with an unemployment rate of 11.1%, which is higher than Greater Melbourne's rate of 4.6%. Workforce participation in Dandenong lags behind Greater Melbourne, at 51.8% compared to 64.1%. Leading employment industries among residents include manufacturing, health care & social assistance, and construction.

Manufacturing stands out with employment levels at 2.2 times the regional average. However, professional & technical services are under-represented, with only 4.7% of Dandenong's workforce compared to 10.1% in Greater Melbourne. The ratio of workers to residents was 0.8 as at the Census, indicating substantial local employment opportunities. Over a 12-month period ending in an unspecified date, employment increased by 1.7%, while labour force grew by 4.5%, leading to a rise in unemployment rate by 2.3 percentage points. In contrast, Greater Melbourne experienced employment growth of 3.5% and labour force growth of 4.0%, with a smaller increase in unemployment rate of 0.5 percentage points. National employment forecasts from Jobs and Skills Australia, released in Sep-22, project national employment to expand by 6.6% over five years and 13.7% over ten years. Applying these projections to Dandenong's employment mix suggests local employment should increase by 5.8% over five years and 12.6% over ten years. These projections are illustrative extrapolations based on national figures and do not account for localized population projections.

Income figures position the area below 75% of locations analysed nationally by AreaSearch

Dandenong had a median taxpayer income of $45,403 and an average of $52,233 in financial year 2022. This is lower than the national average, with Greater Melbourne having a median income of $54,892 and an average of $73,761. By September 2025, estimated incomes would be approximately $50,924 (median) and $58,585 (average), based on Wage Price Index growth since financial year 2022. According to the 2021 Census, household, family, and personal incomes in Dandenong were between the 11th and 18th percentiles nationally. The largest income segment in Dandenong comprised 29.7% earning $1,500 - $2,999 weekly (9,621 residents), similar to regional levels at 32.8%. Housing affordability pressures were severe, with only 79.4% of income remaining, ranking at the 14th percentile nationally.

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

Dwelling structure in Dandenong, as per the latest Census, consisted of 41.5% houses and 58.5% other dwellings (semi-detached, apartments, 'other' dwellings). This compares to Melbourne metro's 72.1% houses and 28.0% other dwellings. Home ownership in Dandenong was at 20.5%, with the rest either mortgaged (24.5%) or rented (54.9%). The median monthly mortgage repayment was $1,517, below Melbourne metro's average of $1,800. Median weekly rent in Dandenong was $319, compared to Melbourne metro's $350. Nationally, Dandenong's mortgage repayments were lower at $1,517 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 constitute 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, aligning with Greater Melbourne's 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 held by 27.9% of residents aged 15+, with advanced diplomas at 11.1% and certificates at 16.8%. Educational participation is high, with 34.5% of residents currently enrolled in formal education: 10.1% in primary, 7.8% in secondary, and 6.0% in tertiary education.

Fourteen schools serve 4,745 students, with typical Australian school conditions (ICSEA: 957) offering balanced educational opportunities. The educational mix includes six primary, seven secondary, and one K-12 school. Note: where schools show 'n/a' for enrolments, please refer to the parent campus.

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

The transport analysis indicates 163 active stops operating within Dandenong, consisting of a mix of train and bus services. These stops are served by 57 individual routes, collectively facilitating 14,941 weekly passenger trips. Transport accessibility is rated excellent, with residents typically located 162 meters from the nearest stop.

Service frequency averages 2,134 trips per day across all routes, equating to approximately 91 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 indicates strong performance across Dandenong. Prevalence of common health conditions is low among the general population but higher than the national average for older and at-risk cohorts.

Private health cover rate is very low at approximately 48% of the total population (~15,409 people), compared to the national average of 55.3%. The most prevalent medical conditions are mental health issues (6.9%) and diabetes (5.5%), with 77.1% reporting no medical ailments, slightly higher than Greater Melbourne's 75.1%. Dandenong has 13.3% of residents aged 65 and over (4,308 people), lower than Greater Melbourne's 17.4%, but health outcomes among seniors require more attention.

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 has a high level of cultural diversity, with 73.8% of its population speaking a language other than English at home and 66.2% born overseas. The predominant religion in Dandenong is Islam, accounting for 37.9% of the population, compared to 13.1% across Greater Melbourne. In terms of ancestry, the top three 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%. Similarly, Sri Lankan (2.1%) and Russian (0.6%) groups are also more prevalent than their respective regional averages of 1.8% and 0.4%.

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

Dandenong's median age is 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 percentage of residents aged 25-34 (19.0%) but fewer residents aged 55-64 (8.9%). Between the 2021 Census and the present day, the proportion of residents aged 25-34 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 40%, adding 1,413 residents and reaching a total of 4,944. Meanwhile, the 0-4 age cohort is expected to grow by a modest 6%, with an increase of 132 people.