Lilydale (Vic.)

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

Based on analysis of ABS population updates for the broader area, and new addresses validated by AreaSearch, the population of Lilydale (Vic.) is estimated at around 18,591 as of Feb 2026. This reflects an increase of 1,243 people since the 2021 Census, which reported a population of 17,348 people. The change is inferred from the resident population of 18,297 estimated by AreaSearch following examination of the latest ERP data release by the ABS (June 2024), and an additional 540 validated new addresses since the Census date. This level of population results in a density ratio of 637 persons per square kilometer, providing significant space per person and potential room for further development. Lilydale's 7.2% growth since the 2021 census exceeded the SA3 area (4.0%), along with the SA4 region, marking it as a growth leader in the region. Population growth for the suburb was primarily driven by natural growth that contributed approximately 53.0% of overall population gains during recent periods.

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 VIC State Government's Regional/LGA projections released in 2023, making adjustments employing 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 at population projections moving forward, an above median population growth is projected for the suburb, with an expected expansion of 3,530 persons to 2041 based on aggregated SA2-level projections, reflecting an increase of 17.4% in total over the 17 years.

AreaSearch assessment of residential development activity positions Lilydale among the top 25% of areas assessed nationwide

Based on AreaSearch analysis of ABS building approval numbers, Lilydale recorded around 163 residential properties granted approval annually over the past five financial years, totalling an estimated 816 homes. In FY26 so far, 79 approvals have been recorded. Over these five years, an average of 0.7 new residents per year per dwelling constructed was observed. This supply meets or surpasses demand, offering greater buyer choice and supporting potential population growth above projections.

The average construction value of new properties is $445,000, slightly above the regional average, indicating a focus on quality developments. In FY26, $57.6 million in commercial approvals have been registered, suggesting robust local business investment. Relative to Greater Melbourne, Lilydale has 135.0% more construction activity per person. New building activity shows 57.0% standalone homes and 43.0% medium and high-density housing, with a growing mix of townhouses and apartments providing options across different price points. This reflects reduced availability of development sites and addresses shifting lifestyle demands and affordability requirements, differing from the current housing mix which is 80.0% houses.

With around 103 people per dwelling approval, Lilydale shows characteristics of a growth area. Future projections estimate Lilydale adding 3,236 residents by 2041, with current construction levels expected to adequately meet demand and create favourable conditions for buyers while potentially enabling growth that exceeds current forecasts.

Lilydale has strong levels of nearby infrastructure activity, ranking in the top 40% nationally

AreaSearch identified 21 infrastructure projects that could impact the area. Notable ones include Lilydale Structure Plan Implementation, Chapel Street Lilydale Drainage Improvements, Kinley Estate (Former Lilydale Quarry), and Summerset Chirnside Park Retirement Village. The following list details those most likely to be relevant.

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

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AreaSearch analysis indicates Lilydale maintains employment conditions that align with national benchmarks

Lilydale's workforce is skilled with notable representation in the construction sector. The unemployment rate was 4.1% as of December 2025, showing a 1.6% increase over the past year based on AreaSearch data aggregation. There are 9,865 residents employed currently, with an unemployment rate of 0.7% lower than Greater Melbourne's rate of 4.8%.

Workforce participation in Lilydale is 66.7%, slightly below Greater Melbourne's 71.3%. According to Census responses, 24.8% of residents work from home, potentially influenced by Covid-19 lockdowns. Dominant employment sectors include construction, health care & social assistance, and retail trade. Lilydale has a strong specialization in construction with an employment share 1.6 times the regional level.

Conversely, professional & technical employs only 6.5% of local workers, lower than Greater Melbourne's 10.1%. Employment opportunities locally might be limited as indicated by the difference between Census working population and resident population. Between December 2024 and December 2025, employment levels increased by 1.6%, and labour force grew by a similar rate, keeping unemployment relatively stable at 4.1%. In contrast, Greater Melbourne saw employment rise by 2.4%, labour force grow by 2.8%, and unemployment increase to 5.1%. Jobs and Skills Australia's national employment forecasts from May-25 project overall growth of 6.6% over five years and 13.7% over ten years. Applying these projections to Lilydale's employment mix suggests local employment should increase by approximately 6.3% over five years and 13.2% over ten years, assuming constant population projections for illustrative purposes.

Income levels align closely with national averages, indicating typical economic conditions for Australian communities according to AreaSearch analysis

The suburb of Lilydale has a median taxpayer income of $53,102 and an average income of $67,125 based on the latest postcode level ATO data aggregated by AreaSearch for financial year 2023. These figures are in line with national averages, contrasting with Greater Melbourne's median income of $57,688 and average income of $75,164. Using Wage Price Index growth of 8.25% since financial year 2023, estimated incomes for September 2025 would be approximately $57,483 (median) and $72,663 (average). Census 2021 income data indicates that household, family, and personal incomes in Lilydale cluster around the 50th percentile nationally. Income analysis shows that the predominant cohort spans 33.5% of locals (6,227 people) with incomes ranging from $1,500 to 2,999, mirroring the regional average of 32.8%. High housing costs consume 15.9% of income, but strong earnings place disposable income at the 52nd percentile nationally. The area's SEIFA income ranking places it in the 5th decile.

Lilydale is characterized by a predominantly suburban housing profile, with above-average rates of outright home ownership

Lilydale's dwelling structure, as per the latest Census, consisted of 79.9% houses and 20.0% other dwellings (semi-detached, apartments, 'other' dwellings). In comparison, Melbourne metro had 67.9% houses and 32.1% other dwellings. Home ownership in Lilydale was at 34.3%, with mortgaged dwellings at 46.2% and rented ones at 19.5%. The median monthly mortgage repayment in the area was $1,950, lower than Melbourne metro's $2,000. Median weekly rent in Lilydale was $369, compared to Melbourne metro's $390. Nationally, Lilydale's mortgage repayments were higher at $1,950 than the Australian average of $1,863, while rents were lower at $369 than the national figure of $375.

Lilydale has a typical household mix, with a lower-than-average median household size

Family households constitute 73.0% of all households, including 33.3% couples with children, 27.7% couples without children, and 11.0% single parent families. Non-family households comprise the remaining 27.0%, with lone person households at 25.0% and group households making up 2.1% of the total. The median household size is 2.5 people, smaller than the Greater Melbourne average of 2.6.

Lilydale performs slightly above the national average for education, showing competitive qualification levels and steady academic outcomes

The area's university qualification rate is 21.0%, significantly lower than Greater Melbourne's average of 37.0%. Bachelor degrees are the most common at 15.0%, followed by postgraduate qualifications (3.5%) and graduate diplomas (2.5%). Vocational credentials are prevalent, with 39.7% of residents aged 15+ holding them, including advanced diplomas (12.4%) and certificates (27.3%). Educational participation is high at 26.8%, comprising 8.7% in primary education, 8.0% in secondary education, and 3.8% in tertiary education.

Educational participation is notably high, with 26.8% of residents currently enrolled in formal education. This includes 8.7% in primary education, 8.0% in secondary education, and 3.8% pursuing tertiary education.

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

Lilydale has 89 active public transport stops, all serving buses. These stops are covered by 21 different routes, offering a total of 5,584 weekly passenger trips. Transport accessibility is rated good, with residents living an average of 312 meters from the nearest stop. Most residents commute outwards due to Lilydale's residential nature. Cars remain the primary mode of transport, used by 92% of residents. On average, there are 1.6 vehicles per dwelling, higher than the regional average.

According to the 2021 Census, 24.8% of residents work from home, which may be influenced by COVID-19 conditions. All routes combined make an average of 797 trips daily, equating to about 62 weekly trips per individual stop.

Health outcomes in Lilydale are marginally below the national average with common health conditions slightly more prevalent than average across both younger and older age cohorts

Lilydale's health indicators show below-average results based on AreaSearch's assessment of mortality rates and chronic condition prevalence. Common health conditions are slightly more prevalent than average across both younger and older age cohorts.

The rate of private health cover is approximately 53% of the total population (~9,922 people), compared to Greater Melbourne's 56.7%. Mental health issues impact 9.4% of residents, while arthritis affects 9.1%. A total of 65.4% of residents declare themselves completely clear of medical ailments, compared to 72.6% across Greater Melbourne. Working-age residents show an above-average prevalence of chronic health conditions. Lilydale has 20.8% of residents aged 65 and over (3,866 people), higher than Greater Melbourne's 15.1%. Health outcomes among seniors are above average, with national rankings even higher than the general population.

Lilydale ranks below the Australian average when compared to other local markets across a number of language and cultural background related metrics

Lilydale's cultural diversity was found to be below average, with 82.2% of its population born in Australia, 90.8% being citizens, and 91.7% speaking English only at home. Christianity was the main religion in Lilydale, comprising 47.1% of people. However, Judaism was overrepresented, making up 0.1%, compared to Greater Melbourne's 1.0%.

The top three ancestry groups were English (31.2%), Australian (28.0%), and Scottish (7.6%). Notably, Dutch (3.1%) and Hungarian (0.4%) were overrepresented in Lilydale compared to regional averages of 1.2% and 0.3%, respectively.

Lilydale's population is slightly older than the national pattern

Lilydale has a median age of 40, which is slightly higher than Greater Melbourne's figure of 37 and Australia's figure of 38 years. Compared to the Greater Melbourne average, Lilydale has an over-representation of the 75-84 age cohort (7.9% locally) and an under-representation of the 25-34 age group (12.8%). From 2021 to present, the 75-84 age group has increased from 6.2% to 7.9% of Lilydale's population, while the 45-54 cohort has decreased from 13.9% to 12.7%. By 2041, demographic modeling suggests significant changes in Lilydale's age profile. The 75-84 age cohort is projected to expand by 636 people (43%), growing from 1,468 to 2,105. Meanwhile, the 0-4 age group is expected to grow modestly by 5% (52 people).