Preston (Vic.)

Population growth drivers in Preston are above average based on AreaSearch's ranking of recent, and medium to long-term trends

As of Nov 2025, the estimated population for the Preston (Vic.) statistical area (Lv2) is around 37,097. This reflects a growth of 3,307 people since the 2021 Census, which reported a population of 33,790. The change was inferred from AreaSearch's estimate of the resident population at 36,473 in Jun 2024 and an additional 805 validated new addresses since the Census date. This equates to a density ratio of 3,225 persons per square kilometer, placing Preston (Vic.) in the upper quartile relative to national locations assessed by AreaSearch. The area's population growth rate of 9.8% exceeded the national average of 9.7%. Overseas migration contributed approximately 83.0% of overall population gains during recent periods.

For projection purposes, AreaSearch is adopting ABS/Geoscience Australia projections released in 2024 with a base year of 2022 for each SA2 area. For areas not covered by this data, AreaSearch utilises the VIC State Government's Regional/LGA projections released in 2023 and adjusts 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. Exceptional growth is predicted over the period, with the Preston (Vic.) (SA2) expected to grow by 19,342 persons to 2041 based on aggregated SA2-level projections, reflecting a gain of 50.5% in total over the 17 years.

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

Preston has recorded approximately 362 residential properties granted approval each year. Between FY-21 and FY-25, around 1,812 homes were approved, with a further 563 approved in FY-26 so far. On average, 0.7 new residents arrive per new home built annually over the past five financial years.

The average construction value of these new homes is $441,000. In FY-26, there have been $217.1 million in commercial approvals. Detached houses account for 8.0% of new building activity, with townhouses or apartments making up the remaining 92.0%. Preston has a population density of around 96 people per dwelling approval, indicating growth characteristics.

By 2041, Preston is projected to grow by 18,715 residents. If current construction levels persist, housing supply may lag behind population growth, potentially intensifying buyer competition and supporting price growth.

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

Changes to local infrastructure significantly impact an area's performance. AreaSearch has identified 39 projects that could affect this region. Notable projects include North East Link Project, Preston Crossing, Preston Market Precinct Redevelopment, and 18a Miller Street Development - Small Sites Pilot Program. 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.

The employment landscape in Preston shows performance that lags behind national averages across key labour market indicators

Preston has a highly educated workforce with strong representation in professional services. The unemployment rate was 4.5% as of September 2025, with an estimated employment growth of 1%.

Preston's residents have a higher level of local employment opportunities, with a worker-to-resident ratio of 0.6 at the Census. Employment increased by 1% while labour force grew by 0.4% in the year to September 2025, resulting in a 0.6 percentage point decrease in unemployment rate. Preston's workforce is concentrated in health care & social assistance, education & training, and professional & technical services, with particularly strong specialization in education & training (1.3 times the regional level). However, construction is under-represented, with only 7% of Preston's workforce compared to Greater Melbourne's 9.7%.

As of November 25, state-level data shows Victoria's employment grew by 1.13% year-on-year, with an unemployment rate of 4.7%, outpacing the national average growth of 0.14%. National employment forecasts from May-25 project a 6.6% increase over five years and 13.7% over ten years. Applying these projections to Preston's employment mix suggests local employment should increase by 6.8% over five years and 13.9% over ten years, though this is a simple extrapolation for illustrative purposes only.

The economic profile demonstrates above-average performance, with income metrics exceeding national benchmarks based on AreaSearch comparative assessment

AreaSearch's latest postcode level ATO data for financial year 2023 shows that income in Preston is above the national average. The median assessed income is $57,063 and the average income stands at $70,526. This contrasts with Greater Melbourne's figures of 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, current estimates would be approximately $61,771 (median) and $76,344 (average) as of September 2025. From the 2021 Census, household, family and personal incomes in Preston cluster around the 58th percentile nationally. The earnings profile shows that the predominant cohort spans 33.2% of locals (12,316 people) with incomes in the $1,500 - 2,999 category. This reflects patterns seen in the region where 32.8% similarly occupy this range. High housing costs consume 16.5% of income, but strong earnings still place disposable income at the 56th percentile nationally. The area's SEIFA income ranking places it in the 7th decile.

Preston displays a diverse mix of dwelling types

In Preston, as per the latest Census evaluation, 55.7% of dwellings were houses while 44.2% consisted of other types such as semi-detached homes, apartments, and 'other' dwellings. Home ownership stood at 27.9%, with mortgage levels at 30.9% and rental occupancy at 41.1%. The median monthly mortgage repayment was $2,000, and the median weekly rent was $392. Nationally, Preston's mortgage repayments exceeded the Australian average of $1,863, while rents surpassed the national figure of $375.

Preston features high concentrations of group households, with a median household size of 2.4 people

Family households account for 62.0% of all households, including 26.5% that are couples with children, 23.8% that are couples without children, and 9.7% that are single parent families. Non-family households make up the remaining 38.0%, with lone person households at 29.7% and group households comprising 8.3%. The median household size is 2.4 people.

Preston shows strong educational performance, ranking in the upper quartile nationally when assessed across multiple qualification and achievement indicators

Educational attainment in Preston is notably high, with 43.1% of residents aged 15 and above holding university qualifications. This figure exceeds the national average of 30.4% and the SA4 region's average of 32.8%, indicating a significant educational advantage for the area. Bachelor degrees are the most common at 27.4%, followed by postgraduate qualifications at 11.2% and graduate diplomas at 4.5%. Vocational pathways account for 23.4% of qualifications among those aged 15 and above, with advanced diplomas making up 10.4% and certificates 13.0%.

Educational participation is high in Preston, with 28.2% of residents currently enrolled in formal education. This includes 8.0% in tertiary education, 7.6% in primary education, and 5.8% pursuing secondary education.

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

Preston has 211 active public transport stops. These include train, light rail, and bus services. There are 24 routes operating in total, providing 16,112 weekly passenger trips.

Residents' average distance to the nearest stop is 163 meters. Daily service frequency is 2,301 trips across all routes, equating to around 76 weekly trips per individual stop.

Preston's residents are healthier than average in comparison to broader Australia with prevalence of common health conditions quite low among the general population though higher than the nation's average across older, at risk cohorts

Preston's health data shows relatively positive outcomes for its residents.

Common health conditions have a low prevalence among the general population, but are higher than the national average in older, at-risk cohorts. Approximately 55% (~20,292 people) of Preston's total population has private health cover. Mental health issues and asthma are the most common medical conditions, affecting 10.5 and 7.9% of residents respectively. 69.8% of residents declare themselves completely clear of medical ailments, compared to 0% across Greater Melbourne. The area has 13.6% (5,045 people) of residents aged 65 and over, requiring more attention than the broader population.

Preston was found to be more culturally diverse than the vast majority of local markets in Australia, upon assessment of a range of language and cultural background related metrics

Preston has a high level of cultural diversity, with 33.7% of its population born overseas and 35.3% speaking a language other than English at home. Christianity is the predominant religion in Preston, making up 38.7% of people. However, Islam is overrepresented compared to Greater Melbourne, comprising 5.2% of Preston's population.

The top three ancestry groups are English (18.0%), Australian (16.1%), and Other (11.2%). Notably, Greek (6.7%), Macedonian (2.1%), and Italian (9.5%) ethnicities are overrepresented in Preston compared to the regional average of None%.

Preston's population is slightly younger than the national pattern

Preston has a median age of 37, matching Greater Melbourne and being comparable to Australia's 38 years. The 25-34 age group is strongly represented at 19.6%, higher than Greater Melbourne's figure. The 5-14 cohort, however, is less prevalent at 9.0%. This concentration of the 25-34 age group is well above the national average of 14.5%. Between 2021 and present, the 15 to 24 age group has increased from 10.2% to 11.0% of Preston's population. Conversely, the 5 to 14 cohort has decreased from 9.7% to 9.0%. Looking ahead to 2041, demographic projections show significant shifts in Preston's age structure. Notably, the 45 to 54 group is projected to grow by 67%, adding 3,328 people and reaching a total of 8,299 from its current figure of 4,970.