Colac Surrounds

An assessment of population growth drivers in Colac Surrounds reveals an overall ranking slightly below national averages considering recent, and medium term trends

Colac Surrounds' population was 5,669 as of May 2021. By June 2025, it had increased to 5,670, a rise of 1 person (0.0%). This growth is attributed to an estimated resident population increase and validated new addresses since the census date. The population density was 2.9 persons per square kilometer. While Colac Surrounds saw no growth from 2021 to 2025, it outperformed its SA3 area which had a decrease of 1.6%. Natural growth contributed approximately 76.7% of the overall population increase during this period.

AreaSearch uses ABS/Geoscience Australia projections for each SA2 area released in 2024 with a base year of 2022, and VIC State Government's Regional/LGA projections from 2023 adjusted to SA2 levels for areas not covered by the first dataset. Future growth is projected at 70 persons by 2041, reflecting a total gain of 1.2% over 16 years.

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

Colac Surrounds averaged approximately 22 new dwelling approvals annually between FY-21 and FY-25. In total, 112 homes were approved during these five financial years, with an additional 21 approvals in FY-26. On average, each new dwelling constructed over this period accommodated around 1.6 new residents per year.

The average construction cost value of new homes was approximately $346,000. In FY-26, commercial development approvals totalled $4.1 million, indicating the area's residential character. Compared to Rest of Vic., Colac Surrounds had around three-quarters the rate of new dwelling approvals per person as of recent data.

Nationally, it ranked in the 51st percentile among assessed areas for new dwelling approvals. All new construction between FY-21 and FY-25 comprised standalone homes, maintaining the area's traditional low density character. With approximately 317 people per dwelling approval, Colac Surrounds exhibited characteristics of a low-density area. According to AreaSearch's latest quarterly estimate, the area is projected to gain around 70 residents by 2041. Given current development rates, new housing supply should comfortably meet demand, providing favourable conditions for buyers and potentially supporting population growth beyond current projections.

Colac Surrounds has limited levels of nearby infrastructure activity, ranking in the 0thth percentile nationally

Changes in local infrastructure significantly affect an area's performance. AreaSearch has identified nine projects likely to impact the region. Notable ones are Lake Colac School, Colac West Primary School Upgrade, Clearwater Colac, and Colac Plaza. The following details those expected to have the most relevance.

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.

Colac Surrounds ranks among the top 25% of areas assessed nationally for overall employment performance

Colac Surrounds has a skilled workforce with diverse sector representation and an unemployment rate of 1.3% as of December 2025. It has 3,043 residents in work, with an unemployment rate of 2.4% lower than Regional Vic.'s rate of 3.7%. Workforce participation is at 66.2%, compared to Regional Vic.'s 61.0%.

According to Census responses, 22.1% of residents work from home. Employment is concentrated in agriculture, forestry & fishing, health care & social assistance, and manufacturing. The area has a strong specialization in agriculture, forestry & fishing, with an employment share 3.4 times the regional level. However, health care & social assistance shows lower representation at 13.1% compared to the regional average of 16.8%.

Over the year to December 2025, labour force levels decreased by 6.5%, and employment declined by 6.6%, with unemployment remaining essentially unchanged. In contrast, Regional Vic. experienced an employment decline of 0.6% and a labour force decline of 0.7%, with a 0.1 percentage point drop in unemployment. Jobs and Skills Australia's national employment forecasts from May-25 suggest that national employment will expand by 6.6% over five years and 13.7% over ten years. Applying these projections to Colac Surrounds' employment mix, local employment is estimated to increase by 5.2% over five years and 11.7% over ten years.

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

As per AreaSearch's latest postcode level ATO data released for financial year ending June 2023, Colac Surrounds SA2's median income among taxpayers is $47,102, with an average of $57,527. This is below the national average. Comparing to Regional Vic., its median is $50,954 and average is $62,728. Based on Wage Price Index growth of 9.62% from July 2023 to March 2026, current estimates would be approximately $51,633 (median) and $63,061 (average). According to the 2021 Census, household, family, and personal incomes rank modestly in Colac Surrounds, between the 32nd and 34th percentiles. The earnings profile shows that 33.2% of locals (1,882 people) fall into the $1,500 - 2,999 income category, reflecting patterns seen in metropolitan regions where 30.3% similarly occupy this range. Housing costs are manageable with 89.2% retained, but disposable income sits below average at the 38th percentile. The area's SEIFA income ranking places it in the 5th decile.

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

The dwelling structure in Colac Surrounds, as per the latest Census, consisted of 99.6% houses and 0.3% other dwellings (including semi-detached, apartments, 'other' dwellings). This compares to Regional Vic.'s 90.1% houses and 9.9% other dwellings. Home ownership in Colac Surrounds stood at 48.7%, with the rest being mortgaged (38.4%) or rented (12.8%). The median monthly mortgage repayment was $1,400, lower than Regional Vic.'s average of $1,430. The median weekly rent figure was $250, compared to Regional Vic.'s $285. Nationally, Colac Surrounds' mortgage repayments were significantly lower at $1,400 vs Australia's average of $1,863, and rents were substantially below the national figure of $375 at $250.

Colac Surrounds has a typical household mix, with a higher-than-average median household size

Family households account for 72.2% of all households, including 30.1% couples with children, 34.2% couples without children, and 7.2% single parent families. Non-family households constitute the remaining 27.8%, with lone person households at 25.8% and group households comprising 1.8%. The median household size is 2.5 people, larger than the Regional Vic. average of 2.4.

Colac Surrounds shows below-average educational performance compared to national benchmarks, though pockets of achievement exist

The area has university qualification rates at 18.8%, significantly lower than the Victorian average of 33.4%. This disparity presents both a challenge and an opportunity for targeted educational initiatives. Bachelor degrees are most common at 13.0%, followed by postgraduate qualifications (3.0%) and graduate diplomas (2.8%). Vocational credentials are prominent, with 41.8% of residents aged 15+ holding such qualifications, including advanced diplomas (11.4%) and certificates (30.4%).

Educational participation is high, with 28.8% of residents currently enrolled in formal education. This includes 11.1% in primary education, 8.3% in secondary education, and 2.9% pursuing tertiary education.

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

Colac Surrounds has 18 active public transport stops operating within its area. These comprise a mix of train services. Four individual routes service these stops, collectively providing 82 weekly passenger trips. Transport accessibility is rated as limited, with residents typically located 4251 meters from the nearest stop. Most residents commute outward due to the primarily residential nature of the area. Car remains the dominant mode of transport at 90%, with 7% walking.

Vehicle ownership averages 2.1 per dwelling, which is above the regional average. According to the 2021 Census, some 22.1% of residents work from home, a figure that may reflect COVID-19 conditions. Service frequency averages 11 trips per day across all routes, equating to approximately 4 weekly trips per individual stop.

The level of general health in Colac Surrounds is notably higher than the national average with both young and old age cohorts seeing low prevalence of common health conditions

Colac Surrounds shows better-than-average health outcomes, as assessed by AreaSearch using mortality rates and chronic condition prevalence. Both younger and older age groups have low levels of common health issues. Private health cover is quite low at approximately 48% (around 2,698 people), compared to Regional Vic's 50.5% and the national average of 55.7%.

The most prevalent conditions are arthritis (affecting 8.9%) and asthma (7.8%), with 68.8% reporting no medical ailments, higher than Regional Vic's 63.4%. Health outcomes among working-age residents are generally typical. Around 21.1% of residents are aged 65 or over (1,194 people), lower than Regional Vic's 23.9%. Senior health outcomes rank highly nationally, even better than the general population.

The latest Census data sees Colac Surrounds placing among the least culturally diverse areas in the country when compared across a range of language and cultural background related metrics

Colac Surrounds was found to have a below average level of cultural diversity, with 90.4% of its population being Australian citizens, 92.3% born in Australia, and 98.0% speaking English only at home. The predominant religion in Colac Surrounds is Christianity, which accounts for 50.5% of the population, compared to 47.3% across Regional Vic. The top three ancestry groups are Australian (33.3%), English (31.9%), and Irish (12.1%).

Notably, Scottish ancestry is overrepresented at 10.6%, compared to 8.8% regionally, while Dutch and French ancestries show slight underrepresentation at 1.3% and 0.4%, respectively.

Colac Surrounds hosts a notably older demographic compared to the national average

Colac Surrounds' median age of 44 years is similar to Regional Vic.'s 43 and above the national average of 38 years. Compared to Regional Vic., Colac Surrounds has a higher percentage of residents aged 55-64 (14.8%) but fewer residents aged 85+ (1.2%). Between the 2021 Census and the present, the population aged 75-84 grew from 5.3% to 7.2%, while those aged 15-24 increased from 10.2% to 11.6%. Conversely, the percentage of residents aged 65-74 decreased from 14.3% to 12.6%, and the 45-54 age group dropped from 13.3% to 11.8%. By 2041, Colac Surrounds is expected to see significant changes in its age composition, with the 25-34 age group growing by 25% (an increase of 143 people) to reach 713 from 569. Meanwhile, the populations aged 85+ and 75-84 are expected to decline.