Daylesford

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

Based on AreaSearch's analysis, Daylesford's population is around 11,013 as of Feb 2026. This reflects an increase of 1,058 people (10.6%) since the 2021 Census, which reported a population of 9,955 people. The change is inferred from the estimated resident population of 10,247 from the ABS as of June 2024 and an additional 261 validated new addresses since the Census date. This population level equates to a density ratio of 12.0 persons per square kilometer, providing ample space per person. Daylesford's 10.6% growth since the 2021 census exceeded the SA3 area (7.3%) and the Rest of Vic., marking it as a growth leader in the region. Population growth for the area was primarily driven by interstate migration, which contributed approximately 58.6% of overall population gains during recent periods.

AreaSearch adopts ABS/Geoscience Australia projections for each SA2 area, as released in 2024 with 2022 as the base year. For any SA2 areas not covered by this data, AreaSearch utilizes the VIC State Government's Regional/LGA projections released in 2023, with adjustments made employing a method of weighted aggregation of population growth from LGA to SA2 levels. Growth rates by age group from these aggregations are also applied across all areas for years 2032 to 2041. Anticipating future population dynamics, a population increase just below the median of locations outside of capital cities is expected, with the area expected to increase by 967 persons by 2041 based on the latest annual ERP population numbers, reflecting an increase of 1.8% in total over the 17 years.

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

Daylesford has recorded around 101 residential properties granted approval annually, with 508 homes approved over the past 5 financial years (between FY-21 and FY-25) and 33 so far in FY-26. At an average of 1.4 new residents per year arriving per new home over the past 5 financial years (between FY-21 and FY-25), supply and demand appear well-balanced, creating stable market conditions, while new dwellings are developed at an average construction cost of $494,000, revealing that developers are targeting the premium market segment with higher-end properties. Additionally, $27.4 million in commercial approvals have been registered this financial year, suggesting balanced commercial development activity.

Compared to the rest of Victoria, Daylesford has slightly more development (43.0% above the regional average per person over the 5 year period), preserving reasonable buyer options while sustaining existing property demand. Recent construction comprises 88.0% standalone homes and 12.0% medium and high-density housing, maintaining the area's traditional low-density character with a focus on family homes appealing to those seeking space. At around 111 people per approval, Daylesford reflects a developing area.

Looking ahead, Daylesford is expected to grow by 201 residents through to 2041 (based on the latest AreaSearch quarterly estimate). With current construction levels, housing supply should adequately meet demand, creating favourable conditions for buyers while potentially enabling growth that exceeds current forecasts.

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

Nothing can influence an area's performance as much as changes to local infrastructure, major projects, and planning initiatives. In total 0 projects have been identified by AreaSearch that are likely to have an impact on the area. Key projects include Western Renewables Link, Victorian Renewable Energy Zones, X'Trapolis 2.0 Trains, and Melbourne Metro Tunnel - Rail Systems Alliance, with the list below detailing those likely to be of 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.

AreaSearch assessment positions Daylesford ahead of most Australian regions for employment performance

Daylesford has a well-educated workforce with diverse sector representation and an unemployment rate of just 2.2%. As of December 2025, 5,155 residents are in work, while the unemployment rate is 1.5% below Regional Vic.'s rate of 3.7%, and workforce participation is somewhat below standard (58.2% compared to Regional Vic.'s 61.5%). Based on Census responses, a high 34.4% of residents were found to work from home, though Covid-19 lockdown impacts should be considered.

The key industries of employment among residents are health care & social assistance, accommodation & food, and construction. The area shows particularly strong specialization in accommodation & food, with an employment share of 1.7 times the regional level. Meanwhile, retail trade has a limited presence with 7.5% employment compared to 9.9% regionally. The area appears to offer limited employment opportunities locally, as indicated by the count of the Census working population versus the resident population.

Based on AreaSearch analysis of SALM and ABS data, during the year to December 2025, the labour force decreased by 0.7% alongside a 0.6% employment decline, keeping the unemployment rate relatively stable. This compares to Regional Vic., where employment fell by 0.6%, the labour force contracted by 0.7%, and unemployment fell 0.1 percentage points. Jobs and Skills Australia's national employment forecasts from May-25 can offer further insight into potential future demand within Daylesford. These projections, covering five and ten-year periods, have been mapped against the local employment profile to estimate growth patterns. While national employment is forecast to expand by 6.6% over five years and 13.7% over ten years, growth rates differ significantly between industry sectors. Applying these industry-specific projections to Daylesford's employment mix suggests local employment should increase by 6.4% over five years and 13.3% over ten years (please note this is a simple weighting extrapolation for illustrative purposes and does not take into account localised population projections).

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

AreaSearch's latest postcode level ATO data for FY-23 reveals that income in the Daylesford SA2 is just below the national average, with the median assessed at $45,135 while the average income stands at $65,429. This contrasts with Regional Vic.'s figures of a median income of $50,954 and an average income of $62,728. Based on Wage Price Index growth of 8.25% since FY-23, current estimates would be approximately $48,859 (median) and $70,827 (average) as of September 2025. Census data reveals household, family and personal incomes all rank modestly in Daylesford, between the 23rd and 28th percentiles. Income brackets indicate 27.7% of the population (3,050 individuals) fall within the $1,500 - 2,999 income range, aligning with the metropolitan region where this cohort likewise represents 30.3%. While housing costs are modest with 87.0% of income retained, the total disposable income ranks at just the 28th percentile nationally and the area's SEIFA income ranking places it in the 6th decile.

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

Dwelling structure within Daylesford, as evaluated at the latest Census, comprised 95.3% houses and 4.7% other dwellings (semi-detached, apartments, 'other' dwellings), in comparison to Regional Vic.'s 90.1% houses and 9.9% other dwellings. Meanwhile, the level of home ownership within Daylesford was well beyond that of Regional Vic., at 51.2%, with the remainder of dwellings either mortgaged (33.6%) or rented (15.3%). The median monthly mortgage repayment in the area was well above the Regional Vic. average at $1,600, while the median weekly rent figure was recorded at $330, compared to Regional Vic.'s $1,430 and $285. Nationally, Daylesford's mortgage repayments are significantly lower than the Australian average of $1,863, while rents are substantially below the national figure of $375.

Daylesford features high concentrations of lone person households, with a lower-than-average median household size

Family households dominate at 64.0% of all households, comprising 19.6% couples with children, 35.9% couples without children, and 7.9% single parent families. Non-family households make up the remaining 36.0%, with lone person households at 33.0% and group households comprising 3.1% of the total. The median household size of 2.1 people is smaller than the Regional Vic. average of 2.4.

The educational profile of Daylesford exceeds national averages, with above-average qualification levels and academic performance metrics

Educational attainment in Daylesford significantly surpasses broader benchmarks, with 34.6% of residents aged 15+ holding university qualifications compared to 21.7% in Rest of Vic. and 24.6% in SA4 region. This substantial educational advantage positions the area strongly for knowledge-based opportunities. Bachelor degrees lead at 21.2%, followed by postgraduate qualifications (8.4%) and graduate diplomas (5.0%). Trade and technical skills feature prominently, with 34.4% of residents aged 15+ holding vocational credentials, including advanced diplomas (13.5%) and certificates (20.9%).

A substantial 24.9% of the population actively pursues formal education. This includes 8.5% in primary education, 7.9% in secondary education, and 3.4% pursuing tertiary education.

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

Public transport analysis reveals 29 active transport stops operating within Daylesford. These stops are serviced by 4 individual routes, collectively providing 60 weekly passenger trips. Transport accessibility is rated as limited, with residents typically located 1354 meters from the nearest transport stop. As a primarily residential area, most residents commute outward; the car remains the dominant mode at 88%, with 8% walking. Vehicle ownership averages 1.5 per dwelling. A high 34.4% of residents work from home (2021 Census; may reflect COVID-19 conditions).

Service frequency averages 8 trips per day across all routes, equating to approximately 2 weekly trips per individual stop.

Daylesford's residents are healthier than average in comparison to broader Australia with a fairly standard level of common health conditions seen across both young and old age cohorts

Health data indicates relatively positive outcomes for Daylesford residents. AreaSearch's analysis of mortality rates and health conditions shows results broadly in line with national benchmarks, with a standard level of common health conditions across both young and old age cohorts. The rate of private health cover slightly lags the average SA2 area at approximately 52% of the total population (~5,715 people).

The most common medical conditions in the area are arthritis and mental health issues, impacting 10.1 and 9.2% of residents, respectively, while 62.3% declared themselves as completely clear of medical ailments compared to 63.4% across Regional Vic.. The working-age population faces notable health challenges with elevated chronic condition rates. The area has 29.6% of residents aged 65 and over (3,255 people), which is higher than the 23.9% in Regional Vic.. Health outcomes among seniors are particularly strong, with national rankings even higher than the general population.

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

Daylesford was found to be below average in terms of cultural diversity, with 87.4% of its population being citizens, 82.1% born in Australia, and 93.3% speaking English only at home. The main religion in Daylesford is Christianity, which makes up 36.0% of the population. However, the most apparent overrepresentation is in Judaism, which comprises 0.2% of the population, compared to 0.1% across Regional Vic..

In terms of ancestry (country of birth of parents), the top three represented groups in Daylesford are English, comprising 30.5% of the population, Australian, comprising 23.1% of the population, which is notably lower than the regional average of 29.6%, and Irish, comprising 12.7% of the population. Additionally, there are notable divergences in the representation of certain other ethnic groups: Scottish is notably overrepresented at 10.7% of Daylesford (vs 8.8% regionally), Dutch at 1.8% (vs 1.7%), and Hungarian at 0.4% (vs 0.2%).

Daylesford ranks among the oldest 10% of areas nationwide

With a median age of 53, Daylesford is considerably higher than the Regional Vic. figure of 43 and substantially exceeds the national norm of 38. Relative to Regional Vic., Daylesford has a higher concentration of 55 - 64 residents (19.1%) but fewer 25 - 34 year-olds (7.2%). This 55 - 64 concentration is well above the national 11.2%. Since the 2021 Census, the 75 to 84 age group has grown from 7.8% to 9.4% of the population, while the 15 to 24 cohort increased from 6.6% to 8.2%. Conversely, the 45 to 54 cohort has declined from 15.1% to 13.6% and the 5 to 14 group dropped from 9.5% to 8.1%. Looking ahead to 2041, demographic projections reveal significant shifts in Daylesford's age structure. Leading the demographic shift, the 25 to 34 group will grow by 28% (225 people), reaching 1,024 from 798. Meanwhile, the 65 to 74 and 5 to 14 cohorts are expected to experience population declines.