Diggers Rest

Diggers Rest lies within the top 10% of areas nationally in terms of population growth performance according to AreaSearch analysis of short and medium-term trends

Diggers Rest's population, as of November 2025, is approximately 7,318, reflecting a growth of 2,081 people since the 2021 Census. This increase represents a 39.7% rise from the previously reported figure of 5,237 people. The population change was inferred from ABS data showing an estimated resident population of 6,967 in June 2024 and an additional 648 validated new addresses since the Census date. This results in a population density ratio of 141 persons per square kilometer. Diggers Rest's growth rate exceeded both national (8.9%) and state averages since the 2021 census, positioning it as a growth leader in the region. Interstate migration contributed approximately 73.4% of overall population gains during recent periods, with natural growth and overseas migration also playing positive roles.

AreaSearch uses ABS/Geoscience Australia projections for each SA2 area released in 2024, based on data from 2022. For areas not covered by this data, AreaSearch employs the VIC State Government's Regional/LGA projections released in 2023, with adjustments made 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. Based on these projections, Diggers Rest is expected to experience exceptional growth, placing it in the top 10 percent nationally, with a projected expansion of 8,327 persons by 2041. This reflects an overall increase of 109.0% over the 17-year period.

The level of residential development activity in Diggers Rest was found to be higher than 90% of real estate markets across the country

Diggers Rest has averaged approximately 234 new dwelling approvals per year over the past five financial years, totalling 1,172 homes. As of FY-26 so far, 47 approvals have been recorded. On average, each dwelling has added about 2.7 new residents annually between FY-21 and FY-25, indicating strong demand that supports property values. New homes are being built at an average expected construction cost value of $243,000, which is below regional norms, reflecting more affordable housing options for purchasers.

This financial year has seen $235,000 in commercial development approvals, demonstrating the area's residential nature. Compared to Greater Melbourne, Diggers Rest has 164% more new home approvals per person, providing buyers with ample choice. However, building activity has slowed in recent years. Nationally, this activity is well above average, reflecting strong developer confidence in the area. New building activity shows 96% detached dwellings and 4% townhouses or apartments, maintaining Diggers Rest's traditional low density character focused on family homes appealing to those seeking space.

With around 32 people per dwelling approval, Diggers Rest exhibits characteristics of a growth area. According to AreaSearch's latest quarterly estimate, Diggers Rest is forecasted to gain approximately 7,976 residents by 2041. Building activity appears to be keeping pace with growth projections, though buyers may face increased competition as the population grows.

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

Changes to local infrastructure significantly impact an area's performance. AreaSearch identified 42 projects likely affecting the region. Notable ones are Grandview Estate, Diggers Rest Station Precinct (Level Crossing Removals and Station Upgrades), Diggers Rest Town Centre (proposed mixed-use precinct), Nightjar Estate. The following list details those most relevant.

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Employment conditions in Diggers Rest demonstrate strong performance, ranking among the top 35% of areas assessed nationally

Diggers Rest has a skilled labor force with diverse sector representation. Its unemployment rate was 3.3% in the past year, with an estimated employment growth of 1.8%.

As of September 2025, 4,310 residents are employed, with an unemployment rate of 1.3% below Greater Melbourne's rate of 4.7%. Workforce participation is high at 73.5%, compared to Greater Melbourne's 64.1%. Leading employment industries include health care & social assistance, construction, and transport, postal & warehousing. Diggers Rest has a strong specialization in transport, postal & warehousing, with an employment share of 2.1 times the regional level.

However, professional & technical services are under-represented, at 6.0% compared to Greater Melbourne's 10.1%. Employment opportunities locally may be limited, as indicated by Census data on working population vs resident population. In the year to September 2025, employment levels in Diggers Rest increased by 1.8%, and labor force increased by 2.6%, causing the unemployment rate to rise by 0.7 percentage points. In contrast, Greater Melbourne experienced employment growth of 3.0% and labor force growth of 3.3%, with a smaller rise in unemployment rate of 0.3 percentage points. State-level data as of 25-Nov shows Victoria's employment grew by 1.13% year-on-year, adding 41,950 jobs, with an unemployment rate of 4.7%. This compares to the national unemployment rate of 4.3%, with the state's employment growth outpacing the national average of 0.14%. National employment forecasts from Jobs and Skills Australia, as of May-25, project a 6.6% increase over five years and 13.7% over ten years. Applying these projections to Diggers Rest's employment mix suggests local employment should increase by 6.2% over five years and 12.9% over ten years.

The area exhibits notably strong income performance, ranking higher than 70% of areas assessed nationally through AreaSearch analysis

AreaSearch's latest postcode level ATO data for financial year 2022 shows Diggers Rest SA2 had a median income of $59,931 and an average income of $66,147. This is slightly above the national average. Comparing with Greater Melbourne, Diggers Rest has a lower median ($59,931 vs $54,892) but higher average income ($66,147 vs $73,761). Based on Wage Price Index growth of 12.16% since financial year 2022, estimated incomes for September 2025 would be approximately $67,219 (median) and $74,190 (average). Census data indicates household, family, and personal incomes in Diggers Rest are around the 71st percentile nationally. The income distribution shows that 43.5% of individuals earn between $1,500 - 2,999 annually, with this band representing 32.8% of the broader area's population. Housing costs consume 16.7% of income, but strong earnings place disposable income at the 65th percentile nationally. Diggers Rest's SEIFA income ranking places it in the 6th decile.

Diggers Rest is characterized by a predominantly suburban housing profile, with a higher proportion of rental properties than the broader region

Diggers Rest's dwelling structure, as per the latest Census, consisted of 92.2% houses and 7.8% other dwellings (semi-detached, apartments, 'other' dwellings), compared to Melbourne metro's 89.2% houses and 10.8% other dwellings. Home ownership in Diggers Rest stood at 18.3%, with mortgaged dwellings at 60.3% and rented ones at 21.4%. The median monthly mortgage repayment was $1,800, higher than Melbourne metro's $1,750. Median weekly rent was $396, compared to Melbourne metro's $369. Nationally, Diggers Rest's mortgage repayments were lower than the Australian average of $1,863, while rents exceeded the national figure of $375.

Diggers Rest has a typical household mix, with a fairly typical median household size

Family households constitute 76.2% of all households, including 36.2% couples with children, 27.8% couples without children, and 10.8% single parent families. Non-family households comprise the remaining 23.8%, with lone person households at 21.5% and group households making up 2.4%. The median household size is 2.6 people, which aligns with the Greater Melbourne average.

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

The area's university qualification rate is 26.0%, significantly lower than Greater Melbourne's average of 37.0%. Bachelor degrees are the most common at 18.0%, followed by postgraduate qualifications (5.3%) and graduate diplomas (2.7%). Vocational credentials are prevalent, with 39.7% of residents aged 15+ holding them, including advanced diplomas (13.3%) and certificates (26.4%). Educational participation is high, with 26.3% of residents currently enrolled in formal education.

This includes 10.0% in primary education, 5.2% in secondary education, and 3.6% pursuing tertiary education.

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

The analysis of public transport in Diggers Rest shows that there are currently 31 active transport stops operating. These comprise a mix of train and bus services. Three individual routes service these stops collectively providing 2,295 weekly passenger trips.

The accessibility to transport is rated as good with residents typically located approximately 264 meters from the nearest stop. Across all routes, service frequency averages around 327 trips per day equating to about 74 weekly trips per individual stop.

The level of general health in Diggers Rest is notably higher than the national average with prevalence of common health conditions low among the general population though higher than the nation's average across older, at risk cohorts

Diggers Rest shows better-than-average health outcomes, with lower prevalence of common conditions among its general population compared to national averages.

However, it has a higher prevalence among older and at-risk cohorts. Approximately 52% of Diggers Rest's total population (~3,834 people) have private health cover, slightly above the average for SA2 areas. The most prevalent medical conditions are asthma (9.6%) and mental health issues (9.0%). A higher proportion of residents (71.7%) report being completely free of medical ailments compared to Greater Melbourne's 65.7%. Diggers Rest has a lower percentage of seniors aged 65 and over (9.2%, or 676 people) than Greater Melbourne's 15.4%. While health outcomes among seniors in the area require more attention, they present some challenges compared to the broader population.

The level of cultural diversity witnessed in Diggers Rest was found to be above average when compared nationally for a number of language and cultural background related metrics

Diggers Rest, surveyed in 2016, had a higher cultural diversity than most local areas, with 24.9% of its population born overseas and 24.7% speaking languages other than English at home. Christianity was the predominant religion, accounting for 47.2% of residents. Notably, the 'Other' religious category comprised 5.5%, higher than Greater Melbourne's 1.5%.

In terms of ancestry, Australians were the largest group (23.8%), followed by English (20.7%), and Other (10.8%). Compared to regional averages, Maltese (3.0% vs 2.8%), Croatian (1.3% vs 1.0%), and Polish (1.2% vs 1.0%) groups were more prevalent in Diggers Rest.

Diggers Rest hosts a very young demographic, ranking in the bottom 10% of areas nationwide

Diggers Rest has a median age of 32 years, which is younger than Greater Melbourne's average of 37 and significantly lower than Australia's national average of 38. Compared to Greater Melbourne, Diggers Rest has a higher proportion of residents aged 25-34 (21.0%) but fewer residents aged 15-24 (9.1%). This 25-34 concentration is notably higher than the national figure of 14.5%. According to data from the 2021 Census, the proportion of residents aged 35-44 has increased from 16.9% to 19.3%, while the 5-14 age group has risen from 11.8% to 13.3%. Conversely, the 25-34 age group has decreased from 24.6% to 21.0%. By 2041, demographic modeling projects significant changes in Diggers Rest's age profile, with the strongest growth expected in the 35-44 cohort, which is projected to grow by 106%, adding 1,504 residents to reach a total of 2,918.