Forest Hill

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

Forest Hill's population was around 11,271 as of May 2026. This reflected an increase of 491 people since the 2021 Census, which reported a population of 10,780 people. The change was inferred from the estimated resident population of 11,256 in June 2025 and an additional 158 validated new addresses since the Census date. This level of population resulted in a density ratio of 2,769 persons per square kilometer, placing Forest Hill in the upper quartile relative to national locations assessed by AreaSearch. Forest Hill's growth rate of 4.6% since the 2021 census exceeded the SA4 region's rate of 3.8%, indicating it as a growth leader in the region. Overseas migration was the primary driver of population growth during recent periods.

AreaSearch adopted 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 utilized VIC State Government's Regional/LGA projections released in 2023, adjusting them using a method of weighted aggregation of population growth from LGA to SA2 levels. Growth rates by age group were applied across all areas for years 2032 to 2041. Future trends suggest a population increase just below the median of national areas, with an expected expansion of 1,171 persons to 2041 based on the latest annual ERP population numbers, reflecting a total increase of 10.3% over the 16 years.

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

Forest Hill has averaged approximately 44 new dwelling approvals per year. Over the past five financial years, from FY21 to FY25, a total of 220 homes were approved, with an additional 20 approved so far in FY26. The average number of people moving to the area for each dwelling built over these years is zero.

This indicates that new supply is keeping pace with or exceeding demand, providing ample buyer choice and creating capacity for population growth beyond current forecasts. The average construction cost value of new homes being built is $507,000, suggesting developers are focusing on the premium market with high-end developments. In the current financial year, $16.7 million in commercial development approvals have been recorded, indicating balanced commercial development activity in Forest Hill compared to Greater Melbourne.

Over the past five years, Forest Hill has shown moderately higher new home approvals, averaging 13.0% above the regional average per person. The composition of new development consists of approximately 73.0% standalone homes and 27.0% attached dwellings, maintaining the area's traditional suburban character with a focus on family homes appealing to those seeking space. This is reflected in the density figure of around 226 people per dwelling approval, indicating characteristics of a low-density area. Population forecasts suggest Forest Hill will gain approximately 1,156 residents by 2041, according to the latest AreaSearch quarterly estimate. Current development appears well-matched to future needs, supporting steady market conditions without extreme price pressure.

Forest Hill has moderate levels of nearby infrastructure activity, ranking in the top 50% nationally

Changes in local infrastructure significantly affect an area's performance. AreaSearch has identified 22 projects that could impact the region. Notable projects include Forest Ridge (including MAX apartments), Healesville Freeway Reserve Park (ngarrak nakorang wilam park), City Park, and Forest Hill Chase Basketball Stadium. 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.

Employment conditions in Forest Hill remain below the national average according to AreaSearch analysis

Forest Hill has an educated workforce with professional services well-represented. Its unemployment rate was 3.9% in the past year. Employment growth was estimated at 1.8%.

As of December 2025, 5,545 residents were employed, with an unemployment rate of 0.8% lower than Greater Melbourne's 4.8%. Workforce participation was 60.6%, compared to Greater Melbourne's 69.9%. Home-based work was high at 37.1%.

Leading industries were health care & social assistance, professional & technical services, and retail trade. Construction employed 6.6% of local workers, lower than Greater Melbourne's 9.7%. Many residents commute elsewhere for work. Between December 2024 and December 2025, employment levels increased by 1.8%, labour force by 1.6%, reducing unemployment by 0.2 percentage points. In comparison, Greater Melbourne had employment growth of 2.4% and unemployment rose by 0.3 percentage points. National employment forecasts from May-25 suggest Forest Hill's employment should increase by 6.7% over five years and 13.9% over ten years, based on industry-specific projections.

Income levels sit below national averages according to AreaSearch assessment

Forest Hill SA2 had a median taxpayer income of $50,027 and an average income of $63,220 in the financial year 2023, according to postcode level ATO data aggregated by AreaSearch. This was below Greater Melbourne's median income of $57,688 and average income of $75,164. By March 2026, estimates suggest a median income of approximately $54,840 and an average income of $69,302, based on Wage Price Index growth since financial year 2023. The 2021 Census showed household income ranked at the 45th percentile ($1,658 weekly) and personal income at the 29th percentile. The predominant earnings cohort was 29.1% of locals (3,279 people) in the $1,500 - $2,999 category. Housing affordability pressures were severe, with only 83.6% of income remaining, ranking at the 45th percentile. The area's SEIFA income ranking placed it in the 7th decile.

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

Forest Hill's dwelling structure, as per the latest Census, consisted of 72.0% houses and 28.0% other dwellings (semi-detached, apartments, 'other' dwellings), compared to Melbourne metro's 67.9% houses and 32.1% other dwellings. Home ownership in Forest Hill stood at 39.6%, with mortgaged dwellings at 34.0% and rented ones at 26.5%. The median monthly mortgage repayment was $2,123, above Melbourne metro's average of $2,000. The median weekly rent in Forest Hill was $396, compared to Melbourne metro's $390. Nationally, Forest Hill's mortgage repayments were higher at $2,123 than the Australian average of $1,863, while rents were also higher at $396 compared to the national figure of $375.

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

Family households account for 69.6% of all households, including 34.0% couples with children, 23.0% couples without children, and 11.0% single parent families. Non-family households constitute the remaining 30.4%, with lone person households at 27.5% and group households comprising 3.0%. The median household size is 2.5 people, which is smaller than the Greater Melbourne average of 2.6.

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

Forest Hill has higher educational attainment than national averages. Among residents aged 15+, 41.2% hold university qualifications, compared to Australia's 30.4% and the SA4 region's 31.2%. Bachelor degrees are most common at 26.3%, followed by postgraduate qualifications (11.6%) and graduate diplomas (3.3%). Vocational pathways account for 23.7%, with advanced diplomas at 11.4% and certificates at 12.3%.

Educational participation is high, with 27.9% currently enrolled in formal education. This includes 8.7% in primary, 7.3% in secondary, and 5.9% in tertiary education.

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

Forest Hill has 52 active public transport stops offering a mix of lightrail and bus services. These stops are served by 16 routes, facilitating 5,611 weekly passenger trips in total. Transport accessibility is rated as good, with residents typically living 215 meters from the nearest stop. As a predominantly residential area, most commuters travel outward. Car remains the primary mode of transport at 85%, while train usage stands at 8%. The average vehicle ownership per dwelling is 1.2.

According to the 2021 Census, 37.1% of residents work from home, which may be influenced by COVID-19 conditions. Service frequency averages 801 trips daily across all routes, equating to approximately 107 weekly trips per individual stop.

Forest Hill's residents are extremely healthy with prevalence of common health conditions low among the general population though higher than the nation's average across older, at risk cohorts

Analysis of health metrics shows strong performance throughout Forest Hill. AreaSearch's assessment indicates low prevalence of common health conditions among the general population, although this is higher than the national average for older, at-risk cohorts. The rate of private health cover is relatively low at approximately 50% of the total population (~5,691 people), compared to 56.7% across Greater Melbourne and a national average of 55.7%.

The most common medical conditions in the area are arthritis and mental health issues, impacting 7.8 and 7.5% of residents respectively, while 70.2% declare themselves completely clear of medical ailments compared to 72.6% across Greater Melbourne. The under-65 population demonstrates better than average health outcomes. The area has 21.9% of residents aged 65 and over (2,467 people), which is higher than the 15.0% in Greater Melbourne but ranks lower nationally than the broader population.

Forest Hill is among the most culturally diverse areas in the country based on AreaSearch assessment of a range of language and cultural background related metrics

Forest Hill's population shows high cultural diversity, with 43.8% born overseas and 44.3% speaking a language other than English at home. Christianity is the dominant religion in Forest Hill, comprising 43.9%. Buddhism is overrepresented compared to Greater Melbourne, making up 7.3% of Forest Hill's population versus 4.2%.

The top three represented ancestry groups are Chinese (21.0%), English (17.7%), and Australian (17.0%). Notably, Sri Lankan (1.0%), Greek (3.6%), and Vietnamese (1.6%) ethnicities have higher representations in Forest Hill compared to regional averages.

Forest Hill's median age exceeds the national pattern

The median age in Forest Hill is 42 years, which is significantly higher than Greater Melbourne's average of 37 years and Australia's median age of 38 years. The 75-84 age group makes up 7.7% of the population in Forest Hill, compared to a lower percentage in Greater Melbourne. Conversely, the 25-34 age group comprises 12.1%, which is less than the average for Greater Melbourne. According to post-2021 Census data, the 25-34 age group has increased from 11.3% to 12.1%. However, the 0-4 age group has decreased from 5.1% to 4.1%. Population forecasts for 2041 indicate substantial demographic changes in Forest Hill. The 45-54 age group is expected to grow by 21%, reaching 1,769 people from 1,465. Notably, the combined 65+ age groups will account for 52% of total population growth, reflecting the area's aging demographic profile. In contrast, the 0-4 and 5-14 age cohorts are expected to experience population declines.