Otway

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

Otway's population was around 3,932 as of November 2025. This reflected a decrease of 76 people since the 2021 Census, which reported a population of 4,008. The change was inferred from an estimated resident population of 3,952 in June 2024 and an additional 41 validated new addresses since the Census date. This resulted in a density ratio of 2.6 persons per square kilometer. Over the past decade, Otway had demonstrated resilient growth patterns with a compound annual growth rate of 1.2%, outpacing its SA3 area. Population growth was primarily driven by overseas migration contributing approximately 88.2% of overall population gains during recent periods.

AreaSearch adopted ABS/Geoscience Australia projections for each SA2 area, released in 2024 with a base year of 2022. For areas not covered by this data, AreaSearch utilised the VIC State Government's Regional/LGA projections released in 2023, adjusting employing 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 population dynamics anticipated lower quartile growth for locations outside capital cities, with the area expected to increase by 108 persons to 2041 based on the latest annual ERP population numbers, reflecting a total increase of 3.1% over the 17 years.

Residential development activity is slightly higher than average within Otway when compared nationally

Otway has averaged approximately 42 new dwelling approvals annually. Over the past five financial years, from FY-21 to FY-25, a total of 212 homes were approved, with an additional 14 approved so far in FY-26. Each year, on average, only about 0.7 people moved to the area for each dwelling built during these five financial years.

This indicates that new supply has been keeping pace with or exceeding demand, providing ample buyer choice and creating capacity for population growth beyond current forecasts. The average expected construction cost value of new properties is $563,000, suggesting developers are targeting the premium market segment with higher-end properties. In FY-26 alone, $19.1 million in commercial approvals have been registered, demonstrating moderate levels of commercial development. Compared to the Rest of Vic., Otway records 118.0% more construction activity per person, creating greater choice for buyers.

However, building activity has slowed in recent years. The majority of new building activity consists of standalone homes at 97.0%, with attached dwellings making up the remaining 3.0%. This maintains the area's traditional low density character, focusing on family homes that appeal to those seeking space. The location currently has approximately 131 people per dwelling approval, indicating a low density market. According to the latest AreaSearch quarterly estimate, Otway is expected to grow by 124 residents through to 2041. With current construction levels, housing supply should adequately meet demand, creating favourable conditions for buyers while potentially enabling growth that exceeds current forecasts.

Otway has emerging levels of nearby infrastructure activity, ranking in the 32ndth percentile nationally

Changes to local infrastructure significantly influence an area's performance. AreaSearch has identified one major project expected to impact the region: Colac Water Pipeline Upgrade, Eden Project Anglesea, Telstra InfraCo Intercity Fibre Network, and Additional VLocity Trains are key projects, with the following list detailing those most 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 labour market in Otway shows considerable strength compared to most other Australian regions

Otway's workforce is well-educated with prominent tourism and hospitality sectors. As of September 2025, the unemployment rate is 1.8%.

In comparison to Rest of Vic., Otway's unemployment rate is 1.9% lower at 3.8%, but workforce participation is somewhat lower at 53.7%. Key industries for employment among residents are accommodation & food, health care & social assistance, and construction. Notably, Otway has a strong specialization in accommodation & food with an employment share of 2.9 times the regional level, while health care & social assistance is under-represented at 11.6% compared to Rest of Vic.'s 16.8%. Over the year to September 2025, labour force levels decreased by 3.3%, and employment declined by 3.7%, leading to a rise in unemployment rate by 0.4 percentage points.

State-level data to 25-Nov-25 shows VIC employment grew by 1.13% year-on-year, with the state unemployment rate at 4.7%. National employment forecasts from May-25 indicate growth of 6.6% over five years and 13.7% over ten years, but industry-specific projections suggest Otway's employment should increase by 6.0% over five years and 12.6% over ten years.

Income metrics place the area in the bottom 10% of locations nationally according to AreaSearch analysis

AreaSearch's latest postcode level ATO data for financial year 2022 shows Otway SA2 had a median income of $41,247 and an average income of $53,998. This is lower than the national averages of $48,741 (median) and $60,693 (average) for Rest of Vic. By September 2025, adjusting for Wage Price Index growth of 12.16%, median income in Otway is estimated at $46,263 and average income at $60,564. Census 2021 data indicates Otway's household, family, and personal incomes fall between the 11th and 24th percentiles nationally. In Otway, 28.6% of individuals earn within the $800 - $1,499 range, differing from metropolitan regions where earnings predominantly fall in the $1,500 - $2,999 bracket at 30.3%. Despite modest housing costs allowing for 87.8% income retention, disposable income ranks at only the 15th percentile nationally, with Otway's SEIFA income ranking placing it in the 5th decile.

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

Otway's dwelling structure, as per the latest Census, consists of 91.0% houses and 9.0% other dwellings such as semi-detached homes, apartments, and 'other' dwellings. This compares to Non-Metro Vic.'s 93.2% houses and 6.8% other dwellings. Home ownership in Otway stands at 53.2%, with mortgaged properties at 26.8% and rented dwellings at 20.0%. The median monthly mortgage repayment in Otway is $1,387, higher than Non-Metro Vic.'s average of $1,300. The median weekly rent figure for Otway is $285, compared to Non-Metro Vic.'s $250. Nationally, Otway's mortgage repayments are lower at $1,387 versus the Australian average of $1,863, and rents are also lower at $285 compared to the national figure of $375.

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

Family households constitute 62.0% of all households, including 18.3% couples with children, 34.4% couples without children, and 8.7% single parent families. Non-family households account for the remaining 38.0%, with lone person households at 35.3% and group households comprising 2.7% of the total. The median household size is 2.1 people, smaller than the Rest of Vic. average of 2.3.

Educational attainment in Otway aligns closely with national averages, showing typical qualification patterns and performance metrics

Otway's educational attainment exceeds broader benchmarks. Among residents aged 15+, 29.9% hold university qualifications, compared to 17.2% in the SA3 area and 19.0% in the SA4 region. Bachelor degrees are most common at 19.3%, followed by postgraduate qualifications (6.9%) and graduate diplomas (3.7%). Vocational credentials are prominent, with 37.2% of residents aged 15+ holding such qualifications – advanced diplomas (12.8%) and certificates (24.4%).

Educational participation is high, with 25.8% currently enrolled in formal education. This includes 9.2% in primary education, 8.8% in secondary education, and 2.5% pursuing tertiary education.

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

Otway has 18 active public transport stops, all of which are bus stops. These stops are served by four different routes that together offer 96 weekly passenger trips. The accessibility of these services is limited, with residents typically located 1032 meters from the nearest stop.

On average, there are 13 trips per day across all routes, which equates to about five weekly trips per individual stop.

Otway's residents are relatively healthy in comparison to broader Australia with a fairly standard level of common health conditions seen across both young and old age cohorts

Otway's health metrics closely align with national benchmarks, reflecting a typical range of common health conditions across both younger and older age groups. Approximately 47% (~1,848 people) have private health cover, which is lower than the national average of 55.3%.

The most prevalent medical conditions are arthritis (9.5%) and mental health issues (7.7%). About 68.5% report being free from medical ailments, compared to 65.0% in Rest of Vic.. The area has a higher proportion of seniors aged 65 and over at 29.2% (1,146 people), compared to the state average of 24.6%. Health outcomes among Otway's senior residents are notably strong, outperforming those of the general population in health metrics.

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

Otway's population was found to be less diverse culturally, with 82.8% being citizens, 82.0% born in Australia, and 92.4% speaking English only at home. Christianity was the predominant religion, comprising 34.1%. While Judaism made up just 0.1%, this was an overrepresentation compared to Rest of Vic's 0.1%.

The top three ancestral groups were English (31.1%), Australian (23.9%), and Irish (13.0%). Notably, Scottish ancestry was slightly overrepresented at 10.2% versus the regional average of 10.0%, as were Dutch (1.9% vs 1.6%) and French (0.7% vs 0.3%).

Otway ranks among the oldest 10% of areas nationwide

Otway's median age is 51 years, significantly higher than Victoria's average of 43 and Australia's median of 38. The 65-74 cohort is notably over-represented in Otway at 18.6%, compared to the Rest of Vic.'s average of 9.4%. Meanwhile, the 5-14 age group is under-represented at 8.3%. Post-2021 Census data shows the 35-44 cohort grew from 9.8% to 11.4%, while the 75-84 cohort increased from 7.3% to 8.4%. Conversely, the 55-64 group declined from 19.3% to 17.3%, and the 45-54 group dropped from 14.3% to 12.9%. By 2041, Otway's age composition is expected to shift notably. The 25-34 cohort is projected to grow by 33%, reaching 495 people from 372. Meanwhile, population declines are anticipated for the 5-14 and 75-84 cohorts.