Otway

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

Based on AreaSearch's analysis, Otway's population is around 4,022 as of Feb 2026. This reflects an increase of 14 people (0.3%) since the 2021 Census, which reported a population of 4,008 people. The change is inferred from the estimated resident population of 3,957 from the ABS as of June 2024 and an additional 46 validated new addresses since the Census date. This population level equates to a density ratio of 2.7 persons per square kilometer, providing ample space per person. Over the past decade, Otway has demonstrated resilient growth patterns with a 1.2% compound annual growth rate, outpacing the SA3 area. Population growth for the area was primarily driven by overseas migration, which contributed approximately 88.2% 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, lower quartile growth for locations outside of capital cities is expected, with the area expected to increase by 108 persons by 2041 based on the latest annual ERP population numbers, reflecting an increase of 0.8% in total over the 17 years.

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

Otway has averaged around 42 new dwelling approvals annually, with 212 homes approved over the past 5 financial years (between FY-21 and FY-25) and 23 so far in FY-26. With an average of only 0.7 people per year moving to the area for each dwelling built over the past 5 financial years (between FY-21 and FY-25), new supply is keeping pace with or exceeding demand, offering ample buyer choice and creating capacity for population growth beyond current forecasts, while new properties are constructed at an average value of $563,000, revealing that developers are targeting the premium market segment with higher-end properties. Additionally, $19.1 million in commercial approvals have been registered this financial year, 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, though building activity has slowed in recent years. New building activity consists of 97.0% standalone homes and 3.0% attached dwellings, maintaining the area's traditional low density character with a focus on family homes appealing to those seeking space. The location has approximately 131 people per dwelling approval, indicating a low density market.

Looking ahead, Otway is expected to grow by 34 residents through to 2041 (from 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.

Otway has emerging levels of nearby infrastructure activity, ranking in the 26thth percentile nationally

Nothing can influence an area's performance as much as changes to local infrastructure, major projects and planning initiatives. In total, 1 single project has been identified by AreaSearch that is likely to have an impact on the area. Key projects include Colac Water Pipeline Upgrade, Eden Project Anglesea, Telstra InfraCo Intercity Fibre Network, and Additional VLocity Trains, with the below list 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.

The labour market in Otway shows considerable strength compared to most other Australian regions

Otway possesses a well-educated workforce, with tourism and hospitality sectors prominently featured and an unemployment rate of just 1.8%. As of December 2025, 1,935 residents are in work, while the unemployment rate is 1.9% below Regional Vic.'s rate of 3.7%, and workforce participation is somewhat below standard (56.8% compared to Regional Vic.'s 61.5%). Based on Census responses, a high 25.4% of residents were found to work from home, though Covid-19 lockdown impacts should be considered.

The key industries of employment among residents are accommodation & food, health care & social assistance, and construction. The area shows particularly strong specialization in accommodation & food, with an employment share 2.9 times the regional level. On the other hand, health care & social assistance is under-represented, with only 11.6% of Otway's workforce compared to 16.8% in Regional Vic.. 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, over the 12 months to December 2025, labour force levels decreased by 6.6% while employment declined by 6.8%, resulting in the unemployment rate rising by 0.3 percentage points. 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 Otway. 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 Otway's employment mix suggests local employment should increase by 6.0% over five years and 12.6% over ten years (please note this is a simple weighting extrapolation for illustrative purposes and does not take into account localised population projections).

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

AreaSearch's latest postcode level ATO data for FY-23 reveals that income in the Otway SA2 is lower than average on a national basis, with the median assessed at $44,006 while the average income stands at $56,842. 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 $47,636 (median) and $61,531 (average) as of September 2025. Census 2021 income data shows household, family and personal incomes in Otway all fall between the 11th and 24th percentiles nationally. Income brackets indicate 28.6% of the population (1,150 individuals) fall within the $800 - 1,499 income range, diverging from the metropolitan region where the $1,500 - 2,999 category predominates at 30.3%. While housing costs are modest with 87.8% of income retained, the total disposable income ranks at just the 15th percentile nationally and the area's SEIFA income ranking places it in the 5th decile.

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

Dwelling structure within Otway, as evaluated at the latest Census, comprised 91.0% houses and 9.0% 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 Otway was well beyond that of Regional Vic., at 53.2%, with the remainder of dwellings either mortgaged (26.8%) or rented (20.0%). The median monthly mortgage repayment in the area was below the Regional Vic. average at $1,387, while the median weekly rent figure was recorded at $285, compared to Regional Vic.'s $1,430 and $285. Nationally, Otway's mortgage repayments are significantly lower than the Australian average of $1,863, while rents are substantially below the national figure of $375.

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

Family households dominate at 62.0% of all households, comprising 18.3% couples with children, 34.4% couples without children, and 8.7% single parent families. Non-family households make up the remaining 38.0%, with lone person households at 35.3% and group households comprising 2.7% of the total. The median household size of 2.1 people is smaller than the Regional Vic. average of 2.4.

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

Educational attainment in Otway significantly surpasses broader benchmarks, with 29.9% of residents aged 15+ holding university qualifications compared to 17.2% in the SA3 area and 19.0% in the SA4 region. This substantial educational advantage positions the area strongly for knowledge-based opportunities. Bachelor degrees lead at 19.3%, followed by postgraduate qualifications (6.9%) and graduate diplomas (3.7%). Trade and technical skills feature prominently, with 37.2% of residents aged 15+ holding vocational credentials, including advanced diplomas (12.8%) and certificates (24.4%).

Educational participation is notably high, with 25.8% of residents aged 15+ 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

Public transport analysis reveals 18 active transport stops operating within Otway. These stops are serviced by 2 individual routes, collectively providing 46 weekly passenger trips. Transport accessibility is rated as limited, with residents typically located 1033 meters from the nearest transport stop. As a primarily residential area, most residents commute outward - the car remains the dominant mode at 79%, with 16% walking. Vehicle ownership averages 1.4 per dwelling. A high 25.4% of residents work from home (2021 Census; may reflect COVID-19 conditions).

Service frequency averages 6 trips per day across all routes, equating to approximately 2 weekly trips per individual stop.

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

Otway demonstrates above-average health outcomes, based on AreaSearch's assessment of mortality rates and chronic condition prevalence. Both young and old age cohorts see a low prevalence of common health conditions, though the rate of private health cover is low at approximately 48% of the total population (~1,914 people). This compares to 50.5% across Regional Vic. and a national average of 55.7%.

The most common medical conditions in the area are arthritis and mental health issues, impacting 9.5% and 7.7% of residents, respectively, while 68.5% declared themselves as completely clear of medical ailments compared to 63.4% across Regional Vic. Health outcomes among the working-age population are broadly typical. The area has 28.7% of residents aged 65 and over (1,155 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.

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

Otway was found to be below average in terms of cultural diversity, with 82.8% of its population being citizens, 82.0% born in Australia, and 92.4% speaking English only at home. The main religion in Otway is Christianity, which makes up 34.1% of the population. However, the most apparent overrepresentation was in Judaism, which comprises 0.1% 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 Otway are English, comprising 31.1% of the population, Australian, comprising 23.9% of the population, which is notably lower than the regional average of 29.6%, and Irish, comprising 13.0% of the population. Additionally, there are notable divergences in the representation of certain other ethnic groups: Scottish is notably overrepresented at 10.2% of Otway (vs 8.8% regionally), Dutch at 1.9% (vs 1.7%) and French at 0.7% (vs 0.3%).

Otway ranks among the oldest 10% of areas nationwide

At 51 years, Otway's median age is significantly above the Regional Vic. average of 43 and considerably older than the Australian median of 38. Compared to the Regional Vic. average, the 65 - 74 cohort is notably over-represented (18.3% locally), while 5 - 14 year-olds are under-represented (8.1%). This 65 - 74 concentration is well above the national 9.5%. Post-2021 Census data shows the 35 to 44 age group has grown from 9.8% to 11.7% of the population. Conversely, the 55 to 64 cohort has declined from 19.3% to 17.3% and the 45 to 54 group dropped from 14.3% to 12.6%. By 2041, Otway is expected to see notable shifts in its age composition. Leading the demographic shift, the 25 to 34 group will grow by 23% (94 people), reaching 495 from 400. Meanwhile, population declines are projected for the 5 to 14 and 75 to 84 cohorts.