Geelong home prices hold firm as affordability shields market from cost of living crisis

Relative affordability, proximity to Melbourne and enviable lifestyle opportunities continue to fan housing demand in Geelong. Photo: iStock In a year where war, petrol prices and interest rates are feeding a cost of living crisis, real estate experts say Geelong’s relative affordability is the key reason for resilience in the property market. A PropTrack economist said the city’s real estate market hit a new price peak in early 2026 as home prices regained the ground loss in a deep, post-Covid market correction. REA Group senior economic analyst Megan Lieu said relative affordability is the main growth driver in resilient markets across the nation. RELATED: Buyers slash more than $60K off sale price of ‘rough’ Norlane house Geelong’s top suburbs where homes are selling the fastest New Vic Premier Ben Carroll’s housing warning “A lot of affordable areas tend to be more resilient when there are interest rate hikes and there’s a little more uncertainty in the market,” Ms Lieu said. “There’s a large share of buyers that gravitate towards those markets. The addition competition for homes is a factor why regional areas have performed better in correction phases than capital city markets...