First-home buyer activity levels and entry points hold steady in Dandenong

First-home buyer searches in Dandenong rose 12 percent in the six weeks to 30 June compared with the same period last year, according to records from the Dandenong Real Estate Association.

The increase arrives as entry-level stock remains limited and median asking prices for two-bedroom units sit at $595,000. Local buyers now compete with a smaller pool of interstate investors who have pulled back after earlier rate rises.

Activity concentrated along Stud Road and near Dandenong Market

Units in the 400 block of Stud Road and townhouses off Clow Street continue to attract the highest volume of first-home enquiries. The Dandenong Community Housing office on Foster Street has also fielded more calls from buyers checking eligibility for shared-equity schemes tied to the local council program launched in March.

Agents at the Dandenong branch of LJ Hooker say they have conducted 47 inspections for properties priced below $620,000 since 1 May, up from 31 in the corresponding weeks of 2025. Three contracts exchanged last week on two-bedroom units in the $565,000 to $585,000 range, all to local couples using the state’s first-home owner grant top-up.

Next steps for buyers watching entry points

Buyers who secure pre-approval before the end of July will still access the current grant structure, which expires on 31 August. Properties listed on the western side of Princes Highway near Dandenong Plaza show the tightest price bands for entry-level stock at present.

Prospective purchasers should check auction clearance rates at the next scheduled sales on 15 July and 22 July, when six entry-level lots are due to go under the hammer. Early inspection bookings remain essential given the narrow window of available stock under the $650,000 mark.

This article is general information only and is not personal financial or investment advice. Consider your own circumstances and seek licensed professional advice before making financial decisions.