Melbourne number one for population growth in Australia
According to the latest annual regional population growth figures for 2014-15 financial year, released by the Australian Bureau of Statistics (ABS), the population in Melbourne is flourishing.
As at June 2015, it was estimated approximately 23.7 million persons made up Australia’s total population, whilst 15.8 million of those persons (66.7%) lived within a capital city. The city that was the most populous was Sydney, at almost 5 million people (4,920,940) and closely followed by Melbourne (4,529,496). In third place was Brisbane with an estimated population of 2,308,720, then Perth (2,039,193), Adelaide (1,316,779), Canberra (390,706), Hobart (220,953) and Darwin (142,258).
Sydney is home to 20.7% of Australian residents, and 19% in Melbourne. These two cities alone make up almost 40% of the total Australian population.
In spite of Melbourne ranking as the second most populous capital city in Australia, it has in fact seen the fastest rate of population growth at 2.1% within the past 12 months. Sydney only saw a population growth of 1.7% and both Brisbane and Perth recorded 1.6% growth. Other capital cities recorded lower growth including Canberra (1.4%), Adelaide (0.9%) and Hobart (0.8%). Only Darwin came close to Melbourne’s growth rate with the capital city seeing 1.9% growth.
Even though Melbourne recorded the fastest rate of population growth in the last 12 months, it’s population growth remained in line with its 10-year average growth levels (the same as Hobart), whilst other capital cities recorded below average population growth, spurred on in some cities by the closing down of mines. The only capital city that recorded a population growth above the 10-year average was Sydney.
One of the main reasons that Sydney and Melbourne continue to have high population growth is that they firstly are much larger cities, meaning that the birth rate here is higher. However, both Sydney and Melbourne remain very attractive to interstate and overseas migrants due to better job opportunities and stronger economies and so there continues to be plenty of interstate and overseas migration here.
In the 12 months to June 2015, Melbourne’s population increased by 91,593 persons, compared to Sydney’s 83,309. In percentage terms, Melbourne’s population increase made up 28.9% of the total national population increase and 34.8% of the capital city population increase. In comparison, Sydney’s annual population increase made up 26.3% of the national population increase (just 2.6% less than Melbourne) and 31.7% of the capital city population increase. Both these cities contributed to 55.2% of the total population increase between 2014-15.
However, with increasing levels of growth, both cities will need to deal with the strain that these added persons will have on the economy. Sydney especially has seen significant rises in property values, especially over the last few years, whilst there is the issue of undersupply of property in Sydney that needs to be addressed. Both cities will also need to provide the necessary infrastructure and transport to support the growing population and this is already being seen with a new airport planned in Badgery’s Creek in Sydney’s west as well as new light rail lines within the city.
It is likely that areas further outside these capital cities will see more growth in the years to come, to appeal to those looking for a more affordable lifestyle.
It’s no surprise that Melbourne’s population is growing so fast though, having been named the world’s most liveable city for the fifth year running by the Economist Intelligence Unit’s Liveability Survey. The city has excellent job prospects, as well as being known as the sporting capital, fashion capital as well as coffee and culture capital of Australia. Even overseas migrants agree, with a large number of Chinese flocking here every year.
And with Melbourne to become the largest capital city in Australia by 2050 (estimated 8 million by 2050), more than 1 million new homes are required so the oversupply of apartments that parts of Melbourne is currently seeing shouldn’t be too big of a worry if you are looking to hold on to the property for the long term.
With land space becoming more of an issue, it is also thought that more residents will be turning to apartment living and medium density living to benefit from convenience. Melbourne could even turn into a city of mini cities with each neighbourhood having all the essential amenities for day to day living.
To learn more about why Melbourne is such a great city to live in and where you should be buying a property today, why not contact the helpful team at iBuyNew. Our property Consultants will be able to pinpoint areas of growth and what suburbs you should be concentrating on. Call us today on 1300 123 463.
Published on 27th of April 2016 by Marty Stanowich