Why Watsons Reach in Diggers Rest is a smart long-term investment.

Watsons Reach sits in one of Melbourne’s fastest growing corridors. Over the last five years, Diggers Rest has more than doubled in population — and the area is projected to continue growing rapidly through to 2051. That population growth is backed by rising employment and expanding infrastructure, making it much more than a fringe suburb ripple.

With median house prices still relatively affordable (A$650,000) and gross rental yields around 4.2%, Diggers Reach delivers an attractive balance of yield and long-term capital growth potential.

The suburb offers connectivity via both rail (Sunbury line) and freeway, yet still retains a sense of space, greenery and community — ideal for families and young professionals. Local amenities (schools, shops, recreation reserves) are increasingly established.

As Diggers Rest morphs from an outer-fringe growth area into a well-connected, community focused suburb, Watsons Reach represents the opportunity to get in early.

  • Market Performance and Capital Growth

    Rental Yield and Demand

    Demographics

  • +18%

    5 Year House Price Growth (Source: REA)

    $520

    Median Weekly Rent for Houses 
(Source: REA & Core Logic)

    5,669

    Diggers Rest Population (Source: Core Logic) 
105% increase over 5 years

  • $667,500

    Median House Price (Source: REA)

    4.2%

    Gross Rental Yield – Houses 
(Source: Core Logic)

    30-39

    Median Age (Source: Melton City Council)

  • 29 Days

    Days on Market (Source: REA)

    +30%

    Median Weekly House Rent Growth
(Source: REA)

    Families

    Median Weekly House Rent Growth
(Source: REA)

  • 168 Sold

    Volume of House Sales – Past 12 Months
(Source: REA)

Employment and Local Economy
Key Industries

Health care & social assistance; construction; transport, postal & warehousing (notably strong).

 

Infrastructure and Development

As infrastructure, amenities and community services ramp up with development, Diggers Rest (and thus Watsons Reach) is likely to remain attractive — especially to families and long-term residents. Growth projections suggest long-term upside as the suburb evolves from fringe to established.

Transport

Diggers Rest benefits from a railway station on the Sunbury line, providing a direct rail link to Melbourne’s CBD. It is also well-connected by road including via the Calder Freeway — offering convenience for commuters.

Local Amenities

Diggers Rest supports essential services — including a supermarket, convenience shops, a primary school, local recreation reserves/parks, and community facilities.

Community and Lifestyle

The area is described as combining a semi-rural/green-space feel with suburban convenience — appealing to families wanting space, affordability, and lifestyle.