Kensington scores 8.0/10 — one of Melbourne’s most compelling emerging suburbs. The Arden urban renewal precinct (Metro Tunnel Arden Station open 2025) and accessible entry prices combine to make this a high-conviction buy in 2026.
Kensington Investment Snapshot
| Metric | Houses | Units |
|---|---|---|
| Median Price | $1.18M | $545k |
| Gross Yield | 2.9% | 4.4% |
| 5-Year Growth | +41% | +27% |
| Vacancy Rate | 1.3% | 1.7% |
| Auction Clearance | 76% | 70% |
Why 8.0/10?
- Arden Station — 8 minutes to Melbourne CBD via Metro Tunnel
- 15,000+ new dwellings planned, $10B+ public and private investment in the precinct
- Units at 4.4% gross yield — strong for inner Melbourne
- Vacancy at 1.3% — lowest in the inner-west corridor
Risks
- Construction disruption from Arden development until 2032
- New unit supply from Arden could temporarily soften unit prices
Access off-market opportunities in Kensington: collings.com.au/portal
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