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Capel Sound vs Castlemaine

Property investment comparison - Capel Sound, VIC 3940 vs Castlemaine, VIC 3450

Head-to-head across core investment metrics: Capel Sound wins 2, Castlemaine wins 3. The better choice depends on whether you're optimising for cash flow, growth, affordability, or liquidity, the table below highlights the winner on each metric.

MetricCapel SoundCastlemaine
Median house price$745K$745K
Median unit price$640K$570K
Gross rental yield (houses)4.00%-
Gross rental yield (units)4.53%3.66%
1-year house growth-2.7%+2.0%
3-year house growth+0.9%-1.0%
Vacancy rate1.7%0.8%
Population5,2467,506

Capel Sound vs Castlemaine: what the numbers say

Houses cost about the same in both suburbs: the median house price is $745K in Capel Sound and $745K in Castlemaine.

For units, Capel Sound sits at a median of $640K against $570K in Castlemaine, which makes Castlemaine the more affordable unit market and Capel Sound the pricier one.

Over the past year house prices moved -2.7% in Capel Sound and +2.0% in Castlemaine, so recent momentum favours Castlemaine, while Capel Sound went backwards.

Looking back three years, Capel Sound houses are +0.9% and Castlemaine houses -1.0%, so Capel Sound has compounded faster than Castlemaine over the longer window.

Rental vacancy is 0.8% in Castlemaine and 1.7% in Capel Sound, so landlords in Castlemaine face less competition for tenants. Anything under 2% is generally read as a tight market where tenants compete for homes.

Castlemaine is the bigger suburb, with a population of 7,506 against 5,246, larger than Capel Sound; a larger suburb usually means a deeper pool of buyers and tenants.

In short: Castlemaine for recent price momentum, Castlemaine for the tighter rental market. Which matters more depends on whether the investor is buying for cash flow, capital growth or affordability.

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