Tourism Boom on the Mornington Peninsula: What It Means for Downsizers and Local Homeowners

We all know the Mornington Peninsula is a popular place for a day out or a weekend away. But the numbers behind that steady stream of visitors might surprise you – and they have real implications if you’re thinking about downsizing, selling, or buying locally.

In 2024, the Mornington Peninsula tourism region welcomed around 7.9 million visitors, making it one of regional Victoria’s top destinations. Mornington Peninsula Shire+1

Tourism and the wider visitor economy contribute roughly $1.8 billion a year, supporting over 3,900 tourism-related businesses and more than 13,500 jobs across the region. MPNEWS+1

That activity shapes our local property market, amenities and lifestyle – all the things that matter most to downsizers like Diane and Peter.

What Is the Visitor Economy Partnership – In Plain English?

To help guide this growth, local and state stakeholders have created the Mornington Peninsula Visitor Economy Partnership (VEP) – a formal collaboration between:

• Mornington Peninsula Shire
• Visit Victoria
• Mornington Peninsula Regional Tourism (MPRT) Mornington Peninsula Shire+2Visit Mornington Peninsula+2

The idea is simple:

• Secure ongoing State Government funding for tourism
• Coordinate marketing, infrastructure planning and destination management
• Make sure visitor growth is sustainable – supporting local jobs and businesses without wrecking the lifestyle residents love

Alongside the VEP, there’s also a Destination Management Plan – essentially a shared roadmap for what tourism on the Peninsula should look and feel like over the coming decade. Mornington Peninsula Tourism+1

How Tourism Growth Flows Through to Local Property Owners

So what does all this mean for your Mornington Peninsula home?

1. A Stronger, More Diverse Local Economy

Tourism is a major economic driver for the region, alongside healthcare, construction and retail. Mornington Peninsula Tourism+1

For local homeowners, a steady visitor economy can:

• Support a wider range of cafés, restaurants, shops and services
• Help keep local businesses viable through the quieter months
• Create more employment options for your children and grandchildren

A town that’s busy, well-loved and economically healthy tends to be more appealing to buyers.

2. Better Amenities and Public Spaces

As the Mornington Peninsula continues to attract millions of visitors each year, there is more pressure – and more justification – to invest in:

• Walking paths and foreshore upgrades
• Parking, signage and public facilities
• Public transport links and road improvements

These upgrades aren’t just for tourists. They benefit local residents every day, especially downsizers who want to walk to shops, enjoy the beach and access medical services without driving everywhere.

3. Consistent Demand for Lifestyle Property

Regions with a strong visitor profile often have:

• More interest from lifestyle buyers (sea-changers, holiday-home buyers)
• Ongoing demand from investors (including those looking at long-term rentals or compliant short-stays)
• A solid base of local buyers trading up or down within the area

That doesn’t mean prices always go up – markets still cycle – but being in a high-profile coastal destination like the Mornington Peninsula generally helps support long-term demand.

Opportunities for Downsizers – Cashing In Without Moving Away

If you’ve lived in your 5-bedroom family home in Mornington, Mount Eliza or Mount Martha for decades, the visitor economy can quietly work in your favour.

Sell the Big Home, Stay Local

High demand for well-located family homes means you may be able to:

• Sell your large, maintenance-heavy property at a strong price
• Buy a smaller, single-level townhouse, villa or unit in the same suburb or nearby
• Free up cash to top up retirement savings or fund travel – including your own Peninsula “mini breaks”

Choose a Lifestyle That Works for the Next 20 Years

As you downsize, think about:

• Walkability – Can you walk to doctors, chemists, supermarkets and cafés?
• Transport – Is there a bus stop nearby for when driving becomes less appealing?
• Noise and crowds – How busy does the street get during summer or long weekends?

Tourism might encourage the opening of that new café or medical clinic you’ll love, but you’ll also want to pick a spot where the peak season energy matches your temperament.

But What About Crowds, Traffic and Short-Stays?

It’s not all upside. Many locals worry about:

• Traffic congestion on peak summer days
• Parking pressure near beaches and shopping strips
• The impact of short-stay accommodation on neighbourhood feel

The good news is that the Visitor Economy Partnership and Destination Management Plan are specifically designed to deal with that tension – growing visitor numbers while protecting resident amenity and the Peninsula’s natural character. Mornington Peninsula Tourism+2MPNEWS+2

As a downsizer choosing your next home, it helps to ask:

• “What is this street like on a hot January weekend?”
• “Are there many holiday rentals nearby?”
• “Where will my visitors park if the family drops in over summer?”

A local agent who actually lives and works here can talk honestly about which pockets feel peaceful year-round, and which are more “holiday hot spots”.

Timing Your Move: Sell Now, Soon, or Later?

Deciding when to downsize is never just about the market. It’s about you.

Here are a few questions to consider:

1. Energy and health
• Will it be easier to pack, declutter and move now, or in another five to ten years?
2. Your current home
• Are the gardens, stairs and maintenance already feeling like too much?
• Are you spending more time managing the home than enjoying it?
3. Market and visitor trends
• The Mornington Peninsula’s visitor economy has been strong, and the VEP aims to keep it that way. MPNEWS+1
• That doesn’t guarantee price rises, but it does suggest continuing interest in the region from buyers and investors.

Sometimes the question isn’t “Should I wait for the market to go higher?” but “How many more summers do I want to spend maintaining this big house, instead of enjoying an easier lifestyle nearby?”

How a Local Downsizing Specialist Can Help You Read the Market

For downsizers like Diane and Peter, statistics are useful – but they’re not the whole story. You want to know:

• What are homes like mine actually selling for?
• Who is buying in my suburb right now – families, retirees, investors?
• If I sell, what can I realistically buy nearby that suits my next stage of life?

A local, downsizer-focused agent can help you:

• Understand suburb-level trends (not just Peninsula-wide averages)
• Compare “sell now vs sell later” scenarios based on your specific property
• Map out a step-by-step downsizing plan that includes timing, presentation, and finding your next home

Most importantly, they can translate all this talk about “visitor economy” into a clear picture of what it means for your street, your home and your next move.

And if you’d like personalised advice on buying or selling on the Mornington Peninsula, get in touch with one of our friendly team members at McNeill Real Estate. We’re here to help you buy smarter and move with confidence.

Disclaimer: The contents of this blog do not constitute legal advice, are not intended to be a substitute for legal advice and should not be relied upon as such. You should seek legal advice or other professional advice in relation to any particular matters you or your organisation may have.