Kyneton is leading a local real estate price boom, recording regional Victoria's largest capital growth for the past five years.
The latest data from the Real Estate Institute of Victoria shows Kyneton's median house price rose 39 per cent during the past five-year period to a median of $466,000 in September 2015, up from $335,500 in September 2010.
House prices in Gisborne have had a slower but steady increase, rising 25 per cent during the five-year period to a median house price of $587,500 in September 2015, up from a median of $470,000 in September 2010.
Woodend saw nine per cent growth in median house prices across the same period. The town had a median house price of $587,500 in September 2015, up from $538,500 in September 2010.
Helen Jens, director of PRDnationwide Kyneton, said while Gisborne and Woodend had experienced their growth about 12 years ago, Kyneton was now catching up.
"Money magazine recently put Kyneton as number one, Gisborne as number two and Woodend as number three for investment in regional Victoria," Ms Jens said.
"It really is becoming the talk of the real estate world."
Tom May, director of Jellis Craig Macedon Ranges, which purchased Stockdale and Leggo Real Estate in Woodend last year and just last week acquired McColl Property, Kyneton, said agents were seeing a lot of investor interest in the area.
"Investors in the Macedon Ranges are becoming more sophisticated," he said.
"The investors are seeing Kyneton in particular and also Woodend as safe investments, because you're getting four to five per cent return on your investment and well-documented capital growth, whereas in Melbourne, the oversupply of apartments is also well documented and the yields are closer to two to three per cent.
"The Macedon Ranges is a very viable alternative and very safe. Fifteen years ago it was considered a very poor investment strategy, now it's considered a wise investment.
"And it's affordable. It mightn't seem it to the local people, but you've got people selling up in Melbourne and they're able to buy in Kyneton where you can get a really good period home on 700 square metres of land, so it's obvious why people are doing it and it will continue to happen while we have Melbourne's lack of affordability."
Mr May said data showed 30 per cent of people living in Kyneton commute to Melbourne for work, and 60 per cent in Woodend.
"So you're seeing a lot of very skilled people moving up and you're seeing very diverse, interesting businesses which is great."
What the agents have to say ...
Sandi Barry-Mueller, Keating's Real Estate, Woodend
It is exciting times in the world of real estate in the Macedon Ranges. Stunning villages and towns, farmers markets, café culture, epicure, fast trains, heated pools, great schools…my goodness the list goes on.
There are so many interesting people moving into the area blending with the local heart and soul. We know why it is so popular, so close to Melbourne and such good value for money relative to the metropolitan area.
It's all about lifestyle!
Helen Jens, director, PRDnationwide Kyneton
My view is that it will continue to grow.
I think the number of properties that have been sold are evidence of this increasing interest.
Period homes are at a premium.
I think if people are thinking about maybe selling, now is the perfect time to do it. There are a lot of interested buyers around.
Ken Grech, director, Raine and Horne Macedon Ranges
The area is developing very quickly and the Melbourne market is recognising our towns, our area. It has become very popular.
We've got good freeways to access into Melbourne, good train lines, a lot of those aspects are appealing.
And because people work from home a lot these days, they don't actually have to go into Melbourne every day. So they have a great lifestyle in the country and can still get to Melbourne two or three days a week.
Rick Lander, director, RT Edgar Macedon Ranges
People have woken up to the Macedon Ranges on two counts. The first count is how accessible we are to Melbourne and the airport, whether it be by road or rail.
From anywhere in the Macedon Ranges you can be in the city in just over an hour, and some of it's 30 minutes to an hour. Compared to people out on the South Eastern for an hour and a half to two hours, it's a relatively easy trip into the city.
If you look at your northern suburbs through to your western suburbs, for the younger couple they're coming up here and buying something for under $600,000 where in that area down there it would be $900,000-plus.
And compared to areas a similar distance out from Melbourne - the Mornington Peninsula, the Yarra Valley or the Bellarine Peninsula - we are incredibly inexpensive.
The Macedon Ranges has beautiful communities and that's what people come up here for - it's the essence of community.