Australians looking to purchase property in some of the most desirable suburbs could save over $1 million if they extend the search to neighbouring suburbs.

The biggest differences between two adjacent suburbs were found in Melbourne's east and Sydney's south, where house prices tended to be significantly cheaper further down the train line.

Buyers could save $1.2 million in Caulfield, Melbourne compared with the next-closest stop to the city, Malvern, based on median house prices in the two suburbs.

A typical house in Malvern would set buyers back $2.99 million, while in Caulfield it costs $1.87 million.

Real estate agent and Gary Peer director Leon Gouzenfiter said the steep price difference was likely due to buyers being willing to pay more for Malvern's perceived prestige.

“It doe

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