It shares its postcode (3197) with Patterson Lakes, and is surrounded by Seaford to the south, Carrum Downs inland to the east, and Chelsea to the north.
The suburb has its own train station and retail hub around Station Street.
According to the REIV, Carrum’s median house price for the year ended December 31, 2007, is $379,000, up 14 per cent since last year.
Values in Patterson Lakes over the same period increased 7.7 per cent to $499,950 while in Carrum Downs, median values increased 7.3 per cent to $257,500.
By comparison, median values increased 12.6 per cent for homes in metropolitan Melbourne, to $425,000.
The REIV annualised median figures are considered more statistically reliable than the quarterly figures released throughout the year, because they include a much greater sample of sold properties.