Inverloch is a small seaside village located well over one hundred kilometres away from the capital city of Melbourne. It is considered to be a quaint and quiet town; having a population of only approximately four thousand inhabitants (as of 2011). Inverloch was first officially settled in 1883 and for years it enjoyed the role of being involved in the maritime transportation of coal to other locations throughout Victoria. When the coal trade was supplicated by internal rail service, Inverloch had begun to rise in popularity as a summer destination for those wishing to escape the confines of the city of Melbourne.
This tourism function has continued to the present day. Windsurfing, kite surfing and water skiing all popular sports that are hosted in this location. There are also a number of natural habitats which can be visited. Due to a temperate climate that is further moderated by the warm ocean waters, tourists can enjoy Inverloch throughout the year. As such, the economy of this small town is mainly tourist-driven. In recent years, a number of small hotels and pubs have sprung up with the intention of accommodating visitors to the area. In addition to these properties, caravan parks and campgrounds can both be found nearby. In 2005, an ecologically-friendly village was also constructed not far from the centre of Inverloch.
Due to the rather limited housing currently available, Inverloch is primarily considered to be a location that is defined more by tourism and the hospitality sector as opposed to individual residences. Thus, the real estate market will instead revolve around the hotel and motel industry. As a greater number of people from Melbourne and the surrounding areas continue to seek accommodation outside of the major urban centres, it can be expected that Inverloch will remain quite popular as a tourist and holiday destination into the foreseeable future.