Flash flooding has left a number of people stranded at Shepparton, in the state's north.
The weather bureau says the city received 60 millimetres of rain, but there have been reports of isolated falls of up to 150 millimetres.
An aged care facility was evacuated after being flooded and the State Emergency Service (SES) was called to rescue 7 people trapped in cars that had driven through floodwaters.
Shepparton resident David Schier says houses near the Goulburn Valley Base Hospital are surrounded by a half a metre of water.
He says people cannot get out for work and children have been kept home from school.
The SES fielded more than 100 calls for help after 85 millimetres of rain fell at Mount Hotham, 75mm at Mount Buller and 60mm at Shepparton.