Vukovic signed a three-year deal before the start of the 2015-2016 A-League season, however the club agreed to release the 31-year-old this week on personal grounds.
"This was a very difficult decision for me to make, because I thoroughly enjoyed the time I had at Melbourne Victory last season," Vukovic said.
"I am grateful for the opportunity to represent Victory and I would like to thank everyone at the club and the fans, who have given me unbelievable support.
"Last season was very difficult off the field for me and my family, and the best decision for us at this time is to be closer to our extended family in Sydney.
"I wish Kevin and the players all the best for the upcoming season."
Vukovic made 30 appearances for Victory, 23 in the A-League, four in the FFA Cup and three in the AFC Champions League, and kept nine clean sheets.
Melbourne Victory thanked Vukovic for his contribution to the club and wishes him and his family well for the future.