What are the 10 most affordable places to live in Australia?

Updated: 06 June 2024

Property prices in Australia maintains its upward trajectory as homebuyers continue to struggle. This, along with the increasing cost of living in major cities, has made it impossible for the average Australian to have a house that they can call their own.

On top of that, the country’s property market continues to experience a shortage of supply. There are not enough homes being built to meet the ballooning population's demand. And even though it is getting more expensive to borrow money to buy a home, this was also insufficient to slow down the increase in housing prices.

While most are still feeling the effects of Australia’s housing crunch, there is still hope especially if you do not mind living in a smaller town. In fact, there are still a few locations with a median house price under $400,000—in addition to their beautiful sceneries, friendly neighbourhoods, and tourist spots. In this article, Mortgage Professional lists the most affordable places to live in Australia.

If you have clients that are struggling to find properties to live in, share this with them! They might find their dream homes in any of these cheap but great locations.

What are some of the most affordable places to live in Australia?

We have listed 10 locations in Australia where the property prices are affordable as well as the rental fees for those who are not looking for houses to buy. The cost of living is also cheap in these places:

1. Coober Pedy, South Australia

Median property price: $120,000
Average rental price: $180 per week

First on our list is Coober Pedy, located near Stuart Highway, a major Australian highway in South Australia. There are numerous minerals found in this town, particularly opal. Because of this, Cooper Pedy is known as the opal capital of the world.

Situated between Adelaide and Alice Springs, Coober Pedy is also a popular tourist destination thanks to its unique residential structures called “dugouts.” These are caves built within the hillsides where many locals reside to escape the extremely hot summers due to the desert climate.

One downside of this town is that the locals find it hard to cultivate plant life. The area gets very little rain. Water is also expensive, restricting its residents from watering their greeneries with ease. The soil in the region is also not suitable for growing plants. As a result, there is not much vegetation nor trees visible around the town.

Still, Coober Pedy is worth checking out. The cost of living in this town is relatively low, and as a bonus, it is known to be a tight-knit community.

Watch this short video to know more about Coober Pedy being Australia’s hidden underground town:

2. Peterborough, South Australia

Median property price: $150,000
Average rental price: $280 per week

Coming in to take the second spot is Peterborough. It is near Barrier Highway in South Australia. Peterborough is an affordable country town with about half of the population coming from different parts of the world. This creates a diverse but close-knit neighbourhood.

If you like travelling and moving to places, Peterborough is the place to be. This town is famous for its railways used by commuters and tourists alike.

Interesting fact: Peterborough is formerly known as Petersburg. It was one of the many Australian communities renamed in 1917 after the First World War.

3. Tara, Queensland

Median property price: $167,500
Average rental price: $250 per week

Popular for cattle and sheep grazing, Tara is a rural town in the Western Downs Region of Queensland, Australia. Tara’s house market prices are suitable for first time homebuyers who want to thrift but still experience a high-quality of living. This town has a lot of top-rate schools and medical facilities.

Tara is also known for being a great tourist destination in the country. There are tons of outdoor activities that can be enjoyed by residents and tourists alike. Some of the beautiful parks and visitor attractions in Tara are:

• Tara Memorial Hall
• Walk of Remembrance Gardens
• Grevillea Park
• Tara Lagoon
• Settlers Park

Check out this informative video about Jim, a local resident in Tara, and newcomers Dan and Rachael on why Tara is a great place to live in:

4. Charleville, Queensland

Median property price: $169,000
Average rental price: $272 per week

Another rural town with a median property price closely following Tara is Charleville. This town is located within the Shire of Murweh, a local government area in the Maranoa district, in the state of Queensland, Australia. Charleville is an eight-hour drive from Brisbane.

It also has various community facilities, such as a swimming pool, bowling green, speedway, racing track, and the Gowrie sports oval. Other landmarks include:

• All Saints Anglican Church
• Bluecare Community Centre
• The Charleville Golf Cours
• The Charleville Bowls Club
• The Charleville branch of the Queensland Country Women's Association
• VMC, a marine weather transmitter operated by the Bureau of Meteorology

5. Port Pirie West, South Australia

Median property price: $172,500
Average rental price: $310 per week

Next is Port Pirie West in in the Mid North region of South Australia. This suburb of Port Pirie city is referred to as the “city of friendly people.”

Port Pirie West offers its residents and visitors picturesque natural surroundings and quiet neighbourhoods. This town offers potential homebuyers and renters a relaxed lifestyle. It is a safe, friendly, and above all, an inexpensive community to live in.

Watch this video to see the top five best tourist places to visit in Port Pirie city:

6. Queenstown, Tasmania

Median property price: $185,000
Average rental price: $300 per week

The sixth on our list is Queenstown, a town in the western part of Tasmania. This place is in West Coast Range’s Mount Owen, within a valley on the west side of the mountain.

Queenstown offers great weather if you enjoy the cold climate. In fact, the town gets the highest level of rain in all Tasmania. Summers in this town are cool to mild, while the winters are extra chilly. The winters are also often cloudy and overcast.

Queenstown is also a mining town where copper is the most abundant mineral.

7. Rangeway, Western Australia

Median property price: $205,000
Average rental price: $350 per week

Rangeway is another affordable place to live Down Under. It is a suburb located in Geraldton, Western Australia. Its local government area is the City of Greater Geraldton. This suburb offers great schools, hospitals and amenities.

Rangeway is also a popular destination for anyone who loves the beach. There are many beaches in proximity such as:

• Geraldton Beach
• Pages Beach
• Greys Beach
• Tarcoola Beach
• Town Beach

8. Coonamble, New South Wales

Median property price: $215,000
Average rental price: $200 per week

Coonamble is a town located in Castlereagh Highway, a state highway in New South Wales extending to Queensland, Australia. This area is known for sheep rearing and wool production, and a hub for wheat growing. Numerous country pubs are also available around this town. One can easily find several art deco buildings in Coonamble as well.

It is also home to the biggest campcraft and rodeo in Australia. An annual rodeo is held in Coonamble every year where approximately 1,000 competitors and 4,000 spectators gather.

9. Casterton, Victoria

Median property price: $290,000
Average rental price: -

Next is Casterton, a town located on Glenelg Highway, a Southeastern rural highway in Victoria, Australia. Casterton is famous for the Glenelg River that passes through it and for being the birthplace of the Kelpie, an Australian dog breed. It also offers several attractions such as the Australian Kelpie centre and the Island Park for both tourists and locals alike.

Some notable individuals who resided in Casterton include:

• Murray Matheson, an actor
• Thomas George Cue, a gold prospector
• Barry Gill, an Australian Rules football player
• Max Rooke, another Australian Rules football player
• Dame Mary Gilmore, a writer and political activist
• William Macmahon Ball, a diplomat and academic

10. Manunda, Queensland

Median property price: $386,000
Average rental price: $470 per week

Last on this list is the priciest among the ten but still affordable: Manunda. It is located in the city of Cairns in Queensland, Australia.

Manunda is divided between the northern part with amenities like sports grounds and parks while the southern part is predominantly residential. This is a popular community among young families, offering top daycare centres and schools.

All numerical figures used in this article are from realestate.com.au.

Other affordable suburbs to live in Australia

Here are other suburbs that offer cheap prices for property in Australia:

Is it worth living in one of the most affordable places in Australia?

Australia is an expensive country to live in. Some residents struggle to make ends meet due to high cost of living particularly near commercial centres and populous cities. Even foreign nationals who are seeking citizenship in the country find it hard to search for properties because of the skyrocketing house prices and rental fees.

However, choosing to live in any of the locations listed above will give you the upper hand. Not only are the properties more affordable, but usual expenses like groceries, utilities, and transportation are generally lower in these towns and suburbs. For renters, this allows them to stretch their incomes further and save for bigger spendings like an initial deposit for a mortgage loan.

Another perk is that these places have a more relaxed, small-town vibe compared to the hustle and bustle of the big cities. As such, it can provide a better work-life balance and a higher quality of life for residents.

Living in any of these cheap places is worth it due to these factors and more. Still, you can always explore other affordable areas in Australia that will suit your lifestyle.

Would you recommend any of the most affordable places to live in Australia to your clients? Let us know in the comments section