Australian property prices have hit a new record high, but there are hundreds of suburbs and towns around the country with affordable homes and good employment prospects.
PropTrack sales data has revealed the cheapest regional towns in each state where home buyers can purchase a property for a fraction of the cost of a home in a capital city, and still have good chances of finding a job.
While the absolute cheapest places to buy a property in Australia tend to be in smaller towns located further from major centres of employment, there are many suburbs dotted across the country with diverse local economies, sizeable populations, and affordable property prices too.
PropTrack senior economist Angus Moore said regional towns and cities with strong local economies can not only provide residents with good employment prospects, but can also be better placed to weather boom and bust cycles than towns dominated by a single industry such as mining.
“A more diverse economy means you’re more likely to match the skills you have with the jobs available,” he said.
“One-industry towns can be very well remunerated, as parts of northern Western Australia have demonstrated. But the risk is that these industries can be very cyclical.”
“Mining and agriculture are both very driven by global market conditions, and in the case of agriculture, climate. Those things can impact those industries in ways that wouldn’t affect a diverse economy as much.”
Mr Moore said larger towns can potentially provide better employment prospects than smaller towns, as large populations allow more opportunities for businesses and workers to specialise.
“For example, a 10,000-person town can support a number of different very niche restaurants in a way that a 100-person town isn’t able to,” he said.
This three-bedroom house in Glen Innes in northern NSW sold late last year for $405,000. Picture: realestate.com.au/sold
Larger towns with more diverse employment options can also create job opportunities for people looking to live regionally who can’t work remotely, such as teachers or health care and retail workers. These key industries also tend to employ the most people in larger regional towns.
The most affordable regional towns with good job prospects
We’ve compiled a list of the five most affordable regional suburbs or towns in each state where home buyers can take advantage of a strong jobs market or access a diverse local economy.
To make the list, suburbs had to meet four criteria: affordable property prices, a population of more than 5,000, a relatively low unemployment rate and a local economy not dominated by just one industry.
Most of the towns on the list have a median sale price of less than $400,000, and mortgage repayments of less than $500 per week, which is cheaper than the median capital city rent.
In most cases that budget affords a freestanding house, but in some towns, particularly in Victoria, buyers with a tight budget may need to restrict their search to units, which tend to be more affordable.
Jump ahead to:
New South Wales
The median value of a home in regional NSW is $712,000 according to the latest PropTrack Home Price Index, but there are plenty of towns where buyers can snap up a property for less than half that figure, mostly in the state’s west and northwest.
Suburb / town | Region (SA4) | Median sale price | Property type | Weekly mortgage repayment |
Condobolin | Central West | $255,000 | House | $305.44 |
Coonabarabran | Far West and Orana | $257,500 | House | $308.44 |
Moree | New England and North West | $290,000 | House | $347.37 |
Wentworth | Murray | $300,000 | House | $359.34 |
Glen Innes | New England and North West | $335,000 | House | $401.27 |
Condobolin in the Central West has a median house price of $255,000, meaning repayments on a home loan would set buyers back a little over $300 per week.
The town and surrounds has a population of just over 6,000 according to the most recent census, and while agriculture is the main industry, healthcare, education, retail, manufacturing, as well as the Lachlan Shire council are all major employers.
Homes are just slightly more expensive in Coonabarabran ($257,000), which is home to about 8,000 people and has a similar employment profile to Condobolin.
Farming, retail, healthcare and education are major employers in Wentworth ($300,000) and Glen Innes ($335,000), while Moree ($290,000) has less of an agriculture focus and a larger construction industry.
Wentworth in NSW is primarily an agricultural town, but its size also supports jobs in other industries. Picture: Getty
Real estate agent Matthew Velcich of Country Wide Property said Glen Innes was a very friendly town, and most people who moved there were relocating from coastal regions and seeking a tree change.
“They generally come for the better weather,” he said. “Summer temperatures are less than 30 degrees most days.”
The employment prospects were good, Mr Velcich said, with plenty of jobs available in hospitality.
“I’ve got a few businesses and I’m constantly looking for workers,” he said.
Victoria
While there are plenty of towns in Victoria where properties are affordable, buyers may need to focus on units to find the cheapest homes with the lowest mortgage repayments.
Suburb / town | Region (SA4) | Median sale price | Property type | Weekly mortgage repayment |
Mildura | North West | $301,250 | Unit | $360.84 |
Sale | Latrobe – Gippsland | $315,000 | Unit | $377.31 |
Swan Hill | North West | $320,000 | Unit | $383.30 |
Benalla | Hume | $323,500 | Unit | $387.49 |
Traralgon | Latrobe – Gippsland | $327,500 | Unit | $392.28 |
Mildura has a median unit price of $301,250, and being a large regional town home to about 35,000 people, the biggest employers are healthcare, retail, education, construction and accommodation and food services.
Life in Mildura revolves around the Murray River, with the regional city often referred to as an oasis. Picture: Getty
“The best thing about Mildura is it’s the perfect river change,” said One Agency Mildura director Mark Thornton. “The climate is as good as you’re going to get. It’s hot, but it’s a dry heat so it’s not too muggy.”
“We’re essentially an agricultural area, and there’s lots of citrus farms and grape growing, so there’s a lot of work in those industries. Hospitality is big because we’ve got some amazing restaurants and cafes.”
Mr Thornton said Mildura’s affordable prices meant home ownership was much more accessible to young people than in the capitals.
“For us, buying your first home when you’re 19 or 20 is not out of reach and a lot of people do it,” he said.
Swan Hill, further up the Murray River, is smaller than Mildura but has a larger manufacturing industry, and a median unit price of $320,000.
Healthcare and retail are major employers in Sale ($315,000) and Traralgon ($327,500) in the Gippsland region, about two hours east of Melbourne, while Benalla ($323,500) has plenty of jobs in manufacturing and construction.
Queensland
Despite Queensland having one of the strongest performing regional property markets over the past few years, there are many towns that have affordable property prices and offer good job prospects.
Suburb / town | Region (SA4) | Median sale price | Property type | Weekly mortgage repayment |
Emerald | Central Queensland | $192,500 | Unit | $230.58 |
Hermit Park | Townsville | $205,000 | Unit | $245.55 |
Charters Towers City | Townsville | $212,500 | House | $254.54 |
Chinchilla | Maranoa | $225,000 | Unit | $269.51 |
Ayr | Townsville | $225,000 | House | $269.51 |
Emerald, about three hours west of Rockhampton has a median unit price of just $192,500, making it the second cheapest town on the list. It has a population of about 14,000 and is in the seat of the Central Highlands Region council, which is also a big employer.
While coal mining and agriculture are major local industries, most jobs are in retail, healthcare and accommodation and food services.
Three suburbs in the Townsville region — Charters Towers, Ayr and Hermit Park, which is part of Townsville itself — have affordable homes for sale, with median prices under $225,000.
Charters Towers boomed in the 1800s after gold was discovered, and while gold mining is still undertaken directly beneath the town, education is now the major employer, and the town is known for several boarding schools that take in students from across the country.
Local real estate agent Julia Fraser of Towers Property & Co said people who moved to Charters Towers were drawn to the region’s lifestyle, warm climate and job opportunities.
“In the last 18 months to two years we’ve have a real influx of people moving to Charters Towers, and that’s from everywhere,” she said.
“We do have the luxury of not just having just one sector or industry that keeps us afloat.”
Properties at the affordable end of the market tend to be older Queenslanders or mining cottages, Ms Fraser said, while more modern brick homes sell for between $400,000 and $600,000.
“Those homes sell pretty quickly because they’re appealing to people who want something new and modern,” she said.
In Hermit Park, buyers can purchase a unit for about $200,000 and gain access to Townsville’s diverse employment options.
Ayr, about an hour south of Townsville, is the centre of the Burdekin region which is known for its sugarcane production that attracts working backpackers, but healthcare, retail and education are the largest industries by employment.
Western Australia
House hunters with about $300,000 to spend will find plenty of options in regional Western Australia, particularly in suburbs of the larger regional cities of Geraldton, Bunbury and Albury.
Geraldton has a population of almost 40,000 and is home to a major seaport that handles mineral and grain exports, with plenty of jobs in transport and logistics, as well as in healthcare, retail and education.
The cheapest houses there can be found in Rangeway, where the median house price is $190,000, but buyers who want to be closer to the ocean can look in Mount Tarcoola ($395,500) or Tarcoola Beach ($425,000).
Suburb / town | Region (SA4) | Median sale price | Property type | Weekly mortgage repayment |
Rangeway | Western Australia – Outback (South) | $190,000 | House | $227.58 |
Northam | Western Australia – Wheat Belt | $280,000 | House | $335.39 |
Manjimup | Bunbury | $300,000 | House | $359.34 |
Lockyer | Western Australia – Wheat Belt | $325,000 | House | $389.29 |
Carey Park | Bunbury | $327,500 | House | $392.28 |
Northam, has a median house price of $280,000 and plenty of local jobs, as well as access to employment opportunities in Perth, about an hour and a half away.
Albany has a population of about 35,000 and homes in the area are affordable, particularly in the suburbs of Lockyer, Orana and Collingwood Heights. Picture: Getty
The timber industry is a big local employer in Manjimup, where a median-priced house costs $300,000, while home buyers in Lockyer, a suburb of Albany, and Carey Park in Bunbury, can take advantage of the larger local economies of these major regional cities.
Bunbury real estate agent Tim Cooper of Summit Realty said several large scale infrastructure projects nearby had attracted workers recently, while the tight rental market made the area a target for investors.
“Although our market has gone through significant growth recently, it’s still very affordable, and that’s why it’s popular at the moment,” he said.
Mr Cooper said Carey Park had a diverse range of property types, including older houses on large blocks that were ripe for redevelopment.
South Australia
Mount Gambier near the Victorian border is South Australia’s second largest city after Adelaide, and also one of the cheapest places to buy a property in the state with a median unit price of $280,000 and a median house price of $395,500.
It’s a major regional centre with jobs in healthcare, retail, education and manufacturing.
Suburb / town | Region (SA4) | Median sale price | Property type | Weekly mortgage repayment |
Mount Gambier | South Australia – South East | $280,000 | Unit | $335.39 |
Barmera | South Australia – South East | $285,500 | House | $341.98 |
Waikerie | South Australia – South East | $291,500 | House | $349.16 |
Port Lincoln | South Australia – Outback | $338,000 | Unit | $404.86 |
Millicent | South Australia – South East | $342,500 | House | $410.25 |
Real estate agent and The Property Co. Mount Gambier principal Bianca Taylor said affordable property prices had attracted buyers from far and wide.
“We’ve seen a lot of new residents come over from Victoria, but it’s not just interstate but intrastate as well,” she said.
“Demand still outweighs supply, but it’s not quite as ferocious amongst buyers as it has been over the past two years.”
About 50km to the northwest is Millicent, with a median house price of $342,500. Colourful murals adorn the walls and shopfronts of its main street thanks to a recent public art campaign.
Agriculture and manufacturing, predominantly grape growing and wine production, are key industries in Barmera and Waikerie on the Murray River, where median-priced houses cost less than $300,000.
Port Lincoln is the largest city on the Eyre Peninsula, with plenty of jobs in fishing, farming, tourism and hospitality. Picture: Getty
Buyers can purchase a unit for a median price of $338,000 in Port Lincoln, known as the seafood capital of Australia thanks to its fishing and aquaculture industries. A typical house there costs about $417,000.
It’s the largest city on the Eyre Peninsula and its population of about 14,000 also supports jobs in healthcare, education and retail.
“It’s a bit of a hidden gem over here,” said Port Lincoln real estate agent Rachel Hawkins of Harris Real Estate. “Our natural environment is quite beautiful and our tourism industry is booming.”
“Because we‘re surrounded by hills, fortunately the majority of Port Lincoln homes do get the advantage of having sea views which you tend to not get elsewhere.”
Tasmania
Prices in the cheapest regional Tasmanian towns tend to be more expensive than those on the mainland, owing to the big increase in prices Tasmania experienced prior to and during the pandemic.
But with an increase in the numbers of homes on the market this year, choice has improve for buyers and freestanding houses in areas with good job prospects can still be purchased for under $500,000.
Ravenswood, a suburb of Launceston, has a median price of $345,000 and access to the diverse economy of Tasmania’s second largest city.
Suburb / town | Region (SA4) | Median sale price | Property type | Weekly mortgage repayment |
Ravenswood | Launceston and North East | $345,000 | House | $413.25 |
Scottsdale | Launceston and North East | $378,000 | House | $452.77 |
Somerset | West and North West | $420,000 | House | $503.08 |
Ulverstone | West and North West | $455,000 | House | $545.01 |
Wynyard | West and North West | $485,000 | House | $580.94 |
Agriculture is the main industry in Scottsdale, about an hour to the northeast, including dairy and lavender farming as well as timber plantations, and a median-priced house costs $378,000.
Lavender farming is a key focus in the region surrounding Scottsdale in Tasmania. Picture: Getty
In Somerset, Ulverstone and Wynyard, along Tasmania’s northern coast, manufacturing provides a large number of jobs alongside healthcare and retail.
Ulverstone real estate agent Raymond Buitenhuis of Harcourts Ulverstone & Penguin said most newcomers moved to the area for work or for a sea change.
While many locals worked in agriculture or manufacturing, including at the Simplot plant where locally-grown potatoes are processed for McDonald’s restaurants Australia-wide, the major regional centres of Burnie and Devonport also created employment opportunities, he said.
“It’s nice and centrally located, 15 minutes from Devonport to the east and 20 minutes from Burnie in the west,” he said.
Ulverstone’s median house price of $455,000 would afford a tidy weatherboard house or a modest brick house, Mr Buitenhuis said, and most properties were less than five minutes drive to the beach.