Regional shift accelerates as cost pressures push Aussies out of capital cities
Rising living costs are driving more Australians to pack up and leave the capitals, with new research from Finder showing a clear trend toward cost-driven relocations — a shift that could reshape broker opportunities across regional housing markets.
According to a survey of over 1,000 Australians, 14% have relocated from a capital city in the past three years in a bid to save on everyday expenses. While 6% have moved to regional towns, another 5% have opted for cheaper capital cities, and 2% have headed overseas for more affordable living.
In a sign the trend is far from over, nearly one in 10 respondents (7%) – equating to around 1.5 million Australians – indicated they plan to leave a capital city in the next three years.
New South Wales residents led the charge, with 17% saying they had already made the move, compared to 14% in Queensland and 11% in Victoria.
Finder money expert Rebecca Pike (pictured above) said more Australians are reassessing their financial priorities. “Aussies are sick of just scraping by and hoping that a move will free up some cash,” she said.
“From rent and house prices to utilities and groceries, city life doesn’t come cheap. There are plenty of budget suburbs delivering better value – households might just have to expand their search further out.”
The report presents an opportunity for mortgage brokers to position themselves as key advisers during these lifestyle-driven moves. Whether assisting first-time buyers priced out of city markets or helping homeowners refinance for affordability, brokers in regional centres may be well-placed to capitalise on this demand.
Among those who have moved or plan to do so, 37% cited the costs of living as their primary motivator. A quarter (25%) said homeownership was more achievable outside the capitals, and 14% are looking to cut mortgage or rent costs.
Pike noted that housing affordability is a major advantage in non-metro areas. “If you can continue earning what you were in a capital city, you will be hundreds of dollars better off every month,” she said. “Banking that difference instead of just breaking even can lead to much greater wealth long-term.”
She, however, pointed out the importance of factoring in lifestyle changes. “It might not be worth moving away to save money if your quality of life diminishes or if you’re then going to spend more on car costs driving to see friends or family that still live in the city.”
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