Australians are being priced out of their own housing market, with fresh data revealing that nearly one in three would rather purchase a home overseas than contend with sky-high prices and debt at home.
New research from Money.com.au indicates that 30 per cent of Australians are looking to buy property offshore, a trend driven by surging house prices and cost-of-living pressures.
Among those considering overseas purchases, 14 per cent intend to buy an investment property abroad while continuing to live in Australia.
Another 8 per cent wish to buy overseas to live and work, and a further 8 per cent plan to retire abroad.
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New South Wales leads this movement, with 32 per cent of residents open to purchasing property overseas, representing the highest share nationally.
Victorians are close behind, with 31 per cent considering international property.
They show the strongest preference for Asia in the country, with 41 per cent nominating it as their top destination.
The overseas regions Aussie buyers would most likely consider buying property. Source: Money.com.au
In Queensland, sentiment aligns with the national average at 30 per cent, but buyers are more attracted to nearby markets, with 26 per cent looking towards New Zealand and the Pacific.
Western Australians also show a preference for Asia (39 per cent) and Europe (30 per cent), and they exhibit the strongest interest in the US (18 per cent).
Australians are looking for a way out of the housing crisis — and many are now setting their sights offshore, according to new research by Money.com.au
South Australians are the most reluctant, with only 23 per cent open to buying overseas. Those interested favour Europe (41 per cent), and notably, none opted for the Middle East unlike other states.
“Younger Aussies, in particular, are beginning to question whether they are priced out of the local market. They are increasingly comparing what their money can buy here versus overseas,” Money.com.au property expert Nick Burgess states.
“In Australia, buyers often incur much higher debt relative to their income. In contrast, in parts of Europe and Southeast Asia, it’s possible to purchase property with significantly less debt, and in some cases, be nearly or completely debt-free.
“Social media is also fuelling this trend, as more Australians see people like them, often young couples or families, selling up and relocating overseas, which makes the idea feel more achievable.”
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Louise Starkey now lives in Dubai and has left Sydney behind due to cost of living. Photos: Supplied
For some Australians, this consideration has already translated into action.
Thirty-three-year-old Louise Starkey left Sydney for Dubai, seeking “more opportunity, more excitement, and more growth” as local costs spiralled.
“Sydney became far too expensive,” she explains.
“I was earning $100,000 a year, taking home about $79,000 after tax.”
In Dubai, Ms Starkey now pays approximately $27,000 a year (66,000 AED) for a brand-new one-bedroom apartment with a car park, new appliances, excellent amenities, and an on-site gym.
“In Sydney, I was paying about $35,000 a year for a studio with no car park. The value for money doesn’t even compare,” she remarks.
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Christian is an Aussie in his late 30s who has moved to Fukouka, Japan. Photo: Supplied
Former Sydneysider Christian has also exchanged beaches for cherry blossoms in Japan.
He admits that while lifestyle initially drew him in, lower costs became a “major factor.”
“Australia has become unaffordable for most people. I am in my late 30s and had never lived on my own, always renting a bedroom with housemates,” he says.
“I earned a decent wage, but unless you are renting with a partner, most people will be renting forever, and buying a place isn’t even on the table anymore.”
In Sydney, he was paying around $425 per week for one room in an apartment with housemates in Wolli Creek.
“In Japan, I have a three-bedroom inner-city apartment in a comparable area of Fukuoka for about $250 per week for myself, my wife, and my stepson. The value difference is massive.”
Property developer Matt Cameron and wife Felicity have moved to Bali and are now encouraging other Aussies to do the same. Picture: Supplied
In Bali, Australian developer Matt Cameron has transformed this disillusionment into a booming sales pipeline. Cameron, 47, who documents his life in Bali on Instagram, left Australia three years ago after deciding it was time to escape skyrocketing rents and substantial Australian taxes.
He has since launched several housing projects aimed at enticing more Australians to move or invest abroad.
By all accounts, it is proving successful, with 28 properties from the same Bali complex he recently marketed, selling in just six hours for prices ranging between $260,000 and $640,000.
Mr Cameron explains that most people who purchased from his recent development will treat it as an investment and rent out the properties for short-term stays.
Ray White Vanuatu principal Sam Lewis has noticed more buyer inquiries from Aussies in recent years.
Agents in nearby markets report that the same push is evident in inquiries and sales.
Sam Lewis, Principal of Ray White Vanuatu, has been selling waterfront acreage with 40m frontage for between $1 million to $1.5 million.
This makes it an attractive offering for buyers, predominantly from Brisbane and Sydney, who are looking to avoid high property taxes in Australia.
By comparison, quality waterfront homes in Australia range from $2 million in Adelaide to upwards of $10 million in Sydney, depending on the location.
“I find a lot of my clients are middle-aged, between 40 and 60. Many people are looking for options to move their family and start a new life in Vanuatu,” Mr Lewis noted.
Set on an expansive double block of more than 16,700sqm, this peaceful island property offers space, privacy, and the relaxed lifestyle that Vanuatu is famous for. Best of all, it comes with a bargain price tag of just $675,000 and is for sale through Ray White Vanuatu.
This 10-bedroom oceanfront estate in Vanuatu is being marketed to Aussie buyers for $2.85m.
With home prices having grown exponentially since Covid, moving overseas will likely remain an attractive alternative for many.
According to PropTrack, a standard house in Sydney now costs $1.557m, $1.05m in Brisbane, $1m in Canberra, $920,000 in Adelaide, $901,750 in Perth, $875,000 in Melbourne, $749,999 in Hobart and $670,000 in Darwin.
Commonwealth Bank Senior Economist Trent Saunders says national dwelling prices rose close to 10 per cent over the past year and are now around 55 per cent higher than pre-Covid levels.
“Over the past few years, the Australian housing market has remained much stronger than most people expected,” he says, adding that Australia’s affordability constraints ultimately reflect a persistent shortfall in housing supply.
“We’re not building enough housing at the same time that population growth has been strong.”
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