A country town known as the hub of the west and a popular holiday hotspot often referred to as the ‘Gateway to the Great Barrier Reef’ have been named in a list of cheapest places to buy property.
The PRD ‘Smart Moves: Regional Edition 2025’ has highlighted the top ten affordable regional markets across Australia, with key consideration given to affordability, rental yields and future projects to determine the regions making the best bets for buyers.
Cairns, the Whitsundays and the Southern Downs regions took out the report’s top three spots, with homes almost 30 per cent cheaper than Brisbane.
Dubbo, Port Macquarie-Hastings and Shoalhaven in New South Wales, Bendigo, Greater Shepparton and Wodonga in Victoria, and Burnie in Tasmania rounded out the top 10.
Report author and PRD chief economist, Diaswati Mardiasmo said with property affordability reaching a new low at the end of last year, the dream of owning a home in a capital city was slipping away for many Australians.
“The national Home Loan Affordability Index fell to just 20.0 points in the December quarter of 2024 – the weakest it’s been in more than a decade,” she said.
“Mortgage repayments are now consuming over half of household income.
“Meanwhile, first homebuyers must commit to a higher level of mortgage debt, by an extra 5.4 per cent (nationally).”
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Here’s a breakdown of PRDs top 10 regional hotspots to watch.
CAIRNS, FAR NORTH QUEENSLAND
Famous for its tropical climate, bustling Esplanade, national parks, and relaxed way of life, Cairns continues to stand out for buyers chasing lifestyle and opportunity.
Over the past five years alone, the local population grew by 5.8 per cent, adding almost 10,000 new residents.
The city’s economy is in good shape too. At the end of 2024, Cairns recorded an unemployment rate of just 2.6 per cent, a figure that has barely shifted over the past year.
“That stability, combined with lifestyle appeal, is helping to fuel stronger housing demand — and it’s showing up in the numbers,” the report read.
“Over the last decade, house prices in Cairns have jumped by 67.1 per cent. Land values have also risen sharply, up 63.3 per cent.
“Between 2020 and 2022, sales activity soared, as buyers took advantage of record-low interest rates. While sales have eased slightly since then, 2024 still saw 2891 houses change hands — more than in 2019, before the pandemic hit.”
Despite rising rates, prices have stayed resilient.
In the past year alone, median house prices have climbed by 11.5 per cent, land by 16.3 per cent, and units by 12.4 per cent.
Houses are also yielding an average of 4.8 per cent, well above Brisbane Metro’s 3.2 per cent, while units return around 5 per cent.
Aerial view of Cairns in Far North Queensland.
SOUTHERN DOWNS, QUEENSLAND
A regional inland area west of Brisbane, stretching along Queensland’s southern border with New South Wales, Southern Downs has recorded an increasing interest in regional living and local opportunities.
House and land prices in the area have shown impressive growth over the past decade.
Land prices rose by 95.2 per cent between 2014 and 2024, while house prices grew by 87.9 per cent during the same period.
“Even with this growth, median house prices remain much more affordable than Brisbane, making Southern Downs particularly attractive for first-home buyers and investors. Recent momentum has been strong too,” the report read.
“Over the past year, house sales increased by 3 per cent, while median house prices rose by 16.9 per cent, despite higher interest rates.
“This trend points to a highly active and resilient housing market.”
The area is also delivering solid investment returns, with the average house rental yielding 4.5 per cent and units 5.3 per cent.
A farmer on the Southern Downs is racing against the afternoon storms.
WHITSUNDAYS, QUEENSLAND
The Whitsundays isn’t just a holiday destination anymore. Over the past five years, it’s
quietly become one of Queensland’s strongest growth stories.
Around 4000 new residents have moved into the region since 2018 — proof that it’s more than the beaches pulling people in.
Property prices have also moved steadily over this time, with house up by 46 per cent over the past decade. Land value has also risen by 45.7 per cent.
“But it’s units that tell the real tale. With fewer houses available, buyers turned to units
instead, pushing up unit prices by nearly 48 per cent. Supply simply couldn’t keep pace,” the report read.
“If you look back at 2021, house sales exploded. It was a record year, with more than
1100 homes sold — double what was normal before COVID hit.
“Things have eased a bit since then, but 2024 still ended with 841 house sales, far ahead of pre-pandemic levels.”
View across Marina Drive in the Whitsundays.
Investors haven’t missed the memo either.
House rental yields sat around 3.9 per cent by late 2024, beating Brisbane Metro’s average.
As for the region’s future? There are big things are on the cards.
About $792 million in new development is expected to start construction during 2025, including releasing 568 new land lots, constructing 72 new units, and 19 stand-alone homes. One
of the headline projects is the 422 Shute Harbour Road Subdivision, adding another 16
residential lots.
DUBBO, NEW SOUTH WALES
Dubbo might be best known for the Western Plains Zoo and its historic old Gaol, but these
days, it’s also making a name for itself in the property world.
Sitting west of Newcastle in NSW’s Orana Region, Dubbo’s population hit around 56,500 in 2023, after a 5.6 per cent rise over the past five years.
It’s certainly fuel housing demand, with house price having risen by a healthy 77.3 per cent over the past ten years.
Even so, buying a home here is still far more affordable than Sydney prices.
The local market had a huge run between 2020 and 2022, with record numbers of homes
changing hands.
Although sales dipped slightly in 2023, they bounced back in 2024 — with 1129 homes sold, almost matching the boom levels of 2020.
Despite rising interest rates, house prices managed a steady 2.3 per cent growth over the past
year.
“This consistency makes Dubbo a more sustainable choice for first-home buyers —
although with the local economy heating up and listings running short, it’s unlikely to stay
that way for long,” the report read.
The Macquarie river at Dubbo in New South Wales.
PORT MACQUARIE-HASTINGS, NEW SOUTH WALES
Sitting north of Sydney, Port Macquarie-Hastings is proving to be one of regional NSW’s strongest performers.
Over the past five years, its population has grown by 8.2 per cent, reaching almost 90,000 people by 2023.
At the same time, the local economy has held up well. By December 2024, the area’s
unemployment rate was just 2.6 per cent — well below the national average.
This kind of resilience makes Port Macquarie an attractive option not just for lifestyle buyers, but for those seeking long-term opportunity too.
Port Macquarie’s waterfront.
“Property prices across the region have told a strong story over the past decade. Land values soared by over 108 per cent (and) median house prices climbed by 97 per cent across the same period,” the report read.
“After peaking in 2021, the market eased slightly – as it did across many regional areas
– but 2024 saw signs of a solid recovery.
“House sales were up 11 per cent compared to the previous year (and) median house prices grew by 1.3 per cent. Units saw a 1.7 per cent price increase during the same time.
“While the pace of growth has slowed compared to the “boom” years, this creates a
rare window for first-home buyers. For once, buyers aren’t racing against runaway
price surges — and that gives more room to negotiate and enter the market.”
SHOALHAVEN, NEW SOUTH WALES
If you know Shoalhaven, you know it’s a place that sells itself.
With its string of beaches, national parks, and easy-going lifestyle, it’s no wonder more people are packing up and heading there.
Over the past five years alone, the population has grown by 5.2 per cent, bringing more than 5,400 new residents to the area, according to PRD.
“What’s even more telling is the strength of the local economy,” the report reads.
“At the end of 2024, the unemployment rate sat at just 2.9 per cent – comfortably lower than the national average.
“Shoalhaven isn’t just beautiful; it’s busy, it’s growing, and it’s offering real opportunities
for work and living.”
It’s been a big decade for Shoalhaven’s property market.
House prices have more than doubled, rising by 118 per cent over the last 10 years.
Land values are also up an impressive 200 per cent.
Even units have jumped by 125 per cent, showing there’s real depth across the market.
“In the past year alone, house sales rose 9 per cent, and median house prices nudged up 2.5 per cent – proof that buyer demand hasn’t gone anywhere.”
David Vale making use of the beautiful surrounds at Shoalhaven Heads where the Sholahaven River meets the sea. Picture: Graham Crouch
BENDIGO, VICTORIA
Bendigo has always had a reputation for being a bit of a hidden gem — and over the last few years, it’s really started to show why.
Sitting about an hour and a half northwest of Melbourne, the city’s been growing steadily, adding around 6.9 per cent more residents since 2018. By 2023, the local population tipped over 124,000.
The best part? It’s not just more people; it’s more opportunity too. Unemployment dropped to 3.3 per cent by late 2024, a sign that Bendigo’s economy isn’t just coasting — it’s kicking along nicely.
Property values have had a good run across the board, too.
“House prices have lifted over 73 per cent in the past decade. Vacant land has done even better, jumping more than 130 per cent,” the report read.
“Units have kept pace too, growing by around 79 per cent.
“2021 was the real standout year, with buyers rushing in and pushing the median house
price past $500,000 for the first time.
“Sales cooled off a little in 2022, like everywhere else, but by 2024, activity had picked back up (and) house sales were up by over 20 per cent compared to the year before.”
The Sacred Heart Cathedral in Bendigo. Picture: Stephen Brookes
GREATER SHEPPARTON, VICTORIA
Known as the food bowl of Australia due to the large number of agriculture production occurring there, Greater Shepparton has been quietly building momentum.
Located about two hours north of Melbourne, the region saw just over 2,300 new residents between 2018 and 2023 — a 3.5 per cent population rise; showing more people are seeing the appeal of life outside the big cities.
Greater Shepparton’s property market has also been on a steady climb over the last decade.
House prices have risen by over 90% per cent, while vacant land surged by more than 120 per cent. Units are up by 82 per cent.
“After a dip in sales during 2022 and 2023 – when interest rates rose – 2024 saw the market
roar back to life,” the report read.
“House sales jumped nearly 31 per cent over the past year (and) median house prices grew by 3.2 per cent during the same time.
“Buyers who couldn’t secure houses turned to units, pushing unit sales up by 8.8 per cent and unit prices by 7.6 per cent.
“It’s clear there’s strong confidence here — both for short-term buying and long-term capital growth.”
Aerial shot of Kialla Lake in Greater Shepparton.
WODONGA, VICTORIA
Sitting on the Victorian side of the Murray River, right next to New South Wales, Wodonga’s the kind of city that’s close to everything — about 320km to Melbourne and 345km to Canberra.
Subsequently, property prices in Wodonga have been doing what you’d hope: rising steadily. Over the past decade, house values climbed nearly 94 per cent, while land prices lifted 80.9 per cent..
Units – a surprise performer – grew by almost 94 per cent.
“Things peaked in 2021 when sales volumes hit a high. The next two years got a bit bumpy,
thanks to rising interest rates, but 2024 pulled a comeback — house sales were up 23.9 per cent, and units rose 18 per cent,” the report read.
“Even better? Median prices kept moving upward too, gaining 2.7 per cent for houses and 7 per cent for units.
“It’s not a market overheating — it’s one quietly building value year after year.”
A bird’s eye view of Wodonga.
BURNIE, TASMANIA
Tucked along Tasmania’s rugged northwest coast, Burnie is one of those cities where opportunity often flies under the radar. It has deep industrial roots — agriculture, mining, manufacturing — but in recent years, Burnie has been carving out a new path.
Today, it’s balancing heritage with fresh economic activity and steady residential growth.
Between 2018 and 2023, Burnie added just over 4 per cent to its population, reaching 20,463
residents.
“That’s solid growth for a regional city, and it hasn’t come at the cost of local jobs,” the report read.
“By the December quarter of 2024, the unemployment rate had dropped to 5.6 per cent –
not perfect, but far from concerning when compared nationally.
“It suggests the economy is holding its ground even as more people move in.”
St Valentine’s Peak is a challenging and exciting walk just south of Burnie in the north of Tasmania. Picture: Jess Bonde
Burnie’s property market has also been quietly building strength.
Median house prices have nearly doubled, up 99.5 per cent, while vacant land values increased around 70 per cent.
Units weren’t far behind, rising about 65 per cent.
“Like a lot of regional areas, Burnie peaked in sales activity during 2021, before a natural
cooling in 2022 and 2023 when interest rates went up,” the report read.
“But interestingly, 2024 saw buyers return, with house sales lifting by 18.5 per cent over the year, showing renewed confidence.
“House prices have stayed steady too, without the sharp spikes seen in larger markets.
“That points to sustainable, organic growth, not speculative pressure.”
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