As of May 2025, rising living costs and increased migration have reshaped Australia’s rental market. Yet, several cities still offer affordable housing options without compromising on quality of life. Whether you’re a student, young professional, or budget-conscious family, knowing where to look can make all the difference. Here are the top five cities leading the list of cheapest rental cities Australia 2025.
Why Rental Prices Vary Across Australia
Rental affordability is influenced by local job markets, housing supply, infrastructure, and proximity to major cities. In 2025, demand in urban hubs like Sydney and Melbourne remains high, pushing prices up. In contrast, regional and mid-tier cities have grown in appeal thanks to remote work trends and government incentives to decentralize populations.
1. Adelaide, SA: Consistently Among the Best Places for Cheap Rent
Adelaide continues to offer one of the most affordable rentals Australia can provide. Median weekly rents for units sit at around $390 as of May 2025, significantly lower than other capital cities. The city balances affordability with access to top universities, growing industries, and a relaxed lifestyle. Suburbs like Salisbury, Elizabeth, and Mawson Lakes are especially attractive for budget renters.
2. Hobart, TAS: Low-Cost Cities Australia with Natural Beauty
Despite a temporary spike in prices during the 2020s, Hobart has stabilized and is once again seen as one of the low-cost cities Australia has on offer. Current rental averages are hovering around $430 for units. With a lower population density, strong arts scene, and short commute times, Hobart presents a compelling choice for those seeking value and lifestyle.
3. Darwin, NT: A Hidden Gem for Affordable Living
Often overlooked, Darwin provides surprising value. In 2025, the median rent for a two-bedroom apartment is around $410 per week. High rental turnover and a transient workforce keep prices competitive. The tropical climate, growing defense and mining sectors, and cultural diversity make it one of the best places for cheap rent.
4. Perth, WA: Western Australia’s Affordable Urban Hub
Perth has seen gradual growth but remains below the national rental average, with weekly rents around $450. Suburbs like Armadale, Rockingham, and Midland offer even better deals. Its strong local economy, investment in transport, and beautiful coastline continue to attract cost-conscious renters in 2025.
5. Launceston, TAS: Rising in Popularity for Budget Renters
Launceston has gained traction as one of the cheapest rental cities Australia 2025. With average rents under $400 for units, it combines affordability with charming architecture, a slower pace, and growing amenities. For remote workers and retirees, it’s an increasingly smart choice.
Comparison: Average Weekly Rent in Top 5 Affordable Cities (May 2025)
| City | Median Weekly Rent (Units) | Key Affordable Suburbs | Cost Rating (1-5) |
|---|---|---|---|
| Adelaide | $390 | Salisbury, Mawson Lakes | ⭐⭐⭐⭐⭐ |
| Hobart | $430 | Moonah, Glenorchy | ⭐⭐⭐⭐ |
| Darwin | $410 | Nightcliff, Palmerston | ⭐⭐⭐⭐⭐ |
| Perth | $450 | Rockingham, Armadale | ⭐⭐⭐⭐ |
| Launceston | $390 | Newnham, Mowbray | ⭐⭐⭐⭐⭐ |
Conclusion: Choosing the Right City for Affordable Rentals
As rental markets shift, flexibility is key. Australia still offers great options for affordable living in 2025—if you know where to look. Cities like Adelaide, Hobart, and Launceston strike the right balance of cost, livability, and opportunity. When searching for affordable rentals Australia, consider lifestyle needs, job prospects, and transport links to ensure you’re not just saving money, but also gaining quality of life.
FAQ: Affordable Rentals in Australia 2025
What is the cheapest city to rent in Australia in 2025?
Adelaide tops the list in 2025 with median unit rents around $390 per week, offering a great mix of affordability and city amenities.
Are rental prices going down in Australia in 2025?
While prices have stabilized in some regions, high-demand metro areas are still seeing increases. Regional and smaller capital cities offer better value.
Which city has the best value for renters?
Cities like Launceston and Darwin provide excellent value in 2025, especially for those willing to live outside traditional job hubs.
How do I find affordable rentals Australia-wide?
Use property platforms with filter options, consider regional areas, and track price trends monthly to find deals before competition rises.
Is it cheaper to rent in Tasmania or South Australia?
Both offer good value, but South Australia (particularly Adelaide) currently has slightly lower average rents.
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