5 Cities with Cheapest Cost of Living: Australia

Hobart, Adelaide, Canberra and Melbourne have relatively low unit rents compared with other Australian capitals. Perth offers a different lifestyle, but high housing costs need to be considered alongside its transport and outdoor amenities.

Australia is known for its high standard of living, with the cost of living depending on the city. If you’re planning to study, work, or live in Australia on a budget, it pays to know which cities offer a lower cost of living while still providing a good quality of life.

Each of these cities has unique charm. Housing costs and access to public transport vary by suburb, so your choice of accommodation can make a large difference to your budget.

Cost of Living in Five Australian Cities

From Hobart’s scenic beauty to Melbourne’s cultural attractions, each city offers a different lifestyle. Housing type and location will have a major effect on your costs.

Cost figures: Rental figures are median weekly asking rents for units in the September 2026 quarter, reported by Domain. Figures include units of different sizes and are not specific to one-bedroom apartments. Meal prices are rounded budgeting guides from 2026 Numbeo city data. Transport fares were checked in October 2026.

Before choosing accommodation, it can help to check affordability using a rent calculator to see how weekly rent compares with your income.

1. Hobart, Tasmania

Hobart, the capital city of Tasmania, has some of the lowest unit rents among Australian capitals. As it’s nestled between a stunning waterfront and a bunch of rugged mountains, Hobart will be the perfect place for you if you appreciate nature, art, and a quiet lifestyle.

Housing

Median advertised unit rent in Hobart was A$525 per week in the September 2026 quarter. Shared accommodation may cost less than renting a whole apartment. University of Tasmania teaching locations include Sandy Bay and central Hobart.

Food and Groceries

Speaking of the quality of life, the local markets at Hobart are going to add to that as they house affordable fresh produce, reducing your cost of living. Cooking at home can help you save money. An inexpensive restaurant meal costs around A$25–30.

Transport

Metro buses in Hobart are free until 30 June 2027 under the statewide bus fare initiative. Cycling is another option, although hills and route conditions can affect your journey.

Must See

Mount Wellington (Kunanyi) – Offers incredible panoramic views of Hobart, ideal for hiking and nature lovers.
MONA (Museum of Old and New Art) – A world-renowned art museum showcasing unique and controversial art pieces.
Salamanca Market – Held every Saturday, it’s a vibrant market offering local produce, crafts, and street food.
Battery Point – A charming, historic neighbourhood with colonial architecture, cozy cafés, and shops.
Royal Tasmanian Botanical Gardens – A tranquil, beautiful garden showcasing Tasmania’s diverse plant life.

2. Adelaide, South Australia

Adelaide is one of the best cities for students and families due to its pocket-friendly lifestyle and renowned educational institutions. Additionally, even though this city has a slower pace of life compared to Sydney or Melbourne, it offers you a rich cultural scene, top-notch wineries, and some splendid beaches.

Housing

Median advertised unit rent in Adelaide was A$550 per week in the September 2026 quarter. Student accommodation in Adelaide varies in price according to room type, location and whether bills are included.

Food and Entertainment

Being known for its festivals and dining experiences, you can enjoy the fun of it without breaking your bank. An inexpensive restaurant meal costs around A$25, while cooking at home can reduce your food bill. Adding to this, Adelaide’s thriving arts scene offers some really affordable entertainment too.

Transport

An adult 28-day public transport pass costs A$123 from 1 October 2026. Free City Connector buses and city tram services within designated zones can reduce the cost of short trips.

Must See

Adelaide Oval – A premier sports and entertainment venue with tours and cricket matches, plus concerts.
Glenelg Beach – A popular beach destination known for its golden sand, pier, and seaside restaurants.
Barossa Valley – One of Australia’s oldest and most prestigious wine regions, perfect for wine-tasting tours.
Adelaide Central Market – A bustling marketplace offering fresh local produce, gourmet foods, and multicultural cuisine.
Adelaide Hills – Scenic hills with wineries, wildlife parks, and charming towns like Hahndorf, Australia’s oldest surviving German settlement.

3. Canberra, Australian Capital Territory

National Gallery of Australia outside — National Gallery of Australia, Canberra

Canberra offers a high quality of life, although living costs depend on your housing and transport needs. As a hub for government jobs and universities, it’s a popular place for professionals and students.

Housing

Median advertised unit rent in Canberra was A$580 per week in the September 2026 quarter. Renting a room in a shared house or apartment can cost less, while outer-suburban accommodation may increase commuting costs.

Food and Dining

Canberra’s food scene is diverse, offering you a range of budget-friendly options. An inexpensive restaurant meal costs around A$25, while local markets provide fresh produce for cooking at home.

Transport

Canberra buses and light rail use MyWay+, which charges adult fares of A$3.41 at peak times and A$2.70 off-peak. Daily fare caps apply, and further travel is free after 40 paid adult trips in a calendar month when you continue to tap on and off correctly.

Must See

Australian War Memorial – A poignant museum and memorial honoring Australia’s military history.
Parliament House – Offers guided tours and the opportunity to watch Australia’s political process in action.
Lake Burley Griffin – A serene lake perfect for cycling, walking, kayaking, and sightseeing.
National Gallery of Australia – Houses an impressive collection of Australian, Indigenous, and international art.
Questacon – The National Science and Technology Centre, perfect for kids and adults to explore science through interactive exhibits.

Related: Study in Canberra

4. Melbourne, Victoria

Melbourne combines a large university sector and job market with extensive public transport. Shared accommodation and free cultural attractions can help keep living costs manageable.

Housing

Median advertised unit rent in Melbourne was A$600 per week in the September 2026 quarter. Shared housing and outer-suburban properties may cost less, but check the rent and commuting costs together.

Food and Entertainment

Melbourne offers budget dining in food courts, markets and neighbourhood restaurants. An inexpensive restaurant meal costs around A$25. Free galleries, parks and events can help keep entertainment costs down.

Transport

Melbourne has trains, trams and buses, and tram travel entirely within the city-centre Free Tram Zone is free. Public transport fares are half price until 1 January 2027, giving a full-fare daily cap of A$5.70 and a concession daily cap of A$2.85 during the discount period.

Must See

National Gallery of Victoria – Free general entry to galleries displaying Australian and international art, plus ticketed special exhibitions.
Royal Botanic Gardens Melbourne – Landscaped gardens, lakes and plant collections within walking distance of the city centre.
Queen Victoria Market – Fresh produce, food stalls and specialty shopping in a large historic market.
State Library Victoria – Free exhibitions, historic collections and the landmark La Trobe Reading Room.
Federation Square – A central meeting place beside galleries, cultural venues and the Yarra River.

5. Perth, Western Australia

Perth is often considered as one of Australia’s most isolated cities. Despite that, it offers plenty of lifestyle advantages, although housing is relatively expensive. With its beautiful beaches, warm weather, and a more relaxed lifestyle, Perth is an excellent choice for you if you seek a vibrant city experience.

Housing

Median advertised unit rent in Perth was A$700 per week in the September 2026 quarter. Demand for student accommodation in Perth is high, so compare current listings, room types and inclusions before booking.

Food and Leisure

If you prefer to eat out, an inexpensive restaurant meal costs around A$30. Buying seasonal produce and cooking at home can help control food costs. Apart from that, be it free outdoor activities, beach days or hiking, this city won’t disappoint you.

Transport

Perth offers free CAT buses and bus travel within its central Free Transit Zone. Elsewhere, the Go Anywhere fare allows up to three hours of network travel for A$3.50 at the standard fare, or A$2.80 using SmartRider with Autoload.

Must See

Kings Park and Botanic Garden – One of the largest inner-city parks in the world, with stunning views of Perth and the Swan River.
Cottesloe Beach – A picturesque beach with soft white sand, clear water, and great cafés along the shore.
Rottnest Island – A beautiful island known for its turquoise waters, beaches, and friendly quokkas.
Fremantle Markets – A vibrant weekend market with local arts, crafts, food, and live entertainment.
Elizabeth Quay – A modern waterfront precinct with restaurants, parks, public art, and beautiful river views.

Student Accommodation Help

amber is a student accommodation booking platform that can help you search for rooms near your university. Property listings show room types, prices and facilities, so you can compare options before booking.

Download the amber app from the Google Play Store or App Store to book an affordable home for your adventure.

5 Cities with Cheapest Cost of Living: Australia