Moving to regional areas: Why more Australians are making the switch

Key takeaways:

• Regional NSW continues to attract buyers seeking more space, lifestyle flexibility and comparatively lower property prices than many metro areas.

• Areas such as Orange, Bathurst, Wollongong and Goulburn continue to attract interest from buyers with flexible work arrangements who want a balance between affordability and access to local amenities.

• Lower median property prices in some regional centres may reduce the amount buyers need to borrow, depending on individual circumstances.

• Hybrid working arrangements are giving some Australians more freedom to consider living further from major cities while staying connected to work opportunities.

The great Australian dream is changing lanes.

More city-dwellers than ever are deciding that the expense and squeeze of urban living just isn’t worth it anymore. Unlike previous decades, this migration isn’t made up of retirees looking for the quiet life. As housing costs remain elevated in major cities, some younger buyers may be reassessing where they can afford to buy.

For buyers looking for more space, lifestyle flexibility or comparatively lower property prices than Sydney, regional NSW continues to attract interest, particularly among hybrid workers, contractors and self-employed Australians who can work remotely for at least part of the week.

Neil Shaw of Aussie Mittagong said buyers have been looking beyond Sydney for years, but hybrid working has made regional living more achievable for many households.

“People still want to stay connected to Sydney, but they’re more willing to live further away than they were before flexible work became common,” Shaw said.

“For some buyers, it’s a lifestyle choice. For others, it’s simply about finding somewhere they can still afford to buy.”

Recent Cotality housing data suggests many regional markets are continuing to benefit from buyers seeking exactly that.

According to the data, regional dwelling values rose 3.3% over the 3 months to April 2026, compared to 1.1% across the combined capitals over the same period. Affordability and internal migration remain key drivers of demand.

Why regional Australia still appeals to buyers

Remote and flexible work arrangements have changed how many Australians think about housing. Instead of living close to CBD offices, buyers are increasingly prioritising:

• affordability

• lifestyle flexibility

• larger homes and land sizes

• access to nature

• lower living costs

Cotality’s Head of Research for Australia, Gerard Burg, said affordability remains key to regional demand.

“We are seeing a clear loss of momentum at the national level, but regional markets are proving more resilient than their capital city counterparts,” Burg said.

“Affordability remains a central driver, with internal migration patterns continuing to favour regional areas where buyers can find greater value and a different pace of life.”

Shaw said many buyers are now more open to longer commutes if they only need to travel into the office a few days a week.

“Before COVID, I can’t remember speaking to many people who worked from home,” he said.

“Now every second person I speak to has some sort of hybrid arrangement, and that’s definitely made regional living more attractive for a lot of buyers.”

What are the regional hotspots on the rise?

Regional cities are not only absorbing these new residents but are also becoming population growth leaders.

Orange, NSW

Big on charm, big on opportunity. Orange is winning hearts with its booming food and wine scene, affordable properties, strong health, education, and the mining job market. Semi-rural living without missing out.

Why buyers like Orange:

• Growing food and wine scene

• Reliable healthcare and schooling

• Good internet connectivity

• Popular with professionals and families

Orange property market snapshot:

• Median dwelling value: $734,665

• Annual value growth: 8.0%

• Median rent: $592 per week

• Gross rental yield: 4.3%

Orange also recorded 3.8% quarterly rental growth, one of the stronger regional rental performances nationally.

Bathurst, NSW

Bathurst continues attracting remote workers thanks to its relative affordability and proximity to Sydney.

Why buyers like Bathurst:

• Around 3 hours from Sydney

• Lower property prices than coastal regional hubs

• Growing local economy

• Family-friendly lifestyle

Bathurst property market snapshot:

• Median dwelling value: $721,600

• Annual value growth: 9.3%

• Median rent: $589 per week

• Gross rental yield: 4.4%

Goulburn, NSW

Goulburn remains a practical option for buyers who want regional affordability while retaining access to Sydney and Canberra.

Why buyers like Goulburn:

• Strong transport links

• Lower home prices than Sydney

• Growing commuter appeal

• Expanding local services

Goulburn property market snapshot:

• Median dwelling value: $673,769

• Annual value growth: 9.5%

• Median rent: $514 per week

• Gross rental yield: 3.9%

Wollongong, NSW

Wollongong remains a popular choice for hybrid workers who need occasional access to Sydney and want a coastal lifestyle.

Why buyers like Wollongong:

• Coastal lifestyle

• Train access to Sydney

• Established infrastructure

• Established transport links

Wollongong property market snapshot:

• Median dwelling value: $1,081,631

• Annual value growth: 9.4%

• Median rent: $773 per week

• Gross rental yield: 3.7%

While Wollongong is more expensive than inland regional centres, it remains cheaper than many Sydney suburbs.

Bowral and Mittagong, NSW

Bowral and Mittagong continue attracting professionals seeking premium lifestyle locations within reach of Sydney.

Why buyers like Bowral and Mittagong:

• Highlands lifestyle appeal

• Easy Sydney access

• Established cafes and retail

• Premium family homes

Bowral-Mittagong property market snapshot:

• Median dwelling value: $1,199,239

• Annual value growth: 0.0%

• Median rent: $786 per week

• Gross rental yield: 3.4%

Property price growth in Bowral-Mittagong has been steadier recently compared with some faster-growing regional areas, with values easing 1.2% over the quarter.

That softer growth may mean some buyers have more room to negotiate, depending on the market and property type.

Lifestyle hubs are also the new commuter belts. Once, it was all about living close to the CBD. Now, people want to live somewhere that feels right, not just close enough.

You might also be interest in: What it’s like to live in Bowral

Comparing property prices across regional NSW

Growth is also unlocking opportunity. With more people moving in, regional councils and state governments are investing to match demand. New roads, better transport, business hubs, healthcare, and more.

That could make regional buying more accessible, depending on the area, infrastructure and your circumstances.

Lower property prices may reduce the amount buyers need to borrow, which could affect mortgage repayments depending on individual circumstances.

You might also be interested in: Cost of living by states

For example:

(Source: Cotality Regional Market Update May 2026)

For some buyers, purchasing in a lower-priced regional market may reduce borrowing costs compared with buying in Sydney.

At Aussie, we've helped thousands of people buy smarter in the regions, from choosing the right spot to locking in a home loan that works for them.

What are the pros and cons of moving to regional hotspots?

Moving from metro to regional isn't just a shift in scenery; it's a full lifestyle upgrade. But like any big decision, it's worth clarifying what you'll gain, what might need adjustment, and how to make it work.

How brokers can help with regional property purchases

Buying in a regional area can sometimes involve different lender requirements depending on the property location and postcode.

An Aussie Broker can help you understand:

• lenders that support regional purchases

• borrowing capacity

• home loan repayments

• first-home buyer schemes

• regional property valuations

Lending criteria can vary by lender, postcode and property type, so broker support can be especially valuable to help buyers compare options.

Is 2026 a good time to buy regional property?

Regional NSW continues to draw interest from buyers looking for more flexibility, lifestyle appeal and greater budget flexibility than Sydney.

Cotality reported that regional dwelling values continued outperforming capital cities in early 2026, supported by affordability and migration trends.

At the same time, some buyers may find there is a little more choice available compared with the highly competitive conditions seen in recent years.

That may create more opportunities for buyers to negotiate on price depending on the market and property type.

Ready to make your regional move?

The great city-to-country shift isn't just about packing boxes and changing postcodes; it's about chasing a better way to live. For many Aussies, that means less stress, more space, and finally, owning a home that fits.

But, like any smart move, it pays to be prepared. The best outcomes happen when you've got the right advice, support, and a plan that works for your goals, not someone else's.

That's where Aussie comes in. Whether you’re upsizing, investing, starting fresh or just curious about what's possible, we're here to help you map it out, from understanding your borrowing power to unlocking your next property.

Because moving regionally isn't just a dream; it's a real opportunity with the right support. Let's make your next chapter your smartest one yet.