Exodus from capital cities: What's the reason why young Aussies move to regional areas?

In a trend reshaping the Australian demographic landscape, young Australians are packing up and leaving the hustle and bustle of Sydney and Melbourne for the quieter, more affordable life in regional areas.

This mass migration, which began during the COVID-19 pandemic, has continued to gain momentum, driven by the desire for a better quality of life and the soaring costs associated with city living.



For years, Sydney and Melbourne have been the epicentres of Australian urban life, offering many job opportunities, cultural experiences, and the kind of vibrant lifestyle that's hard to find elsewhere.

However, these benefits come at a cost—literally. High housing prices, skyrocketing rents, and lengthy commutes have become the norm, leaving many questioning whether city life is worth the price tag.


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Young Australians are moving away from capital cities like Sydney and Melbourne to live in regional areas. Credit: Shutterstock


The Regional Australia Institute's Chief Executive, Liz Ritchie, has observed that the move away from state capitals is not just a temporary reaction to the pandemic but a sustained societal shift.

'People are voting with their feet and making a very conscious decision to live in regional Australia,' she explained.

'With high house prices and cost-of-living pressures biting, many people are realising the regions can offer the lifestyle they want and the jobs they're after—minus big city problems.'



Queensland's Sunshine Coast and Gold Coast are leading the charge as the most popular destinations for those leaving the capitals. With their proximity to Brisbane and the allure of sun, surf, and a more relaxed pace of life, they are popular destinations for those leaving the capitals.

Other areas, such as Lake Macquarie, north of Sydney, and Greater Geelong and Moorabool, close to Melbourne, are also seeing an influx of new residents.

'People living in “commuter belts” on the outskirts of major metropolitan cities are relocating within a few years of moving there,' Ritchie said.

This trend isn't just about lifestyle preferences; it's also a response to the housing crisis.



Sydney, despite retaining its top spot for losing residents, has seen an outflow decrease from 89 per cent to 67 per cent in March 2023, while inflows to regional New South Wales have increased from 23 per cent to 39 per cent.

NSW Planning Minister Paul Scully has acknowledged the need for more homes to accommodate the young people and families leaving the city, which is why the government is pushing for changes to planning laws to increase infill development and deliver new homes.

'That key age demographic, 30 to 40-year-olds, have been leaving at twice the rate they've been arriving over the last few years,' he said.



However, some places in capital cities still dominate when it comes to your wellbeing.

In a previous story, research has released the top 10 areas to live in Australia for wellbeing. You can check the top 10 areas in this story here.
Key Takeaways
  • Millennials are relocating from Sydney and Melbourne to regional areas due to high housing and living costs.
  • Moving away from capital cities is seen as a sustained societal shift rather than a temporary result of the pandemic.
  • The most popular destinations for those leaving capital cities include Queensland's Sunshine Coast and Gold Coast and regions close to Sydney and Melbourne.
  • The NSW government is seeking to address the outflow of young people by changing planning laws and aiming to create more homes, particularly in Sydney's inner city and eastern suburbs, to retain the city's dynamism.
Members, have you considered moving to a regional area? Or have you already taken the plunge? Share your experiences and thoughts in the comments below!
 
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Moved during COVID. Just be careful if you are a downsizer as it’s one way for government to stop the pension and all the perks that come with it. We don’t qualify for aged care nor many of the little benefits that are not a solvable to self funded even though you have paid taxes on your own funds
 
We moved during Covid, back to our original roots of Gippsland.
Trains to Melbourne often.
Great medical centres, out of hours care etc.,
Good land to plant your vegetable, and plenty of places to visit., plus closer to the snow,
 
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I was born in Newcastle, and am still here. I call it God's country.
The 2nd largest city in NSW is considered regional. It seems the governing bodies consider Sydney and other capital cities,the centre of the universe.
Lately I have seen more fancy cars, like Porsche and Lamborghini, driving around the Newcastle & Lake Macquarie areas. What can I say. Our long kept secret has been unearthed.
Only problem is, the sudden influx of big timers has served to hike up property prices in certain areas to ridiculous highs.
I'm so glad we are settled jn our modest little cottage.
 
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Reactions: lynstacker
I live in a rural area and unfortunately all too often the former city dwellers then start demanding all of the amenities that they had at their fingertips in the city, thus bringing their city problems with them
 
I was born in Newcastle, and am still here. I call it God's country.
The 2nd largest city in NSW is considered regional. It seems the governing bodies consider Sydney and other capital cities,the centre of the universe.
Lately I have seen more fancy cars, like Porsche and Lamborghini, driving around the Newcastle & Lake Macquarie areas. What can I say. Our long kept secret has been unearthed.
Only problem is, the sudden influx of big timers has served to hike up property prices in certain areas to ridiculous highs.
I'm so glad we are settled jn our modest little cottage.
Hey, I lived in Speers Point and up the road in Boolaroo, loved the area, moved onto Elermore Vale, then really country, Bulahdelah!!
 
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Reactions: MariaG

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