Regional Australia Surpasses 10 Million Population as Growth Accelerates
Regional Australia Hits Record Population
Regional Australia has officially surpassed 10 million residents, reaching 10.02 million in 2025, marking a 1.1% annual increase and a 6.3% rise since 2020.
This confirms a clear structural shift — Australians are increasingly choosing to live outside major capital cities.
Where Growth Is Strongest
Growth is being led by regions close to major cities, known as “Connected Lifestyle Regions.”
Western Australia recorded the fastest regional growth (1.9%)
Tasmania recorded the slowest (0.3%)
Top growth area: Serpentine–Jarrahdale (WA) – 4.5%
These regions are outperforming metro areas over time due to:
Lifestyle appeal
Lower housing costs
Proximity to city infrastructure
Top Population Growth Regions (By Volume)
The largest increases in population were seen in:
Gold Coast: +11,944
Sunshine Coast
Greater Geelong
Mandurah
Central Coast (NSW)
Lake Macquarie
| Rank | LGA | State | Type | 2024 | 2025 | Growth |
|---|---|---|---|---|---|---|
| 1 | Serpentine–Jarrahdale | WA | Connected Lifestyle | 38,793 | 40,531 | 4.5% |
| 2 | Mitchell | VIC | Connected Lifestyle | 56,079 | 58,459 | 4.2% |
| 3 | Murray | WA | Connected Lifestyle | 20,633 | 21,447 | 3.9% |
| 4 | Dandaragan | WA | Heartland | 3,935 | 4,089 | 3.9% |
| 5 | Chittering | WA | Connected Lifestyle | 6,778 | 7,039 | 3.9% |
| 6 | Adelaide Plains | SA | Connected Lifestyle | 11,307 | 11,736 | 3.8% |
| 7 | Augusta–Margaret River | WA | Heartland | 19,488 | 20,170 | 3.5% |
| 8 | Gingin | WA | Connected Lifestyle | 6,364 | 6,585 | 3.5% |
| 9 | Mandurah | WA | Regional City | 103,346 | 106,827 | 3.4% |
| 10 | Toodyay | WA | Connected Lifestyle | 5,098 | 5,251 | 3.0% |
| Rank | LGA | State | Type | 2024 | 2025 | Increase |
|---|---|---|---|---|---|---|
| 1 | Gold Coast | QLD | Regional City | 679,286 | 691,230 | +11,944 |
| 2 | Sunshine Coast | QLD | Regional City | 374,298 | 381,957 | +7,659 |
| 3 | Greater Geelong | VIC | Regional City | 288,676 | 295,052 | +6,376 |
| 4 | Mandurah | WA | Regional City | 103,346 | 106,827 | +3,481 |
| 5 | Fraser Coast | QLD | Regional City | 120,351 | 122,924 | +2,573 |
| 6 | Central Coast (NSW) | NSW | Regional City | 355,354 | 357,816 | +2,462 |
| 7 | Lake Macquarie | NSW | Regional City | 222,144 | 224,540 | +2,396 |
| 8 | Mitchell | VIC | Connected Area | 56,079 | 58,459 | +2,380 |
| 9 | Townsville | QLD | Regional City | 203,972 | 206,260 | +2,288 |
| 10 | Maitland | NSW | Regional City | 98,232 | 100,439 | +2,207 |
Source: ABS Estimated Regional Population (ERP), analysed by Regional Australia Institute (2026)
These locations continue to attract both interstate and overseas migrants.
What’s Driving the Growth
Population growth is supported by three key drivers:
Overseas migration: +55,262
Internal migration (city → regional): +35,093
Natural increase: +22,258
Notably, the share of overseas migrants settling in regional areas is rising, now at 17.3% of arrivals.
Regional Growth Outpacing Expectations
54 regional LGAs grew faster than the metro average (1.8%)
Connected lifestyle regions grew 1.6%, close to capital cities
This indicates regional Australia is no longer a secondary option — it is becoming a primary housing market driver.
Key Drivers Behind the Shift
Australians are moving to regional areas due to:
Housing affordability pressures in capital cities
Rising cost of living
Lifestyle benefits (space, nature, lower density)
Flexibility from remote and hybrid work
Market Insight (Property & Investment)
This trend has direct implications for property markets:
1. Demand shifting to satellite regions
Areas within commuting distance to cities are outperforming
2. Strong case for low-density housing
Land subdivisions, duplex, and townhouse developments benefit most
3. Rental and short-term accommodation upside
Lifestyle regions with tourism appeal remain undersupplied
4. Infrastructure lag = opportunity
Housing, healthcare, and services are not keeping up
→ This creates supply constraints and future price pressure
Outlook
The “regionalisation” trend shows no signs of slowing.
With over one-third of city residents considering a move, regional Australia is set to remain a key growth engine for housing demand.
However, future performance will depend on:
Infrastructure investment
Housing supply delivery
Government population planning
Bottom Line
Regional Australia is no longer a fringe market — it is now a core driver of population and housing growth.
For investors and developers, the opportunity lies in:
Targeting high-growth lifestyle regions
Delivering affordable, low-density housing
Positioning assets in undersupplied markets