Finding affordable houses in Australia has become one of the most searched topics among first-home buyers and property investors alike. With median house prices topping $1 million in Sydney, Melbourne, and Canberra, the dream of homeownership can feel out of reach — but it doesn’t have to be.
In this guide, we reveal the top 10 most affordable houses for sale in Australia right now, explain how to use government grants and schemes to your advantage, and show you which regions offer the best value for money. Whether you’re a first-time buyer or a savvy investor, this is everything you need to know about buying cheap property in Australia.
Quick Answer: Australia’s cheapest houses are found in regional and remote towns such as Broken Hill (NSW), Coober Pedy (SA), and Mount Isa (QLD), where prices can be as low as $38,000–$99,000. Major metro areas like Sydney and Melbourne remain the least affordable, with median prices exceeding $1 million.
Are Houses Cheap in Australia?
By global standards, Australian housing is expensive. The national median house price sits at approximately $750,000, putting Australia among the world’s least affordable housing markets alongside cities like London, Hong Kong, Vancouver, and New York.
However, affordability varies dramatically by location. While capital city prices dominate headlines, rural towns and outer-suburban areas often tell a very different story — one where $50,000–$100,000 can still buy a liveable home.
How to Buy Affordable Houses in Australia: 4 Proven Strategies
1. Use Government Grants and Schemes for First-Home Buyers
Both federal and state governments offer financial assistance specifically designed to make homeownership more accessible. These are the key programs to explore:
- First Home Owner Grant (FHOG): A one-off cash payment for eligible first-home buyers purchasing or building a new home. Amounts vary by state.
- First Home Loan Deposit Scheme (FHLDS): Allows eligible buyers to purchase with as little as a 5% deposit, with the government guaranteeing the remaining 15%.
- Stamp Duty Concessions: Most states offer full or partial stamp duty exemptions for first-home buyers, potentially saving tens of thousands of dollars.
- Shared Equity Schemes: Government co-ownership programs that reduce your upfront deposit and mortgage repayments.
2. Search Affordable Regions and Suburbs
Regional Australia consistently offers lower property prices and rental rates than capital cities. Cities like Newcastle (NSW), Ballarat (VIC), and Geelong (VIC) strike a strong balance between affordability and lifestyle. For the most budget-friendly options, smaller rural towns offer remarkable value — often with strong rental yields for investors.
3. Consider Alternative Housing Options
If a conventional home is beyond your budget, these alternatives may be worth exploring:
- Tiny Homes — Lower purchase cost, minimal maintenance, and flexible placement options.
- Shared Housing — Split costs with co-buyers or enter a co-operative housing arrangement.
- Rent-to-Buy Schemes — Lease a property with the option to purchase later at an agreed price.
4. Work With a Buyer’s Agent Specialising in Affordable Property
A buyer’s agent with regional expertise can identify below-market listings, distressed sales, and off-market opportunities that never make it to the major portals. For investors seeking high rental yields, this can make a significant difference.
Top 10 Affordable Houses for Sale in Australia Right Now
We scoured Domain and realestate.com.au to find the most affordable house listings across Australia. Here’s what we found:
1. 69–71 High Street, Tambar Springs NSW 2381 — $95,500
A three-bedroom, one-bathroom weatherboard home on a 2,023 m² block in the heart of New South Wales’ North West Slopes. With a population of just 187, Tambar Springs is one of the most peaceful — and affordable — places to settle in regional NSW. Sydney is 417 km away; Gunnedah is just 67 km down the road. The property needs renovation, but the space and value are unmatched.
2. Lot 477 Flinders Street, Coober Pedy SA 5723 — $85,000
Australia’s opal capital — 846 km north of Adelaide — this above-ground property features two bedrooms with ceiling fans, an open-plan living area with split-system air conditioning, and a double carport. Ideal for those seeking a truly unique lifestyle in the South Australian outback.
3. 93 Blende Street, Broken Hill NSW 2880 — $85,000
Priced well below the local median of $190,000, this two-bedroom home features a stone fireplace, spacious kitchen, and rear lane vehicle access. With a median weekly rent of $320 and an impressive 9.0% annual rental yield, this is one of Australia’s most compelling investment opportunities.
4. 24 Lenneberg Street, Marvel Loch WA 6426 — $80,000
A circa-1985 mobile home on a 1,012 m² block in a historic Gold Rush town 401 km east of Perth. Three bedrooms and one bathroom — and the option to relocate the dwelling if needed. Best suited to owner-occupiers or lifestyle buyers rather than investors.
5. 26 Hope Street, Bourke NSW 2840 — $98,000
Situated on the banks of the magnificent Darling River, this three-bedroom, two-bathroom home offers genuine investment appeal. The median house price in Bourke is $140,000, houses have seen a 12% annual compound growth rate, and the property generates a remarkable 13.8% annual rental yield.
6. 14 McIntyre Street, Mount Isa QLD 4825 — $59,000
Dubbed the heartbeat of North West Queensland, this three-bedroom, two-bathroom home on a 673 m² block sits in the heart of the outback. Renovation is required, but the entry price is extraordinary. Rental yields of around 4.6% are achievable for investors willing to make the move.
7. 8 Downing Street, Norseman WA 6443 — $56,000
This two-bedroom property in the Goldfields-Esperance region, 726 km east of Perth, is proof that sub-$60,000 homes still exist in Australia. The local median is $50,000, and the property comes with two parking spaces on a 647 m² block.
8. 201/51 Beach Road, Batehaven NSW 2536 — $99,000
A rare find — a two-bedroom holiday home near Batemans Bay for under $100,000. Features include an undercover deck, gas and electric kitchen, built-in wardrobes, and covered parking. Perfect as a holiday retreat or low-cost entry into the property market in a lifestyle destination.
9. 14 King Street, Queenstown TAS 7467 — $90,000
A charming three-bedroom weatherboard cabin on Tasmania’s West Coast, priced well below the local median of $190,750. Features include a wood heater and open-plan living. With weekly rents averaging $300 and an annual yield of 7.0%, it also offers solid investment fundamentals in a growing regional tourism hub.
10. 5 Devereux Street, Warracknabeal VIC 3393 — $99,000
A two-bedroom weatherboard cottage in the Victorian Wheatbelt, 330 km northwest of Melbourne. Extras include a 21-panel solar system, heat pump hot water, and rainwater tank. Rental data shows $320/week and a 7.0% yield, with an 11.2% annual compound house price growth rate.
Australia’s 5 Cheapest Houses for Under $50,000
For buyers on an ultra-tight budget, these five properties prove that homeownership in Australia can start below $50,000:
- 1 Bow Street, Rainbow VIC — $50,000: A two-bedroom steel-clad bungalow on a 1,093 m² block in northwest Victoria, 400 km from Melbourne. Solid bones, slow combustion heater, carport, and a large shed.
- A/16 Rogers Street, Wongan Hills WA — $40,000: A three-bedroom duplex in WA’s Wheatbelt region, centrally located near schools, shops, and sporting facilities on a 545 m² lot.
- 162 Pell Street, Broken Hill NSW — $49,000: A three-bedroom stone home on 873 m² in one of Australia’s most iconic outback towns. Features a historic fireplace and spacious kitchen and dining area.
- 24 Wakoola Street, Wakool NSW — $38,000: A four-bedroom property deep in the Riverina region, more than 700 km from Sydney. Two bedrooms plus two sleep-outs make this ideal for a large family or renovation project.
- 93 Kitchener Street, Peterborough SA — $48,000: A two-bedroom stone home on 1,517 m² in the heart of South Australia’s wheat country. Arched passageways, high ceilings, and a wood stove give it genuine character.
Frequently Asked Questions About Affordable Housing in Australia
What is the cheapest state to buy a house in Australia? Western Australia and South Australia consistently offer the lowest house prices among Australia’s states, with affordable options available in regional and rural areas from as little as $40,000–$60,000.
Can I buy a house in Australia for under $100,000? Yes. There are numerous properties available for under $100,000 in regional and remote areas of NSW, QLD, SA, WA, VIC, and TAS. Most will require renovation, and many are in small rural towns rather than major regional centres.
Is it worth buying a cheap house in a rural area? It can be, especially for investors. Many rural properties offer rental yields of 7–13%, which are significantly higher than capital city averages. However, buyers should carefully consider local demand, rental vacancy rates, and future resale prospects.
What government grants are available for first-home buyers in Australia? The First Home Owner Grant (FHOG), First Home Loan Deposit Scheme (FHLDS), and state-based stamp duty concessions are the main programs available. Eligibility criteria vary by state and property type.
Conclusion: Finding Affordable Housing in Australia Is Still Possible
While Australia’s major cities remain out of reach for many buyers, affordable houses do exist — you just need to know where to look. From Broken Hill’s high-yielding investment properties to Tasmania’s charming renovation projects, the options for budget-conscious buyers are more plentiful than you might think.
Before you begin your search, clarify your goals: Are you looking for a primary residence, a holiday retreat, or an investment property? Define your must-haves, set a realistic budget, and research local rental demand and price growth trends. With the right strategy, affordable homeownership in Australia is well within reach.
Ready to start your property search? Browse listings on Domain or realestate.com.au and bookmark this page for regular updates.