Regions beckon as young Aussies rethink city life

Gen Z is leading a new wave of city dwellers eyeing a move to the regions, with almost half considering swapping skyscrapers for the great outdoors.

Australians aged 18 to 29 have overtaken millennials (aged 30 to 45) as the cohort most eager to leave the city for the regions, with 49 per cent considering the move, Regional Australia Institute (RAI) research shows.

More than 5.3 million Australians - about 37 per cent of metropolitan residents - say they would consider making the shift.

Cost and housing key drivers

For generation Z, the financial pull is particularly strong, with more than half (52 per cent) citing cheaper living costs as a key driver and 50 per cent pointing to more affordable housing.

At 28, economic development worker Mikaela Carroll (picutred above with partner Ryan) is part of that shift.

After finishing university at the onset of the COVID-19 lockdowns, she and Ryan left Brisbane in a van with plans to stop briefly in Bunbury, a regional town south of Perth.

"We ended up staying there for five years," she told AAP. "We really loved it."

Originally planning to "top up the bank accounts" somewhere more affordable for a few months, the couple found themselves with good jobs and a lifestyle their city-based friends couldn't afford.

The pair have since relocated to Launceston in Tasmania, where they retain the benefits of regional life while being closer to family.

"Living down here, we were able to buy a place that's only a six-minute drive to work," Ms Carroll said.

"That, in itself, is a huge, huge challenge in metropolitan areas."

Intentions versus action

While perceptions are shifting, it remains to be seen how many young city dwellers will act on their intentions.

Only 23 per cent of gen Z Australians considering the move said they would do so in the next two years, climbing to 37 per cent in the next five years.

Fear of isolation remains the biggest hurdle preventing young Australians from making the move, with 44 per cent worried about being cut off from family and friends.

Ms Carroll admitted the distance had been trying, but said the benefits outweighed the downsides.

"I definitely feel like I've got better mental health than I did when I was living in Brisbane because I'm not constantly worrying about the end of my lease," she said.

Mirroring a broader trend

The trend aligns with recent findings in The Regional Movers Index, a partnership between the RAI and the CommBank.

Relocations from capitals to regions outpaced moves in the opposite direction by 36% in the September 2025 quarter as people chased lifestyle and job opportunities.