Australia Short-Term Rental Market Review 2025: Revenue, Occupancy & Supply Growth
Australia Short-Term Rental Market Overview 2025
Number of Airbnb Listings Changes in Australia 2025
Which markets are experiencing rapid saturation?
A key consideration when entering a new short-term rental market is assessing whether it may become oversaturated. To evaluate this, we analyze the year-over-year supply change in Airbnb listings. The national average YoY supply change in Australia was 13.79% in 2025, indicating the overall growth trajectory of the market.
Markets with Largest Absolute Supply Increases in Australia
In absolute terms, Melbourne experienced the largest increase with +3,251 new listings added in 2025. This was followed by Sydney (+2,851 listings) and Brisbane (+1,459 listings).
Markets with Fastest Relative Growth in Australia
In relative terms, Brisbane experienced the most significant growth, with 34.03% more supply added over the 12-month period in 2025. Other rapidly expanding markets include Hervey Bay (+33.52%) and Sydney (+28.88%).
Short-Term Rental Revenue Trend in Australia 2025, and Future Outlook for 2026
Does increased supply necessarily indicate market saturation?
To assess market saturation, we examine year-over-year revenue trends. A decline in revenue per listing typically indicates heightened competition and potential oversaturation. The Australia average YoY change in revenue was 4.52% in 2025, representing an increase from $45,174 in 2024 to $71,770 in 2025.
Top Markets Revenue Performance
Melbourne
Sydney
Brisbane
For more detailed revenue YoY change analysis by market, access the Airbtics dashboard to explore specific market performance metrics.
Easiest Markets for Hosts in Australia 2025
Markets with high occupancy rates provide hosts with greater booking consistency, while markets with high booking volumes offer expanded opportunities across various property types and sizes.
Highest Occupancy Rate Markets in Australia 2025
South Brisbane recorded a year-round occupancy rate of 89.00%, which is among the highest in Australia. This was followed by Perth (85.00%) and Surfers Paradise (83.00%).
Highest Booking Volume Market in Australia 2025
Markets with high booking volumes present additional advantages, as they offer diverse opportunities across various property types and price points. The market that recorded the highest booking volume in Australia is Melbourne, with approximately 5,048,139 nights booked in 2025.
Regulatory Landscape
We define a professionalized or strictly regulated market as one where over 50% of active Airbnb listings hold valid license information, indicating consistent enforcement and higher compliance. Markets below this threshold are considered unregulated or lenient.
In Australia, 20 out of 46 markets fall into the professionalized / strict regulation category. For detailed license compliance data and market-specific regulatory insights, the Airbtics dashboard provides the percentage of listings with valid licenses for each market, enabling investors to assess regulatory risk at a granular level.
Which Australia Markets Are Growing Healthily vs Overheating?
Understanding market saturation requires looking at both supply growth and revenue trends together. Markets are categorized by comparing their YoY supply and revenue changes against Australia's national averages. Markets where supply is growing faster than revenue (relative to national averages) may be approaching saturation, while markets with below-average supply growth but above-average revenue growth may present hidden opportunities.
Benchmark: Markets are categorized relative to Australia's national averages (Supply: 13.8%, Revenue: 4.5%). Markets above the national average are marked with ↑, while those below are marked with ↓.
Healthy Growth
Supply > avg, Revenue > avg
Expansion with demand keeping up
- Snowy Mountains Supply: +14.6% | Revenue: +23.4%
- Snowy River Supply: +14.8% | Revenue: +22.1%
- South Brisbane Supply: +21.0% | Revenue: +16.8%
- Brisbane Supply: +34.0% | Revenue: +14.9%
- Perth Supply: +15.3% | Revenue: +13.2%
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+4 more markets
Launceston, Hervey Bay, Sydney, Adelaide ×
Early Saturation
Supply > avg, Revenue ≤ avg
Competition rising
- Australian Capital Territory Supply: +22.8% | Revenue: -1.6%
- Melbourne Supply: +19.0% | Revenue: +3.8%
- Surfers Paradise Supply: +18.9% | Revenue: -2.0%
- Gold Coast Supply: +17.7% | Revenue: -0.4%
- Cairns Supply: +17.6% | Revenue: +0.6%
-
+6 more markets
Tweed Heads Nsw, Tweed Valley, Greater Hobart Tas, Goldfields, Murray, Fleurieu - Kangaroo Island ×
Under-the-Radar
Supply ≤ avg, Revenue > avg
Hidden opportunities
- Darwin Supply: +11.7% | Revenue: +29.9%
- Geelong And The Bellarine Supply: +10.0% | Revenue: +12.5%
- Northern And Yorke Supply: +9.7% | Revenue: +10.0%
- Central Coast Supply: +12.6% | Revenue: +7.9%
- South Coast Supply: +11.6% | Revenue: +7.6%
-
+3 more markets
Newcastle Nsw, Victoria'S High Country, Blue Mountains Nsw ×
Declining
Supply ≤ avg, Revenue ≤ avg
Risky markets
- Grampians Supply: +10.7% | Revenue: -14.6%
- Great Ocean Road Supply: +6.1% | Revenue: -2.8%
- Sunshine Coast Supply: +12.3% | Revenue: -1.9%
- Daylesford Supply: +4.4% | Revenue: -1.4%
- Great Lakes Supply: +6.4% | Revenue: -0.9%
-
+13 more markets
Richmond Valley - Coastal, Gippsland - South West, Surf Coast - Bellarine Peninsula, Nelson Bay–Fingal Bay, Phillip Island, Lower Hunter, Hunter Valley, Bass Coast, Shoalhaven, Mornington Peninsula, Phillip Island, Port Macquarie, Augusta - Margaret River - Busselton ×
For the latest updates of the market data in Australia, check out our Best Airbnb Markets in Australia.
All metrics are calculated using active short-term rental listings tracked weekly by Airbtics. Revenue, occupancy rate, ADR, and supply growth are estimated from historical booking calendars, listing activity, and proprietary aggregation models.
Source: Airbtics
Learn data methodology →
Cite this report
Airbtics (2026). Australia Short-Term Rental Market Review 2025: Revenue, Occupancy & Supply Growth. https://airbtics.com/short-term-rental-market-report-2025-australia
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