The age old debate – to rent, or to buy? That is the question!

@Domain’s recent analysis has highlighted some surprising statistics around our nations mortgage
Vs rental market, begging the question – is it in fact cheaper to buy than rent? If so, in which areas?

Nationally, the study found that it is cheaper to pay off a mortgage than rent in 13.8% of suburbs for
houses and 21% of suburbs for units, however – our Melbourne market runs a bit differently!

“Sydney and Melbourne continue to prove to be the outliers, where renters are certainly obtaining
the benefit of a lower upfront spend than mortgage holders. While units in Darwin are cheaper to
BUY then rent in 82.1% of suburbs, Sydney and Melbourne are both cheaper to rent.”

In Melbourne specifically, it is only cheaper to buy a UNIT in 1.5% of suburbs, with 100% of suburbs
in Melbourne found to be cheaper to rent a HOUSE.

For our Victorian investors looking at their next purchase – let’s break down exactly WHERE is it
cheaper to buy, than it is to rent.

The Melbourne suburbs that are cheaper to buy a UNIT:

  • Travancore
  • Albion
  • Essendon North
  • Carlton

The regional Victorian suburbs that are cheaper to buy a HOUSE:

  • Stratford
  • Kerang
  • Maffra
  • Red Cliffs
  • Mooroopna

“Opting to rent appears to be more cost-effective on a weekly basis in locations with more expensive
median purchase prices.”

Does this information surprise you?
Fantastic insights from @Domain as always, click the link below to read the full report.