13.11.2025

Aussie capital named top two city in the world according to realestate.com.au

An Aussie capital has emerged as one of the top two cities in the world for a surprising reason. Brisbane blitzed the worldwide line-up in the Compare The Market’s latest Cost of Living Index, named second best in the world behind Seoul thanks to its “ultra-cheap” public transportation charges at 50 cents a trip.

Brisbane has once again secured its place as one of the most cost-of-living-friendly cities in the world, ranking second globally for the second year in a row. The latest global index credits Brisbane’s affordability to several key factors, including ultra-low 50-cent public transport fares, competitive fuel prices averaging $1.64 per litre, and an average annual wage of $105,810. Since 2015, rent prices have also seen a 19% increase—modest compared to global trends.

Although the Reserve Bank of Australia began easing interest rates in February—marking its first cut in over four years—the current cash rate of 4.1% remains relatively low compared to international benchmarks. Further rate cuts, potentially up to 100 basis points by August, could see Brisbane overtake Seoul to claim the global top spot for affordability.

Melbourne and Sydney also made notable progress in the rankings, securing fifth and ninth place respectively. These improvements were largely driven by lower national cash rates, rising average wages, and declining fuel and electricity costs.

The index, which evaluates 42 global capital cities across 11 cost-related factors, including wages, interest rates, fuel and electricity prices, rent, and grocery costs, found that while cities like Brisbane offer notable advantages, no location scored higher than 7 out of 10—highlighting that no city is entirely free of cost-of-living pressures.

Stephen Zeller, General Manager of Money at Compare the Market, encourages residents to take control of their finances by comparing options across home loans, energy providers, and insurance products. “There are always ways to reduce everyday expenses—small savings can add up significantly over time.”

For those considering making Brisbane home, now is an ideal time to explore the market. With its continued affordability, lifestyle appeal, and future growth potential—particularly in the lead-up to the 2032 Olympic Games—Brisbane remains a standout destination for smart property investment and premium urban living.

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