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This article covers everything you need to know about running a profitable Airbnb in Australia in 2026, from legal requirements to realistic earnings.
We break down the numbers, regulations, and competition so you can make an informed decision about short-term rental investing.
We constantly update this blog post with fresh data on housing prices and Airbnb performance across Australian cities.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Australia.
Insights
- Victoria's 7.5% short-stay levy applies to all Airbnb bookings under 28 nights, adding roughly A$285 in extra costs for every A$3,800 in monthly revenue for Melbourne hosts.
- Perth stands out with 72% occupancy rates, significantly higher than Melbourne's 55%, making it one of Australia's strongest Airbnb markets despite fewer total listings.
- Byron Shire's 60-day annual cap on unhosted rentals has been active for over a year, yet independent analysis shows it hasn't improved housing affordability.
- Top-performing Airbnb hosts in Australia achieve 10 to 15 percentage points higher occupancy than average hosts through better photos, dynamic pricing, and faster response times.
- Sydney's mandatory STRA registration now includes an exclusion register where non-compliant hosts can be permanently banned from the short-term rental industry.
- Brisbane City Council's proposed permit system could force some existing Airbnb operators back to long-term rentals if properties don't meet new zoning requirements.
- Family-friendly 2 to 3 bedroom homes near public transport remain undersupplied across most Australian cities, offering genuine white space for new hosts.
- Strata buildings in Victoria can now vote to ban short-stays entirely since January 2025, so apartment owners must check building rules before investing in Melbourne.
- The Gold Coast commands Australia's highest average nightly rates at around A$280, but with 40% or more revenue swings between seasons.
Can I legally run an Airbnb in Australia in 2026?
Is short-term renting allowed in Australia in 2026?
As of the first half of 2026, short-term renting through Airbnb is legal across Australia, but whether you can operate depends on a combination of state laws, local council rules, and strata bylaws that vary significantly by location.
Australia uses a layered regulatory system where federal tax laws, state registration frameworks, and local council planning rules all apply simultaneously, so there is no single "Airbnb law" covering the whole country.
The most important restriction: apartments in strata buildings face the tightest controls, since owners corporations in Victoria can now vote to ban short-stays entirely, and NSW strata bylaws can prohibit rentals where the host doesn't live on-site.
Hosts must also comply with state registration in NSW and WA, safety standards including smoke alarms, and in Victoria a 7.5% levy on all short-stay bookings.
Penalties for operating illegally include fines, registration suspension, platform removal, and in NSW placement on an exclusion register banning you from the industry.
For a more general view, you can read our article detailing what exactly foreigners can own and buy in Australia.
If you are an American, you might want to read our blog article detailing the property rights of US citizens in Australia.
Are there minimum-stay rules and maximum nights-per-year caps for Airbnbs in Australia as of 2026?
As of the first half of 2026, there is no single national cap on Airbnb nights in Australia, but several high-pressure markets have their own limits: Greater Sydney caps unhosted rentals at 180 nights per year, Byron Shire restricts them to 60 days, and Perth metro limits unhosted rentals to 90 nights without development approval.
These rules differ based on property type and host residency: "hosted" setups where you live on-site can generally operate without caps, while "unhosted" entire-home listings face stricter limits.
Hosts in NSW track rental nights through the mandatory STRA registration system and must display their registration number on all listings, while platforms share booking data directly with state authorities.
Exceeding caps risks fines, registration suspension, and platform removal, with repeat NSW offenders facing permanent industry bans via the exclusion register.
Do I have to live there, or can I Airbnb a secondary home in Australia right now?
In many parts of Australia you don't need to live in the property to run an Airbnb, but "unhosted" listings face significantly more scrutiny and restrictions than hosted setups.
Secondary homes and investment properties can legally operate as short-term rentals in most states, but caps apply: Greater Sydney limits unhosted properties to 180 nights annually, Perth metro caps them at 90 nights without approval, and Byron Shire allows just 60 days.
Non-primary residence rentals typically require state registration in NSW or WA, fire safety compliance, and potentially local council planning approval depending on your area.
The key difference: hosted properties where you live on-site are generally exempt from annual night caps and face fewer compliance requirements.
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Can I run multiple Airbnbs under one name in Australia right now?
Yes, you can run multiple Airbnb listings under one name in Australia, but scaling up attracts more regulatory attention and significantly increases your compliance burden.
There's no hard national limit on how many properties one person can list, though operating at scale may push you into a category some councils treat as commercial activity, potentially requiring different planning approvals.
Each property must meet its own registration, safety, and planning requirements, so multiple listings means multiplying compliance workload across NSW's STRA system, WA's register, Victoria's levy, and council permits.
The main regulatory concern: councils like Brisbane are moving toward permit systems partly to prevent large-scale investors from removing too many properties from long-term rental supply.
Do I need a short-term rental license or a business registration to host in Australia as of 2026?
As of the first half of 2026, you need some form of registration in most states to operate an Airbnb in Australia, plus basic tax reporting since all Airbnb income is taxable.
In NSW, you must register through the STRA system before advertising; in WA, all properties must be on the statewide STRA register regardless of hosted or unhosted status.
Required documents typically include proof of ownership or landlord consent, evidence of safety compliance like smoke alarms, and sometimes strata approval for managed buildings.
Registration costs are generally under A$100, though Victoria's 7.5% short-stay levy functions as an ongoing fee on your revenue.
Are there neighborhood bans or restricted zones for Airbnb in Australia as of 2026?
As of the first half of 2026, outright neighborhood bans are rare in Australia, but several areas operate under tight caps or permit requirements that effectively limit short-term rental activity.
The most notable restricted area is Byron Shire in NSW with a 60-day annual cap on unhosted rentals, while Brisbane is moving toward a permit system that could force some operators back to long-term renting based on zoning.
These restrictions exist primarily due to housing affordability pressures and tourism impacts on local communities.
We made this infographic to show you how property prices in Australia compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
How much can an Airbnb earn in Australia in 2026?
What's the average and median nightly price on Airbnb in Australia in 2026?
As of the first half of 2026, the median nightly price for an Airbnb in Australia is around A$190 (US$120 or EUR 110), while the average reaches A$220 (US$140 or EUR 130) because luxury and coastal properties pull averages up.
The typical price range covering 80% of Australian listings falls between A$120 and A$350 (US$75 to US$220 or EUR 70 to EUR 200), with budget options in suburban areas and premium prices around beachfront and CBD properties.
Location is the biggest pricing factor: a well-positioned property in Bondi Beach or Surfers Paradise can command double or triple the rate of similar listings in outer suburbs like Parramatta or Chermside.
By the way, you will find much more detailed profitability rent ranges in our property pack covering the real estate market in Australia.
How much do nightly prices vary by neighborhood in Australia in 2026?
As of the first half of 2026, nightly prices in Australia's major cities vary by 1.6 to 2.2 times between affordable outer suburbs and premium neighborhoods, with beachside areas like Bondi commanding A$350 per night (US$220 or EUR 200) versus A$160 (US$100 or EUR 95) in areas like Rockdale.
The three highest-priced neighborhoods are Bondi Beach and Manly in Sydney at A$320 to A$400 (US$200 to US$250), Surfers Paradise and Broadbeach on the Gold Coast at A$280 to A$350 (US$175 to US$220), and Melbourne CBD and Southbank at A$250 to A$320 (US$155 to US$200).
Lower-priced areas like Parramatta in Sydney, Footscray in Melbourne, and Chermside in Brisbane average A$130 to A$180 per night (US$80 to US$115), though they still attract budget travelers and families visiting nearby hospitals or universities.
What's the typical occupancy rate in Australia in 2026?
As of the first half of 2026, the typical occupancy rate for Airbnb listings in Australia is around 58%, meaning a well-managed property can expect roughly 17 to 18 booked nights per month on average.
The realistic range covering most listings falls between 45% and 70%, with city centers and holiday hotspots at the higher end and suburban properties at the lower end.
Australian occupancy compares favorably to the national hotel average of 65% to 70%, though STR occupancy shows more seasonal variation due to leisure-focused markets like the Gold Coast.
Dynamic pricing is the biggest factor in achieving above-average occupancy, with hosts who actively adjust rates outperforming static-pricing hosts by 10 to 15 percentage points.
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What's the average monthly revenue per listing in Australia in 2026?
As of the first half of 2026, the average monthly revenue per Airbnb listing in Australia is approximately A$3,800 (US$2,400 or EUR 2,200), calculated from A$220 nightly rate times 58% occupancy over 30 nights.
The realistic range covering 80% of listings spans A$1,800 to A$5,500 (US$1,150 to US$3,450), with entry-level properties at the bottom and optimized prime-location listings at the top.
Top-performing listings achieve A$6,000 to A$9,000 monthly (US$3,750 to US$5,650), particularly in Bondi, Surfers Paradise, or Melbourne CBD. A 2-bedroom Sydney eastern suburbs apartment at 75% occupancy and A$300 per night generates roughly A$6,750 monthly before expenses.
Finally, note that we give here all the information you need to buy and rent out a property in Australia.
What's the typical low-season vs high-season monthly revenue in Australia in 2026?
As of the first half of 2026, typical Airbnb revenue in Australia during low season ranges from A$2,300 to A$3,200 (US$1,450 to US$2,000), while high season reaches A$4,500 to A$6,800 (US$2,800 to US$4,250), a swing of 40% to 100% depending on location.
Low season typically falls between May and August (winter), with May to June slowest, while high season peaks during December to February (summer holidays), Easter in April, and September to October school holidays.
What's a realistic Airbnb monthly expense range in Australia in 2026?
As of the first half of 2026, realistic monthly operating expenses for an Airbnb in Australia range from A$900 to A$1,900 (US$565 to US$1,200) for self-managed properties, and A$1,600 to A$3,400 (US$1,000 to US$2,150) with professional management.
Cleaning and turnover costs represent the largest expense category, running A$80 to A$180 per turnover, which adds up to A$400 to A$900 monthly for properties with frequent short stays.
Hosts should expect to spend 35% to 50% of gross revenue on operating expenses, including platform fees (around 3%), cleaning, utilities, insurance, maintenance, and in Victoria the 7.5% short-stay levy.
If you want to go into more details, we also have a blog article detailing all the property taxes and fees in Australia.
What's realistic monthly net profit and profit per available night for Airbnb in Australia in 2026?
As of the first half of 2026, realistic monthly net profit for an Airbnb in Australia before mortgage and income tax ranges from A$1,200 to A$2,200 (US$750 to US$1,380), while profit per available night after costs sits around A$40 to A$70 (US$25 to US$44).
The range spans from breaking even for heavily mortgaged properties in low season, up to A$3,500 (US$2,200) for optimized properties in premium locations during peak periods.
Australian hosts typically achieve net profit margins of 30% to 45% on gross revenue after operating expenses but before mortgage and income tax, with professionally managed properties at the lower end due to 15% to 25% management fees.
The break-even occupancy rate is around 35% to 45%, meaning you need about 11 to 14 booked nights monthly just to cover operating costs, rising significantly if servicing a mortgage.
In our property pack covering the real estate market in Australia, we explain the best strategies to improve your cashflows.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Australia versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you’re planning to invest there.
How competitive is Airbnb in Australia as of 2026?
How many active Airbnb listings are in Australia as of 2026?
As of the first half of 2026, there are approximately 90,000 to 100,000 active short-term rental listings across Australia, with largest concentrations in Sydney (26,700), Melbourne (34,500), Brisbane (12,600), Gold Coast (11,200), and Perth (6,500).
Listing numbers have grown 15% to 25% compared to last year, continuing a long-term supply expansion trend that makes platform visibility increasingly competitive, especially in saturated city centers and beach destinations.
Which neighborhoods are most saturated in Australia as of 2026?
As of the first half of 2026, the most saturated Airbnb neighborhoods include Sydney CBD, Surry Hills, Bondi Beach in Sydney; Melbourne CBD, Southbank, St Kilda in Melbourne; South Brisbane and Fortitude Valley in Brisbane; and Surfers Paradise on the Gold Coast.
These neighborhoods became saturated because they combine high tourist traffic with dense apartment stock easy to convert to STR, plus proximity to entertainment, dining, and beach amenities travelers search for first.
Relatively undersaturated neighborhoods with better opportunities include Parramatta and Homebush in Sydney, Preston and Footscray in Melbourne, Chermside in Brisbane, and Morley or Cannington in Perth.
What local events spike demand in Australia in 2026?
As of the first half of 2026, main events spiking Airbnb demand include Sydney New Year's Eve and Vivid Sydney, Melbourne's Australian Open and Formula 1 Grand Prix, Brisbane's Ekka, Gold Coast's Schoolies week, and Perth's Fringe World festival.
During peak events, bookings increase 30% to 60% and nightly rates jump 40% to 100%, with Australian Open and Sydney NYE being most dramatic where hosts can charge triple normal rates.
Hosts should adjust pricing 6 to 12 weeks before major events to capture early premium bookers, then fine-tune in the final 2 to 4 weeks as last-minute travelers search.
What occupancy differences exist between top and average hosts in Australia in 2026?
As of the first half of 2026, top-performing Airbnb hosts in Australia achieve occupancy rates of 70% to 78%, a premium of 10 to 15 percentage points above average.
Average hosts achieve around 55% to 60% occupancy, meaning top performers book 3 to 5 additional nights monthly, adding A$600 to A$1,500 in extra revenue.
New hosts typically take 6 to 12 months to reach top-performer levels, with the first 3 months most challenging as you build reviews, refine photos, and learn optimal pricing.
We give more details about the different Airbnb strategies to adopt in our property pack covering the real estate market in Australia.
Which price points are most crowded, and where's the "white space" for new hosts in Australia right now?
The price range with highest listing concentration in Australia sits between A$150 and A$250 (US$95 to US$155), where most "good value" whole-place listings cluster and competition is fiercest.
"White space" opportunities exist at the premium end above A$350 per night (US$220) for unique or luxury properties, and budget end below A$120 (US$75) for clean studios capturing price-sensitive travelers underserved by the mid-market.
Properties succeeding in underserved segments include family-friendly 2 to 3 bedroom homes with parking near transport, pet-friendly properties, accessible step-free stays, and quality studios near hospitals or universities.
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What property works best for Airbnb demand in Australia right now?
What bedroom count gets the most bookings in Australia as of 2026?
As of the first half of 2026, 1 to 2 bedroom properties get the most Airbnb bookings in Australia, capturing the largest demand share because they suit couples, solo visitors, and small families.
Booking breakdown: studios and 1-bedrooms account for roughly 40% of bookings, 2-bedrooms take about 35%, and 3+ bedrooms capture 25%, though larger properties earn more per booking.
This bedroom count performs best because domestic travel is heavily weighted toward couples and small groups on weekend getaways, and most international visitors travel in pairs.
What property type performs best in Australia in 2026?
As of the first half of 2026, apartments perform best for Airbnb consistency in Australian CBD and inner-city locations, while detached houses outperform in beach and coastal markets where travelers want space and outdoor areas.
Occupancy by type: apartments average 58% to 65% in city markets with steadier year-round bookings, houses achieve 50% to 60% but with higher revenue per booked night, and unique stays sit at 40% to 50% but command significantly higher rates.
Apartments outperform in cities because they're closer to entertainment and transport, often with amenities like pools, while houses win in holiday markets because guests seek space and privacy for family stays.
What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about Australia, we always rely on the strongest methodology we can ... and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source Name | Why It's Authoritative | How We Used It |
|---|---|---|
| NSW Planning Portal STRA | It's the NSW Government's official short-term rental hub covering registration, rules, and compliance. | We used it to establish legal hosting requirements in NSW. We also referenced it for Australia's layered regulatory structure. |
| Service NSW STRA Registration | It's the primary NSW Government page showing registration pathway and requirements. | We used it to confirm mandatory STRA registration. We framed licensing language clearly for non-professionals. |
| NSW Government STRA Policy | It's the official NSW policy page explaining the statewide framework. | We used it to describe the 180-day cap and hosted vs unhosted distinctions. We referenced safety and code obligations. |
| WA Government STRA Register | It's Western Australia's official register page under the 2025 STRA law. | We used it to confirm WA's statewide registration. We explained hosted vs unhosted distinctions in WA policy. |
| WA Planning STRA Reforms | It's WA's planning authority page on short-term rental reforms. | We used it to explain Perth metro's 90-night limit. We showed planning controls vary by zone. |
| Victoria Parliament Short Stay Levy | It's Victorian Parliament's official explainer on the levy bill and policy. | We used it to confirm the 7.5% levy rate and January 2025 start. We flagged it as a meaningful recurring cost. |
| Victoria State Revenue Office | It's the Victorian revenue authority's official guidance on levy compliance. | We used it to confirm the levy is now in force. We explained how it affects booking economics. |
| Brisbane City Council Proposed Law | It's the primary source for Brisbane's proposed permit-style approach. | We used it to explain how council rules can change feasibility. We flagged compliance risk for Brisbane hosts. |
| Australian Taxation Office | It's the national tax authority's official guidance for Airbnb income. | We used it to explain all Airbnb income is taxable. We separated tax obligations from operating profit. |
| Reserve Bank of Australia | It's the central bank's official cash rate data driving borrowing costs. | We used it to frame financing reality for 2026. We explained why mortgages materially change profitability. |
| Tourism Research Australia | It's the Australian Government's core tourism statistics hub. | We used it to anchor demand logic around travel cycles. We justified seasonality assumptions for different markets. |
| AirDNA Australia | AirDNA is a leading STR analytics provider with comprehensive Australian coverage. | We used it as primary source for rates, occupancy, revenue, and listings. We cross-checked against tourism data. |
| PriceLabs Australia Trends | PriceLabs is a major STR revenue management firm with data-driven reporting. | We used it to validate seasonality and pricing behavior. We quantified top vs average host performance gaps. |
| NSW Code of Conduct | It's NSW Government's official code of conduct explanation for STRA. | We used it to describe behavioral compliance requirements. We explained nuisance risk in strata buildings. |
| AustLII Victoria Levy Act | AustLII is a respected free legal database for Australian legislation. | We used it to validate Victoria's levy is backed by legislation. We kept legal references accurate. |
| NSW Fire Safety Standard | It's an official NSW Government safety standard for STRA. | We used it to explain safety compliance costs. We justified budgeting for safety upgrades. |
| ABC News | It's Australia's national public broadcaster providing reputable journalism. | We used it to verify Byron Shire's 60-day cap effects. We referenced coverage showing caps haven't improved affordability. |
| Airbtics Sydney Data | Airbtics provides detailed STR analytics with revenue breakdowns. | We used it to cross-check revenue and performance tiers. We informed annual revenue calculations. |
| Airbnb Help Centre Australia | It's Airbnb's official guidance for Australian hosts on responsibilities. | We used it to confirm platform-level obligations. We referenced safety and insurance guidance. |
We created this infographic to give you a simple idea of how much it costs to buy property in different parts of Australia. As you can see, it breaks down price ranges and property types for popular cities in the country. We hope this makes it easier to explore your options and understand the market.