Some regions in Australia quietly outperform the rest in terms of short-term rental (STR) income. These may not always be the biggest cities or the most obvious holiday spots. But they share key traits: consistent guest demand, strong pricing power, and well-defined seasonal peaks.
The locations we’ll discuss below attract travellers willing to pay more and stay longer. You’ll also know what sets them apart and what to learn from the numbers behind their success.
Are short-term rentals worth it? Top 5 highest-earning STR markets in Australia
The five regions below rank among the highest earning STR locations in Australia. A quick look at their income by region, booked rates, and occupancy reveals where hosts generate the strongest returns.
Southern Highlands - $103,596
- Average Revenue per Listing: $103,596
- Average Booked Rate: $555
- Total Occupancy: 51%
The Southern Highlands remains one of the best regions for hosts aiming to grow premium listings. Weekend demand spikes during local events such as winery tours and Tulip Time, which attract over 40,000 visitors. This allows hosts to maximise income without relying on extended stays or midweek traffic. With the right pricing strategies, many listings secure strong returns during seasonal events and mini getaways.
Byron Bay - $101,258
- Average Revenue per Listing: $101,258
- Average Booked Rate: $522
- Total Occupancy: 53%
Byron Bay is one of the best cities for STR investment, drawing 1.9M+ visitors each year. Its high-value coastal stays attract music lovers, wellness travellers, and summer holidaymakers. Events such as Splendour in the Grass and New Year’s Eve festivals increase bookings. This region delivers reliable profitability for hosts offering premium amenities, especially across late Q4 and mid-year festival windows.
Hunter Valley - $98,783
- Average Revenue per Listing: $98,783
- Average Booked Rate: $481
- Total Occupancy: 51%
Wine festivals and harvest seasons in the Hunter Valley help drive strong STR rental yield. The region has over 1.6 million annual visitors, ensuring reliable short-term rental returns. Most bookings concentrate near cellar doors, where high nightly rates are standard. The Hunter Valley rewards property owners who offer premium escapes and curated local stays. It provides consistent STR performance through event-led demand and relaxed weekend retreats.
Gold Coast - $89,304
- Average Revenue per Listing: $89,304
- Average Booked Rate: $400
- Total Occupancy: 61%
The Gold Coast ranks among the top STR markets in Australia, attracting about 12 million visitors annually. School holidays, surf events, and a strong leisure reputation fuel demand. With some of the highest occupancy rates, the region suits hosts offering a flexible vacation home setup. Many listings earn steady income year-round, with short-stay bookings helping reduce turnover while preserving premium nightly rates.
Queensland Coast - $80,114
- Average Revenue per Listing: $80,114
- Average Booked Rate: $371
- Total Occupancy: 59%
Many short-term rentals across the Queensland Coast perform steadily thanks to the area’s year-round tourist interest. From April to October, reef-related travel surges, with 2.3+ million annual visits to the Great Barrier Reef. Noosa, in particular, benefits from a strong mid-week market and local event calendar. This contributes to reliable profitability for hosts who cater to eco-minded guests or offer flexible coastal stays.
Common features these top STR markets share
For those wondering whether short-term rentals are worth it, the above regions prove it can be when done right. When you step back from the revenue charts and look keenly, you will notice a clear pattern. Australia’s top short-term rental markets succeed by leaning into local demand, timing, and guest preferences. These are proven models that successful hosts continue to prioritise.
High tourism demand fuels year-round potential
These destinations attract a steady stream of travellers. The Gold Coast welcomed 12.4 million visitors in 2024, a 2% jump from the previous year. Byron Bay drew 1.9 million, up 18% year-on-year, while Hobart and Byron remain top 10 spots for domestic holidays. This tourism footprint helps buffer off-seasons, giving hosts a solid base to build around.
Premium tourism and location-based demand
Each region attracts guests through experiences shaped by its surroundings, such as vineyard tours or exclusive retreats. These location-based patterns reflect key dynamics that consistently influence booking behaviour and guest preferences.
Natural beauty and seasonality play a big role
The Queensland Coast’s reef alone drew over 2 million visitors in 2024, marking a 10% annual increase. Such environments support strong guest interest and help maintain high occupancy rates. When hosts align booking calendars with local patterns and events, seasonality becomes a revenue opportunity.
How can you benefit from these insights?
The best-performing STR markets are backed by strategy and consistent patterns. Use these insights to shape your decision-making.
Invest in high-demand, under-the-radar locations
Target areas just outside these five hot spots, where demand is rising but prices haven’t peaked.
Master the art of event-driven pricing
Events create price spikes that few other factors can match. Always align rates with local calendars and adjust in real time.
Deliver more than just a stay - offer a whole experience
Guests expect thoughtful spaces. Listings with local character, reasonable layout, and comfort often outperform standardised properties.
Use real data to guide every decision
Smart hosts use innovative pricing strategies sourced from real-time data to improve pricing and grow returns.
Many hosts miss out on revenue simply by guessing their prices. Beyond’s dynamic pricing tool solves that by automatically tracking real-time demand and adjusting rates. This leads to better bookings and increased profitability.
Still doubting if short-term rental is worth it? Start setting smarter rates and unlock your property’s full income potential. Use Beyond’s free STR data tool to get started today.
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