Melbourne delivers an exceptional urban lifestyle, with easy access to food, culture, art, history, and stunning surroundings. Is the cost of living worth this premier experience?
Can you afford Melbourne’s vibrant culture?
The Yarra River flows from the rugged Yarra Ranges National Park, winding through one of Australia’s largest cities and into Port Phillip Bay. Melbourne, nestled at the southeastern tip of mainland Australia, is shaped by its stunning natural surroundings and offers an enviable urban lifestyle. With its rich food scene, cultural attractions, art, history, and natural beauty, Melbourne provides a unique living experience. But if you’re thinking of moving here with the help of a Melbourne removalist, you may wonder if the cost of living is manageable for such an exceptional lifestyle.
Melbourne is a complex and multifaceted city. While the most sought-after inner-city areas have high property prices, there are numerous rental options available. Living a bit further from the city center could offer a better balance between cost and quality of life. For a family of four, the average monthly living expenses (excluding accommodation) are around $5,549.00, while a single person can expect to spend about $1,554.30 (excluding accommodation).
We provide a detailed breakdown of living costs in Melbourne, so you can adjust your budget based on your lifestyle and get a clearer idea of the expenses involved in relocating to this dynamic city.
Overview of living expenses in Melbourne
| Living Expense | Avg. cost OR Avg. cost per month |
| Rent for 1-bedroom Melbourne apartment in the city centre | $2,127.76 |
| Rent for 3-bedroom Melbourne apartment in the city centre | $3,994.12 |
| Rent for 1-bedroom suburban/regional Melbourne apartment | $1,778.23 |
| Rent for 3-bedroom suburban/regional Melbourne apartment | $2,651.50 |
| Electricity/heating/water/garbage (85 m2 apartment) | $241.35 |
| Internet (60Mbps or more, unlimited data, Cable/ADSL) | $80.00 |
| Mobile phone monthly plan with calls and 10GB+ data | $39.68 |
| Public Transport One-Way Ticket (average across all transport options) | $5.30 |
| Public Transport Monthly Ticket (average across all transport options) | $190.80 |
| Fuel (per liter) | $1.92 |
| Buying a new car
Volkswagen Golf 1.4 90KW Trendline (or equivalent) Toyota Corolla Sedan 1.6L 97kW Comfort (or equivalent) |
$40,500.00
$32,701.29 |
| Basic groceries per person | $506.20 |
The Average Salary in Melbourne
In Melbourne, the average net monthly salary is higher than the Australian average, but this is counterbalanced by the city’s elevated cost of living compared to other capital cities. On average, you can expect to earn around $6,398.03 per month after tax in Victoria. To determine how much of your salary will be required to cover the living expenses in a city known for its high costs, both within Australia and globally, it’s essential to consider these factors in your budgeting.
Housing and Rent
Accommodation typically represents the largest portion of any budget, whether you’re a professional, a family, a student, or an international visitor. Your lifestyle is greatly influenced by where and how you live. As with most cities, property prices rise as you get closer to the central business district. Below are the average costs of living in Melbourne to give you a sense of what to expect for housing in Melbourne. If you’re moving into an apartment or house, don’t forget to review our rankings of the best movers Melbourne has to offer.
| Type of Accommodation | Avg. cost/month |
| Rent for 1-bedroom Melbourne apartment in the city centre | $2,127.76 |
| Rent for 3-bedroom Melbourne apartment in the city centre | $3,994.12 |
| Rent for 1-bedroom suburban/regional Melbourne apartment | $1,778.23 |
| Rent for 3-bedroom suburban/regional Melbourne apartment | $2,651.50 |
Cost of buying an apartment
| Location | Average. cost per meter squared |
| Melbourne CBD | $10,561.53 |
| Suburban/Regional | $8,460.73 |
Your cost of living in Melbourne will depend on the lifestyle you choose. Living near the CBD comes with higher rent, but you could save on transportation costs. If you prefer suburbs like St. Kilda or Brighton near the water, expect even higher housing prices.
Luckily, many outer Melbourne communities offer a more laid-back vibe while still providing plenty of lifestyle options, including dining, nature, and culture.
Utilities
Melbourne is notorious for its unpredictable weather, often described as experiencing “four seasons in one day.” Because of this, you’ll likely need heating in the winter and cooling in the summer, which can drive up your energy costs. On average, the combined cost of electricity, heating, water, and garbage for an 85 m² apartment is about $241.35 per month.
Transport
Melbourne’s public transport system operates with the Myki card, a prepaid system that allows travel on trains, buses, trams, and more. Managed by Public Transport Victoria, fares vary based on the distance traveled, the type of ticket (such as a 2-hour or daily pass), and any applicable concessions or discounts.
Unlike many other major cities, Melbourne is renowned for preserving its historic tram system, with some vintage trolley cars still running alongside modern light rail. Navigating the inner CBD is convenient, thanks to a free tram zone that circles the perimeter and crosses the grid-like streets of central Melbourne.
Ride Melbourne’s Historic Trams
If you prefer taking a taxi, here are the average rates to keep in mind:
- Start (standard tariff): $5.50
- Per kilometer (standard tariff): $3.00
- 1-hour waiting time (standard tariff): $39.48
Groceries
Melbourne, like any major city, boasts a variety of supermarkets, with major chains frequently competing to offer the best prices and attract customers. If you prefer fresh, farm-to-table produce, Melbourne is known for its farmers’ markets, which are regularly held at various locations throughout the city.
Farm-to-Table Shopping in Melbourne
Melbourne features numerous farmers’ markets for fresh, farm-to-table shopping.
If you’re on a basic food budget, cooking your own meals at home can help you manage estimated monthly costs of:
| Common grocery items | Estimated Monthly Costs |
| White Bread (500 g) | $3.94 |
| Eggs (12) | $5.77 |
| Milk (1 L) | $2.16 |
| White Rice (1 kg) | $3.36 |
| Chicken Fillets (1 kg) | $1305 |
| Round Beef (1 kg) | $18.73 |
| Local Cheese (1 kg) | $14.32 |
| Potatoes (1 kg) | $5.30 |
| Lettuce (x 1) | $3.21 |
| Tomatoes (1 kg) | $5.30 |
| Apples (1kg) | $4.53 |
| Oranges (1 kg) | $3.93 |
| Bananas (1 kg) | $3.80 |
| Onion | $3.25 |
| Domestic beer from a liquor store 0.5L | $7.13 |
| Imported beer from a liquor store 0.33L | $8.16 |
| Bottle of mid-range wine for a liquor store | $18.50 |
| Bottle of water (1.5L) | $2.11 |
Exploring Melbourne’s living cost lively streets and laneways, you’ll come across a multitude of restaurants and cafes, each offering something different—from open-air dining to sophisticated à la carte options. The variety is extensive, with prices reflecting the experience and level of service you desire. Whether you’re craving a burger, which you can find on nearly every corner, or ethnic cuisines like Italian on Lygon Street, Greek in the Precinct, or Chinese in Chinatown, Melbourne has it all. And this is just the beginning—cultural flavors and themed dining experiences await you around every corner.
Melbourne is known for its excellent coffee on every corner.
Here’s what you can expect to spend dining out in Melbourne:
- Inexpensive Restaurant (1 person): $25.00
- Mid-Range Restaurant (3-course meal for 2 people): $100.00
- McDonald’s Combo Meal: $15.00
- Domestic Beer at a licensed venue (500 ml draught): $10.00
- Imported beer at a licensed venue (0.33 L bottle): $10.00
- Soft Drink (0.33 L bottle): $3.88
- Water (0.33 L bottle): $3.50
- Cappuccino (regular): $5.10″
Entertainment in Melbourne
Melbourne offers a wide range of activities, from arts and sports to music and international shows. While major events can get pricey, there are plenty of ways to enjoy the city without overspending. Here are some affordable activities in Melbourne that won’t break the bank:
- Melbourne Zoo – Adults: $46.00
- Lantern Ghost Tours – Adults: $39.00 to $299.00 (depending on the experience)
- Eureka Skydeck Southbank – Adults: $28.00
- Australian Sports Museum at the Melbourne Cricket Ground – Adults: $30.00 ($45.00 with an MCG tour)
- Melbourne Aquarium – Adult General Admission: $49.50 on weekends, $39.50 for concession; kids (2-15 years): $36.00
- Phillip Island Nature Parks Penguin Parade – Adult General Viewing: $32.00
Movie Tickets
A standard movie ticket for an international release at a Melbourne cinema typically costs $22.00 for an adult. However, many chain cinemas offer membership programs that provide special deals and discounts. Independent theaters can sometimes be a more affordable option than the big chains.
If you’re planning a night out clubbing in Melbourne’s CBD, expect to pay a cover charge ranging from $15.00 to $40.00, with prices increasing as the night progresses.
Health and Fitness
In Melbourne, a gym membership for one adult averages about $78.12 per month. If you’re into tennis, hiring a court typically costs around $23.62 per hour.
Childcare, Primary, and Secondary School
For childcare in Melbourne, sending one child to a private preschool or kindergarten for a full day costs around $2,321.59 per month before any rebates or discounts. Public schools are free, though additional costs may apply for extracurricular activities and other extras. Melbourne offers a wide range of private schools, so it’s best to explore the options in your desired area to find the right fit for your child’s needs and budget.
University Students
For both local and international students, the biggest expenses often revolve around food, accommodation, and transport. Finding accommodation close to your university can be convenient and reduce transportation costs, but it’s worth considering whether the higher rent is justified compared to more affordable student housing further away, with the added cost of commuting. The best option will depend on your campus location, so there isn’t a one-size-fits-all answer.
Melbourne is defined by the iconic Yarra River and Port Phillip Bay.
Known as one of the most expensive cities in the world, Melbourne’s cost of living is high, surpassed only by Sydney, and far above the national average, unlike more affordable cities like Adelaide.
Walking through Melbourne offers a sensory experience that’s difficult to describe—unique and rich. The city is alive with the aroma of coffee and gourmet cuisine, framed by views of the majestic Yarra River and its Victorian-era colonial architecture. From the gentrified neighborhoods with renovated terraces and warehouses to the bustling docks, bayside beaches, and scenic Dandenong Ranges, Melbourne offers a lifestyle like no other in Australia.
For advice on how CBDWAY can assist with your move to Melbourne, contact our friendly customer service team, or browse our list of Melbourne removalists here.
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