No, Perth is not the most expensive city in the world, though it ranks as one of Australia's more expensive cities, particularly for renters recently, and has appeared in global unaffordability lists, often below cities like Hong Kong, Singapore, and Zurich, which consistently top global cost-of-living rankings. While Perth's housing costs have risen significantly, making it unaffordable by some measures, it generally sits outside the top 10 most expensive globally.
Just a few years ago, Perth was Australia's most affordable capital city – now it is the most expensive, overtaking Sydney. “This housing crisis is no longer confined to those on the lowest incomes, it's climbing the ladder affecting working families.
Sydney is the most expensive major city in Australia and the most expensive city overall. Townsville is 43% less expensive than Sydney, it is the least expensive city in the country. Insurance and financial services saw the largest increase in average prices from October 2023 to October 2024.
Property is far more expensive in London (although Perth is having a boom at the moment so the prices have skyrocketed lately, but still nowhere close to London prices), and I also think food is much more expensive in London, and both public transport and taxis are more expensive in London too.
Its stunning coastline, lower cost of living compared to Sydney or Melbourne, and strong economy make Perth an attractive option for British families, professionals, and retirees. At Central Moves Ltd, we've helped thousands of families move from the UK to Australia.
For Perth, Australia, a living wage for a single adult is roughly $25-$26 per hour, but to live comfortably, a single person needs to earn around $80,000-$100,000+ annually, while a family might need a combined income of $135,000-$180,000+ to cover essentials like housing, food, childcare, and transport. The official minimum wage (as of mid-2025) is $24.95/hour, but this doesn't cover a decent standard of living due to high costs.
Sydney is generally considered Australia's richest city, often topping lists for high-net-worth individuals, property values, and its strong financial sector, though Melbourne consistently ranks close behind, with both cities featuring in global wealth reports alongside Perth and Brisbane. Sydney leads in overall wealth indicators and is Australia's financial hub, while expensive suburbs are found across these major cities, including some in Western Australia and Victoria.
Cost of Living: Sydney vs Perth
Sydney generally has higher housing costs and overall living expenses compared to Perth. However, Perth offers a more relaxed lifestyle with lower housing prices and living costs.
Peppermint Grove Remains at the Pinnacle
Peppermint Grove retained its position as Perth's most expensive suburb, with a median house sale price of $5,035,000 at the end of 2024, representing 23.6% growth over the year.
Other major metropolitan areas of Australia are cheaper than Singapore, however, with consumer costs ranging from 2% lower in Perth to 7.5% lower in Brisbane, relative to Singapore. Adelaide and Melbourne also have lower overall consumer costs.
As we have pointed out in our guide on moving to Perth, the geographical isolation of the city and the rising cost of living are the most significant disadvantages of living in Perth. However, those contemplating starting a life in Perth will be happy to hear that the latter shows signs of improving.
Here is the complete list of 10 richest cities:
Hong Kong tops the global list with a staggering house price-to-income ratio of 14.4. This means the typical home costs more than 14 years worth of household income. Limited land supply and strong demand from global capital continue to keep prices out of reach for most residents.
3000 hours of sunshine a year, friendly locals, historic attractions and relaxed alfresco dining offering world class food and wine. There is plenty to see and do in Perth. Hop on an open top bus tour to Kings Park for spectacular views over the city; jump off and walk amongst the treetops or stop for a picnic.
Yes, $70k is a fair salary in Australia, often near the median income, making it a decent living for a single person, especially outside major cities, but it can be tight in expensive areas or for those with high living costs like mortgages, with full-time averages now closer to $90k-$100k.
Great global location. A big factor for Brits looking to move to Perth is knowing that it's much less travel time back to the UK. Perth is approximately 16 hours away from London, whilst eastern cities like Sydney or Melbourne are nearer to 21.
Melbourne isn't too far behind either in 16th place, followed by Brisbane in a lagging 34th, and then Perth in 43rd. With four of our biggest cities in the top 50, it might explain some of our current woes: competitive real estate and foreign investment.
More billionaires from the list live in the elite Melbourne suburb of Toorak, five kilometres southeast of the CBD, than any other Australian suburbs. Toorak boasts gated cul-de-sacs, privacy hedges, tree-lined streets and 22 of Australia's richest people.
New York: Scarsdale.
The average Scarsdale home is worth $1.6 million, as of June 2025. It's the wealthiest suburb in America.
The average Australian full-time worker is now earning more than $2000 a week for the first time in history. New figures from the Australian Bureau of Statistics (ABS) show the average ordinary full-time weekly earnings for adults hit $2011.40 before tax in May.
Perth's major issues revolve around housing affordability, a severe cost of living, significant climate change impacts (water scarcity, heatwaves, sea-level rise), and ongoing social challenges like mental health, drug misuse, and homelessness, all compounded by Perth's geographic isolation. Rapid growth strains infrastructure, while environmental pressures from resource extraction also present ongoing concerns.
It's official: Canberra has been named the best city in the world for quality of life by Oxford Economics in 2025. The global index analysed 1,000 cities across the world, measuring everything from safety and housing to income, cultural access and overall wellbeing.