Aussie real estate titan's top regional suburb picks for 2026

If you've wondered which locations real estate agents have their eyes on for next year, the 2026 McGrath Report highlights key areas that John McGrath himself believes are great buys.

The report also examines property trends and the factors that drive Australians to buy and sell.

Lifestyle is king

Lifestyle is now the number one reason Aussies are moving - over housing, money and work - a trend that's helped fuel the regional renaissance across the country.

The 2024 Muval Index found that 41 per cent of Australians planning a move in 2025 were doing so for a better lifestyle, ahead of upgrading homes (38 per cent) or reducing cost of living (29 per cent).

Muval CEO Mr James Morrell said Australians are "increasingly prioritising lifestyle over life stress this year, and next."

The report noted that regional centres increasingly offer many urban lifestyle attributes formerly only available in the big smoke, plus a great natural environment to explore.

"While capital cities continue to house the majority of Australia's population, regional centres have enjoyed increased demand, especially among those who can easily work from home," the report said.

Results from a Regional Australia Institute survey released in 2025 showed two out of five city dwellers would consider a move to regional Australia, up from one in five in 2023.

"This is not just about seeking a more relaxed pace of life. It's about finding regional centres that still offer the benefits of city living in a country setting, combining good amenities and infrastructure with a strong sense of community," said the report.

Towns such as Gisborne in Victoria's Macedon Ranges, Toowoomba in the Darling Downs region of Queensland and Orange in the NSW Central Tablelands are great examples of how you don't have to sacrifice urban-style amenities to enjoy regional living.

Here are the top regional picks from the McGrath team for 2026:

Regional NSW: Tamworth and Norah Head

In NSW, regional migration remains strong, with movement out of Sydney 20.5 per cent above pre-COVID levels.

Regional NSW home values rose 3.5 per cent in FY25, and over the past decade, prices have increased by 104 per cent, outpacing Sydney's 74 per cent increase.

Tamworth is emerging as a standout.

"Tamworth delivers on both lifestyle and accessibility," said McGrath Tamworth director Jason Wherritt.

He added that buyers are drawn to the city's ease of movement, upgraded medical precincts, and proximity to major centres via daily flights.

The median house price in Tamworth rose 9.2 per cent in the year to June 2025.

John McGrath, the founder, managing director and chief executive of McGrath Estate Agents, named Norah Head on the Central Coast as his top regional pick for NSW.

"Remember when you used to head to the Central Coast for the school holidays? Well, it's now home to the most astute buyers of residential real estate," Mr McGrath said.

"Some areas have already outpaced most of us, but not this beachside charmer, which is still offering great value.

"Do you swim, surf, fish, bird watch, whale watch? You can do them all from here and still secure your little beachside shack for around a million dollars. And you're only an hour's drive from Sydney's northern suburbs.

"Can't be true? Well, it is. For a short while anyway, until it's on the radar and prices jump to more sensible levels."

Regional Queensland: Darling Downs, Mackay, Peregian Beach and Clear Island Waters

Regional Queensland has seen property prices rise by 94.5 per cent over the past decade.

According to the report, the Darling Downs gateway area, including Toowoomba, Gatton and Laidley, is emerging as a strategic property hotspot, underpinned by infrastructure growth, affordability and lifestyle appeal.

In FY25, the Darling Downs (West-Manoa) region led with a 21.2 per cent increase in median dwelling value, reaching $352,963.

It's already home to the Toowoomba Wellcamp Airport and is expected to benefit from the proposed Inland Rail project.

John McGrath's top picks? Mackay, Peregian Beach and Clear Island Waters.

"Known as the sugar capital of Australia, Mackay delivers a relaxed coastal lifestyle backed by a robust economy driven by mining, agriculture and tourism," he said.

"When you add the $9 billion Bruce Highway upgrade and a major project to revitalise Mackay's waterfront, it's easy to see why there is increased demand for property in the region."

He described Mackay as a modern regional city with a strong sense of community, a buzzing arts and culture scene, pristine beaches and world-class recreational fishing, making it increasingly attractive to both homebuyers and investors.

South of Noosa, Peregian Beach is John McGrath's Sunshine Coast pick.

"Known for its natural beauty, unspoilt pristine beaches and café culture, it's no wonder Peregian Beach continues to attract strong interest from families and lifestyle lovers," he said.

"Less than half an hour's drive from Noosa with minimal new development, it's well positioned for long-term capital growth."

He added that buyers are drawn to the suburb's laid-back coastal character and tight-knit community.

On the Gold Coast, Clear Island Waters is an "exclusive locale near Mermaid Waters offering premium lakeside living with strong capital growth potential, proximity to elite schools, golf courses and beaches".

"Tightly held with expansive homes and a FY25 median dwelling value of $1.87 million, Clear Island Waters attracts high-income families seeking lifestyle, privacy and long-term investment security," he said.

Regional Victoria: Carisbrook and Geelong

In Victoria's Central Goldfields region, Carisbrook offers heritage charm and affordability - and is Mr McGrath's top regional Victorian pick for 2026.

"It seems it's still possible to strike it rich in Victoria's historic Central Goldfields region," he said.

"This heritage and tourism hotspot provides a laid-back country lifestyle and small town charm, along with easy access to the major centre of Maryborough, just seven kilometres to the west.

"And the good news is that the median home is still relatively affordable at $560,000, for those who get in quick."

The report also highlighted Greater Geelong, which has toppled the Sunshine Coast as the LGA receiving the largest inflow of net internal migration in the 12 months to March 2025, accounting for 9.3 per cent of all net migration to regions.

Why? The region's idyllic waterside location, established services and range of employment opportunities all contribute to making it an attractive lifestyle destination.

However, it has also been the target of recent government investment, with projects including a new $449.1 million convention centre and $500 million allocated towards an expanded Barwon Women's and Children's Hospital.

Tasmania: Launceston, Devonport and Acton

Tasmania's regional centres are also drawing attention.

In Northern Tasmania, Launceston continues to attract a broad mix of buyers drawn by lifestyle, accessibility and real value.

According to the report, the median house price for Northern Tasmania remained steady at $560,000 over the three months to March 2025, offering a more affordable alternative to Hobart.

Significant upgrades to the UTAS Stadium and surrounding precincts are boosting employment and energy in the city.

Mr McGrath chose West Launceston as the standout suburb.

"Here you'll find exceptional value for those seeking period homes, hillside views and direct access to Cataract Gorge," he said.

"The suburb has a similar character to East Launceston, yet its $630,000 median home price is $270,000 cheaper than its more high-profile neighbour.

"Only 2 kilometres from the CBD, West Launceston is becoming increasingly popular among buyers wanting a premium lifestyle without the premium price tag."

Miandetta in Devonport was another of John McGrath's picks.

"Miandetta's prospects are set to rise due to its proximity to the newly approved $50 million Stony Rise Village," he said.

"This development, when completed by Christmas 2026, will have retail, medical and dining facilities.

"That's not the only thing to like - the Mersey River suburb is also just a quick three-kilometre commute to Devonport's CBD and bustling waterfront."

Finally, Acton, also in the north, is "emerging as a standout in Tasmania's property market," Mr McGrath said.

This is due to its median rental yield of 5.4 per cent and median home prices that have increased by 94.9 per cent over the past five years.

"Just three kilometres from Burnie's city centre and busy port, the suburb is drawing investor interest amid strong rental demand fuelled by infrastructure upgrades and clean energy investment," he said.

"And the clincher? A median house price of just $385,000."

The McGrath report shows that regional areas are not just affordable alternatives; they're lifestyle destinations in their own right.

With improved infrastructure, growing communities, natural beauty and property stats to match, regional Australia is proving that the good life doesn't have to come with a city postcode.