Toowoomba has emerged as the absolute powerhouse of the Australian property market, recording a spectacular 236 per cent increase in net inflows from capital cities compared to the same time last year.
This explosive triple-digit growth headlines a broader national phenomenon, as Australia’s shift toward regional living has reached a record peak with the latest Regional Movers Index hitting its highest level in the March 2026 quarter.
For real estate professionals tracking buyer demand, the data confirms an unprecedented wave of migration, with capital city residents moving to Australia’s regions outnumbering those moving in the opposite direction by 29.7 per cent.
The Index, a partnership between the Commonwealth Bank of Australia and the Regional Australia Institute, was up 20.1 per cent on the December 2025 quarter and 4.7 per cent higher than a year earlier. Sydney and Melbourne continued to dominate regional moves in the March quarter, making up 55 per cent and 36 per cent of net outflows respectively.
However, their combined share is lower than a year ago, with Brisbane, Perth and Adelaide all recording an increased share of net outflows, indicating movement from capital cities is becoming increasingly broad-based.
Regional Australia Institute CEO Liz Ritchie said the record result confirmed the enduring and growing appeal of regional living and cemented the need for a co-ordinated national approach to population planning.
“This is the highest level of capital-to-regional movement the RMI has ever recorded. Australians are continuing to choose regional life in greater numbers, even as economic conditions shift.
“Across COVID, inflation, housing pressures and tight labour markets, the trend has been remarkably consistent – people are leaving capital cities for regions, and they’re doing so at increasing rates,” Ms Ritchie said.
While Toowoomba secured the strongest year-on-year growth of any local government area in Australia, the Sunshine Coast maintained its mantle as the most popular destination with an 8.8 per cent share of total net migration, again dominated by metro movers.
Greater Geelong remained in the top five, though its share eased to 5.3 per cent, with Fraser Coast, Moorabool and Lake Macquarie rounding out the top five destinations.
Beyond these established locations, regional growth is now spreading across a wider mix of regional communities, with growth hotspots evident across most states.
City dwellers are heavily targeting Broome, Townsville, and the Mid-Coast in New South Wales.
Furthermore, Toowoomba’s appeal is not limited to those relocating from capitals, with many regionally based movers also favouring the Garden City, alongside upticks in Meander Valley, Douglas, and Central Goldfields.
This massive population shift is driving major commercial confidence and infrastructure growth, adding long-term security for residential property investors.
Commonwealth Bank Regional and Agribusiness Banking Executive General Manager Kylie Allen said the record RMI result reinforced the long-term strength of regional Australia.
“This is a significant milestone, and the data shows Australians are making long term, considered decisions to build their lives in regional communities,” Ms Allen said.
“What stands out this quarter is the scale of movement we’re seeing, both from capital cities and between regional communities. It reinforces the role that regional centres like Toowoomba play as important hubs, supporting surrounding towns through jobs, services and local business activity.
“For many regional businesses, this creates opportunities to respond to a larger and more diverse customer base. We’re seeing that reflected in our business lending, with businesses investing to support larger populations and increased economic activity across their regions,” she said.