Brisbane Short-Term Rental Market Report 2025

Introduction

Brisbane’s short-term rental market continues to expand, driven by a growing influx of tourists, business travellers, and students. The market plays a crucial role in the city's hospitality sector, with a diverse range of accommodation options and strong seasonal demand. This report provides an in-depth analysis of key market trends, regulations, market data, and case studies to evaluate the sector's current and future landscape.

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Overview

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Market Size and Growth

As of 2024, Australia's short-term rental market is valued at approximately AUD 3.4 billion and is projected to reach AUD 6.4 billion by 2030, reflecting a compound annual growth rate (CAGR) of 11.5%.

Brisbane’s short-term rental market remains strong, with average annual revenue per property at AUD 48.3K, representing a 6% year-over-year growth. The average daily rate (ADR) increased to AUD 280.92 (+8% YoY), occupancy rates stabilised around 63%, and revenue per available room (RevPAR) grew to AUD 171.57 (+7% YoY).

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Geographical Distribution

Brisbane offers a diverse set of short-term rental accommodations across various regions, catering to different traveller needs:

• CBD (Central Business District): Ideal for business travellers with proximity to corporate offices and transport hubs.
• South Brisbane & West End: A cultural hotspot with access to dining, nightlife, and university areas.
• Fortitude Valley & Newstead: Known for its vibrant nightlife, luxury lifestyle, and business districts.
• North Stradbroke Island: A coastal escape with nature-based tourism, attracting adventure seekers and families.
• New Farm & Teneriffe: Scenic riverside living with a mix of heritage charm and modern amenities.
• Bulimba & Hawthorne: Family-friendly suburbs with a relaxed atmosphere and easy ferry access to the city.

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Seasonal Trends

Peak demand is observed in December–January, driven by holiday tourism and summer vacations, with ADR peaking above $310. September–November also sees strong demand, fueled by business travel and events. Events and festivals help sustain occupancy rates year-round.

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Brisbane's 2025 calendar of events & concerts

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Legislation

Brisbane’s short-term rental market operates within a robust regulatory framework designed to balance tourism opportunities with community interests and housing availability. Recent and upcoming regulatory changes are shaping how property owners can participate in this market.

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Current regulatory environment

• Development Approval: Brisbane City Council (BCC) requires property owners to secure development approval if the short-term rental constitutes a change in property use. Hosted accommodation (rooms within an owner-occupied home) generally falls under "home-based business" and typically requires less stringent approval.
• Zoning Laws: Short-term rentals are broadly permitted in commercial, tourist, and mixed-use zones. In residential areas, however, short-term rentals may require special permits or face limitations depending on their specific zoning and local planning rules.
• Registration and Permits: Since June 2024, all short-term rental properties must obtain a council-issued permit. This annual permit system includes conditions such as planning compliance, body corporate approval for strata properties, and the nomination of a 24/7 property manager.
• Safety Standards: All short-term rental properties must adhere to mandatory safety regulations, including interconnected smoke alarms in bedrooms and hallways, secure emergency exits, fire safety compliance, and pool safety regulations.
• Insurance Requirements: While the current council guidelines recommend comprehensive insurance, property owners must maintain a minimum of $500,000 in public liability insurance to cover potential guest-related incidents.
• Taxation and Rates: Earnings from short-term rentals are taxable income. Properties exceeding revenue thresholds must register for Goods and Services Tax (GST). Additionally, BCC charges significantly higher rates (approximately 50% higher than standard residential rates) for properties used as short-term rentals for more than 60 days per year.

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Upcoming regulatory changes

• Statewide Registration Scheme: The Queensland Government is introducing a mandatory registration scheme, expected by late 2024 or early 2025, requiring all short-term rental properties to be listed on a state-managed database. Hosts will need to display their registration numbers in all advertisements and listings.
• Empowering Bodies Corporate: Legislative amendments under consideration will grant apartment complexes the authority to enforce by-laws that restrict or prohibit short-term rentals within their buildings. This change aims to empower residents to manage community impacts proactively.
• Planning Law Reforms: Brisbane City Council continues to advocate for strengthened planning tools to ensure the sustainable operation of short-term rentals. Upcoming reforms may include clearer zoning definitions, enhanced compliance enforcement, and flexible regulations to manage short-term rental activity effectively, particularly ahead of major events like the 2032 Olympics.

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Market data

Brisbane’s short-term rental market exhibits dynamic trends driven by seasonal demand, geographical distribution, and major events. As of January 2025, Brisbane’s short-term rental market has maintained stable annual revenue at an average of $48.3K per property. The average daily rate (ADR) stands at $280.92, reflecting an 8% year-over-year growth. Occupancy rates now average 63%.

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Occupancy trends

Occupancy rates fluctuate throughout the year, with peak seasons in summer (December to February) driven by holiday tourism and business travel. Spring (September to November) also experiences high demand, with major events boosting occupancy.

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• Brisbane CBD: 66%, benefiting from business travellers and corporate hubs.
• Fortitude Valley & Bowen Hills: 70%, supported by nightlife, entertainment, and business travellers.
• South Brisbane & West End: 75%, home to cultural attractions and high visitor activity.
• New Farm & Teneriffe: 68%, popular for its riverside setting and premium accommodations.
• Bulimba & Hawthorne: 71%, offering a suburban retreat with strong short-term rental appeal.

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Average Daily Rate (ADR) trends

ADR fluctuates based on seasonality and event-driven demand, peaking in December and January while remaining strong throughout the year.

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• South Brisbane & West End: $262.79 – A strong market with high occupancy rates.
• Bulimba & Hawthorne: $307.22 – Higher-end properties driving a premium ADR.
• Brisbane CBD: $294.13 – Competitive pricing influenced by corporate demand.
• Fortitude Valley & Bowen Hills: $272.51 – Strong demand due to entertainment and business hubs.
• New Farm & Teneriffe: $331.22 – A luxury rental market with consistent performance.

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Revenue performance & market insights

• Brisbane’s short-term rental market remains a high-revenue sector, outperforming long-term rentals in most key areas.
• Event-driven demand significantly boosts ADR and occupancy, particularly in the CBD and cultural districts.
• Suburban locations like Bulimba & Hawthorne offer a balance between premium pricing and strong occupancy rates.

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Suburb Spotlight: South Brisbane

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South Brisbane, one of Brisbane’s most sought-after urban hubs, continues to thrive as a premier short-term rental destination. With its vibrant café culture, riverside views, and easy access to the city centre, South Melbourne attracts a diverse range of visitors, from corporate travellers to weekend explorers looking for a blend of city excitement and relaxed living.

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The short-term rental market in South Brisbane has experienced a steady rise in demand, particularly for modern apartments and boutique stays. Investors are capitalising on the area’s unique mix of cultural hotspots, green spaces, and urban convenience to maximise returns.

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Key highlights (2024 Data):

• MadeComfy ADRs in South Brisbane were 18.3% higher than the market average.
• For all of 2024, ADRs averaged $266.2, reflecting high occupancy and sustained demand.
• Peak ADRs surpassed $269 in January 2025, coinciding with the summer holiday season and major city events.

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South Brisbane ADRs - Last quarter 2024 and early 2025 year-on-year

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Case study: Event-driven market influence

Brisbane’s short-term rental market experiences significant boosts during major events:

• Brisbane Festival (September): ADR spikes by 10-15%, with occupancy rates exceeding 80%.
• New Year’s Eve: Occupancy rates reach near full capacity, with ADR increasing above $310.
• Sports Events (NRL Grand Final, Brisbane International Tennis): Business and leisure travel fuel an uptick in bookings, increasing RevPAR by 12%.

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These events highlight the strong correlation between city-wide attractions and short-term rental demand, reinforcing the importance of dynamic pricing strategies.

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Conclusion

Brisbane’s short-term rental market remains a lucrative sector, benefiting from strong seasonal demand, event-driven revenue spikes, and regulatory clarity. Key takeaways:

• Seasonality & Events: High occupancy rates and ADR peaks occur in Q4 and early Q1.
• Regulatory Evolution: While new regulations may impact rental supply, they also promote market stability and community balance.
• Revenue Optimization: Strategic pricing adjustments and event-aligned availability can enhance profitability.

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Brisbane’s short-term rental market remains resilient and offers strong investment potential. Property owners and investors should focus on dynamic pricing, compliance, and event-driven opportunities to maximise returns.

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