Best Airbnb Markets in Victoria, Australia

Melbourne is Australia’s undisputed cultural and sporting capital, world-famous for its hidden laneways, exceptional coffee culture, and non-stop event calendar. As a premier global destination, it attracts a massive and diverse mix of business and leisure travelers throughout the year. The Airbnb market is incredibly vast, with over 17,644 listings and a solid occupancy rate of 57%. Visitors seek stylish urban apartments in the CBD or character homes in trendy suburbs like Fitzroy or St Kilda, generating an annual revenue of A$58,745. Its status as a global hub ensures constant demand and a highly dynamic environment for hosts.

The City of Greater Geelong is a vibrant regional hub serving as the gateway to the world-famous Great Ocean Road and the Bellarine Peninsula. It blends a revitalized industrial waterfront with a thriving arts and dining scene. The vacation rental market is strong, featuring over 1,663 listings and an occupancy rate of 45%. Visitors favor well-located city apartments and coastal homes near Eastern Beach, resulting in an annual revenue of A$53,604. Its mix of urban energy and coastal accessibility, combined with major events like the Festival of Sail, ensures consistent appeal and steady returns for hosts.

Cowes is the charming and vibrant hub of Phillip Island, world-famous for its Penguin Parade and the Grand Prix Circuit. It offers a perfect blend of north-facing beaches, coastal activities, and a friendly village atmosphere. The short-term rental market is very active, featuring an occupancy rate of 40%. Visitors flock to holiday homes with large decks and beachside apartments, providing hosts with a steady annual revenue of A$54,296. Its consistent popularity as a weekend getaway from Melbourne and its major international sporting events ensure high seasonal peaks and a reliable income for property owners.

Bright is a stunning alpine village in the Ovens Valley, famous for its incredible autumn colors, world-class cycling, and proximity to the Victorian ski fields. It is a premier year-round destination that thrives on nature, adventure, and local gourmet produce. The short-term rental market is high-performing, with an average daily rate of A$404. Visitors seek charming holiday homes and stylish cottages with mountain views, generating an annual revenue of A$72,460. Its consistent appeal to outdoor enthusiasts and families seeking a mountain escape ensures strong occupancy and premium pricing throughout the seasons.

Torquay is the official gateway to the Great Ocean Road and the world’s surfing capital, home to the iconic Bells Beach. It offers a dynamic coastal lifestyle that attracts surfers, families, and nature lovers year-round. The Airbnb market is robust, with an occupancy rate of 45%. Travelers favor modern beach houses and stylish apartments close to the surf shops and main beach, resulting in an annual revenue of A$67,572. Its global surf brand and spectacular coastal scenery ensure it remains a premier destination for domestic and international visitors, providing excellent returns for hosts.

Lorne is the most sophisticated and iconic resort town on the Great Ocean Road, where the forest meets the sea in a breathtaking setting. Famous for its stylish boutiques, dining scene, and the annual Falls Festival, it attracts a high-end clientele seeking a premium coastal experience. The vacation rental market is exceptional, featuring an average daily rate of A$514. Visitors seek luxury beach houses and apartments with expansive ocean views, driving a strong annual revenue of A$72,757. Its unique blend of upscale lifestyle and natural beauty makes it one of the most desirable and lucrative markets in Victoria.

Daylesford is Australia’s spa capital, a sophisticated and scenic village in the Central Highlands famous for its natural mineral springs and thriving arts and dining scene. It’s a premier destination for romantic getaways and wellness retreats year-round. The Airbnb market is exceptionally high-yielding, featuring an average daily rate of A$405. Visitors seek luxury architectural homes, charming cottages, and stylish studios, driving an annual revenue of A$67,850. Its proximity to Melbourne and its status as a wellness icon ensure consistent demand and premium pricing, making it a top-tier market for high-quality hosts.

Apollo Bay is a picturesque coastal town on the Great Ocean Road, offering a relaxed and family-friendly atmosphere surrounded by the lush Otway Ranges. It’s a popular base for exploring the 12 Apostles and the Otway National Park. The short-term rental market is strong, with an occupancy rate of 45%. Visitors favor spacious holiday homes and apartments near the beach and harbor, providing hosts with an annual revenue of A$65,877. Its spectacular natural setting and consistent appeal as a key stop on one of the world’s most famous drives ensure steady demand and reliable returns.

Dinner Plain is Australia’s highest and most unique alpine village, famous for its distinct stone and timber architecture and its proximity to Mount Hotham. It offers a true mountain escape that thrives in winter for snow sports and in summer for hiking and high-country adventures. The vacation rental market is premium, featuring an average daily rate of A$877. Visitors seek character-filled chalets and cozy apartments, generating a significant annual revenue of A$113,218. Its high-altitude brand and year-round activities ensure it remains a prestigious and lucrative market for alpine property investment.

Port Fairy is a charming and historic fishing village at the end of the Great Ocean Road, frequently voted as one of the world’s most livable towns. It’s famous for its well-preserved 19th-century architecture, its active fishing fleet, and the iconic Port Fairy Folk Festival. The vacation rental market is high-performing, with an average daily rate of A$381. Visitors seek character cottages and stylish modern homes near the river or Moyne Beach, resulting in an annual revenue of A$61,726. Its unique blend of history, culture, and coastal beauty ensures a loyal and consistent following of travelers.