Cost of Living: Hobart vs Melbourne (2026)
Side-by-side comparison of living costs between Hobart and Melbourne, Australia.
The Verdict
Hobart is $5,964/year cheaper than Melbourne. You need to earn approximately $10,000 less per year to maintain the same lifestyle in Hobart compared to Melbourne.
Side-by-Side Cost Comparison
| Category | Hobart | Melbourne | Winner |
|---|---|---|---|
| Rent (1br/week) | $420 | $520 | Hobart |
| Rent (2br/week) | $530 | $680 | Hobart |
| Groceries/week | $120 | $125 | Hobart |
| Utilities/month | $260 | $260 | Tie |
| Transport/month | $155 | $195 | Hobart |
| Internet & Phone/month | $108 | $110 | Hobart |
| Petrol/litre | $2.00 | $1.98 | Melbourne |
| Median house price | $700,000 | $1,050,000 | Hobart |
| Median unit price | $480,000 | $620,000 | Hobart |
| Cost of living index | 80 | 89 | Hobart |
How Much More Do You Need to Earn?
Check exactly what you take home with our take-home pay calculator.
Which City is Cheaper — Category by Category
Net Difference in Annual Costs
Living in Hobart saves you $5,964 per year compared to Melbourne. That is $497/month or $115/week.
Explore Each City
Frequently Asked Questions
Is Hobart or Melbourne cheaper to live in?
Hobart is cheaper to live in than Melbourne by approximately $5,964 per year. Hobart has a cost of living index of 80 compared to 89 for Melbourne (Sydney = 100).
How much more do you need to earn in Melbourne compared to Hobart?
You need to earn approximately $10,000 more per year (pre-tax) to maintain the same standard of living in Melbourne compared to Hobart.
Is rent cheaper in Hobart or Melbourne?
A 1-bedroom apartment costs $420/week in Hobart and $520/week in Melbourne. Hobart is cheaper for rent by $100/week.
Are groceries more expensive in Hobart or Melbourne?
Weekly groceries for a single person cost $120 in Hobart and $125 in Melbourne. Hobart is cheaper for groceries.
Which city has cheaper property — Hobart or Melbourne?
The median house price in Hobart is $700,000 compared to $1,050,000 in Melbourne. Hobart has cheaper property.
General information and estimates only — not financial, tax, or legal advice. Always verify with a licensed adviser or the ATO.