Cost Comparison 2025

MelbournevsCape Town

Australia
South Africa

Overall

💰

-41.2%

Melbourne is 41.2%cheaper

Rent

🏠

-46.2%

Housing is 46.2% lower

Dining

🍽️

-41.2%

Restaurants 41.2% cheaper

Groceries

🛒

-43.8%

Food shopping 43.8% less

Comparing the cost of living between Melbourne, Australia and Cape Town, South Africa reveals significant insights for anyone considering relocation or travel in 2025. Our comprehensive analysis shows that Melbourne is more affordable than Cape Town by approximately 41.2%. This comparison covers essential living expenses including housing, food, transportation, and utilities, providing you with a complete picture of what to expect financially in each city.

Key Cost Differences

Housing costs in Melbourne are higher than in Cape Town by 86%. A one-bedroom apartment in Melbourne's city center costs around A$2,200, while the same in Cape Town is approximately ZAR 12,000.

Dining out in Melbourne is notably more expensive compared to Cape Town. An inexpensive restaurant meal costs A$20 in Melbourne versus ZAR 150 in Cape Town.

Public transportation in Melbourne is more affordable, with monthly passes at A$170 compared to ZAR 800 in Cape Town.

Purchasing power in Melbourne is notably stronger, meaning residents can afford more goods and services with their local salaries compared to Cape Town.

Grocery shopping in Melbourne is more expensive by approximately 78%. Basic items like milk, bread, and eggs show higher prices across the board.

Monthly Budget Breakdown

When breaking down monthly expenses, a single person in Melbourne can expect to spend approximately A$786 per month (excluding rent), while in Cape Town, the same lifestyle would cost around ZAR 5,890. For families, these figures increase significantly, with a family of four requiring about A$2,750 monthly in Melbourne versus ZAR 20,615 in Cape Town. These estimates include groceries, dining out, transportation, utilities, and entertainment, providing a realistic picture of day-to-day living costs in each city.

Detailed Cost Comparison

Item
Melbourne, Australia
Cape Town, South Africa

🏠 Housing Costs (Monthly Rent)

1BR City Center
A$2,200
ZAR 12,000
1BR Outside Center
A$1,700
ZAR 8,000
3BR City Center
A$4,000
ZAR 25,000

🍽️ Food & Dining

Meal, Inexpensive Restaurant
A$20
ZAR 150
Meal for 2, Mid-range Restaurant
A$110
ZAR 700
Cappuccino
A$5
ZAR 35
Domestic Beer (0.5L)
A$10
ZAR 35

🛒 Groceries

Milk (1L)
A$2
ZAR 25
Bread (500g)
A$3
ZAR 15
Eggs (12)
A$5
ZAR 35
Cheese (1kg)
A$11
ZAR 120

🚌 Transportation

One-way Ticket
A$5
ZAR 20
Monthly Pass
A$170
ZAR 800
Taxi Start
A$5
ZAR 20
Gasoline (1L)
A$2
ZAR 23

💡 Utilities & Internet

Basic Utilities (85m²)
A$180
ZAR 1,500
Internet (60 Mbps)
A$75
ZAR 800
Mobile Minute
A$0
ZAR 2

Tips for Moving Between Cities

For those considering a move from Cape Town to Melbourne, the cost savings can be substantial, particularly in housing and daily expenses. However, it's important to factor in salary differences and job opportunities. Conversely, moving from Melbourne to Cape Town requires careful financial planning. Consider negotiating salary adjustments that reflect the higher cost of living, and research neighborhoods outside the city center for more affordable housing options while maintaining reasonable commute times.

Quality of Life Indices

Melbourne

Cost of Living Index85
Rent Index65
Purchasing Power Index100

Cape Town

Cost of Living Index50
Rent Index35
Purchasing Power Index60

Frequently Asked Questions

Is Melbourne more expensive than Cape Town?

No, Melbourne is approximately 41.2% cheaper than Cape Town. You'll find significant savings in housing, food, and transportation costs.

How much salary do I need in Melbourne compared to Cape Town?

To maintain the same standard of living, you would need approximately 71% of your Cape Town salary when living in Melbourne. For example, if you earn $50,000 in Cape Town, you'd need about $35,417 in Melbourne for a comparable lifestyle.

What are the biggest cost differences between Melbourne and Cape Town?

The most significant cost difference is in housing. Rent prices differ by approximately 86%, making it a major factor in your budget planning. Transportation and utilities show notable variations between the two cities.

Which city is better for expats and digital nomads?

Melbourne offers better purchasing power, making it more attractive for those earning in strong currencies. However, Melbourne provides lower living costs, which benefits budget-conscious travelers. Consider Melbourne if you prioritize earning potential, or Cape Town for affordability.

What's a reasonable monthly budget for Melbourne vs Cape Town?

In Melbourne, a single person needs approximately A$2,486 per month (including rent), while a family of four requires about A$5,550. In Cape Town, these figures are ZAR 13,890 for singles and ZAR 38,615 for families. These estimates include housing, food, transportation, and basic entertainment.

The cost of living comparison between Melbourne and Cape Town in 2025 shows significant differences across various expense categories. Whether you're planning a relocation for work, considering retirement options, or simply curious about living costs, understanding these differences is crucial for making informed financial decisions.

Need to calculate salary equivalence?

Find out how much you need to earn in Cape Town to maintain your lifestyle from Melbourne

Calculate Salary Equivalence

Last updated: 2025-01-15 • Data sourced from multiple providers