Sydney is once again at the centre of a national debate, but this time it has been sparked by claims it is now ‘unliveable’ for everyday Australians.
A recent Reddit thread quickly filled with complaints about skyrocketing rents, traffic jams, and the rising cost of even the most ordinary pleasures like grabbing a coffee on the way to work.
It comes after Sydney found itself at the centre of a loneliness epidemic, with thousands of Gen Z travellers and expats claiming the city fails to welcome newcomers or provide affordable socialisation options.
A local who started the conversation claimed that if you’re not earning well over six figures or have family wealth, residing in Sydney now comes with financial strain.
‘Between rent, traffic, and the cost of literally everything, it’s starting to feel like Sydney’s pushing out the very people who keep it running,’ they wrote.
‘I love this city. The beaches, the energy, [and] the lifestyle, but sometimes it feels like it’s only liveable if you’re earning well over 6 figures or have family money.
‘Even simple stuff like parking, going out, or buying a coffee has become a mini financial event.’
But despite the pile-on, the thread took an unexpected turn.
Sydney is once again at the centre of a national debate, but this time it has been sparked by a Reddit post asking whether the harbour city has become ‘unliveable’ for everyday Australians
Rather than letting the doom-and-gloom narrative stand, a resounding number of Sydneysiders rushed to the city’s defence.
While some admitted the cost of living and housing pressures were real, others insisted Sydney has never been more exciting, more beautiful, or more alive.
They pointed to the city’s booming cultural scene, its ever-expanding public transport network, its revitalised waterfront precincts, and, of course, the harbour and beaches that remain the envy of the world.
In their eyes, Sydney hasn’t lost its soul at all, it’s simply evolving.
‘I’m going to go against the grain but I think Sydney is, in many ways, better than ever,’ one fan wrote after pointing to the city’s transformation over the last ten years.
Sydney’s new metro lines, tunnels, and public transport links are slowly easing congestion, as well as noticeably cleaner, greener streets, and major new cultural and recreational developments that have reshaped the CBD and waterfront.
Barangaroo, Darling Harbour, and the expanded Art Gallery of NSW were cited as proof that Sydney is investing in itself again.
With the new fish market nearing opening and a brand-new airport underway, many residents say the energy and ambition that once defined Sydney are returning.
Despite the criticism, Sydneysiders came to their city’s defence, with many insisting Sydney is more exciting and vibrant than ever, even as some admit the cost of living is tough
‘The vibe and energy of the city has improved immensely recently,’ a Sydneysider said.
‘The cost of living and the cost of real estate is out of control. But this is affecting the whole country and many places around the world to some extent.’
Another resident noted that the city is gradually shaking off the shadow of lockdown laws and pandemic closures.
Sydney’s nightlife and social atmosphere, they said, is ‘finally coming back to life’, and while it’s happening slowly, the shift is noticeable.
And yet, the strongest defence came down to something simpler, with Sydney still offering a lifestyle that most global cities can’t compete with.
Endless beaches, coastal walks, pristine national parks, harbor lookouts, and ocean pools, and all of it free.
For many, that is the heart of Sydney, and it remains unchanged.
‘Yes, it’s expensive, but people forget how much there still is to do here without spending a cent,’ one resident acknowledged.
Sydney’s rental crisis is part of a nationwide problem, with costs soaring across the country. The latest data shows Sydney is still the priciest city to rent. Pictured: A long line of renters inspecting an apartment listed for rent in Bondi highlights the lack of supply in the market
However, the rental crisis facing Sydney is a huge problem, and it’s far from unique. As the city’s rental market tightens even further, housing costs are rising at an alarming rate across the country.
According to the latest figures from Cotality, the median weekly rental value across Australia’s combined capital cities has climbed to $702 per week, with Sydney and Brisbane driving the latest surge in annual rental growth.
Across the capitals, Sydney remains by far the most expensive city to rent in, with the typical dwelling now costing $807 a week, while Hobart remains the most affordable at $584.
In the September quarter, Brisbane and Sydney recorded the strongest acceleration in rental growth – up 1.7 and 1.5 percentage points respectively compared to June – while Adelaide was the only capital to see conditions ease, down 90 basis points.
Overall, rents across Australia’s combined capitals jumped 4.3 per cent in the 12 months to September 2025.
In Bondi, one of Sydney’s most sought-after suburbs, the cheapest listing on Domain is $400 a week for a single bedroom, while the median rent for a modest two-bedroom, one-bathroom unit now sits around $1,000 a week.
Economist Kaytlin Ezzy said the rapid growth in rents is being fuelled by an acute shortage of available properties.
‘Ongoing scarcity in for rent listings, coupled with continued strength in rental demand has pushed the national vacancy rate to a new record low of 1.4 per cent, less than half the pre-COVID decade average of 3.3 per cent,’ she said.
‘Supply is particularly tight in the unit sector, especially in Sydney, which recorded both a new record low vacancy rate across its unit sector and broader dwelling rental market in September.’
