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This picturesque NSW town has just been crowned Australia’s 2025 Town of the Year

Port Stephens has topped Wotif’s annual list of the best towns in Australia

Melissa Woodley
Written by
Melissa Woodley
Travel & News Editor, Time Out Australia
Beach with mountain in background
Photograph: Destination NSW
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Australians have a soft spot for small towns. Last year, one of Time Out Australia’s most popular stories was about a tiny town that only 25 per cent of Aussies knew existed (we’re sure that number’s skyrocketed since). Some are drawn to the slower pace of life, old-school pubs and wholesome community vibe, while others escape the city to enjoy stunning beaches and bushland without a skyscraper in sight. If you're hoping to find a town that ticks all those boxes, it's worth turning your attention to the newly released 2025 Aussie Town of the Year Awards.

Now in its eighth iteration, Wotif's Aussie Town of the Year Awards recognises the ten most trending destinations across the country for the year ahead. The results are based on the increase in accommodation searches on Wotif.com from 2023 to 2024, also factoring in affordability, quality, quantity of accommodation options and average traveller reviews.

Couple enjoying the coastal views along Tomaree Head Summit Walk, Port Stephens.
Photograph: Destination NSW

Last year, the highly-anticipated award was bestowed upon the Gold Rush town of Bendigo in Victoria. However, a coastal change is on the cards in 2025, with Port Stephens, a little slice of paradise in the Hunter region of New South Wales, taking the crown as the 2025 Aussie Town of the Year. A picturesque 2.5-hour drive from Sydney or 30 minutes from Newcastle Airport, Port Stephens has seen a surge in popularity, clocking a 75 per cent increase in accommodation searches over the last 12 months. Life here is all about the sea, sand and scenery, with the region home to pristine beaches, the lush Tomaree National Park and the incredible Stockton Sand Dunes – the largest moving sand dune in the Southern Hemisphere. 

The coastal theme continues with this year’s runner-up prize going to Cairns, winner of Wotif’s Aussie Town of the Year in 2021. Wedged between two Australian icons – the Great Barrier Reef and the Daintree Rainforest – this tropical Queensland city offers the best snorkelling in the country, alongside magical rainforest day trips and stays at some of Australia’s most luxurious hotels

Sculpture of giant on beach
Photograph: Supplied | Wotif | 'Santi Ikto' by Thomas Dambo

Rounding out the top three is Mandurah, Western Australia’s largest regional city, located just 55 minutes south of Perth. Currently, the city has transformed into an outdoor playground for renowned Danish recycle artist Thomas Dambo’s Giants of Mandurah exhibition, making it well worth a trip before the exhibition ends in 2026. 

One final standout from the 2025 list is Mackay in Queensland, which was the inaugural winner of Wotif's Aussie Town of the Year eight years ago. You can check out the full rankings below. 

These are the top 10 Aussie Towns of the Year in 2025:

  1. Port Stephens, NSW
  2. Cairns, QLD
  3. Mandurah, WA
  4. Denmark, WA
  5. Beechworth, VIC
  6. Port Campbell, VIC
  7. Murray Bridge, SA
  8. Kingscliff, NSW
  9. Yamba, NSW
  10. Mackay, QLD

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