Buying a Car in Australia as a Backpacker (2026 Guide)

Australia is huge, public transport between cities is limited, and the best bits are often hours from the nearest town. On our working holidays we drove from Perth to Melbourne in a $900 car that everyone told us would never make it (it did), explored the East Coast and once drove a campervan relocation from Sydney to Darwin in six days (fun, but not recommended at that pace). This guide covers your three main options: buying a car, campervan relocations and hiring.

Quick answer

Staying a few months and moving around a lot? Buying a cheap car or van is usually the best value, as long as you can sell it before you leave.
One long drive between two cities? Look at campervan relocations first: they can cost as little as a dollar a day.
A week or two in one region? Just hire a car.

1. Buying a car in Australia

Thousands of working holiday makers buy a car or van every year, drive it around the country and sell it on to the next backpacker. It can work out cheap, but do your homework.

Where to look

Facebook Marketplace and backpacker groups: the busiest market for backpacker cars and vans.
Gumtree: lots of private sellers.
Hostel noticeboards: travellers selling up before they fly home.
Dealers: more expensive, but in some states dealer cars come with consumer protections that private sales do not.

Checks before you hand over money

Run a PPSR check: search the car’s VIN on the government’s Personal Property Securities Register. For a few dollars it tells you if there is money owing on the car, or if it has been reported stolen or written off. If there is finance owing, it can be repossessed even after you have bought it.
Check the registration: rego is issued by each state. Make sure it is current, and be careful buying a car registered in a different state from the one you are in, because transferring it can be complicated.
Get it inspected: a mechanic’s inspection costs far less than a blown head gasket in the middle of the Nullarbor.
Look at the service history and test drive it, including on the highway.

Rego, roadworthies and insurance

Transfer the registration into your name quickly (most states give you about 14 days) and expect to pay stamp duty on the transfer. Check your state transport website for the exact rules and costs.
Roadworthy rules vary by state. For example, in Victoria a roadworthy certificate is usually needed to transfer registration, in Queensland the seller needs a safety certificate, and in New South Wales older cars need a yearly safety check to renew their rego.
Compulsory Third Party (CTP) insurance covers injuries to other people. In most states it is included in your rego; in New South Wales you buy it separately (a “green slip”).
Get third party property insurance at least. CTP does not cover damage to someone else’s car, and a minor crash with a new car can cost thousands.

Selling it again

Plan your sale before you plan your flight home. Cars sell faster in big backpacker hubs such as Sydney, Melbourne, Brisbane, Cairns and Perth, and prices drop when everyone is trying to sell at the same time. Give yourself a few weeks.

2. Campervan relocations

Rental companies constantly need vehicles moved from one city to another, and they will let you drive them for next to nothing, sometimes a dollar a day, often with some fuel included. The catch: fixed dates, a set number of days and a limit on kilometres.

Where to find them: relocation sites such as Imoova list deals across Australia and New Zealand. Popular routes go in and out of the big cities, plus long ones like Sydney to Darwin or Perth to Melbourne.
Be realistic about time: we did Sydney to Darwin in six days. We saw a lot of road and not much else. If you can, pick a relocation with a few spare days or pay for extra days.
Read the insurance terms: check the excess (the amount you pay if something happens) and whether you can reduce it.

3. Hiring a car or campervan

For a short trip in one area, such as the Great Ocean Road, Tasmania or the Whitsundays coast, hiring is easiest.

Compare the excess, not just the daily price. Standard excesses can be several thousand dollars.
Unsealed roads: many hire agreements do not cover you on gravel roads, which rules out some outback routes and national park tracks.
One-way fees can be big; this is where relocations come in.

Driving in Australia: what to know

Your licence: on a temporary visa you can usually drive on your overseas licence. If it is not in English, carry an International Driving Permit or an official translation. Rules for longer stays differ by state.
Drive on the left and watch the speed limits: cameras are everywhere.
Avoid driving at dawn and dusk in rural areas. Kangaroos are most active then, and hitting one can write off a car.
Distances are huge: fill up whenever you can in the outback, carry plenty of water and tell someone your route.
Road trains can be over 50 metres long. Only overtake when you can see a long, clear stretch of road.

Make sure you are covered. Travel insurance can cover your rental car excess as well as medical bills: see our Australia travel insurance guide.

FAQ

Is it worth buying a car on a working holiday in Australia?

If you are staying several months and travelling a lot, often yes, as long as you budget for rego, insurance and repairs, and leave enough time to sell it.

What is a PPSR check?

A search of the Personal Property Securities Register using the car’s VIN. It shows if there is finance owing on the car or if it has been reported stolen or written off.

Can I buy a car without an Australian licence?

Yes, you can buy and register a car with an overseas licence and your passport, though some states ask for proof of an Australian address.

What is a campervan relocation?

A rental company lets you drive one of their vehicles between two cities for a tiny daily fee, because they need it moved. You get cheap transport, they get their van back where they need it.

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