Navigating the rental market crisis in Pacific Islands: Insights for relocating expatriates

Arial view: Pacific Island beach, turquoise waters, white sands, lush greenery

The Pacific islands are renowned for their breathtaking beauty, rich cultures, and warm hospitality. For expatriates considering a move to Fiji, Samoa, Vanuatu, or Solomon Islands, understanding the rental market dynamics is crucial. In this article, we will provide an overview of these Pacific Island countries, explore their popular destinations, cultures, and traditions. We will then delve into the rental markets, analysing the prices for different housing types, tracking changes over the last five years, and examining the economic factors that have influenced these fluctuations.

Overview of Pacific Island countries

Each Pacific Island country has its unique allure and cultural heritage. Let’s take a brief look at the popular destinations and key aspects of Fiji, Samoa, Vanuatu, and Solomon Islands:

The expat community in Fiji is known for its welcoming nature and tight-knit community. The country offers a warm climate, beautiful beaches, and friendly locals. Most expats choose to live on Viti Levu, the largest island in Fiji, which is the hub of commerce and government and home to the capital, Suva.

Samoa is renowned for its natural beauty, including soft coral diving, pristine beaches, and lush rainforests. It is a popular destination for eco-tourism. The local population is known for their warm hospitality, making expats feel welcome. The cost of living in Samoa is generally lower compared to other Pacific Islands.

Vanuatu offers a tropical paradise with white sand beaches, clear blue waters, and a relaxed lifestyle. Expats are attracted to its natural beauty and vibrant culture. The cost of living in Vanuatu can vary depending on the location, but it is generally affordable compared to other Pacific Islands.

Solomon Islands
The Solomon Islands boast stunning natural landscapes, including beautiful beaches and diverse marine life. Expats who appreciate outdoor activities such as diving and hiking will find the Solomon Islands appealing. The cost of living in the Solomon Islands can be higher compared to other Pacific Islands, particularly in Honiara, the capital city.

Wooden house on white sand beach under white clouds, daytime in Samoa

Rental market dynamics and pricing

Understanding the rental market dynamics is crucial for expatriates considering a move to these Pacific Island countries. Rental prices for different housing types, such as apartments, houses, and bungalows, vary across the region. Let’s examine the average rental prices over the last five years:

Fiji: The rental market in Fiji has experienced growth in recent years, with prices varying based on location and property type. On average, the monthly rent for a one-bedroom apartment ranges from FJD 1,500 to FJD 2,500, while a three-bedroom house can cost between FJD 2,500 and FJD 4,500.

Samoa: Rental prices in Samoa are influenced by factors such as location, property size, and amenities. On average, a three-bedroom apartment can cost SAT 3,000 to SAT 3,500 per month, while a four-bedroom house can range from SAT 3,500 to SAT 5,000.

Vanuatu: The rental market in Vanuatu offers a range of options, from budget-friendly accommodations to luxurious villas. A one-bedroom apartment can cost between VUV 90,000 and VUV 150,000 per month, while a three-bedroom house can range from VUV 150,000 to VUV 250,000.

Solomon Islands: Rental prices in the Solomon Islands vary depending on the location and property type. On average, a two-bedroom apartment can cost between SBD 18,000 and SBD 22,000 per month, while a three-bedroom house can range from SBD 26,000 to SBD 29,000.

Due to an increasing demand for rental properties, there’s been reported rental increases of between 10% and 25% in all four locations. Rental vacancies in these locations are often hard to represent as properties are not always advertised and good options are often snapped up within a few days.

Types of Housing Average Rental/Month

Several factors have contributed to the current rental market crisis in these Pacific Island countries. Demand and supply imbalances, limited construction activity, increased population growth, and government policies have all played a part. Let’s explore some of these factors:

Demand and supply

Rapid population growth and limited construction activity have resulted in a shortage of available rental properties, driving up prices.


Limited investment in construction and infrastructure development has constrained the supply of new housing units, exacerbating the rental market crisis.

Population change

Increasing migration since the re-opening of the borders and urbanisation have contributed to a surge in housing demand, putting additional pressure on the rental market. In Fiji, for instance, the Australian High Commission and US Embassy have increased their staff numbers and with that, they are taking up a lot of the housing that is available.

Government policies

The effectiveness of government policies in addressing the rental market crisis varies. Some countries have implemented initiatives to boost affordable housing, while others may require further interventions to balance supply and demand.

Due to the rental market crisis in Fiji, Samoa, Vanuatu, and Solomon Islands, companies that are looking to relocate employees to these locations must consider the unique challenges presented by their current rental markets when reviewing relocation benefits for this population.

Notwithstanding adjustments to housing allowances, corporates have found it necessary to provide home search assistance to support relocating employees and their families with finding a suitable property. This often determines how quickly an employee and their families settle into their new host location which is critical to the success of an assignment.

Please note that these insights are based on information gathered from various sources, including expat guides and online resources. It’s always recommended to contact Crown World Mobility for the most up-to-date and accurate information before making any decisions about relocating employees to these Pacific Island destinations.

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