Tunis vs. the Rest: How Regional Rental Markets Stack Up Against the Capital

Sofiene Aouadi, a 32-year-old IT consultant, recently abandoned his hunt for a two-bedroom flat near Avenue Habib Bourguiba after rents crossed 1,400 dinars per month. Instead, he is now looking at options in Sfax, where the same budget opens doors to larger, newly built apartments. His move underscores a shift in Tunisia’s property market: capital city rents have climbed out of reach for many, making regional rental markets more attractive.

Capital Pressure and Regional Opportunity

The affordability gap between Tunis and secondary cities such as Sousse, Sfax, and Bizerte has widened considerably in 2026. As rising demand, limited urban housing supply, and persistent economic uncertainty have pushed rents in the capital to historic highs, tenants and first-home buyers are reassessing their options. According to the Tunisian Real Estate Developers Association, average monthly rents for a basic two-bedroom apartment in Les Berges du Lac have reached 1,600 dinars this summer—a 13% year-on-year increase. In contrast, similar apartments in downtown Sousse are going for 900 to 1,050 dinars, while new units in El Haffara, Sfax, can be found for as low as 800 dinars per month.

The squeeze has wider ramifications. City officials say demand for affordable rentals within Tunis has forced many young professionals into shared accommodation in older central neighbourhoods such as Bab El Khadra and Lafayette. The municipality is now eyeing public-private partnerships through the Skanes Affordable Housing Initiative, seeking to boost supply in the face of mounting demand. Meanwhile, regional governors in Bizerte and Sfax are promoting their housing stock to absorb some of Tunis’s overflow, touting upgraded infrastructure and proximity to economic hubs.

Comparing Costs: Data from Across Tunisia

Recent data from the National Housing Observatory shows a median rent of 1,450 dinars for a standard two-bedroom apartment in the Tunis metropolitan area as of June 2026. For buyers, prices per square metre in high-demand areas like La Marsa have soared above 4,200 dinars. In contrast, prime neighbourhoods in Sfax, such as Sakiet Eddaier, have sale prices hovering around 2,800 dinars per square metre, with median rents under 900 dinars. Bizerte’s Chatt Mami district offers three-bedroom homes at an average rent of 1,000 dinars, often including small balconies or garden plots—amenities rarely found at this price in Tunis.

The disparity has direct consequences for affordability. For a household earning the national median monthly salary (around 1,300 dinars, according to the Ministry of Social Affairs), spending over 45% on rent in the capital is fast becoming unsustainable. In Sousse and Sfax, the rent-to-income ratio averages closer to 31%, giving residents more breathing room for other expenses.

Ultimately, experts caution that while regional cities offer relief from capital city prices, not all amenities or jobs are as plentiful outside Tunis. Still, market watchers expect more Tunisians to relocate or invest in the regions—especially as the government prepares to roll out expanded housing credits in partnership with the Banque de l’Habitat this autumn. For prospective renters and buyers, casting a wider net beyond the capital could be the key to unlocking better value. Aouadi, for one, expects to sign a lease in Sfax before the end of July.