Did I want to live in Perth? Did ANYONE here doing med want to leave Sydney? Hell no!
But that's not the point. Pretty much everyone who is serious about med shouldn't care about where they go, but what they do. I grant that there are exceptions on compassionate grounds (disadvantaged family etc) but for the able, leaving home should not be a concern.
As for whether you should apply, it's up to you to calculate your chances. If you think you have a good shot at convincing them you are into rural, tropical and indigenous health then go ahead. Keep in mind that if you can't convince yourself, then you're definitely not going to convince them.
Good luck.