Narooma has two main ocean beaches — the main beach immediately north of the town centre, and Bar Beach to the south near the inlet entrance. Both are patrolled by surf lifesavers in summer. The main beach is the larger and more sheltered of the two; Bar Beach is favoured by surfers when a swell is running. Swimming conditions are generally benign by NSW coast standards, though the inlet bar itself should be avoided by swimmers.
The headland above Bar Beach offers a good walk with ocean views north and south along the coast. A natural rock formation in the sea platform at low tide, known locally as Australia Rock, has a rough outline resembling the continent. It is not exactly a geological wonder but it is a pleasant walk to the point regardless. Whale watching from the headlands is rewarding during the humpback migration season, which peaks between September and November.