Dwelling values in Hobart rose 1.0% over the three months to January 2019 and are 7.4% higher over the past year, according to the latest CoreLogic Property Market and Economic Update. Over the past 12 months, house values increased by 7.0%, and unit values are 9.0% higher.
The CoreLogic report follows hot on the heels of the latest Quarterly Report from the state’s peak real estate body, Real Estate Institute of Tasmania that property sales in the Apple Isle set a new benchmark with 11,394 residential transactions. Also, Tasmania recorded its highest cumulative value of sales with a record $4.067 billion, which was up $188 million on 2017 results.
First Home Buyer activity increased 19.9% with almost three-quarters of first-timers buying houses or units while the balance purchased land. At the market’s premium end, 181 properties across the state sold for more than $1 million. Interestingly, interstate buyers only bought 33 of these high-end properties.
Across greater Hobart, the median house prices climbed by 14.9% to $495,000, with Launceston prices rising a substantial 14.5% to $335,000. The median house price in Tasmania’s North West region rose by 9.2% to $273,000.
Keen investors should note rental vacancy rates remain at an all-time low of less than 2.0%. Real Estate Institute of Tasmania President Tony Collidge said, “Tasmanian residential sales and rental markets have been driven to record heights by an unwavering demand from buyers and renters.
“Tasmania has a buoyant residential real estate market where increasing employment opportunities, a flourishing tourism market, growing tertiary student numbers, and an alluring lifestyle destination have generated continued growth and demand at levels we are struggling to meet.”