The housing phenomenon continues in Tasmania

The real estate marvel that is Tasmanian real estate continues with Hobart (+1.1%) values increasing over the last three months, according to CoreLogic. On an annual basis, the Tasmanian capital’s real estate market is growing at more than 7%.

Valuation firm Herron Todd White (HTW) reports that Hobart’s median house price (as at 1 February 2019) was $680,500, while the median unit price is $637,500. With median weekly house rents at $515 and units at $500 per week, the median investor is looking at gross returns of around 4%.

To the north of the state in Launceston, HTW reports significant growth in capital values over the past few years. Median house prices in Launceston are $421,000 while units are at $329,000. Median rents are $370 per week for houses and $288 for units, reflecting gross yields of around 4.6% for both property classes.

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.”