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Property prices bounce back for spring selling season

Hobart housing market is showing resistance to the national downward trends, according to the experts.

With the steadily increasing population, as migration to the state continues apace, the island state’s property market has shown greater resiliency than the rest of the country. While the consequences of the pandemic are still being felt far and wide, the effects on the property market are still having their reverberated effects felt interstate.

So while state growth in Tasmania is also expected to return to pre-pandemic levels, as industries such as tourism begin to stabilise and reach a resemblance of normalcy once again, it is yet to be seen the long term effects this will have.

And while the various government schemes aimed at assisting first home buyers have helped many by avoiding or deterring exorbitant deposit amounts, rising interest rates have somewhat replaced this cost for many.

The Hobart suburb leading the way

With the northern suburbs leading the way in terms of continued and consistent performance for the state, Glenorchy has landed itself among the best in the country, per Hotspotting’s Price Predictor report.

While rental listings have risen 9% since the same time last year, rental rates in Hobart ($500), have surpassed Melbourne ($440 per week), Brisbane ($485), Adelaide ($450) and Perth ($460).

As these rental prices soar higher and higher, Tasmanians have continued to earn the lowest income in the country. To confirm the fears of many locals, The Real Estate Institute of Australia’s latest Housing Affordability Report has named Tasmania the “least affordable state or territory in which to rent a property”.

National Median Rent 

  • Canberra $600
  • Sydney $550 
  • Darwin $550 
  • Hobart $500 
  • Brisbane $485 
  • Perth $460 
  • Adelaide $450 
  • Melbourne $440 

With such a large proportion of Tasmanians income being dedicated to continuing to battle incredibly competitive and rising rental rates, the stress generated by the situation has become untenable for many. Making the announcement of a new state government program that would see over the construction of at least 200 modular homes specifically built for social housing, built over the next four years, all the more important.

Tasmania’s fastest growing suburbs revealed

As the year nears its end and we begin to look forward to 2023, it’s important to note that it is not all doom and gloom for the Tasmanian property market. 

While the Northern Suburbs of Hobart continue to evolve to become a high performing property hotspot, Glenorchy is not the only Tasmanian suburb experiencing a resurgence, however. As spotlighted in the recently released 2022 McGrath report, statistics indicate strong growth movements in pockets across the state. 

Top 5 Growth Suburbs of Tasmania

Kingston Beach
With access to a number of beaches, close proximity to golf courses and a slew of casual pubs, the seaside suburb is becoming increasingly popular with buyers.

Sandy Bay
The proximity to the University of Tasmania as well as a number of Hobarts best schools and expansive water views, make this suburb a favourite just minutes outside of the CBD.

St. Leonards
The new land sub-divisions of St. Leonards have created a number of new opportunities just 10 minutes from CBD and popular schools.

Invermay
Just around the corner from the Northern UTAS campus, with an AFL stadium and quality schools in close proximity has made this a popular location for family friendly buyers. 

Devonport
With new investment, new land sub-divisions and new housing developments, this suburbs close proximity to national parks has made it an appealing destination for buyers.