What are Hobart's most liveable yet affordable suburbs?

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on May 26, 2022 Fact Checked
What are Hobart's most liveable yet affordable suburbs?

PRD Real Estate analysed the housing and unit markets in Tasmania's capital, showing property prices are still rising, but the rate of growth is slowing.

The affordable and liveable property guide for Hobart Metro analysed all suburbs within a 10km radius of the Hobart CBD.

According to the report Warrne, Mornington and Clarendon Vale offer affordable and liveable options for prospective house buyers. 

Suburb Median house price  Distance from CBD Annual median price growth
Warrne $462,625 5.1km 15.7%
Mornington $561,250 5.9km 29.0%
Clarendon Vale $435,000 9.4km 52.6%

If you're looking to buy a unit, the report found that Oakdowns, Bellerive and Kingston were the most affordable and liveable suburbs.

Suburb Median unit price  Distance from CBD Annual median price growth
Oakdowns $560,000 10km 27.3%
Bellerive $586,250 6.2km 44.5%
Kingston $535,000 10km 16.7%

According to the report, median property prices in Hobart Metro increased by 25.5% for houses to $828,500 from Q1 2020 to Q1 2022, and by 17.3% for units at $610,000.

The data shows between quarter-one 2021 – quarter-one 2022 total sales declined by -17.8% (to 415 sales) for houses and by -32.3% (to 151 sales) for units.

In comparison, between quarter-three 2020 – quarter-three 2021 Hobart Metro’s median price grew by 30.5% for houses and 43.5% for units.

"With the economy entering a new phase of a higher cash rate and less fiscal or government stimulus, there are opportunities for first home buyers," the report read.

"An estimated $972.8 million of projects are planned across the first half of 2022, with a main focus on residential.

"Market conditions continue to heavily favour vendors, as buyers must offer above the initial listing price.

"That said the average vendor premiums in quarter-one 2022 are lower than the past three quarters, which should provide some relief to buyers.

"The dominant proportion of homes sold in Hobart Metro across 2021/22 were in the premium price bracket of $900,000 and above (37.5%)."

PRDHOBART.png

Source: PRD

Rental market

In March 2022, Hobart Metro recorded a low vacancy rate of 0.3%, well below that of Sydney Metro (1.6%) and Melbourne Metro (1.9%).

Vacancy rates in Hobart Metro remained well below the Real Estate Institute of Australia’s healthy benchmark of 3.0%, even throughout COVID-19.

According to the data, Hobart has a median rental price of $550 for houses, and $450 for units. 

Hobart Metro’s vacancy rate continues to show a declining trend since April 2020, showcasing historical low trends in the past 24 months.

Hobart Vacancy.png

Source: PRD


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Aaron joined Savings.com.au in 2021. He is a finance journalist with a keen interest in property, the share market, and improving financial literacy in young Australians.

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