Hobart house prices continue to grow but they have been overtaken by the even faster-growing prices in the state’s three regions. Picture: SAM ROSEWARNE
HOUSE prices in Tasmania’s capital continue to climb and the State’s regional areas are now sharing in the boom with three regions leading the nation.
In the 12 months to October 31, 2018, Hobart’s housing values increased by 9.7 per cent.
The gain was even higher outside Tasmania’s capital where the annual change in dwelling values surged by a staggering 11.4 per cent.
“The regional housing markets of Australia have returned a diverse performance with regional Tasmania standing out as the only broad region nationally where dwelling values are recording double digit growth,” CoreLogic Head of Research Tim Lawless said.
“Both Hobart and regional Tasmania continue to record strong housing market conditions driven by robust housing demand coupled with a shortage of supply.”
Australia and Tasmania’s best regional real estate performer was the South-East where property prices rose 11.6 per cent.
Others leading the pack were Launceston and the North-East and Tasmania’s North-West and West Coast markets.
CoreLogic’s Hedonic Home Value Index for the three months to October 31 shows property prices climbed another 1.2 per cent in Hobart over the quarter.
The median value of a house in the city now sits at $445,655 — higher than Adelaide and Darwin and closing in on Perth’s prices.
Canberra led the nation with a 1.5 per cent jump in housing values over the quarter but property prices fell again in Sydney, Melbourne and Perth.
In terms of rental yields, Hobart is still performing strongly, sharing top spot with Darwin at 5.7 per cent.
“However both cities are seeing rental yields trend lower as dwelling value movements outpace rental movements,” the report says.