It pays to do your research before buying real estate in the Hobart property market. At Buyers Agent Guide we offer free resources for home buyers and property investors. Find a buyer’s agent in Hobart, read local market updates and get tips on how to go about your search for a property or an agent.
Most buyers understand the importance of researching underlying trends and being comfortable with their property purchase. Independent, professional buyers can add value at every step of the process when buying a home.
Using a buyer’s agent in Hobart reduces stress and time spent on completing your real estate transaction. A knowledgeable advisor can be a big help in providing peace of mind for even the savviest of investors.
Quality agents are always up to date on local market trends and can identify areas of Hobart with the greatest potential for capital growth. They will also be in the know regarding future infrastructure and how this may impact your property. Population demographics and immigration policies are another area where an agent’s insights can pay off for home buyers and property investors.
Specialising in owner occupied, residential investment or commercial investment properties, a property expert can provide in depth knowledge specific to your buying profile. If you have needs in relation to lifestyle, transport, entertainment and schools you can save time with the help of an agent.
The best way to identify suburbs with excellent future prospects or high rental yields is to engage an expert and seek their advice.
Hobart Property Market Update (As at March 2013)
The Hobart property market recorded poor transaction volumes throughout 2012 with no indication that this will shift in 2013. During the first 11 months of 2012 loan approvals were down by 7% on the prior corresponding period. In November alone approvals fell by 3.5%. Unfortunately the Tasmanian economic climate looks set to continue weighing heavily on the Hobart property market.
Following from this Hobart recorded the lowest median property prices of all capital cities and was well below the benchmark in the 3 months to February 2013. The median house price was $325,000 against the capital city benchmark of $485,000. The median unit price was $248,000 compared to $415,000 for all capital cities (see figure 1).
Figure 1 – Median house and unit prices (3 months to February 2013)
With transactions off the pace, gross rental yields (data as of February 2013) performed quite strongly. Behind Darwin, Hobart had the second strongest performance of all capital cities for gross rental yield of houses and unit yields also performed well. The gross rental yield for houses was at 5.3%, which was 0.6% higher than 3rd placed Brisbane. Units recorded rental yields of 5.1%.
Hobart suffered the greatest fall in property values of all the capital cities with a drop of 2.3%, almost double the capital city benchmark of 1.3% (see figure 2). This was in large part due to the 4.9% drop in unit values. By contrast house values only experienced a 0.2% drop, a stronger result than in most other capitals. The more positive news is that this better than average performance should be sustained, with Hobart recording the largest quarterly property value increase for the 3 months to February 2013 at 4.2%. The capital city benchmark for the same period was 1.2%.
Figure 2 – Annual change in capital city property values
During the second half of 2012 Hobart demonstrated a minor improvement with an increase of 1.7% in transactions compared to the first half of the year. With 3,570 property sales across the market during the year, figures were down on those set in 2011 by 7.3%, which also saw it performing 21.3% below the five year rolling average.
Figure 3 – Decline in property values from their peak (to February 2013)
Figure 4 – Average annual change in property values (past 5 years to February 2013)