December 2011 Quarterly Property Report – from Real Estate Institute of Tasmania
Battery Point | Tourism Tasmania | Peter Baillie
The Real Estate Institute of Tasmania (REIT) has recently released the REIT Property Quarterly Report, December 2011.
Following are some highlights from the report.
Median House Prices by Region
• Hobart (All): $365,000, an increase for the quarter of 5.8% and annual change of -4.6%. Based on 442 sales. Days on market – 55, compared with 43 in December 2010.
• Hobart Inner: $471,310, an increase for the quarter of 8.3% and annual change of -14.3%. Based on 146 sales. Days on market – 47, compared with 29 in December 2010.
• Hobart Middle: $320,000, an increase for the quarter of 4.1% and annual change of -2.3%. Based on 200 sales. Days on market – 59, compared with 49 in December 2010.
• Hobart Outer: $345,000, a decrease for the quarter of -0.7% and annual change of -6.5%. Based on 96 sales. Days on market – 59, compared with 51 in December 2010.
• Launceston: $280,000, an increase for the quarter of 3.7% and annual change of 1.8%. Based on 213 sales. Days on market – 59, compared with 45 in December 2010.
• North-West Centres: $225,000, a decrease for the quarter of 4.3% and annual change of -11.8%. Based on 118 sales. Days on market – 64, compared with 80 in December 2010.
• Tasmania (All): $305,000, an increase for the quarter of 3.4% and annual change of -4.7%. Based on 1255 sales. Days on market – 70, compared with 52 in December 2010.
The median number of days on the market for Tasmania overall is 70 days, which is higher than the reported median for any of the regions. This appears to be an error in calculation in the report.
As noted when we posted about the September results, the REIT report splits the suburbs of Hobart into three areas – inner, middle and outer. The report lists the suburbs in each area, but includes some unusual allocations. Middle Hobart includes, for example, Lauderdale (20km from CBD), Seven Mile Beach (20km), Tranmere (14km) and Old Beach (17.5km). Whereas Outer Hobart includes some suburbs closer than these, for example, Mornington (8km), Warrane (8km),Bonnet Hill (13km) and Kingston (12km). This needs to be taken into account when reading the results by area.
The two tables below show the top ten suburbs or towns in terms of median price and growth. As with many results for Tasmania, the low sales volumes in some suburbs present (or not present) in these lists can easily skew the data.
Top Ten Most Expensive Tasmanian Suburbs/Towns (for the December Quarter)
In the September quarter the median prices of the Top Ten Most Expensive Suburbs ranged from $645,000 (Battery Point) down to $398,000 (West Moonah). In each quarter the total number of sales recorded by the Top Ten has been similar (108 this quarter, 107 last quarter). The limited number of sales for some suburbs means that this list can vary significantly from quarter to quarter as is evidenced here with only three suburbs from September remaining in this list (East Launceston, Battery Point and Sandy Bay).
The following suburbs were in the Top 10 last quarter and not this quarter: Blackmans Bay (Hobart Outer), Grindelwald (Launceston), Mount Stewart (Hobart Inner), Rose Bay (Hobart Middle), New Town (Hobart Inner), Prospect Vale (Launceston), West Moonah (Hobart Middle).
Top Ten Median Price Growth Suburbs/Towns over the year
The report also includes data on the location of buyers – reporting 163 (13%) interstate buyers and 8 (1%) overseas buyers.
This data is most likely extracted from the sales contracts for each property and has used the address of the buyer at the time of signing the contract. What this information cannot show is if the interstate buyers are relocating to Tasmania or purchasing investment properties. What it also can’t highlight are the purchases of anyone recently relocated, but with a Tasmanian address at the time of purchase.
For those interested in renting in Tasmania, the vacancy rates and median rents are reported. Vacancy rates are mostly low – 3.1% in Hobart, 1.7% in Launceston and 4.2% in the North-West.