September 2011 Quarterly Property Report – from Real Estate Institute of Tasmania
Battery Point | Tourism Tasmania | Peter Baillie
The Real Estate of Tasmania (REIT) has recently released the REIT Property Quarterly Report, September 2011.
Following are some highlights from the report.
Median House Prices by Region
• Hobart (All): $345,000, a decrease for the quarter of 6.8% and annual change of -9.2%. Based on 408 sales. Days on market – 66, compared with 46 in September 2010.
• Hobart Inner: $435,000, a decrease for the quarter of 7.9% and annual change of -8.6%. Based on 106 sales. Days on market – 54, compared with 31 in September 2010.
• Hobart Middle: $307,500, a decrease for the quarter of 3.8% and annual change of -13.4%. Based on 215 sales. Days on market – 72, compared with 48 in September 2010.
• Hobart Outer: $347,500, an increase for the quarter of 0.4% and annual change of 0.7%. Based on 87 sales. Days on market – 76, compared with 56 in September 2010.
• Launceston: $270,000, a decrease for the quarter of 1.8% and annual change of0.9%. Based on 201 sales. Days on market – 70, compared with 57 in September 2010.
• North-West Centres: $235,000, a decrease for the quarter of 3.5% and annual change of -9.6%. Based on 117 sales. Days on market – 78, compared with 54 in September 2010.
• Tasmania (All): $295,100, a decrease for the quarter of 3.2% and annual change of -4.8%. Based on 1216 sales. Days on market – 81, compared with 59 in September 2010.
The median number of days on the market for Tasmania overall is 81 days, which is higher than the reported median for any of the regions. This appears to be an error in calculation in the report.
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. However, in saying this, it is clear in many reports that despite low turnover that Battery Point is always at or near the top of the list in terms of price.
Top Ten Most Expensive Tasmanian Suburbs/Towns
1. Battery Point, Hobart Inner ($645,000)
2. Sandy Bay, Hobart Inner ($610,000)
3. East Launceston, Launceston ($496,500)
4. Blackmans Bay, Hobart Outer ($475,000)
5. Grindelwald, Launceston ($430,000)
6. Mount Stewart, Hobart Inner ($420,000)
7. Rose Bay, Hobart Middle ($410,000)
8. New Town, Hobart Inner ($409,500)
9. Prospect Vale, Launceston ($404,500)
10. West Moonah, Hobart Middle ($398,000)
Top Ten Median Price Growth Suburbs/Towns over the year
1. West Moonah, Hobart Middle (39.6%)
2. East Launceston, Launceston (37.9%)
3. Launceston City, Launceston (24.1%)
4. Longford, Launceston/North (22.4%)
5. Blackmans Bay, Hobart Outer (21.0%)
6. Sorell, Hobart Outer (21.0%)
7. Westbury, Launceston/North (18.8%)
8. Newstead, Launceston (15.6%)
9. Prospect Vale, Launceston (13.9%)
10. Penguin, North West (13.7%)
The report also includes data on the location of buyers – reporting 13% interstate buyers and no 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% in Hobart, 2% in Launceston and 4.1% in the North-West.
Source: REIT Property Quarterly Report, September 2011.
A full copy of the report is available for purchase from the REIT website at http://reit.com.au/market-facts