By Herron Todd White
Hobart/Launceston/Regional Property Update
Following the COVID-19 restrictions in place from early March 2020, local real estate agents working in the northern suburbs have reported that general sales activity and enquiry were quiet in early March and recovered in early May. With some certainty, COVID-19 seems to have had limited impact on the property market in the northern suburbs. Recent sales evidence indicates that the property market was relatively stable in the second quarter of 2020 with very slight signs of negative activity. The days on market have remained steady, with average selling periods of between two and three weeks. The rental market across the northern suburbs for the March quarter was also reflective of a relatively stable environment. A three-bedroom home’s weekly rent was from $350 to $480 depending on the location of the property.
A majority of properties in the northern suburbs do not generally exceed $700,000. At this level of value, you could expect to purchase a range of different types of properties:
A large 200 square metre plus multi-storey dwelling with a high quality fit-out, located within a sought–after locale such as West Moonah, Rosetta, Berridale or Claremont Estate with either elevated river views or close proximity to the river, shopping and recreation facilities.
Good quality rural lifestyle dwelling on over one acre of land;
A heritage-listed property with well-maintained heritage features;
In terms of investors within this market, $700,000 will most likely allow you to purchase two newly constructed units in an outer suburb location (Brighton, for example) achieving yields of over seven per cent plus a tax saving benefit.
Generally, properties under $600,000 are selling within short time frames throughout the greater Hobart locality. The market for properties over the $1 million dollar mark appears to have slowed given the lack of interstate investors. Once the borders open, allowing interstate investors to become active in the market once again, it is believed that this market will improve accordingly.
Speak with a Tasmania Mortgage Broker today.
DISCLAIMER: The information contained in this article is correct at the time of publishing and is subject to change. It is intended to be of a general nature only. It has been prepared without taking into account any person’s objectives, financial situation or needs. Before acting on this information, Smartline recommends that you consider whether it is appropriate for your circumstances. Smartline recommends that you seek independent legal, financial, and taxation advice before acting on any information in this article.