First published 31 Oct 2026, 5:02am
Hobart rents are climbing in most suburbs, a report shows. Picture: Supplied
The rental crunch across greater Hobart shows no signs of easing.
New September quarter data from realestate.com.au shows growth in median house rents in 42 of 54 suburbs.
There were just four suburbs with declining rents and eight with no change.
The pain was felt most acutely in Tranmere, where the rental ask has surged by 8.9 per cent — or about $63 per week — over the past three months.
Moonah was not far behind with 8.3 per cent growth, and lifestyle suburb Sandford recorded 7.4 per cent growth.
Rents dipped in Dynnyrne by 3.9 per cent, Bellerive (3 per cent), and Berriedale and Battery Point (both 0.3 per cent).
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At $1500 per week, No/59 Lord St, Sandy Bay is at the top of the rental market. Picture: realestate.com.au
For $460 per week, renters could lease No.57 Laurel St, Risdon Vale. Picture: realestate.com.au
Annual rents showed 17 Hobart suburbs with double-digit growth – from 10.4 per cent in Claremont to 27.5 per cent in Taroona.
Sandy Bay is Hobart’s most expensive rental suburb at $795 per week, followed by Battery Point, Tranmere, Taroona and Glebe, which range from $750 to $$778 per week.
The most affordable suburbs were Primrose Sands ($465), then Gagebrook ($475), and Herdsmans Cove ($480). They were the only suburbs under $500 per week.
Realestate.com.au senior economist Angus Moore said the disconnect between falling home prices nationally and surging rents was driven by a lack of supply, rather than landlords simply passing on interest rate hikes.
“There isn’t a strong link between rate hikes and higher rents,” he said.
“Rental market conditions are likely to remain tight, so we’re going to continue seeing pressure on rents.”
SQM Research September figures show Hobart has the tightest rental vacancy rate in the nation at 0.5 per cent and 127 vacancies.
This is a slight improvement compared to the same time last year, 0.4 per cent and 107 vacancies.
The national average is 1.4 per cent, while a healthy rental market is considered to be 3 per cent.
SQM managing director Louis Christopher said there is “little sign yet of relief”.
“Rental supply remains exceptionally limited, continuing to place pressure on tenants,” he said.
Mr Christopher noted that while Hobart’s combined rents fell 0.5 per cent to $600 per week, they remain 9.5 per cent higher over the year.
“Unit rents fell 5.4 per cent over the month yet remain 14.6 per cent higher annually, the strongest unit rent growth of any capital,” he said.
Polling by The Australia Institute revealed that 55 per cent of respondents believe rent increases should be a capped at or below the inflation rate, while 23 per cent support temporary rent freezes.
Everybody’s Home spokesperson Maiy Azize said rent rises are pushing up inflation, pricing out key workers from communities, and increasing homelessness.
“Every rent increase forces another impossible choice between rent and the groceries, the power bill, or the doctor’s appointment,” she said.
Meanwhile, a Finder survey shows 23 per cent – the equivalent of 2.3 million households – have missed or delayed a lease one bill this year in order to cover their rent or mortgage payment. Electricity and gas bills were the most common.
Maiy Azize, spokesperson for Everybody’s Home.
HOBART’S RENTAL CRUNCH ISN’T JUST ABOUT QUANTITY — IT’S ABOUT FIT
Hobart’s rental market remains under significant pressure, but according to one local property expert, the problem isn’t as simple as “not enough houses.”
“It is not just that there is a lack of rentals or housing overall; it is that there is a shortage of rental properties that are available, affordable, and suited to the needs of today’s households,” says Elyse Lamprill, property management leader at Fall Real Estate.
With only a handful of suburbs under $500 per week, renters in Hobart are feeling the squeeze.
“A suburb having a median rent listed as below $500 does not necessarily mean that there is a good selection of houses available at that price,” Miss Lamprill said.
“There may only be a few suitable properties, and with that comes significant competition from other applicants.”
Elyse Lamprill, property management leader at Fall Real Estate.
So what’s driving prices up? Miss Lamprill points to a familiar squeeze: limited stock, strong tenant demand, and a steady trickle of rental properties leaving the market altogether.
“We are also seeing established rental properties leave the market when owners decide to sell or move back into their properties,” she said.
“When those homes are not replaced by new rental supply, it further limits the options available to tenants.”
Not every suburb is under equal strain, however. Miss Lamprill notes that Moonah, New Town, Glenorchy, Brighton and the outer northern growth corridor continue to lease quickly, largely thanks to relative affordability.
No.61 Vivian Dr, Rokeby leased for $670 per week. Picture: Supplied
No.2/243 Tolosa St, Glenorchy was leased for $650 per week. Picture: Supplied
Looking ahead, she said some landlords are reconsidering their investment, with a number opting to sell rather than continue renting out their properties, while others are taking a more cautious, long-term view of returns.
The risk, Miss Lamprill warns, is compounding.
“If more established rental properties are sold to owner-occupiers and not replaced by new rental housing, this will further restrict options available to tenants, putting more pressure on the current rental market,” she said.
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