John McGrath reveals where to buy in Hobart and Tasmania. Picture: Supplied
For mortgage-holders, every RBA rates call feels like doom and gloom has settled in — but there are rays of housing sunshine to be found, too.
John McGrath, founder and chief executive of McGrath Estate Agents has released his McGrath Report 2027 and named five Hobart and five more Tasmanian hotspots.
The real estate guru noted that the current correction weighing on house prices nationwide this year was the eighth highest since he entered the industry 40 years ago.
He said it “feels like the fastest fall in values” that he can remember.
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However, analysing Hobart, there was plenty of positivity to point to.
To start, median house and apartment prices have rarely been higher, with the current value only a stitch behind the record high set earlier this year.
“Confidence has returned to Hobart’s housing market,” Mr McGrath said.
“First-home buyers are very active, and dwelling values increased almost 10 per cent last year.
“The city’s most affordable properties, which outperformed the middle and upper ends of the market, are fuelling the recovery, as are the tight rental conditions and attractive yields.
“Even after all the growth, including buoyant sales, the expectation is that Hobart’s residential prices have a further 4 per cent to go in the year to come.”
Mr McGrath also noted the Tasmanian Government’s expectation that the state will lead the nation in per capita economic growth over the next four years, supported by its $40bn infrastructure pipeline.
“Hobart is expected to be the major beneficiary, with the approved Macquarie Point stadium precinct and Hobart Airport expansion set to underpin the city’s employment, population growth and housing demand,” he said.
Read the full report at mcgrath.com.au
Just off the Brooker Hwy, 15 minutes north of Hobart, Chigwell has spent years in the shadow of the more expensive neighbouring Glenorchy suburbs. With easy access to Glenorchy’s shopping precinct, median house values just over $600,000 and a 5.3 per cent rental yield, it was inevitable attention would turn to Chigwell.
No.16 Langura Ave, Chigwell, $650,000-plus Picture: realestate.com.au
A decade ago Rokeby was little more than a master planned vision. Now it’s full of young families, with its own parks and a $35m shopping centre and is part of a broader plan to turn the surrounding area into a satellite city of more than 20,000 people. Even after three years of strong growth, Rokeby remains one of Clarence’s most affordable suburbs and an increasingly attractive option for buyers seeking value close to Hobart.
For less than $1m you can buy more than impressive views of the River Derwent. The highly regarded Taroona High School, secluded beaches, the Alum Cliffs Track and a leisurely 10km drive to the CBD make it one of Hobart’s most tightly held family suburbs. It’s no surprise owners stay an average 13.5 years.
No.15 Oakleigh Ave, Taroona $950,000-plus Picture: realestate.com.au
Few places within commuting distance of Hobart offer as much character for the money as New Norfolk. Heritage homes, generous blocks, award-winning foodie credentials and a median house price of $544,000 continue to attract buyers looking for a value package.
No.1 Tynwald Rd, New Norfolk is on the market for “Offers over $1.7m”.
Once overlooked, Gagebrook is undergoing a significant transformation thanks to major rezoning as part of the Government’s northern growth corridor. New house and land opportunities, improved amenity and a strong 6.2% rental yield are helping it become one of Hobart’s most compelling entry-level markets, with homes still available for under $500,000.
Mayfield offers exceptional value, with median house prices below $530,000 and easy access to the CBD, UTAS Newnham, Australian Maritime College and Mowbray shopping precinct. Even though home values increased 27.9 per cent last year, yields remain around 5.6 per cent, making Mayfield one of Launceston’s most appealing first homebuyer and investor markets.
No.12 Mayfield St, Mayfield is priced at $525,000-plus. Picture: realestate.com.au
Waverley’s evolution is underway, with Launceston Council earmarking the suburb for an additional 3200 homes and a village centre while preserving its scenic views and semirural character. Median house prices remain below $550,000, with homes tightly held and selling in less than three weeks.
Just across the Mersey River from Devonport’s CBD, East Devonport is benefiting from the $240m Spirit Quay redevelopment, the opening of the new Spirit of Tasmania terminal and the next stage of the Living City renewal. Offering the best of both worlds with a city convenience and a relaxed residential feel, houses are still priced below $550,000.
No.12 Skyline Dr, East Devonport, “Offers over $1.05m”. Picture: realestate.com.au
Working orchards, family businesses and a long farming history give Spreyton a strong sense of identity — attracting buyers drawn to its larger blocks, semirural setting and strong community ties. A five-minute drive south of Devonport’s CBD, buyers are paying a median $685,000 for a lifestyle increasingly hard to find.
No.16 Ronan Ct, Spreyton, “Offers over $775,000”. Picture: realestate.com.au
Park Grove has become one of Burnie’s most sought-after family suburbs, with top tier Catholic schools, leafy streets and the CBD all within minutes of home. Burnie’s transformational pipeline of industrial, civic and waterfront investment is adding to its appeal, while home values remain around $623,000.
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