First published 14 Nov 2026, 5:03am
Hotspotting Tim Graham says Hobart housing is heating while Australia cools. Picture: Supplied
Hobart is the hottest property market in Australia, a national report has revealed.
And regional Tasmania cracked the top five.
Hotspotting’s National Thermometer Index rates market heat on a scale of 100, based on the relationship between how quickly homes are selling in each suburb and the volume of new listings coming onto the market.
According to the report, the national average score fell from 56 to 49.1 — a clear signal that the market has turned, moving away from conditions that favoured sellers towards one where buyers now hold the upper hand.
Greater Hobart climbed 8.8 points higher to a table-topping 67.4.
The report noted that no Hobart suburb was ranked cool or cold.
And the number of hot markets increased from seven at this time last year to 20.
Active property listings fell by 20 per cent annually in Hobart, while sales dipped by 6 per cent.
MORE: Cricket ace declares innings on Tassie sanctuary
Two Tas sales tip scales at $29m-plus
Astor House for sale after 40 years with same owner
Hotspotting managing director Tim Graham said Hobart has the highest capital city score, with 34 of 42 markets hotter now than they were this time last year.
However, he said this differs from most other capital cities because supply has fallen sharply.
“When listings are coming down and the market’s heating up because of the affordability in Hobart, you are going to get very good rental yields,” he said.
“Hobart has attracted homeowners and investors.
“When you get both of them coming into Hobart at the same time, I’m not surprised to see that type of turnaround in the Hobart market in the last 12 months.”
MORE: SOLD: North Wycke sale is Hobart’s best deal
Sandy Bay’s century-old home with a modern secret
Rare bite: Howrah fast-food assets set for once-in-a-decade sale
No.12 Redwood Rd, Kingston is priced at “Offers over $795,000”.
No.377 Park St, New Town is on the market between $1.1m and $1.2m.
The report showed that Hobart recorded 1185 sales and had 889 new listings — an absorption rate of 42 per cent and 2.4 months of inventory — in the September 2026 quarter.
A year earlier, the figures were 35 per cent and 2.8 months of inventory.
Mr Graham expects infrastructure spending to heat up the market.
“You’ve got the stadium getting built, and there are a lot of upgrades to the hospitals, too,” he said.
“There is a lot of money being spent on infrastructure in Hobart, which there wasn’t two or three years ago.
“That’s creating a lot more jobs and bringing people to the area. Hobart is a good first homebuyer market, too.”
Herron Todd White director residential Tasmania, Adrian Rechichi.
Herron Todd White’s Tasmanian residential director Adrian Rechichi said Hobart home valuers noted a shift from investor and interstate buyers back to local buyers.
While cost-of-living pressures and interest rate movements have reduced borrowing capacity, he said settling market conditions and fading policy noise leave first home buyers well positioned to enter the market with less competition.
“Historically, buyers under $600,000 were routinely outbid by investors pursuing high rental yields, but current conditions offer a clearer run,” he said.
Eleanor Creagh, senior economist at realestate.com.au.
Meanwhile, realestate.com.au senior economist Eleanor Creagh said the RBA’s latest hike would reinforce the national market downturn.
“Higher borrowing costs are now limiting what prospective buyers can borrow and afford to pay, contributing to weaker demand, with more choice and greater negotiating power adding to the downward pressure on prices,” she said.
Help us improve your reading experience
Got a minute? Your feedback will help us build a better experience for you.
