Tassie record set for one quarter of property sales

Tasmania’s rapidly rising property sector has reached a new high with near $1.5 billion in sales in just three months, reports the REIT. Read all the latest figures >>

• Hobart property values record huge annual growth figures
• Hobart's cheapest rental suburbs revealed

TASMANIA’S relentless property market has broken a record that it only set three months ago.

In its June quarter report, released today, the Real Estate Institute of Tasmania revealed that over $1.459 billion worth of property had been sold in the three-month period.

That figure edged out the March total by $9.6 million.

The report showed sales numbers were up by 25 per cent in June compared to the same time last year, reaching 2956. There were 1967 house, 373 unit and 570 land sales during the quarter.

Sales in excess of $1 million have skyrocketed this year with the REIT revealing 294 sales of which 78.2 per cent were purchases made by Tasmanians.

The number of $1m-plus sales are currently 172.2 per cent higher than last year.

Across all price ranges, Tasmanians bought four out of every five properties sold in the quarter.

There is an insatiable appetite for Tasmanian property in every price bracket, says REIT president Mandy Welling. Picture: Chris Kidd

Should the current activity level in the market continue throughout the year, REIT president Mandy Welling said “insurmountable pressure” would be placed on property prices and rents.

She said available homes for sale (a stock shortage) were at the heart of the issue.

“Without an increase in the number of properties for sale and properties for rent, the affordability gap will only widen,” Mrs Welling said.

“Our dire shortage of rental stock and established homes for sale is failing to quell an insatiable appetite for property across all sectors of the market.

“However, interstate investment is starting to increase, which is good news. We need this as those investor sales will assist with the number of rentals that are available.

“Investor sales reached 19.2 per cent, which is below the 25 per cent threshold needed to stabilise the rental market.”

Mrs Welling called on government to expedite major private building and development projects to enable future demand to be met.

She said the one way to create any level of affordability in the current market was affordable housing and land achieved by “cutting some of the red tape and timelines behind these processes”.

She said any stamp duty windfall should be channelled into public housing to “help ease the burden” carried by the private rental sector.

Across the state in June, Hobart ($675,000), Launceston ($461,000) and the North West Centres ($382,000) all recorded their highest median house prices ever. Hobart was up 26.2 per cent, Launceston 22.6 per cent, and the North West Centres 19.4 per cent on the same time last year.

Acton Park was among June’s most expensive suburbs.

Tranmere values are pushing higher. Picture: EDDIE SAFARIK

Meanwhile, first-home buyer numbers were stable at 14.5 per cent of all sales – 430 properties over the quarter.

Rents increased by $10-$25 per week across most regions with vacancy rates historical low at 1.4 per cent in Hobart, Launceston 1.1 per cent and the North West 1.7 per cent.

At $1.411 million Sandy Bay has the highest median followed by Acton Park ($1,084,625) and Taroona ($950,000).

Western hubs remained the most affordable including Rosebery ($129,850), Zeehan ($150,000) and Queenstown ($162,500).

Foreign buyers were responsible for just seven sales at a median price of $535,000.

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