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Top 10 most affordable suburbs in Hobart

PR Newswire

Broadbeach Waters, Qld., Oct. 20, 2020 /Medianet/ --

Despite COVID-19, Tasmania’s housing market has held up well, even after several years of surging prices.  However, there are still irresistible pockets of affordable houses that are around 70 per cent of the median price for the capital city, according to Pete Wargent, co-founder of BuyersBuyers.com.au. 

 

Mr Wargent said that “the lowest mortgage rates on record mean that all cities now offer opportunities for those with a reasonable buffer and a level of employment security”. 

 

“With first homebuyer incentives now in play we expect affordable suburbs to be sharply in focus” Mr Wargent said.  

 

Hobart’s New Norfolk is a mere 25km from the city centre and yet it is more than $200,000 cheaper to buy a house there. 

 

The suburb is not alone though and there are nine other suburbs, all within less than 25km from the city centre, that enjoy prices well below Hobart’s median of $516,600. 

 

RiskWise Property Research has undertaken an in-depth analysis into the housing market identifying the Top 10 most affordable suburbs in Hobart. 

 

RiskWise CEO Doron Peleg said now was the time for buyers to take advantage of some incredible buying opportunities using a long-term strategy to build equity. 

 

In fact, Glenorchy enjoyed a whopping 74 per cent capital growth in five years and has a median price of $413,000, more than $100,000 below Hobart’s median.  


 

Mr Peleg said the analysis clearly showed that houses, not units, represented solid buying opportunities for those with long-term strategies and this was reflected in the latest Westpac Consumer House Price Expectations Index which saw a surge of 21.7 per cent in September after tumbling 51 per cent in April.  

 

In addition, ultra-low interest rates are expected to drive price increases once the pandemic is over when the long-held link between the cost of borrowing and housing prices reasserts itself.  

 

He said many homebuyers we also taking advantage of the COVID-19 lockdown and working remote from home, meaning lifestyle options were more available. 

 

Mr Peleg said now was the perfect time to take advantage of the conditions before things changed and the property market began to move again. 

 

“There are areas where bargains can be had and if you have a long-term strategy you can expect solid capital growth over the next few years,” he said.  

 

“There are many opportunities for buyers looking for houses with high land value as a proportion of the property, and a strong component of scarcity, especially if they intended to hold on to the property for several years or longer.  

 

“COVID-19 has also helped strengthen ‘work from home’ opportunities, meaning owner-occupiers can take advantage of ‘lifestyle’ prospects instead of being tied to employment hubs.  

 

“In addition, the current ultra-low interest rates have created a unique environment where buying a house in many areas was cheaper than paying rent on one.” 

 

Mr Wargent of BuyersBuyers.com.au said that more affordable areas have become a strong drawcard as the number of first homebuyers in the market has surged to decade highs.  

 

However, Mr Wargent stressed while this is the case for houses in these areas, units continued to carry a materially high level of risk. 

 

 

Please Note: This list is based on suburbs that are around 70% of the medium price and suburbs with at least 1000 houses in the existing stock. It should be noted that the lower end of the market presents different types of risks.  

 

For all media enquiries, contact BuyersBuyers.com.au Media Manager Tatiana Marchant on 0410 655 020 or email tatiana@buyersbuyers.com.au

 

Visit www.buyersbuyers.com.au/weintelligence

ENDS

About BuyersBuyers.com.au

 

BuyersBuyers.com.au is a national marketplace offering affordable buyer’s agency services to all Australians. Our ‘best in class’ nationwide panel of expert agents gives every Aussie a fair go in the housing market by reducing time, cost and stress through the property buying process. All data referred to is sourced and verified by independent research house Riskwise Property.

 

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