State’s $3b boom goes on and on

MORE than $3 billion worth of homes have been sold in Tasmania over the past nine months — $11 million a day.

And the Real Estate Institute of Tasmania’s latest Quarterly Property Report reveals there were 3083 transactions in the June quarter, the highest number in 14 years.

REIT president Tony Collidge said the real estate market continued to buck the national slowdown trend.

He said while some momentum appeared to be coming out of the Hobart market, activity in other parts of the state remained strong — and the shortage of properties for sale across Tasmania would ensure the market “won’t drop away”.

TASMANIA’S rising housing market has hit a new milestone with a record set for the value of homes sold in one quarter.

More than $1.078 billion worth of properties were sold between April and June.

Just two quarters ago, Tasmania recorded sales worth in excess of $1 billion in a threemonth span for the first time.

Now the state has completed a hat-trick of sales at this volume, pushing the past three quarters combined to more than $3 billion worth of home sales.

In the Real Estate Institute of Tasmania’s latest Quarterly Property Report, released today, it is revealed the state amassed 3083 transactions in the quarter, the highest number since March 2004.

REIT president Tony Collidge said Tasmania’s real estate market continued to buck the national slowdown trend.

Mr Collidge said while some momentum appeared to be coming out of the Hobart market, activity in other parts of the state remained strong.

However, he said a shortage of properties for sale across Tasmania would ensure the market and price levels “won’t drop away”.

The report found local buyers continued to drive the Tassie market, accounting for three-quarters of all transactions in the quarter.

While investor activity across the state only grew slightly by 1 per cent in the quarter, Launceston pushed ahead as Tasmania’s “residential investment capital” with 33 per cent of sales made by investors.

In the past 12 months, median house prices have increased statewide.

Hobart led the charge with 17.7 per cent growth followed by Launceston (16.1 per cent) and the North-West centres (11.6 per cent).

Sandy Bay inched closer to becoming a million-dollar suburb with its $970,000 median price across 27 sales in the quarter.

Neighbouring Taroona also performed strongly with 11 sales at an $800,000 median.

In the first half of the year Tasmania recorded 89 home sales above $1 million. As recently as 2016, there were 100 such sales in a full year. Last year a new record was set with 168 million-dollar sales in the calendar year.

Compared to the same time last year, there was a 20.4 per cent increase in land sales in the first half of the year.

Of the 1088 lots sold in 2018, just 170 were bought by firsthome builders, 560 to existing homeowners and the balance acquired by investors and developers.

The report found that interstate buyers were dispersed evenly across the state.

They bought 479 properties during the quarter at a median price of $348,000.

Foreign investors accounted for just 1 per cent of the June quarter sales.

More houses were sold in Devonport (59) than any other suburb. The next best results were in Newnham (41), Glenorchy (36), Riverside (34) and New Norfolk (33).