FIVE Tasmanian regional areas have posted COVID-proof home-value growth over the past three months.
In new data from realestate.com.au, Dorset, Devonport, the Central Coast, Latrobe and Georgetown recorded median house price increases of between 10.42 per cent and 17.54 per cent.
The best performing local government areas in the south — for houses — were Hobart at 5.96 per cent per cent and Glenorchy 4.29 per cent.
Brighton, Glenorchy and the West Tamar were Tassie’s top unit market LGAs lead by Brighton’s 8.47 per cent median price change over the quarter.
Real Estate Institute of Tasmania president Mandy Welling said with Tasmania’s top performing LGAs all being in the north and northwest, these regions were “outranking the rest of the state for value for money”.
She said to see Dorset in the mix suggested the area’s commercial and tourism growth over time — mountain biking and golf in particular — was now improving residential values.
“These areas are proving they are ‘the place to be’,” Mrs Welling said.
“Their median sale prices are still affordable in comparison to many other municipalities across the state and we could be forgiven for assuming it’s only a matter of time before this changes also.”
Realestate.com.au chief economist Nerida Conisbee, said while Australia was in the worst recession since the Great Depression, it was not affecting all of the property market evenly.
She said some types of property in some areas had experienced tough conditions, while other parts have in fact performed better since the pandemic.
“The better performers are almost all in regional areas,” she said. “For now, it looks like regional Australia is the place to be, but the next 12 months is critical — when it comes to COVID-19 management and the likelihood of an effective vaccine — for this regional trend to continue.”
Mrs Welling said it was unsurprising to see villas and units producing substantial median price growth in areas such as Brighton and Glenorchy.
She said the rate of return for investors was attractive in both these areas.
“With services growing in Brighton, it is certainly attractive and fits the bill for a large demographic of home buyers and tenants,” she said.
“For Brighton, her nearest comparable suburb would be Old Beach where median sale prices have been considerably higher in the past.
“And for Glenorchy, with one of her nearest neighbours being Moonah, there has been a reasonable difference in median sale prices.
“For both Brighton and Glenorchy I can see this gap closing in the future.”