Hobart
Our Suburb
Due-Diligence
In this section, we take a closer look at our prefered regions in Hobart so you have a true understanding of these areas and their surrounds. We digest the data that matters and take a look at the lifestyle elements that make Hobart the city it is.
Moonah (and surrounding suburbs)
Our thoughts
Moonah is situated 5km North West of Hobart and is at the foothills of Mt Wellington. Moonah is surrounded by Lenah Valley, New Town, Mt Stuart and North Hobart.
Like Hobart as a whole, Moonah and surrounding suburbs fall into the 'rising market' phase of the property cycle.
Housing in Moonah and surrounding suburbs is generally a mix of older style weatherboard houses and double brick. There are signs pointing to these properties being renovated, but this is still in its infant years.
Supply in Moonah is extremely tightly held, which can be a good thing - it does, however, mean that there is high demand for property in the area. With this being the case, we would not limit our search to just Moonah, but to neighbouring suburbs too.
Properties in your price range require minor cosmetic work. We will identify these needs when presenting properties with a summary of the required works and estimate the cost associated with that. If we do progress and the renovations are something that you'd like to progress with, we would supply you with a full financial feasibility study.
What we like to do:
We like to purchase homes with character that are dated and/or un-renovated, on a flat block with room to extend out and up at a later date. These homes, in particular, will also appeal to owner-occupiers driving up the emotional value of the property. The home will be two bedrooms (potentially three if available in your price range) with the scope to add an additional bedroom in the future.
The Strategy:
To purchase a property under $380,000 with a block size circa 500m2. The property would ideally be un-renovated with scope to add value with capital input upto $10k. The property in its current condition would generally have a rental yield up to 4.7% and your monthly out of pocket expenses in excess of $460. Post-renovation we believe you can achieve rental yields up to 5.1% reducing your out of pocket expenses to less than $380.
As we have mentioned, Hobart is a market we are monitoring closely, at this stage we believe it is a medium term hold. We will, of course, keep you abreast of your property to ensure it's working as hard as possible for you.
The Numbers
Population
5,284 (2016)
Increasing/Decreasing Population
The population has increased by 3.08% from 2011 to 2016
Vacancy Rates
0.4% of properties in the region
are unoccupied. We don't like the rate to be above 2%
Example Purchasing Feasibility
Average Days on Market
24 days on average to sell a home
Percentage of Sales by Auction
This is not an auction market
Ratio of Renters to Owner Occupied
38% are renters / 62% are owner-occupied. We prefer renters to be under 35%. More owner occupiers generally mean properties are better looked after in the area and greater demand for tenants for an investment
Supply vs. Demand
DSR (Demand Supply Ratio) score of 85. The DSR is a number out of 100 that gauges the demand relative to supply for a residential property market. We look for this to be always over 50. 60 is great, 70 is excellent
Housing Affordability
(Asset to Income)
32.98%. This is the percentage of the household income that goes towards paying a mortgage (based on an 80% LVR of the median property price). We like this to be under 40%
Monthly Household Income
$4,376
For Sale Now (Online)
Houses - 3
Median House Price (All)
$348,000 (2-bed $256,000)
Median Rent &
Gross Rental Yield (All)
$360 / 5.4%
Last 12 Month Capital Growth
15.12%
Renovation Potential
Yes. Opportunity to add value in two common ways; 1. Cosmetic, 2.Extension with an additional bedroom
Public Transport
Bus to CBD - 15 minutes
Car to airport - 21 minutes
Car to Launceston - 2hr 21min
What's Around
The Numbers
Population
7,283 (2016)
Increasing/Decreasing Population
The population has increased by 14.86% from 2011 to 2016
Vacancy Rates
0.3% of properties in the region
are unoccupied. We don't like the rate to be above 2%
Example Purchasing Feasibility
Average Days on Market
28 days on average to sell a home
Percentage of Sales by Auction
This is not an auction market
Ratio of Renters to Owner Occupied
22% are renters / 78% are owner-occupied. We prefer renters to be under 35%. More owner occupiers generally mean properties are better looked after in the area and greater demand for tenants for an investment
Supply vs. Demand
DSR (Demand Supply Ratio) score of 77. The DSR is a number out of 100 that gauges the demand relative to supply for a residential property market. We look for this to be always over 50. 60 is great, 70 is excellent
Housing Affordability
(Asset to Income)
32.31%. This is the percentage of the household income that goes towards paying a mortgage (based on an 80% LVR of the median property price). We like this to be under 40%
Monthly Household Income
$5,772
For Sale Now (Online)
Houses - 2
Median House Price (All)
$451,000 (2-bed $337,000)
Median Rent &
Gross Rental Yield (All)
$400 / 4.6%
Last 12 Month Capital Growth
3.68%
Renovation Potential
Yes. Opportunity to add value in two common ways; 1. Cosmetic, 2.Extension with an additional bedroom
Public Transport
Bus to CBD - 11 minutes
Car to airport - 15 minutes
Car to Launceston - 2h 26m
What's Around
Lindisfarne (and surrounding suburbs)
Our thoughts
Lindisfarne is situated 6.4km North East of Hobart and is on the Eastern Shore looking back over Hobart City. Lindisfarne is surrounded by Rosny, Rose Bay and Geilston Bay.
Like Hobart as a whole, Lindisfarne and surrounding suburbs fall into the 'rising market' phase of the property cycle. We are excited by the fact that the past 12 months has only seen 3.68% capital growth - especially given that Hobart as a whole has risen 12.9% over the same period.
Housing in Lindisfarne and surrounding suburbs is generally a mix of older style weatherboard houses and double brick. In comparison to Moonah, there is more evidence of renovated properties. This primarily is due to the waterfront location of the suburb in comparison Moonah which is further inland.
Supply in Lindisfarne is very very limited, which can be a good thing - it does, however, mean that there is high demand for property in the area. With this being the case, we would not limit our search to just Lindisfarne, but to neighbouring suburbs such as Rosny, Rose Bay and Geilston Bay. These suburbs rank similarly to Lindisfarne when using our suburb identifiers and we'd be comfortable to recommend properties that match your brief in these areas if they did arise.
Properties in your price range will require cosmetic work. It will be a matter of finding the right property that only requires minimal funds to renovate given your allowance for this.
What we like to do:
We like to purchase homes with character that are dated and/or un-renovated, on a flat block with room to extend out and up at a later date. These homes, in particular, will also appeal to owner-occupiers driving up the emotional value of the property. The home will be two bedrooms (potentially three if available in your price range) with the scope to add an additional bedroom in the future.
The Strategy:
To purchase a property under $380,000 with a block size circa 500m2. The property would ideally be un-renovated with scope to add value with capital input upto $10k. The property in its current condition would generally have a rental yield up to 4.7% and your monthly out of pocket expenses in excess of $460. Post-renovation we believe you can achieve rental yields up to 5.1% reducing your out of pocket expenses to less than $380.
As we have mentioned, Hobart is a market we are monitoring closely, at this stage we believe it is a medium term hold. We will, of course, keep you abreast of your property to ensure it's working as hard as possible for you.
