The next city to boom - it could be bigger than Sydney
Australia's most affordable capital city offers more than an attractive price tag and an amazing lifestyle.
Research conducted by Propertyology suggests that Hobart has the potential for property price growth to push past 20% over the next year - well above Sydney and Melbourne's strongest years during their boom.
Both Domain and CoreLogic have recently confirmed that Hobart's change in median house price over the past 12 months is officially higher than that for every other capital city.
We feel that Hobart's growth cycle today is comparable to where Sydney was in 2014. All of the metrics that we analyse suggest that there's currently no end in sight.
Affordability and the significant improvement in Tasmania's economy are driving housing demand while supply is incredibly tight.
After correctly anticipating the resurgence of Tasmania's economy, Propertyology commenced actively investing in Hobart property in 2014. The number of properties listed for sale now is less than half what was available a few years ago. It's like a flock of seagulls fighting over a chip.
Most Australians don't realise that Hobart's increase in job volumes over the past 12 months is four times the national average and more than double that of the next best capital city.
Tasmania is building an international reputation for unique tourism experiences, world-class agriculture and advanced manufacturing. Hobart is also a university city.
From new luxury hotels to an airport expansion, a major hospital upgrade and a new university, the pipeline of infrastructure and major job-creating projects is diverse and extensive.
Greater Hobart's population growth of 0.9% in 2016 was higher than the rate for the NSW Central Coast and Adelaide.
Mainland investors are appreciating that Australia's highest rental yields mean that the cost to hold a property in Hobart is effectively nothing.
According to SQM Research, Hobart's vacancy rate of 0.4% is the lowest for any capital city since it began keeping records in 2005. Rents will increase even further. Our analysis of building approvals shows that Hobart's pipeline for new housing is very low.
Hobart is the only location in Australia that has the combination of an affordable entry price, an economy that is already strong (and still improving), hardly any impact on investor's annual cash flow and a tight supply pipeline for as far as the eye can see.