Hobart back as the most affordable capital city: CoreLogic

Hobart is back as Australia’s most affordable capital city, new CoreLogic data shows.

After breaking a 15-year period last month when jumping over Darwin’s median dwelling price, Hobart’s July result of $435,833 now sits $2330 more affordable than Adelaide but $3763 behind Darwin. 

Hobart is still Australia’s strongest performing capital city with its median price growing by 11.5%, CoreLogic’s July Home Value Index shows.

It was the only capital with double-digit growth.

The next best annual result was Canberra at 2.4%.

Sydney, Melbourne, Perth and Darwin posted negative growth figures.

July was the 12th month in a row Hobart led the nation with the strongest annual growth figures.

CoreLogic head of research Tim Lawless said Hobart’s annual capital gains figures had held in the double-digit territory since January 2017.

However, he said Hobart was starting to slow down.

“Dwelling values were steady over the month and the annual rate of growth slowed to 11.5%, which is still strong, but the slowest annual growth rate since February 2017,” Lawless said.

Domain recently calculated the median Hobart house price jumped 4.2 per cent to reach a new record high of $461,547 over the June quarter, marking a 15.9 per cent increase year-on-year.

Hobart delivered the strongest annual house price growth of all capital cities, and continued to produce double-digit annual growth, a trend seen since early 2017.

Domain's median unit prices jumped 6.1 per cent in June, reaching a new record high of $370,085, soaring 22.6 per cent over the year.

Hobart produced the strongest growth of all the capital cities for units. 

“Hobart defied the national downward trend and became the only capital city to record price growth for houses and units over both the quarter and year," said Domain data analyst, Dr Nicola Powell.

Domain suggested Hobart remained the most affordable capital city to purchase a house.

“Unit prices have already surpassed both Adelaide and Darwin, and are now on track to be higher than Perth in the coming months.

“The city continues to benefit from the flow of capital from the mainland cities, and despite recent price surges, offers relative affordability for those moving interstate,” said Domain data analyst, Dr Nicola Powell.