Hobart jumps from 34th to 11th on Knight Frank global residential city rankings

Hobart jumps from 34th to 11th on Knight Frank global residential city rankings
Hobart jumps from 34th to 11th on Knight Frank global residential city rankings

Knight Frank, the independent global property consultancy, launched its Global Residential Cities Index for Q4 2017, which finds Hobart has jumped to 11th place, up from 34th on the index.

It came after with 13.1% growth over the year to December 2017.

This is up from 11.3% growth in the 12 months to March 2017 according to the index which tracks the performance of mainstream residential prices across 150 cities worldwide.

Hobart sales have included Hanby Villa, a Georgian manor in the heart of Hobart, sold for $1.85 million last year (pictured below).

Located at 197 Macquarie Street, the house comes with five bedrooms, light-filled living space, cosy library,  extensive modern kitchen and sun-drenched terraced garden.

It is conveniently located less than a kilometre from the CBD.

A Hobart two bedroom apartment with waterfront surroundings has been sold for $1.25 million (pictured below).

The 22/19 Hunter Street (pictured below) apartment features two double bedrooms, open plan living/dining and kitchen areas across the front, and two bathrooms. 

Circa 1864, the building itself is one of the earliest built in old Hobart Town and has been sympathetically restored and refurbished.

It is adjacent to the historic Henry Jones Hotel and just a few minutes walk from cosmopolitan Salamanca Place with market, restaurants, bars and galleries.

 Hobart jumps from 34th to 11th on Knight Frank global residential city rankings

A brand new offering currently on the market is a Sandy Bay four bedroom house in excess of $1.4 million (pictured below).

Shrouded in topiary-featured private special garden spaces, the 481 Sandy Bay Road home comes with four bedrooms, informal living zone, and glass-roofed outdoor/indoor entertainment area.

With the intimate water views from both floors, there is also proximity to the most excellent schools, speciality stores and services.

Hobart jumps from 34th to 11th on Knight Frank global residential city rankings

Another Sandy Bay Italianate style unit has been listed for over $1.2 million.

Surrounded by trees and landscaped gardens, the 3/31 Fitzroy Place (pictured below) home comes with two bedrooms, formal dining and large living room with views, and well-equipped kitchen.

Hobart jumps from 34th to 11th on Knight Frank global residential city rankings

The global index increased by 4.5% in the year to December 2017, down from 7% in the year to March 2017. 

Elsewhere Canberra’s residential market is now outperforming Sydney. Sydney is at 83rd place on the index with 3.8% price growth in the year to December 2017 – down from 23rd on the index in the year to March 2017, when the city saw 14.4% price growth. Canberra sits at 59th on the list with 5.7% growth in the year to December 2017.

Melbourne now sits at 21st on the list, with 10.2% price growth in the year to December 2017 – up from 24th on the index (when the city saw 13.4% price growth in the year to March 2017)

Adelaide is at 87th on the index with 3.6% price growth

Brisbane is at 100th place with 2.1% price growth

According to Knight Frank’s Head of Residential Research, Australia Michelle Ciesielski, six Australian cities have appeared in the top 100 of our global index in Q4 2017 – Hobart, Melbourne, Canberra, Sydney, Adelaide and Brisbane. 

“There is a clear differentiation in the pace of property growth around Australia, with Sydney and Melbourne seeing prices moving towards a more sustainable level of growth," Ciesielski.

“The influence by the Australian Prudential Regulatory Authority (APRA) on the lending environment has certainly been felt with many investors retracting from the market on the east coast. This risk-adverse environment is likely to remain for some time given the current banking royal commission.

“As of Q1 2017, Australia’s highest-ranking city was Sydney in 23rd position. However, Canberra’s mainstream residential price growth has now overtaken Sydney’s, with Canberra sitting in 59th position with 5.7% residential price growth (in comparison to Sydney now at 83rd place with 3.8% price growth)."

Hobart jumps from 34th to 11th on Knight Frank global residential city rankings

According to Knight Frank’s Head of Residential, Australia Sarah Harding said with improvements to connectivity and infrastructure Australia is becoming closer to the rest of the world. As a result we are seeing more global citizens reside in Australia as well as expats returning home. 

“As the figures represent it is not only the major cities of Sydney and Melbourne who benefit, but the impact is now showing in cities such as Canberra and Hobart," Harding said.

Hobart jumps from 34th to 11th on Knight Frank global residential city rankings

“With the recent direct flights from Perth into Europe, and plans for high-speed sub-orbital travel, this bodes well for Australia in the future and it is exciting to see cities such as Canberra, Hobart and Perth feature within this global index.”

Hobart jumps from 34th to 11th on Knight Frank global residential city rankings

Berlin led the annual rankings for 2017 

US cities averaged 6.3% growth in 2017, despite four rate rises since December 2016.  

Kate Everett-Allen, Partner, International Residential Research at Knight Frank said, in 2016, the 15 Chinese cities tracked by the index averaged 23% growth year-on-year. In 2017, the same 15 cities averaged 1.6% growth.

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Hobart jumps from 34th to 11th on Knight Frank global residential city rankings

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