Hobart is the new ‘hotspot’19 October 2015 by News Desk
Investors looking to buy property in Australia may want to consider Hobart in Tasmania, tipped to be next year’s ‘hotspot’.
Industry analysts SQM Research predict that Melbourne will be the out-performer of the year, followed by the Gold Coast and Hobart.
Each of these cities are benefiting from the lower Australian dollar but Hobart is forecast to be the winner over the coming 12 months.
Economic improvements driven by the Tasmanian government, along with a falling unemployment rate, has driven demand in the rental market in Hobart where rents are set grow up 8% next year as vacancies fall.
Gold Coast, another tourism exporter, is also strong and slightly ahead of Hobart in value.
Holiday destinations are looking very good now for landlords, say SQM Research. Gold Coast has a potential 11% capital growth and rental yield growing to 8%. Vacancies are down in the Gold Coast, similar to Hobart.