Glenorchy Property Factsheet 1st Half of 2019
Q4 2018 saw Glenorchy record a median house price of $393,500, and a median unit price of $237,500. This represents an annual (Q4 2017 – Q4 2018) price change of 6.4% and -13.9% for houses and units respectively. By comparison, the 2nd Half 2018 Glenorchy Property Factsheet reported an annual (Q2 2017 – Q2 2018) price growth of 22.6% for houses and of 3.7% for units. Property in Glenorchy has thus become comparatively more affordable, with houses seeing a more sustainable level of growth and units seeing some cooling in median price. That said, this sudden shift in median unit price is in part reflective of a small sales pool, which can naturally result in larger price movements.
Average vendor discounting tightened for houses in Q4 2018 to +3.1%. This suggests that the market still favours sellers, however the average premium added to the initial first list price to achieve a sale is reducing. In contrast, average vendor discounting for units has now shifted away from the seller to narrowly favouring buyers, at -0.7%. Buyers are thus able to negotiate slightly below the initial list price to secure units.
The 12 months to Q4 2018 saw median house rents in Glenorchy grow by +7.9% to $410 per week, and median unit rents grow by +9.2% to $328 per week. Very low vacancies of 0.2% (as of December 2018) show high rental demand in Glenorchy. Combined with strong rental yields of 5.8% (house) and 6.0% (unit) this creates a market well-suited for investment.