Derwent Valley Property Market Update 2nd Half of 2021

In Q2 2021, Derwent Valley recorded a median house price of $426,500, and a median vacant land price of $138,500. This represents annual (Q2 2020 – Q2 2021) median price growth of 18.5% for houses and 17.4% for land. Between Q2 2020 and Q2 2021 total sales in picked up by 72.7% for houses (to 38 sales) and slowed for vacant land, to 8 sales. Price growth in vacant land coupled with declining stock indicate a potential undersupply, thus now is an opportune time to transact in Derwent Valley. The housing market indicate real returns in capital investment, as price growth is alongside higher sales.

Average vendor discounts between Q2 2020 and Q2 2021 have further swung to a premium for both property types, to 10.8% for houses and 9.2% for vacant land. Market conditions in Derwent Valley favour vendors, as buyers must offer above the initial listing price. Now is the time to sell your property in Derwent Valley.

In June 2021, house rental yields in Derwent Valley LGA were recorded at 5.1%. In the 12 months to Q2 2021, the median house rental price increased by 8.4% to reach $428 per week, while average days on the market declined by -10.0% (to 18 days). Overall, this indicates Derwent Valley has remained a highly resilient rental market throughout COVID-19.

4+ bedroom houses have provided investors with +22.8% rental growth annually, with a median rent of $528 per week.

Also in June 2021, Postcode 7140 recorded a vacancy rate of 0.3%, slightly above that of Derwent Valley LGA (0.2%) and slightly below Hobart Metro (0.4%). Vacancy rates in Postcode 7140 and the Derwent Valley LGA continue to record low vacancy rates, as per pre-COVID-19 conditions throughout the pandemic. This confirms there is still a healthy ongoing rental demand, suggesting investors can be confident of a conducive investment environment in the area.