Brighton Property Market Update 2nd Half of 2020
In Q2 2020, Brighton recorded a median house price of $380,000, and a median unit price of $295,000. This represents annual (Q2 2019 – Q2 2020) median price growth of 6.2% for houses and of 9.3% for units. Between Q2 2019 – Q2 2020 total sales slowed, by -25.8% for houses (to 46 sales) and by -44.0% for units (to 14 sales). Softer demand is expected due to COVID-19, however there is also the potential of low stock availability. Positive price growth indicates market resilience amidst COVID-19, thus less competition in the market, now is the time to transact in Brighton.
Average vendor discounts between Q2 2019 and Q2 2020 have lessened to buyer premiums of 1.4% for houses and swung to a premium of 1.5% for units. Market conditions in Brighton have now shifted to favour vendors, as buyers are willing to offer above initial listing prices. Now is the time to sell.
Over the past 12 months, house rental yields in Postcode 7030 have remained steady to sit at 5.6% in June 2020. This suggests the house rental market is in a healthy position, which has been reflected in a steady demand for house rental properties in Brighton across the same time period (to 47 rentals in the 12 months to Q2 2020).
2 bedroom houses have provided investors with +13.8% rental growth annually, achieving a median rent of $350 per week.Postcode 7030 recorded an extremely tight vacancy rate of 0.2% in June 2020, which is a very healthy position as it is even lower than Hobart Metro’s already low 0.9% average. The vacancy rate in Postcode 7030 has seen a declining trend since December 2019, opposite to COVID-19 rental market predictions This confirms there is strong rental demand for properties in Brighton, and a conducive environment for investors.