Hobart Property Market – Prices, Trends, Forecast [October 2025]

Hobart’s housing market remains relatively subdued compared with other capitals. Despite national momentum, growth in Hobart has been modest, reflecting affordability challenges and weaker buyer demand. Median dwelling values sit at $683,390, placing the city at the lower end of capital city price scales.

Market Highlights

• Median dwelling value $683,390, among the most affordable capitals.
• Values barely moved: +0.1% monthly, +0.1% quarterly, and 2.7% annually.
• Still 9.5% below its peak, marking one of the weakest recoveries.
• Houses flat at 0.0% for the quarter; units slightly stronger at 0.4%.
• Gross rental yields sit around 4.4%, higher than most east-coast capitals.
• Hobart’s north-west led growth (~5.1%), while inner Hobart softened slightly (-0.5%).
• Outlook: modest and uneven gains, with affordability and demand limits keeping growth subdued.

Housing Metrics Overview

See how Hobart’s property values have performed across houses and units over various timeframes, along with returns, yields, and median prices.

Hobart Property Price Growth

Over the past month, dwelling values edged up by only 0.1%. Quarterly growth was also limited, at just 0.1%. On an annual basis, prices rose by 2.7%, which is well below the stronger gains recorded in Brisbane, Perth, and Darwin. Houses saw slower performance than units, with the latter showing slightly more resilience.

View the latest property value movements across Australia’s capital cities. Use the filters to explore monthly, quarterly, and annual changes by dwelling type and region. Data sourced from CoreLogic.

Hobart Property Market Trends

Hobart continues to grapple with a slowing pace of capital growth, especially when compared with its strong run earlier in the decade. Regional Tasmania has outperformed the capital in the September quarter, highlighting a possible shift in demand beyond Hobart’s boundaries. Rental conditions remain tight, with vacancy rates low, but rental growth has not matched the sharp rises seen elsewhere.

The table outlines CoreLogic’s Home Value Index as of 1st September 2025, showing peak declines, five-year growth, and changes since the first rate cut in February.

Hobart Property Market Forecast

Looking ahead, Hobart is expected to see moderate growth rather than a rapid upswing. While affordability is less stretched than Sydney or Melbourne, softer demand and a cooling investor appetite are likely to cap potential gains. Competition in the unit sector may support modest improvements, though the pace will remain behind national leaders.

The Reserve Bank of Australia’s ongoing adjustments to interest rates will likely play a crucial role in shaping market dynamics, as higher borrowing costs limit purchasing power for many buyers.

Here are some of the most recent forecasts by the big-4 banks in Australia:

• ANZ predicts a 5-6% increase in capital city property prices in 2024, with Brisbane expected to see the highest rise at 9-10%, Perth property values could go up by 1-11%, Sydney by 4-5%, and Melbourne prices by 2-3%.
• CBA forecasts a 5% rise in capital city prices, with some variations: Brisbane is anticipated to grow by 6%, Melbourne and Perth by 5%, Sydney by 4%, and Adelaide by 1%.
• NAB projects a 5.4% average increase across the capitals, with Brisbane expected to see a 6.5% rise, Perth and Adelaide by 6.2%, Melbourne by 5.5%, Sydney by 5%, and Hobart remaining flat.
• Westpac expects a 6% growth across the combined capitals, with Perth leading at 10%, followed by Brisbane at 8%, Sydney at 6%, Adelaide at 4%, and Melbourne at 3%

Oxford Economics recently released property forecasts predicting where house prices will be in three years.

Conclusion

Hobart’s property market is steady but far from dynamic. With only 2.7% annual growth, it lags behind other capitals, signaling a phase of consolidation rather than expansion. Future performance will likely remain modest, supported by affordability but constrained by weaker momentum compared with faster-growing cities.

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