Authored by the expert who managed and guided the team behind the Australia Property Pack
Yes, the analysis of Hobart's property market is included in our pack
Buying property in Hobart in 2026 is a decision that deserves more than gut feeling or what your neighbor thinks.
We've pulled together fresh data on Hobart housing prices, rental vacancy, days on market, and upcoming policy changes to give you a clear picture.
This blog post is constantly updated so you always have the latest Hobart property market insights at your fingertips.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Hobart.
So, is now a good time?
As of January 2026, it's a "rather yes" to buy property in Hobart, meaning conditions are favorable but not without some caution flags.
The strongest signal is that Hobart's rental market remains extremely tight, with vacancy rates among the lowest in Australia, which supports both prices and rental income.
Another key signal is that homes in Hobart are selling in around 29 days on average, showing buyers don't have endless time to negotiate and sellers still have leverage.
Other signals include limited for-sale stock keeping competition alive, new construction not keeping pace with demand, and the Bridgewater Bridge completion improving Greater Hobart connectivity.
The best strategy would be to focus on detached houses or well-located units in liquid suburbs like Sandy Bay, Battery Point, or North Hobart, plan to hold for at least 7 to 10 years, and if investing, target areas with persistent rental pressure.
This is not financial or investment advice, we don't know your personal situation, and you should always do your own research before making any property decisions.
Is it smart to buy now in Hobart, or should I wait as of 2026?
Do real estate prices look too high in Hobart as of 2026?
As of January 2026, Hobart property prices look stretched relative to local incomes, with the typical house price sitting around 8 times the average Tasmanian full-time salary, which is high by historical standards.
One clear on-the-ground signal is that homes in Hobart are still selling in a median of about 29 days, which suggests buyers aren't forcing sellers into price cuts and demand remains solid.
Another supporting signal is that total listings in Hobart remain limited according to SQM Research data, meaning buyers don't have enough choice to push prices down aggressively.
You can also read our latest update regarding the housing prices in Hobart.
Does a property price drop look likely in Hobart as of 2026?
As of January 2026, the likelihood of a meaningful property price drop in Hobart over the next 12 months looks low, mainly because undersupply and tight rentals continue to support the market.
A plausible range for Hobart property prices over the next year would be somewhere between a small dip of around 2% and modest growth of around 5%, with a flat year being the most likely outcome.
The single most important factor that could increase the odds of a Hobart price drop is tighter credit conditions, specifically APRA's new debt-to-income limits that take effect on 1 February 2026.
These APRA limits are not just a possibility but a confirmed policy change, so buyers and investors should factor in reduced borrowing capacity as a near-certainty for early 2026.
Finally, please note that we cover the price trends for next year in our pack about the property market in Hobart.
Could property prices jump again in Hobart as of 2026?
As of January 2026, the likelihood of a renewed price surge in Hobart looks low to medium, because while demand factors are present, credit conditions are tightening rather than loosening.
A plausible upside range for Hobart property prices over the next 12 months would be growth of around 3% to 6%, which would be solid but not the double-digit jumps seen in 2021.
The single biggest demand-side trigger that could push Hobart prices higher would be interest rate cuts from the RBA, which would immediately boost borrowing capacity and buyer confidence.
Please also note that we regularly publish and update real estate price forecasts for Hobart here.
Are we in a buyer or a seller market in Hobart as of 2026?
As of January 2026, Hobart is closer to a seller-leaning market than a buyer's market, though it's not an extreme where sellers can name any price they want.
While Hobart doesn't publish a formal "months of inventory" figure like some markets, the combination of 29-day median selling times and low total listings points to roughly 3 to 4 months of supply, which typically favors sellers.
The share of Hobart listings with price reductions appears modest based on asking price trends from SQM Research, which suggests sellers aren't under heavy pressure to discount and still hold reasonable leverage in negotiations.
We have made this infographic to give you a quick and clear snapshot of the property market in Australia. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
Are homes overpriced, or fairly priced in Hobart as of 2026?
Are homes overpriced versus rents or versus incomes in Hobart as of 2026?
As of January 2026, Hobart homes look overpriced when compared to local incomes but more reasonably supported when you look at how tight the rental market is.
The price-to-rent ratio in Hobart suggests it takes a long time to recoup your purchase through rental income, but this is partly offset by extremely low vacancy rates that keep rents stable and rising.
The price-to-income multiple in Hobart sits around 8 times the average Tasmanian full-time salary for a typical house, which is above the 5 to 6 times benchmark usually considered affordable for first-time buyers.
Finally please note that you will have all the indicators you need in our property pack covering the real estate market in Hobart.
Are home prices above the long-term average in Hobart as of 2026?
As of January 2026, Hobart property prices sit above their pre-pandemic trend, reflecting the substantial gains made during the 2020 to 2022 boom period that have not fully unwound.
The recent 12-month price change in Hobart has been more moderate compared to that earlier surge, suggesting the market has shifted from rapid repricing into a steadier digestion phase.
When adjusted for inflation, Hobart property prices remain near or slightly above their prior cycle peak, meaning buyers today are paying real prices comparable to the most expensive period in recent history.
Get fresh and reliable information about the market in Hobart
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What local changes could move prices in Hobart as of 2026?
Are big infrastructure projects coming to Hobart as of 2026?
As of January 2026, the biggest infrastructure impact on Hobart property prices comes from the Bridgewater Bridge, which opened in June 2025 and has improved commuting on a key north-south corridor into Greater Hobart.
The Bridgewater Bridge is already complete and in use, meaning its benefits to suburbs on the northern and western fringes of Greater Hobart are now being priced into the market rather than being a future promise.
For the latest updates on the local projects, you can read our property market analysis about Hobart here.
Are zoning or building rules changing in Hobart as of 2026?
The most important zoning discussion in Hobart right now centers on the Tasmanian Planning Scheme and the Hobart Local Provisions Schedule, which shapes how much new housing can actually be built in constrained inner areas.
As of January 2026, the net effect of likely zoning changes on Hobart prices is uncertain, but tighter rules around visitor accommodation in residential zones could gradually return some inner-city properties to the long-term rental pool.
The areas most affected by these planning rule discussions in Hobart are inner neighborhoods like Battery Point, Sandy Bay, and North Hobart, where short-stay accommodation competes directly with long-term rentals.
Are foreign-buyer or mortgage rules changing in Hobart as of 2026?
As of January 2026, rule changes are moving in a direction that reduces demand pressure on Hobart property prices, with both foreign-buyer restrictions and tighter mortgage rules now in effect.
The most significant foreign-buyer rule is the Australian Government's ban on foreign persons purchasing established dwellings, which runs from April 2025 to March 2027 and removes an entire demand channel for existing Hobart homes.
The most impacthat mortgage rule change is APRA's debt-to-income limits effective 1 February 2026, which will reduce borrowing capacity for the most leveraged buyers and could slow price growth at the margin.
You can also read our latest update about mortgage and interest rates in Australia.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Australia versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you’re planning to invest there.
Will it be easy to find tenants in Hobart as of 2026?
Is the renter pool growing faster than new supply in Hobart as of 2026?
As of January 2026, renter demand in Hobart continues to outpace new rental supply, which is why vacancy rates remain among the lowest in Australia.
The best signal of renter demand in Hobart is the persistently low vacancy rate tracked by SQM Research, which suggests renters are still competing hard for a limited pool of available properties.
On the supply side, building approvals across Tasmania have been choppy and not surging enough to flood the market, meaning new completions are unlikely to catch up with demand anytime soon.
Are days-on-market for rentals falling in Hobart as of 2026?
As of January 2026, there isn't an official "days-to-lease" series for Hobart, but extremely low vacancy rates strongly suggest rentals are leasing quickly, especially in desirable neighborhoods.
In practical terms, well-located Hobart suburbs like Sandy Bay, Battery Point, and North Hobart likely see rentals leased within days, while properties in outer or less connected areas may take a week or two longer.
The main reason rentals lease quickly in Hobart is chronic undersupply, with vacancy sitting so low that tenants often have to move fast when something decent comes on the market.
Are vacancies dropping in the best areas of Hobart as of 2026?
As of January 2026, vacancies in Hobart's best rental areas like Battery Point, Sandy Bay, West Hobart, North Hobart, and New Town remain extremely tight and show no signs of loosening.
These inner and near-city suburbs typically run even tighter than the already-low Hobart citywide average, meaning landlords in these areas face almost no risk of prolonged vacancies.
One practical sign that these best areas are tightening first is when you start seeing queues at rental inspections and applications submitted sight-unseen, which has become increasingly common in prime Hobart suburbs.
By the way, we've written a blog article detailing what are the current rent levels in Hobart.
Buying real estate in Hobart can be risky
An increasing number of foreign investors are showing interest. However, 90% of them will make mistakes. Avoid the pitfalls with our comprehensive guide.
Am I buying into a tightening market in Hobart as of 2026?
Is for-sale inventory shrinking in Hobart as of 2026?
As of January 2026, for-sale inventory in Hobart appears limited based on SQM Research total listings data, though exact year-over-year comparisons depend on the specific month you're measuring from.
While Hobart doesn't publish an official "months of supply" figure, the combination of quick selling times and low listings suggests inventory is running below what would be considered a balanced market level of around 5 to 6 months.
One likely reason inventory stays tight in Hobart is that existing homeowners are reluctant to sell and give up favorable mortgage rates locked in before recent rises, keeping turnover low.
Are homes selling faster in Hobart as of 2026?
As of January 2026, the median time to sell a home in Hobart sits around 29 days, which is fast enough to indicate healthy buyer demand and a market that hasn't slowed dramatically.
While we can't confirm a precise year-over-year change from a single snapshot, current Hobart selling times remain well below the 60 to 90 day range that would signal a sluggish or buyer-dominated market.
Are new listings slowing down in Hobart as of 2026?
As of January 2026, we don't have precise year-over-year new listing figures for Hobart, but total stock-on-market data from SQM Research suggests new listings aren't flooding in fast enough to build up inventory.
Hobart typically sees a seasonal pattern where listings pick up in spring (September to November) and slow over the December-January holiday period, so current levels may reflect normal seasonality rather than a structural slowdown.
One plausible reason new listings are staying modest in Hobart is rate lock-in, where homeowners who secured lower mortgage rates in previous years are reluctant to sell and take on a new, higher-rate loan.
Is new construction failing to keep up in Hobart as of 2026?
As of January 2026, new construction in Hobart is not keeping pace with household demand, which is consistent with the national picture of building approvals running below what's needed to fix undersupply.
ABS Building Approvals data for Tasmania has been choppy rather than showing a sustained surge, meaning the pipeline of new homes won't deliver enough stock to meaningfully ease pressure anytime soon.
The biggest bottleneck limiting new construction in Hobart is a combination of high building costs, skilled labor shortages, and lengthy approval times that make it harder for developers to deliver projects on schedule and budget.
We made this infographic to show you how property prices in Australia compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
Will it be easy to sell later in Hobart as of 2026?
Is resale liquidity strong enough in Hobart as of 2026?
As of January 2026, resale liquidity in Hobart looks healthy, with most well-priced properties in good locations selling within about a month rather than lingering for months on end.
The median days-on-market of around 29 days for Hobart compares favorably to the 45 to 60 day range often considered the threshold for comfortable liquidity, suggesting sellers can exit without excessive discounting.
One property characteristic that most improves resale liquidity in Hobart is location in established, in-demand suburbs like Sandy Bay, Battery Point, North Hobart, or Bellerive, where buyer pools are consistently deeper.
Is selling time getting longer in Hobart as of 2026?
As of January 2026, selling time in Hobart is not noticeably lengthening based on current data, with the median around 29 days suggesting the market hasn't shifted dramatically toward buyers.
The realistic range across most Hobart listings is probably 20 to 50 days, with well-presented homes in popular suburbs selling faster and quirky or overpriced properties taking longer.
One clear reason selling time could lengthen in Hobart during 2026 is if APRA's new debt-to-income limits significantly reduce borrowing capacity, making it harder for buyers to meet asking prices.
Is it realistic to exit with profit in Hobart as of 2026?
As of January 2026, the likelihood of selling with a profit in Hobart is medium to high if you hold for a typical period of 7 to 10 years, but shorter holds carry more risk given transaction costs and market uncertainty.
A realistic minimum holding period to exit with profit in Hobart would be around 5 to 7 years, giving you enough time to absorb transaction costs and ride through any short-term price softness.
The total round-trip cost drag in Hobart, including stamp duty, agent fees, legal costs, and potential capital gains tax, typically runs around 8% to 12% of the property value, or roughly $55,000 to $90,000 on a median-priced home (about $34,000 to $56,000 USD or $32,000 to $52,000 EUR).
One clear factor that increases profit odds in Hobart is buying in well-established suburbs with strong owner-occupier demand like Sandy Bay or North Hobart, where resale pools are deeper and values tend to hold up better in downturns.
Get the full checklist for your due diligence in Hobart
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What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about Hobart, we always rely on the strongest methodology we can … and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source | Why it's authoritative | How we used it |
|---|---|---|
| ABS Lending Indicators | Australia's official statistics agency for housing finance trends. | We tracked buyer demand by comparing investor vs owner-occupier lending. We used it to reality-check private market sentiment. |
| ABS Building Approvals | Gold-standard official data for construction pipeline tracking. | We estimated future supply and whether new builds will catch up to demand. We treated approvals as a 9-24 month leading indicator for completions. |
| RBA Cash Rate Statistics | The central bank's official time series for the cash rate target. | We confirmed the baseline rate that lenders price off. We used it to assess what could change next for borrowing costs. |
| APRA DTI Limits Announcement | Australia's prudential regulator and the source of the rule change itself. | We assessed near-term demand risk from tighter lending rules. We treated it as a concrete 2026 headwind rather than speculation. |
| NAB/Cotality Hobart Property Market Insights | Major bank economics publication with Hobart-specific metrics. | We used it as our main Hobart dashboard for median values and days-on-market. We paired it with national ABS and RBA signals for context. |
| PropTrack Home Price Index | Major national index provider with published methodology. | We confirmed late-2025 price momentum month-on-month and year-on-year. We used it as a second lens beside Cotality. |
| PropTrack Housing Affordability Report | Recognized affordability framework designed for regional comparisons. | We contextualized whether prices are too high relative to incomes. We avoided relying on a single simplistic ratio. |
| SQM Research Vacancy Rates | Widely-cited analytics provider with transparent vacancy definitions. | We judged rental tightness and the risk of rent softening. We treated vacancy as a real-time stress gauge for the rental market. |
| SQM Research Total Listings | Standard reference for market tightness and seller competition. | We assessed whether buyers have growing or shrinking choice. We paired it with days-on-market for a complete picture. |
| Domain House Price Report | Major Australian property research publisher with quarterly series. | We used it to cross-check pricing direction across property types. We mainly used it for triangulation rather than as a sole source. |
| City of Hobart Planning Framework | Local planning authority's official framework documentation. | We evaluated zoning risk and whether supply could loosen quickly. We anchored planning discussion in official documents. |
| Foreign Investment Review Board | Official policy and compliance guidance for foreign investment rules. | We confirmed whether foreign buyer demand will boost prices. We avoided relying on second-hand summaries. |
| State Revenue Office Tasmania | State's official tax authority for duty rules. | We quantified policy friction for foreign buyers. We used it as the definitive Tasmania-specific reference. |
| New Bridgewater Bridge Project | Official project site for a major Tasmanian transport asset. | We confirmed a completed infrastructure change affecting Greater Hobart. We treated it as an already-delivered factor, not a promise. |
We created this infographic to give you a simple idea of how much it costs to buy property in different parts of Australia. As you can see, it breaks down price ranges and property types for popular cities in the country. We hope this makes it easier to explore your options and understand the market.
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