Regional Media Release – December Quarter 2024 – East Coast

Despite rising cost of living issues, a purported demise in economic conditions, slowed population growth and no easing in interest rates, local real estate activity levels emerged from the doldrums of 2023 to record strong outcomes across most of its measured sectors.

Buyer and rental demand have re-emerged to ignite confidence across most of our local markets where First Home Buyers, Investors and Mainland buyers have scrambled to “get in” before things rebound.  Prices have remained relatively stable over the 12 months but increasing buyer demand has started to place an upward pressure on prices and rents.  

Activity within our East Coast market has proven seasonal and like other parts of the state is recovering slowly. Annually the figures showed a 10.5% increase in transactions, decrease in house prices with an increase in land and unit prices.

The Real Estate Institute of Tasmania’s December 2024 Quarterly report which was released today details positive outcomes for both the December Quarter and the Annual 2024 results. A summary of the report is provided below.

East Coast Year on Year

• The East Coast achieved 347 sales worth $199.5 million in 2024. This was 10.5% above 2023’s transaction total and 14.8% above 2023’s cumulative value amount.
• The region recorded 237 house sales over the year with its median price of $585,000. This saw an increase of 65 transactions over the year. The median price decreased $35,000 over the year. Whilst unit sales numbers (10) were down by 8 sales on 2023 the median prices soared $147,500 to $532,000.
• Land sales also decreased from 113 in 2023 to 96 in 2024 while its median price grew $10,250 to $280,250.
• Sales over $1 million increased from 25 in 2023 to 37 in 2024. Local Tasmanians accounted for 67.6% of these transactions.
• The region saw an increase of 31.8% in First Home Buyer transactions (29) in 2024.
• Lower prices and rising mainland markets saw an increase in Investor activity recording 52 sales over the year. The median purchase price was $525,000.
• Mainland buyer activity was still relatively subdued with them securing 61 properties at a median price of $545,000. This was an increase of 38.6% on the previous year.

The December 2024 quarter results

Market activity continues to remain subdued in this region. This is a very seasonal and unique market set in some of Tasmania’s most picturesque locations being very popular for holiday and water activities.

The following is a summary of the December quarter results:

• The East Coast achieved 80 property transactions over the December Quarter with an accumulated value of $40.9 million. This was 3 fewer than recorded in the September quarter, and 9 less than the same time last year.
• There were 47 house sales at a median price of $595,000.  This was 6 sales down on the September quarter results and 2 down on the same time in 2023. The median price rose $55,000 over the quarter and was $48,000 below the same time last year.
• Only 1 Unit sale was recorded in the quarter for $975,000. This was 4 sales less than September quarter and 6 less than the same time last year.  There were huge variations in median prices across the periods with a $575,000 increase over last year and $325,000 increase over the previous quarter.
• There were 31 land sales over the quarter. This was the same as the previous year and 7 above the September quarter results. December 2024 median land price was $265,000 which was $5000 more than last year and $5000 less than the previous quarter.
• 6 sales exceeded $1 million in the December quarter. This was 4 fewer than at the same time last year and 3 more than the September quarter. All these properties were acquired by locals.
• 4 first home buyers acquired property in the quarter. This was 3 below the same time last year, and 4 less than September. The 6 transactions consisted of 4 house and 2 unit sales.
• Investor numbers decreased to 11 sales over the quarter. This was 2 less than Sept and 10 less than the same time last year. Median purchase price was $595,000.
• Mainland purchaser numbers retreated from 20 in September to 7 in December. This was also 7 less than that achieved for the same period last year. Median purchase price was $512,500
• Binalong Bay was the East Coasts most expensive area with a median price of $922,500 followed by Coles Bay $863,000, and Bicheno at $753,000. The region’s most affordable areas were Stieglitz $358,000, St Marys $550,000 and Scamander at $560,000.
• Our highest transaction suburbs were St Helens with 10 sales, Swansea with 5 and Orford, Stieglitz, and Triabunna all equal on 4 sales. Of the municipalities, Break O’Day recorded 46 sales, Glamorgan/ Spring Bay 31 and Flinders 3.

Commenting on the market results for 2024, REIT President Russell Yaxley said that the East Coast real estate market hasn’t participated in the same turnaround that the South, North and Northwest have enjoyed.  Rebounds in the less populated areas normally follow on some time after corrections have occurred in the more dominant areas.

I feel confident that things are looking up for 2025 and the prospect of interest rate decreases will only generate more confidence for both buyers and sellers in this region.