Best Suburbs to Invest in Hobart: Unveiling Top Airbnb Rental Markets: Interested in investing property in Hobart? This article provides an overview of the best suburbs to invest in Airbnb in Hobart!
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Interested in investing property in Hobart? This article provides an overview of the best suburbs to invest in Airbnb in Hobart!
- Last updated January 10, 2024
Key Takeaways
- Hobart’s stable economic background, affordable cost of living, attractive rental yields and thriving tourism sector have allowed property owners to generate a nice passive income through rental properties.
- Explore the top 10 profitable suburbs for real estate investments around Hobart, along with relevant Airbnb metrics for each area.
- Airbnb hosts can potentially earn an annual revenue of A$95,675 with an occupancy rate of 88% for a 2-bedroom property in Hobart as confirmed by Airbtics’ free Airbnb calculator.
Hobart’s Top Airbnb Suburbs: Where to Find the Best Opportunities
Nestled in the island state of Tasmania, Australia along the estuary of the River Derwent, it’s Hobart, the Tasmanian financial and administrative hub. This port city is known for its breathtaking natural landscapes where you can appreciate an imposing skyline dominated by the Kunanyi/Mt Wellington. Hobart also features a unique historical charm and laid-back lifestyle that is appealing to many.
The Tasmanian state capital attracts a great influx of overnight visitors annually, allowing the area to generate a consistent demand for rental properties. This not only makes Hobart a top rental market in Tasmania but also one of the most profitable cities to invest in Airbnb in Australia!
Wondering which suburbs in Hobart offer the best investment opportunities for short-term stays? Here, we unveil the best suburbs to invest in Airbnb in Hobart and what expectations to have for real estate investments here. Continue reading to learn more.
Why should you consider buying an investment property in Hobart?
Tasmanian cities are an interesting market to invest in from the perspective of property investors if we consider the many advantages it offers. Check out some of the major reasons why rental properties in Tasmania can be a profitable idea:
Booming real estate market
Hobart has experienced steady growth in its real estate market for a while now. Demand for property has been on the rise, resulting in an increase in prices as well as higher investment returns. Tasmania’s population is projected to continue to grow over the next few years, which will continue to drive demand for housing.
Although property prices have skyrocketed, Hobart remains an affordable option compared to other major cities in Australia, such as Sydney or Melbourne. This means you can find properties at relatively lower prices, which increases your chances of solid investment returns. The average price in Hobart property market is A$817,500.
Solid rental market
If you’re looking to invest in rental properties in Hobart, you have an eye for profitable locations! The demand for rentals in Hobart is high as the city is packed with students and young professionals who want to live in a peaceful and attractive area. Thus, renting a place in Hobart can be a great way to make passive income.
Moreover, it should be known that Hobart also has a high investment potential if you’re looking to cater to tourist or student accommodations. The city is home to renowned educational institutions that attract many students. Hobart also features a booming tourism industry and welcomes a high flow of visitors, which increases the demand for short-term stays. This can be an excellent opportunity to invest in property and take advantage of the growing tourism & student sector.
Stable & diverse economy
Overall, the Tasmanian economy has performed exceptionally well in the last few years. In fact, it was recognized as one of the top-performing economies in Australia according to CommSec. As the state capital, Hobart is a major contributor the the GSP.
Hobart enjoys a stable economy, encompassing a variety of industries, ranging from tourism and agriculture to manufacturing and education, as well as government services, which all contribute to the city’s economic prosperity.
Great living conditions
Hobart is known for being a great place to live in Australia for many reasons. It’s a safe and friendly city with a laid-back atmosphere. Plus, there’s less traffic and a lower population density than other major metropolitan areas in Australia. Additionally, Hobart has excellent educational institutions, including the University of Tasmania. This opens the doors for higher education and academic development opportunities!
There’s no lack of leisure options
If you’re eager to explore the picturesque island of Tasmania, then Hobart is a perfect starting point! The city sits in a stunning natural environment, being surrounded by mountains, such as Mt Wellington and also overlooks the Derwent River, one of Australia’s most striking rivers. There’s a wealth of natural areas to explore, such as national parks like Wineglass Bay National Park, dazzling beaches and a variety of walking and hiking paths.
Despite its small size, Hobart is home to a vibrant cultural and artistic scene. It’s renowned for its international festivals such as the iconic MONA FOMA arts festival. The city also boasts sites of interest, with a variety of art galleries, museums, theatres and live music facilities.
Is Airbnb Profitable in Hobart?
Wondering whether Airbnb investments in Hobart are worth your time and money? Allow us to confirm that they are indeed worth it! In fact, Hobart owns the first place in the rank of best places to invest in Airbnb in Tasmania!
Let’s have a glimpse of Hobart’s Airbnb market – According to Airbtics’ free Airbnb calculator data, an Airbnb host can obtain annual revenue of A$95,675 with a steady occupancy rate of 88% for operating a 2-bedroom property in the Tasmanian capital.
Hobart is a great spot to invest in, but it’s important to keep in mind that how much income you can make depends on a few other things, like how many bedrooms your property has and where it’s located. You should also look at things like the median property price to identify promising investment opportunities.
Where to Invest in Hobart: Best Hobart Suburbs for Airbnb Investment
Before you make any rushed decisions, it’s always important to do an Airbnb data analysis to find the best areas to set up your listing in order to guarantee your rental property success. Why? Investors should consider the profitability of short-term stays will depend on their specific location because each of them will generate different levels of income.
Go ahead and check out the best suburbs to invest in Hobart and are highly recommended for operating a rental property:
Location | Airbnb Listings | Best Number of Bedrooms | Median Property Price | Airbnb Annual Revenue | GRY |
---|---|---|---|---|---|
Battery Point | 120 | 2 bedrooms | A$770,000 (2 BR) | A$89,360 | 11.61% |
Sandy Bay | 212 | 3 bedrooms | A$895,000 (3 BR) | A$87,810 | 9.81% |
North Hobart | 88 | 3 bedrooms | A$875,000 (3 BR) | A$83,807 | 9.58% |
West Hobart | 122 | 2 bedrooms | A$606,500 (2 BR) | A$66,688 | 11% |
Howrah | 28 | 2 bedrooms | A$524,000(2 BR) | A$57,511 | 10.98% |
Blackmans Bay | 42 | 2 bedrooms | A$532,500 (2 BR) | A$51,243 | 9.62% |
South Hobart | 91 | 1 bedroom | A$460,000 (1 BR) | A$49,117 | 10.68% |
New Town | 50 | 1 bedroom | A$388,750 (1 BR) | A$45,504 | 11.71% |
Bellerive | 42 | 1 bedroom | A$500,000 (1 BR) | A$44,812 | 9% |
Lenah Valley | 32 | 1 bedroom | A$315,000 (1 BR) | A$38,312 | 12.16% |
Location
Airbnb Dataset
- Total Airbnb Listings: 120
- Best Number of Bedrooms: 2 bedrooms
- Median Property Price (2 bedrooms): A$770,000
- Airbnb Annual Revenue: A$89,360
- Gross Rental Yield: 11.61%
- Total Airbnb Listings: 212
- Best Number of Bedrooms: 3 bedrooms
- Median Property Price (3 bedrooms): A$895,000
- Airbnb Annual Revenue: A$87,810
- Gross Rental Yield: 9.81%
- Total Airbnb Listings: 88
- Best Number of Bedrooms: 3 bedrooms
- Median Property Price (3 bedrooms): A$875,000
- Airbnb Annual Revenue: A$83,807
- Gross Rental Yield: 9.58%
- Total Airbnb Listings: 122
- Best Number of Bedrooms: 2 bedrooms
- Median Property Price (2 bedrooms): A$606,500
- Airbnb Annual Revenue: A$66,688
- Gross Rental Yield: 11%
- Total Airbnb Listings: 28
- Best Number of Bedrooms: 2 bedrooms
- Median Property Price (2 bedrooms): A$524,000
- Airbnb Annual Revenue: A$57,511
- Gross Rental Yield: 10.98%
- Total Airbnb Listings: 42
- Best Number of Bedrooms: 2 bedrooms
- Median Property Price (2 bedrooms): A$532,500
- Airbnb Annual Revenue: A$51,243
- Gross Rental Yield: 9.62%
- Total Airbnb Listings: 91
- Best Number of Bedrooms: 1 bedroom
- Median Property Price (1 bedroom): A$460,000
- Airbnb Annual Revenue: A$49,117
- Gross Rental Yield: 10.68%
- Total Airbnb Listings: 50
- Best Number of Bedrooms: 1 bedroom
- Median Property Price (1 bedroom): A$388,750
- Airbnb Annual Revenue: A$45,504
- Gross Rental Yield: 11.71%
- Total Airbnb Listings: 42
- Best Number of Bedrooms: 1 bedroom
- Median Property Price (1 bedroom): A$500,000
- Airbnb Annual Revenue: A$44,812
- Gross Rental Yield: 9%
- Total Airbnb Listings: 32
- Best Number of Bedrooms: 1 bedroom
- Median Property Price (1 bedroom): A$315,000
- Airbnb Annual Revenue: A$38,312
- Gross Rental Yield: 12.16%
Source: Airbtics Dashboard
How to Spot High-Yield Airbnb Rental Markets?
Identifying promising rental markets can be a time-consuming endeavor. That’s why it’s wise to leverage advanced resources available to property investors to hasten this process.
Additionally, you should consider delving into real estate forums and conducting thorough research on search engines to discover which locations are piquing significant interest among investors. This approach will allow you to sort your list and gain a clear understanding of the cities that are worthy of your focus. Plus, we encourage investors like you to utilize analytical tools to identify lucrative Airbnb markets, especially those that can provide dynamic data.
Airbtics Dashboard allows users to explore a city and gain valuable insights to simplify their investment research. This dashboard provides users with precise data sets that showcase metrics such as average revenue, occupancy, nightly rates, seasonality, and more.
But don’t take just our word for it, go ahead and take a look at Simon, a satisfied Airbtics customer, who ventured into a new Airbnb market, ultimately achieving higher profitability than his previous one!
Sometimes, your desired location might not show up in the search results, but there’s no need to fret! You can easily create your own custom market.
Now that you have a clearer perspective of your target market, feel free to experiment with the filters to identify the results that fit your needs. You can use filters to find out what type of property offers the most appealing profit in your chosen area.
One of the greatest advantages of dynamic data is the fact that by moving and zooming in and out of your map, the data will also change accordingly.
You can repeat this process as often as you need to figure out which type of property makes a sound investment choice in your target area. By comparing data across various property types, you can pinpoint the option that aligns best with your preferences and goals.
Harnessing Hobart’s Real Estate Potential: Exploring Profitable Suburbs and Maximizing Returns
Hobart real estate landscape features a wealth of investment opportunities for real estate investors with its solid rental market and promising economic & tourist background. However, while there are numerous profitable areas that can generate high rental yields and annual income, we strongly advise you to carefully consider all your options!
Identifying the best suburbs to invest in Hobart serves as the ideal starting point for your rental venture. Now, it’s time to progress with your research while using advanced analytics tools like Airbtics that will help you enhance profitability through well-informed, data-driven choices.
Deeper STR Insights. Broader Investment Opportunities.
Want to go deeper, broader, and faster? Supercharge your Airbnb Investment by accessing the most in-depth Airbnb & real estate insights with our exclusive STR report.
- Vital vacation rental data from 40 Markets – Airbnb Occupancy Rate, ADR, Revenue, and Listings! Access 2-year data from June 2021 to June 2023.
- Uncover 5-year real estate investability metrics for 40 markets including population, property prices, income levels, Google travel interest, crime, and unemployment trends 2017 - 2021)!
- All yours in 3 business days!
Short-Term Rental Data
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