Brighton Property Market Update 2nd Half 2023
In Q2 2023, Brighton (which in this report encapsulate Brighton Local Council) recorded a median house price of $541,250 and a median unit price of $580,000. This is an annual (Q2 2022 – Q2 2023) growth of 3.1% (houses) and 13.1% (units). That said, on a quarterly basis (Q1 2023 – Q2 2023) median house price softened by -9.8%. Thus, cash rate hikes and consumer uncertainty have translated into the market. In the past 12 months to Q2 2023 sales grew by 20.8% (to 64 sales) for houses, whereas unit sales declined to 9 sales. With a more affordable house market, there are unique opportunities for buyers.
Average vendor discounts between Q2 2022 and Q2 2023 have made a large swing from a premium to a discount, of -2.2% for houses and -3.1% for units. This suggest that the Brighton favour buyers, as vendors are willing to accept below the initial listing price. Q2 2023 has the largest discount for the past 18 months, thus an opportune time to enter the market.
In June 2023, house rental yields in Brighton (Postcode 7030) were recorded at 4.3%, above Hobart Metro (3.5%). Further, median house rental price increased by 8.0% in the 12 months to Q2 2023, to $475 per week, alongside a 19.7% increase (to 73 rentals) in the number of houses rented. Average days on market increased marginally, but is still low, at 27 days. Overall, this represents a resilient rental market in Brighton, which represents a more affordable market than Hobart Metro.
4+ bedroom houses have provided investors with +5.3% rental growth annually, achieving a median rent of $595 per week.
Brighton (Postcode 7030) recorded a vacancy rate of 0.8% in June 2023, which is below Hobart Metro’s 1.9% average. Vacancy rates in Brighton have slightly increased over the past 12 months, due to investors re-entering the market in the face of a tighter rental market previously. This indicates slightly higher availability of rentals, in good news for renters. That said vacancy rates have remained low, within the 1.0% rate, thus a conducive and sustainable environment for investors.
