According to CoreLogic, median rents in the Tasmanian capital went down by 2.3% over the quarter to $454, close to the record-high decline in September 2012 when rents fell due to the weak economic growth and an uptick in unemployment.
Overall, national median rents went down by 0.5% over the quarter. Sydney recorded the most substantial decline next to Hobart at 1.3%. Capital cities have been bearing the brunt of the economic shocks arising from the COVID-19 outbreak. In fact, rents in state capitals declined by 0.7% in the quarter, compared to the 0.2% rise in rents across regional markets.
The report said several rental demand factors, which have been affected by the COVID-19 outbreak, have contributed to Hobart's rent decline.
For instance, the city's workforce has significant exposure in the accommodation, food, arts, and recreation sectors. In fact, 12.7% of Hobart workforce is in these sectors, higher than the average of 9% across other capital city regions.
| Area | Property Type | State | Median Price | Quarterly Growth | 12 month Growth | Weekly Median Advertised Rent | Gross Rental Yield |
| Country | Houses | TAS | $345,000 | 2.5% | 9.2% | $320 | 5.0% |
| Country | Units | TAS | $288,000 | 0.8% | 1.9% | $270 | 5.2% |
| Metro | Houses | TAS | $498,500 | 0.0% | 7.5% | $450 | 4.7% |
| Metro | Units | TAS | $457,500 | 2.6% | 7.7% | $395 | 5.1% |
Source: CoreLogic, August 2020
