Property value increases in Lutana have tracked just higher than the TAS average of 4.21% over the last 12 months.
Over the longer term, Lutana has seen property prices show investors a 19.23% return over the last 3 years. This is worse than over the last 12 months
State is the 4th most discounted Australian state or territory in this month’s figures with an average Vendor Discount of -7.06% offered to property buyers. Sellers in Lutana itself are offering an average vendor discount of -8.24% to real estate investors.
Using the current median advertised rental of $342.5 and the average annual increase in value of a median property of 3.86%, investors should hope to achieve an overall return of 5.75%
TAS has seen average median house prices change by 3.83% which means that Lutana, 7009 has done well for property investors by showing a capital gain of 6.51% over the last year
Comparing Lutana,7009 ‘s 5year and quarterly average capital gain offered to property investors, it performed better across the longer period
In the last year 10 properties changed hands in Lutana, which puts it as the 61th most active market in TAS when comparing the number of sales per suburb.
Situated 5.06km from the CBD, Lutana is one of Glenorchy localities in the postcode 7009.
Investors looking for an affordable suburb that is likely to perform strongly would do well to consider Hobart suburb Lutana. With stunning views of the river and Mount Wellington, many will be shocked to discover that its median house price is under $300,000. Full summary
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Investors looking for an affordable suburb that is likely to perform strongly would do well to consider Hobart suburb Lutana. With stunning views of the river and Mount Wellington, many will be shocked to discover that its median house price is under $300,000.
Lutana is just 5km north of the CBD. Part of the reason for the suburb’s affordability is its proximity to the Zinifex zinc works: in fact, the suburb was originally built by the Electrolytic Zinc company as homes for its employees at the nearby zinc smelter.
There have been issues with soil contamination due to past activities at the Zincworks – albeit with no danger to residents’ health – and current owner Zinifex has been spending significant amounts of time and money cleaning up the Zincworks since it acquired it 20 years ago. As a result, Lutana has been overlooked for several years. Meanwhile, many locals describe it as one of Hobart’s ‘best-kept secrets’.
The suburb is largely residential, with a few local stores on Brooker Avenue, but neighbouring Moonah has a significant retail amenity presence, with a sizeable shopping centre. Moonah also provides local schools.
It’s a small suburb, principally made up of detached houses. While there’s a sizeable retiree community, it is becoming more popular with younger families and there may be scope to add value to shabby properties through renovation – especially those built by the original Zincworks operator.
Rental yields are among the strongest in northern Hobart at over. The suburb also has a tight rental market, with a vacancy rate that's barely risen above 2% over the past five years, according to SQM Research figures.
Properties on the eastern side of the suburb may suffer from the aforementioned soil contamination issues, so buyers may wish to stick to the west of the suburb and would be well advised to carry out ground surveys prior to purchase.