With a capital gain of 18.64% for the last 12 months, Lutana, 7009 has performed for property investments than its average annual 3.35% property growth over the last 5 years.
A 12.90% growth in median value for property investors in Lutana,7009 puts this suburb at number 168th in terms of best performing suburbs in TAS
Lutana, 7009 is offering TAS ‘s 28th most discounted properties when looking at the average discount being offered by vendors. This puts it in the TOP 20% of discounts offered by this TAS.
A $350 per week rent on the median house gives suburb investors a gross yield of circa 5.20%, without taking into account capital value appreciation, which has been averaging out at 3.35%.
If you compare the increase in value of investment property in Lutana, 7009 to the rest of Australia, it performed quite well. The median increase in value, or capital gain property investors experienced for this TAS suburb was 25.00%.
If we look at median property appreciation over just the last three months, Lutana has given property investors a paper return of 7.69%. This puts Suburb as 51 on a list of fastest fasting appreciating suburbs in TAS
Vendor discounting in Lutana is giving property investors an average Vendor Discount of around -3.72%. This puts suburb at number 20th in TAS when ranking the most discounted suburbs.
At number 1859 in a list of fastest selling suburbs, Lutana is in the bottom 20% of suburbs in Australia with an average of days on market 79.8 for properties listed there.
Lutana is 3rd on a list of best yielding suburbs for rents in TAS with a 7.50% return
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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.