Investment property in Summerhill has done not badly for investors when compared to the country as a whole over the last 12 months, with an increase in the median house price of 5.00%
While Summerhill,7250 ranked number 94th in TAS for increase in median house value (annualised) increase, it is ranked 135th over the last 5 years.
Vendor discounting in Summerhill is giving property investors an average Vendor Discount of around -3.91%. This puts suburb at number 104th in TAS when ranking the most discounted suburbs.
Using the current median advertised rental of $350 and the average annual increase in value of a median property of 2.40%, investors should hope to achieve an overall return of 5.78%
At number 68th in the list of Australian suburbs ordered by increase in median house value over the last year, Summerhill, 7250 is in the top 10% with a property value increase of 20.73% recorded in median house prices.
If we look at median property appreciation over just the last three months, Summerhill has given property investors a paper return of 0.89%. This puts Suburb as 26 on a list of fastest fasting appreciating suburbs in TAS
The TAS suburb of Summerhill, 7250 is in the Launceston (C) local government area.
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Summerhill is situated 3km to the south of the Launceston CBD. It’s primarily a residential suburb, but is located within each reach of two shopping centres, primary and secondary schooling, medical facilities, parks and public transport. Properties to the north-west of the suburb also overlook the Trevallyn recreational area and the South Esk River.
The suburb is dominated by families, with ABS figures reporting that more than half of its residents are aged between 20 and 60. Weekly family incomes are higher than the Tasmanian average, too, with SQM Research projections pegging salaries at $1,203pw. Twenty-seven per cent of properties are rented, with the remainder either paid off (40%) or under mortgage.
It’s an affordable suburb, with the median house price around $50,000 lower than northern neighbour West Launceston. Rents are comparable to West Launceston too. Herron Todd White’s Andrew Peck reckons that market conditions are contributing to high rental yields.
“With current housing stress, rents have been increasing and this suburb provides affordable family housing,” he says.
Peck adds that properties in the area are typically 1970s three-bedroom, one-bathroom, low set brick homes, and generally low maintenance. The fact that many houses are 1970s properties may also provide opportunities to add value via cosmetic renovation.