Real estate in Tasmania: new REIT chairman enters hot market

Until inventory levels rise, the new president of the Real Estate Institute of Tasmania, Michael Walsh, believes buyers will scramble to buy property.

MICHAEL WALSH of Roberts Real Estate in Launceston has been elected President of the Real Estate Institute of Tasmania.

A seasoned and respected industry contributor, Mr. Walsh began his career in real estate decades ago and along the way has operated his own business as well as worked for several local agencies.

After serving on the Tasmanian Real Estate Institute’s Board of Trustees and the Northern Branch Committee for several years, he felt the time had come to take over and run for President of the REIT.

With selling prices climbing every month in Hobart and increasingly higher median values, the market is doing well, and Mr Walsh said he would be surprised to see a lot of changes on that front throughout. this year or next year.

“We are all in the same boat,” he said.

“Evaluating real estate today is not easy; you can suggest a starting point, but the destination of a sale is a whole different matter.

“And our open house is full of people, I’ve never seen anything like the current market.”

Mr Walsh said the boom of the early 2000s was spectacular and “taught us a lot about the buying public”, but the current market is remarkable in many ways, with pressure apparently coming from all directions.

“We had a fall in Covid for a few months, but it was remarkable to see how the market reacted throughout the pandemic,” he said.

“Our biggest challenge remains inventory levels and just not enough to meet demand.”

Ms Walsh said that if 100 people were asked where the market was heading, 100 different responses would be returned because no one knows for sure what will happen next.

“We currently have extremely low stock levels. Every time we put a house up for sale, lots of people will come and inspect it, make offers and try to buy.

“Until inventory levels rise, I think buyers will be rushing into a very poor inventory market.

“The general opinion would be that our market conditions are unlikely to change much in the near future.

“Whether that means prices are pulling back a bit or continuing to rise is unknown.”

As a result of increasing levels of investigation, some local officials believe there is a flood of people between the states waiting to relocate to Apple Island, and the dam will break once the borders of the State reopened.

Mr Walsh said the theory was “a possibility” as Tasmania seemed to attract buyers looking to make a sea or tree change.

REIT figures show that about 15% of all sales in the past year were interstate buyers and Mr Walsh said most of them (around 10%) were people moving here to to live rather than to invest.

“Interstate investors will come to our market when all the ducks line up – low values ​​and high rents – but now that values ​​are on the rise, these core professional investors can look to other areas that offer better returns.” , did he declare.

Mr Walsh said that looking at the big picture, the data shows Tasmania has seen long periods of slow and steady price growth to a point where “the elastic is gone and we are catching up. very quickly our delay “.

“We are different here compared to the big capitals. In no time we can catch up to where we “should be” but very, very quickly, ”he said.

“Historically, a lull would follow a growth spurt.

“But when will our next period of calm come?” That remains to be seen. “

Originally posted under the title Introducing Michael Walsh, the Perfect Man for the Role

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