Adelaide city is the capital of South Australia
Market Update – March quarter 2009*
Dec 08 – Mar 09
Mar 08 – Mar 09
|House Rent ( 3 b/r)||$290 pw||+3.6||+7.4|
|Unit Rent ( 2 b/r )||$240 pw||0.0||+9.1|
* This is the most up to date available – property data is released 3 months after the end of each quarter.
Source: Real Estate Institute of Australia
Adelaide’s residential house prices eased in the March quarter which follows on from previous quarters which indicated the market is slowing after a strong upswing which commenced in 2000. Rental vacancy remains very tight which will keep pressure on rents which are responding with consistent increases. Having said that, Adelaide is not expected to continue its stellar performance and we would be wary of further investment in this market at present.
Top end sales are boosting the South Australian real estate market in 2010, the Real Estate Institute of SA (REISA) said today.REISA President Michael Brock said there had been 91 residential sales over the $1 million mark so far in 2010 compared to only 74 in the same period in 2009.
“There were six houses sold for more than $1 million at auction last weekend alone. While some people were out at enjoying the Fringe, Festival or Adelaide Cup over the long weekend, real estate agents were working while buyers were trying to snap up their dream property,” Mr Brock said.
“Two of these six properties were also in regional areas, showing the high demand that our prime coastal areas can attract.” Preliminary figures showed that SA had 500 fewer sales so far in 2010 than the first two months of 2009.
“But considering there has been four interest rate rises in the past six months and the first homebuyers’ boost has finished, we are still travelling quite well,” Mr Brock said. “As we recover from the global financial crisis and people are feeling secure in their jobs, things are only looking positive for 2010.”
Top 6 Auction Sales from week ending 7 March 2010
|5 Sturt Valley Rd||Stirling||$2,100,000||Peter Veitch (Toop & Toop – Norwood)|
|15 Fourth Ave||St Peters||$1,605,000||Matt Smith (Klemich Real Estate)|
|11 Seafarers Cres||Robe||$1,251,000||Tim Mort (Neil Ottoson First National)|
|49 Hawkers Rd||Medindie||$1,050,000||Judy Morris (Klemich Real Estate)|
|22 College Rd||Somerton Park||$1,036,000||Brett McCammon (Phil McMahon R/E – Glenelg South)|
|12 Franklin Pde||Encounter Bay||$1,009,000||Wayne Harman (Professionals Victor Harbor)|
Top 5 Residential Sales Jan – Feb 2010
|38 Grove St||Unley Park||$4,019,789|
|30 Grove St||Unley Park||$3,655,000|
|12 Omar Pl||Unley Park||$3,000,000|
|18A James St||Gilberton||$2,870,000|
|46 Tarlton St||Somerton Park||$2,870,000|
ADELAIDE’S housing prices will increase 23 per cent by the middle of 2012, the biggest rise in values of all the capital cities, and nearly twice the growth rate of Perth and Canberra, according to a new report.
Adelaide Prices 2009
Median house price: $387,500 – 3.9% increase in last 12 months.
Median unit price: $305,000 – 4.68% increase in last 12 months.
Adelaide has been the surprise performer over the past year and along with Sydney, is another city to watch according to BIS Shrapnel’s market forecast. They suggest Adelaide house prices will increase by 23% percent over the next three years. Over the last 10 years Adelaide’s median house price increased on average by 10.59% per annum, yet the current median value still sits at a relatively affordable $387,500.
Adelaide property has certainly demonstrated far greater affordability, in comparison with most other capital cities, has been the biggest driver of property values in the City of Churches and not surprisingly, Adelaide has proven particularly popular with first home buyers looking for cheaper housing alternatives.