Australia’s #1 capital city for suburb growth markets
After years of slow (yet steady) growth, Adelaide is taking it up a gear. Hotspotting property analyst, Terry Ryder, believes 2018 will be a game changer for South Australia’s capital city – with house price growth of up to 9% and middle and low-market suburbs are the star performers.
Sydney and Brisbane have “passed their peak” and Adelaide has “more upside for investors.” Adelaide has always been a steady market, without the high peaks other cities record, but this is changing. The 9% growth comes thanks to shifting attitudes about Adelaide, as well as the many projects set to improve things like the ten-billion-dollar navy vessel project. Many other major events like this are shaping the identity of Adelaide, and in turn, the property market.
The most “underrated market” in Australia’s capital cities.
According to Hotspotting, over the past four years, 8,500 to 9,500 Adelaide dwelling sales have been recorded, ahead of Sydney, Melbourne and Brisbane.
While the annual price growth of Adelaide homes in the past year is only at 5%, many suburbs in the metropolitan area have had double-digit, annual growth in their medium prices. So, what are these middle-market area suburbs?
The Marion council area is definitely one to watch. It has nine suburbs that have marked a constant price increase. Oaklands Park took out number one position, with a medium price of $470,000. Sales lifted from 18 to 41 in the past six quarters. The Charles Sturt council area was also a winner, with high-ranking growth suburbs of Findon, Grange and Semaphore Park.
On the upper scale, top performers were North Adelaide, Walkerville, Semaphore, Prospect, Belair, Woodville South, Fullarton, Somerton Park, Gawler East and Crafers. These suburbs recorded double-digit growth in their median house prices in the past 12 months. Craigmore, Elizabeth Park and Gawler East in the city’s north, once known as ‘run-down’ areas, also recorded double-digits.
Hotspotting listed these suburbs as ones to watch:
- Aldgate, Aldinga Beach, Andrews Farm
- Blair Athol, Blakeview, Brahma Lodge, Burnside
- Campbelltown, Clovelly Park, Coromandel
- Davoren Park, Dover Gardens
- Findon Charles, Flinders Park
- Gawler East, Glenelg, Glenelg East, Glengowrie, Glenunga, Grange
- Hectorville, Highbury, Hillbank, Hillcrest
- Ingle Farm
- Largs North, Lobethal, Lockleys
- Magill, Mawson Lakes, Mitchell Park
- North Adelaide Adelaide
- Oaklands Park
- Paradise, Paralowie
- Royal Park
- Salisbury East, Salisbury North, Seaford, Seaton, Sellicks Beach, Semaphore Park, Sheidow Park, Smithfield Plains, South Plympton, Stirling, Sturt
While the city was well overdue for a big, positive market shift, South Australia still remains the most affordable mainland state. Experts believe this rock solid growth will continue through 2018.
A positive economic outlook, good for property.
There’s always been a link between the strength of a state economy and how well the property market performs. And Adelaide, with its affordability and value for money, is stronger than many eastern states give it credit for. With improvements in the South Australian economy and the growing infrastructure project list getting sign offs, the level of new spending will increase.
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