I’ve been wondering about the state of the SA market compared with other states. Certainly, it lags behind, but by how much? Syd and Melb have slowed substantially, but suburban growth in Adelaide is still very strong (though CBD is now moving at a crawl). With an impending rate rise or two over the next year or so, how much further up can the SA market go? How far can down can it go?
I don’t live in SA but to me it seems very expensive for what it is (Adelaide that is). Doesn’t attract migrants from other states or overseas, yet fairly high prices. Was on my list, but question the value now.
Hi kkowalsk[
]Quoting the summary from BIS Shrapnel.
“Adelaides price growth has been particulary strong over the past three years rising by 36%.
More recently,prices have been influenced by the introduction of the first Home Owners Grant,which has stimulated purchaser activity. Price growth of a further 20% is forcast for 2002/03.The additional First Home Owners Grant for new housing has also stimulated new home construction,which has exceeded underlying demand, and driven an increase in Adelaides modest oversupply of dwellings.
The rising excess dwelling stock,together with continued weak underlying demand [as a result of low population growth due to net interstate migration outflow af 2,000 persons per annum] will limit the prospect of significant price growth.Prices are forcast to rise by 9% over the three years to June 2006, or decline by 1% in real terms.”
I hope this answers your enquiry.
Regards
Bryce Inglis
]The topic ‘Thoughts on SA property prices?’ is closed to new replies.
