The Adelaide property market came out ahead of the 5 major cities in the last quarter, with home values in the city growing by 0.3%, according to the latest figures from Corelogic.
Corelogic Head of Research, Tim Lawless reported that the Adelaide market looks steady and that its result was particularly notable given the decline of some of the SA’s major manufacturing industries.
“I think Adelaide is living up to its history of being a very steady, resilient marketplace, steady as she goes, and I think 2018 will be fairly similar conditions,” Mr Lawless said.
Low vacancy putting pressure on rents
Adelaide’s rental market has been enjoying strong demand particularly over the last year. The vacancy rate has been dropping since December 2016, sitting at a low 1.4% (as at November 2017) according to SQM Research.
In the 12 months to January 2018, rental prices have also demonstrated steady growth of 3% for houses and 1% for units.
The declining vacancy rate is set to add further pressure to rental prices, and further strengthen rental yields for Adelaide property investors.
South Australia’s labour market
In South Australia, the unemployment rate has also declined over the last year from a top of 7.3% in April and finishing at 6.1% in November 2017, according to the latest published data from the ABS.
“Adelaide is proving to be a robust market. With a low vacancy rate and improving employment prospects, rental growth is definitely an area to watch in 2018,” said Ironfish National Apartments Manager, William Mitchell.
If you would like more information about the Adelaide property market, or are looking for property investment opportunities in Adelaide, register to access our list of Ironfish-approved properties.