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Adelaide into the red

Discussion in 'Property Market Economics' started by 2FAST4U, 22nd Sep, 2015.

  1. 2FAST4U

    2FAST4U Well-Known Member

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    [​IMG]

    Fundamentals (low population growth, rising unemployment, and negative wage growth) finally starting to catch up with prices?

    CoreLogic RP Data Daily Home Value Index - 23.09.2015
    Sydney 932.51 -0.06 +5.71% +17.26%
    Melbourne 768.69 +0.43 +9.24% +14.45%
    Brisbane (inc Gold Coast) 518.33 +0.17 +2.42% +4.78%
    Adelaide 449.68 -0.60 -2.26% -0.29%
    Perth 604.35 +2.97 -0.75% -1.05%

    CoreLogic RP Data Daily Home Value Index - 24.09.2015
    Sydney 932.83 +0.32 +5.54% +17.24%
    Melbourne 769.25 +0.56 +9.10% +14.42%
    Brisbane (inc Gold Coast) 518.09 -0.24 +2.35% +4.72%
    Adelaide 449.28 -0.40 -2.32% -0.34%
    Perth 606.29 +1.94 -0.78% -0.75%
     
    Last edited: 24th Sep, 2015
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  2. Waterboy

    Waterboy Well-Known Member

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    Remember the carmakers will close shop in next few years. How many people will lose jobs? How many will look for opportunities elsewhere?
     
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  3. Propertunity

    Propertunity Exclusive Real Estate Buyers Agent Business Member

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    Can't they go make some submarines? or are these the guys you would not trust to make a canoe? ahem.
     
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  4. D.T.

    D.T. Adelaide Property Manager Business Member

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    Carmakers? There's only one and they have stuff all people. All the secondary and tertiary industries have arranged contracts elsewhere. The only place that'll suffer is the lunch bar across the road :p

    50k jobs identified elsewhere :)
     
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  5. Bullion Baron

    Bullion Baron Well-Known Member

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    As I have been saying, there should be some better opportunities to buy in Adelaide over the next year or two, but don't miss the bottom :p

    No there hasn't been.
     
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  6. D.T.

    D.T. Adelaide Property Manager Business Member

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  7. Steven Ryan

    Steven Ryan Mortgage Broker Business Plus Member

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    Geeze, Melbourne is tracking well year-on-year.
     
  8. Bullion Baron

    Bullion Baron Well-Known Member

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  9. D.T.

    D.T. Adelaide Property Manager Business Member

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    And yet for wage growth for both public and private sectors, SA outperformed both QLD and NSW?

    upload_2015-9-22_17-53-2.png
     
  10. Waterboy

    Waterboy Well-Known Member

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    The fact that prices went down in an environment where Interest rates have been cut, not just by RBA but independently by lenders, is an indication of how weak the Adelaide market is.

    And it's ridiculous how SA is so dependent on taxpayer subsidised industries (carmaking and defence) while other non-mining states are being very creative and innovative in dealing with the economic decline.
     
  11. Jamie_

    Jamie_ Well-Known Member

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    Markets within markets right
     
  12. MTR

    MTR Well-Known Member Premium Member

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    yeah right, some been talking up the Adelaide boom since 2012,:rolleyes:. and we have seen booms In Syd, Melb, Perth during this period. Call me crazy but surely there have been better markets for growth
     
    Last edited: 23rd Sep, 2015
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  13. MTR

    MTR Well-Known Member Premium Member

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    ......and then there was APRA, have you seen what is happening Oz wide, we will all feel the pain unfortunately
     
    Last edited: 24th Sep, 2015
  14. Nemo

    Nemo Well-Known Member

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    I'm not sure they've been talking boom, but definitely been saying there is money to be made... And there is.

    I think we've already had this conversation.
     
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  15. propernewb

    propernewb Well-Known Member

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    Oh no who could have seen this coming! :rolleyes:

    I feel bad for all the recent investors who got suckered in by the hype
     
  16. Joshwaaaa

    Joshwaaaa Well-Known Member

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    What hype?

    Holden closing isn't going to make a difference at all, most damage is already done people have moved on to other things. The boat building dieing could sting depending on how it plays out.

    But yeah everyone should look elsewhere there's no money to be made here:p
     
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  17. D.T.

    D.T. Adelaide Property Manager Business Member

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    Yup, save it for us ;)
     
  18. Ben Chifley

    Ben Chifley Well-Known Member

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    But at least the car industry served multiple purposes - massive employment creation, creating foreign exchange and export income, replacing imports. Once it has gone for good we'll have to fully import our annual vehicle consumption (1.1 million vehicles) and it will all have to be paid for by other things that we export.

    Increasingly difficult as our dollar continues to plunge, back below US$0.70 again today (ahh, back to the days of the South Pacific peso and cheap holidays at home).
     
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  19. skater

    skater Capitalist Premium Member

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    For years people said there's no money to be made in Western Sydney. Others would put it down as being an undesirable area full of the lowest of the low. Yet this last boom in Sydney, Western Sydney was the stand out performer.

    At the end of the day, Adelaide will also have it's day. I don't know when, and I don't know how much prices will rise......but rise they will, and those holding property there will benefit.

    Could they make more money elsewhere? Maybe! Or maybe not! Sometimes people buy into an area because that's all they can afford, other times it's because it's an area they know, and yet others do it to diversify or to attempt to time the market.
     
  20. HUGH72

    HUGH72 Well-Known Member

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    Yes the short term economic outlook isn't great but there is an argument to be made that prices already reflect most of this. The median price in Adelaide is half of Sydney's and is 150k cheaper than Perth, I know which one would be easier to find a tenant in presently.
    I don't know if the market has bottomed, maybe it hasn't but holding costs are very low and it will turn around.
    Every dog has its day.
     
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