Adelaide most competitive place to do business

Interested to hear too

 

Brabham supercar to be built in Adelaide, with a $1.8m price tag

Brabham’s PR crew advises:”the Brabham BT62 will be manufactured and assembled in northern Adelaide, in a recently acquired facility less than 1km from the old GM Holden plant”.

The $1.8m Aussie-built Brabham supercar

 

Adelaide’s Chinese takeaway worth a staggering $4.5m

Adelaide Convention Bureau chief executive Damien Kitto said the bureau was actively courting Asian incentive reward groups, whose participants spend about $1000 a day compared to a leisure visitor’s $179 a day.

Adelaide's Fleet Space all set to launch with Elon Musk's SpaceX

"The first of Fleet Space's nanosatellites is under contract to launch with Spaceflight aboard an Indian Polar Satellite Launch Vehicle by Antrix and ISRO.

The second launch will also be in partnership with Spaceflight on a SpaceX Falcon 9 from Vandenberg Air Force Base no earlier than the second half of 2018."

 

Britain's BAE Systems wins contract to build Australian warships

"The Australian government has announced that the company’s Type 26 Global Combat ship will be the design for the naval program. The nine new ships will be built in Adelaide and will be known as the Hunter class.

Malcolm Turnbull’s government said the program would create 4,000 jobs across the country and create unprecedented local and global opportunities for businesses large and small."

 

NAB survey: SA business conditions lead nation

"BUSINESS conditions in South Australia lead the nation, according to NAB’s latest business survey, on the back of a “mini mining boom” and resilient local housing market.

"The bank’s monthly business survey reveals the state’s business conditions index held firm at 19 points in June, ahead of every other state and a national index of 15 points."

“South Australia has been quite strong for a while but so many of the other states have weakened.

“I think property’s having a big impact - property feeds into people’s willingness to spend.

“If you think your house price is going down, you’re less likely to spend your discretionary income in shops, and I think that might be coming into play in South Australia.”


No Cookies | The Advertiser

 

SA's jobless rate second-lowest in Australia - InDaily

"The result is the lowest unemployment rate for South Australia since 2012 and puts the state on par with the national figure, which remained steady from May."

 

Adelaide is starting to look interesting stat wise

 

What are you witnessing?

Do you think the reward is worth the risk? You probably have only 8 to 12 months before the I/O cliff, so to get in, and get out and cover costs like stamp duty could be a stretch. In many suburbs of Adelaide, prices haven't gone up for 10 years. It's going to have to be one boom in the next 8 months to make it worth it?

 

Isn't it already in progress? Pete Wargent Daily Blog: Stock of IO loans quickly reduced

 

You are I speak a totally different language.

I'm a value buyer with a 20 - 30 year investment horizon who likes to diversify across asset classes and geography.

 

Yes, it is, but as I understand it, the peak resets are next year. So it has really just begun.

Did you all catch the 7:30 report this week? Westpac had helped fund four IPs for a naive property investor and forgot to mention that that loans reset to P&I. They were forced to sell two (so yes, it has already started). They have lost the family home and will need to liquidate the remaining two IPs before they reset, as they won't be able to afford the repayments.
http://www.abc.net.au/7.30/banks-moving-to-tighten-lending-rules---but-its/10010386

I lot of people think Adelaide will "mega-boom" like the Hobart property bubble, but the timing could be out as it coincides with the catastrophic IO cliff.

 

Peak resets based on what numbers? Is that an extrapolation based on volumes when the loans were taken or on current loan data provided by the banks? I think we can assume there has been a large chunk of IO loans rolled to P&I well in advance of when they were due.

I don't expect a mega-boom like Hobart. I think Adelaide could get pulled sideways/down as the property market does through a re-adjustment with tighter lending (& whatever remains of the IO cliff), but do think it's in a position to outperform the likes of Melbourne and Sydney when the next cycle begins.

 

Have to agree i dont see a boom coming, but there are currently pockets of deep value in the Adelaide market. I think the negative sentiment in market and more importantly business conditions were oveplayed, this will correct in upward prices near term.

 

There's no jobs here, apart from education and defence (and more government spending on top of that) there's no organic private industry growth to absorb some of the highest concentrations of unemployment in the nation. And you're right, some parts of Adelaide have had zero capital growth since the GFC - one of my friends bought a unit in Croydon recently with the same sale price that it had in 2009 (this was after a substantial renovation).

I have friends from Melbourne who want to move here for no other reason than they want to cash out of Melbourne and they're sick of the crowds - but I have to warn them - don't come here without a job or a business first. Because there's a reason why its so cheap relative to the rest of the nation.

Don't get me wrong, I love my city but there's some pretty extreme economic problems here just below the surface.

 

Disagree , i think its on the right track

 

Well given that Labor got kicked out after 16 years is a great start ...... Let's see how Liberal will do over next 4 years ....

 

@Ben Chifley I bet if your friends bought a house in Croydon they would of had some great capital growth.

Moving without a job is pretty much common sense anywhere in the country IMO.

I actually think SA is moving in the right direction, thought the stats also show that.

 

Yep wasnt too long ago I was buying there for low-mid 400's, now nudging 600

 

Some friends of mine bought there 2005 for $310,000 would suggest sale price now would be ~$600,000

It a suburb that has actually had really good growth, really surprised someone would use that suburb to say Adelaide hasn't performed.

As always buying the right product for the right price is key...

 

Even our prison economy is on the upswing:

South Australian prison inmate allegedly running a clothing business from his jail cell - ABC News (Australian Broadcasting Corporation)