SA Adelaide Property News 2018

I think the point (well one of a few actually) you are missing is that your interpretation of statistics in your original statement is an unfortunate mischaracterisation of the data. If you live in the area you have little chance of that type of growth. You didnt make any informed qualifications in your post, albeit sought to imply in your follow up that you do this type of detailed assessment to inform yourself, and others like @Erica dont. Wisdom, conventional or otherwise, should not have led you to make those statements on the top level data, and nothing in your follow up suggested you have looked any deeper (as Erica did). Suggest you take a deep breath before throwing shade on comments by well informed investors. Perhaps start by justifying your initial comment with fact and data.

 

Again respectfully no, i will continue to challenge opinion, that i may disagree with. Why?, because as you have alluded to there are well informed investors on this platform. My hope (as you have in this case) is to be rebutted/challenged and even torn appart on any counterpoint or view i make.

The facts or validity of the specific data on Glenelg sth are irrelevant to my counter argument.
I never challenged the validity nor the accuracy of it. I challenged a suggestion to "ignore it" on what i percieved as confirmatory bias.

Not at all, i simply presented a counter view on one particular avaliable set of data not the depth of reaserch/diligence taken in general.

I personally conduct extreme inanate assessment and research in some particular fields of investment.
But i also take a contrarian mindset to this in other areas. For example investing in the share market, Where i conduct very little to almost none.

 

Adelaide has a two-speed residential market: HTW

SA.GOV.AU - Median house sales by quarter

My suburb had a 6% increase from 2017 quarter to 2018 quarter comparisons

 

Vacancy rates are trending nicely.

 

SA leading the nation for property hotspots according to new report

"SOUTH Australia has the highest number of “growth markets” in the nation, a new report reveals."

"According to the report, seven South Australian suburbs were identified in the ‘Top 50 Super-charged Suburbs’.

These were Blakeview and Craigmore in the Playford council area, Greenwith in Tea Tree Gully council, Hallett Cove and Mitchell Park in Marion council, Seaton in Charles Sturt and Woodcroft in Onkaparinga."

 

'They're leading the charge': The unexpected city where prestige property demand has surged

"Domain Group analyst Dr Nicola Powell says most of the suburbs with a median house price of more than $1 million are showing better than average rises. “They’re leading the charge in terms of price growth. With interest rates near historic lows and Adelaide avoiding the east coast price growth, people are seeing value.”

 

No Cookies | The Advertiser

There had been talk/proposals about using some of the land at Glenthorne Farm for residential property, but seems the latest plan will lockout the entire area for the national park.

 

Eastern markets cool but SA set for hot spring

 

Makes sense given that Adelaide's population is not growing fast ..... In many ways Adelaide doesn't need more land but better use of existing lands.

 

Some positive news for land tax in SA!

SA Treasurer Rob Lucas will cut land tax rates for higher-end property investors

"He intends lowering the land tax rate for properties above $1.2 million from 3.7 per cent to 2.9 per cent in the first step of land tax reform. The revamp includes lifting the threshold on the value of properties for when land tax is applicable for property investors. The new threshold will rise to $450,000 from $369,000".

https://www.facebook.com/video.php?v=263805164257222

 

Whats the general consensus of the North vs South Adelaide pockets, in regards to Yield and CG?
In addition, are there any areas which Investors should be wary of?

 

My view is be aware of both North and South as low or poor performers.

 

Personally I like the inner city, inner south west is particularly good buying right now. Lots of development in areas near Anzac Highway and Greenhill Road, and lots of old character homes. Suburbs like Black Forest and Forrestville are excellent investments. Close to the city and the beach. Train, tram and bus lines. Adelaide’s best kept secret that is fast being discovered.

 

well, im sure the usual culprits on here are going to get offended or defensive for the following comments I make but here it goes

I have a property in tenant in Elizbaeth, who is now 10-14 weeks behind in rent.
I had to go and get a stat dec written up due to the recent law changes and state that I am an interstate landlord, (for whatever reasoning I dont know)

so off to SACAT today we go after finally getting a date,
final outcome
" For the reasons outlined above I consider that the Tribunal does not have jurisdiction to determine the application because its determination involves the exercise of federal diversity jurisdiction.
Therefore I will make an order for the proceedings for this application to be transferred to the Magistrates Court."

so now I have to wait more weeks to kick a non paying tenant out, of which the insurance maximum coverage will expire

even the PM is saying its ludicrous

Absolutely ludicrous, simply lost for words

 

That would really turn off a lot of potential investors .......

 

Did anyone catch this:
Negative equity: 386,000 home owners owe the bank more than the value of their home

"In South Australia, 12.1 per cent of mortgage holders are in a negative position – up from 7.6 per cent last year"

According to the stats, South Australia has the 2nd highest level of negative equity in the country, behind Western Australia.

But the jump is the largest - it has jumped from only 7.6 per cent last year, to 12.1 per cent this year.

Does anyone know why?

 

The article pretty much explained it. Similar to Perth there are areas in Adelaide where houses in REAL terms have not risen since 2007, which are predominantly located in the outer northern suburbs.

This was sold at auction for 105k on Saturday.
6 Redcliffe Street, Davoren Park, SA 5113
It was purchased in 2007 for 105k.

It's the classic markets within markets scenario. There are other areas (mainly inner ring) where a house purchased in 2007 would now be sold at double the price. Low population growth (in comparison to other Aus capital cities) and the SA Government releasing enough greenfield land in the outer suburbs has resulted in supply outstripping demand. Councils in the inner suburbs. e.g. Prospect, Marion, Port Adelaide Enfield and Campbelltown have also been very development friendly, which has also resulted in less demand for the outer suburbs but has made inner city land more valuable as it's easy to develop.

 

$105k is cheap!

 

I have always found that for the smallish population that Adelaide has, the suburbia stretches way too big and far from the city centre. Whilst 105K is cheap, there are so much land in between Davoren Park and the city, that can be sub-divided and built, it is just not worth it buying these el cheapos.

 

There was a report a month or two ago suggesting outside of Brisbane, Adelaide will be the hardest hit with the Apartment Oversupply. As a ratio, Adelaide is building just as many apartments than Melbourne and Sydney, but they don't have the population growth that Sydney and Melbourne has.

This report is interesting:
Expect losses if you buy an apartment in Adelaide: property expert - InDaily