SA Adelaide Property News 2019

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I would happily buy in Dernancourt for the right price.
Actually put an offer on a property, it went >$100k above the asking price with multiple offers and >100 groups through.

I don't follow stats doesn't tell the full story.

There has been a reasonable amount of development in Dernancourt, smaller multi dwelling homes, cheaper price, impacts 'average house price'

 

So many different views here about Adelaide as well as what constitutes investment grade property even with well known professional property gurus that work in the media.

 

Adelaide in the right suburbs will do well <15kms from the city, can be rented now, with add-value potential (renovation or subdivision)
Here's the Dernancourt property I was talking about, was happy to pay $450k it went for $505k still decent buying with the potential, but cutting it too thin for my liking.
34 Parkinson Avenue, Dernancourt, SA 5075

 

I thinks some of the reason for so many different views is most "professional" property gurus that work in the media are Eastern States focussed, plus the nearly always generalise. The other reason I see is that everyone has an opinion on property and it will be based on their own beliefs and biases. It's also the largest asset class in Australia with a lot of diversity, for example location, class of property, usage, types of buildings, even down to streets. Then there are a lot of different strategies for property purchases, usage and investments. Therefore I believe you can't have one blanket view on what is the best. You need to clarify what it is you are wanting to achieve (the end result), what is your capacity to achieve it (both in skills and resources) and workout a plan or strategy to suit you.

 

Interstate Investors required to prop up ailing Adelaide property market. Where are you?

Calls For Urgent Action as New Home Builds Plummet - The Advertiser, 12th Jan 2019.

Fourteen consecutive months of declining new home approvals has cost the state’s building industry tens of millions of dollars, prompting calls for urgent action to support the struggling sector.

The fall to 613 November approvals, six fewer than granted in October, marked the 14th consecutive month of declines and came a month after three builders went under in a week.

“We’re a critical industry and we’re in trouble and we’re just after a little bit of help,” Mr Bryant said.

 

Do you mean construction industry? Your link talks about approvals and yet you mention property market which is doing fine

 

No, home builders. If you read the article, there is a credit crunch happening in Australia, not just Sydney and Melbourne.

Mr Bryant said delays and a huge growth in rejections for home loans in the wake of the Banking Royal Commission were causing particular strain.

National figures show prospective first-home buyers were more than 10 times more likely to have their home loan application rejected in July 2018 compared to July 2017, as well as a huge spike in rejections handed out to would-be investors.

So the problem is greater than just home building. It's just home building is the Carny in the Coal Mine.

 

If you're a residential builder it''s bad news. However, for investors limited supply is actually a positive. The construction industry are currently lobbying for rainwater tanks to be non-mandatory for new builds (5k saving) and abolition of stamp duty for new builds. If these measures get implemented it will be a positive for the housing market even if supply increases.

 

Still high demand for inner city properties. Outer suburbs are still stagnant.

As far as the general economy goes SA appears to be travelling decently.

VFACTS: Lowest March sales since 2014 | CarAdvice

• 12 successive negative months 'achieved'
• Only two of the top 10 brands grew their sales over March 2018: Mitsubishi (big at home in SA...) and Kia
• South Australia (up 9.4%) and Tasmania (up 6.2%) buck the trend

 

All the signs are there but all the trolls are still saying no

 

Rents in Dernancourt, Paradise and surrounding suburbs has shot up 20%, and still, not many average houses available on the market. Investors must be feeling good and confident.

 

The areas are pretty well priced, decent transport to the city with O-Bahn links, good shops nearby, not too far from the city, mix of larger blocks, newer housing from development with some bits of character.

 

I spoke about that on a recent podcast; that if your criteria is decent distance to city, decent quality tenant, and well priced then that north east corridor ticks all 3 of those as opposed to some other sections of Adelaide that only tick 1 or 2.

 

Shhh don't be telling people about this... don't need people looking into buying property within 15km from CBD, major transport, hospital, services, shopping centres, decent tenants, large blocks, renovation/development potential for <$400k otherwise they wont be <$400k...

 

Have an IP in Adelaide and have been looking at comparative properties in the suburb for rent. Is it my imagination or is the rental market getting hotter by the day? Rents seem to be trickling up (perception) and not many properties for lease.

 

SQM Research - Property - Residential Vacancy Rates - Adelaide

 

Rental Properties and Real Estate for Rent in Salisbury East, SA 5109 - realestate.com.au

I saw your post and thought I would check out what's currently available in Salisbury east. (I have a property there with a lease thats about to expire). 6 properties available for rent in a suburb of that size is slim pickings indeed.

 

Vacancy is very low in most areas. I leased 5 places this month all on the first open. Priced correctly, marketed and presented correctly , things are leasing quickly. Some of our recent renewals have included increases, too.

 

Adelaide Q3 Data:

Metro median house sales - Metropolitan Median House Sales Q3 2019 - data.sa.gov.au