SA Adelaide

just offload an IP, inner eastern old house, surprisingly there were multiple offers and i wont say the figures are disappointment either.
Haven't really try to get a tenant after its lease expired just before the COVID hit, was thinking to do some reno then market sentiment changed, and decided to reduce my leverages, so put it off-market during lock-down, eventually on the market and got sold in a week to local cash buyer.

 

Which parts of Adelaide have the best prospects?

 

My agent reckons the rental market's the worst its been in 10 years....yet I see hardly any rentals in the suburb where I on my IP. What gives?

 

Edwardstown (& surrounding). The newest & largest Bunnings store in SA opened there last year - they do their homework.

 

Not suffering as badly as inner Melbourne where there are just way too many apartments and no market for them presently -

 

Not that I am suggesting this is a good purchase, but what a tidy yield!

https://www.realestate.com.au/property-duplex+semi-detached-sa-whyalla+norrie-133275214

$69k - $165 Per Week - 12% Gross

 

that's $29pw interest at today's rates on 80LVR! (also not saying its a good investment but wow)

 

What postcode is your rental? Is your agent local to that area?

 

5043. Agent out of area.

 

Looks like you agent is on the money (as you would expect).

Vacancies have more than doubled in two months:
Feb 2020 - 15
Mar 2020 - 20
April 2020 - 35

May figures are not in, but could be in the 40s to 50s if landlords are not starting to off load vacant property.

It will be interesting to see what it peaks at later in the year when Jobkeeper is terminated. A lot of renters will be out of jobs. (Renters are normally in casual retail and hospitality jobs)

South Australia also went into recession at the end of last year, pre-bush fires and Coronavirus, so the economy wasn't strong to start with.

 

Everyone is entitled their opinions , but when you’re at the polar opposite of what’s actually happening you got to wonder where their heads at right?

Rental market is best it’s been in ages , am renting stuff in days , and that’s without being allowed to do home opens due to covid. I’d rent things instantly if was allowed to meet more people.

 

Keep hearing agents citing Tonsley in my IP's neck of the woods. Is it that much of a game changer?

 

We've been looking to purchase in the lower/mitcham hills areas for a while now.

Anything decent in our range is gone in a few weeks. Stock on market has certainly reduced.

 

Full disclosure: I hold land (for sale) in Edwardstown. Would prefer to keep and build to rent but can’t afford to.

There’s the new rail line extension that runs through there and on to Flinders uni, plus the business / tech park (which is pretty cool if you’ve not walked around inside) means that corridor services both there and the CBD. It basically connects both major education hubs of Adelaide with a 20 min train ride. And there are homemaker centers at that end of South and Marion Road; plus Marion shopping & aquatic center nearby... 10 min drive to the beach at Brighton. Several private schools (Sacred Heart; Westminster).

Housing along that route appeals to professionals, students & families alike. Once the South Road upgrade is completed, even better.

Inner East has always been expensive, so inner West (horse bolting), inner North & South are the infill opportunities.

 

Tx. Sounds like I should hold onto mine. Didn't think it was that close to CBD via public transport.

 

This is for an 8am departure from Tonsley on a Monday morning.
Good ol' Adelaide - you're rarely more than 30mins from where you want to be.

 

The one thing ADL doesn't have is enough rail, and it relies far too much on buses. So having property walking distance to one of the few lines (and the southern line was recently updated to electric) is a real value add.

 

Adelaide one of the best real estate performers in Australia: Hotspotting’s Terry Ryder

"Property investors will never let the facts get in the way of an entrenched attitude. "

 

Adelaide suburbs where property prices have climbed and dropped most

YEAR-ON-YEAR GROWTH

HOUSES

1. Glenelg East: $870,000 – 21 per cent

2. Gulfview Heights: $551,000 – 17 per cent

3. Norwood: $920,000 – 17 per cent

4. Colonel Light Gardens: $880,000 – 16 per cent

5. Willunga: $575,000 – 14 per cent

 

UNITS

Glenelg North: $430,000 23 per cent

Henley Beach: $425,000 – 23 per cent

North Adelaide: $450,000 – 10 per cent

Mount Barker: $321,000 – 7 per cent

Findon: $385,000 – 7 per cent

YEAR-ON-YEAR DECLINE

HOUSES

Malvern: $1.09 million – -18 per cent

Smithfield Plains: $175,000 – -15 per cent

Gawler East: $346,250 – -14 per cent

Elizabeth North: $155,000 – -11 per cent

Kensington Gardens: $925,000 – -11 per cent

UNITS

Prospect: $337,500 – -27 per cent

Salisbury: $174,950 – -23 per cent

Klemzig: $250,000 – -13 per cent

Somerton Park: $357,500 – -11 per cent

Morphett Vale: $230,000 – -6 per cent