The wet and wild weather this month has sucker punched SA and much of the nation fairly hard, but the real estate outlook here in Adelaide, and for the rest of SA is looking mostly stable for now.
REA Group’s PropTrack has listed Adelaide as the strongest October performer across the nation, with 0.12% monthly growth and the only capital city considered to still be at its peak. Comparably affordable postcodes in Metropolitan Adelaide within close proximity to the Adelaide CBD, have touted the Adelaide market as steady and reasonably accessible for owner-occupiers and investors.
The ‘rest of SA’ performed even stronger, also considered to still be peaking with 0.61% monthly growth. These results can be considered somewhat of an outlier compared to regional areas in other States. Time to boast even more loudly about our beaches and wine regions being so close to the city.
Whilst those who hope to enter the market may be discouraged by strong SA results, there is a sense of price stability here. This can provide peace of mind for property owners and boost confidence for vendors, which we hope will see an increase in stock. We hate to shoot down a bargain hunter with fingers crossed for a declining market here, but you might be stuck waiting for Adelaide and SA prices to fall away. Whilst much of the nation is watching on as a market corrects itself, Adelaide seems to still be playing catch up, before it starts to tread water again.
This is a comforting outlook for those who have signed on for off-the-plan purchases or in the midst of construction, as the value of what has been paid for should hold true in our market.
This is promising for borrowers looking for a better deal on existing loans, as lenders are beginning to tier their interest rate discounts based on borrowing percentages against security value. The steadier our market is, the greater the capacity is for a better deal.
Many of the pandemic priced fixed rates are close to reaching their expiry dates and are now rolling onto variable rate products. For those who aren’t familiar with how a variable loan works, it might be worth checking out how they are beneficial in a market like this.
You can check in on some of our lowest rates by contacting us on 8300 8300 or simply filling out our contact form. With the Adelaide market holding fairly steady whilst interest rates continue increase, it may be time to act now.