Peoples thoughts on Adelaide?

State budget will be announced later today and it might give a glimpse of how property markets will perform here in the next 12-18 month. Things are definitely not looking good in SA.

Exhibit A of why having Labor in too long is a bad thing.
 
This question, "Is [insert city] a good place to buy?" really is not the best question to be asking yourself.

There are a multitude of reasons as to why you should be buying, where you should be buying and then what you should be buying.

Generally speaking if you're looking to invest, you really need to sit down and ask yourself how much am I willing to invest? For how long? To achieve what goal?

You may say: I want to make $100,000 net profit in 7 years so I can use that for 'x' reason. I am happy to outlay 'y' amount per 'period' to achieve the above.

If that's your goal then you need to identify what areas have the right median price and growth predictions to give you the best chance of achieving your desired outcome.

With that said, any large population centre whether regional or metropolitan has fractional markets that make up the whole area. Each one of those smaller areas will have its own set of unique characteristics and reputation therein, which in turn appeal to different types of people.

Supply and demand is solely what moves property prices. So whilst you're focusing on your plan that you've laid out you should pick the most desirable location, with the most desirable property type in that area, the one that has the lowest supply, but highest demand. There may or may not be places in Adelaide that suit you, I hope that helps.
 
Wayville and Goodwood areas seem to be very popular lately.

more expensive than some of the other suggestions, but very close to the city, dont need to cross the city to get to the beach and airport. right next to premium suburbs like Unley Park etc.
 
At this stage, I am more into anything that can be positively geared (i.e. below $350K with rent of around $340, $350) and has the potential of CG. I am looking at some of the two bedder units in blue chip areas, but with a history price check on them finding that they basically only grew 1% every year since 2008, is kinda discouraging... Was thinking if I should look at interstate like Melbourne SE where there are still heaps of units at that price but with much higher CG potentials.

Yeah but .... buy in gloom and all that. REally, Sydney's the only place that's recovered from the GFC and that's because it was so overdue.
Would love to get into Adelaide now.
Also have my hopes set on outer SE Melbourne;)
 
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My personal opinion, low entry price, CF is good, but if you are after CG, look elsewhere
My 2 cents only (be gentle with me Brady and CJay)

Disagree... I made $100k in five years on a $250k property, you just need to know where to look. The low entry price makes it very affordable.

OP, consider somewhere like Semaphore with that kind of money. Some nice places, and I feel it will always be desirable.
 
Client purchased a property for $207k in ingle farm. Renovated and it's now under contract for $330k. Renovation added value but still would of had some growth.
 
At this stage, I am more into anything that can be positively geared (i.e. below $350K with rent of around $340, $350) and has the potential of CG. I am looking at some of the two bedder units in blue chip areas, but with a history price check on them finding that they basically only grew 1% every year since 2008, is kinda discouraging... Was thinking if I should look at interstate like Melbourne SE where there are still heaps of units at that price but with much higher CG potentials.

350 rent at 350k is positive gear? Even if you consider brand new property, it should be neutral at best.
 
Terry Ryder gives Adelaide the thumbs up and I have to agree.

I know many have mentioned that Adelaide (like all our major cities) is made up of multiple smaller markets, but we shouldn't discount Adelaide as a single market.

Sydney and Perth are cooked. Brisbane and Adelaide are coming. Adelaide will likely have a 10-20% growth spurt within 1-2 years.

Within that market, not all markets will perform the same. The trick is picking the right sub-markets. And it's much easier picking a prosperous sub market in a booming city opposed to a city that has finished its run.

Ryder likes Campbelltown and surrounds. Another poster has already demonstrated the turn over rate in these suburbs is very short. Ryder also likes the southern suburbs with the new motorway.

I like the triangle between city-glenelg-port. Close to city, airport, beaches. Mile End and Thebarton are gentrifying as inner city cafe hot spots. There will be a lot of knock down and build in this area for years to come.

http://www.propertyobserver.com.au/...out-market-and-opportunity-for-investors.html
 
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Well Adelaide is definitely heading in the right direction, noticing a lot of houses on big blocks selling fast and lots of brand new homes being constructed and sold. One of my IP's rent is increasing by $25 per week in the western suburbs, while up north my property manager suggests no rent increase this year.. thinking that translates to the western suburbs picking up quickly. Cant wait to see what the rest of the year brings for Adelaide's capital growth.
 
Don't know about the west going through gentrification as of yet, however units in the area are in high demand for rentals as the majority of the population are between (20 - 30 ) , the flight path turns many off the west however
 
Interesting to see if the scrapping of the FHOG for established homes will cause a slow down in the greater Adelaide region or a reduction in the prices.

7 out of the last 10 properties that I have sold, have been to first home buyers. I do work in an area that does attract many first home buyers, however they do add the fuel to the market which follows through to other regions.
 
Interesting to see if the scrapping of the FHOG for established homes will cause a slow down in the greater Adelaide region or a reduction in the prices.

7 out of the last 10 properties that I have sold, have been to first home buyers. I do work in an area that does attract many first home buyers, however they do add the fuel to the market which follows through to other regions.

I think there will be a redirection of even more FHBers to new builds as it's the only viable choice for deposit limited buyers, which will pump up land prices even more and in turn, development blocks. Mid-ring and outer ring H&L's will no doubt show strong resilience, much like during the previous large boosts provided to new builds
 
I think there will be a redirection of even more FHBers to new builds as it's the only viable choice for deposit limited buyers, which will pump up land prices even more and in turn, development blocks. Mid-ring and outer ring H&L's will no doubt show strong resilience, much like during the previous large boosts provided to new builds

I agree, however this will significantly reduce the amount of buyers in the entry level established market, which follows through to less activity in the middle market. The developer who is now selling more of their stock to the first home buyers, their not going to go and buy the middle market properties, their going to buy more development sites to develop as their doing well. Who will now buy the middle market established homes, if the sellers cant sell their entry level properties.
 
While price growth has been slower than other cities, one thing I found is the vacancy rate is very tight here in ADL. Most of my IPs are rent out immediately without having to be vacant at all, compared to few years ago.
 
If Pete Wargent's recent comments on Property Observer are anything to go by, Sydney is the only place you should invest in and Adelaide is the worst and never going to go anywhere.

http://www.propertyobserver.com.au/...il&utm_term=0_a523fbfccb-8429b7536d-245314301

The article also shows that you can make data and numbers say whatever you want - it ignores the longer 10 year performance of both cities, and you should be aware that Pete Wargent has vested interests in Sydney.
 
One of the things I've wondered about for the North is what will happen when the Holden factory closes. This employs a lot of people who live in the Northern suburbs and also pays relatively well. Will this have a major influence on rental yields if a large proportions of residence salaries decrease? Or will it have the effect of home owners having to sell up as they can't afford their mortgages meaning some properties being sold below market value and then subsequently putting pressure on rental markets when these people need alternative accommodation.
Perhaps it will cause nothing to happen? Are there any other examples of larger industries closing their doors and this causing ripples in the property market?
 
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