- Weekly asking house prices have soared from $532K to almost $600K this year: SQM
- Taperoo in Adelaide’s west the most affordable suburb based on RiskWise's metrics
- Adelaide's north the top region overall
Adelaide’s property market continues to forge ahead, with double-digit price growth over the year to August 2021 and the highest auction clearance rates in the land.
After remaining fairly steady over the past decade, weekly asking prices for houses rose sharply in Adelaide during the past year, as can be seen in the SQM Research chart below:
After recording weekly asking prices of $532,106 in January 2021, they are now just shy of $600,000 as of this month. The median capital city price, according to RiskWise Property Research, is $542,913.
Units have also risen, albeit at a much slower rate.
Despite this price surge, there are still many pockets of affordable houses around the 70% median price mark for Adelaide, according to Pete Wargent, cofounder of BuyersBuyers.com.au.
“With mortgage rates still close to the lowest on record all states and capital cities offer some opportunities for those with a reasonable buffer and a level of employment security,” said Mr Wargent.
“With first homebuyers still active, and now competing with investors for a low level of stock on the market, we expect affordable suburbs to be sharply in focus going into 2022.”
Analysis undertaken by RiskWise has identified the top ten affordable suburbs in South Australia. Along with the 70% median price mark, the list only includes suburbs with a minimum of 1,000 houses in existing stock.
Top ten most affordable Adelaide suburbs
Taperoo in Adelaide’s west, about 16 kilometres from the CBD, has been identified as the top suburb. This is followed by Surrey Downs in Adelaide’s north.
Mr Wargent added that the analysis clearly showed that solid buying opportunities for those with long-term strategies are available for buyers in terms of detached housing.
“Prices have often increased strongly in Adelaide over the past year but there are still areas where bargains can be had and if you have a long-term strategy you can expect solid capital growth over the next few years,” he said.
“There are many opportunities for buyers looking for houses with high land value as a proportion of the property, and a strong component of scarcity, especially if they intended to hold on to the property for several years or longer.”
Overall, Adelaide North has the highest number of affordable homes compared to other regions, with median prices ranging from $400,000 to $500,000 compared to nearly $550,000 for Greater Adelaide.
Mr Wargent added that the Adelaide Hills region has become a drawcard thanks to its lifestyle, in conjunction with working from home. Prices have grown in the region over the past five years by about 20%.