While expensive upmarket properties are typically known to be poor performers in weak markets, South Australia’s Adelaide is bucking this trend.
According to recently released statistics from the valuer-general, as well as RP Data’s latest figures, the top 20 per cent of Adelaide’s suburbs have only declined by 4.6 per cent over the past year.
This is comparable to the combined capital cities’ average, where prices in the same high price bracket suburb category have dropped 5.7 per cent.
Elise Partington, from Toop & Toop Real Estate said that in South Australia’s middle market, prices have fallen by over 5 per cent, and even lower at the other ends of the market, leaving opportunities for investors.
“In fact Adelaide’s most affordable suburbs were among the weakest performers over the year nationally, where the only other sector which had a larger fall in values was Melbourne’s premium housing market,” Miss Partington said.
She listed mortgage hardship as one reason that the lower and middle price brackets have seen heavier discounting.
“These results show how diverse the housing market is and that it’s important to research the part of the market you’re interested in if you’re thinking of buying or selling,” she said.