Despite the effects of COVID-19, Adelaide experienced an average growth of 5 per cent in 2020 – a result expected to be replicated in 2021.
According to James Trimble, general manager of Raine & Horne in South Australia, more South Australians will decide to skip a summer holiday and wait for Easter instead, which will allow the robust market conditions in Adelaide to continue until early April.
“In the meantime, the combination of confidence and record low-interest rates will keep encouraging more South Australians to buy property at least until the April holidays,” he added.
The reopening of state borders will also be another growth driver for Adelaide’s market in 2021, Mr Trimble has predicted.
He believes some of the people living in Sydney, Melbourne and Brisbane will recognise Adelaide’s real estate affordability and shift their attention to the South Australian scene – thereby taking advantage of the state’s unique lifestyle while also freeing themselves of mortgage.
In a similar vein, he expects “South Australians who have ridden the property wave well interstate to also return to their state of birth”.
From Mr Trimble’s perspective, interstate buyers could help deliver average capital growth of 4 to 5 per cent for Adelaide in 2021.
Moving forward, he expects the inner-ring suburbs and the Adelaide Hills to be the hotspot regions in the capital.
“With more people now able to work from home as a consequence of COVID, owning a family home in the Hills district is significantly more appealing to those seeking value and who now only need to commute 2-3 days to the city,” he explained.
“Beachside suburbs such as Glenelg, Seacliff, , , Henley and will also be popular for similar reasons, as homebuyers realise that with South Australia’s excellent internet connectivity, they can enjoy seaside living.”