Valuer-General’s figures show Adelaide house price holding strong as some suburbs record big growth
Adelaide house price values continue to hold their ground, despite making a small backwards step over the past quarter.
Valuer-General’s figures for the June quarter show house values across metropolitan Adelaide are up 1.81 per cent over the past 12 months to a median of $478,500, despite dipping slightly by 0.31 per cent over the past three months from $480,000 last quarter.
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Statewide, the median house value held at $430,000 for the quarter, but is up 2.38 per cent on the $420,000 it recorded this time last year.
Despite agents reporting statewide stock shortages, there were more sales in the June quarter than the three months to March, with quarterly sales increasing from 50
Of suburbs to have recorded at least 10 sales for the June quarter both this year and last — the greatest value growth is found in Rosewater, 12km northwest of the city, where house values are up by 34.29 per cent to $423,000.
Adam and Kelsey Phillips, 28 and 27 respectively, have just moved to the suburb from Findon, and Mr Phillips said he hoped to see Rosewater’s value continue to rise.
“We’d been looking in the western suburbs for about a year and we chose Rosewater because we loved the history of the area and the character of the homes there,” Mr Phillips said.
“Fingers crossed that value growth continues — after spending the past two weeks moving we don’t want to be doing that again in a hurry, so we’ll be here for a while.”
Torrensville, 5km west of the city, recorded a 24.89 per cent rise to $690,000, while values in the Hills hotspot of Aldgate, 18km from the city, and Burton, 22km north of Adelaide are up 20.83 per cent and 20.63 to $950,000 and $380,000 respectively.
Unit values across metropolitan Adelaide dropped by 5.41 per cent over the quarter, and are down 1.41 per cent on this time last year.
Harcourts Smith agent Kate Smith, who sold the Phillips family their home, said the valuer-general’s figures were a good guide for short-term suburb performance, but buyers should look at the bigger picture and also be careful not to be placing too much stock in growths or losses based on only a small number of sales.
“As great as statistics are, there’s a lot of emotional factors in play when buying real estate, and you will get some properties that achieve a premium for that reason,” she said.
“Most buyers look at the market over a 12 month period to get an indication of how it was performing over the longer term.”
Despite the small step backwards for the quarter, Ms Smith said Adelaide’s minor market fluctuations were seen as ideal investment conditions for interstate buyers.
“We’re heading into primarily our busiest period so I would expect this figure to jump up,” Ms Smith said.
“I’m starting to see more interstate investors in the market.”
“I believe we have a very bright future, and a very affordable market place which may not stay that affordable for much longer.
“It’s a great quality of life here and when you compare it to anywhere else in the country, what you get here is exceptional.”
Looking at Adelaide’s local government areas, Adelaide City Council was the state’s strongest performer over the past 12 months — with house values up 85.2 per cent to $1.389 million — 42.9 per cent than its $972,000 median last quarter.
Valuer-general Katharine Bartolo announced in June her department had begun a detailed review of residential and commercial property valuations, which could lead to significant increases in residents’ council rates, SA Water sewerage costs, and Emergency Services Levy and Natural Resources Management Levy fees.
Walkerville and Unley Councils were the first to be reviewed. According to the latest quarterly figures, Walkerville’s council median is down my 8.9 per cent for the quarter, while Unley’s house median is down 5.56 per cent.
Regionally, Whyalla is showing signs of a strong recovery, with house values up 25 per cent for the quarter, and 37.5 per cent for the year to a median of $275,000.
Note: The Advertiser considers a sample size of less than 10 sales for a quarter too statistically unreliable to base a median price on. While there are suburbs in this data that have shown greater growth than those mentioned in this accompanying story, as they have less than 10 sales we feel reporting them as top-performers does not, in every case, paint an accurate picture of how that particular market is performing.