Thursday, January 07, 2016

A new year, a new-look city. We are excited for 2016!

We have launched into the New Year and it is an exciting time for real estate in Adelaide. The streets are buzzing, people are out and about and our city has been transformed in the past 12 months. New bars, restaurants, apartment high-rises - there's plenty happening right now in our own backyard!

Chatting with friends over the Christmas break, the 'new look' Adelaide is a popular conversation, sharing stories about our new favourite spots to eat or beaches to visit. What I found most fascinating though was comments about how often you now get stopped in Rundle Mall to take photographs of those visiting our beautiful city. This is becoming more and more common. Adelaide is becoming a destination of choice worldwide and we expect this to contribute favourably to our housing prices. Norwood alone continues to make headlines, reporting a median house price growth of 60% over 12 months. (REISA September, 2015)

Another really good indication of this growth is that we are currently looking for 150 properties here in Adelaide for our interstate clients! Adelaide is their capital city of choice with affordability as the key driver behind the attractive returns. This is consistent with Dr Andrew Wilson, the senior economist at Domain Group, and his recap in the February issue of the Australian Property Investor Magazine. He notes Adelaide's housing market in 2015 was 'solid' and 'produced a typically steady and resilient performance over 2015' despite Adelaide's unemployment rate reaching the highest across all capital cities. 

Research also tells us that in September 2015 alone we saw an increase of 18.2% in investor activity in Adelaide. This is a staggering number. (Yvette Burton - Australian Property Investor Magazine February, 2016 issue)

Looking ahead to 2016, we expect to see the north west corner of the city evolve further as a stand out pocket of real estate. We expect demand to only increase when the hospital is completed as coffee shops and cafs also begin migrating to that corner of the city. 

It's been a strong start to the year with our team seeing solid numbers of people through our opens this past week. We are also finding property that has been on the market for some time spring to life with upwards of 10 groups wanting to get through in this festive period. We are seeing this activity happen across both sales and rental markets, with many properties being leased after the first open inspection, and tenants looking to secure property three weeks early to ensure they don't miss out.

We love real estate, we love our city and we are excited about Adelaide property in 2016. 

Happy New Year from everyone at Team Toop! 

Suzannah Toop

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