Thursday, August 24, 2017

Adelaide bats above average, as rental demand surges!

Demand for property in Adelaide has hit a new peak. The latest housing reports show the demand for houses has risen 8.8% over the past 12 months and 6.2% since June 2017.

For investors there is even more good news. With rental demand surging 34.5% year-on-year, Adelaide is well above the national average of 19.2%. Our city is cementing itself as a steady and consistent performer... and there are no signs of this slowing down. In just the past month alone, rental demand has grown by 11.1% (compared to the national average of 9%).

So what's put Adelaide out in front?
Adelaide rents have remained steady over the past few years and the growth on the eastern seaboard has pulled right back. Adelaide continues to be the most affordable mainland capital city in Australia, and is viewed as 'good value for money'. The lifestyle and ease of living is very attractive and is not readily available in other capital cities at the same price point. 

Our team are seeing that properties in sought after locations are leasing after one week, or above the advertised rental price. This week Toop&Toop's vacancy rate was at 0.45% compared to the industry average of 1.8%.

Rents in metropolitan Adelaide have remained buoyant throughout winter as there has been a shortage of properties available. This, coupled with a high number of tenants looking for property, has allowed Adelaide to outperform.

Where are the Adelaide hot spots?
The most searched suburbs on are Unley, Dulwich, Millswood, Unley Park and Clarence Gardens, closely followed by Crafers, Colonel Light Gardens, Glenunga, Hawthorndene and Hyde Park.

At Toop&Toop, we are seeing that suburbs close to hubs of activity, such as the CBD, beaches, shopping centres or entertainment precincts are performing the best. These areas are seen as 'low risk' options for investors as tenants are drawn to 'buzzing' areas.

Adelaide is attracting interest from investors across the nation! It really is an exciting time to be investing in our state.​

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