Issue No. 64 - April/May 2012
Metro Adelaide prices firm after 6% fall
by Mr Kel Spencer
The Adelaide property market is marking time after falls during 2011. All eyes are on the Olympic Dam project, which is expected to underpin a resumption of growth in the SA and Adelaide markets when it gets underway. However it is likely to be a year or more before this has any practical impact on wealth and employment levels.
Meanwhile, in tandem with the rest of Australia, the 2012 outlook is for residential prices to bottom out in early 2012 and stabilize during the year, though as positive news on the mine gets reported, this is likely to stimulate the market later in 2012.
Median House Price
Median house prices in the Adelaide market have fallen 6.1% since March 2011, though they were unchanged in the December 2011 quarter at a reported median price of $385,000 according to RPData.
With a State economy that has stalled in 2011, and showed negative growth in the last reported quarter (September 2011) the State is waiting on any growth to resume before house prices will respond.
Median Unit Price
Median unit prices in the Adelaide market increased marginally by $1000 in the December 2011 quarter, though they are still 7.8% down from the peak figure recorded in June 2010.