Adelaide

The Smartline Report – July Edition

The month in review: Adelaide

By Herron Todd White
July 2015

It’s interesting times in the Adelaide market. Some sectors are not performing well with negative real growth while others are fairly solid on the back of low interest rates. Predictions from analysts are variable but generally not positive in the short to medium term. This is largely due to negative economic factors and a general lack of confidence.

However in any market there are opportunities and for buyers in the $500,000 bracket our suggestion is to stick to inner suburban areas and make sure that the property is close to transport shopping and community facilities. Secondary locations need to be viewed with caution from an investment perspective. The inner western suburbs being close to the city and having many character precincts would be a good place to look but with $500,000 perhaps a smaller cottage or townhouse would be worth considering.

In the traditionally strong eastern and southen suburbs $500,000 would be best spent on a cottage needing some attention , or a townhouse or unit for investment purposes. The inner city is also worth a look but selection of the right building is important. Property used exclusively for student accommodation may provide better investment return but capital growth can be limited.

We wont provide specific locations, other than to say stick to inner suburbs at present, because under current market conditions we are recommending any property be looked at with consideration of its individual characteristics in mind. Growth in capital values will come but probably not in the short term so the opportunity at present is associated with buying at the right price in the right area and having a longer term view.

www.smartline.com.au

Please note that information in this publication is subject to change without notice. Smartline assumes no responsibility for any errors, omissions or mistakes in this document. © Smartline Home Loans P/L 1999 – 2015. Australian Credit Licence Number 385325

 

Share on:

DISCLAIMER: The information contained in this article is correct at the time of publishing and is subject to change. It is intended to be of a general nature only. It has been prepared without taking into account any person’s objectives, financial situation or needs. Before acting on this information, Smartline recommends that you consider whether it is appropriate for your circumstances. Smartline recommends that you seek independent legal, financial, and taxation advice before acting on any information in this article.