Growth, firming rental market drive confidence across SA investment landscape
Adelaide’s house price growth is expected to top the nation, according to the latest NAB Residential Property Survey.
The survey of real estate agents, property managers, developers, asset managers, property owners, and investors from around the country predicts house prices in Adelaide will increase 1.7 per cent in 2019.
General Manager for NAB South Australia, Gregg Harris, said a combination of factors is playing in the state’s favour.
“With modest house price growth, and a strengthening rental market, the research shows strong property market sentiment in South Australia,”
Mr Harris said confidence in the South Australian residential property market over the next year has lifted 22 points to +60, while confidence over the longer-term is also strong — up 17 points to +67.
“On both of these measures, South Australia is the highest in the country,” Mr Harris said.
But he said there are potential impediments worth considering.
“According to property professionals, tight credit is the biggest constraint for new housing development, while housing affordability is considered a challenge for buyers.”
Mr Harris said, despite these concerns, South Australia has one of the most accessible property markets in the country.
He added that recent research by finder.com.au revealed that as many as 68 per cent of South Australians currently own a property.
“The general consensus from discussions with our customers is that they are optimistic about one day purchasing their own home.”
Mr Harris also said that according to finder.com.au, only 13 per cent of South Australian renters are considered renters for life.
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