Your Real Estate Market Insight / OC Market Report 2023

In the real estate industry, 2022 was a transformative year. Inflation & interest rates surging last year caused a slowdown in activity in the Australian housing market.

National dwelling values dipped -3.2% over the last 12 months, marking the first annual decline since October 2019. Except for Adelaide and regional South Australia, every capital city and the rest of the state region recorded a drop in housing values.

Australians also witnessed consecutive rate hikes last year, with the RBA raising rates to 3.1% – the highest level since December 2012. In terms of how high the cash rate will rise, it remains a contentious issue.
In South Australia, due to relatively lower housing prices, solid buyer demand, and positive migration, Adelaide’s housing market stayed resilient to falling prices than most capital cities, with dwelling values up 13.4% over the last 12 months.

Adelaide also boasts the tightest rental market conditions with a vacancy rate of just 0.3%, which will likely keep upward pressure on rents for the foreseeable future. The outlook for the national housing market remains skewed to the downside with expectations for further falls in dwelling values at least until interest rates find a ceiling. However, Adelaide’s stable housing market continues to be a welcoming hot spot for modern investors and homebuyers this new year!

We hope you enjoy our Market Report, if you have any questions or need any advice for buying, selling, investing, managing, renting or developing please contact the team here. We are here to help achieve your property goals.

Disclaimer: Information in this blog is accurate at the time of publication. Ouwens Casserly has relied upon information from external sources in compiling this publication and does not warrant its accuracy or completeness. Please verify details and consult your agent before making any decisions.