Adelaide Residential Market / Your Insights for Aug 2024

Short, sharp, stats & updates on what’s happening in Adelaide’s residential sales market for August 2024.

The latest PropTrack report shows that national home prices edged up by 0.08% in July, bringing the annual growth rate to 6.3%. While this growth is modest, it aligns with the typical trend for July, a month traditionally known for the slowest pace of market movement.

However, Adelaide’s property market continues to display impressive strength. Over the past three months, dwelling values have surged by 5%, marking the fastest growth since the lead-up to the rate-hiking cycle in May 2022 (CoreLogic, 2024).

Notably, the lower end of the market is leading the charge, with values jumping by a significant 20.9% over the past year—well above the 13.3% increase seen in the top tier of the market. Similarly, unit values are on the rise, outpacing houses with annual growth of 18.5% compared to 15.1%. If this trend continues, Adelaide’s median dwelling value could surpass Melbourne’s as early as August—something we’ve never seen before in the market.

Looking ahead, the spotlight remains on the Reserve Bank of Australia (RBA) and its decisions regarding interest rates. The current official cash rate stands at 4.35%, and further down the track, economists are predicting that the RBA might implement its first post-pandemic rate cut in February 2025. This could introduce new dynamics for the housing market as we move forward.

If you are looking to buy, sell, lease or have your property managed this winter, reach out to one of our specialist property consultants here within the OC team.