Adelaide Residential Market / Your Insights for May 2025

Short, sharp, stats & updates on what’s happening in Adelaide’s residential sales market for May 2025.

According to the latest Cotality report, national dwelling values rose by 0.3% in April, following a 0.4% rise in March. While the pace of growth has eased slightly, values continue to climb across most capital cities — a sign of resilience in the face of broader economic uncertainty.

April saw household sentiment dip slightly, influenced by recent federal election campaigns and new tariff announcements on Liberation Day. With two consecutive long weekends and many Australians enjoying time away, this softer sentiment was also reflected in auction clearance rates, which averaged 60% across the month.

Closer to home, Adelaide’s market remains steady and dependable. Property values increased by 0.3% in April, building on a 0.7% rise in March. While annual growth has eased to 9.8%, this marks Adelaide’s first return to single-digit annual growth since December 2023. It’s a sign the market is normalising after a strong period of growth.

Over the past five years, Adelaide has seen dwelling values rise by 73.4%, adding approximately $350,000 to the median property value. While affordability is becoming more of a consideration, Adelaide continues to offer relative value compared to other capital cities, attracting both homeowners and investors.

The broader market outlook remains mixed, but there are strong fundamentals in play. Ongoing supply constraints, potential interest rate cuts, and bipartisan support for housing reform could help sustain property values. NAB economists are forecasting up to five rate cuts in 2025, potentially bringing the cash rate down to 2.6%. This would ease mortgage pressures, provided the cuts are passed on in full by lenders.

For now, the Reserve Bank is holding the cash rate at 4.10% as it balances global trade conditions and the domestic political landscape.

Overall, while growth may be moderating, Adelaide’s housing market continues to demonstrate consistency, affordability advantages, and long-term strength. These are the qualities that make it one of the most reliable markets in the country.

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

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.