With some eastern state property markets realigning after half a decade of stellar double-digit returns, Adelaide is again demonstrating its reputation as a property safe-haven.
The latest data from CoreLogic shows that Adelaide real estate is producing an average annualised return of 4.9% from a combination of growth and rental yields. Only Hobart and Canberra can claim stronger combined returns.
“Compared to the peaks and troughs investors must endure from other asset classes such as shares, bricks, and mortar is a relatively safe long-term investment asset that also delivers competitive long-term returns,” says James Trimble, General Manager, SA, Raine & Horne. “Moreover, where better than Adelaide to see evidence of the safety of real estate in action. The Adelaide housing market is always steady as she goes.”
James adds, “Yet with this stability, we have residential construction and jobs growth. Sure, some of the big motoring manufacturers have left town. However, where one door closes, another opens.”
Iconic Brabham Automotive is planning on producing the $1.8 million Brabham BT62 racer 15,000 square metre global headquarters and manufacturing facility at Edinburgh Parks in Northern Adelaide. The great racer will be limited to just seventy cars in celebration of the seventy years since the late Sir Jack Brabham launched his racing career. James adds, “This will create jobs, growth and brand prestige for suburbs in Northern Adelaide, it will put us on the world stage and won’t hurt real estate values.”