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New SA government urged to maintain interstate buyer momentum

March 22, 2022

The South Australian residential property market is attracting more interstate buyers than five years ago, with leading property group Raine & Horne urging the new state government to continue pursuing effective policies to help maintain the real estate momentum.  

Just before last week’s SA state election, four of the five offers for a stunning five-bedroom property in Crafers were interstate buyers[i]. The property with spectacular views of the Adelaide Hills had a price guide of $1.5 - $1.6 million and was listed for sale by Mr Brendan Saunders, Co-principal of Raine & Horne Strathalbyn

Mr James Trimble, General Manager of Raine & Horne, said, “A handful of years ago, we would have had no interstate interest in a property such as this five-bedroom beauty in Crafers. This trend is widespread across Adelaide and South Australia. 

“Since the closures of several major manufacturing plants a few years ago, South Australia has morphed from depending on blue-collar industrial activities to an economy based on the services and business sector.”

“The changing face of business in South Australia has attracted interstate employees and enabled this state to stem the brain drain. This has helped grow the appeal of working and living in South Australia and created more interstate demand for real estate,” said Mr Trimble. 

In February, two major blue-chip companies Commonwealth Bank[ii] and professional services heavyweight PwC[iii] committed to the South Australian capital long-term.  

PWC and Commonwealth Bank have joined other global brands such as Google Cloud, Amazon Web Services, Accenture, Cognizant, Microsoft Azure, and Nokia 5G that have recently established corporate offices in the SA capital.  

“Big businesses see South Australia as a great place and it’s important the government continues to attract corporates that will employ thousands of workers in this state now and for future generations of South Australians.

“Continuing top focus of attracting big business will help maintain demand for real estate in this state and underpin the long-term wealth generation goals of South Australians.”  

Continue to invest in infrastructure

Mr Trimble said the state government must continue to invest in infrastructure to connect new housing developments in Adelaide to the rest of South Australia. The incoming South Australian Government has committed $125 million to three critical projects on Main South Road that[iv] will:

  • include a full duplication of Main South Road between Seaford and Sellicks 
  • restore an additional lane for the Main South Road duplication project, from Aldinga to Sellicks
  • provide grade separation and road alignment at Aldinga Beach Road and Aldinga Road
  • deliver three overtaking lanes between Myponga and Cape Jervis.

 “Infrastructure improvements that reduce commuting times between Adelaide and the rest of South Australia will be great news for economic growth, jobs and real estate values,” said Mr Trimble. 

“We urge the state government to continue to invest to attract people to South Australia – and to experience how great a place it is to live, do business and grow a family.

“This state offers the heady mix of the ultimate lifestyle combined with real estate affordability. It’s exciting times for South Australia.” 

[i] https://www.raineandhorne.com.au/strathalbyn/properties/3-wonnaminta-drive-crafers-5152-south-australia

[ii] https://www.retailbankerinternational.com/news/cba-technology-hub-south-australia/

[iii] https://www.itnews.com.au/news/pwc-to-create-another-1700-jobs-in-adelaide-for-tech-push-575930

[iv] https://www.petermalinauskas.com.au/policies/upgrading-main-south-road