The results of the second quarter of 2020 show the truly amazing resilience of the real estate market in South Australia towards the effects of COVID-19.

Following the release of the Valuer-General’s median house price data for the 2020 June quarter, REISA President Mr Brett Roenfeldt said that while the volume of sales had dipped slightly from the last quarter, the median price remained at historically high levels. 

At a Glance:

• In the June quarter, 3,526 houses settled across the Adelaide metropolitan area
• Glenelg East, Somerton Park and West Beach have seen the largest growth over a 12 month period 
• Mount Gambier, Morphett Vale and Andrews Farm were the top selling suburbs in terms of recorded sales over the June quarter 

“It is sensational news that the median price in this quarter is only just down from the record high set in the last quarter of 2019," said Mr Roenfeldt.

"This quarter captures the full effects of COVID-19 and so the sustained high median price is a clear indicator of the underlying strength and resilience of the South Australian real estate market. 

“While the volume of sales is down from the previous quarter, this reflects the lack of stock on the market currently and is an indication of the hesitance of the market to commit to real estate transactions in these uncertain times.

"However, the median price is also clearly showing that purchasers are still willing to pay premium prices for properties that are realistically and transparently priced."

In the June quarter, 3,526 houses settled across the Adelaide metropolitan area which is down from the previous quarter and the same quarter last year. 

Suburbs which have seen the largest growth over a 12 month period were Glenelg East, Somerton Park and West Beach.

Other big movers included Blackwood, McLaren Vale and Salisbury Heights. 

Top selling suburbs in terms of recorded sales over the June quarter were Mount Gambier, Morphett Vale and Andrews Farm. 

“Location and affordability will always be the key drivers of a purchaser’s decision to either buy or invest in property," said Mr Roenfeldt.

"Affordability particularly when coupled with existing or exciting new infrastructure will always deliver suburbs that do well for first home buyers.

"Likewise, these suburbs will be seen as very attractive opportunities for investment.” 

More broadly, the June quarter statistics showed that the overall South Australian median price was up 0.47 per cent from the previous quarter and 0.47 per cent from the same quarter last year. 

The unit and apartment market showed a significant increase of 5.49 per cent in the median price compared to the previous quarter and a massive 10 per cent increase from the same quarter last year.

The number of sales were slightly down for the same periods.

Regional SA

The regional housing market recorded a median house value of $277,500.

This represents a significant increase of 2.97 per cent from the previous quarter and an increase of 3.16 per cent from the same quarter last year. 

“This is the first quarter that we are able to measure the full effects of COVID-19," said Mr Roenfeldt.

"I am delighted that the median price has actually increased from the previous quarter – this clearly demonstrates the underlying strength and resilience of the regional real estate market and the fact that purchasers are willing to pay premium prices for properties that are realistically and transparently priced." 

Suburbs which have seen the largest growth over a 12 month period are Renmark, Berri and Barmera with increases of 28.16 per cent, 12.27 per cent and 11.47 per cent respectively.

Top selling suburbs in terms of recorded sales over the June quarter were Mount Gambier, Victor Harbor and Port Pirie

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