Adelaide is approximately 3,258 square kilometres in size and has a population (2016) of around 1.36 million. The predominant age group in Adelaide is 15-24 years. Households in Adelaide are primarily group households and are likely to be repaying between $1800 – $2400 per month on mortgage repayments. In 2006, 35.8% of the homes in Adelaide were owner-occupied compared with 31.4% in 2011. (source: Australian Bureau of Statistics)
Agent commissions in Adelaide (like the rest of South Australia) are deregulated. This means that an agent who works in Adelaide can create their own commission and fee structure. The market demand in Adelaide is also higher and as a result there are more real estate agents who work in the city. Due to the increased competition, it’s common to see a drop in commission rates. The average commission rates are usually from 1.94 – 2.0% of the value of your property.
On top of a commission, if you sell with a traditional agent, you would also generally pay additional advertising fees which can increase your total cost significantly. All up, your total cost is likely to be well over $20,000 if you decide to sell with a traditional agent as opposed to as low at $694 if you sell your home yourself with the help of PropertyNow.
The real estate market in Adelaide is doing well coming into 2020, with values on the rise just like with the rest of the Australian market over the last six months.
Both unit and house values, much like rental yields, have been on the rise. As of January 2020, the median dwelling price in Adelaide is $433,845 with houses at $469,270 and median unit values of $323,611 – although this is overall a 0.5% annual decrease in dwelling values since 2018, things are improving. Rentals yields are doing well and are on the rise for Adelaide, houses are up a gross percent of 4.3% at $360 with units up 5.4% and currently sitting at around $370.
The average number of days on the market for sale properties has pushed higher this year, with 49 days on the market being the average as of January 2020 which is slightly greater than the 46 days of 2018. Auction clearance rates, which were at 65.8% last year have also risen to 71% annually as of early January 2020.
Despite the weakening in the housing conditions across Australia during the Coronavirus pandemic, Adelaide property outperformed the six-month average pace of change, with .4% growth across the month of April 2020 when COVID-19 was at its greatest.
For the first quarter of 2020, when Australian was most affected by Coronavirus, Adelaide property enjoyed .8% growth which was slightly lower than the 2.1% growth across the capital cities nationally, but still growth nonetheless. Experts are predicting that property prices in Australia might take a delayed COVID hit in 2021, however Adelaide is best placed in these predictions, proving that there’s no better time to buy or sell property in Adelaide than now.
If you’re planning to sell your own property in Adelaide, it’s important to have a good idea of the selling process. This is to avoid unnecessary burden, hassles and fees when selling an estate. The most important thing to do is to set a proper price. You need to consider the current market trends and how high the demand of a property in Adelaide currently is.
Do some research. Know the prices of similar properties. Make sure your prices aren’t high enough that it will discourage potential buyers. Remember, you aren’t the only one selling a property.
Also, know that it is illegal to misrepresent a property’s price to any buyers. This also includes advertising the property at a selling price that is lower than the market trends.
Remember too that first impressions last, so make sure you know how to present your property to your potential buyers before taking some photos for advertising.
The process of selling your property may be complex and time-consuming but with proper preparation, you’ll find it easier than expected.
By not paying an agent a hefty commission you give yourself more room to move on the sale price, putting you at an advantage against similar properties in the market. You can also know for sure that enquiries are being responded to as quickly as possible and are properly followed up. If you’re not sure of how to price your property, we can provide you with a detailed breakdown of sale statistics for Adelaide (or a specific suburb within SA), as well as an estimated value of your property.
Nicole who leased her Port Adelaide property privately via PropertyNow says, “Using Property Now made advertising easy. The forms made it easy for tenant applications and all phone calls/emails were passed on immediately. The team were quick to reply to any questions I had. I would use this site again.”
Bonny who sold her property in Marion privately via PropertyNow in June 2018 said, “I’ve enjoyed the experience as I prefer the option of making appointments for viewing and being able to answer all questions put forward. It’s a much more personal touch. I decided against a For Sale sign as I only wanted people to make appointments. Because I sold my house in such a short time, I would say it was most successful.”
*Authored July 2018. Please contact us if you require more recent information or advice about leasing or selling a property in Adelaide yourself.