Investor News

Affordable houses lure buyers into South Australia

HANNAH SILVERMAN, REAL ESTATE REPORTER

May 01, 2009

SOUTH Australia's affordable property market is reeling in international and interstate buyers.

Real estate agents have observed an increase in inquiries from prospective buyers since the start of the year who want to cash in on SA's cheaper housing prices.

Figures from RP Data showed Adelaide houses were the most affordable of all mainland capital cities, selling in March for a median price of $410,442.

Sydney is the least affordable with a median house price of $565,928.

Raine & Horne state manager Kevin Magee said affordability was the main reason buyers were showing interest in SA.

"International and interstate interest is definitely increasing," he said. "SA is recognised as probably the most insulated state in the one of the most insulated countries in the world against the financial crisis.

"People mock the state but the reality is we're gaining on the eastern states in terms of our growth attraction and property values."

Toop & Toop recorded most online interest in April came from the UK, followed by the U.S. and China.

Real Estate Institute of SA president Robin Turner said the state was attractive because of its long-term stability and undersupply of rental properties.

Jon and Sarah Tyler bought their first home in Willunga after migrating to SA from the UK. "We wanted a lifestyle change and we like the way it is here . . . it's more affordable and it's not a rat race," Mr Tyler said.