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13 strong trends for 2025 in the Adelaide property market

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Authored by the expert who managed and guided the team behind the Australia Property Pack

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What is happening in Adelaide’s real estate market? Are prices on the rise or decline? Is the city still attracting interest from interstate and international buyers? How are local government policies shaping the property landscape in 2025?

These are the questions we hear every day from industry professionals, homebuyers, and sellers across Adelaide and beyond. Maybe you’re curious about these trends too.

We know this because we stay closely connected with local experts and people like you, exploring the Adelaide real estate market daily. That’s why we’ve crafted this article: to offer clear insights, thoughtful analysis, and a comprehensive view of market trends and dynamics.

Our aim is straightforward: to make sure you feel informed and confident about the market without needing to search elsewhere. If you think we’ve missed something or could improve, we’d love to hear your feedback. Feel free to reach out with your thoughts, and we’ll strive to enhance this content for you.

How this content was created 🔎📝

At BambooRoutes, we study the Adelaide real estate market every day. Our team doesn't just analyze data from a distance—we're actively engaging with local realtors, investors, and property managers throughout the place. This hands-on approach allows us to gain a deep understanding of the market from the inside out.

These trends are originally based on what we’ve learned through these conversations and our observations. But it was not enough. To back them up, we also needed to rely on trusted resources, like the Australian Parliament House, Knight Frank, and Savills (among many others).

We prioritize accuracy and authority. Trends lacking solid data or expert validation were excluded. For the "trends" meeting our standards, we go and look for more insights from real estate blogs, industry reports, and expert analyses, alongside our own knowledge and experience. We believe it makes them more credible and solid.

Trustworthiness is central to our work. Every source and citation is clearly listed, ensuring transparency. A writing AI-powered tool was used solely to refine readability and engagement.

To make forecasts accessible, our team designed custom infographics that clarify key points. We hope you will like them! All illustrations and media were created in-house and added manually.

If you think we could have done anything better, please let us know. You can always send a message. We answer in less than 24 hours.

1) Eastern suburbs will see moderate price rises due to their strong reputation and sought-after school zones

The eastern suburbs of Adelaide are seeing a steady rise in property prices, with areas like Belair, Aldgate, and Stirling leading the way.

One big reason for this growth is the highly regarded public schools in these neighborhoods. Homes in top school districts often sell for more, as families are eager to secure a spot in these areas. This demand is a major factor in the rising prices.

Another reason is the limited land availability for new developments. With not much room to build, the existing properties become even more valuable. This scarcity, along with the area's established reputation, makes it a hot spot for buyers.

These suburbs are known for their desirable school zones, which consistently attract families looking for quality education. The reputation of these schools adds to the appeal, making the area even more sought after.

Buyers are drawn to the eastern suburbs not just for the schools, but also for the community feel and lifestyle they offer. The combination of good schools, limited land, and a strong community makes these areas particularly attractive.

As demand continues to outpace supply, the eastern suburbs are expected to see a moderate price increase in the coming years, maintaining their status as a desirable place to live.

Sources: Realestate.com.au, Broadland Estates

2) Stamp duty policy changes will affect the timing and volume of property transactions in Adelaide

Changes in stamp duty policies can really shake up when and how many properties are bought or sold in Adelaide.

Think about the UK in 2021: when they had a stamp duty holiday, there was a mad rush to buy properties before the holiday ended. This shows that people in Adelaide might also hurry to buy or sell if they know stamp duty rules are about to change. In Australia, stamp duties can lower house prices and turnover rates, especially near state borders where competition is fierce.

Take Victoria, for example. When first-home buyers got a stamp duty break, the number of transactions went up, especially among newbies in the market. This means if Adelaide offers similar breaks, we could see more people jumping into the property market.

Buyers are pretty quick to react to stamp duty changes. A study found that a 1% change in the tax rate could lead to a 5-7% change in how many homes are bought or sold. So, even a tiny tweak in stamp duty can have a big effect on the market.

In Adelaide, if stamp duty is reduced or removed, it could make buying a home more appealing, especially for first-time buyers. This could lead to a surge in property transactions, similar to what happened in Victoria. People are always looking for ways to save money, and a break on stamp duty is a big incentive.

So, if you're thinking about buying property in Adelaide, keep an eye on any changes in stamp duty policies. They could make a big difference in your decision-making process and the timing of your purchase.

Sources: IZA, Tax Policy, Australian Parliament House

infographics rental yields citiesAdelaide

We did some research and made this infographic to help you quickly compare rental yields of the major cities in Australia versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you’re planning to invest there.

3) Demand for rental properties near universities will rise as more international students arrive

In 2023 and 2024, Adelaide universities saw a big jump in international students.

With 30% of students at the University of Adelaide coming from abroad, the city is buzzing with international energy. This influx is pushing up the demand for places to live near campuses. Developers are catching on, adding more student housing to meet this need.

Living close to school is a top choice for international students, making rental properties near universities hot commodities. From June to October 2023, international student numbers in Australia shot up by 18%, which nudged the median rent up by 5%. This shows how these students are shaping the rental market.

Students from overseas love the convenience and community feel of living near their universities. This preference is clear as property managers report a surge in inquiries from international students looking for nearby accommodations.

Adelaide's rental market is feeling the heat, especially around educational hubs. The rise in occupancy rates near universities is a direct result of this international student boom. Landlords are noticing more interest, which is driving up demand and, in some cases, prices.

As more international students choose Adelaide, the city is adapting with more housing options. This trend is not just about numbers; it's about creating a vibrant, multicultural community that benefits everyone involved.

Sources: Times of India, Collegedunia, Savills, APH

4) City center rental yields will rise as young professionals seek urban living

Rental yields in Adelaide's city center are on the rise as young professionals flock to urban living.

The Adelaide CBD office market is booming, with prime rents up by 3.37% and secondary rents by 3.27% in late 2023. This surge in office demand often means more professionals want to live nearby, boosting residential rental demand.

Adelaide's city center is buzzing with life, offering a mix of bars, restaurants, and entertainment that attracts young professionals. The media keeps highlighting these perks, making city living even more appealing.

Suburban property prices are climbing, with a 7% hike in median house prices, nudging people towards more affordable city rentals. Knight Frank's report backs this up, predicting a 4.5% annual growth in prime rents through 2026, hinting at better rental yields.

Sources: Knight Frank, Rental Search Australia, Realestate.com.au

5) Southern suburbs will see steady price rises due to affordable coastal proximity

The southern suburbs are becoming a hot spot for property buyers due to their affordability and coastal proximity.

Take Seaford Meadows, for example, where homes are flying off the market in just 45 days, showing a high demand from eager buyers. This buzz around the area suggests that prices will keep climbing.

In 2023, Seaford Meadows saw a 6.3% jump in house prices, while Gawler East wasn't far behind with a 7.6% rise. These numbers highlight the growing appeal of these suburbs, offering more bang for your buck compared to city living.

Infrastructure upgrades are also playing a big role. Gawler East is getting better public transport and road links, making it more accessible and attractive to potential homeowners. Plus, the state government is backing housing projects like the 626 new homes at Noarlunga, which should boost property values even more.

Let's not forget the lifestyle perks. Being close to beaches and coastal attractions makes these suburbs a top pick for those craving a seaside vibe. This trend is backed by lifestyle surveys and media buzz, showing a growing interest from buyers and investors.

With all these factors in play, the southern suburbs are set for a steady rise in property prices, offering a sweet spot for those looking to invest in a coastal lifestyle without breaking the bank.

Sources: Realestate.com.au, Realestate.com.au, Star Investment, UDIA SA

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6) Norwood’s property values will rise as it transforms into a cultural and dining hub

Norwood is quickly becoming a cultural and dining hotspot, which is set to boost property values.

With the Norwood Green development, 400 new residents are moving in, bringing a wave of high-quality food and beverage businesses. This influx is expected to drive further growth, making the suburb more vibrant and attractive to potential buyers.

Property sales and rental prices are climbing, with median prices for houses and units rising over the past year. The introduction of new retail and commercial spaces, like those in Norwood Green, signals a growing demand for properties, which can lead to higher property values.

The local government is investing over $58 million in infrastructure and public spaces, enhancing Norwood's livability and appeal. This investment is a clear indicator of the suburb's potential for growth and increased property values.

Positive media coverage, such as blogs about Food Secrets at the Green, highlights Norwood as a cultural and dining destination. This attention attracts more residents and businesses, further boosting property values.

The growth in the number of restaurants and cafes, along with events like Food Secrets at the Green, draws on Norwood's culinary reputation. This encourages more dining establishments to open, solidifying its status as a cultural hub.

Sources: Henderson, The Parade Norwood, Mirage News

7) Chinese investors will remain key players in Adelaide’s market, focusing on new developments

Chinese investors are a major force in Adelaide's real estate market, and this isn't changing anytime soon.

In 2022–23, they poured a hefty $3.4 billion into residential properties across Australia, showing their strong interest in the sector. This isn't just a passing phase; it's a clear sign of their ongoing commitment to Australian real estate.

Australia topped the list for Chinese property seekers in 2023, hinting that cities like Adelaide could see more action from these investors. The Juwai IQI Report even ranks Australia as the number one choice for Chinese buyers, with many planning to move overseas soon. This means Adelaide's property market is likely to stay hot.

Chinese buyers are particularly drawn to new developments, which is a big deal for Adelaide. In 2023, they made up a significant chunk of offshore spending on Australian homes. New developments are attractive because they help avoid extra costs tied to non-resident purchases, making them a smart choice for these investors.

Real estate market reports often highlight the key role of Chinese buyers in driving new projects. This trend is expected to keep going strong, as these investors continue to favor fresh developments over older properties.

Sources: Prime Capital, Property Update, Property Update

8) Adelaide's residential market will see more foreign investment as international travel resumes and global interest in Australian real estate rises

Foreign investment in Adelaide's residential market is on the rise as international travel picks up and global interest in Australian real estate grows.

In recent years, especially around 2023 and 2024, Adelaide saw a noticeable uptick in foreign property purchases. Suburbs like Unley, Norwood, and North Adelaide have become hotspots due to their closeness to the city, excellent amenities, and promising growth potential. These areas are not just appealing to locals but are also catching the eye of international investors.

With international flights to Australia increasing, as noted in 2025, more foreign investors are likely to visit and consider buying properties in Adelaide. This surge in travel is a sign of growing interest in Australian real estate, driven by the country's stable economy and high-quality properties.

Australia's reputation for stability and quality is attracting global investors who are looking for secure markets. This trend is particularly evident in Adelaide, where the residential market is expected to benefit from the resumption of international travel and heightened global interest.

Foreign investors are drawn to Australia not just for its economic stability but also for its strong rental markets. This makes Adelaide an attractive option for those looking to invest in real estate, as the city offers both growth potential and rental income opportunities.

As international travel resumes, Adelaide's real estate market is poised to see increased foreign investment. The combination of a stable economy, high-quality properties, and appealing suburbs makes it a prime destination for international buyers.

Sources: Broadland Estates, SBS News

statistics infographics real estate market Adelaide

We have made this infographic to give you a quick and clear snapshot of the property market in Australia. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.

9) Property prices in the western suburbs may dip slightly as new developments boost supply

The western suburbs of Adelaide are buzzing with new housing developments.

Take Seaton, for instance, where a major redevelopment is in full swing, planning for 865 houses and townhouses, plus 450 apartments. This boom in housing is set to shake up property prices in the area.

Back in the 2024-25 State Budget, a hefty $425 million was earmarked for redeveloping 36.4 hectares at Seaton, aiming to build 1315 homes. Such ambitious projects are bound to stir up the real estate market.

Historically, when new developments flood the market, property prices often stabilize or even dip. In Seaton, with its ongoing transformation, property prices are expected to adjust as the supply increases.

For potential buyers, this could mean more options and possibly better deals as the market adapts to the influx of new homes. The western suburbs might just be the place to watch if you're considering a property purchase.

As new developments continue to rise, the western suburbs will likely see a slight decline in property prices, offering a unique opportunity for savvy buyers.

Sources: We Are SA, Loans.com.au

10) Adelaide’s property prices will stabilize after rapid growth, creating more opportunities for strategic investments

Adelaide's property market has been a wild ride, but now it looks like things are calming down.

In recent years, prices shot up fast, but by November 2024, the median house price in Adelaide increased by only 0.7%. This is a big change from the rapid growth we saw before. Major banks like NAB and Westpac are also predicting a slowdown, with growth rates of 7.9% and 4.0% in 2025, respectively. This means prices are still going up, but not as quickly.

CoreLogic's data backs this up, showing a shallow dip in property prices after a big surge. This suggests that the market is finding its balance. The South Australian Government is also stepping in with projects like the Dry Creek expansion and the Housing Roadmap. These initiatives are expected to boost housing supply significantly, which should help ease the housing shortage.

With more homes being built, the demand and supply in the market could start to even out. This is good news for potential buyers looking for strategic investments. The Dry Creek project alone plans to add 15,000 new homes, which is a huge step towards tackling the housing crisis.

These government efforts are crucial in managing urban growth and ensuring that Adelaide's property market doesn't overheat again. The Housing Roadmap has already seen over 1,000 new allotments approved for construction, showing real progress in addressing the issue.

So, if you're thinking about buying property in Adelaide, now might be a good time to keep an eye on the market as it stabilizes.

Sources: OpenAgent, Glam Adelaide, Glam Adelaide

11) Coastal rental yields will rise as more people seek lifestyle properties by the beach

Coastal properties are becoming increasingly popular, especially in places like Adelaide.

In 2023 and 2024, there was a noticeable surge in interest for beachside living, with median house rents in some suburbs hitting between $280 and $350 a week. This shows that more people are drawn to the relaxed lifestyle that comes with living near the beach.

Rental prices in these coastal areas are climbing faster than those in inland regions. For instance, Elizabeth South experienced a 5.7% rise in rental yields compared to the previous year. This trend suggests that as more people flock to these attractive spots, rental prices naturally go up due to increased demand.

People are shifting towards lifestyle-oriented living, valuing the quality of life and amenities found in coastal areas. Surveys and market analyses back this up, showing a strong preference for beachside living among renters. Airbnb data has shown that vacation rentals in coastal areas can earn up to twice the rental income compared to inland properties.

Sources: Real Estate, Rent Bottomline, Investorkit

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12) Rental yields in the Adelaide Hills will stay stable as demand matches supply

Rental yields in the Adelaide Hills are expected to stay steady as demand and supply find their balance.

The area is a magnet for families, young professionals, and retirees, all drawn by its quality of life. This consistent interest keeps the rental market strong, with low vacancy rates and rising rental yields. The charm of the Adelaide Hills is a big pull, making it a stable choice for property investment.

New housing developments are limited due to the region's geography and planning rules, but this hasn't dampened demand. Instead, it pushes property prices up, creating a balanced market where supply constraints meet strong demand. This balance is key to maintaining stable rental yields.

Vacancy rates are impressively low, with PropTrack data showing 0.7% in Adelaide and 1.22% in regional South Australia as of July 2024. This indicates a strong landlord’s market, where properties are snapped up quickly, ensuring steady rental income.

The Hills offer a unique mix of rural charm and easy access to Adelaide’s urban perks, attracting both local and interstate buyers. This blend supports ongoing demand for rentals, as more people seek the best of both worlds.

Remote work trends have also made the Hills more appealing. Professionals looking for a better work-life balance find the area ideal, further boosting demand for rental properties. This shift in work culture is a boon for the rental market here.

Sources: Phoenix Lending, Loans.com.au

13) Suburban rental yields will dip slightly as favorable interest rates encourage more people to buy homes

In Adelaide, more people are buying homes instead of renting due to favorable interest rates.

With rising home loan approvals, it's clear that buying homes is becoming more popular. This trend, noticeable since 2023, means fewer people are looking to rent, which can slightly lower rental yields.

Interest rates have dropped, making monthly mortgage payments more affordable. This shift encourages more people to buy homes, reducing the demand for rentals.

Surveys highlight a growing preference for homeownership, as many see it as a better long-term investment. This mindset shift is contributing to the decline in rental demand.

People are drawn to the idea of owning a home for the stability and financial benefits it offers. This change in perspective is nudging more individuals towards buying rather than renting.

As more opt for homeownership, suburban rental yields are expected to decline slightly, reflecting the changing dynamics in the housing market.

Sources: RateCity, Norada Real Estate, Star Investment

While this article provides thoughtful analysis and insights based on credible and carefully selected sources, it is not, and should never be considered, financial advice. We put significant effort into researching, aggregating, and analyzing data to present you with an informed perspective. However, every analysis reflects subjective choices, such as the selection of sources and methodologies, and no single piece can encompass the full complexity of the market. Always conduct your own research, seek professional advice, and make decisions based on your own judgment. Any financial risks or losses remain your responsibility.