Published on July 2nd, 2012
Snapshot of Riverland property market
Shoots of recovery have been evident across the Australian property market in recent months – and according to David Kanizay, branch manager for Elders Riverland, this trend remains evident in South Australia.
Across the state, he estimated that the volume of properties on the market is about double what it was three years ago.
Riverland growth, he explained, is largely consistent with the general trends in the Adelaide housing market – levelling out over the past five to six months.
During this time period, stock numbers have begun to stabilise – in fact, within the Riverland-area, there is some evidence of stock levels reducing. This, Kanizay explained, represents a major change for the positive in the residential property sector.
Another positive development, he explained, is the return of investment buyers to the local property market.
"Investors are starting to make enquiries," Kanizay said. "We're starting to get calls from investors because there's strong rental demand and we're able to offer a better return here than in metropolitan areas."
The return of investors to the Riverland market has signalled renewed confidence in the local real estate sector. Buyers, he observed, are being less conservative with their spending than during the height of the GFC – and while turnaround in the local market remains slow, there are hopes for increases in pricing over the next couple of years.
A more even balance between supply and demand is the result of buyers starting to come back to the market. This has been further boosted by recent rainfall, capping off one of the longest droughts in living memory.
Buyer interest has been piqued when it comes to horticulture properties – Kanizay explained that movement here is positive, although price points still remain very low compared to previous years' figures. However, interest in broad acre properties remains quieter than at this time last year.
Looking forward, Kanizay asserted that new financial support – including a cash injection from the Riverland Futures Fund – could provide a much-needed boost for property in the local area in the months ahead.
Click here to visit the Elders Real Estate Riverland website.