Key Growth Suburbs In Australia #10 Largs Bay

Largs Bay

Located just 16km northwest of Adelaide CBD, Largs Bay is a peaceful, family-friendly suburb on the coast. Despite a house price growth of 16.3% over the past 12 months, Adelaide’s is still lower than other capital cities. This quietly consistent property market is now deservedly gaining attention from investors.

According to realestate.com.au, median property prices over the last year range from $694,000 for houses to $370,000 for units. Houses in Largs Bay rent out for $450 per week, with an annual rental yield of 3.4%. Units rent for $288 per week, with a rental yield of 4.0%. Based on five years of sales, Largs Bay has seen a compound growth rate of 8.7% for houses and 2.3% for units.

Over the 12 months to December 2020, Adelaide’s growth was gradual although consistent, with a 6% increase in house price growth, according to Domain Property Prices. Data released by realestate.com.au suggested that between 2019-2020, Largs Bay property views rose by a huge 86%. Additionally, over the 2020 period units lost in favour across property markets nationwide although they held out in Adelaide and saw a 13.5% growth in prices - this was the highest growth recorded in 12 years, beating all other capital cities.

Adelaide is forecast to have the highest property growth behind Brisbane over the next three years, which is expected to have a 20% increase. A recent report by BIS Oxford Economics has predicted the median property price in Adelaide will hit $550,000 in three years, up from $495,000.

The following table represents the median house and unit prices in Largs Bay, providing you with an overview of how prices have fluctuated from November 2020 to October 2021 (ref: realestate.com.au)

Market TrendsRecent research from Domain has found that Adelaide was the only state capital (apart from Hobart) that had not a single suburb where rents fell in the past five years.

Additionally, a report by the University of Adelaide school published in August revealed that, of the past two downturns in the economy, prices dipped in Adelaide by only 0.2% in 2012, and then actually rose in 2019 by 0.4 % - it was the only state capital where prices didn’t fall.

The report’s author Peter Koulizos, program director of the Master of Property and chairman of the Property Investment Professionals of Australia stated the following:

“It’s a very stable market, and COVID-19 has turned it into an even more attractive proposition as so many people are relocating from the bigger cities to the regional areas and smaller capital cities. I spoke to someone the other day whose son worked in Sydney who’s now moved back to Adelaide, working remotely on a Sydney wage but on Adelaide expenses.”

Amongst our nation’s property market peaks and troughs, Adelaide has been quietly consistent and is now deservedly gaining attention from a large number of investors.

PopulationThe 2016 Census documents the population of Adelaide as being 1.306 million and this number is forecast to steadily grow in the decades to come.

It’s difficult to find a property market that offers a better mix of affordability and lifestyle than Adelaide. Despite being one of Australia’s most affordable capital cities, Adelaide boasts a wine and dining scene to rival the bigger cities. With plenty to offer, it’s not a surprise that Adelaide attracts both local homebuyers and those from other states who are in search of more affordable opportunities. From contemporary apartments to stone cottages, Adelaide offers property options to suit every preference and budget.

If you’d like to learn more about Australia’s key growth area, click on one of the following suburbs:

• Forster, NSW
• Corio, VIC
• Coolum Beach, QLD
• Lovely Banks, VIC
• Indooroopilly, QLD
• Byron Bay, NSW
• Park Ridge, QLD
• Ivanhoe, VIC
• Hobart, TAS

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