If you’re looking to snap up a new home at a bargain price, there are two capital cities to ‘shop’ in: Adelaide and Hobart.
According to realestate.com.au Insights, all 10 of Australia’s most sought-after affordable suburbs fall in South Australia and Tasmania.
“Adelaide and Hobart are the most affordable capital cities in Australia which is why nicer suburbs come up at cheaper price points,” realestate.com.au chief economist Nerida Conisbee told Yahoo Finance. “The suburbs are cheap but they are still nice.”
It’s not the first time Adelaide has been pinpointed as a property hotspot: last year, hotspotting.com.au managing director Terry Ryder said Adelaide was the most “underrated” property market.
“Rosewater in Adelaide, only 10km from the Adelaide CBD and containing some lovely period homes, is currently the most in-demand affordable suburb in Australia,” Conisbee said.
“Rosewater is pretty close to the city plus also has some period homes which people like to do up as they have a lot of character. Many of the suburbs are similar to this. They have amenity and the homes are usually older but can be improved.”
The median price for homes in this area is $393,000.
Aside from Rosewater is Kersbrook, where houses can be purchased for around the $310,000 mark, Kensington Gardens ($391,000) and O’halloran Hill ($400,000).
Six Tasmanian suburbs also made the cut, led by Hobart’s New Town, which lies just four kilometres north of the city’s CBD. The inner-city residential suburb faces River Derwent and is lined with Federation-style cottages.
“Coming in at number two is New Town in Hobart where it might not be possible to purchase a house for under $400,000, but you can certainly get a unit,” said Conisbee.
“Not a bad price for waterside living.”
Primrose Sands, Glenorchy, Claremont, Rokeby and Berriedale were also named as in-demand yet affordable suburbs.
For bargain hunters or those on a budget, Adelaide and Hobart may be much more appealing than their bigger-city counterparts: the median house in Sydney is upwards of $1 million, while units are typically more than $740,000, according to Domain’s March 2020 house price report.
Meanwhile, the median house price in Melbourne sits above $900,000, while units are a more affordable $550,000.