Adelaide has seen the second-highest growth in home values of the Australian capital cities over the past 12 months, behind only the soaring Perth market.
Although property analysts widely expect growth will slow in 2025, SQM Research’s Louis Christopher forecasts the Adelaide market will climb another 8-13% over the next year, depending on broader economic conditions.
Adelaide’s rising property prices have been driven by strong population growth and limited housing supply, with the city’s median dwelling value – $813,716 – now fourth highest out of the capital cities, behind Sydney, Brisbane, and Canberra.
As with many of the country’s fast-rising property markets, it’s the lower-priced segment of the Adelaide market that’s seen the largest gains.
PropTrack data shows it took just over two years for the median house price to double in Elizabeth South, in Adelaide’s North – the fastest rise out of all Australian suburbs. Even so, the suburb remains relatively affordable, with a median house price of $470,000 (as at December 2024).
So, where do experts forecast will be Adelaide property hotspots in 2025?
Median price data is sourced from realestate.com.au and is accurate as at December 2024.
Christies Beach, 5165
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Median house price: $700,000 for houses, $550,000 for units
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Median rent: $550 pw for houses, $500 pw for units
Let’s start with the suburb that’s been nominated by both our Adelaide property experts: National Property Buyers (South Australia) director Kathleen Skinner and University of Adelaide property academic and property investment consultant Peter Koulizos.
Christies Beach is a seaside suburb about 30-minutes' drive south of Adelaide, an area renowned for its picturesque coastline.
Mr Koulizos believes Christies Beach is undervalued given its location and has “great” capital growth prospects.
“It’s on a great beach with surfable waves and close to the Port Noarlunga Aquatic Reserve where you can go diving on the reef,” he said. “And it’s only ten minutes' drive from the McLaren Vale wine district.”
Ms Skinner also points out the suburb is set to reap the benefits of the Witton Bluff Base Trail construction project, now underway. It will improve open space access along the coastline and make significant enhancements to Christies Beach and Port Noarlunga.
“Aside from the esplanade and the beach, is popular Beach Road,” Ms Skinner said. “[It’s] littered with shops, cafes, restaurants, butchers, chemists, doctors, a petrol station, and a Coles, so it really does have everything you need.”
She said families are particularly attracted to the suburb which offers two local primary schools – one government and one public – and easy access to the CBD via the Southern Expressway.
“There are great opportunities for quality developments through the subdivision of larger blocks close to the beach which support high-end properties being built along the coastline,” Ms Skinner said.
“Many will provide sea views with two-storey dwellings and are highly sought after given the lifestyle the suburb offers while providing accessibility to the CBD as well.”
Ms Skinner said quality blocks of land with solid brick homes built in the '60s and '70s are still selling for less than $850,000. For investors, these offer development potential and a strong rental yield of around 4%.
Paralowie, 5108
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Median price: $630,000 for houses, $380,000 for units
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Median rent: $545 pw for houses, $420 pw for units
The residential suburb of Paralowie, around 19 kilometres north of Adelaide, offers “bang for the buck” for those with lower budgets, according to Ms Skinner.
Paralowie is experiencing significant capital growth (more than 22% in the last year), demographic changes, and ongoing demand given its affordability.
“It is a well-serviced suburb with shops, schools, and public transport,” Ms Skinner said. “And if you like nature, the Little Para River on its border provides parks, reserves, and great walking trails.”
Paralowie, like many of Adelaide’s northern suburbs, is still a developing area and its easy access to the CBD via the North-South Motorway is spurring its growth.
“The suburb is redefining itself,” Ms Skinner said. “It has a vibrant multicultural community and is great for families. There are quality private and public schools [and the] emergence of new cafes, restaurants, specialty shops and retail outlets.”
The majority of residents (78%) are owner occupiers, but with rental yields achieving 4.5% or more and a relatively low buy-in price, Ms Skinner said more investors are being attracted to the suburb.
“The properties are a combination of older homes from the '70s, right through the '90s, to the naughties, to new builds,” she said.
There's also a stock of vacant land with block sizes ranging from newer subdivides at 350 square metres through to large original blocks of 800 square metres.
“Paralowie is one of the last pockets with really affordable housing options still providing strong growth potential while attracting quality occupants [as renters],” Mr Skinner said.
Underdale, 5032
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Median price: $970,000 for houses, no data for units
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Median price: $632 pw for houses, $440 pw for units
Mr Koulizos has based his suburb selections on a number of factors. As you’d expect, the first is location: proximity to the CBD and water, as well as a high concentration of character/period style homes and gentrification.
As such, he likes the western suburb of Underdale, located midway between the CBD and the beach – around five kilometres from each.
“I think it is undervalued as it's sandwiched between the more expensive suburbs of Torrensville and Lockleys,” Mr Koulizos said.
Torrensville’s median house price is slightly higher at around $1 million while Lockleys' is around $1.17 million.
Underdale is largely a residential suburb, made up of many character and period style homes with opportunities for renovation to add value, Mr Koulizos said.
The River Torrens Linear Park Trail, a 30-kilometre shared walking/bike path, forms the northern border of the suburb, which lies between Henley Beach Road and the river.
It is home to professionals, families with kids, and young people who are attracted to the area’s lifestyle and amenities.
“The gentrification process is just beginning,” he said.
Alberton, 5014
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Median price: $728,500 for houses, $436,250 for units
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Median rent: $595 pw for houses, $470 pw for units
Alberton is perhaps best known for being home to the Port Adelaide AFL club. The suburb is only small in area, has a population of just under 2,000 people and, according to Ms Skinner, is undergoing significant change.
“You’d be surprised at how much change there can be in one square kilometre,” she said.
Situated 12 kilometres northwest of Adelaide’s CBD, and with an easy commute of around 15 minutes to the city and only four kilometres from the beach, Ms Skinner said Alberton is growing in popularity.
“Its traditional industrial areas are being redeveloped into residential neighbourhoods,” Ms Skinner said. “In older residential parts, there are some absolutely stunning homes – beautiful heritage homes located on wide streets with jacarandas and ancient gum trees.”
Although the suburb is small, there is a local IGA, train station, post office, and pharmacy, and it’s close to the rapidly developing Port Adelaide area with its shops and markets.
Alberton also benefits from its proximity to West Lakes, a suburb developed in the 1970s, which has a Westfield Shopping Centre, Woodlake Shopping Centre, and the West Lakes Golf Club. It is also home to Delfin Island, a residential island within a man-made tidal lake used for boating.
“Alberton once had a bit of a rough reputation, perhaps because it’s home to the working-class Port Adelaide Football Club,” Ms Skinner said. “But like the club, the suburb is evolving and regenerating.
“Residents and visitors speak highly of the community feel, the safe neighbourhood, and the easy access to both the beach and the city. As the home of the AFL team, the suburb also has a lot of local pride, provides quality lifestyle options, and has some of the most beautiful character homes you will see in Adelaide.”
Devon Park, 5008
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Median price: $777,500 for houses, no data for units
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Median rent: $600 pw for houses, $430 pw for units
Devon Park is the closest suburb to the CBD out of Ms Skinner’s four picks, being just six kilometres from the city.
The inner-northern suburb, close to North Adelaide, is another that’s small in size but offers easy access to amenities and the city, Ms Skinner said.
“It’s a forgotten suburb, one that many wouldn’t know existed, which has always made it affordable,” Ms Skinner said. “But as prices continue to grow, this would be one of the last city-fringe locations that offers an opportunity to purchase for under $1 million, with all the conveniences living close to North Adelaide and the CBD provides.”
There are good public transport options, including a train station, while schools, shops, and leafy open parks are within walking distance, Ms Skinner said.
It has mostly traditional-sized homes and blocks, with a sprinkling of newer townhouses (hence the lack of reliable unit price data).
“With its median house price of under $800,000, it’s a great price for an inner-city suburb, especially when you consider that North Adelaide, only two kilometres away, has a median house price of $1.3 million and is very popular,” she said.
The suburb of Prospect, which sits on its eastern border, also has a median house price of $1.25 million.
Kilkenny, 5009
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Median house price: $787,000 for houses, no data for units
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Median rent: $540 pw for houses, $500 pw for units
The inner-northern suburb of Kilkenny ticks all of Mr Koulizos' boxes. Just nine kilometres from the city, he likes its relative proximity to the CBD and believes it’s currently undervalued.
“Kilknenny is adjacent to the prime suburb of West Croydon and is in the early stages of gentrification,” he said.
Indeed, the median house price in West Croydon is currently $1.03 million, but it’s seeing a slower rate of growth than its more affordable neighbour.
Kilkenny’s median house price has jumped 18.3% over the last 12 months compared to West Croydon’s 11% price rise.
Kilkenny has a train station serviced by the Grange and Outer Harbour lines and two primary schools.
It’s described as the ubiquitous “quiet family suburb” but also accommodates some industrial sites and buildings.
Torrensville, 5031
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Median house price: $1,000,000 for houses, $467,500 for units
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Median rent: $645 pw for houses, $440 pw for units
While gentrification is already well underway in Torrensville, Mr Koulizos still likes the suburb’s location between the city and the sea.
Torrensville is located around three kilometres west of the Adelaide CBD and one of its key attractions is Henley Beach Road, a vibrant shopping and eating precinct.
The River Torrens Linear Park is on its northern border and it’s close to a number of private and public primary and high schools.
It's home to a cosmopolitan mix of residents including families, various cultural groups, and those who enjoy the amenities of inner-city living.
“There is also opportunity to add value through renovating the character/period style homes in the area,” Mr Koulizos said.
Torrensville is home to many quality character homes, originally built circa 1880-1920, as well as a supply of more modern townhouses and apartments.
Brooklyn Park, 5032
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Median price: $900,000 for houses, $380,000 for units
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Median rent: $612 pw for houses, $410 pw for units
Further along Henley Park Road is the western Adelaide suburb of Brooklyn Park, located next to Adelaide Airport and about six kilometres from both the coast and the CBD.
Mr Koulizos earmarks it as another undervalued suburb, neighbouring the more expensive Torrensville and Lockleys.
“There are very good capital growth prospects due to its proximity to the city and neighbouring prime suburbs,” he said.
While being close to the airport can be a negative for some buyers, Mr Koulizos considers it a plus, particularly as airports offer considerable employment opportunities.
Airport suburbs can also be popular with those who travel frequently.
Brooklyn Park has a mix of housing stock including century-old bungalows with art deco features, mid-century homes on larger blocks, and more modern townhouses and apartments.
Semaphore Park, 5019
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Median price: $935,000 for houses, $635,000 for units
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Median rent: $600 pw for houses, $492 pw for units
Mr Koulizos nominated another north-western Adelaide suburb, this one located on the coast of Gulf St Vincent.
“It is an undervalued suburb considering its proximity to the beach, Westfield West Lakes, and the prime suburbs of Tennyson and West Lakes,” he said.
Mr Koulizos also likes Semaphore Park’s sandy beach, open spaces, and parks along its coastline.
“It’s also got very good capital growth potential due to its proximity to the beach,” he said.
It seems buyers are already aware of suburb’s prospects with Semaphore Park’s median house price shooting up by more than 20% over the past 12 months.
Largs North, 5016
Finally, another coastal suburb, Largs North on the Leferve Peninsula and about 17 kilometres from the Adelaide CBD.
Largs North has also undergone a significant median price jump over the last 12 months (more than 22%) but Mr Koulizos believes it's “relatively cheap” considering its proximity to the beach and nearby prime suburbs of Largs Bay and Semaphore.
He likes the suburb’s open space, coastal parks, and its retail strip on Semaphore Road and notes prices could be driven up by activity related to Australia’s nuclear-powered submarine program.
“The significant increase in defence work in the construction of the new submarines in neighbouring Osbourne will place upward pressure on property prices and rents,” Mr Koulizos said.
The new submarines will be built at Osbourne Naval Shipyard, around four kilometres from Largs North.
The multi-billion-dollar program is expected to employ up to 4,000 workers during the construction phase of the project and generate around 20,000 direct jobs over the next 30 years.
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