Adelaide’s prestige property market has been revealed as the best in the country for growth opportunity, a new report shows.
Herron Todd White – Australia’s largest property valuation and advisory firm – has just released its Prestige Property Index, with Adelaide scoring the highest result of any capital city.
Measuring market conditions on a scale of 0 for stagnant to 100 for frenzied, Adelaide topped the nation with 70, making Adelaide the most attractive prestige market in the country, as buyers become price sensitive due to growing economic uncertainty and rising interest rates.
Nationally, Australia’s capital cities scored a combined 61 out of 100 – down from the previous month’s 65, reflecting softer sentiment among high net-worth buyers – further highlighting Adelaide’s strength on the national stage.
Adelaide’s property market has been revealed as the nation’s best for potential growth. Picture: Brenton Edwards
Herron Todd White valuer James Khabbaz said there were early signs of a sentiment shift in the Adelaide market.
“Prospective purchasers at the prestige price point are placing a strong preference on properties not requiring any renovation/ refurbishing work,” he said.
“This is reflected by 11 The Avenue, Medindie which is currently under contract for a price not yet disclosed, however for an amount that is understood to be a record residential sale price for Adelaide.
“Demand for properties at this level of the market requiring renovation/refurbishing works is diminished, with agents reporting slower inquiry and at times extended negotiation required to execute a sale.”
Mr Khabbaz said as the broader prestige market shows signs of a sentiment shift, appropriate pricing remains critical.
“Continued uncertainty around current global events, local economic conditions, further expected inflationary pressure and the ripple effects of property and other asset-related tax reform in the May 2026 budget are resulting in more cautious buyer behaviour in the prestige market,” he said.
MORE NEWS:
103yo seller farewells beloved home at auction
Adelaide home with X-rated feature that’s blowing buyers away
Adelaide homeowner to make $1.5m doing absolutely nothing
$74,500 more than last year – Adelaide home prices surge
How much you need to save to buy in every Australian suburb
Shock $20k hack changing Aussie lives
Herron Todd White CEO Peter Maloney said Australia’s property market was navigating one of the most complex economic environments in years.
“Higher interest rates, elevated construction costs and ongoing supply constraints continue to place pressure on households, businesses, property values and rental markets nationally,” he said.
“At its core, the biggest issue facing Australian property remains supply.
“Australia is simply not delivering enough housing to keep pace with population growth and demand.”
Mr Maloney said Adelaide’s prestige market continues to benefit from comparatively strong value relative to the eastern states, tightly held premium housing stock and ongoing demand for high-quality turnkey homes.
Peter Maloney CEO Herron Todd White
“Adelaide is currently the standout prestige market nationally according to the latest HTW Prestige Index,” Mr Maloney said.
“Compared to Sydney and Melbourne, Adelaide continues to offer relative value at the premium end, while still delivering strong lifestyle appeal and tightly held prestige locations.”
The report revealed found softer demand for properties requiring significant renovation, and increased hunger for architecturally designed, move-in ready homes.
It also reported increased price negotiation and longer selling periods.
The state record for an on-market sale is $12.5m for a stately mansion at 4 Victoria Ave, Unley Park in August last year, while the record off market transaction was $13.5m for Mary Kotses’ – who purchased the Anglican Archdiocese’s $10m showpiece Bishops Court at 45 Palmer Place, North Adelaide – property, also at North Adelaide at 70 Pennington Tce in February, 2021.
Jamie Brown of Booth Real Estate
Booth Real Estate agent Jamie Brown, who sold Bishop’s Court and who currently has 11 The Avenue, Medindie under contract, said the sale would recalibrate Adelaide’s prestige property market.
“Once I sold Bishop’s Court, that set a new benchmark and it showed to the market there was confidence there at that price point, and since then there have been 10 to 12 eight-figure sums achieved across Adelaide,” Mr Brown said when the property hit the market in March.
“Bishop’s Court would now be worth $16m to $17m, and Pennington Tce is probably $17m to $18m now.
“There are other properties that are worth this and more in Adelaide, and once one goes, a bit like Bishop’s Court did, it will set the pace and there will be more like it come on over the coming few years.
“So it will recalibrate the top end.”
English (US) · 