Many buyers struggling to fork out the rising cost for a house in South Australia are turning to units – but the sudden spike in demand is driving their prices up at a rapid pace.
Exclusive PropTrack figures reveal unit prices across many suburbs and towns surged in 2025, some more than 20 per cent.
Eight of the top 10 growth areas across the state were for units, the data shows.
Broadview recorded the highest growth for units, with its median climbing 24 per cent over the past year to $669,000.
It was just shy of Port Augusta’s 26 per cent growth for houses, which was the highest for the state.
Murray Bridge, Collinswood and Somerton Park followed close behind with 23 per cent growth, taking their medians to $455,000, $664,000 and $731,000 respectively.
Pooraka was next with a 22 per cent rise, taking its median to $617,000, while Enfield ($596,000), Kilburn ($521,000) and Torrens Park ($695,000) were all 21 per cent higher.
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Founder of Adelaide buyers agency HRISTO and property investor Zach Hristo. Picture: Dean Martin
HRISTO buyers agency founder Zach Hristo had noticed more people were willing to sacrifice a house for a unit if it meant they could buy in their desired suburb, particularly blue-chip areas.
He said opting for a unit in popular suburbs that “don’t go out of fashion” could save buyers thousands and still prove to be a solid long-term investment.
“Or try to get as close to that area as possible in a neighbouring suburb,” said Mr Hristo, who built a $5m property portfolio within Adelaide before the age of 30.
“The difference between a house and a unit in some areas is $1m, that’s where a unit can make more sense.”
Ray White SA chief executive Matt Lindblom said it wasn’t just affordability that was making units more attractive – demand for smaller homes with no or low maintenance yards, as well as younger buyers’ putting off having children or choosing to have fewer or none at all were also driving factors.
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Ray White SA chief executive Matt Lindblom.
First-home buyers, investors and downsizers were all competing for units, he said.
“I think apartment and unit prices are going to continue to grow,” he said.
Affordable areas recorded the strongest growth across the state in 2025, according to the data.
Port Augusta was SA’s top performer, with its median house price surging 26 per cent over the past year to just $300,000.
Mr Lindblom said increased interest from interstate buyers was largely responsible for the rise.
“There are buyers agents in Sydney who are typically pro the yields that homes there are offering,” he said.
“It’s a pretty good rental market there.
“Because the price point is low in Port Augusta, for first-home buyers it’s also attractive – it’s a pretty young population there.”
Mr Lindblom said a similar price surge was seen in the Riverland and Mount Gambier during the Covid pandemic.
“Those price points have now risen so now people are looking further afield,’ he said.
PropTrack economist Anne Flaherty said the majority of the fastest growing suburbs around the country were the more affordable areas, especially those with prices below $800,000.
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PropTrack economist Anne Flaherty.
“Affordability is driving more people to cheaper suburbs,” she said.
She explained that demand for cheaper real estate was also the result of increased activity from investors, who tended to target units in some of the cheapest capital city suburbs.
These investors have typically gone toe-to-toe with first-home buyers who, since October, have been supported by the expanded First Home Guarantee Scheme.
The scheme allows eligible buyers to purchase properties with deposits as low as 5 per cent without needing to pay pricey lender’s mortgage insurance.
– with Aidan Devine
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