First published 2 Nov 2026, 12:30am
Adelaide homeowners have lost $44,000 on the value of their houses in the past five months as the median price dropped for the fifth consecutive month.
The city once again suffered the greatest value drop of any capital, new data shows, with values down for the fifth consecutive month.
According to realestate.com.au’s November Home Price Index, Adelaide’s median home value dropped 0.6 per cent or $8,000 last month – and is down 3.4 per cent from its peak in May.
Houses took a hit – down 0.6 per cent or $9,000 for the month from a $990,000 median to $981,000.
The median house price was $1.025m in June.
Adelaide’s median combined dwelling value – that of both houses and units – currently sits at $907,000, and is down from $915,000 last month.
Adelaide unit prices followed suit, dropping 0.1 per cent or $5,000 for the month from a $681,000 median to $676,000.
Despite this, values are still up over the past 12 months, with Adelaide’s combined dwelling price sitting 3.1 per cent higher than this time last year, its median house price 3 per cent higher than last year, and its unit price 3.7 per cent higher than last October.
Prop Track senior economist Eleanor Creagh
Report author, realestate.com.au senior economist Eleanor Creagh said it was striking how quickly South Australia’s market conditions had shifted.
“Adelaide’s gone from being one of the strongest housing markets to recording the largest monthly price falls of any capital two months in a row now,” she said.
“It comes after five years of extraordinary growth, but higher interest rates and deteriorating affordability are now taking a much greater toll on buyer demand in Adelaide.
“Values are up more than 60 per cent, but we know that sustained growth has eroded much of the city’s former affordability advantage.
“And with the median dwelling value now sitting over $900,000, high mortgage rates are placing an increasingly significant constraint on what buyers can afford in Adelaide.
She said Adelaide was particularly exposed to that borrowing capacity squeeze
“A fifth rate rise would not only compound the impact of the previous four increases with the full effect of tighter monetary policy still working its way through household budgets and housing demand, but with some further tightening anticipated, another increase I think would reinforce the likelihood of further sharp price falls over the coming months,” she said.
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Regional SA’s median combined dwelling value held steady over the past month to remain at a record peak of $531,000.
Houses dropped 0.1 per cent to land at a $540,000 median, with units holding steady over the month to a $458,000 median.
Their 12-month growth was also solid, with regional SA’s combined dwelling value and its house value sitting 10.2 per cent higher than was reported this time last year; and its unit price 9.7 per cent more than last October.
Ms Creagh said Australia’s more affordable properties like units and regional properties were weathering the storm better than its higher-value metropolitan counterparts.
“Generally we’re seeing more affordable regions and property types are holding up better with respect to prices as borrowing capacities have been significantly reduced after the four interest rate rises this year,” she said.
Ray White Group chief economist Nerida Conisbee
Ray White Group chief economist Nerida Conisbee said higher interest rates were pushing established prices lower and the budget had further weakened the supply of rental properties.
“Lower established prices then make new development harder to stack up,” she said.
“If fewer projects proceed, fewer homes are built and the housing shortage becomes worse.
“A housing shortage does not stop prices falling when borrowing capacity is being hit by higher rates.
“But it does make a prolonged downturn harder to sustain if fewer homes are being added at the same time.”
She said the post-Budget market was more complicated than simply lower house prices.
“Established prices are falling, rents are still rising, new housing is becoming more expensive and approvals remain below the level Australia needs,” she said.
“The risk is that today’s price falls make tomorrow’s housing shortage worse.
“If weaker established prices discourage new development while investor demand continues to retreat, Australia ends up with fewer rentals and fewer new homes.”
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