The SA regions house buyers can’t get enough of

The past two years has been a buying frenzy in some parts of regional SA. Find out which towns are still hot property here.

South Australia’s regional areas have been blessed with a buying boom in recent years, fuelled predominantly by Covid lockdowns and buyers desperate for space and a connection to nature.

Interest rates have played their part too, with regional properties often not carrying the price premium of suburbs much closer to the city.

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The combination of this and Adelaide’s affordability compared to other mainland capitals has also proved a powerful lure to interstate buyers.

Naracoorte, in the state’s South East, has recorded the greatest rise in house values since interest rates started climbing in April 2022, with the median house price up 46.9 per cent to $360,000.

One of Naracoorte’s picturesque streets. Picture Dean Martin

And its famous caves. Picture: iStock

SAL Real Estate agent Margot Shortt said the growth in Naracoorte had been driven by the demand for lifestyle properties and rural living.

“That’s still driving the market and we can’t get enough and that’s carried right through the pandemic – Covid really kicked that off,” she said.

“That demand was predominantly from South Australians and locals and people who had been priced out of the Hills.

“We’re seeing a fair bit of downsizing from acreage, and we have more cash buyers in the market than we’ve ever seen.

“There has also been a huge sell-off of rentals in the past two years as investors cash out.”

While the growth had been strong, Ms Shortt said she believes prices were now plateauing.

Peterborough in the state’s mid north, wasn’t too far behind Naracoorte when it comes to growth since April 2022, with values up 45.4 per cent.

The bridge connecting Goolwa and Hindmarsh Island. Pic: Christopher Laught

Kadina, Goolwa and Victor Harbor were nipping at their heels, with values up 39.9 per cent, 39.4 per cent and 34.1 per cent respectively.

Harcourts south coast’s Mark Forde said the Fleurieu Peninsula had seen an explosion of activity in recent years, particularly from interstate due to Covid lockdowns and that this demand was still strong.

“It’s becoming a bit of a more normal market now with days on market extending a bit, but prices are holding and we’re still seeing a lot of interstate interest and a lot of ex-pats coming back,” he said.

“There has been massive development in the region … and commercially, the region has never been stronger.

“Prices aren’t blowing out like they had done at the start of Covid, but if they’re priced right they sell quickly.”

Former Queenslanders Amanda and Chris Birchall at their McCracken home. Picture: Emma Brasier

Chris and Amanda Birchall moved from Brisbane to McCracken in the state’s Fleurieu Peninsula in December 2021 and say it’s a decision they have not regretted in the slightest.

“My wife was born in Victor Harbor and we’d had 12 years in Brisbane and decided we needed to be back around family,” Mr Birchall said.

“McCracken feels like home – we’re not moving anywhere now, we love it.”

Mr Birchall said despite home prices having soared in the region before buying, he still thought he got good value for money.

“Going to home opens and seeing people queuing up to buy the thing, you knew you were either going to be paying absolute top dollar or you weren’t going to get a look in,” he said,

“We don’t regret it at all, because prices seem to still be going up, so I think we did the right thing.”

Originally published as The SA regions house buyers can’t get enough of