The Real Estate Institute of South Australia’s recently appointed president, Michael Brock, said he is bullish about the state’s future.
According to Mr Brock, house prices in South Australia jumped an average of 5 per cent across the board last year and he expects this number to double in 2010.
“The fact that we had an increase in overall prices in 2009 against the backdrop of a global economic crisis is very positive and will set the foundation for the next few years,” Mr Brock told The Australian Financial Review.
He said rising interest rates would do little to dispel the positive growth forecast for South Australia and in particular Adelaide.
Mr Brock believes the greatest demand for property over the coming year will come from investors both foreign and local.
“I spoke to a group the other day and they have 125 Asian investors all looking to spend up to $650,000 each for investment properties in South Australia,” he said.
“Residentially, at the top end there is also a significant [number] of buyers coming in from ASIA and they are competing very strongly.”