High-net-worth immigrants are being steered toward Adelaide, which may outperform other Australian cities in the next 3-5 years due to tight housing supply and stable prices. The government cut AUD 865 million from immigration processing, creating delays.
Chapters
And then I look at the fact that Australia is fortress Australia. They've just done the predictions of the high net worth individuals and people are going to majority going UAE and then Australia number two. So we've got all these high net worth people with money and then we've got this, you know, PR tally of numbers and if you get to a certain number, you go into the drawer and then maybe you're going to become an Australian citizen. So, so we've got this going on and they're telling people to go to Adelaide. And so I'm listening to all of this and I'm like, but wait a second, where are the immigrants? Like, we still have low unemployment, the jobs aren't being filled up. So I went a little bit step further and found out that over the last two years the government's actually pulled, I think it's 865 million out of the Department of Immigration. So there's no one to actually process any of these things. So they're three to four months behind. Because I'm like, when's the timing? When's the timing? So I think that, you know, so where that ramble is going and how I kind of pattern that out is that, you know, I know that immigration people go to where the jobs are and they're going to go to Sydney and Melbourne and then there's the other and often that's Brisbane due to, you know, the climate and lifestyle. But I think Adelaide is going to be the push by the professionals that these immigrants are dealing with. So yes, Melbourne's still on track to being the biggest capital city by 2050. And from an affordability point of view and job point of view, it makes sense. But I reckon Adelaide in the next three to five years is going to continue on this kind of trajectory that we've seen, trajectory that we've seen over the last year, which has just been phenomenal.
Now look, I agree Adelaide very rarely hits the headlines, but it also very rarely hits the bottom. So if people are looking for a more secure asset where property prices are much less likely to drop and drop significantly, but conversely much less likely to increase significantly, except for what we've seen the last year, then Adelaide is certainly a good choice. Now I'm obviously biased because I live here, but you know, I know a little bit about property, I live in Adelaide. So when you look at, when you look at it objectively and Covid has certainly probably helped us more than hindered us, unlike some other places around the world where they had severe lockdowns the lights are looking quite bright for Adelaide and other areas. Look, I think. I think southeast Queensland is still going to do well. The problem with southeast Queensland is there's a big supply of land. You know, the distance between Brisbane and the Gold coast is quite big and there's still lots of vacant land in the area.
Yeah, right.
But in Adelaide, for those people that don't know the southern part, we are restricted by vineyards. They are not going to let Europe up the vineyards to build more houses. So if they want to build more houses south, they have to leapfrog the vineyards and build further down the Adelaide hills. They will not let you build on the hill space zone. So there is restricted supply. If you want to live in the hills, you have to leapfrog the face and go to the next range of hills north. One of the other reasons I'm not a big fan of the north. There's an endless supply of land out north, so they can keep building out north. Even though they've got agricultural land, it's not as fertile as it is down south.
Yep.
So we, Adelaide, from a supply issue, is much more restricted than, say, southeast Queensland.
