Nairne SA Property Investment

Adelaide Hills · 5252 · Score: 62/100 · Hold

Median House Price
$856K
Rental Yield
3.6%
Vacancy Rate
0.8%
Median Weekly Rent
$600/wk
Median Unit Price
$621K
Population
5,327
Days on Market
20 days
Annual Growth
9.5%

Nairne Short-Term Rental (Airbnb) Market

Avg Nightly Rate
$520.88/night
Occupancy Rate
42%
Est. Annual Revenue
$80K
AI Investment Analysis

Nairne SA Investment Brief

HOLD3.6% gross yield on a $855,874 median.

THE MARKET

Nairne has compounded at 3.0%/yr over 5 years — a house that cost $738,284 in 2021 is worth $855,874 today. Properties are sitting on market for 20 days (sellers have the leverage). At the same growth rate, today's median reaches $992,193 by 2031.

  • Median house: $855,874 | Units: $620,583
  • Gross yield: 3.6% | Net yield: 2.1%
  • 5yr price CAGR: 3.0%/yr | 3yr forecast: 13.5%/yr
  • Population: 5,327 | Owner-occupier rate: 80% | Affluence: Above Average
  • Supply pipeline: Low — Price growth outpacing new supply, limited development pipeline

RENTAL SNAPSHOT

  • Vacancy: 0.8% (improving) | Rental demand: Very High
  • Median weekly rent: $600/wk | Days on market: 20 (improving)
  • Landlord market — rents likely to keep rising.

SHORT-TERM RENTAL

  • Median nightly rate: $521/night | Occupancy: 42%
  • Estimated annual STR gross: ~$79,851/yr
  • vs long-term rent: $31,200/yr (+156% STR premium — factor in higher management costs)

INFRASTRUCTURE & CATALYSTS

  • No major confirmed infrastructure projects on record.
  • Transport: Mount Barker station 5.6km away

BULL CASE

If Nairne maintains 3%+ annual growth and vacancy stays below 0.8%, median prices could reach $984,255 within 3 years with yields compressing slightly as capital values rise.

BEAR CASE

A market correction or interest rate shock could see prices in Nairne pull back 10-15% from $855,874, with vacancy rising to 1.4% and rental yields softening as tenants gain leverage.

KEY RISKS

  • Bushfire risk: HIGH (planning_overlay) — confirm BAL rating and any bushfire overlay obligations for the property

COMPARABLE MARKETS

  • Elizabeth (SA): $817,500 median, 3.1% yield, 0.0% 1yr growth
  • Gepps Cross (SA): $912,646 median, 1.9% yield, 2.1% 1yr growth
  • Elizabeth Park (SA): $671,000 median, 3.9% yield, 16.7% 1yr growth

THE PLAY

Nairne offers balanced fundamentals but does not present an urgent buying signal. The market is in a cooling phase with low vacancy risk. Monitor vacancy trends and price movements over the next 6-12 months. Only enter if a property can be acquired at or below median pricing with yields exceeding 4.2%.

  • Entry range: $770,287$941,461
  • Minimum gross yield to target: 4.5%
  • Watch signal: vacancy staying below 2% and days on market holding under 35

This analysis is for informational purposes only and does not constitute financial, legal, or investment advice. Seek professional advice before making investment decisions.

Gentrification Index

Pre-gentrification3.0/10
Middle-tier SEIFA — moderate gentrification pressure
Outer suburban location (30.2km to CBD) — slower gentrification cycle
Active development pipeline (852 approvals) — supply attracting new residents

Growth Forecast

high confidence
1yr Forecast
3.2%
p.a.
2yr Forecast
2.9%
p.a.
5yr Forecast
2.6%
p.a.

Basis: 5yr CAGR 3.0% + 10yr CAGR 3.5%

Growth drivers
  • +Very tight rental market (vacancy 0.8%) — upward price pressure
  • +Active market (20 days avg)
Headwinds
  • High supply pipeline (852 new approvals) — may cap price growth

Suburb Metric Thresholds

5 green8 yellow3 red
Rental Vacancy Rate
0.8 high impact
Days on Market
20 high impact
Weekly Rent (house)
600 medium impact
5yr Price CAGR
2.99 high impact
10yr Price CAGR
3.51 high impact
1yr Price Growth
9.54 medium impact
Population Growth
0.81 high impact
Median Household Income
1768 medium impact
Unemployment Rate
3.9 medium impact
Public Transport Score
5 medium impact
School Zone Quality
6.5 medium impact
Distance to CBD
30.16 medium impact
SEIFA Advantage/Disadvantage
5 medium impact
Owner Occupier Rate
79.7 medium impact
Gross Rental Yield (%)
3.65 high impact
Net Rental Yield (%)
2.15 high impact

Macro Environment

Macro Indicators

Cash Rate

4.35%

0.25%

Cash rate as at 2026-05-06 · Credit data 2026-04

Suburb Supply & Demand

Suburb Supply Pipeline — New Dwelling Approvals

134

2020

169

2021

214

2022

160

2023

175

2025

New dwelling approvals — higher numbers mean more future supply

Socio-Economic Profile

Source: ABS Census 2021

SEIFA Index · Postcode 5252

Most disadvantagedLeast disadvantaged

Decile 7 of 10 — Average

Population

6,783

Education (IEO)

6/10

Econ. Resources (IER)

8/10

10-Year Investment Projection

Modelled on Nairne SA data — rent, capital growth, tax, and depreciation over 10 years.

Pre-filled: $600/wk median rent for Nairne. Capital growth and rent increase are editable assumptions.

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Data sourced from ABS, state government property sales, and Airbnb market analytics. For informational purposes only — not financial advice.