South Australia’s housing market is proving as brutal as ever, with a new global report revealing Adelaide is now one of the most unaffordable cities in the world. The Demographia International Housing Affordability 2025 Edition has ranked Adelaide as the sixth worst globally, placing it alongside some of the most expensive and densely populated cities on the planet, a huge contrast to the city once celebrated for its affordability.
The affordability report measures housing unaffordability using a simple but telling ratio where the median house price is divided by the median annual household income. A score above 10 means the average home costs more than 10 times what the average household earns in a year. This is a measure that paints a clear picture of just how far out of reach the dream of homeownership has become for many.
Conducted by the Chapman University Centre for Demographics and Policy, the report places Hong Kong at the top of the list once again, with a staggering ratio of 14.4. Sydney follows closely behind at 13.8, while San Jose, Vancouver, and Los Angeles all sit above 11. Adelaide, with a score of 10.9, takes sixth place, a figure that would have been unthinkable for the city in the past.
We’re in crowded company, too. Honolulu, San Francisco, Melbourne, and San Diego complete the top 10, while Brisbane and Perth aren’t far behind at 11th and 14th, respectively. Internationally, major cities like London, Miami, and our neighbours in Auckland are also feeling the crunch, showing just how widespread the affordability crisis has become.
For a state that once prided itself on accessible living, Adelaide’s fall into the ranks of the world’s least affordable housing markets marks a dramatic and confronting shift, one that’s being felt across backyards, bank accounts, and dinner-table conversations everywhere.
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