RP Data shows soft markets across major cities

The definition of a 'soft market' is one where there are more sellers than buyers - meaning more competition between vendors and the potential for a reduction in prices.

In the residential property market, this can be good news for potential buyers, as they may be able to purchase real estate that would otherwise be beyond their financial capacity.

According to the latest results from the RP Data-Rismark Hedonic Daily Home Value Index for May 2012, every capital city in Australia is experiencing some form of soft market practices - with the exception of Adelaide.

The capital of South Australia stood alone from the rest - registering growth of one per cent over the first quarter - which could be a result of the strength exhibited in what the report calls "affordable markets".

RP Data's research director Tim Lawless explained: "It is clear that the market is becoming increasingly price point driven."

Mr Lawless went on to point out that this was also evident in the types of real estate that were becoming popular - with apartments more in demand that detached housing.

With Adelaide's median house prices of $370,000 well below the eight-city average of $470,000, it could be that the new trend amongst buyers is set to remain on low-cost purchases.