Invest
Exodus: How Boomers are transforming this city’s market
As Australia’s Baby Boomer generation head into retirement, the prospect of downsizing also becomes a reality. For one Australian city, this trend is having a “major impact”.
Exodus: How Boomers are transforming this city’s market
As Australia’s Baby Boomer generation head into retirement, the prospect of downsizing also becomes a reality. For one Australian city, this trend is having a “major impact”.
Demand for higher density living options in Perth is set to grow significantly as Baby Boomers head into retirement, the chief operations officer for Professionals Real Estate Group in Western Australia and the Northern Territory, has said.
Shane Kempton pointed to the ABS figures for the last six months of 2017, which show there were 2,854 higher density homes, like apartments, granted building approval in the city.
Commenting on this, he said, “This represented 32 per cent, or nearly one-third, of the total number of homes given building approvals in Perth over this six months period.
“Traditionally, the Perth real estate market has been dominated by larger, family-style homes but this is now rapidly changed due to our ageing population and the fact that more people are living alone.”
The ABS predicts that by the end of 2021, 23 per cent of all Western Australians will be 60 or over. That’s compared to 15 per cent in 2001.
Mr Kempton said, “This population shift will have major implications for the Perth real estate market and in particular result in a growing demand for higher density homes.
“Already this trend is being evidenced with professionals experiencing a rising demand for new apartments, town houses and villas from Baby Boomers who are selling their large family home and wanting to live in a new, [low] maintenance home close to social infrastructure such as shopping centres.”
He said the trend has manifested in the construction of apartment developments in areas like Rockingham, Midland and Joondalup, which are all outside of the inner city.
Continuing, Mr Kempton highlighted that more than 100 new higher density homes were approved for building in Joondalup over the second half of 2017.
“This downsizing trend will set to accelerate as the population of Perth continues to grow and the government seeks to encourage higher density living to limit urban sprawl,” he said.
“The pressure to encourage higher density living in Perth has been highlighted by recent population projections by Infrastructure Australia, who predicted that the population of Perth could surge to 4.4 million people by 2046.”
Mr Kempton added that the downsizing trend is also evidenced by home buyers embracing the idea of buying properties off the plan.
“Many higher density homes such as apartments are now sold off the plan before construction and Professionals expects this trend to become even more popular of the coming decades,” he said.
For those considering an off the plan purchase, Mr Kempton said it’s important to remember that the physical space of the property is critical as more spacious homes are often easier to resell.
Additionally, it’s a good idea to check with the developer’s previous clients to ensure that you will be happy with the finished product.
Taking the development plans onsite will also help prospective buyers ascertain the potential views, and understand the dollar gains or losses these views will provide.
Property
Ace a rental application in 5 simple steps
In many areas across Australia, the rental market is becoming increasingly competitive, so how do you ensure your application will stand out? ...Read more
Property
Population falls could see Australia with 232,000 vacant dwellings
The shutdown of international borders could cut demand for Australian housing by as much as 232,000 dwellings over the next three years, according to research. ...Read more
Property
How will border closures impact the property market?
Despite falling migration levels, property prices might not be impacted as much as investors think, an industry expert has explained. ...Read more
Property
Sydney, Brisbane, Melbourne tipped to surge: Westpac
One of Australia’s largest banks is forecasting strong growth in the housing market as low interest rates and availability of credit pushes prices up, despite the country being in its first recessio...Read more
Property
Is now the right time to make a tree or sea change?
The experience of isolating in our homes and suburbs has made many people reconsider what they actually value in a home, writes David Hancock. ...Read more
Property
Hot Property: Biggest headlines this week
Victoria’s COVID-19 restrictions have begun to lift as the rest of the country watches on: Here are the biggest property stories from this week. ...Read more
Property
Post-pandemic hotspots revealed
With investors eyeing investment opportunities, which hotspots are set to benefit? ...Read more
Property
Houses fall by nearly $100bn
The COVID-19 pandemic has seen a correction in the housing market, with capital cities falling by $98 billion in total value, official figures have shown. ...Read more
Property
Ace a rental application in 5 simple steps
In many areas across Australia, the rental market is becoming increasingly competitive, so how do you ensure your application will stand out? ...Read more
Property
Population falls could see Australia with 232,000 vacant dwellings
The shutdown of international borders could cut demand for Australian housing by as much as 232,000 dwellings over the next three years, according to research. ...Read more
Property
How will border closures impact the property market?
Despite falling migration levels, property prices might not be impacted as much as investors think, an industry expert has explained. ...Read more
Property
Sydney, Brisbane, Melbourne tipped to surge: Westpac
One of Australia’s largest banks is forecasting strong growth in the housing market as low interest rates and availability of credit pushes prices up, despite the country being in its first recessio...Read more
Property
Is now the right time to make a tree or sea change?
The experience of isolating in our homes and suburbs has made many people reconsider what they actually value in a home, writes David Hancock. ...Read more
Property
Hot Property: Biggest headlines this week
Victoria’s COVID-19 restrictions have begun to lift as the rest of the country watches on: Here are the biggest property stories from this week. ...Read more
Property
Post-pandemic hotspots revealed
With investors eyeing investment opportunities, which hotspots are set to benefit? ...Read more
Property
Houses fall by nearly $100bn
The COVID-19 pandemic has seen a correction in the housing market, with capital cities falling by $98 billion in total value, official figures have shown. ...Read more
More articles
Website Notifications
Get notifications in real-time for staying up to date with content that matters to you.
