The cycle of life
Tuesday 28 Mar 2017
As I have said before I think it is valid to debate measures to improve housing affordability and to focus on the issues facing those seeking to buy their first home but I also think it is worthwhile considering who is buying and why they are buying now. Understanding motivations to buy is good way to understand the validity of the market strength.
One of the key demographics coming through our doors looking to buy a new residential property is the downsizer. These are mature individuals or couples looking for a property that will facilitate a life that is more 'joyous' than 'jobs'. The properties are often no smaller in terms of bedrooms and bathrooms but they are seeking a property that is easier to care for and more convenient for an active social life. These buyers are looking for quality and convenience and they are willing to pay for it. They are buying now quite simply because they don't want to wait even if waiting might mean the market might settle. They are prepared to buy even in the current strong market because they want to hurry up and get on with the next ohase of their life.
And then you have tne professional couples. Equally looking for easy living becuse life is too hectic to manage a renovation. They are also looking for convenience so precious time is not wasted on a commute to work. They are buying now because they can see the financial value in the purchase and they can see the value it will deliver to their lifestyle.
Of course you also have the expanding families. Growing children create growing needs and the demands of a new baby or perhaps life with teenagers won't wait until the market cools.
Which is why we continue to see such strong market demand across Sydney. Too often life is what happens while you are making other plans but in terms of residential property the cycle life is what forces plans to change.
It is why open for inspections are attracting a never ending stream of buyer interest and auctions continue to deliver very healthy results.