How far does your property dollar travel?
29 Jun
The inner city detached housing market has long been an attractive purchase option, but one that has been out of reach for many buyers due to the relatively high entry price of properties compared to those located further from the city centre. Inner city living holds an appeal for a wide variety of reasons. The CBD is the single largest working node within each capital city and living close by minimises commuting times to and from work. The abundance of retail options provides a high level of convenience and residents have a vast number of social and dining options to choose from. Public transport options are generally widely available and very efficient.
The down side of course is that buying a detached house within ten kilometers of the CBD tends to be quite expensive.
We believe that the cost of detached housing in these inner city areas is likely to remain relatively high and demand quite strong due to the quality provision of infrastructure and amenities in these areas. As a result we expect that densification will continue in these areas as residents demand access to these facilities which in the main simply aren’t afforded to residents that live further away from the city centre. As a result we would expect that more and more unit developments will have to be delivered in inner city areas so that a greater number of residents have access to accommodation close to the city and they aren’t hampered by the high cost of purchasing detached housing.
