The Australian property market has done an about-face as the nation deals with the coronavirus, producing major shifts in the balance between first-home buyers and investors as well as a preference for houses over units.
Government homebuyer incentives and a preference for low density have seen the number of first-home buyers increase and turn away from apartments, which were traditionally the ‘point of entry’ into the market as well as being low maintenance.
Meanwhile, property commentator Pete Wargent of BuyersBuyers.com.au says, “Low maintenance units have often been popular with investors and non-resident buyers, but these buyer numbers are well down from their cyclical peaks. Most homebuyers are now looking at houses and in part this is a shift away from density at a time when many are seeking space.”
In April 2020, a survey by MCG Quantity Surveyors revealed that investors preferred new buildings over established ones because of tax advantages, with a trend more towards lower density than higher density.