The rise of the upsizer in our local market
The rise of the upsizer in our local market
Over the last 18 months or so Sydney siders have realised the significance of their homes like never before. Having spent over 100 days couped up in our properties and unable to travel freely, we have reassessed what is important in our homes. For many of us that might be more space for a home office or gym, or perhaps a garden for the kids to run around in, but in essence a large proportion of buyers are looking for an opportunity to upsize, to find more space.
Before we look at this trend in more detail let’s have a look at exactly what upsizing is and who a typical upsizer is.
What is upsizing and who are they
Upsizing your home refers to moving from one property to another larger property; from a one-bedroom apartment to a larger one with a balcony, from an apartment to a townhouse, from a small house to a larger one with a backyard…you get the idea.
When we think of up-sizing we generally think about the young family looking for a bigger place to raise their kids. However, it is actually very difficult to identify the typical upsizer to the point there really is no such thing. It could be a couple welcoming their first child, or a family with small kids looking for more space. Or retirees choosing to make the most of the money they have made over their lifetime. In essence the typical upsizer is hard to define.
To understand why upsizers are so keen to buy in our area let’s have a look at some local data.
What is happening to the Heathcote, Engadine, and Woronora Heights property market?
Since the start of Covid-19, we have seen a large increase in the amount of people moving out of the inner-city in search for larger, more affordable housing. Since the pandemic according to the ABC, over 36,000 people have left major cities across Australia in search for properties in either rural or outer-city suburbs.
In addition to that, 40% of the CBD workforce who have spent much of 2021 at home, are finding the ‘work from home’ culture will most likely remain to some extent, even after the pandemic. This is enabling homebuyers to broaden their location wish list to include areas that offer better lifestyle and community options. These areas are often further out from the city and boast larger blocks and recreation options right at your doorstep.
Another reason we are seeing so many upsizers is due to the fact interest rates are at an all-time low. This is underpinning consumer confidence as home buyers are feeling more secure in their ability to pay back their loan. Interest rates are expected to remain unchanged for some time yet, and even when they do start to rise the increases should be small.
Our local neighbourhood has seen a large increase in property demand. In fact, realestate.com.au tell us that properties advertised across Heathcote, Engadine and Woronora Heights are in hot demand. For instance, properties listed for sale in Woronora Heights average 4200 online page views. This is approximately 150% higher than the average property that is advertised across NSW. This really demonstrates how ‘in demand’ our area is.
Given the focus COVID has put on the importance of lifestyle and community, and with over 60% of homeowners in our area living with children, it is clear to see why families looking to up-size are flocking to our beautiful neighbourhood. Our proximity to beaches like Cronulla and the Royal National Park, combined with being only 30 minutes away from both Sydney CBD and Wollongong, it’s no surprise our hidden gem is in hot demand.
A final word
As a result of the Covid-19 pandemic, the change in people priorities and record low interest rates, we have seen a huge increase in the number of people looking to upsize their homes. Our local suburbs offer larger properties on sizable blocks, and as a result our neighbourhood is a big drawcard for the upsizing buyer.
If you’d like to find out how much your property could sell for, perhaps to a super keen upsizer, we’d love to share our insights.
