A great look at the Perth Apartment market by Leading Research Firm, Property ESP
Flight to bigger apartments evident Research with 268 apartment residents (owner occupiers and renters) as part of the annual WA Apartment Advocacy survey has shown a significant trend for larger apartments.
The data demonstrated that 35% of renters moved from a two bedroom and 26% from three bedroom properties into one (35%) and two (34%) bedroom apartments. But asked what would they move into next, 48% said two bedroom and 38% indicated three bedroom properties.
This was mirrored by the owner occupiers as well, with 35% moving from a three bedroom property and 39% from a four bedroom into two bedroom apartment (64%). However, when thinking about their next move, 33% would move into a two bedroom and 53% into a three bedroom property.
Ms Reece, Director of WAAA stated that the need for a third bedroom was driven by resident’s usage of the space in their apartments.
“The research told us that 61% of owner occupiers and 48% of renters, were using a bedroom as a study or a study nook in their apartment,” Ms Reece said.
“For some time now, the WA apartment market has been focused on one and two bedroom apartments but developers will now not only have to consider more choices, but also innovative designs to meet the future needs of their buyers.”
Ms Reece stated that the research had uncovered a number of seniors who had moved into a one bedroom apartment but had then upgraded to a larger apartment, often in the same complex, within three years.
“The industry has been calling the seniors market downsizers, but at WAAA we do not believe this is the right description,” Ms Reece said. “It is more appropriate to refer to this market as right sizers and up-stylers.
“These people have been living in their family home for 25 years and so what they are seeking is a spacious apartment with all the mod cons and at the moment there are not many apartments with these amenities in Perth.
“This is a game changer for developers, but also investors, who are focused on achieving high rates of occupancy and longevity with their investment.”
WAAA is the voice for people who choose apartments in WA. It seeks to demonstrate the need for housing choice in WA and the role that apartments can play in that mix.
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