How Downsizers Are Affecting Sydney’s Eastern Suburbs
The demographics of Sydney’s Eastern Suburbs are changing, and downsizers are one group playing a big part in driving local real estate trends.
Having worked hard to get where they are, downsizers have either sold or are preparing to sell the family home. They’re cashed up, looking for a lifestyle change, and keen to invest in premium property in Sydney’s East.
Why downsizers love Sydney’s Eastern Suburbs
It’s not hard to understand why downsizers are flocking to Sydney’s Eastern Suburbs: Great transport, a variety of housing stock, proximity to fabulous parks, beaches, harbourside areas, the CBD, shops and restaurants. Sydney’s East offers a cosmopolitan lifestyle for all ages, plus it’s close to the airport and has easy access to some of the premier healthcare facilities in the country.
Some downsizers have lived all their life in the East, and while previously they may have left the area and downsized elsewhere, many are now choosing to stay local. Demand from downsizers is also coming from further afield – the lower and upper north shore for instance.
Who is downsizing in Sydney’s Eastern Suburbs?
Downsizers come to us at all stages of their journey.
Those who come to us early in their journey may have older kids starting to leave home, but they are still working hard in jobs themselves. They want a lifestyle change but need a bit of space for family coming and going. Terraces, townhouses and smaller homes are popular.
For those slightly further along in their journey, the kids may have left home, and they may be in the process of retiring. Some have a lifestyle property outside of Sydney for the weekends, so finding a lock-up-and-leave property in the East is important to them. But they still need some room to welcome grandkids. Because of this, there’s an extremely high demand for large luxury apartments.
Some downsizers choose to delay downsizing and enjoy the large family for longer. They make the move much later on, straight from a family home into one of the burgeoning crop of luxury retirement accommodation across Sydney’s East. Developments like Mark Moran at Vaucluse are very popular and many are selling out off the plan as demand for them is at an all-time high.
What downsizers are looking for
Downsizing is a lifestyle choice, so lifestyle is naturally top of the list when downsizers are looking for a property.
Key drivers in their property search are amenities, services and proximity. Areas with great restaurants, cafes, and a village feel are very popular.
And while you might expect downsizers to have more time on their hands they really don’t: most are time-poor, still very busy splitting their time between work, family, hobbies, recreation and other commitments. Because of this, a typical downsizer wants to spend less time in property maintenance and upkeep, and more time living life.
Newer apartment developments, like Whites Paddington and Paddington Green, have been very popular with downsizers. And downsizers are also dominating the top end of the small home market, buying properties above $3.5-4 million, particularly high-end terrace houses in Paddington.
The one thing most downsizers in these brackets have in common is that they’re looking for quality and luxury. They tend to prefer the finished product, rather than a property that needs renovation, although there are exceptions.
Downsizers are pushing up the luxury market
As we’ve come out the GFC and seen downsizers become very active in the market, we have also seen the average days properties with downsizer appeal spend on the market dramatically reduced.
Downsizers are driving up the luxury apartment market from Potts Point to Rose Bay, and snapping up high spec renovated terrace houses from Darlinghurst to Surry Hills and Paddington.
Suburbs like Darling Point and Double Bay are also growing in popularity with this segment of the market, with their generous apartments, parks and easy access to cafes and restaurants and a relaxed waterside feel.
Quite simply, there aren’t enough properties to meet the demand from downsizers wanting to call the East home and do it in style.