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National apartment statistics: Two-bedroom apartments most attractive to Aussie buyers



National apartment statistics: Two-bedroom apartments most attractive to Aussie buyers

Property consultants Urbis surveyed 37% of brand new and off the plan apartments across Sydney, Melbourne, Brisbane, Perth and the Gold Coast in the September 2017 quarter, recording a total of 1,241 sales. This is a 35% decrease in sales from the previous July quarter which recorded a spike in sales, though similar to the March 2017 quarter (38% of market surveyed), which recorded a total of 1,360 sales. Of the surveyed apartments nationally, 75% are now sold.

Urbis monitored over 100,000 actively selling apartments across 704 developments nationally, of which 69% are currently under construction or built. Despite the sales slowdown, the number of available apartments remaining to sell is at the lowest level in years.

National Director of Property Economics and Research, Clinton Ostwald, said, “At the end of the quarter, only 9,827 surveyed apartments remained available for sale, compared to 12,548 apartments at the same time last year. Fewer new apartments are launching to the market, leading to fewer sales, however, the existing product is still selling though at a slightly slower rate.”

Two-bedroom, two-bathroom apartments were the most popular selling product, accounting for 47% of total sales, compared to 39% in the previous quarter. One-bedroom, one-car park apartments were the next most popular product type making up 23% of total sales. Three-bedroom plus product recorded 13% of total sales, the same rate as the previous quarter.

Looking at projects currently under construction, an average of 55% of future supply across the country is made up of two-bedroom apartments, while one-bedroom apartments make up 32%, with the remainder being three-bedroom plus units and studios.

Across Australia, the weighted average sale price decreased by $36,672. This decrease was only felt across Brisbane and Perth, which impacted the overall price as surveyed sales in these cities made up 46% of the sample.

Mr Ostwald said, “The number of apartments on the market which had recently been completed had an impact on price, as developers, particularly in Brisbane and Perth, were keen to move existing product.

“Across the country quality apartments in highly sought-after locations are selling first, quickly achieving their presale targets.”

In Perth, 44 percent of actively selling apartments are now built. Similarly, in Brisbane 35 percent of projects have completed. In Sydney and Melbourne, respectively, only 14% and 10% of actively selling apartments are built. Nationally, the weighted average sale price for a built apartment was $657,000, for an apartment under construction $788,000, and for an apartment in presales $914,000.

Sixty-nine developments yielding over 11,000 units settled in the quarter, the majority of these being in Brisbane (31%), Melbourne (33%) and Sydney (31%). Additionally, nineteen projects yielding just under 2,000 apartments sold out in the quarter.

Twenty-nine projects yielding over 4,000 apartments launched nationally in the quarter, compared to 56 projects yielding over 6,000 apartments in the same period last year. As well as a slowdown in project launches, only 7,047 apartments were approved, the lowest number of approvals since the beginning of 2014.
Mr Ostwald noted, “The slowdown in supply along with demand was a positive sign for the apartment market.”

“In 2018, over 44,000 apartments are expected to settle across all five cities, including approximately 10% of which belong to already sold out developments. The skyline and the way we live in Australia is changing, however, the pace is currently maintainable. Currently, there are approximately 131,000 apartments in development application and approval across the five cities and new development approvals are slowing down.

“Of course, not all of these will come to the market, and the level of demand will regulate what does sell and is eventually built.

“In Q3, each state had their own story to tell about market conditions, however, the united message was one of stability.

“In Brisbane, fewer launches, combined with competition from built product that hasn’t been able to settle suggests we won’t be seeing sales numbers increasing, but rather maintain at the current pace.  Elsewhere in Queensland, with the festive season and the lead up to the Commonwealth Games, The Gold Coast is quite active for property developers.

“In Sydney, owner occupiers and local state investors made up 86% of total transactions this quarter, so we can see that in current conditions the market is very much a local one. The Melbourne market is still very much in presales, and almost 50% of active selling projects in Inner Melbourne has not yet commenced construction. While in Perth, we are seeing sentiment improve the economy and property market, and we expect to see population growth levels improve, leading to more demand.” said Mr Ostwald.

Urbis Apartment Essentials Q3 2017 snapshot:

  • 1,241 sales were recorded in the September 2017 quarter across:
    • Sydney (381 sales, 19% of market surveyed, market size 41,844 units)
    • Melbourne (291 sales: Inner Melbourne 131 sales, 22% of market surveyed, market size 32,636 units – a further 160 sales were recorded in the middle-ring)
    • Brisbane (300 sales, 62% of market surveyed, market size 18,441 units)
    • Perth (276 sales, 88% of market surveyed, market size 10,681 units)
    • Gold Coast (153 sales, 83% of market surveyed, market size 4,519 units)
  • Weighted average sale price recorded at $822,570, a national decrease of $37,000.
    • Sydney – $1,205,774 – $47,000 increase
    • Inner Melbourne – $737,473 – $82,000 increase
    • Brisbane – $644,667 – $81,000 decrease
    • Perth – $608,424 – $53,000 decrease
    • Gold Coast – $676,307 – $48,000 increase
  • The most popular product type was two-bedroom, two-bathroom product at 47% of total sales. Across the cities the highest selling product types were:
    • Sydney – Two-bedroom, two-bathroom apartments – 32%.
    • Inner Melbourne – Two-bedroom, two-bathroom apartments – 27%.
    • Brisbane – Two-bedroom, two-bathroom – 50%
    • Perth – Two-bedroom, two-bathroom – 60%
    • Gold Coast – Two-bedroom, two-bathroom – 69%
  • 31% of actively selling apartments are in presales, 49% are under construction and 20% are recently built.

For media enquiries contact: 
Rebecca Parry, DEC PR
Ph: 02 8014 5033 E:

About Urbis

Urbis is a market-leading firm with the goal of shaping the cities and communities of Australia for a better future. Drawing together a network of the brightest minds, Urbis consists of practice experts, working collaboratively to deliver fresh thinking and independent advice and guidance – all backed up by real, evidence-based solutions.

Working across the areas of planning, design, policy, heritage, valuations, transactions, economics and research, the expert team at Urbis connect their clients in the public and private sectors to a better outcome, every time.

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Rental demand in Qld; Mackay’s vacancy rate the tightest in the state: REIQ



rental demand

IT has become almost impossible to find a rental property in Mackay, with the regional city’s vacancy rate now the tightest in Queensland. FIND THE VACANCY RATE IN YOUR REGION.

Rental demand

Local agents take down a ‘For Rent’ sign in Cairns, which is one of the tightest coastal rental markets in Queensland.Source:News Limited

IT has become almost impossible to find a property to rent in Mackay, with the regional city’s vacancy rate now the tightest in Queensland.

The latest Real Estate Institute of Queensland residential vacancy rate report shows the coastal market’s vacancy rate tightened by a whopping 100 basis points in the September quarter.

rental demand

The rental vacancy rate in Mackay has fallen from 1.9 per cent to 0.9 per cent in three months. Picture: Rob Maccoll.Source:News Limited

The rental vacancy rate in Mackay fell from 1.9 per cent to 0.9 per cent in just three months, which means the city is pretty much full.

Rents are also on the rise, increasing in the range of 10 to 20 per cent over the past year, with two-bedroom houses and three-bedroom units reporting annual growth in the weekly median rent of $50.

rental demand QLD

Mackay has the tightest rental vacancy rate in Queensland at 0.9 per cent.Source:News Limited

REIQ chief executive Antonia Mercorella said the strength of the regional economy and the employment market were driving the increase in demand for rentals.

About 3900 new job opportunities were created in Mackay in the year to August — putting downward pressure on the jobless rate, which is now just 3.3 per cent.

“As the state’s economy improves and the jobs market in regional Queensland strengthens, we are seeing people returning to those areas and are looking first for rental accommodation,” Ms Mercorella said.

“Markets such as Mackay, Toowoomba and Bundaberg, which are tight, are stabilising after a period of correction.”

Rental Demand

REIQ chief executive Antonia Mercorella.Source:Supplied

The report found rental markets in the largest regional centres continued strengthening during the quarter as median rents trended upwards, particularly in Mackay, Rockhampton and Toowoomba.

The Fraser Coast and Cairns markets are the tightest coastal rental markets in Queensland with regional vacancies of 1.4 per cent.

Steady rents are boosting the rental market on the Fraser Coast, with well-priced rental properties snaring a tenant in less than a week on average.

The report found only two of the major regional markets in the state — Gladstone and Townsville — were weak, with vacancies above 3.5 per cent but below 4.5 per cent.

Overall, the state’s rental market strengthened again in the September quarter, with 27 markets classified as tight by the REIQ, four as healthy and four as weak.

The greater Brisbane rental market held steady at 2.2 per cent, but the local government area of Redland reported one of the region’s tightest vacancies of 1.5 per cent.

rental demand

The Brisbane LGA rental vacancy rate has tightened to 2 per cent. Image: AAP/Darren England.Source:AAP

The Brisbane LGA tightened to 2 per cent, with vacancies for both the inner and middle ring falling to the tight range during the September quarter.

“Even though this market has tightened to 2 per cent vacancies, we are hearing that pockets of the inner city are oversupplied and tenants are still negotiating well on terms,” Ms Mercorella said.

She said the state’s increasing population growth would require more rental supply.

Originally published as Rental demand jumps in Qld


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Brisbane’s penthouse listing of 2018 hits the market



brisbane penthouse
A property billed as “Brisbane’s biggest penthouse listing of 2018” has hit the market, as demand for ultra-luxurious sky homes in Queensland’s capital shows no sign of slowing.

One of Brisbane’s very first sky homes, at 801/8 Kyabra Street, Newstead, has been transformed from an empty shell into a penthouse, which marketing agent Tom Lyne, of Ray White New Farm, described as “next level”.

Mr Lyne said listings of this quality and style were rare in Queensland.

brisbane penthouse
801/8 Kyabra Street, Newstead. Photo: Ray White New Farm.

“This is a property you’d see in Los Angeles or Sydney,” he said. “It’s pushing the boundaries in terms of what has been on the market in Brisbane before.”

The three-level apartment not only offers five bedrooms and bathrooms over a staggering 962 square metres, but also an extraordinary roof-top terrace complete with outdoor dining, an open fire pit and manicured gardens all serviced by a large wet bar.

As well as a heated infinity edge swimming pool and spa on the middle level, the roof-top views across Brisbane have to be seen to be believed.

brisbane penthouse
Views like no other: 801/8 Kyabra Street, Newstead. Photo: Ray White New Farm.

Owner Jordana Stott spent eight months designing every aspect of the property’s interior and roof-top, and admits the views will be sorely missed when she moves on to her next project.

“Just being able to crack a bottle of wine and sit in your private garden and look at that view is pretty spectacular. That’s something that we will miss. We love that part of the property,” she said.

The couple chose a penthouse over a house because of the plethora of lifestyle amenities right on their door step, she said.

At the time, she said, they wanted to be able to walk to restaurants and enjoy everything that Newstead had to offer.

“Being in Newstead, it’s such a new little hub that’s really booming at the moment. You’re so close to everything, but you also then get the luxury of having the privacy of your own lawn in a sky home – that’s very special,” she said.

“It’s really cool for Brisbane. It’s one of the first that’s coming through.

“Brisbane is really coming into its own. I think we’ll start seeing more sky homes, especially with the new casino being built.”

The first of two penthouses in the luxurious development 443 Queen Street recently sold off the plan for more than $6 million, making it one of the most expensive apartments ever sold in Brisbane. Agents have reported a shortage of stock in the luxury apartment market.

brisbane penthouse
A bedroom with a rather nice view at 801/8 Kyabra Street, Newstead. Photo: Ray White New Farm.

Mr Lyne said one of the Newstead penthouse’s many features was that the seventh level was completely self-contained.

“It’s extremely unique to Brisbane, probably Queensland for that matter,” he said.

“We’re getting a good cross-section of people who are specifically looking for a penthouse, but also buyers who may have been considering quite a high-end house locally, or on the river, who are now considering this because it’s over three levels.”

The property is scheduled to go to auction on Tuesday, November 13, at Ray White New Farm’s Auction Under the Stars event starting at 6pm at X Cargo.

brisbane penthouse
That rooftop: 801/8 Kyabra Street, Newstead. Photo: Ray White New Farm.

Features include:

Unrivalled city views, private infinity edge swimming pool, rooftop terrace and garden;

First level leads to four private bedrooms, two bathrooms, media room and kitchen;

Versace and gold cork wallpaper and bespoke Timothy Oulton chandeliers;

Double showers in every bathroom;

Two kitchens each with a butler’s pantry and double oven;

Multiple formal and informal entertaining and al fresco areas;

Gas fireplace in living area and outdoor fireplace on rooftop;

Two fully equipped wet bars;

Dressing room;

Alarm system;

Three large car parks and storage;

Built-in garden maintenance room;

Lift servicing each level;

Metres from top lifestyle precincts popular for great restaurants, shops and boutiques.

brisbane penthouse
801/8 Kyabra Street, Newstead. Photo: Ray White New Farm.
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Acreage blocks are selling hot at Yatala




PIES aren’t the only things selling hot at Yatala — with acreage property flying off the market.

Doleman Property Group director Donna Doleman said this property, a four bedroom, two bathroom, lowset brick house on 5058sq m attracted about 30 groups and two written offers.


REAL ESTATE: 14 Alto Tce, YatalaSource:Supplied

“The new owners were devastated when they first saw it because it was under contract,” Ms Doleman said.

“When that contract fell over, it all fell into place for them.”

Ms Doleman said the new owners liked the location, the flat land and the house.

“They’re investors who will rent it out and move into it in about three years time,” she said.

The agent said acreage stock such as the property at 14 Alto Tce, which sold for $859,000, was in high demand.


REAL ESTATE: 14 Alto Tce, YatalaSource:Supplied

“Acreage is going unbelievably well,” she said.

“People are looking for bigger properties to get a bit of space between neighbours.

“I’d definitely like to see more stock, there is definitely not enough in the acreage market.”

According to CoreLogic data, the suburb median house sale price for Yatala is $739,000.


REAL ESTATE: 14 Alto Tce, YatalaSource:Supplied


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