- High interest rates and rising cost of living have made downsizing more appealing.
- 1 in 8 Australians plan to downsize through the course of 2023.
- Property Credit found opportune locations for downsizing across three states.
Although interest rates seem to have stabilised, the figure is still quite high at an eye-watering 4.10%.
That, combined with the majority of Australians struggling to cope with the rising cost of living, and it is no surprise that downsizing entices a certain sect of homeowners.
According to Finder, one in eight Australians are planning to downsize over the course of 2023.
Property Credit CEO, Giordano Stepancic, said “Downsizing is not merely about moving to a smaller home; it’s a significant strategy to bolster superannuation, preparing for a luxurious retirement.”
“Especially when done in well-selected lifestyle locations, the financial prudence intertwined with the promise of a serene lifestyle is a proposition too attractive to overlook.”
Property Credit’s report, Perfect Timing: See the 12 locations ideal for downsizing, reveals 12 locations across three states – New South Wales, Queensland, and Tasmania – replete with opportunities for hopeful downsizers.
New South Wales
Richmond Valley – Coastal
The Richmond Valley presents a compelling choice for downsizers; according to the report, the downward shift of 6% in average monthly sales volume indicates a market pace that favours buyers.
Moreover, with a blend of price accessibility and a variety of suburban atmospheres, the Richmond Valley Coastal region represents a serene, community-driven locale.
Shoalhaven
Located along the New South Wales coast, Shoalhaven saw a 5% softening in median list prices to $770,000 in addition to an expansion in housing inventory to a 12-month supply, with a leap in listings from 304 to 1029 over two years.
The Great Lakes
The Great Lakes SA3 region, showcasing the suburb of Smiths Lake, has emerged as a choice option for downsizers.
Over the last year, the region saw a 9% dip in median list prices to $835,000, imbuing affordability to a tranquil allure. Moreover, the 9-month housing inventory, a tripling of listings from 72 to 240 over two years, combined with a downward shift of 6% in average monthly sales, sees this region as a go-to for those seeking to downsize amidst New South Wales’ scenic charm.
Coffs Harbour
With a modest 2% decline in median list prices to $860,000 over the past year, and a tripling of listings from 173 to 541 over two years, this market leans towards a buyers’ favour.
This region’s coastal charm, in addition to a range of price points and a growing housing inventory, presents a conducive locale for downsizers.
Orange
Offering rolling countryside and charming townscapes, the Orange region is an inviting market for downsizers. Over the last year, the median price slightly softened to $720,000, a 1% decrease amidst a 9-month housing inventory.
However, the listings have grown significantly from 127 to 331 over two years, with a downward shift of 6% in average monthly sales volume, indicating a stable market.
Bathurst
Steeped in history but filled with modern amenities, Bathurst is a promising prospect for downsizers.
The median list prices have seen a modest ease to $680,000, a 1% decrease against an eight month housing inventory. Current listings have also skyrocketed from 98 to 269 over the past two years despite a downward shift of 7% in monthly sales volumes.
Queanbeyan
A potential haven for downsizers, Queanbeyan saw a 9% reduction in median list prices to $960,000 and a tripling of listings from 94 to 259 over the past two years.
Its proximity to the capital, but also enough distance to offer a quaint retreat, positions Queanbeyan as an appealing locale amidst evolving market dynamics.
Queensland
Cleveland – Stradbroke
Cleveland Stradbroke presents an appealing blend of island and mainland living. Over the past year, the median list price slightly softened to $775,000.
Furthermore, the market here remains dynamic, with current listings to 714 from 556 two years ago.
Macleay Island, with a median price of $460,000 and a 50.93% fully owned tenure, offers an affordable retreat with a community of established homeowners.
Sunshine Coast Hinterland
The Sunshine Coast Hinterland region witnessed a 6% softening in median list prices to $820,000 over the last year, coupled with a 9-month housing inventory, indicates a market easier on the wallet.
Moreover, the region has seen a surge in listings from 224 to 491 over the last two years, alongside a downward 6% shift in average monthly sales volume, suggesting a steady pace for discerning buyers.
The suburbs of Maleny and Mapleton offer a median price of $950,000, whereas Palmview and Glass House Mountains offer slightly lower median prices around $750,000.
Noosa Hinterland
Featuring appealing suburbs like Pomona, Lake Macdonald, and Doonan, this is a serene market for downsizers.
Over the last year, median list price eased to $1,200,000, a 4% softening amidst a 9-month housing inventory.
Pomona, with a median list price of $928,121, offers a blend of affordability and community stability and Doonan, at a higher price point of $1,795,000 appeals with a 42.49% fully owned tenure.
Noosa
The past year in Noosa saw a moderation in median list prices to $1,372,000, an 8% decrement, which when coupled with a 8-month housing inventory, highlights a market alight with opportunities. Current house listings have also ballooned to 304 from 185 over the past two years.
Tasmania
Hobart – North West
A welcoming and picturesque scene for downsizers, over the last year, the median list price in this region softened to $585,000, indicating a 7% decline. Moreover, the growth in listings expanded from 97 to 282 over two years despite a downward shift of 7% in average monthly sales volumes.
Suburbs like Claremont and West Moonah offer a range of price points with median prices of $565,000 and $645,000, respectively.
