Homebuyers' Essentials: Must-Have Features in Your Neighborhood

According to recent data, an increasing number of Australian homebuyers are showing a preference for spacious and versatile properties that can accommodate extended families or generate rental income. Keyword search data highlights a significant surge in searches for homes featuring additional self-contained living spaces such as granny flats or studios.

The data reveals a substantial 27% increase in searches for 'dual living' over the past year, which is notably the largest growth among all keywords. Furthermore, searches for 'granny flat' also saw a notable rise, increasing by 13%.

However, when examining the specific features that are most sought after by Australian buyers, swimming pools emerged as the top preference among house buyers, while apartment buyers displayed a strong desire for balconies.

The recent shift in search behavior aligns with the trend triggered by the pandemic, where buyers have been actively looking for more extensive homes with enhanced amenities. According to Angus Moore, Senior Economist at PropTrack, the ongoing cost-of-living challenges have also played a role in this shift.

He noted, "What we're observing is a growing desire for greater flexibility and space in living arrangements, whether that's a secluded area to work from home or an additional space to rent out, especially in an environment where mortgage rates have risen." Over the past year, mortgage rates have significantly increased, and the impact of high inflation has strained household budgets.

As a result, some buyers have been in pursuit of properties that offer the potential for additional rental income, which can help offset their loan repayments. Simultaneously, investors looking to capitalize on the combination of high rents and low vacancies have been targeting properties with high yields to maximize their returns.

Mr. Moore emphasized, "Although rents have experienced robust growth, the surge in mortgage costs has outpaced the increase in rental income. For some, exploring alternative methods of generating yield, such as owning two homes or having a rentable granny flat, has become an attractive option."

A dual living property encompasses two distinct residences within a single structure, occasionally known as dual occupancy or a duplex. These properties are well-suited for multi-generational households and offer the flexibility for owners to inhabit one dwelling while renting out the other.

Conversely, a granny flat is a compact, self-contained abode located either in the backyard of a primary residence or sometimes attached to it. Typically, these structures accommodate family members, often grandparents or adult children, as the name implies. In certain states, granny flats can be leased on the open rental market, while in others, their use is restricted to housing family members.

Property seekers are increasingly looking for specific features in their prospective homes, with swimming pools ranking as the most sought-after amenity. However, there are regional variations in these preferences, driven by climate and local lifestyle factors. While "swimming pool" tops the list in most states, "garage" takes precedence in Victoria, Tasmania, and the ACT, where colder climates limit pool usage. "Air conditioning" is another highly desired feature, particularly in warmer regions.

In Queensland and the Northern Territory, "air conditioning" and "swimming pool" are the most searched keywords, reflecting their importance in these areas. Additionally, established families, overseas buyers, and those in pricier suburbs tend to value swimming pools more, while some buyers with young children may be deterred by the associated maintenance and safety concerns.

For apartment buyers, "balcony" ranks as the most searched keyword, especially in NSW and Victoria, where outdoor spaces are highly sought after. "Outdoor area" is another popular term among apartment hunters. In states like Queensland and the Northern Territory, "swimming pool" is the top feature for apartment buyers, given the favorable climate.

Buyers are also placing importance on internal features that enhance comfort and convenience. Terms like "air conditioning," "built-in wardrobes," and "dishwasher" are commonly searched. "Ensuite" is another feature that buyers value, but it may be less attainable due to cost constraints.

Search behavior also reveals an interest in sustainability and accessibility. Buyers are increasingly searching for "solar panels," indicating a preference for energy-efficient homes. In addition, there is a growing demand for single-level houses and properties with lifts, catering to an aging population looking for accessible homes.

Other notable trends include increased searches for "brick" homes, which are seen as more energy-efficient and durable. Additionally, searches for "top floor units" and "penthouses" have risen, indicating a desire for higher-level properties with better views.

Understanding these search trends can help both buyers and sellers better align their preferences. Whether you're buying, selling, or investing, having the right information is key. Stay informed with Investfox Property Group.