We’re coming close to Christmas already, with November now in full swing. Unsurprisingly, this has some in the property industry eyeing up what may happen in 2015.
Allworth Homes’ managing director Stephen Thompson has big predictions for what changes may occur.
Here are his six predictions:
- COMPETITION AMONGST LAND DEVELOPERS WILL DRIVE PRICES DOWNTogether with smaller lot sizes (i.e. cheaper), this should bring a swathe of new buyers to the market who would previously not considered building.
- HOME DESIGNS WILL BE SMALL TO SUIT A NEW MARKETClever layouts incorporating things like computer nooks and great storage will be a top priority. Separate zones for family living is still important and of course the indoor-outdoor living/kitchen/dining transition must be seamless.
- HOUSE AND LAND PACKAGES V SPLIT CONTRACTSWhilst the market is ‘hot’, buyers will pay a premium for a package as they’re being sold the repayments as much as the house. However, plenty will still source their own land and select a contract builder – by doing this they save tens of thousands up front, not to mention long term interest repayments. When the market inevitably cools, some of the newer exclusive package builders will withdraw – most either don’t want to do contract work or are incapable. Clients can be quite demanding when it comes to spending their hard earned cash on a new home (and rightfully so) – it takes a contract builder of experience to meet their expectations.
- LAND AVAILABILITY WILL BE STRONG IN 2015There’s a lot of land coming to the market late 2014 and into 2015. A lot at affordable pricing, particularly in the Hunter and Illawarra regions. There is pent-up demand for affordable housing. Lot sizes in Sydney will me markedly smaller. In the regions where 600 square metres was the minimum the market found acceptable are looking at 450 as the norm.
- VOLUME HOME BUILDERS WILL BE ASSESSING SOME ALTERNATIVE MATERIALS TO BRICKSBricklayer availability is a serious issue we’ll have to deal with in the near future. Builders will have to assess the use of different types of material, as well as making sure it stays ‘on trend’. Stephen Thompson said, “People are warming to the idea of alternatives to brick, as long as the alternative maintains all the benefits of traditional brick veneer. Looks, insulative properties and the ‘knock test’ has to be passed. Rendered and painted requires less frequent maintenance than it once did with modern materials.”
- MULTIGENERATIONAL LIVING IS ON THE RISEA lot of new home buyers are now following the trend toward ‘future-proofing’ their new home design. That is, designs that allow, with a small amount of renovation work, a former living area to be converted into sleeping accommodation with bathroom access, for example. Homes with versatile spaces that can be used in different ways and accommodate multi-generational living will continue to be in high demand in the coming years.
Source: Allworth Homes