19 Mar Downsizer demands being met by developers – Shannon Davis
How closely are developers listening to the messages they are getting from the market about the growth of the downsizer market and the need to cater for them in the next decade or two. Are they building to meet those demands? Shannon Davis says they are and he gives us an insight into what they are doing.
Kevin: In the show we have in the past spoken about downsizes, what they’re doing, how they’re influencing the market, how developers are taking notice of what downsizes are needed. It’s classic that we would look at the Queensland Market, given it’s climate, and it’s attraction for people wanting to downsize, not necessarily retire, but maybe change their lifestyle. Shannon Davis from Image Property studies this and all the other trends in the Southeast Queensland and Queensland market in particular. Shannon joins me to talk about that. Shannon, thanks again for time.
Shannon: No worries, Kevin.
Kevin: Let’s talk about downsizes, because while you may not be noticing any real trends, do you think the developers are paying close attention to their requirements of their needs are?
Shannon: Yeah, I definitely there’s a lot more stock for downsizers at the moment that perhaps the oversized apartments. Getting away from your traditional two and one bedrooms. Extra bedroom there for when the grandkids want to stay over. And you know, really low maintenance, single floor lift, elevator access or one story home.
Kevin: Yeah, the feedback that I’m getting, too, from a lot of developers is that they’re not necessarily looking at retirement accommodation, but it’s people who are looking for a change in lifestyle. The kids are gone. They’re looking at having huge amount of equity in their property. And downsizing doesn’t necessarily just mean downsizing in price, it could actually mean downsizing in size but upscaling in price.
Shannon: Yeah, there would be those downsizers that are looking to that, definitely. There’s been changing recently with superannuation that you can sell your big house after the kids have moved out, put some money into super. So yeah, there’s definitely a bit of both there. Some people are looking to downsize their mortgage, they’re close to mortgage free. And other people maybe just packing up and trying to go out on a bang, and live in a penthouse or something like that towards the end, or last stage of their life working wise. And yeah, you’re seeing a bit of both of that.
Kevin: With a huge number of baby boomers coming through with downsizers, people who typically fit that category, with developers developing that style. What do you think in the future they’ll be looking at doing? What sort of improvements will they be doing in property to accommodate for that lifestyle need, Shannon?
Shannon: Yeah, I think it’s been happening since the start. “Downsizers” is just a term that’s just a term that’s sort of risen to popularity recently. But what we’ve got to do is look for more specialised accommodation. Amenity is important, not necessarily a retirement lifestyle type access. But what downsizers are wanting is to live comfortably, and sort of maintenance free and easily for last part. So amenity is really important, green space, community. Because you’ve got more time on your hands. And of course you know, Kevin, the rise and rise of grandparents as babysitters these days as well is something that needs to be taken into account as well.
Kevin: Yeah, we should never also ignore that lock and leave need, because people aren’t just necessarily retiring and then staying in one place and not travelling. They want to travel. They’ve got the finances to do it. So therefore that lock and leave is very, very important.
Shannon: Yeah, definitely, you’re seeing a lot of that. And in groups travelling as well, and having a place that’s city abode, or perhaps by the beach. Somewhere where you can come and go as you please.
Kevin: It raises another thought, doesn’t it, that many people aren’t necessarily retiring but they’re looking for a change in lifestyle while they continue to work. And we’re probably going to see a lot more people, maybe like myself, wanting to continue to work past the traditional retirement age. So therefore it’s going to be important for us to live in some of those business hub areas, so we’re not travelling as far, Shannon?
Shannon: Yeah exactly. I think there was a period there where sea change, and tree changes all the flavour. But now, it’s going to be closer to your family, to your friends, where you’ve grown up, the community that you’ve lived in all your lives. And you’re looking for dwellings that suit that, with that moving too far.
Kevin: It’s interesting to see how it all reshapes. Shannon, thanks for your insight. Appreciate it. Shannon Davis is from Image Property. Thanks for your time, mate.
Shannon: Thanks, Kevin.