2019 is now well and truly in our rear-view mirror. Looking back at the year that was, we’ve identified 5 key trends that were a massive focus in the new build space and are likely to continue into 2020.
WHAT YOU CAN EXPECT FOR 2020
Here’s our top 5 market trends that are predicted to remain consistent across the market:
01. ADELAIDE DEMAND
While the eastern states boom and bust, the Adelaide real estate market remains consistent in its usual, stable fluctuation with supply and demand. This lends itself to the new builds space and, even with our shallower Adelaide market, 2019 showed a strong demand for good quality new homes with well-considered design. More and more buyers are seeing the benefits in buying off-the-plan and we are already seeing this demand come through in the early days of 2020.
02. DOWNSIZING AND APARTMENT LIVING
Big homes are beautiful but when they get too big to manage, practical downsizing is a good option. Trends throughout market saw a shift in the way downsizers consider their options, becoming more open to the idea of a lock and leave lifestyle of apartment living.
Now more than ever, the baby boomer generation have shifted their thinking, taking advantage of the convenience that apartments have on offer.
All over the country, apartment living is becoming more and more common and Adelaide is now well and truly riding that wave.
03. INCENTIVES OVER DISCOUNTING
Adelaide buyers have proven to be both eager and smart when deciding to buy new. In 2019, more buyers preferred to be incentivised with an added bonus rather than a discount off the purchase price. The idea that they’re getting something for nothing or a “limited time offer” sparks a retail sales pitch which overall helps to clinch the sale. Providing an incentive, whether it’s free upgrades or the like, makes the buyer feel like they’re having a win, while protects the developer’s back pocket when it comes to property valuations – definitely a win/win.
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Today’s society are increasingly aware of the environmental impact of their home. Energy ratings, solar power, insulation and greenery are now more significant to buyers than ever before – particularly so in the development space. Given the emphasis we have seen throughout 2019, it is predicted that sustainability criteria will be high on new buyers’ agendas in 2020.
05. WALKABLE COMMUNITY
Not only are buyers considering the internal environment but also the external surroundings that they will inevitably experience. In 2019, whether buying to live, invest, or lock & leave, buyers of all kinds were attracted to well-considered developments that are connected with the existing area and community. Walkability scores and the proximity to public transport and the local shops ranked high on the buyer’s “wants” list and these key factors will continue through the new year.
As the Adelaide development market continues to evolve, so do the demands of buyers and what is important to them. Astute developers are switched on and attuned to the needs and wants of their customers to produce a saleable product outcome. What will 2020 bring for your next development? Are you switched on to the wants of your buyers? We are.