There’s no denying that there are endless options if you’re looking to buy an apartment for sale in Sydney as of 2019, but if you want to put your investment funds to good use then you may want to focus your energy to the CBD – and to luxury apartments in particular. Here’s why a luxury city apartment could be of major benefit for local and global investors.
Professionals are seeking a central and connected lifestyle
One of the golden property investment rules is to buy centrally, and this still applies in Sydney. In a city where commuting times are longer than some major US cities, renting a property close to the Sydney CBD simply makes sense to city workers and professionals. CBD residents can get to work, restaurants and social events quickly and easily, and there are many who will pay a premium for that convenience. There is likely to always be a demand for sophisticated rental properties close to the city centre. As a landlord, it simply makes sense to look where demand dictates.
Millennials are renting for longer
While millennials may seem more likely to rent a shared house than an inner-city luxury rental property, there is evidence that shows that due to the cost of housing young people will continue to rent – even into their forties or for life. That could be good news for the owners of investment properties in Sydney. With a 38% increase in renters over the last decade, that means more successful Australians looking to rent a property that’s appropriate to their lifestyle and age. A 40-year-old renter certainly isn’t looking for a shared housemate situation; rather, they’ll want a sleek, modern and conveniently-located home.
Luxe lifestyle essentials are included in the building
Nobody wants to have to commute to get to their gym or to grab a great coffee. The beauty of a luxury apartment such as Arc by Crown Group is that every amenity is just steps away. Residents won’t need to even leave the building to find a stunning gym filled with state-of-the-art equipment, private rooftop gardens and an indoor pool. Restaurants and high-end retail is just seconds from the front door. That’s a lifestyle that many have only dreamt of, but a lifestyle many young professional renters will come to expect.
More people are living in single and two-person households than ever before
The Australian Bureau of Statistics predicts that single-person households will increase from 2.1 million households in 2011 to between 3.3 million and 3.4 million households in 2036. The number of Australian couples without children is projected to overtake the number of families with children to become the most common family type by 2029 or 2023. That means many people will be looking to rent one and two bedroom apartments into the future, as well as one bedroom and study configurations. This also signifies that there will be more couples with disposable income to spend on their lifestyle and leisure, meaning that they could well be looking for luxury apartments in Sydney’s centre.
Your investment properties need something to set them apart
In an environment where tenants currently have their pick of any number of rental properties, offering a truly unique luxury apartment is a point of difference that can set your offering apart from the rest. There is an additional prestige in living in a building designed by a multi-award-winning architect such as Koichi Takada, or one that is right next door to the city’s hottest eating establishments. Others still will look for a modern apartment that has ‘soul’ and a heritage backstory, such as Arc by Crown Group. The more of these unique and distinctive boxes your property can tick, the better.
Resale value could well be higher
There are certain intangible and tangible aspects that add to the value of a prestige property. If you own an apartment in a luxury building that is renowned for its architectural design and amenities, you’ll have the benefit of that reputation when you choose to eventually shift that investment. Buying into a newly built property generally also has the added advantage of lower maintenance and higher resale over an existing building.
Wise investors will realise that compact, beautifully-equipped and architecturally-designed apartments are set to be the desirable home of the future. If you are looking to buy an apartment for sale in Sydney’s CBD, search for quality, proximity to the city centre and for included amenities such as world-class dining, exercise and entertainment.