Queenlanders building new homes are leading a bigger house boom.
With Brisbane’s house price rocketing $553 a day over the past year, and the city now Australia’s fastest-growing property market, an increasing number of so-called “upsize” buyers are building a second storey rather than financing the purchase of a larger block of land.
Burbank, which constructs houses in masterplanned communities, in emerging greenfield belts, has banked a 78 percent increase in the number of deposits for double-storey homes in the past 12 months.
The spike in double-storey building, from such a large-scale construction company, has been driven by the rising cost of land and the pandemic-induced desire for more space.
Ipswich and Logan home builders have been leading the move towards dual-level properties, according to Burbank’s figures.
Instead of buy larger blocks, at a runaway premium, a growing cohort of homeowners are instead building upwards on more economical and compact square metreage. House and land packages cost $25,000 more than six months ago, according to Burbank. But by comparison, Brisbane’s median house price grew almost $202,000 in 12 months (from March last year to this year).
Brisbane’s median house price lifted 32.1 per cent – more than any other state of territory – over a year, Domain’s latest House Price Report shows.
The median now sits at a tick over $831,000 – a new record and the steepest annual rate of growth in Brisbane in 18 years, Domain’s research team found.
Burbank’s Queensland state general manager Adriano Rosson said the shift toward double storey is unprecedented.
It’s not only a trend in metro-fringe postcodes. Knockdown-rebuild owners of smaller inner-city blocks – under 400 squares – are also running hot with enquiries for dual-level houses, he said.
The double-storey trend is led by upsizers, who are typically second or third-home buyers, Mr Rosson said.
Given land affordability is becoming an increasing issue, people are moving further out from the centre of Brisbane, and it is via necessity but becoming a choice, that they can build up rather than out, because the land sizes do continue to get smaller,” he said.
“With people staying home, they want more livable spaces…multiple living areas, work spaces. They are connecting with outdoors area more because they are spending more time at home.
“It is really an upsizer – a second and third home buyer (choosing two-storeys).
They are building to accommodate their changes needs, which is including those livable areas and those work spaces. It is being driven by life events, and COVID is an example.”
Article source: www.nine.com.au