Although freestanding houses remain the preferred housing type in Australia, there has been such a boom in apartment living in Sydney and Melbourne over the past decade that skylines in both cities have been reshaped. Since 1991, the number of people living in high-rise apartments (more than four storeys tall) has more than quadrupled.
Did you know 1 in 10 Australians now live in an Apartment?
Which is a big plus for the environment. It’s estimated 300,000 more houses would have been added to Sydney’s suburban sprawl, devouring more farmland and wilderness, had the apartment boom not happened.
Most people choose apartments because of the convenience of living near work, schools, shops and public transport. 20% of apartment households do not have a registered vehicle.
Whereas apartment living was once the domain of singles, couples and students, more and more families are choosing this low maintenance lifestyle that ‘feels more like living in a hotel’.
No more garden or building maintenance and all the benefits of living closer to our major CBD’s, at a fraction of the cost of buying a free-standing house in the same suburb.
The potentially lower price point of apartments also allows savvy investors to build up a diversified portfolio quickly.
You may have heard some bad press about flammable cladding and the structure of a couple of developments, but you will not have these issues when buying into new developments.
The ACP Cladding that caused the Sydney’s Opal Building disaster is no longer used, and the Government is in the process of replacing ACP cladding on existing buildings. In addition, Australia has very strict building codes that require extensive sprinkler systems and evacuation routes which means that our apartments are as safe as possible.
In order to prevent any Structural flaws not being identified at design stage, Victoria has Legislation that requires certification from a 2nd Engineer to independently certify the design. NSW is now legislating the same requirement, which along with Australia’s already stringent building codes, will offer further consumer protection and reassurance in the quality of Multi-Residential Developments.
So overall, Apartments are a good opportunity to live closer to our major CBD’s, with a relatively low entry price compared to buying a house in the same suburb.
And for investors they offer an affordable entry point into the market, in locations that may be beyond an investor’s budget if they were looking at houses.
Inner city locations are highly sought after and are more attractive to tenants; offering higher rental yields, low vacancy rates and investment security.
- A Location that has a high demand and with an under-supply of apartments
- A Developer with proven reputation for quality and timely delivery
- A Highly-Reputable Builder with a proven track record
- A Development that offers something special or unique
- That the property is Well Priced and preferably Under Market Value
- Properties that are Selling Fast so that the minimum sales will be achieved for finance and the build will proceed
Blaq Property have relationships with reputable developers Australia Wide and early-bird access to upcoming projects. We also have access to premier developments that only sell privately and are not available to the general public.
This means that when you work with us, you get to choose from the best apartment developments in the best locations in Australia.
Book in a 15 minute chat to see if buying an apartment is right for you!
Upstairs or Downstairs?
For some it just comes down to floorplan and price, but others weigh up the pros and cons of the two choices…
The main advantage of ground level apartments is they often include courtyard areas that are much larger than balconies
- Access to common grounds: Many developments have lovely gardens and shared outdoor spaces that can be viewed from your apartment and easily accessed- almost like an extension to your courtyard!
- Quicker access:
You get to your front door quicker via a shorter lift ride
- No neighbours below:
No need to worry about bothering underlying neighbours, especially if you have children.
- Improved views:
Views attract a premium when selling, especially in cities and near water.
- More security and privacy:
Upstairs apartments are positioned further away from the street and generally have windows that are not accessible.
- More natural light:
This is important in the inner-city, where there is often more overshadowing from tall buildings.
- Privacy/security concerns:
This is particularly so in inner-city areas, where a high proportion of the population are professional single female tenants and security is a top concern, and is reflected in rent prices
- Noise and disturbance:
Ground floor can be very noisy in regards to foot and vehicle traffic and being close to a side driveway means vehicle lights can often shine into living rooms.
- Upstairs neighbours:
The noise produced by apartments above can be a concern for buyers and tenants (though this can apply to all levels bar the penthouse!)
The higher the level the longer it takes to reach your apartment from the carpark.
- Can be hot:
Depending on the apartment’s aspect, upstairs and top-floor apartments can get quite hot in summer.
The Sunset Clause
A sunset clause is a statement in the contract of sale that effectively puts a time limit on the contract’s validity. Should the developer fail to complete the project (either a land subdivision or an apartment build) by the date outlined in the sunset clause, the contract is declared null and void and the deposit returned to the buyer.
The clause is meant to protect the buyer from excessive delays. But, in recent years, some developers have purposely run over the time outlined in the sunset clause, so that they can terminate the contract and attempt to re-sell the apartment for a higher price.
As of June 2019 and backdated to 23 August 2018, Victoria have addressed this with new legislation that under the Sale of Land Amendment Act 2019 (the Act), developers will only be able to exercise a sunset clause with written consent from the buyer, or permission of the Supreme Court of Victoria.
Note: NSW has had this Legislation in place since 2015.