'Higher demand' for detached residential properties
The property market may soon see a rise in levels of first time buyers and detached house renters ...
The property market may soon see a rise in levels of first time buyers and detached house renters as current apartment dwellers grow older and begin moving away from multi-unit dwellings.
Industry analyst group BIS Shrapnel has forecasted the move based on data from the Australian Bureau of Statistics.
"Assuming the current 20 to 34 year olds in multi-unit dwellings move on to separate houses, as has already been evident among 35 to 49 year old households, then this will translate to higher demand for new detached houses" says Angie Zigomanis, senior analyst for BIS Shrapnel.
Zigomanis' prediction aligns with high levels of sentiment for the future of the residential property market in Australia.
Now at an 18 month high, sentiment for the June 2013 quarter rose from 107 to 124 (where 100 is considered a neutral score), according to the latest Property Council-ANZ Property Industry Confidence Survey.
BIS Shrapnel has offered an alternative scenario however, saying that 20 to 34 year olds could possibly continue to enjoy the lifestyle of living in multi-unit dwellings such as apartments.
This scenario is most likely in Sydney, where households already have a high propensity for townhouses, units and apartments.