Four property trends that are here to stay in 2022
Each year we see trends in the property market, and 2021 has revealed a few. Some are driven by external factors like economic policy and even a global pandemic.
Others are the result of incentives such as first home buyer grants, or more general trends like demographic shifts.
So, what are the property market trends that are likely to stay beyond the new year and into 2022?
Relocating for lifestyle
Since early last year, there has been a major shift towards lifestyle locations. This has been driven by COVID-19 and our desire for greater space, and perhaps a seachange or tree change.
That trend is likely to remain in 2022, although the steady stream of residents exiting major cities could slow a little as life becomes a little more normal.
In fact, one trend that could become apparent in 2022 is a resurgence of the city unit market when it comes to purchases and rentals.
This might be initiated by the realisation there’s an opportunity to embrace the best of both worlds. Not only can you have a lifestyle property to retreat to, you can have a city apartment too.
Working from home
The past two years have seen Australians embrace working from home. Many people aren’t looking to give up this convenience in a hurry.
That means people will continue searching for homes with features like home offices or separate study areas.
However, as the CBDs reopen, this working from home might not be full-time. Instead, people might have a weekly routine where a couple of days are spent in the office, and a couple are spent in the comfort of their home.
Livable spaces
Our living spaces have become hugely important over the past two years. From balconies to patios, bigger backyards, storage spaces and granny flats, we want our homes to better facilitate our lifestyle, with enough room for all members of the family.
This too is a trend that will continue, with many people capitalising on the additional equity in their current home that price increases have provided to make the move to somewhere that better suits their needs.
Property as a valuable asset
Property has always been the great Australian dream. Current low interest rates mean many people are seizing the moment to make that dream a reality.
At this stage interest rates do not look likely to rise in 2022 which will maintain momentum in the property market.
What might change is the pace of that momentum. The price growth we have seen across the property market – in all capitals and many regional areas – has been incredible this year, and that rate of increase cannot continue indefinitely.
Instead, it’s likely that price growth will moderate in 2022.
With borders reopening and prices at a high, those who have been considering bringing their homes to market are now taking the plunge, which will result in more balanced supply versus demand.
For buyers, that’s likely to provide more choice, but it’s likely sellers will still enjoy solid results.
Australia’s passion for property is unlikely to abate quickly, with bricks and mortar proving one of the most consistent financial assets available.
Looking to buy or sell?
If you’re considering buying a property or perhaps selling your existing home, why not chat with one of our friendly Eview agents on 1300 438 439?
