Melbourne is thriving, and its real estate market is no exception. In recent years, the city has experienced a surge in real estate development in Melbourne, thanks in part to its strong economy and growing population. As you look ahead to 2023, several key trends are shaping the future of Melbourne’s real estate market. This article will explore these trends and what they mean for developers, investors, and homebuyers.
Melbourne’s population growth is driving demand for housing, and high-density living is increasingly becoming the solution to accommodate this demand. This trend is particularly visible in the city’s central business district, where high-rise buildings replace low-rise ones. An estimated 65% of new residential developments in the CBD are high-rise apartments or mixed-use buildings. These buildings feature shared amenities such as swimming pools and rooftop gardens, making them attractive to those seeking a convenient and luxurious lifestyle.
Sustainability is a primary concern for developers and homebuyers, becoming increasingly important in the realtors market. Developers are incorporating sustainable design features and technologies into their buildings, such as green roofs, solar panels, and energy-efficient appliances, to reduce their carbon footprint and appeal to environmentally-conscious buyers.
The Rise of Co-Living
Co-living is a relatively new concept in real estate development in Melbourne. Still, it’s gaining popularity among young professionals and students looking for affordable, flexible housing options. Co-living spaces are typically furnished apartments or houses with shared amenities like kitchens, living rooms, and laundry facilities.
Mixed-use developments are becoming increasingly popular in Melbourne as developers seek to create vibrant, walkable communities offering various amenities and services. These developments typically include a mix of residential, commercial, and retail spaces, and they often incorporate green spaces and public gathering areas to create a sense of community.
The Importance of Location
Melbourne’s real estate market is highly influenced by its unique geography, which has led to diverse and vibrant neighbourhoods with distinct personalities. From Fitzroy’s trendy cafes and boutiques to Toorak’s leafy streets, each area of Melbourne offers its unique blend of amenities and lifestyle options for residents. As a result, finding the right location has become a key factor for homebuyers and renters alike in the competitive real estate market.
Smart Homes and Home Automation
As technology advances, so is the demand for smart homes and home automation. Developers are incorporating smart home features, like, automated lighting and temperature control, voice-activated assistants and security systems, into their buildings to appeal to tech-savvy buyers. These features offer greater convenience, energy efficiency, and security to homeowners.
Melbourne’s ageing population is a driving force behind the demand for age-friendly communities. Approximately 20% of new property developments in the city are designed to meet the needs of older adults, with features such as wider hallways and doorways, grab bars in bathrooms and non-slip flooring. These communities also offer amenities like community centres, social events, and health services, providing seniors with an active and fulfilling lifestyle. As the ageing population continues to grow, this trend is expected to shape the city’s real estate market for years to come, with developers responding to the needs of older adults.
Melbourne’s real estate market is evolving rapidly, and developers, investors, and homebuyers must stay up-to-date on the latest trends and developments. By focusing on the rise of high-density living, sustainability, co-living, smart homes, mixed-use developments, location, and ageing populations, stakeholders can make informed decisions and capitalise on the opportunities presented by Melbourne’s thriving realtors market.