09 Nov 2016

Why now is a good time to downsize

Media Release. 

Record property prices means now is a great time for those home owners considering downsizing to sell the family home and move into something more appropriate for their age and future needs, says Australia’s largest professional body of buyer’s agents.

Real Estate Buyers Agents Association of Australia (REBAA) president Rich Harvey said many downsizers were time poor and overwhelmed by the amount of information available to them in the property hunt.

“Generally speaking the older generation are reluctant to leave the family home so a buyer’s agent can help smooth the process,” said Harvey.

“Buying a home can be a daunting task for anyone let alone someone who hasn’t been involved in the property market for 20 or more years, particularly in a highly competitive market such as Sydney and Melbourne’s.

“The last thing you want to do as you enter retirement, is to make a poor investment decision and overpay for a property when you’re at an age when you can’t recoup the losses.

“A good buyer’s agent can help search, evaluate and negotiate a more suitable home, relieving the buyer of unwanted stress and time pressures.

“Engaging a buyer’s agent adds yet another layer of protection for the insecure buyer by analysing the data, negotiating on behalf of the purchaser and ensuring they make an informed decision rather than an emotional one.

According to the Property Council of Australia by 2025, the demand for retirement living accommodation for people aged over 65 years is expected to double.

Harvey said many councils around the nation were planning for future demand and actively encouraging investment in residential aged care as Australia’s baby boomer population starts to age.

NSW is proposing to have medium density developments become “complying developments” which will speed up approval processes and deliver much needed townhouse and villa –style houses for downsizers closer to shops and transport.

REBAA supports the property industry’s call for greater government concessions to encourage downsizers to free up the housing market and move to lower maintenance, medium density housing.

These incentives include stamp duty concessions for downsizers and subsidies for buyer’s agents’ fees.

“When downsizers move out of their home it encourages the next generation of families to move in and renovate, prompting a positive ripple effect in the neighbourhood,” Harvey claims.

“While there has been much debate stirred up recently by demographer Bernard Salt’s ‘smashed avo’ analysis, we believe the focus should shift toward the real and more serious status of government incentives.”


For more information contact: Merrett Pye » 0422 096 049