The news media is flooded with stories, mostly negative, about the Covid19 virus and its impact on the national economy – particularly focused on employment, business confidence, and diminishing international migration so critical to growing our economy, particularly in the property development sector.
However, amidst all this doom and gloom, there have been some interesting and quite positive trends emerging that are really starting to gain traction and the attention of industry analysts and property professionals. That is, the health of the regional markets, particularly in desirable coastal areas that boast a wonderful temperate climate and a relaxed lifestyle, as well as more affordable housing in comparison to larger capital cities.
Real estate agents in regions such as the Sunshine Coast and Wide Bay, are reporting a significant increase in volume of enquiry from expats wanting to return home, as well as a noticeable spike in interest from buyers from more expensive capital cities such as Melbourne and Sydney. International migration may have ground to a virtual halt (temporarily); but interstate and intrastate migration is experiencing an upswing.
In the context of the Covid19 environment, many people – particularly baby boomers and older Generation X’s are reassessing their priorities, as well as looking to free up capital currently tied up in a property that may no longer suit their needs.
The changing face of the workplace is also driving demand for properties in regional areas, as people have adapted not only how they work, but also where they work; the work-from-home phenomenon has been trending for some time but has truly accelerated exponentially during Covid19 restrictions.
Many of us no longer need to be physically present at a premise to be productive and fulfil our workplace obligations. This means, for an increasing number of people, they can relocate anywhere, as long as they have access to fast speed internet; this phenomenon has really opened up regional markets to a wider range of buyers, who no longer have to be tied to a particular location to remain employed. It’s not only property owners relocating, but also tenants, who too can work from home and are also attracted to the lifestyle and climate of some of these areas; thus creating future investment ‘hot spots’ to keep on your radar.
Here at Invest Approved we have been heavily focussing on key regional lifestyle locations as huge growth areas for investors for some time now; the Covid19 pandemic actually boosted rather than prohibited the demand for properties in many of these markets.
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