2021 research shows apartment buyers becoming more savvy
The Australian Apartment Advocacy 2021 research results, which surveyed 3600 apartment owners nationally, of which 1387 were WA residents, has indicated that more information is better than less when buyers are looking to purchase again.
75% of respondents indicated an education kit would be helpful with the purchasing process and 74% indicated an independent inspection to verify the quality of the apartment was now also on their radar.
Furthermore only 17% indicated they felt very comfortable buying off the plan with respondents citing they would be seeking assurance of the quality build (62%), reports such as acoustic testing and water membrane installation (52%) and anticipated maintenance costs (54%) to help them take the leap of faith.
Ms Reece, Director of WAAA stated that since over 70% of apartment buyers were professionals and managers, it was evident that more information to help guide the decision-making process was becoming important.
“How do buyers know if they are buying a Mercedes or Toyota in this current market unless they can ask the relevant questions and be shown the proof,” Ms Reece said.
“With WA’s market hot and apartment approvals being announced daily, some of these companies have only been registered in the last couple of months and so the caveat “buyer beware” is highly applicable.
“It is pleasing to see however that apartment buyers are becoming more switched on and since we launched the WA education kit in November 2020 we have had 5000 downloads.
“This shows us that this tool, which was the first in Australia, has a significant role to play in for-arming buyers to make a wise choice.”
Respondents to the survey also indicated 70% satisfaction and recommendation rates on par with 2019. And surprisingly 79% of respondents indicated that COVID had not dampened their appetite for apartment living, with 10% loving their apartment more post COVID, than pre.
Ms Reece stated that while apartment owners were unlikely to buy again in the next 12 months, 48% of renters indicated they were likely to.
“There is no doubt that we call the apartment lifestyle easy breezy and it's all about safety and convenience,” Ms Reece said.
“Apartments need to be located in a village setting but also need to have a reputable builder and developer so there is long term assurance of your quality build.
“Certainly the recent Pindan situation has reinforced to buyers that purchasing an apartment is a calculated decision and understandably so.”
The education kit can be downloaded from https://www.waaa.net.au/apartment-education-kit.