Apartments might have been underperforming in the Sydney property market but now’s their time to shine. We’re particularly shining the spotlight on high-end, family-friendly apartments close to good schools and transport links. Here are five reasons why they’re great future-proof investments.
5 reasons to invest in a high-end Sydney apartment
1. Investing in quality pays off
The saying “buy the best you can afford” holds true for property investments. While an entry-level apartment might seem appealing, opting for a higher-end offering within your budget unlocks several benefits, including stronger capital growth.
Additionally, spacious apartments designed for families cater to a growing demographic. With urban living gaining traction, well-located, larger apartments and townhouses in areas with good schools and transport links hold inherent appeal for families seeking convenience and a comfortable lifestyle.
This wider attraction translates to higher demand and potentially stronger rental yields or resale value. With CBRE estimating the median rent for a two-bedroom apartment in Australia’s capital cities increasing by $120 per week (26%) between 2023 and 2028, now’s the time to hop on board.
2. Reliable rental income with the right tenants
Sydney attracts talent from various industries, leading to a high concentration of professionals with stable incomes. Targeting high-end apartments means attracting tenants who are happy to pay top prices, ensuring consistent and reliable rental income.
This income flow helps offset mortgage payments and provides a steady stream of passive income, contributing to your financial security and capital growth.
3. Capitalising on Baby Boomers
Baby Boomers are downsizing from large homes and “rightsizing” into more manageable residences. This trend creates a readily available pool of potential buyers for well-located, high-end apartments.
Mature buyers often seek convenient, low-maintenance options close to good infrastructure, amenities, transport links, and healthcare facilities. This aligns perfectly with the features many premium apartments offer. When it’s time to sell, this demographic becomes a valuable target audience, increasing your chances of finding a buyer quickly and at a desirable price.
One of our latest projects, The Village Green, is a solid option, with townhouses next door to amenities. The Boulevard also offers stylish living in the heart of Rouse Hill Town Centre.
4. Global appeal to investors and migrants
According to SQM Research, Sydney’s residential vacancy rate currently sits at 1.3%. It hasn’t been this low since 2010. Many factors are behind this, including the influx of migrants to Australia.
Over 700,000 migrants moved to Australia in the 22/23 financial year, and many sought to make Sydney their home because of existing jobs, connections, or schooling. Sydney also attracts affluent overseas investors who prefer city living, placing high-end apartments in prime locations in heightened demand.
Investing in such properties opens you up to broader buyer and tenant pools, offering greater liquidity and potentially higher returns in the long term.
5. Value retention and future flexibility
A well-built apartment with high-quality finishes offers inherent value retention. Strong construction and superior materials reduce maintenance needs and ensure the property holds its appeal over time.
Moreover, adding further value through personalisation exists. This allows you to tailor the space to your own preferences while increasing its appeal for future buyers or renters.
The flexibility of high-end apartments is another key advantage. They can seamlessly transition from investment properties to comfortable homes if your circumstances change, making them adaptable to your evolving needs.
Investing in premium apartments offers benefits like capital growth, stable income, and value retention. You must not get frustrated by short-term returns and focus on the bigger long-term picture. If you’re thinking of selling your home, get in touch today and we can talk through some of our services, which include helping you transition to a new home.
Investing in real estate or looking to sell?
If you’re looking for a new home, we have upcoming projects that perfectly fit this brief. So, when you’re ready to take the next step and bag a future-proof investment, contact our team.
