The average homeowner in Sydney's Eastern Suburbs is holding onto their home for 9.9 years, which represents a 3.9-year increase on the time they stayed in their house twenty years ago. The ongoing decline in the number of sales is the best evidence for this trend.
You are not alone if you are thinking of selling but haven’t found a home you would like to live in. That is why the number of people using the services of a buyer’s agent has grown rapidly over the years.
The average homeowner in Sydney’s Eastern Suburbs is holding onto their home for 9.9 years, which represents a 3.9-year increase on the time they stayed in their house twenty years ago. The ongoing decline in the number of sales is the best evidence for this trend.
I believe that there are a number of factors that have contributed to this increase, the first being the lack of properties on the market, as evidenced by a decline in the number of sales transactions in the last few years.
As opposed to other supply and demand markets, the stock level in the property market largely depends on the number of people purchasing and selling properties.
As a result of one group not selling, another group becomes more hesitant to sell, resulting in a domino effect. An example is the downsizing sector, which is driven by older members of society who want to cash up and move into a luxury oversized apartment.
The problem with this is that the price of an apartment in Dover Heights or Rose Bay is equal to or greater than the potential sale price of house in those areas.
In the 12 months to February 2023, only 4 per cent of Sydney homes sold. Even at the height of the boom, turnover wasn’t much higher, at 5.9 per cent.
It appears that many homeowners are opting to stay put rather than purchase elsewhere, and extend or renovate their homes to accommodate their changing needs.
