Real Estate

commsec victoria has nationaes biggest houses defies shrinking trend

Written by The ReReport

Melbourne’s average house size has gotten bigger for four straight years, defying a national trend of shrinking house sizes.

Victoria is home to the biggest new houses in the nation.
And it’s defying a national trend of shrinking homes.

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The CommSec Home Size Trends report has revealed the average Victorian house has risen for four straight years to a hefty 244.8sq m — not far shy of the city’s 252.5sq m peak set in 2009.
It’s well above the 230.8sq m national average, which has plunged as Sydney house sizes shrunk close to 50sq m in the past decade.
The city’s average unit, townhouse or apartment offers just 130sq m of interior space, having dropped almost 30sq m from 2010 as a rising number of apartments have been built.
CommSec chief economist Craig James said the Australian Bureau of Statistics data they had analysed showed Victoria was bucking the trend.
“Victorian house sizes have held up reasonably and have increased over the last three years,” Mr James said.
“So Victoria is somewhat against the trend.”

Modern suburban houses on the hill in MelbourneThe city’s urban fringe has allowed homebuyers to keep building larger homes than the national average.

Mr James said the growth in house sizes would be linked to the continued demand for and availability of house and land packages along the city’s urban fringes.
But with the size of the average block of land reducing in Melbourne, the ability for houses to continue growing in size might be limited.
Urban Development Institute of Australia Victorian chief executive Danni Addison said the figures reflected the good “bang for buck” in Melbourne’s growth areas.
“The availability of greenfield land for urban development has meant that homebuyers have had the ability to buy a lot and build a house for an affordable price, meaning good bang for buck for new houses in Melbourne’s growth areas,” Ms Addison said.
She said the rise of new apartments in the city would have contributed to the reduced average unit size.

“But the strong delivery of new apartments in Melbourne’s inner suburbs has also assisted in keeping overall housing price growth less than it may have been across the metropolitan area,” Ms Addison said.
“As Melbourne’s urban fabric changes and densifies, apartment living is a lifestyle more people are choosing.”

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