An Untapped Market

An Untapped Market

With Perth house sales down by 8% in June (1), and recent CoreLogic data confirming the Perth medium house price is the lowest across all capital cites (around $458,000), the importance of differentiating the real ‘value’ of your home from others will be vital to achieving the sale, no matter what the season.

From our observations over 20 years, we have seen and heard homebuyer conversation shift from aesthetics and functionality towards performance.

New CSIRO research suggests that over two thirds of home buyers now prefer energy efficient homes when given the choice (2), and 8.6 per cent have a higher purchase preference for ‘sustainability’ features than the standard version of the same design.

Our own research with apartment dwellers has identified a 24% swing towards more technologically advanced (‘future-proofed’) apartments.

Showcasing the special ‘sustainability’ features in marketing (ie. floor plans) and through communications (directly with buyers on-site) requires a more intimate connection with the design and technology, and an ability to highlight their benefits. Understanding how to spread awareness of these desirable features is our specialty.

Consumers have highlighted comfort and liveability as high priority when making home buying decisions. In fact, four main desires included comfort, health, community and affordability (3). The good thing is you don't need to be an architect, academic or scientist to truly understand what it all means.

When selling a home, your marketing and communications should consider how good design and functionality 'feels':

The Bricks & Mortar: A ‘sustainable’ home is comfortable to live in; naturally warm in winter and cooler in summer, offering natural daylight and air movement inside the home. It's a healthy home; protecting occupants from extreme temperature variations, ventilated naturally to minimise pollutants, mould and dust build up, as well as chemical off-gassing from furniture, paint and other nasties used in fit-out. It’s more affordable to run and improves the value and saleability of the home.

The Community at Large: A significant point of difference to the quality of life and wellbeing of your future buyer will be how convenient and accessible places important to them are. Natural or built attributes of a place like local parks, beaches or lakes, schools and hospitals, daycare centres, public transport, restaurants, cafes and shops - these are always desirable.

It will be important to choose a selling agent who can passionately communicate the added value these special features have over all others.

References:

1. https://reiwa.com.au/about-us/news/perth-house-sales-down-in-june,-but-10-suburbs-buck-the-trend/utm_source=pardot&utm_medium=email&utm_campaign=reiwa.com-newsletter

2. https://www.asbec.asn.au/wordpress/wp-content/uploads/2019/06/190701-ASBEC-CRCLCL-Growing-Market-for-Sustainable-Homes-web.pdf

3. Hulse, K., Podkalicka, A., Milne, E., Winfree, T. and Melles, G., 2015, I’d just Google it: media and home renovation practices in Australia.
http://www.lowcarbonlivingcrc.com.au/sites/all/files/publications_file_attachments/rp3021_project_report2016.pdf

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