Are we over-building?

Discussion in 'Property Market Economics' started by snowfree, 4th Nov, 2015.

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Are we over-building residential housing in Australia now?

  1. Yes

    58.8%
  2. No

    41.2%
  1. sash

    sash Well-Known Member

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    Sure...are you coming to Wenty..we could have chat then?

    100% agree this is the future...my basic developments subscribe to this philosophy. Interestingly enough the ones I design get about the same rent as the larger houses. So there is definitely demand. I also have had decent capital gain..but as to lot...only the future will determine that.
     
  2. Biz

    Biz Well-Known Member

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    Andrew, there are few other options. Where are people out here supposed to live? Under a bridge?

    The big players have the market sewn up between them. They do what is most profitable for them and what serves the vision of the council.

    Councils out here want higher density and developers want to make more money.
     
  3. AndrewTDP

    AndrewTDP Well-Known Member

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    Councils want higher density so they can actually provide services in a cost effective manner and minimize environmental impacts.

    Is losing some of the best agricultural land around or the last patch of remnant bushland worth a dedicated home theatre in every new home built?
     
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  4. Biz

    Biz Well-Known Member

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    No, but we have no shortage of land in Australia. Instead of forcing people onto continually smaller blocks in a spralling mess more should be done to increase populations in regional areas.
     
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  5. Biz

    Biz Well-Known Member

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    Nobody looks at a 390m2 block and says "Yay!!! Zero lot line, 1x side access, 1x garage that can barely fit a corolla and neighbours right on top of me."

    It's not a bad idea from a rental perspective because people will always rent a property at the right price and you never get more rent for a bigger back yard anyway but in terms of a livable community the direction they are going is wrong imo.

    We bogans need our space, yo.
     
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  6. AndrewTDP

    AndrewTDP Well-Known Member

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    We do have a shortage of land where people can actually live, and where basics of life, such as water, are a reliable resource.

    Decentralisation is a good policy. But it also requires involvement from business, government and the community. Are you going to move to Echuca without any form of employment being located there? Or is it an answer for someone else?
     
  7. AndrewTDP

    AndrewTDP Well-Known Member

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    I think the median house price in Woolaraha vs Camden might disagree with you there.

    Smaller lots in locations close to services, facilities and lifestyle factors are in demand. A different market to those seeking a project home on new subdivision with a 5km drive to the nearest school, but a very strong market.

    A zero lot line (900mm side setbacks are a useless waste of space anyway), a single car garage and even a 250sqm block of land in a good location where I can walk or ride most places on a weekend sounds pretty much ideal to me.

    In terms of liveable communities, taking the focus away from the inside, and putting it back on to the street and public spaces is actually a positive. It removes social isolation, and actually fosters community. You have shared spaces in the public sphere. You interact in those spaces. Your kids play together in those spaces. They don't just turn their back on the street.
     
  8. Biz

    Biz Well-Known Member

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    Western Sydney is never going to be Woolahara. Packing houses in close together doesn't make a suburb.

    Ideal to you, not ideal for the people who live out here and need cars to get around or have families with 3 or 4 kids and all the junk that goes with it. Again, smaller blocks don't solve the issue.

    Again, it's what you think is ideal. The reality is it's not what people out here want.
     
  9. Perthguy

    Perthguy Well-Known Member

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    The shortage of land is where people want to live. As a general rule, in Perth, the land on the fringes of the city is cheap. But people might have to travel more than an hour to get to work. Land near the CBD is expensive and limited. People want to live there. This is another reason for increasing density. It allows more people to live where they want to live.

    I don't agree. There are a lot of people who want no yard at all and some who like the security of an apartment. The block I live on is 357m2. It has too much garden for me :p I know a lot of people who want less garden than that.

    Decentralisation is a noble ideal but not really realistic in Australia. Mostly, people want to live in the major cities. I'm not sure this is going to change any time soon.
     
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  10. AndrewTDP

    AndrewTDP Well-Known Member

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    But you are making out that it doesn't suit anyone.

    I'm saying it should be an option, because it suits people that aren't you.

    You want a bigger house and a bigger block of land? Pay more. It shouldn't be an automatic right to have more space than you actually need. It should be something you work towards. Hell. UK house sizes are sitting at about a third of what they are here. And they don't even have good weather to utilise parks and open space.

    Simply put, average household sizes are decreasing. Car ownership is decreasing. House sizes are increasing and are now the biggest in the world. Something is wrong in this equation.

    Long term planning is about looking at these demographic trends. Not what suits one suburb in one area.
     
  11. AndrewTDP

    AndrewTDP Well-Known Member

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    I don't disagree with any of that at all.
     
  12. Biz

    Biz Well-Known Member

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    I want to but the developers are not releasing them in sizes between 600-1000m2.

    The only options are buy and existing house and knock it down, buy a corner lot (you lose most of the extra size to set backs anyway) or there is one estate where there are bigger blocks but the council raised a special levy on it and you have to pay $3500 a year so the developer can maintain the trees...

    I'm not alone with what I want it's just not offered because as I said the big players have the market sewn up and do what is most profitable for them.
     
  13. Spanna

    Spanna Well-Known Member

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    Interesting discussion .
    I feel in reference to the cooker cutter estates Biz refers too he is spot on
    However these suburbs will devalue sharply over the next 10-15 years (relative to established middle inner ring suburbs)
    I think there will be a tipping point (which for some has been and gone) were the market start to steer the product to Inner ring (2-7km cbd) well thought out and designed, med - high density with clever communal spaces (i.e shared workshops,/ place to wash your car / bike storage/ pool bbq areas / veggie gardens) will lead the way.
    It will be very exciting to watch this come to market and see how it is received. I would love to be a part of a project that isn’t entirely driven by the bottom line and more about creating sustainable architecturally intelligent housing. (Although I think the demand would be so great for this product that it wouldnt be a problem)
     
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  14. Perthguy

    Perthguy Well-Known Member

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    It doesn't need to be close to a CBD to work. This estate is doing that type of thing 3km from Freo. Developers are apparently falling over themselves to get involved. Interesting project:

    LandCorp - Residential - WGV
     
  15. JDP1

    JDP1 Well-Known Member

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    Yes, correct. A lot has been written in various publications about future demographics.
     

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