Compromise deal could save Sydney homebuyers $290,000

Over the past decade, they have raised two children, Hamish, 10, and Julia, seven, hosted a Dutch exchange student and even had Felicity’s brother and his family live with them for a while. They have been able to do all this comfortably thanks to their spacious five-bedroom property.

“We have a playroom, an office, a formal lounge and a casual lounge. So we wanted the kids to have their own space and be able to do their own thing,” Davidson said.

After renovating their own home in Pymble, the family were looking to find another five-bedroom home. She had enjoyed renovating the home she had lived in for more than a decade and was looking forward to starting a new project.

Their selling agent, Rowan Lazar of Ray White, said many buyers in the Pymble area had parents helping to look after the children, so they wanted a home that would suit multi-generational living.

Mr Lazar said most buyers coming to the Ku-ring-gai area were moving from the eastern suburbs or inner west.

“Here we are, from Roseville to Wahroonga, with lots predominantly around 900 square metres and houses typically around 3 to 400 square metres, so we have pretty much the largest lots and houses in most parts of Sydney,” he said.

Mr Powell said the price gap between two- and three-bedroom properties in Sydney was wider than in all other capital cities.

Thomas McGlynn, chief executive of BresicWhitney, has found that since white-collar workers returned to the office, more people are interested in extra bedrooms than extra floor space.

“Especially in the downtown market, so downtown townhouses and condos have been very, very popular over the last three to six months. A lot of that is because people want to get back to living, to be close to restaurants and a vibrant city,” he said.

“There’s no doubt people want space. That’s why we’ve seen a resurgence in the apartment market, because people are compromising on space … they can’t afford a four-bedroom house, but they might be able to find a four-bedroom apartment.”

Powell said that while the need for individual home workspaces has shifted away from open-plan designs during lockdown, those who are able to continue working remotely may choose to compromise on location.

But in Sydney, buyers who can’t afford the extra space are more likely to sacrifice size.

“For a house, the value is in the land and the asset will appreciate over time, but I think it just shows the premium that land has in a city like Sydney,” she said.