Home Prices Shift with Reduced Demand for Homes in Suburban Areas Due to Covid Impact

Sunday, 1 September 2024, 03:30

Home prices are experiencing a surge as demand for homes in major capital cities increases, reversing the Covid impact trend of seeking properties in nature. This shift is particularly evident in cities like Brisbane, Adelaide, Sydney, and even international hubs like Hong Kong and Singapore. Analysts predict that buyers are prioritizing urban living due to employment accessibility and modern conveniences, redefining post-pandemic housing preferences.
South China Morning Post
Home Prices Shift with Reduced Demand for Homes in Suburban Areas Due to Covid Impact

Demand for Homes in Capital Cities Surges

As home prices rise, a notable shift is occurring with homebuyers concentrating their demand in major capital cities. The Covid impact witnessed during the pandemic, where demand for homes close to nature peaked, is now reversing.

Key Trends in Property Markets

  • Brisbane: New house approvals increased by 8.8%.
  • Sydney: Demand in metropolitan areas remains strong despite overall fluctuations.
  • Hong Kong: Buyers are avoiding outer areas like Sai Kung, affecting property prices.

According to Liam Bailey of Knight Frank, buyer preferences are shifting back towards urban areas, reflecting a return to normalcy post-Covid. This trend suggests that capital cities will outperform regional areas in terms of sales and property values.

International Insights on Housing Demand

  1. Singapore's property market shows resilience with luxury segment growth.
  2. In the UK, London’s property growth estimate stands at 2% this year.
  3. Demand dynamics in regional areas have softened significantly.

Experts agree that properties in major urban centres are poised for sustained appreciation as the demand for homes continues its upward trajectory.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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