There are three large growth markets: families, first-home buyers and downsizers.
Most of the recent additions to the new local apartment supply have been one-bedroom and tightly dimensioned two-bedroom apartments. These cater well for people living alone and young couples.
There is an undersupply of three-bedroom and four-bedroom apartments. Rising apartment construction costs – which currently average over $7,100/m² across Australia - has made the provision of traditional apartments very difficult to develop and sell.