Big homes hold their appeal

We may be having fewer children, but demand for four and five-bedroom homes in Sydney shows no sign of falling in line with family size.

We’re still just as keen to buy big homes – if we can afford them – and while that might once have been for kids to each have their own bedrooms, today we have multiple uses for the space.

Now we like to be able to use extra rooms for children’s homework, for older children to stay on throughout university and well into their working lives, for parents to have a study and separate TV room, or to accommodate extended family and guests.

“For a lot of people, three bedrooms just isn’t enough,” says Peter Baldwin, director and chief auctioneer of Richardson & Wrench. “People from new cultures need extra bedrooms for their extended family and, with the cost of care for older people, others like to use them for grandparents, too.

“Also, we’ve found couples are planning their next home on a 15-year plan and missing out stages of moving from smaller to medium-sized homes to bigger ones to save on stamp duty in the future. And then we have mum and dad coming to stay to help with the mortgage, so those extra bedrooms are a huge bonus.”

The trend runs counter-cyclical to population changes, with census data showing the average household was 4.5 people in 1911, compared with 2.6 in 2011, with the Australian Bureau of Statistics projecting that to drop further to between 2.5 and 2.6 by 2036. The Australian Institute of Family Studies reports the fertility rate in Australia in 2012 to be 1.93, as against 3.55 in 1961.

Yet the growth in prices for four-bedroom homes has remained relatively strong, at 37.8 per cent over the past five years and 12.7 per cent over the past year, according to Domain Group senior economist Dr Andrew Wilson, with the median price across Sydney now $930,000. By contrast, prices of three beds, with a $750,000 median, have grown only a fraction more, at 42.9 per cent over five years, and 15.7 per cent last year.

“Four-bed homes are probably more prevalent in the older suburbs, although in the eastern suburbs they’re at a price point of $3 million to $5 million,” says Angus Raine, executive chairman of Raine & Horne.

“They’re better value on the upper north shore where there are a lot of big blocks and homes, and you get more bang for your buck, while in the newer suburbs around the north-west and south-west of Sydney they’re less common, or tend to be a lot smaller.”

The most affordable then tend to be in the middle and outer rings of Sydney, advises property analyst Louis Christopher of SQM Research, with supply increasing in the outer areas as more land is released for development.

“It’s an interesting fact that the larger the property, in terms of land size, the lower the price per square metre,” he says. “Newer properties tend to be a bit smaller, and may look cheaper, but in terms of price per square metre, they tend to be more expensive.”

Christopher tends to favour Wahroonga on the upper north shore, and around Liverpool in the south-west for value-for-money four-bed homes, while Raine rates the upper north shore’s St Ives, Roseville, Turramurra, Lindfield and Warrawee.

For those who like to be closer to the city, Baldwin suggests a four-bed – or a three-bed-plus-study – terrace in some parts of the inner west such as Newtown, or out towards Gladesville, and Moorebank and Hurstville.

Elsewhere he favours Ryde, Forestville, Eastwood, Epping and Beecroft.

“Then there are suburbs not usually considered sexy, but which offer value for money for four beds,” Baldwin says. “Those include North Rocks and Winston Hills, while on the northern beaches there’s Beacon Hill and Narraweena, and down south there’s still value in Miranda, Caringbah and Loftus.”

Case study: Loved having plenty of room

Kevin and Jan Craik at their four-bedroom home in Ryde.

Four-bedroom homes can have plenty of different uses. For growing families, they can provide bedrooms for each of the kids, and for older couples they can accommodate visiting grandchildren.

But for busy retirees Kevin and Jan Craik, a four-bed house has been perfect for allowing each of them to have a home office over the past 11 years, as well as using the one left over for guests.

“Often our grandchildren have ended up sleeping on the floor of my wife’s office!” says Kevin. “We’ve loved having plenty of room to give us each a study, as well as the rest of the house too, and our grandchildren haven’t minded.”

Kevin, 79, and Jan, 72, both still work for the Christian ministry, but are now selling their spacious home, with its four bedrooms and two bathrooms, at 22 Forrest Road, in Ryde, to downsize to a retirement village.

Their single-level brick house, with its outdoor entertaining area and low-maintenance lawns on a corner block, is being auctioned on April 30 with a guide of $1.25 million, by Ray White Gladesville and Ryde agent Neil Robson (0414 598 554).

They’ll miss all the space, as well as the house’s position opposite Ryde Secondary College, but they feel it’s time. “We will miss that house,” Kevin says. 

“We’ve got good friendly neighbours, which is a big bonus and counts for a lot, and we’ve loved being opposite the school. I’m going to miss seeing the kids having fun.”

Feature property

75 Spencer Road Mosman

75 Spencer Road, Mosman 
Guide: $4.5 million – $4.7 million

In the first 24 hours of this five-bedroom, three-bathroom home being put on the market, agent David Murphy had received 30 inquiries. 

“Usually, people will just make a note of the viewing time and come along,” he says. 

“But even though we’d advertised the open homes, they still kept ringing, and some to ask for contracts before they’d even seen it!”

While the number of bedrooms is a major lure, the as-new condition of the redeveloped Federation house is another factor. It’s been almost completely transformed beyond its front facade into a very contemporary, state-of-the-art home on one of Mosman’s best streets.

Inside there are airy, light, open-plan interiors – with fireplaces, ducted aircon and underfloor heating – which flow to the outdoor room with a northern aspect, landscaped gardens and gas and solar-heated pool. Underneath, there’s lock-up garaging for three cars, as well as a wine cellar and media room.

The home, being sold by private treaty, is within walking distance to schools, shops and public transport, while it’s only a 10-minute drive to the Sydney CBD.

“Demand is very strong as it’s beautifully finished with nothing to spend on it,” says Murphy of David Murphy Real Estate (0425 312 481). More information: Domain.com.au. 

Or try these:

15 Palm Street, St Ives
Guide: $1.5 million – $1.65 million

With four bedrooms and three bathrooms, competition is expected to be fierce for this single-level, low-maintenance home. “We’re finding four-bedroom homes are certainly very popular,” says agent James Yahl of Savills Cordeau Marshall (0422 294 952). On more than 1000 square metres, it has spacious living areas that lead to a private courtyard and north-facing outdoor entertaining zones. More information: Domain.com.au

22 Terracotta Road, Moorebank 
Guide: $1.15 million – $1.25 million

This two-year-old home has four bedrooms and a downstairs study that could be used as a fifth, as well as three bathrooms and lovely views over parkland. “People seem to be looking for larger family homes in this area,” says agent Daniel Hall of Prestige Professionals (0416 091 220) who’s auctioning the property on April 23. “They can be more affordable here than in other areas.”  More information: Domain.com.au

33 Darcey Road, Castle Hill  
Guide: $1.3 million – $1.35 million

On the popular Castlewood estate, this four-bedroom, two-bathroom home for sale on a large 750-square-metre block has a separate dining area and rumpus room, perfect for a growing family, while there’s a study off the main bedroom. Outdoors, there’s a pool, lawns and paved entertaining area. “Four-bedroom homes are always popular,” says agent Craig Alexis of Gilmour Property Agents (0414 899 777). More information: Domain.com.au