The rise of one-bedroom units in Canberra

Canberra’s hot residential market has focused strongly on detached family homes – but there’s strong evidence entry-level, one-bedroom apartments and townhouses are accelerating the buying frenzy.

Just recently, a one-bedroom townhouse in O’Connor sold for an eye-watering $670,000, and there’s plenty of evidence there’s upward pressure on one-bedroom prices.

Steve Langford of HIVE Property says a variety of buyers are active.

“We’re certainly seeing first-home buyers and young couples, but, equally, we’re seeing older buyers looking to downsize,” he says.

“These buyers often have different priorities: younger ones often prefer being in the epicentre of an entertainment hub like Braddon. Older buyers are often happier on the quieter fringes but with easy access to the attractions.”

Langford says privacy is also a driver for older buyers while being part of a community appeals to a younger demographic.

Boris Teodorowych of Boris Property says Inner North and South locations remain popular with one-bedroom buyers.

“People want to be in walkable neighbourhoods with easy access to bars, restaurants, cafes and gyms – it’s all about lifestyle,” he says.

“And many of these are getting out of being renters and into their first homes. Finance has never been more affordable, and it often works out cheaper paying a mortgage than paying rent.”

Teodorowych also says he is now seeing out-of-town investors coming back into the one-bedroom market.

“Canberra is viewed as a safe investment location and offers good value,” he says.

• Location. Central locations remain a strong preference for one-bedroom apartment buyers. The Inner North and South are favoured for their walkable proximities to attractions like cafes, bars, restaurants, gyms and recreational options.
• Space. There’s little doubt there’s been a trend toward shrinking apartment footprints. Buyers place a premium on comfortably-sized living, work-from-home and entertaining spaces – including access to a balcony.
• Research. Buyers recognise the importance of a rigorous due diligence process when buying a property. Builder and developer reputations, structural issues, body corporates, and sinking funds costs are on their radars.

Check out our top pick of one-bedroom apartments for sale:

Turner

View property

Price guide: $390,000 +

Auction: 11am, October 23

Agent: Independent Our Team, Aaron Lewis 0407 121 412

Lyneham

View property

Price guide: $455,000 +

Private sale

Agent: Belle Property Canberra, Leanne Palmer 0400 545 343

Turner

View property

Price guide: $400,000 +

Private sale

Agent: Independent Tuggeranong, Grahame O’Brien 0418 525 437