Tree-change trend tipped to continue despite return to CBD offices: survey
City dwellers are set to keep making tree-change plans this year, even as some employers attempt to encourage workers back to CBD offices.
Residents of the capital cities are seeking more space, results of a new survey show, while real estate agents in coastal lifestyle towns have been surprised by the trend’s duration.
Although tree changes were popular before COVID-19, the pandemic lockdowns and shift to remote working prompted an exodus into regional Australia.
But with house prices skyrocketing in the largest cities and many employers allowing staff to stay working from home a couple of days a week, the appeal of greener pastures remains strong – even if the breakneck pace may not last.
Three-quarters of Australians plan a change to their housing situation in the next five years, a survey from Westpac found.
About 27 per cent of Australians want to live somewhere regional, more than a third of whom currently live in a capital city, according to the research.
Reasons for the move included a desire to live somewhere less populated (43 per cent), a need for more space (37 per cent), and a lower cost of living (37 per cent).
And some of the most popular regional areas among respondents included Byron Bay or Coffs Harbour in NSW or Torquay in Victoria. The bank surveyed 2086 Australians in February.
“The desire for more space post the coronavirus-pandemic, where suddenly their place of home became their place of work, we saw that driving different preferences,” Westpac managing director of mortgages Anthony Hughes said. “For example, valuing backyards, parks, and beaches.
“We do see [the tree-change trend] continuing but perhaps not at the same pace as the last 12 months.
“Property prices are still more affordable in the regional areas.”
Separate figures on Tuesday revealed the sharp population growth in some of regional Australia’s most popular spots.
In NSW, the Byron shire recorded a 2 per cent rise in population over the year to June 30, a period that only includes the start of the pandemic, on Australian Bureau of Statistics data.
Other rises included Shellharbour and Shoalhaven on the south coast, at 1.9 per cent and 1.5 per cent, respectively.
In Victoria, the Surf Coast jumped 3.9 per cent, and the Bass Coast on the other side of Melbourne rose 3.1 per cent.
In Queensland, new residents flocked to the Sunshine Coast (up 2.5 per cent) and Gold Coast (2.4 per cent).
The shift to remote working – for at least part of the week – allowed people to assess their life and what’s most important to them, KPMG urban and regional planner Terry Rawnsley said.
“These lifestyle, tree-change locations have attracted people because they’re now more flexible, and I think that’s going to be a trend moving forward,” he said.
“It’s all about finding that sweet spot, working with your employer or your customers.”
There was likely some spare capacity in regional housing markets last year that allowed new arrivals to find somewhere to live fast before the stock was soaked up, he said.
Some of the regions that had already been attracting new residents had started to address infrastructure needs such as school capacity and are better placed to deal with the COVID-changers.
But other communities that are less prepared “will have to do some hard work over the next 12 to 18 months”, he said.
In Byron Bay, the only factor that had slowed new arrivals from capital cities was the shortage of property for sale, Pacifico Property’s Christian Sergiacomi said.
Speaking before the latest COVID-19 outbreak, he said enquiries were non-stop, with city residents looking for more space and willing to pay millions for it.
“If I had 20 places [to sell], I’d be meeting 20 people,” he said. “We’ve had things that were sold last year for X amount and are reselling for a million dollars more.”
He could think of only a handful of families who had bought forever homes and realised they needed to move back to Sydney as offices reopened.
“The trend is still very much there for all these people to get out of the city.”
On Victoria’s Surf Coast, Belle Property Torquay principal Peter Julian still sees Melbourne residents moving to Torquay or Geelong.
“It’s been pretty steady, and people are saying this is their long-term plan,” he said. “A lot of companies are saying ‘you can do two days a week from home,’ and people are saying, ‘well, in that case, I’m going to live down the beach or Geelong and save a lot of money.
“I thought it would have dropped off a little.”
On the Gold Coast, Amir Prestige principal Amir Mian had just sold two residences to Sydney buyers when contacted on Tuesday.
“All the way up to $10 million, $20 million, are Sydney buyers, Melbourne buyers, looking for prime locations,” he said.
“I’m encouraging locals – if you want to buy, make a decision.
“We weren’t expecting that many southerners coming up, so, of course, it’s starting to put pressure on the locals.”
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