With a rising population density and continued demand for residence within close radius of the CBD, a car space has become a highly sought after feature.
Car spaces in Melbourne and Sydney have sold for an alarming price of well over $100,000. The question remains, is a car space worth the additional cost or is it better to pay less and rely on the public transport system.
Whether it’s a space on its own title or a space that forms part of a property’s title, parking is going to become a greater commodity. Inner suburban living offers great lifestyle opportunities with diverse public transport options and prompt access to the CBD, but a car space proves to not only help your property grow in value, it also increases tenant demand to rent and improves its liquidity to sell in the future.
It’s becoming more regular for owners to rent out their car space if they do not own a car. The spaces can rent for a few hundred dollars a month but check with your body corporate before doing it.
If you’re purchasing a family home, then parking facilities are probably highly needed. Younger singles and couples purchasing one or two bedroom apartments or units might be willing to sacrifice the convenience of onsite parking in order to pay less.
Either way, from my perspective culture is changing and smaller internal spaces are often favoured by a younger generation, but having a car space still seems to be a positive influence on the investment performance of your property. If you can afford the cost of owning a car space with your property, I’d encourage you to do so!
At Crest Property Investments we source brand new and off-the-plan properties for buyers. If you are wanting to explore your options and learn more, we welcome the opportunity to help. Please feel free to contact us or email [email protected]
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Sep 2017
