Gen Z property investors show strong appetite for holiday towns over city suburbs
Friday 5 March 2021: New research commissioned by ING Australia reveals holiday towns are becoming just as appealing as city suburbs for Aussie property investors, with almost a third of those surveyed (32%) considering purchasing an investment property in a holiday location compared to inner city (30%) and outer city (37%) suburbs.
Gen Zers have the strongest appetite, with four in ten (41%) saying they would prefer to invest in a holiday location. Almost a third (31%) of Gen Z also said they want the ability to work and rent in the city, whilst still owning an investment property in a holiday town.
The research suggests the recent boom in local travel has driven investors to move in on holiday hotspots, with a quarter (25%) of respondents saying they want to take advantage of the growing local holiday market and 28% purchasing away from urban areas so they can have a place to stay for vacations or use as a second home.
Julie-Anne Bosich, ING’s Head of Home Loans, says:
“During the pandemic, many Australians have flocked to holiday hot spots to either take a break or permanently relocate with some also able to take advantage of flexible working. It’s perhaps not surprising then that savvy property investors are spotting opportunities in these towns when traditionally they might have chosen to invest in properties in or around busy city hubs.”
“Despite the increase in house prices, it’s clear from these findings that Gen Zers are financially savvy and looking at alternative ways to get on the property ladder.”
Additional key research findings
- The holiday town appeal: Value for money (50%), the desire for a quieter lifestyle (35%) and the option to have a second home for vacations (28%) are encouraging Aussies to shift away from urban life. A fifth (20%) also enjoy the ability to live and work in the city, whilst still owning property
- Top reasons to invest in property: safeguarding their future/ future of their family (40%), low interest rates (37%) and extra income (37%).
Notes to editors
This research survey was commissioned by ING and conducted by YouGov in February 2021. The nationally representative sample comprises 1,039 Australians in total aged 18+ years distributed throughout Australia and weighted by age, gender and location to reflect the latest ABS population estimates.
For more information contact Megan Landauro on 0413 317 225 or firstname.lastname@example.org
ING changed the way Australians bank 21 years ago by launching the country’s first branchless bank. ING now offers Australians award winning home loans, transactional banking, superannuation, credit cards, personal lending, insurance and wholesale banking services.
ING is Australia’s most recommended bank according to RFi XPRT Survey, August 2020 – January 2021 (n = 31,512) when compared to customers of 20 other banks operating in Australia. It is also Australia’s fifth largest main financial institution (MFI) with 6% of market share according to RFi XPRT Survey, August 2020 – January 2021 (n=31,512). MFI is defined as the bank that the consumer says is their main financial institution.