Home settlements have risen to around one-third of Australia’s gross domestic product, lifting demand for seniors living.
Research by conveyancing firm PEXA reported in the Australian Financial Review showed home settlements up 57.3% last year to $688.7 billion, or approximately a third of the $2 trillion national GDP in the four quarters ending September 2021.
According to Sachin Kumar (pictured), a senior member of Commonwealth Bank’s Health Sector team, this has interesting implications for the retirement living sector.
“We know this is a lead indicator/driver for Seniors Living operators, as retirees seek to unlock equity, downsize their home and upsize their lifestyle and care,” he said.
“We expect ongoing demand for Seniors Living, with sales and resales rates to be supported by the underlying market, renewed focus on access to social networks and care services.”
2021 home settlement growth was highest in WA, at 41.4%, followed by Queensland at 40.8%.
