New earlybird downsizer trend: ‘We have more money and time’

Downsizing early could be one of the best get-rich-quick schemes ever ... and there are a range of other good reasons to give up the family house.

Natalie and Costa Mina on the roof top terrace of their North Sydney apartment building. They have downsized to an apartment. Picture: John Appleyard

Natalie and Costa Mina always assumed they would downsize eventually, but they didn’t expect it to happen so soon.

With both of their sons studying overseas, the couple found themselves alone in a large house in Riverview.

Curious about the market, they began exploring options and were instantly drawn to the AURA by Aqualand development in North Sydney.

They quickly listed their family home and made the move into a new two-bedroom apartment.

“It feels a bit like we’re in a resort on holiday living here,” says Natalie, 51.

“The finishings are beautiful and it has a concierge, a 25m pool, a spa, a really well-equipped gym, a rooftop terrace and function spaces you can book out if you want to have a party.

“We have quite a large living space – our dining table seats 12 people and the couch up to eight.

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Aura tower in North Sydney. Photo: Supplied

“We have also taken friends up to the community room and there’s a big TV projector screen that you can stream on and a pool table.”

While their new apartment doesn’t offer much space for their sons when they return, the decision to downsize has provided greater financial flexibility – enabling them to help with rent and invest more in activities they enjoy.

“We kind of feel like we are back in the early days of our relationship before having kids,” Natalie says.

“One of the things that goes when you move from a house to an apartment is a lot of the maintenance, so we have more money and time for the things that we used to do.

“We spend it going out and making the most of the Lower North Shore lifestyle.”

The Minas are part of a growing trend.

Increasingly, financially secure Australians are leaving behind freestanding homes in favour of premium apartments in prime locations that suit their evolving lifestyle needs.

Cameron Porter, head of sales at luxury boutique developer Central Element, says 90 per cent of buyers on the Lower North Shore are downsizers.

Most are seeking to stay close to family, friends and shops, but still want spacious homes and luxury amenities.

Costa and Natalie Mina Mina in their Aura apartment. Picture: John Appleyard

“The mainstream dream of having a quarter-acre block is switching to more vertical living,” he says.

“But a lot of downsizers don’t want to be in towers; they want small blocks.”

He says developments like Pienza Neutral Bay Village – which offers a wellness centre, gym and rooftop pool – have been especially popular with the demographic.

“The beautiful thing about these guys is it’s like that movie Cocoon – they have this real zest for life,” he says.

“They love health and wellbeing, they have a passion to do volunteer work for charities. They’re doing a lot of travel so they’re security conscious, so having a building manager and concierge is critical.”

In the eastern suburbs, demand from downsizers is just as strong.

Porter sold an apartment at Central Element’s Ballamac House development in Coogee for a record $20m to empty nesters relocating from a house in Bondi in April.

Ray White Double Bay sales executive Adam Reichman recently sold the Point Piper mansion of Retail Apparel Group co-founder Stephen Liebowitz and his wife Pam, who went on to buy an off-the-plan penthouse in the luxury Ode building in Double Bay for $24.9m.

An artist’s impression of a terrace with private pool in a penthouse at Ode, Double Bay.

“Downsizers are really looking for high-end luxury apartments,” Reichman says.

“Lift access is important to them, as well as a great aspect, a good fitout and fantastic appliances.”

He also says that people are starting to think about downsizing earlier than they used to.

Debbie Scott is one of them.

After clearing out her mother’s belongings following her passing last year, and watching friends go through rushed moves, the 59-year-old decided to get ahead of the curve.

She and her 63-year-old husband Mike have bought a three-bedroom apartment off-the-plan in the upmarket The Residences at Wahroonga.

With two years until completion, they have ample time to declutter from their five-bedroom family home in West Pymble, where they raised four children.

“I just think it’s time for the next chapter and I don’t want to be forced into the decision where we have to move if one of us gets sick,” Debbie says.

“We decided to do it while we are younger rather than waiting until you’re older and you don’t want to move. It also gives us time to get ourselves organised.”

Research by the developer behind The Residences, Capital Corporation, found that 59 per cent of downsizers in NSW wanted to relocate within 20km of their current home, and 64 per cent were doing so to reduce home maintenance.

“Downsizers are really looking for high-end luxury apartments,” says Adam Reichman of Ray White Double Bay.

The Scotts were also drawn to the development’s leafy setting – overlooking a national park – and its modest scale.

“It’s only five levels so that was appealing to us – it wasn’t a huge high-rise,” Debbie says. “They have a communal barbecue area so if we want to have all the family over there’s areas where we can entertain.”

The couple has customised the floorplan to convert the third bedroom into a study, supporting their home-based business.

Financial planning was another motivator. Australians aged 55 or older can contribute up to $300,000 – or $600,000 per couple – from the sale of their home into their superannuation fund. The eligibility age has steadily dropped over time: from 65 in 2018 to 60 in 2023, and now 55.

“We wanted to have a bit of money behind us for retirement,” Debbie says.

That incentive was also a factor for lawyer Scott Laycock and his publicist wife Clare. The couple recently sold their four-bedroom North Randwick home and moved into a three-bedroom apartment at Munro House in Elizabeth Bay.

“The decluttering process was really cathartic,” says Laycock, 60. “In the apartment everything has its place.”

Scott and Claire Laycock outside their Elizabeth bay apartment building. They have recently downsized from a family home to the apartment. Picture: John Appleyard

While he admires the charm of Elizabeth Bay’s Art Deco buildings, he wanted a newer property that wouldn’t require constant maintenance.

Downsizing also allowed them to help their daughters financially and to travel, including a recent European trip to celebrate the couple’s 30th wedding anniversary and Clare’s 60th birthday.

But it’s not just retirees making the shift. Many families are also increasingly favouring large apartments over houses.

An artist’s impression of Willougby Grounds.

Tim Abbott, director of projects and developments at Ray White Lower North Shore, says the new Willoughby Grounds development, which is scheduled for completion in spring, has large floorplans and even a children’s playground that appeals to the market.

Abbott believes government planning legislation needs to evolve to require more three- and four-bedroom apartments suited to families.

“The larger apartments are definitely striking a chord with downsizers at Willoughby Grounds,” he says.

“The living spaces and kitchen are much bigger than a lot of the other apartments we have sold, there’s a lot of storage and the levies are very reasonable.

“For many buyers, it’s just to simplify their lives and free up some time to do things that are more enjoyable than maintaining a house.”

Originally published as New earlybird downsizer trend: ‘We have more money and time’