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Australians 'may have to downsize home expectations'

Australians 'may have to downsize home expectations'

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Date Published : Monday, June 23, 2008

The rising cost of property means space is now being "rationed the same way as water and energy", with many Australians having to "downsize" their expectations in order to buy a new property, according to reports.

The Courier Mail says a "major new development" in Brisbane illustrates how builders are cutting back on the size of new housing in order to keep in affordable, news.com.au states.

Properties at the cheaper end of the spectrum are built on a 300 sq m plot of land, which the site says is "less than half" the standard allocation.

There is no laundry room included in the homes and there are three smaller bedrooms in instead of the four normally found in "McMansion" designs.

Furthermore, the newspaper said there is a much-reduced backyard and parking space is limited to one vehicle.

Mark Hunter, a regional manager at the developer behind the scheme Stockland, said the development was a "start" in increasing affordable housing provision - but added that Australians looking to take out a home loan for a new property may have to adjust their expectations of what they can buy.

"We have gone through an era where we have been wasteful of space and now costs are going up and we have to be more efficient," he said.

National Nine News adds the Brisbane development mirrors trends in other parts of the country, particularly Sydney, where housing is increasingly being built closer together on smaller land blocks.

The new homes are believed to be on the market at "just over" $300,000, it adds.

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