Are you considering downsizing, but don’t like the idea of having to squeeze into smaller digs?

Well, a report into luxury apartments shows you aren’t alone – and developers are responding.

The national “right-sizing” report by real estate group McGrath, found the number of bedrooms and size of apartments in new luxury apartments is on the rise – with the trend mirrored in less expensive properties.

“[Since] identifying the emerging right-sizing trend in Australia back in 2020, there has been more than double the delivery of apartments with three or more bedrooms, and the average apartment built was one-third larger,” McGrath national head of research Michelle Ciesielski said.

The company’s research found that by 2028, 40 per cent of apartments in prime regions of Melbourne and Brisbane will have more than three bedrooms, 34 per cent on the Gold Coast and 31 per cent in Sydney.

Apartments are also getting bigger, with the average prestige three-bedroom forecast to be at least 160 square metres in Melbourne in 2028, 166 square metres in Sydney, 172 in Brisbane and 190 on the Gold Coast.

“When downsizing from a standalone prestige home, many buyers have been seeking a luxury apartment offering at least three bedrooms. Developers have prioritised building more in response,” Ciesielski said.

She said buyers didn’t always want to use all the bedrooms all of the time, but wanted enough space for visiting family.

“It might be a family compound, where people come together at celebrations,” Ciesielski said.

“The parents may live there throughout the year, but also want enough space to accommodate family when they come to town, especially when they are in lifestyle locations near the beach or water.”

Luxury apartments in lifestyle locations such as the Gold Coast can be a place for families to gather.

Not just for luxury

She said the trend for more generously sized apartments had developed across all price levels, even as super-sized apartments dominated at the luxury end of the market.

“When we started to look at apartments in general, in 2014, in Australia, they were being built for investors and there wasn’t that concept that people were looking at buying an apartment to live in themselves,” she said.

“Now developers are recognising that people are moving out of quite large homes with multiple living areas and storage.”

Along with more bedrooms, high-end apartments are also getting more car spaces – and attracting higher prices for them.

Sydney buyers pay a 62 per cent price premium for a three-bedroom with more than four car spaces rather than just one; in Brisbane it’s 47 per cent, 46 per cent on the Gold Coast, and 41 per cent in Melbourne.

The study focused on luxury apartments with a price range of $10 million and up in NSW and $5 million in Victoria and Queensland.

It’s not just high-end

However, it also found that high-end trends could influence what happened to apartments across the market.

“Luxury apartments are a leading indicator for the standard of the quality that trickles down,” Ciesielski said.

“The house-like proportions, the benefits of how space is used, these designer elements can be used in a more savvy way as they trickle down to core apartments.”

In another trend, many of those moving to luxury apartments want to keep larger living spaces and top-notch lifestyle elements such as pools and wellness centres. But they’re also keen to cut back on home maintenance.

McGrath found that apartment living can cut maintenance costs in the luxury sector.

In 2025, the average estimated quarterly expense for maintaining a prestige apartment in a luxury high-rise with low amenities ranged from $4500-$8000. For a similar apartment in a similar building with high amenities, it was $8500-$12,500.

Republished from view.com.au