Apartment living on the up and up

Whether it’s convenience, choice or necessity, Australians are taking up apartment living at a record rate. Number crunchers have found that 10 per cent of us spent Census night in an apartment.

According to results from the 2016 Census, there is now around one occupied apartment for every five occupied separate houses in Australia. Back in 1991, it was more like one to every seven.

The growth in apartment living is primarily an urban phenomenon, concentrated within Australia’s major capital cities.

Over the past 25 years, the number of occupied apartments (including flats and units, excluding townhouses) in Australia has increased by 78 per cent to 1.2 million dwellings.

And more Australians are embracing high-rise living. Census results confirm the increase in apartments in blocks of four or more storeys. In 1996, these buildings accounted for 18 per cent of all occupied apartments. Twenty years later, it has more than doubled to 38 per cent.

“The nature of our cities is changing – and the change is permanent. Increasing numbers of Australians are living in apartments. For some, it’s the first step on the property ladder and for others, they are choosing proximity to work as a way of ensuring life balance,” says Glenn Byres, chief of policy and housing for the Property Council of Australia.

“These densities are changing communities as well. Density is increasing the number of services with more local restaurants, and boutique businesses because the densities can support markets. We are no longer talking about the death of the shopping strip, instead we are witnessing the emergence of thriving local hubs.”  

New South Wales leads the pack for apartment living, accounting for nearly half (47%), followed by Victoria (23%) and Queensland (17%).

New South Wales also had the highest proportion of apartments relative to all occupied private dwellings, clocking up 21 per cent. Surprisingly, 17 per cent of all occupied private dwellings in the Northern Territory are apartments.

More than a third (29%) of apartment residents were in the 25-34 age group. Another 11 per cent were children aged under 14 years. However, nearly one in eight (12%) of all people aged 85 years or more were apartment dwellers.

“What we are seeing is different demographics choosing apartment living for different reasons. For younger people, it is the foot in the door of independent living but increasingly, for older Australians, it is about living in a low maintenance setting that is close to neighbours,” says Byres.

Forty-four per cent of apartment residents were born in Australia. In comparison, 20 per cent hailed from North-East Asia (including China and Hong Kong) and Southern and Central Asia (including India).

The 2016 Census also revealed the tenure of apartments. Thirteen per cent of people owned their apartment outright, 15 per cent owned with a mortgage and 59 per cent were renters. In comparison 34 per cent of separate houses were owned outright, 38 per cent owned with a mortgage, and 21 per cent rented.

In 2016, one-family households accounted for around half (48%) of the apartment living population. Families with children were well represented, comprising almost 44% of all households.

And apartment living appears to suit many people. Using criteria developed by the Canadian National Occupancy Standard, the Australian Bureau of Statistics can identify whether an apartment is under-used (with spare bedrooms) or over-used (needing extra bedrooms).

In 2016, it was more likely that households living in apartments did not require an extra bedroom, or had none spare, than those living in separate houses (42% compared with 13%). They were also more likely to have one spare bedroom (38% compared with 29%).