Owner Occupier Appeal: Seven Overlooked Aspects
Hi, Ben here and in this how-to session I want to explore the concept further about how we chase down capital growth. Now, if you’ve listened to Bryce or my how-to videos before or check us out on our podcast, The Property Couch, you would know that we talk heavily around owner occupier appeal. We believe that owner occupier appeal pushes the value of property higher and then, we get that capital growth return. Why is that? Well, that’s because owner occupiers buy with their heart instead of the head.
Now we know that you know a property has to be practical. It needs to deliver the right sort of location for all the amenities we’re looking for and also the natural things we need such as the number of bedrooms to meet the size of the family, bathrooms, car parking and those types of things. But what I’m talking about here is some of the more subtle sorts of differences that come together and give me a great sense of why I want to buy this property and where it has its owner occupier appeal.
So in this how-to session, I’m talking about my top seven reasons why I find a property has high owner occupier appeal and makes for really good investment grade buying. The first one is its street presence. So if you going to a property inspection, step back and consider how attractive is it from the street? Really important thing for me because I want that first impression to be a good one. I’m looking at the street but I’m then I’m looking at the actual problem saying is it boxy? Does it look like it’s it’s been pushed onto the site or does it feel like it owns the land that it’s on? Am I walking up through a garden into the main veranda and then to an open door setting? So that first street appeal becomes really important to me.
The next one when I’m inspecting properties is natural light. I’m looking for that sense of openness and also that natural light that is coming through. I don’t want dark and pokey and boxy, with small windows that aren’t getting the light because I’m going to feel like it’s going to be cold and sort of dark. Hence really important that the natural light is there.
And then it does lead to that openness. Do I get a sense of this house is open? Do I get the feeling that there’s a beautiful hallway and I’ve got two bedrooms that are nice and big in size and I have enough space? Same with the bathrooms and the toilets. Are they pokey? Are they sort of wasn’t really thought through? That’s important to me I get that sense of openness
Now part of that sense of openness and what we’re seeing in trends in property is that connection between the indoor and the outdoor. There’s got to be that sort of alfresco type area so I’m definitely looking for patios and other entertainment areas.
As we analyse those human interests and human behaviour connections, socialising at home has become a big part of our needs.So it’s really important to me that I see this sort of openness and this alfresco indoor/outdoor area.
Now the other thing I’m then looking at is when that opens up, what’s my natural ventilation like? I want to be able to open the house up and get a nice flow of fresh air to come through the property. I don’t want that musty smell and that sort of feel that it’s cold and damp. I want that natural ventilation to come through. Again these are little soft things that I’m looking for but I really think that owner-occupiers look at.
Next thing I want to talk about is floor plan. What is the perfect floor plan? Potentially I prefer my sleeping zones away from my entertainment zones. The perfect formula in my view is certainly having that sort of living zones on one end, and then you have your services that give that block in noise. You might have the bathroom and the laundry and the storage that sort of blocks that sound barrier that then leads into the indoor living air and then the outdoor entertainment area. That to me is that perfect formula of how I’d want a floor plan to flow. What I don’t want is potentially a bedroom right next to the video or movie room or next to the dining room because obviously, I’m going to get a lot of noise coming through. That bedroom may potentially be made redundant because of that so we want to try and keep the bedrooms away from those entertainment and higher noise zones.
And finally, number seven for me is storage. What sort of storage have I got? Sometimes it’s forgotten because houses are presented really well during the selling process. We decluttered because they want to be seen in their best light. So when you’re looking at it, make sure to consider what type of storage you’ve got? Have I got enough linen press space? Have I got enough space to store all of the things that are going to make this house a home for me to be able to look at that?
Now if you get that formula right in the right location you are going to get a property that has high emotional appeal and when it has high emotional appeal, you are usually going to see that property outperform from a capital growth point of view.
I hope you enjoy this how-to session.