Who do you target when you renovate/develop?

C

Cupcakes

I've been watching some renovation programs and I've noticed there are sooo many different ways to renovate. I always thought that when you renovate you would keep things really simple and neutral so whoever moves in can make their own person mark on the property. But after watching a few shows I've noticed that some developers are really extravagant and creative because they target people who don't have the time to (or just don't want to) decorate themselves.

Is there a single “style” of design that most Australians like? Or do we have really varying tastes?

Who do you target when you renovate/develop? What area do you develop in? How much do you usually budget?

It would be interesting to see people's before and after photos too!
 
Yeah, I was wondering this too.rather than going generic is it worth picking a target and then really trying to sell it to them. If you were targeting a family would you put a cubby house in the backyard and make sure there are no sharp corners? If you were targeting the young and trendy then make sure the reno is funky? If you were targeting older people put in a ramp and some grab rails I'm the bathroom? How far can you safely take this sort of thing?
 
I agree, it needs to depend on the area. Granite benchtops and porcilin floors in low socioeconomic areas would be overcapitalising.
 
Xenia said:
I agree, it needs to depend on the area. Granite benchtops and porcilin floors in low socioeconomic areas would be overcapitalising.
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depends on your pricing ;) you can get manmade stone for 30 per m and porcelain for 10 per m landed in australia but of course, it's a mission with all the shipping etc
 
It really, really depends on your target demographic and area.

I'm in an area where even the local furniture retailer complains how boringly conservative the locals are, he says if he gets in anything modern looking it won't sell. So this house has been entirely decorated in beiges and classic country look. The house we are building also leans heavily towards the same, but with more expensive finishes as it is a bigger house with different appeal.

If I lived inner city I'd lose the beige and probably go whatever is currently in vogue in designer magazines, but still without crazy bright colours. Not everyone likes feature walls in bright colours or aqua mosaic tile splashbacks, contrary to those abominations they show on better homes and gardens.
 
When I said "depends on the area", I didn't mean how well off the people of the area were or socio-economic level but what look has more potential in the area. The above two may not be closely related.

For instance, Mount Druitt or Seven Hills may be a low socio-economic area, but there is still demand for quality houses there and people still pay premium prices for them. Because everybody is not poor in that area. There are businessmen from have businesses in nearby industrial areas and there are executives in top jobs as well.

Areas of South Coast and Central Coast may seem low socio-economic but in those very areas, some properties sell in millions.

I think every area has a demand for top quality housing. Only the figure varies. Some may have 10% and some may have 70%. And demographics change all the time and so does the demand. And when the gulf between top housing demand and supply widens, renovations generate most value addition.

To get maximum value addition, nature and look of renovation needs to match with the area and the demand for it in that area at that time. It also depends where renovators are most active. ;)
 
Why don't you run some suburb profile reports and find out more about who lives in that area?

Kind Regards, Ana
 
We are in the process of having a project home built in a new estate. Most of the houses have tiny backyards or "nothing backyards". just a basic pergola and a garden around the perimeter. Our yard is a little bigger than standard and as a lot of families are buying in there, we intend to use the bulk of our upgrading budget on the outdoor space - having a designated kids play area but still enough yard for entertaining. The inside we are keeping neutral.

I reckon it's worth going to lots of open houses in the area/s you wish to renovate. See which places have the most people going through and listen for the comments. particularly look out for properties that tend to sell really quickly and work out why it sold quickly. That's the type of stuff you do to your place.
 
have a look around your local display homes ... the building companies spend many thousands to achieve the "appeal to the masses" look.

even if it isn't your cuppa, take on board what they are doing. if i renovate (and have done a few in my time), it is not necessarily boring beige - which is ghastly - but i do reno to the standard expected of a property in that area.

i also reno to a fairly plain colour finish, whisper white, beige royale (a cool beige/warm grey), ironstone, cream carpets, white bathrooms, white kitchens - i then brighten the house with artworks, cushions, throws, fruit bowls, candles, cane, pot plants etc - so that the buyers can picture their own furniture and lifestyle in the property due to the neutral background, yet it is not boring to look at.

was hoping to link to the thread of the last property we reno'd - but real estate photos are gone, so not much point. using the above philosophy, we made $100k net profit in a very short period, during gfc
 
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beachgurl said:
Most of the houses have tiny backyards or "nothing backyards". just a basic pergola and a garden around the perimeter
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i see this as a real problem. the house next door has just been redveloped and is a sprawling 4x2 on a 460sqm block... what large family wants to live in a house with no yard?
 
Ausprop said:
i see this as a real problem. the house next door has just been redveloped and is a sprawling 4x2 on a 460sqm block... what large family wants to live in a house with no yard?
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I see it as a huge problem as well, most health and social.


Of course, if you have your developers hat on - who gives a rats - right ?? Carve up the plot to the tiniest plots the Council will allow, then slap on the biggest thing feasible. Slap it up, ship it off to the highest plonker coming along and bug outta there with your cash....you're gone.


BUT - what about the next 30 years ??


If you have your owners hat on, the kids hat on, your Landlord's hat on, your neighbours hat on, your neighbours' kids hat on, the Council's hat on, the strata manager's hat on......it's freakin' nightmare !!!!


  • Kids have a greater tendency to stay inside and get fat
  • Hear neighbours toilets flushing
  • Hear every argument going on around the next 5 houses
  • No room for big trees to swing off / build cubbies and treehouses on
  • If a cubby goes up, neighbours complain the kids look into their tiny yard
  • Trampolines are too big to fit - that was the best toy ever both for us and the kids
  • Parking out the front becomes a nightmare
  • Tradesman can't get equipment wider than a metre into the yard
  • If you go to the Council and complain, you soon find out everyone has just as much right as you do, so no joy there.

A big yard would have to be one of the best things wealthy parents can invest in for their kid's health and their sanity levels with neighbours.


Developer - what developer - haven't seen him for years.....
 
Every suburb will have different target markets & different price points for both renovated and developed properties. Pick a strategy that suits you and your finances- your target market will be determined by these 2 factors :)
 
RedPanda said:
Cool! :) Was it from one property or multiple?
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just one.

sold it to an older couple (after a bidding war) who had seen the house pre-reno but didn't want to do the work and were happy to pay the higher price for it to be done.

although i have done many other reno's in different locations and had made money on every single one.

the only deal i lost badly on was a knockdown and rebuild that we put on the market just at the 2004 dive took place and we couldn't afford to hold any longer - instead of slashing the price early and breaking even, we held it and followed the market down until there was no choice but to sell at a loss - priceless lesson.
 
lizzie said:
just one.
the only deal i lost badly on was a knockdown and rebuild that we put on the market just at the 2004 dive took place and we couldn't afford to hold any longer - instead of slashing the price early and breaking even, we held it and followed the market down until there was no choice but to sell at a loss - priceless lesson.
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To be fair, you wouldn't have known at that time that it was going down and would keep going down and for how long.

But I agree it is very important to price the property carefully for sale though I haven't sold anything yet. :)
 
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