More than 70 per cent of Australians have never been to a high point condo, and the average price is just $1.9 million, according to a new report.
The data shows only 5 per cent have been to high-end high-rise condos.
“It’s not surprising that there’s a huge disparity between those who are wealthy and those who aren’t,” University of Sydney property economist Chris Moberg said.
“But there’s an important lesson to be learned from this: we don’t want to be the lucky few who’ve spent a lot of money in one place, and we don-t want to see that reflected in the prices of our homes.”
“In a city where we’re used to seeing high-rises as a symbol of wealth, it’s actually just a sign of the state of the economy,” he said.
In Sydney’s inner west, just 3 per cent owned high-profile high-priced high-top units, while in suburban suburbs the figure was just 2 per cent.
“High-rise properties have a very low profile in Sydney, particularly for those in their early to mid-30s,” Mr Moberger said.
“If they’re in a high-income bracket, they’re likely to have had a very high property portfolio, and have benefited from the growth of the city in recent years.”
He said while it was difficult to pinpoint why some residents might be more likely to spend money on a high rise, they could be influenced by the fact that it was seen as a “safe” place to invest, such as the area’s wealthy suburbs.
“There’s this myth that the wealthy suburbs are safer and more secure, and this is not necessarily the case,” he explained.
High-end condos are typically sold to wealthy buyers, who tend to want a home that’s in “an elite class”, he said, so they’re more likely than other buyers to be in the “top 10 per cent”.
“So when we say that they’re high-point condominium properties, they are probably not really high-quality,” he added.
Mr Moberge said the average home price in Sydney was $1,622,000, with a median asking price of $1 million, but the median asking rent in Sydney’s CBD was $3,873.
He said the most affordable homes in the city were often in the upper class, so those buyers were likely to be less likely to buy high-resort properties, and they tended to be younger.
A survey of more than 30,000 people in Melbourne showed just 7 per cent had a “top-notch” property, while only 13 per cent thought they had a luxury property.
“There is a lot that we don�t know about these properties,” he told ABC News.
“[But] the average house in the inner suburbs, particularly in the CBD, is just over $1m.
So that’s probably not a lot to buy in the suburbs.””
It may seem like there’s more demand in the outer suburbs than there is in the core, but that’s not the case.”