Although this is a Melbourne study, we feel this is extremely relevant to the Northern Beaches and a very easy way to build equity into any existing property within the area. Read on to see how much value difference a second bathroom has made in Melbourne recently.
Second bathrooms are adding six figures to sale prices in a number of Melbourne suburbs, according to new data from the Real Estate Institute of Victoria (REIV).
In the year to 30 June, two bathrooms added the greatest value to sale prices of two-bedroom apartments in Stonnington, where two-bedroom apartments with two bathrooms had a median price of $920,000, $312,000 more than homes with only one bathroom.
In Hobsons Bay the median price for a two-bedroom apartment with two bathrooms was $650,000, $184,000 more than the median for two-bedroom apartments with only one bathroom.
For three-bedroom houses, two bathrooms added the most value in Port Phillip, where the median three-bedroom, two-bathroom house price was $1,830,000, $252,500 more than three-bedroom homes in the municipality with only one bathroom.
Other areas where two-bathrooms increased the sale price of a typical family home by more than $170,000 include Bayside, Mornington Peninsula, and Moonee Valley.
REIV President Joseph Walton said second bathrooms were highly sought after, particularly in premium bayside and inner-city areas.
“The number – and quality – of bathrooms is a key consideration for buyers, especially those with families,” he said.
“Buyers are often willing to pay a premium for the convenience of two bathrooms,” he said.
Investors also perceive second bathrooms as valuable.
“Investors are also realising the value of having a second bathroom when listing properties for lease,” said Walton.
Walton said many new properties now being built cater to the demand for two bathrooms.