As the year unfolds and the daily grind kicks in, many Australians are dreaming of trading city life for the coastal lifestyle. What once was primarily a lifestyle decision is now becoming a practical option for many.

Before you pack your bags and head for the coast, here are some important factors to consider:

1. Is Coastal Living Really Affordable?

With ultra-low mortgage rates now a thing of the past and tighter lending conditions, many buyers are looking for more affordable alternatives. Coastal property markets have gained appeal as people seek value beyond the cities. However, growing demand in certain areas has begun to shift the affordability landscape.

According to Eliza Owen, Head of Australian Research at CoreLogic, “During COVID, there was a surge in demand when interest rates were at rock bottom, causing many prices to overshoot.” Recent data shows that in some coastal towns, house prices have dropped by as much as 20%, making them more accessible once again. But keep in mind that not all regions are following this trend, so it’s crucial to do thorough research.

When considering a move to the coast, don’t just focus on property prices. Factor in the overall cost of living, including groceries, petrol, utilities, and access to essential services such as healthcare, childcare, quality schools, or reliable public transport. Take the time to explore potential neighbourhoods to ensure the area aligns with both your financial and lifestyle goals.

2. Is it the Right Career Move?

The rise of remote working has made the idea of a sea change more attainable for many, but recent workplace trends suggest you may need to proceed with caution. Some employers are reintroducing in-office work requirements, with some even asking employees to come in several days a week. Anticipating these shifts will help you decide if relocating to the coast will remain practical for your career in the long run.

Before making your decision, consider the following:

• The flexibility your employer offers and the potential for future changes in remote work policies;
• The feasibility of attending in-person meetings from your coastal home; and
• Whether your new home has a reliable internet connection and space for a comfortable workspace.

With careful planning, you can embrace coastal living while staying adaptable to changes in your work environment.

3. Have You Thought About Climate and Environmental Risks?

While coastal living offers breathtaking views and refreshing sea breezes, it’s important to keep the potential environmental risks in mind. Coastal areas may be vulnerable to rising sea levels, erosion, or storm surges, all of which could affect both your property’s safety and its long-term value. In contrast, regional areas may face bushfire risks during the hotter months.

Before committing to a move, make sure you research the climate resilience of both the property and the local area. It’s also a good idea to check if additional insurance or protective measures are necessary.

4. What’s Your Long-Term Plan?

A sea change isn’t just a lifestyle decision – it’s a financial commitment. For baby boomers, it may present an opportunity to downsize, access superannuation, or invest in a lifestyle upgrade. Younger buyers might see coastal properties as a wise long-term investment or as a stepping stone toward future financial goals.

Whatever your motivation, it’s essential to consider how this move fits into your long-term plans and whether it could pose challenges down the road.

Ready to Begin Your Sea Change?

A sea change can be a life-altering experience, but it’s a decision that requires careful consideration. As your 1st Street Mortgage Broker, I’m here to help guide you through the financial side of your journey – whether it’s understanding your borrowing capacity or securing a loan that suits your needs.

Contact me today to start planning your next chapter by the sea.