COVID-19 has changed many aspects of our lives, but one, perhaps less expected impact, has been a significant rise in demand for prestige rural and coastal properties. 

Historically, we have seen consistent demand for these types of luxury properties.

A number of factors have underpinned this.

Some buyers originally hail from the land, and are looking for a return to fresh air, plenty of space, and the ability to switch off from city life.

Others are seeking a holiday retreat. We also see buyers considering a tree change, who are looking for a weekender that can eventually become their permanent home.

The COVID-19 pandemic has created a new point of appeal for country or coastal retreats: the ability to ‘escape’ to a safe haven, where a family can be self-contained and protected.

Enquiries surge for rural retreats

Since COVID-19 has been part of our lives, those lucky enough to already own a rural retreat have wasted no time setting up their property as a workspace, a place for homeschooling, and an adventure space. Now we are seeing others eager to follow suit. 

Until a vaccine is developed, the likelihood that COVID-19 may be with us for some time has seen enquiries surge for country and coastal properties.

Demand is coming from local Australians as well as expats particularly in Hong Kong and Singapore. As a guide to the sentiment we are seeing at present, typical buyer comments are along the lines of:

“We realise that with COVID in our life, our annual big family holiday won’t be happening, so we would rather find a weekend retreat space that we can invite family and friends to join us on the weekends and holiday times for the next few years.”

“We have been considering a tree change for years and this has accelerated our decision to go now so we don’t get caught out again.”

“Our friends had somewhere to go to very quickly but we couldn’t even rent anywhere (this was shut down very fast) and we felt stuck and isolated in the city with few options.”

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Matthew Fleming, CEO of Contemporary Hotels Group said they have seen an explosion of demand for holiday homes since restrictions have eased.

"It is quite incredible and bringing some real joy to businesses in regional markets," Mr Fleming told WILLIAMS MEDIA.

"We’re very fortunate to care for properties in many regions and we can see that regions that might be 50 per cent full during winter are closing in on 100 per cent full.

"Take Palm Beach in Sydney, traditionally a warm weather retreat we have the real possibility of being fully booked over the Winter holidays."

Mr Fleming said the Southern Highlands, South Coast and North Coasts are also approaching capacity.

"Given International travel is on hold for the foreseeable future this trend will likely continue to 2021 and many Australians will be visit some areas that they’ve never seen before, which is fantastic," Mr Fleming continued.

"It is a great time to own a home if you are open to sharing in the rewards that comes with high-end luxury holiday letting."

An emerging trend

For many buyers, ideal rural locations are typically within a 2.5 hour drive from a major city, in an area with a vibrant community offering eateries, wineries and other activities that everyone can engage in.

However, the current environment is also underpinning a new trend – an increase in high net worth individuals seeking self-sustaining properties. These buyers are open to further afield coastal properties – and even islands, which can be accessed by helicopter, yacht or private jet.

Discussions with our international teams confirm this is indeed a global trend. Moreover, the pristine nature of Australia and New Zealand as retreat destinations will further fuel demand among expats and those foreign buyers who are able to purchase here.

Identifying the rural hotspots

Southern Highlands 

Just a 90-minute drive south of the Sydney CBD, the Southern Highlands is renowned for amazing restaurants, boutique shopping and wineries. It is also home to some of the state’s elite private schools including Tudor House, Frensham and Chevalier College, many offering boarding options plus a wealth of academic, sporting and equine facilities for their students.

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Image: Burradoo House, 109-111 Burradoo Road, Burradoo, NSW Sold by Deborah Cullen Knight Frank. Sydney. Source: Knight Frank

This blue ribbon area is home for many of Sydney’s ‘captains of industry’, who reside in some of the most beautiful rural holdings in Australia. Some estates are smaller, others range over hundreds of acres used for primary production. The common thread is that very few of the area’s prestige properties change hands. Those that do are often negotiated privately through off-market sales.

We recently sold Burradoo House, a six-bedroom home nestled privately on 2.5 acres of park style grounds in the heart of the Southern Highlands. Beautifully styled and furnished by Coco Republic, this property was available to purchase as a turnkey option, ready to move straight into and relax.

Hunter Valley 

The Hunter Valley needs little by way of introduction for wine lovers. It is also one of the nation’s leading thoroughbred breeding regions, and is dotted with iconic horse studs including Arrowfield, Darley and Widden.

The new Hunter Expressway has greatly reduced travel times to Newcastle Airport and Sydney, and while it has fewer schooling options than the Southern Highlands, the Hunter offers great value.

Many a traveler passing through the region has marveled at Baroona, locally known as The Castle – one of the Hunter’s most historic homes, located high on a hilltop just outside of Singleton. As one of the nation’s most renowned country estates, Baroona dates back to 1829 and is packed with history. Set on 100 acres of grazing land, the truly grand home offers 26 rooms including seven bedrooms, and among the multiple outbuildings is a heritage stable block. Unusually for rural homes in the region, Baroona enjoys access to town water.

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Image: ‘Baroona’ Range Road, Singleton, NSW. Source: Knight Frank

Byron Bay 

The Byron region has become synonymous with celebrities in recent years, and no wonder. It combines superb beaches and pristine hinterland with low-key locals who are accustomed to the celebrity alternative lifestyle. 

Buyers can enjoy the area and its genuine base of eco-living at Kooringal, located in the Byron Hinterland. Set on 26.5 acres, the property features a 550 sqm home with tennis courts, pool, and perfumed garden framed by a backdrop of green rolling hills.

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Image: Kooringal, Federal, NSW. Source: Knight Frank

Southern Great Barrier Reef 

For a true getaway, we are now offering for sale Pumpkin Island in Yeppoon on the Capricorn Coast. Part of the Southern Great Barrier Reef’s Keppel Group of islands, Pumpkin Island is located 14 kilometres off the coast of Yeppoon. This pristine island, surrounded by an abundance of marine life, has already been assessed by several clients as a retreat to fly or sail to. 

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mage: Pumpkin Island. Source: Knight Frank 

Putting your rural retreat to work

Many of our clients like to derive income from their coastal and rural retreats when they aren’t in the residence themselves. Where this is the case, we offer our clients an introduction to Contemporary Hotels Group, which can arrange for homes to be offered for short term holiday accommodation. It can be a profitable market. As a guide, Burradoo House in the Southern Highlands, commands a fee of $2,000 per night. 

As demand for prestige rural properties rises, values are strengthening. But amid a global pandemic, buyers are realising that a rural retreat is not just a sound investment, and a place to unwind. It can also be a valuable safe haven that protects the wellbeing of the whole family in uncertain times.