The Benefits of Majority Owner-Occupiers Communities when Buying Property

Whether you are looking to purchase an investment property or your own home, it is important to consider the balance between renters and owner-occupiers in the local vicinity and suburb. Known as the renters’ proportion, this figure refers to the percentage of tenants in a particular area compared to homeowners. For example, in a Gold Coast suburb with a population of 10,000, where 7,000 residents are owner-occupiers and 3000 are renters, the renters’ proportion would be 30%. While both groups contribute significantly to the community, the ratio of owner-occupiers to renters can impact a suburb differently.


Improved care and capitalisation of property:

Home water fountain
Features and signficant investment are features of live0in owners


Owner-occupiers (understandably) tend to take better care of their properties than their tenant will do. After all, it’s their personal haven, and therefore they want it to be in the best possible condition. Conversely, it would not make sense for tenants to go beyond functional property maintenance. In the same spirit, owner-occupiers are also more likely to make significant capital improvements to their home, whether adding a new deck, pool, or  landscaping.


Dining table and orange lights
Few will care for a property better than the owners themselves

A better neighbourhood for all:


When homeowners take care of their properties, it creates a chain reaction of positive outcomes for the entire neighbourhood. Picture this, streets lined with well-maintained homes and lush, inviting landscaping. It creates a warm and welcoming atmosphere that gives the area absolute joy and a sense of a cohesive community. And let’s not forget the positive impact on property values. All these ongoing home investments add up to create a more desirable and valuable neighbourhood.


Indoor outdoor living space
Significant home improvements are a hallmark of owner occupiers

A more permanent community:


A high concentration of owner-occupiers in a suburb can excite potential homebuyers. This is because such communities are known for their stability, providing a welcoming environment for families. As a result, homes in these areas are in high demand, leading to higher property values. On the other hand, a high percentage of renters may suggest a more transient neighbourhood, causing a decrease in demand for homes and a corresponding drop in property values.


Improved safety for all:


Owner-occupiers bring a sense of stability and community to an area by establishing roots and developing relationships with those around them. They also tend to take an active role in local organisations and decision-making processes, adding to the overall vibrancy of the neighbourhood. For instance, they may lead neighbourhood watch campaigns, start petitions for improved amenities like lighting, and play an important role in shaping the community they call home.


Better rental yield and capital returns:


Living in a neighbourhood occupied predominantly by owner-occupiers has numerous benefits that make it a desirable choice for homeowners and investors. The effort and capitalization that (most) owners put into their properties create a chain reaction of positivity throughout the neighbourhood, ultimately leading to an improved quality of life for all. This attracts families looking for stability and lifestyle, increasing demand and rental yields, resulting in a win-win scenario for investors and homeowners alike!




The delicate interplay between renters and homeowners can significantly influence the worth of local real estate, foster a deep sense of community, and enhance the standard of living for all. With a vested interest in maintaining and improving their properties, homeowners frequently instil a higher level of care, making the area desirable, stable, and inviting. This upsurge in demand and profitability attracts families and investors alike, solidifying the neighbourhood as a sought-after destination.

If you’re ready to make a real estate investment or secure your dream home, get in touch with Mercer & Cooper today. We’re looking forward to meeting you!


All information contained on this website is for your reference only. You should always make your own enquiries and seek independent legal advice in respect of any information about real estate law and the purchasing of real estate and related subjects. This website may contain hyperlinks to websites operated by parties other than Mercer & Cooper. Such hyperlinks are provided for reference only and Mercer & Cooper does not control such websites and is not responsible for their contents.

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