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Sellers cash in as buyers pay double for designer homes
Polished interior-designed homes have been driving sales, with buyers willing to pay up to 120 per cent extra for quality finishes, functionality, and light-filled, move-in-ready spaces across key suburbs.
A new analysis has shown that buyers have been paying premium for “interior-designed” or “architect-designed” homes, spending in some suburbs more than double the price of “traditional” comparable homes.
Designed properties include interior and architectural design, and property styling that enhance the home functionality and aesthetics.
Australian interior design company, Sovereign Interiors, analysed over 115,000 two- to four-bedroom listings across the country and found that homes that were professionally designed saw their value increase drastically.
The firm said that the study showed across nearly every state, interior- and architect-designed homes outperformed their local market benchmarks, as design increased market value.
Statewide, two-bedroom “architect” properties in Tasmania had the biggest return on investment, fetching on average an extra $55,000 or 14.26 per cent premium compared to other non-designed homes.
For three- and four-plus-bedroom “designed” properties, South Australian sellers saw their property prices increase over $100,000 compared to the benchmark, with a 20.20 per cent and 16.08 per cent premium respectively.
The analysis also showed that some suburbs did better than others.
In Wembley, Western Australia, professionally designed two-bedroom homes have been selling for over double the price of standard properties, with an average uplift of $566,435 (+120 per cent), as buyers have been favouring turn-key interiors that maximise space, light, and functionality.
Similarly, in Wembley Downs, architect-designed two-bedroom homes have seen a 90.61 per cent premium, averaging $670,259 more, as buyers paid extra for move-in-ready spaces with high-end finishes, smart storage, and lifestyle-driven design.
In Lindisfarne, Tasmania, designed three-bedroom properties have sold for +117.6 per cent more, representing a $886,858 premium, with buyers attracted to interiors that blend minimalist designs with the riverfront setting, enhancing lifestyle and everyday functionality.
Sovereign Interiors interior stylist, Cayley Scrooby, said the analysis clearly showed that design increases property values.
“These findings really reinforce what we see every day. Well-considered design doesn’t just make a home more beautiful, it makes it more valuable,” Scrooby said.
“In Australia’s competitive property market, buyers are increasingly drawn to homes that offer a sense of flow, quality, and functionality.”
For sellers looking to add value to their property through design, Scrooby said letting natural light flow is the easiest way to elevate any home.
She said simple changes like removing overhead cabinets or widening a doorway can transform a space.
“Light changes everything.”
“It’s the first thing people notice when they walk into a room, and the last thing they’ll forget. A space that feels light-filled instantly feels more open and calm,” Scrooby said.
Additionally, Scrooby encourages owners to prioritise enduring quality over fleeting trends, such as natural stone, solid timber, and timeless palettes, that not only create an emotional connection but are also practical.
“It’s the practical stuff people fall in love with, even if they don’t realise it at first.”
“When a layout flows and a home supports your day-to-day life, that’s what creates real value. If a home feels easy to live in, it’s going to be easy to fall in love with too,” she concluded.
While investors do not always have the time to professionally design their homes before they sell, some easy DIY can also increase property value up to $40,000.
