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A potential property boom could force the Reserve Bank of Australia to raise interest rates, according to veteran financial journalist Robert Gottliebsen.
He says the RBA has told the big banks that a housing price boom is currently its "greatest fear" as prices are already high by most world standards.
This echoes an earlier report by Terry McCrann who says the<a href="/news"> RBA is worried about a property bubble</a>.
“(Banks) are currently fanning demand by encouraging people to buy dwellings, both privately and as investors, with generous credit and low rates,” Gottliebson wrote in Business Spectator on Wednesday.
“But on the supply side the banks reduce the supply of dwellings because they are reluctant to take risks in lending to developers because history has shown that almost all big bank losses have come via property development loans during booms.”
He says this is pushing up apartment prices and limiting supply as developers seek other financiers who want higher returns.
This is then exacerbated by the actions of could and government planners as well as “cartel like arrangements between large commercial builders and the big building unions”.
Any potential property boom is likely to start in the tightly-supplied inner city apartment market in Melbourne and Sydney, driven by investors, but would spread to suburban areas as prices increase and yields decrease.
“If that inner suburban boom gets out of hand be ready to change the interest rate forecasts,” Gottliebsen writes.
"The big banks have been quietly told by the RBA that a dwelling price boom is its greatest fear in the current climate because Australian dwelling prices are already high by most world standards. If a new housing price boom breaks out, then the interest rates will have to rise." 
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awalsh-7Ub9EypybQ

RBA tells banks dwelling price boom was "its greatest fear": Robert Gottliebsen

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Perth home prices have increased 10% over the past year  - double the capital city average, according to RP Data.
Sydney leads so far in 2013 though, with prices up 7% in 2013 and 1% in the past month though they have dropped slightly in the past week.
Melbourne prices are up 4.9% so far in 2013 and 0.8% over the past month.
Adelaide is the only city where prices have dropped this year.
 
<img height="249" width="470" src="/images/stories/2013/08/rp-data-chart-1.jpg" alt="rp-data-chart-1">
<img height="203" width="470" src="/images/stories/2013/08/rp-data-chart-2.jpg" alt="rp-data-chart-2">
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Perth prices up 10% over past year: RP Data 

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The National Rental Affordability Scheme is facing hurdles with many banks refusing to lend to investors buying properties developed under the scheme.
The government sponsored investment scheme allows certain developers to build properties which are then sold to investors who rent it out at 20% below the market rate to eligible renters.
But developers are reportedly selling the properties at a price above what the banks think they are worth.
AVJennings chief executive Peter Summers says companies such as his own are having difficulty settling sales of NRAS properties.
"You can get sales away but they're falling over because of valuation issues," Summers told The Australian.
"I think it's a very good product class for investors but the banks are still a reluctant to lend to NRAS properties.”
Gavin Hulcombe from Herron Todd White says the complexity of the scheme combined with the valuation differences mean banks are unwilling to lend on the properties.
"It's the complexity of the schemes, particularly the leases and the exit and entry clauses that are causing concern,” Hulcombe said.
He says commission payments from developers to financial planners to sell the properties had pushed up the price to complicated the valuation.
Property commentator Margaret Lomas recently write that <a target="_blank" href="https://www.propertyobserver.com.au/western-australia/is-there-really-government-income-guaranteed-housing-ask-margaret/2013081464151">re-sellers can receive a $25,000 plus commission</a> to sell NRAS properties which inflate the price.
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Banks baulking at lending on many NRAS properties as selling commissions cloud valuations

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Bread and butter suburbs were the most profit earning suburbs across Brisbane over the last year. In suburbs like Mount Gravatt all of the house sales over the past year sold for more than their previous sale price, according to RP Data.
Across Brisbane, five out of ten house sales went for more than their previous sale price, according to the REIQ.
There were two suburbs with a 100% profit making run - Mount Gravatt, in the south east and Mount Ommaney in the south west.
The new RP Data information is based a slightly tweaked algorithm using Automated Valuation Models which may slightly differ from numbers in Property Observer's system.
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<td colspan="4" width="458" height="20">Highest proportion of profit making sales</td>
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<td height="20">Suburb</td>
<td>Repeat Sales</td>
<td>% of sales over past year</td>
<td>Median value</td>
</tr>
<tr height="20">
<td height="20"><a target="_blank" href="/news">Mount Gravatt</a></td>
<td align="right">31</td>
<td align="right">100%</td>
<td align="right">$491,186</td>
</tr>
<tr height="20">
<td height="20"><a target="_blank" href="/news">Mount Ommaney</a></td>
<td align="right">13</td>
<td align="right">100%</td>
<td align="right">$787,982</td>
</tr>
<tr height="20">
<td height="20"><a target="_blank" href="/news">Holland Park</a></td>
<td align="right">86</td>
<td align="right">98%</td>
<td align="right">$524,812</td>
</tr>
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<td height="20"><a target="_blank" href="/news">Taringa</a></td>
<td align="right">43</td>
<td align="right">98%</td>
<td align="right">$754,145</td>
</tr>
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<td height="20"><a target="_blank" href="/news">Everton Park</a></td>
<td align="right">89</td>
<td align="right">97%</td>
<td align="right">$472,513</td>
</tr>
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<td height="20"><a target="_blank" href="/news">Nundah</a></td>
<td align="right">58</td>
<td align="right">97%</td>
<td align="right">$576,279</td>
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<td height="20"><a target="_blank" href="/news">Eight Mile Plains</a></td>
<td align="right">85</td>
<td align="right">96%</td>
<td align="right">$576,836</td>
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<tr height="20">
<td height="20"><a target="_blank" href="/news">Woolloongabba</a></td>
<td align="right">28</td>
<td align="right">96%</td>
<td align="right">$618,539</td>
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<td height="20"><a target="_blank" href="/news">Kenmore</a></td>
<td align="right">109</td>
<td align="right">96%</td>
<td align="right">$548,286</td>
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<td height="20"><a target="_blank" href="/news">Chelmer</a></td>
<td align="right">25</td>
<td align="right">96%</td>
<td align="right">$812,458</td>
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<td height="20"><a target="_blank" href="/news">Spring Hill</a></td>
<td align="right">25</td>
<td align="right">96%</td>
<td align="right">$786,271 
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Source: RP Data
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Mount Gravatt heads top 11 profit making suburbs in Queensland

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American property website giant Zillow has bought the New York online property listing StreetEasy for US$50 million.
The seven-year-old start-up provides a comprehensive for-sale and for-rent listing through partnership with New York real estate agencies.
The website has 1.2 million monthly users and 34 employees.
Though New York focused it also has listings for properties in Philadelphia, Washington DC, South Florida, New Jersey and the Hamptons on Long Island.
"StreetEasy is an incredibly strong and recognised brand in New York City," Zillow chief Spencer Rascoff said in a statement.
"Simply put, StreetEasy has cracked the code in New York.
“They now have a local network effect where nearly every New York broker is active on StreetEasy because of the site’s large audience and comprehensive data.”
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US property website Zillow buys StreetEasy for US$50m

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John Edwards, chief executive of Residex, says a property bubble in Australia is unlikely.
“While there is a lot of talk about the market taking off and suggestions that we are about to experience another price bubble there is little evidence to support this,” Edwards wrote on his blog on Friday.
“A more accurate statement would be that while the market remains fragile, it looks as though it is moving to a more normal growth phase."
“A period of excessive price growth is unlikely as the economy is not strong enough to support such an outcome. We are also likely to see increases in unemployment, which will also encourage a level of conservatism within the community. Additionally, interest rates will rise from the current historical low point.”
He says housing affordability is still difficult for some people but it is better than it has been for many years.
He says the property markets are rebounding on the back of lower interest rates and a lack of available stock.
Residex found that in the last quarter, house and land values have increased by 0.59% across Australia while units increased 1.89%.
It found some capital cities had very strong results in May and June but reverted to a price reversal in July.
Click to enlarge
<a rel="shadowbox" href="/images/stories/2013/08/residex-chart-aug-20-big.gif" title="Click to enlarge"><img src="/images/stories/2013/08/residex-chart-aug-20-small.gif"></a>
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Property bubble unlikely as Sydney records strongest capital growth for housing last quarter: John Edwards

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Melbourne's inner north is home to its most walkable suburbs - a trait which pushes up home prices.
Property research firm The Secret Agent There says there is a strong correlation between the walkability of a suburb and its median price.
Suburbs with a high walkability score consistently have a higher median price than suburbs with a low walkability score.
The scores are calculated based on the average distance to local amenities and the population density. They are produced by an algorithm on www.walkscore.com.
It found that on average, every five point increase in Walkscore value between 60 and 100 is worth approximately $298 per square metre for houses.
The study excluded walk scores below 60 as they did not occur within the inner city.
Click to enlarge:
<a title="Click to enlarge" href="/images/stories/2013/08/walkability-aug-5-map-big2.gif" rel="shadowbox"><img src="/images/stories/2013/08/walkability-aug-5-table-small-2.gif"></a>
 
“It is interesting to note that the most expensive suburbs were not necessarily the most walkable.”
“As the demand for walkability continues to increase, it would be reasonable to expect that there will be a shift in the desirable locations to live. Where the lifestyle factors become the new prestige”
The authors concede that while it’s certainly not a sure-fire assessment of a suburb’s worth, it does give “a good indication of the positive value of living in an area with a mix of local walkable amenities”.
Click to enlarge:
<a rel="shadowbox" href="/images/stories/2013/08/walkability-aug-5-table-big.gif" title="Click to enlarge"><img src="/images/stories/2013/08/walkability-aug-5-table-small.gif"></a>
Most walkable:
10. Windsor
9. Collingwood
8. South Melbourne
7. East Melbourne
6. South Yarra
5. St. Kilda
4. Melbourne
3. Fitzroy North
2. Fitzroy
1. Carlton
­­
 
Least walkable:
10. Croydon North
9. Lilydale
8. Altwood
7. Endeavour Hills
6. Mount Evelyn
5. Rosebud West
4.  Roxburgh Park
3. Belgrave South
2. Narre Warren South
1. Derrimut
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Carlton tops list of Melbourne's most walkable suburbs

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The gap between real estate agent price guides and actual auction results has jumped this year in Sydney, according to a survey by Intelligent Property Services.
There is now a 12% variation between auction price guides and actual results.
The 2013 survey analysed 39 auction sales so far this year ranging from Sydney’s eastern suburbs, to Burwood on the outer fringe of the inner west with a few sales on the lower north shore – all traditional auction hotspots in Sydney. The sales range from late February to the end of July.
In 2012 there was an 9% variation and in 2011 an 8% variation.
Head of research at Intelligent Property Services, Joe Kotevich, says the surges comes more as a result of buyer demand than any deliberate lowballing by agents.
“The average variation for 2013 is quite high and dramatically elevated compared to the results recorded for 2011 and 2012,” Kotevich says.
“The year to date is also consistently high (rather than having a few outliers that throw the average) and we believe this is a function of a large number of buyers, fuelled by positive market sentiment, low interest rates and decreased stock on the market, surpassing both vendor and agent expectations in heated auction environments.”
None of the sales recorded sold for below agent expectations.
The sale with the greatest gap between price guide and actual result was a very tired 1900-built three bedroom terrace in Newtown, at <a href="https://www.propertyobserver.com.au/https://www.raineandhorne.com.au/newtown/properties/276925" target="_blank">182 Denison Street</a> (pictured below). The pre-auction guide suggested a price of $600,000, but it actually sold for $800,000 in May – a price difference of 25%.
{yoogallery src=[images/stories/2013/08/aug20new2]}
And <a href="https://www.firstnational.com.au/?pagecall=property&amp;propertyID=2396296">74 Sophia Street</a>, a dilapidated terrace in Surry Hills (pictured below), sold for $894,000 in July with a price guide of $700,000 – a 21.7% difference. There were reportedly 18 registered bidders at the auction of the 105 square metre block. It was bought by a builder in his 20s.
{yoogallery src=[images/stories/2013/08/aug20surry]}
And <a href="https://www.domain.com.au/Property/Sold/House/NSW/Enmore/?adid=2010476662" target="_blank">9 Marian Street</a>, a newly renovated terrace in Enmore (pictured below) sold for $1.004 million in June with a price guide of $800,000 – a 20.32% difference. Before the auction Sydney Morning Herald tipped it offering “good bang for your buck” with its low price guide.
{yoogallery src=[images/stories/2013/08/aug20en]}
Intelligent Property Services obtains the price guides after the first week of showing the property, allowing time adjustment of expectations. The auctions are monitored following inquiry from its buyers agent department.
The results are in line with the recent price discrepancies recorded in Melbourne from a Property Observer survey.
A Property Observer analysis of 68 auction sales since the end of the July school holidays found <a href="https://www.propertyobserver.com.au/victoria/melbourne-auction-homes-selling-10-over-advertised-price/2013080863977" target="_blank">more than 90% sold for above the advertised price guidance bracket</a> – with an average price variation of 11%.
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Sydney auctions selling 12% above price guides

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There are 32 regions in Australia where the property market is either at the bottom of the market or at the start of a recovery, according to Herron Todd White.
With 11 appearances, Queensland has the most locations on the list.
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<td width="127" height="20">Region</td>
<td width="234">State of market</td>
<td width="39">State</td>
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<tr height="20">
<td height="20">Albury (h)</td>
<td>Bottom of market</td>
<td>NSW</td>
</tr>
<tr height="20">
<td height="20">Albury (u)</td>
<td>Bottom of market</td>
<td>NSW</td>
</tr>
<tr height="20">
<td height="20">Central Coast (u)</td>
<td>Bottom of market</td>
<td>NSW</td>
</tr>
<tr height="20">
<td height="20">Central Coast (u)</td>
<td>Rising market</td>
<td>NSW</td>
</tr>
<tr height="20">
<td height="20">Coffs Harbour (h)</td>
<td>Bottom of market</td>
<td>NSW</td>
</tr>
<tr height="20">
<td height="20">Coffs Harbour (u)</td>
<td>Bottom of market</td>
<td>NSW</td>
</tr>
<tr height="20">
<td height="20">Dubbo (u)</td>
<td>Bottom of market</td>
<td>NSW</td>
</tr>
<tr height="20">
<td height="20">Echuca (u)</td>
<td>Start of recovery</td>
<td>NSW</td>
</tr>
<tr height="20">
<td height="20">Griffith (h)</td>
<td>Start of recovery</td>
<td>NSW</td>
</tr>
<tr height="20">
<td height="20">Griffith (u)</td>
<td>Start of recovery</td>
<td>NSW</td>
</tr>
<tr height="20">
<td height="20">Newcastle (h)</td>
<td>Start of recovery</td>
<td>NSW</td>
</tr>
<tr height="20">
<td height="20">Newcastle (u)</td>
<td>Start of recovery</td>
<td>NSW</td>
</tr>
<tr height="20">
<td height="20">Tweed Coast (h)</td>
<td>Bottom of market</td>
<td>NSW</td>
</tr>
<tr height="20">
<td height="20">Tweed Coast (u)</td>
<td>Bottom of market</td>
<td>NSW</td>
</tr>
<tr height="20">
<td height="20">Wollongong (h)</td>
<td>Bottom of market - rising market</td>
<td>NSW</td>
</tr>
<tr height="20">
<td height="20">Wollongong (u)</td>
<td>Bottom of market - rising market</td>
<td>NSW</td>
</tr>
<tr height="20">
<td height="20">Brisbane (h)</td>
<td>Start of recovery</td>
<td>QLD</td>
</tr>
<tr height="20">
<td height="20">Brisbane (u)</td>
<td>Start of recovery</td>
<td>QLD</td>
</tr>
<tr height="20">
<td height="20">Bundaberg (h)</td>
<td>Bottom of market</td>
<td>QLD</td>
</tr>
<tr height="20">
<td height="20">Bundaberg (u)</td>
<td>Bottom of market</td>
<td>QLD</td>
</tr>
<tr height="20">
<td height="20">Cairns (h)</td>
<td>Bottom of market</td>
<td>QLD</td>
</tr>
<tr height="20">
<td height="20">Cairns (u)</td>
<td>Bottom of market</td>
<td>QLD</td>
</tr>
<tr height="20">
<td height="20">Hervey Bay (h)</td>
<td>Start of recovery - bottom of market</td>
<td>QLD</td>
</tr>
<tr height="20">
<td height="20">Hervey Bay (u)</td>
<td>Bottom of market</td>
<td>QLD</td>
</tr>
<tr height="20">
<td height="20">Ipswich (h)</td>
<td>Bottom of market</td>
<td>QLD</td>
</tr>
<tr height="20">
<td height="20">Ipswich (u)</td>
<td>Bottom of market</td>
<td>QLD</td>
</tr>
<tr height="20">
<td height="20">Mackay (h)</td>
<td>Bottom of market - rising market</td>
<td>QLD</td>
</tr>
<tr height="20">
<td height="20">Mackay (u)</td>
<td>Bottom of market - rising market</td>
<td>QLD</td>
</tr>
<tr height="20">
<td height="20">Rockhampton (h)</td>
<td>Bottom of market</td>
<td>QLD</td>
</tr>
<tr height="20">
<td height="20">Rockhampton (u)</td>
<td>Bottom of market</td>
<td>QLD</td>
</tr>
<tr height="20">
<td height="20">Sunshine Coast (h)</td>
<td>Bottom of market</td>
<td>QLD</td>
</tr>
<tr height="20">
<td height="20">Sunshine Coast (u)</td>
<td>Bottom of market</td>
<td>QLD</td>
</tr>
<tr height="20">
<td height="20">Toowoomba (h)</td>
<td>Start of recovery - bottom of market</td>
<td>QLD</td>
</tr>
<tr height="20">
<td height="20">Toowoomba (u)</td>
<td>Rising market</td>
<td>QLD</td>
</tr>
<tr height="20">
<td height="20">Townsville (h)</td>
<td>Bottom of market</td>
<td>QLD</td>
</tr>
<tr height="20">
<td height="20">Townsville (u)</td>
<td>Bottom of market</td>
<td>QLD</td>
</tr>
<tr height="20">
<td height="20">Whitsunday (h)</td>
<td>Bottom of market - rising market</td>
<td>QLD</td>
</tr>
<tr height="20">
<td height="20">Whitsunday (u)</td>
<td>Bottom of market - rising market</td>
<td>QLD</td>
</tr>
<tr height="20">
<td height="20">Adelaide (h)</td>
<td>Bottom of market</td>
<td>SA</td>
</tr>
<tr height="20">
<td height="20">Adelaide (u)</td>
<td>Bottom of market</td>
<td>SA</td>
</tr>
<tr height="20">
<td height="20">Adelaide hills (h)</td>
<td>Bottom of market</td>
<td>SA</td>
</tr>
<tr height="20">
<td height="20">Adelaide hills (u)</td>
<td>Bottom of market</td>
<td>SA</td>
</tr>
<tr height="20">
<td height="20">Barossa Valley (h)</td>
<td>Bottom of market</td>
<td>SA</td>
</tr>
<tr height="20">
<td height="20">Barossa Valley (u)</td>
<td>Bottom of market</td>
<td>SA</td>
</tr>
<tr height="20">
<td height="20">Iron Triangle (h)</td>
<td>Bottom of market</td>
<td>SA</td>
</tr>
<tr height="20">
<td height="20">Iron Triangle (u)</td>
<td>Bottom of market</td>
<td>SA</td>
</tr>
<tr height="20">
<td height="20">Mount Gambier (h)</td>
<td>Bottom of market</td>
<td>SA</td>
</tr>
<tr height="20">
<td height="20">Mount Gambier (u)</td>
<td>Bottom of market</td>
<td>SA</td>
</tr>
<tr height="20">
<td height="20">Riverland (h)</td>
<td>Bottom of market</td>
<td>SA</td>
</tr>
<tr height="20">
<td height="20">Riverland (u)</td>
<td>Bottom of market</td>
<td>SA</td>
</tr>
<tr height="20">
<td height="20">Ballarat (h)</td>
<td>Bottom of market</td>
<td>VIC</td>
</tr>
<tr height="20">
<td height="20">Ballarat (u)</td>
<td>Bottom of market</td>
<td>VIC</td>
</tr>
<tr height="20">
<td height="20">Gippsland (h)</td>
<td>Bottom of market</td>
<td>VIC</td>
</tr>
<tr height="20">
<td height="20">Gippsland (u)</td>
<td>Bottom of market</td>
<td>VIC</td>
</tr>
<tr height="20">
<td height="20">Latrobe Valley (h)</td>
<td>Bottom of market</td>
<td>VIC</td>
</tr>
<tr height="20">
<td height="20">Latrobe Valley (u)</td>
<td>Bottom of market</td>
<td>VIC</td>
</tr>
<tr height="20">
<td height="20">Melbourne (h)</td>
<td>Start of recovery</td>
<td>VIC</td>
</tr>
<tr height="20">
<td height="20">Melbourne (u)</td>
<td>Start of recovery - bottom of market</td>
<td>VIC</td>
</tr>
<tr height="20">
<td height="20">Mildura (h)</td>
<td>Bottom of market</td>
<td>VIC</td>
</tr>
<tr height="20">
<td height="20">Mildura (u)</td>
<td>Bottom of market</td>
<td>VIC</td>
</tr>
<tr height="20">
<td height="20">Shepparton (h)</td>
<td>Declining market</td>
<td>VIC</td>
</tr>
<tr height="20">
<td height="20">Shepparton (u)</td>
<td>Bottom of market</td>
<td>VIC</td>
</tr>
<tr height="20">
<td height="20">Wodonga (h)</td>
<td>Bottom of market</td>
<td>VIC</td>
</tr>
<tr height="20">
<td height="20">Wodonga (u)</td>
<td>Bottom of market</td>
<td>VIC</td>
</tr>
<tr height="20">
<td height="20">Southwest WA (h)</td>
<td>Start of recovery</td>
<td>WA</td>
</tr>
<tr height="20">
<td height="20">Southwest WA (u)</td>
<td>Start of recovery</td>
<td>WA</td>
</tr>
</tbody>
</table>
Source: HTW</body></html>

Queensland tops list of 32 recovering or bottomed out property markets: Herron Todd White

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Bendigo and Adelaide Bank has posted a cash profit of $348 million in the year to June 30, some 7.7% more than its $323 million profit last year.
Its full-year net profit was $352.3 million, up 80.7% on last year $137.1 million which was hit by a $95 million writedown on its margin lending and wealth management divisions.
It said the profit it makes on loans was under pressure as low official cash rates caused competition for retail deposits and compression.
Managing director Mike Hirst says the bank has had solid results despite difficult trading conditions.
“Consumer confidence and demand for credit remains low, and competition remains very strong for retail deposits,” he says.
He says the low official interest rates nice for existing borrowers but says a broad return of consumer confidence is yet to come.
“While we expect to see relatively subdued credit growth in the coming 12 months, we remain confident that the unique Bendigo and Adelaide Bank business model will continue to resonate with customers.”
He says the support of customers and communities and its conservative funding and balance sheet structure meant it is well placed to benefit from any improvement in market sentiment and demand for credit.
"Our industry-leading retail and business customer satisfaction levels and the maintenance of an efficient business model becomes even more important in this environment," he said.
"At Bendigo and Adelaide Bank we will continue to leverage our unique strengths to take advantage of the significant opportunities that exist for our business."
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Bendigo and Adelaide Bank posts a cash profit 7.7% above last year

Perth’s new apartment market recorded its strongest quarter of sales since Q4 2021, with 412 apartments sold in Q1 2026 and a record quarterly sold value of $537 million, according to Urbis’ latest Apartment Essentials results.

Urbis said the March quarter result reflects strong, highly product‑specific demand across both ends of the market, from more attainable projects delivering at scale, through to premium stock being absorbed by equity‑rich downsizers.&nbsp;

David Cresp, Partner at Urbis, said the key story in Perth is not demand, it is the market’s ability to convert demand into delivered housing.&nbsp;

“This is the strongest sales quarter since Q4 2021, and it reinforces that demand in Perth is real and it’s local,” David Cresp said. “But the task now is delivery, turning that demand into projects that can actually be built and completed.”&nbsp;

[smartcode_project:default project_id=110291 project_image_fid=302785]

<h2>Affordable product leads, premium demand remains resilient</h2>

Sales in Q1 were led by more affordable projects, with The Boulevard (SKS Group) recording 115 sales in the quarter, the presentation noting this is only the second time a single project has surpassed 100 quarterly sales. The project was able to offer more affordable housing product right next to a train station.&nbsp;

Palmyra West (Finbar) also delivered strong results with 28 sales in Q1, following 84 sales in Q4, with an average price of under $800,000, underscoring depth of demand for well‑located, attainable new stock.&nbsp;

At the premium end, Urbis said downsizer demand is continuing, with the results highlighting Romeo (Applecross, Finbar) recording 75 sales and reaching almost 50% sold in one quarter.

Jual (Shenton Park, Celsius Property) also posted a strong quarter with 28 sales, reaching 39% sold in one quarter.

Urbis noted that Perth apartment demand is not speculative, not investor‑led, and not uniform, describing it as localised, often equity‑driven and highly product‑specific, a pattern reflected in the polarisation between strong “attainable” performers and premium downsizer product.&nbsp;

[smartcode_project:default project_id=148957 project_image_fid=364102]

<h2>Prices underpinned by costs, and the delivery risk is growing</h2>

Urbis said pricing pressure is cost not demand‑driven: construction costs and delivery risk are now a central constraint, with the results noting build costs remain elevated and volatile, and that energy, fuel and labour uncertainty weigh on feasibility.

David Cresp said a growing challenge for private Build‑to‑Sell developers is simply securing a builder in the current environment.

“Developers are really feeling the pressure from a building market that was operating at capacity and securing a builder is challenging,” David Cresp said, adding that even where a builder can be secured, “trying to get to the price that makes the development financially viable is incredibly challenging in the current market.”&nbsp;

Urbis’ broader WA commentary also notes that industry remains at or above capacity with lot and housing creation, and that many builders are limiting new sales to manage stretched workforces and fixed‑price contract pressures, conditions that flow directly into apartment feasibility and delivery timing.

[smartcode_project:default project_id=108869 project_image_fid=317905]

<h2>Supply: improving later, but still constrained, and Perth lags eastern benchmarks</h2>

While near‑term supply remains constrained, Urbis’ forecast shows completions lifting “Supply is forecast to be back above 1,500 apartments per annum for the first time since 2019”, with 1,775 completions forecast for 2026, and volumes remaining above that level over the following years.&nbsp;

Looking further ahead, completions are forecast to reach 2,500 in 2028, with the report noting 32% of that total is social/affordable, reflecting the role of government‑supported delivery in rebuilding the pipeline.&nbsp;

However, Urbis said Perth remains behind comparable markets on pipeline scale. In a national comparison of projects under construction, the report shows under construction Perth Build‑to‑Sell (BTS) at 3,446 apartments versus the Gold Coast at 7,922. Mr Cresp said “The challenge for Perth is how to we grow the delivery pipeline”.

Urbis’ conclusion is that Perth’s market is increasingly defined by product discipline and delivery certainty, with the research identifying “delivery certainty is key” and calling out builder risk and procurement models as core success factors, alongside “timing and staging”.&nbsp;

Joel Robinson

Perth apartment sales hit strongest pace since late 2021 as builder capacity tightens

<a href="https://www.apartments.com.au/developers/sammut-developments">Sammut Group</a> has secured development approval for its latest Brisbane apartment project, marking the Sydney developer’s next step in expanding its Queensland pipeline following the success of its debut Gold Coast development, Coast.

The approved project at <a href="https://www.apartments.com.au/new-apartments/44-glen-road-toowong-qld-4066">44 Glen Road, </a><a href="https://www.apartments.com.au/developments/toowong-qld-4066">Toowong</a> will deliver a 15-storey riverfront apartment building with 42 residences, significantly increasing the scale of the site’s previous approval for a smaller luxury scheme. Designed by Bureau^proberts, the development will comprise a mix of predominantly four-bedroom and two-bedroom apartments positioned to maximise Brisbane River and city views.

Sammut Director Julian Sammut said the group had been actively searching Brisbane for several years before identifying Toowong as the right fit.

“Brisbane was the right step for Sammut,” Sammut said.

“With the success of Coast we thought we should definitely look to do more in Queensland alone. We then pushed up to look at Brisbane. We've been looking for I'd say two to three years actually and it was hard to find the right location.”

<img alt="Sammut makes Brisbane apartment play" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/f_auto,c_limit,w_1440,q_75/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/field/image/Screenshot%202025-12-23%20at%203.27.14%E2%80%AFPM.png?VersionId=dYAVIL7qdcGA8ojvkslSrLjczXFejSSx" />

Sammut said suburbs including New Farm and Teneriffe were considered before the group ultimately focused on Toowong due to its strong downsizer demographic and limited supply of developable riverfront land.

The site was acquired off-market after what Sammut described as a lengthy negotiation and planning process, with the developer pursuing an uplift to the original approval.

“We are DA approved now which is very exciting,” Sammut said.

“We've had our change approval come through and we've obviously doubled the height, 15 storeys plus rooftop. We've got 42 amazing apartments that are going to be coming to market soon.”

<img alt="Sammut makes Brisbane apartment play" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,dpr_2.0,q_auto:good/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202025-12-23%20at%203.27.26%E2%80%AFPM.png?VersionId=ohkRkY0dIZlqdfME2EZePsCQavRiBadE" />

Bureau^proberts said the design responds to Toowong’s evolving urban character, balancing contemporary apartment living with the area’s established residential identity.

“A place where traditional Queensland living has taken place for centuries; Toowong is seeing a shift of contemporary influence, commercial and retail hubs mixed with well-considered residential offerings – all the while maintaining its character and charm,” the architect noted in planning documents submitted to Brisbane City Council.

The architecture practice said the project’s form was shaped by its riverfront setting, flood considerations, neighbouring building scales, and view corridors.

“They said the mix of four and two-bedroom apartments capture the ‘fundamental qualities of Queenslander living,’ translated into the context of a contemporary subtropical building.”

The development sits just off Coronation Drive within walking distance of Toowong’s retail precinct and the upgraded Regatta ferry terminal, while also benefiting from proximity to the incoming green bridge connection to West End. Sammut said the accessibility and amenity offering were central to the site’s appeal.

The approval adds to growing residential activity along the Toowong riverfront, joining nearby projects including Consolidated Properties’ Monarch Residences and Spyre Group’s ARC Residences.

Sammut secures approval for debut Brisbane apartment development in Toowong

Developer Lanevick is heading back into Sydney’s apartment market after focusing more heavily on the luxury townhouse and terrace sector in recent years.

Lanevick, founded and directed by Steve Maroun, is expecting to receive approval in the coming months for a new apartment development in Gladesville, with the aim to launch it to the market later this year.

The 51-apartment project, designed by Studio Johnston, will comprise a mix of one-, two-, and three-bedroom apartments positioned toward the Hunters Hill downsizer market.

“Traditionally it’s been difficult for people in that market to downsize because there just hasn’t been the right product available,” Maroun said.

“We’re targeting buyers who might have 30 to 40 per cent of their house value sitting in the bank after downsizing.

“They still want good spacious entertaining areas, they still want quality design, but they also want flexibility and the ability to enjoy life a bit more after working hard for a long time.”

The project sits near Boronia Park and within close proximity to the Parramatta River foreshore, an area Maroun says offers more of a Hunters Hill lifestyle than a traditional apartment precinct.

“From a lifestyle perspective, it’s really more Hunters Hill than Gladesville,” Maroun said. “You’re close to the foreshore, close to parklands, and still connected back into the village precinct.”

From level four and above, apartments will capture water views&nbsp;toward Sydney Harbour. Communal amenity will include rooftop entertaining areas, wellness spaces, and a gym tailored toward owner-occupier buyers.

“We’ve really designed these apartments around that buyer coming from the Hunters Hill LGA and what they’re actually looking for in their next chapter.”

The proposed development has also been designed to respond to the changing character of the broader Gladesville town centre, where a growing number of mixed-use and residential proposals are expected to emerge over the coming years.

“Gladesville presented a rare opportunity to deliver a genuinely design-led residential project within an evolving lifestyle precinct, just moments from the growing Gladesville town centre, and we’ve approached the project with a strong focus on architecture, liveability and long-term community value,” Maroun said.

Maroun said Lanevick saw a first-mover advantage within the precinct as planning controls continue to evolve to accommodate greater housing density.

“We think there’s a real opportunity there that hasn’t really been serviced properly yet,” he said.

“There’s going to be a broader evolution of the whole Gladesville village precinct over time, particularly with more activation and mixed-use outcomes.”

The Venus Street proposal will include a commercial and retail component at ground level designed to contribute to that evolving streetscape activation.

“A big part of the thinking was how do you activate that area properly and create more vibrancy and amenity, which is what Hunters Hill has been looking for,” Maroun said.

Lanevick’s focus since 2020 has largely been on smaller-scale luxury townhouse and terrace developments. The developer recently completed Royale Randwick, also designed by Studio Johnston, where prices reached $3.65 million. The project was featured in the UDIA NSW 2026 Professional Development Prospectus and was also named a finalist for Development of the Year.

&nbsp;

Lanevick to cater for Hunters Hill downsizers with new Gladesville apartment development

Property developer One Living, backed by former Macquarie banker turned investment manager Chris Green’s investment firm, has unveiled plans to bring more institutional capital into housing to help address the national supply crisis.

The New York-based investor has focused his firm, GreenPoint Partners, on addressing the supply shortage hitting middle market housing in Australia.

It is backing the new One Living business to develop more than 1000 units along the eastern seaboard. The new firm is starting with a development on Mona Vale Road, on the border of Mona Vale and Pymble, in Sydney’s Northern Beaches, with around 140 apartments planned. They are eyeing off more sites across the city.

With cost pressures rising in the industry, One Living’s model is to be a vertically integrated developer-builder, so it can respond directly to the housing gap by removing the cost inefficiencies embedded in traditional residential delivery.

“We are building a platform designed to operate at scale and starting in a market where there’s a clear need for quality, attainable housing,” One Living joint managing director Joseph Scuderi said.

“It’s that missing middle – it’s that attainable end of housing… that’s what most Australians invest into and what Australians can actually afford.”

<img alt="Mona Vale" data-entity-type="file" data-entity-uuid="798dfa93-4941-4db6-a696-31e9dc18e81c" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-28%20at%202.31.50%E2%80%AFPM.png?VersionId=mKBqi5C_DmeiXS.AtJkcR8LQIxqCqmFi" />

GreenPoint Partners brings years of experience assembling and scaling real estate operating businesses across major markets. And Green sees a big opportunity in Australia.

“For its size, sophistication and importance to the community, Australia’s living sector has remained largely under-institutionalised, which represents significant opportunity,” Green said. “GreenPoint identified that gap, assembled the right team, and is backing One Living to build a platform that is aligned to market needs.”

Green said being a builder-developer would give the company the capacity and flexibility it required to deliver reasonably-priced homes.

“We want it to be at that attainable level; not super high end luxury but at that attainable level,” he said.

<img alt="Mona Vale" data-entity-type="file" data-entity-uuid="74a5344a-4b26-4d4a-ada3-056b1220be77" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-28%20at%202.32.15%E2%80%AFPM.png?VersionId=vY8hXHO4reBMdO8ZXMWCNtGZJofUPQ3j" />

&nbsp;

One Living will undertake a component of affordable housing in its schemes, which it will own and operate, and it could also run build-to-rent on some sites.

Green praised local policy settings.

“The NSW government is being very supportive, strategic and pragmatic in terms of how do we generate more supply of housing,” he said. “We think it’s actually positive for development and the bit that’s been lacking at that attainable level is that it’s lots of relatively small private developers, whereas we want to create an institutional platform.”

One Living is also&nbsp;looking at high-density projects and could take on more institutional funding in the future.

“The way we will be able to achieve economies of scale is through size,” Green added.

One Living enters Sydney's new apartment market with Northern Beaches site acquisition

It's been several years since there's been an opportunity to buy a brand new townhome in Melbourne's coastal suburb of Mordialloc. Even apartment developments in recent times have been few and far between in the area.

Local developer LDS Property identified the gap in new housing, securing a site on White Street, directly opposite&nbsp;Woodlands Golf Club Mordialloc. They've recently launched&nbsp;<a href="https://www.apartments.com.au/new-townhouses/wm-residences-mordialloc-102-white-street-mordialloc-vic-3195">WM Residences</a>, just 13 townhouses which they have already started building.

Projects by Buxton Director Heath Thompson, who is selling WM Residences, says the townhouses x that perfect middle ground be

"Mordialloc residents have had limited options to downsize within the suburb, often forcing them to look elsewhere despite long-standing ties to the area," Thompson says.

"With very little comparable new supply coming to market, projects like WM Residences are well placed, particularly as buyers look to capitalise on current conditions amid constrained supply."

[smartcode_project:default project_id=134646 project_image_fid=6109]

The development, designed by regarded architecture firm&nbsp;<a href="https://www.apartments.com.au/architects/ewert-leaf">Ewert Leaf</a>,&nbsp;adopts a deliberately restrained architectural approach, focusing on simplicity, durability and liveability rather than overt design gestures.

The boutique scale is central to the offering. With only 13 three-bedroom residences, each home is configured to prioritise functional layouts and everyday use, supported by private terraces and secure two-car garages.

Ewert Leaf’s design response leans into a calm, neutral material palette. Interiors are defined by oak flooring, white walls and soft finishes, creating a consistent and understated backdrop. The approach avoids trend-driven detailing in favour of longevity, with an emphasis on natural light and spatial clarity.

[smartcode_project:default project_id=134646 project_image_fid=6110]

Beyond aesthetics, the homes are designed to meet contemporary performance expectations. Each residence targets a minimum 6-star energy rating, incorporating double glazing, comprehensive insulation and all-electric Bosch appliances.

The project’s location supports a walkable coastal lifestyle, sitting within close proximity to Mordialloc’s foreshore, Main Street retail strip and the train station. Local cafés and dining venues, including Suburbia Deli and Hendriks Café, are within a short walk, reinforcing the area’s established neighbourhood character.

[smartcode_project:default project_id=134646 project_image_fid=6116]

While <a href="https://www.apartments.com.au/developments/mordialloc-vic-3195">Mordialloc</a> is often defined by its beach and pier, the project taps into other areas of day to day living, offering easy access to local food, casual dining and transport, rather than positioning itself purely as a lifestyle retreat.

WM Residences reflects a continued trend across Melbourne’s coastal suburbs towards smaller-scale, design-led townhouse developments, particularly on infill sites where proximity to amenity is already established.

With construction commenced prior to its market entry, the project aligns with a growing preference among buyers for developments with visible progress and defined delivery timeframes.

[smartcode_project_cta:default project_id=134646]

Alistair Walsh

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