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With 2013 well and truly behind us, Property Observer is looking forward to the year ahead. We’ve asked four market experts to weigh in on where we’ll see the best capital growth this year.
Which capital city will perform the best in 2014?
 
<img src="/images/stories/2014/01/17/CharlesTarbey.png" alt="CharlesTarbey" width="149" height="225">
Charles Tarbey - chairman of Century 21 Australia
BRISBANE IS THE NEXT TO MOVE
Brisbane. During the last year, other capital cities moved up in price far more than Brisbane did. And if I look at the three most vibrant ones – Brisbane, Sydney and Melbourne, the last two had the strongest growth. Three years ago, Brisbane and Sydney had very similar prices. But in the last 12 months, Sydney’s median prices have jumped almost 14%. The median price in Sydney is now close to $750,000, while it’s around $445,000 in Brisbane.
Sydney investors used to sell their properties in Sydney to downsize and buy in Brisbane, and still have a quarter of a million left over. That stopped three years ago, but now it’s back on the table.
If you look at discretionary spending, the majority of people who buy in the Sunshine Coast are from Melbourne. And as capital gains in Melbourne have increased, there’s a very big discrepancy in the prices of those sorts of properties in Melbourne and those currently available on the Sunshine Coast.
Brisbane and the surrounding areas have stayed flat in recent times, in part due to the floods, along with other factors. Astute investors will be picking up on those areas.
 
<img src="/images/stories/2014/01/17/victor.jpg" alt="victor" width="180" height="180">
Victor Kumar - Director and Principal of Right Property Group
BRISBANE IS CERTAINLY ONE TO WATCH AS SYDNEY HEATS UP
Growth in any area generally follows a period of higher yields (annual rent expressed as a percentage of purchase price), if all other fundamentals remain the same. Given that money is fairly cheap, where you can get sub 5% interest rates on loans, the higher yielding suburbs, and indeed states, will and have seen a buying frenzy.
The result of this is that there is excessive heat in the market. Buyers, and indeed first time investors and home owners, are starting to pay over the top in a bid to get into the market, in the hope of not missing out on a good growth spurt.
Adding to that volatility, there are a lot of investors jumping into the market with their super funds, taking a longer term view on their purchases and who are therefore not fazed about paying a few thousand dollars extra to be ahead of the competition. There certainly will be a substantial increase in pricing in most metropolitan areas.
Given that Sydney traditionally has been yielding 6.5% plus properties in areas that show good investment fundamentals, the market is in an absolute frenzy with the lower interest rates, and the added bite of new year’s resolutions and so forth, it is generally a market I would not buy in unless there are notable price points between new and old. Certainly, I would be concentrating more in the mortgage belt and coastal areas, so that when the heat does go out of the market at some point in time, there isn’t such a major correction.
Brisbane is absolutely the other market to watch. Rising prices in Sydney are leading to reducing yields, and Brisbane’s lower priced (in comparison to Sydney’s) properties will be giving the high yields most seasoned investors are accustomed to. There will be a natural influx of out of state investors there, which will and has led to a strong market recovery.
Generally if you are buying here, this year you will see good growth, and yields will decrease. Naturally my preference is on established properties in the mortgage belt area here outside of the flood zones.
Melbourne, in the suburbs where the fundamentals do work, is never going to be a high yielding proposition, yet the growth is likely to be pretty good, given the infrastructure changes and the influx again of self-managed super funds and out of state investors seeking new markets. It’s likely to show good strong growth.
Perth, Adelaide and the other main cities in the country are, in my opinion, likely to lag behind these three areas (Brisbane, Sydney and Melbourne) in terms of growth in 2014.
The point to note in all of this is that whilst the market in each state is being driven by factors such as media attention, lower interest rates, more buyers in the market and good infrastructure, even though a state is highlighted for growth or decline, there will still be pockets within these states which will be bucking the trend. Therefore due diligence is required before jumping into a state or suburb just because everyone else seems to be investing there.
See other expert opinions over page
 
 
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<img src="/images/stories/2014/01/17/TL.png" alt="TL" width="200" height="168" style="font-size: 0.8em; vertical-align: middle;">
Tim Lawless - Head of Research, RP Data
BRISBANE SHOWING STRONG FUNDAMENTALS
Brisbane is arguably the best example of a city showing strong fundamentals. Gross rental yields are amongst the highest of any capital city (4.6 per cent for houses and 5.6 per cent for units), housing prices are much lower than Sydney and Melbourne (the median house price in Brisbane is 36% lower than Sydney’s and 24% lower than Melbourne’s). Population growth is strong and there hasn’t been a substantial uplift in new dwelling supply, indicating a persistent undersupply of housing. Rental vacancies are around the 2% mark according to the REIA which is likely to drive rents higher as well.
Perth’s housing market has likely passed peak growth conditions. We are seeing rental rates now tapering as Perth vacancy rates rise, transaction numbers are trailing off and yields are slightly below average. We are also seeing the rate of overseas and interstate migration into Western Australia slowdown, which is likely in response to a wind down in the major infrastructure project pipeline that is evident across many of the resource intensive regions of the state.
It is logical to expect those markets that have been very ‘hot’ in terms of capital growth will naturally start to cool over the coming year, in fact we may already be seeing early signs that peak capital gains have passed in Sydney and Melbourne.
The key challenge for those investing in the housing market over the coming year will be to balance rental income with expectations for capital gain. In our view, investors should be approaching the housing market with a balanced strategy: seeking out homes that will provide opportunities for long term capital gains whilst also returning a healthy rental yield. With typical yields across Sydney and Melbourne now below 4 per cent for houses and slightly higher for units, finding balanced investment opportunities that offer both rental income and prospects for capital gain are becoming more difficult.
 
 
<img src="/images/stories/2013/12/12/CatherineCashmoreProfile.jpg" alt="CatherineCashmoreProfile" width="125" height="150" style="font-size: 10px; float: left;">
 
 
 
 
 
 
 
Catherine Cashmore - Market analyst
A NUMBER OF CAPITALS TO BENEFIT, BUT A SLOWDOWN IN 2015 
There is nothing to indicate any slow down in the market's overall direction in 2014 - but I do think it will come in 2015.
Canberra and Adelaide are likely to remain soft however investors are the main players in this cycle and Sydney (gains of which could be in excess of 10%,) followed by Melbourne, Perth and Brisbane (+ 5-8%) are all set to benefit.
There are potential headwinds for the economy - as most are aware, job security is a factor for many buyers - unemployment is trending upwards and the Government is accentuating the problem with its unhealthy obsession to restore a surplus.
To offset this, money is flowing into the local established markets via strong immigration from China and India, for example, with other factors such as an increasing amount of wealth in self-managed super funds, which is a strengthening trend.
Interest rates are likely to remain low - which will assist mortgage holders and investors and for those entering the market, the concentration is most likely focused on their monthly payment rather than total upfront cost. However it's that upfront cost and the shortage of affordable supply, which will continue to deter first time buyers.
No doubt, the winners in this market have been - and will continue to be - investors and second time buyers - however, a growing and very vocal minority of low income earners and first time buyers, are starting to question the legacy they have been left with.
It won't change the current cycle, or stop the speculation - but perhaps it will inspire a much needed debate on the long term, feasible, and sustainable solutions.
Would you like to add your prediction to the list? Email <a href="mailto:jrichardson@propertyobserver.com.au" target="_blank">jrichardson@propertyobserver.com.au</a>
 
<div>For other 2014 expert predictions, see <a href="https://www.propertyobserver.com.au/trends/what-will-the-year-2014-mean-for-the-national-property-scene-the-experts-have-their-say/2013121166867" target="_blank">this exclusive here.</a>
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Which capital city will do best this year? The experts have their say

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The final apartments of the $700m Southport Central development have now been sold. According to Colliers, 70 of the final 92 apartments were sold to buyers of Asian origin, many of whom already resided in the Gold Coast area.
In a press release, Mark Worth, Director of Residential Project Marketing at Colliers International, stated that “Chinese investors, who make up the largest percentage of buyers, are securing a home for their children that are studying in the area. They tend to look for Chinese populated communities, and after the students graduate the parents intend to hold the property as an investment or sell it in a much improved market in the future.”
“Many of the Chinese buyers have also purchased an apartment as a permanent residence, as the remaining stock still had FIRB (Foreign Investment Review Board) status.”
The Southport area has a relatively high proportion of residents of Asian descent when compared to nearby areas such as Surfers Paradise or Broadbeach.
Developed by the Raptis Group, the three-tower Southport Central development includes 788 apartments, as well as a street-level retail precinct and 11 floors of office and commercial spaces.
<a href="mailto:jrichardson@propertyobserver.com.au" target="_blank">jrichardson@propertyobserver.com.au</a>
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Gold Coast’s Southport Central development sells out

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According to the latest Rental Report from Australian Property Monitors (APM), the increasing supply of rental properties will continue to affect rental yields in the Eastern capital cities.
While Melbourne has experienced rising rents in houses, with median asking rents increasing by 1.4% in the December quarter, unit rents in the city have weakened, decreasing by 2.8% over the same period. 
APM’s December quarter 2013 report also notes that Melbourne recorded no growth in unit rents over the year. The sluggish unit rental market is attributed in part to the development of new inner city apartments.
The report notes similar conditions in Brisbane. Although both house and unit rents increased over the December quarter, house rents increased by 2.6% over all of 2013, while unit rents have remained flat.
Sydney is still the most costly market for tenants, according to the APM report. Over 2013, house rents have stayed constant, while unit prices have increased by 5.4%, indicating the preference among tenants for inner city locations and affordability. Rental yields for Sydney houses have continued to decrease, due to 2013’s strong rise in investor activity and house prices.
The report expects that increased investment in the eastern capital cities, combined with the construction of new inner city units, will continue to push the supply of rental properties and weaken rental prices.
<a target="_blank" href="mailto:jrichardson@propertyobserver.com.au">jrichardson@propertyobserver.com.au</a>
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Rental yields in Sydney, Brisbane and Melbourne to be impacted: APM

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Wollongong appears to be benefiting from Sydney’s property boom, and not surprisingly it came up in one of our reader requests.
According to the ABS, the seaside area has around 190,000 residents, making it New South Wales’s third largest city, behind Sydney and Newcastle.
While the Illawarra city was once a traditional industrial town, Wollongong’s economy has diversified in recent years, due in part to the decline of Australian manufacturing and the presence of the University of Wollongong.
After slowing down over the latter half of 2011 and 2012, the last year has seen the Wollongong property market regain some momentum. The median house price in Wollongong is currently $497,000, 8% up from the previous year, while the median unit price is $374,000, up 9.8% from the previous year.
Dr Andrew Wilson, senior economist at Australian Property Monitors (APM), notes that the Wollongong property market has remained strong in the face of changes to the local economy.
“Wollongong has seen pretty positive results. Growth’s been solid rather than spectacular, and the state and national governments have been very proactive ensuring that the market’s been shielded from the negative impacts of job shedding in the steel industry.”
“It’s shown itself to be quite resilient market, considering the issues to do with confidence.”
In part, he attributes Wollongong’s strong performance in the property market to Sydney’s big year.
“Sydney’s been the strongest capital city market in the last 12 months, and Wollongong has certainly caught some of that Sydney fever.”
“Regional markets [like Wollongong] have been experiencing around 7% price growth over 2013 - about half of what Sydney’s been recorded at over the same period.”
Wollongong provides a welcome lifestyle change for Sydney residents, says Wilson.
“The lifestyle market of the south coast has general appeal, and growth in beachside areas shows the ‘seachange’ or ‘greenchange’ effect.”
McGrath Illawarra principle Jordan Andonovski has also observed the market picking up over the last six months, a trend he expects to continue in the long term.
“It’s been very good. Particularly, the last quarter of 2013 has been very, very active.”
According to Andonovski, prices have been bolstered by increased competition among buyers seeking an alternative to the Sydney property market.
“Comparative to Sydney, properties here are larger and less expensive. People are seeking bigger homes with bigger gardens for their growing families, and they can’t get that in Sydney anymore.”
Indeed, families seem to be having a big impact on Wollongong’s property market.
“We’re seeing buyers upsizing from small units to mid-sized homes as their families grow,” he noted.
“There’s also lots of investment coming in with the university. Late in the year, there were a lot of parents purchasing apartments for their children. They might live there for a few years, and once they move out, their parents will either sell the properties on, or hold on to them for the rental yield.”
The university has also appeared to influence the rental market, with <a href="https://www.illawarramercury.com.au/story/1228360/uow-project-eases-wollongongs-rent-crisis/">reports</a> that the city’s vacancy rate rose in early 2013 due to the university’s launch of its student accommodation facilities. The city’s vacancy rate now sits at 2.4%.
Andonovski expects that as Sydney’s population continues to grow, so too will the influx of non-local buyers, resulting in long term growth for Wollongong’s property market.
<a href="mailto:jrichardson@propertyobserver.com.au" target="_blank"> jrichardson@propertyobserver.com.au</a>
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Suburb Spotlight: Wollongong on track for stable growth

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A French Chateau style residence located in Sandy Bay and on the most elevated block is being offered for sale, with the listing calling it the most significant waterfront property for sale in the Hobart market for a decade.
<a href="https://www.realestate.com.au/property-house-tas-sandy+bay-114821863" target="_blank">532 Sandy Bay Road, Sandy Bay </a>is a three-bedroom, three-bathroom home that shows itself off well in the listing photos, showing bay-style windows, a decorative staircase and classic design elements.
{yoogallery src=[images/stories/2014/01/16/sandybay]}
At three storeys, it’s a significantly sized property and Property Observer notes that it is asking somewhere in the vicinity of $3 million. It has views of the water to Battery Point and the City as far as Nutgrove Beach.
Level One – Large entry foyer, four interconnected living zones (formal lounge, dining, eat-in kitchen and media room), water, garden and courtyard views.
Level Two – Three double bedrooms, two marble bathrooms (including private master ensuite).
Level Three – Gym/rumpus room with own bathroom and sauna.
All levels are connected by lifts, and have double glazing, a monitored security system and air conditioning.
The master bedroom has a his/hers walk in wardrobe and 270 degree water views.
The gardens are designed by Paul Bangay, and include a walled courtyard. There is also a double garage, large portico, pencil pines and wrought iron electrically operated gates.
The site is 1,100 square metres, and is owned by Carl John Rooke, managing partner of Horwath Tasmania and shareholder advisor of Hazell Bros Group.
Steve Yannarakis from Knight Frank Hobart said that the owner is downsizing to Battery Point, and that there has been local and international interest on the home.
RP Data notes that the home last transacted in 1998 for $675,000.
The luxurious <a href="/news">Sandy Bay</a> area has a median sale price of $580,000 with the median for houses over $750,000 sitting at $915,000.
<a href="https://www.propertyobserver.com.au/jduke@propertyobserver.com.au" target="_blank">jduke@propertyobserver.com.au </a>
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Sandy Bay's most “significant waterfront property” offered in a decade listed

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In what appears to be another sign that rental affordability may be spanning out of control, university students are increasingly looking towards room sharing as an option.
Easyroommate Australia's manager, Sebastiaan Ram, is recommending room sharing as a cheaper and friendlier alternative to the pressure of living alone.
"One of the hardest things about leaving home for the first time is getting used to the extra costs - especially for those not lucky enough  to have qualified for a scholarship or government subsidies," Ram said.
With accommodation costs being one of the major expenses for a student, many will go to extreme lengths to stay on budget.
Property Observer decided to put this to the test. Heading to online listings through realestateVIEW and realestate.com.au, it appears that in the heavily student dominated and centrally located suburb of <a target="_blank" href="/news">Ultimo in Sydney</a>, one bedroom apartments can span anywhere from $800 for a modern-looking unit with a study, to $357 per week for a 'furnished loft' (the latter includes utilities). RP Data notes Ultimo's median price on a unit is $255,000, while the median asking rent is $550.
After going through the sign up process on Easyroommate, which asks you for your mobile number, email address and so on, and says that they will confirm these details, it shows accommodation from $140 to $450 per week for house sharing. The $140 option is to share a room in a townhouse (utilities included) with an unspecified number of people, while the $450 per week option is for your own room in a three bedroom unit (covers bills, cleaner, foxtel and wifi), in a Meriton apartment complex with a gym and other amenities.
There is another $140 per week per person share room situation, which looks to have four girls in just one room. The cheapest free to contact house share (not room share) with own room is $295 per night and fully furnished. The most expensive room-share situation is $220 for a "Girl or gay guy to share master" with ensuite.
According to the Australasian Survey of Student Engagement, the average Australasian university student sees 67% working off campus, with most reporting six to 15 hours of paid work per week. International students, by law, can only work a restricted number of hours per week.
In 2013, Universities Australia surveyed almost12,000 full-time undergrad and postgrad students and found that two-thirds were living below the poverty line, with 10% reporting they had an annual income below $10,000, and 40.3% noting theirs at $10,000 to $19,000.
Ram said that investors will rarely allow students to make major changes to their property, and suggested students undertake the following to make their accommodation feel more like a home:
1.       Often in a rented house painting of walls is not permitted, so why not bring your personality to your room with the use of art and posters. There are a number of ways to hang up art pieces without damaging walls such as white-tack
2.       Brighten up your space with the use of lamps lanterns or even statement lights. Extra lighting can give spaces a warmer and homelier feel.
3.       Bring the outside in with the use of potted plants, Succulents and cactuses have a calming effect, and are extremely easy to look after.
4.       Think of the floor as the fifth wall and accessorise it with bright, cheap rugs. They are easy to find and are a fantastic way to bring colour into a room. If you are moving out they are also an easy thing to pack up and take with you.
5.       It is quick and easy to change soft furnishings, use a nice throw to bring some colour to a bland sofa and pillows can also help. It is also extremely  easy to make curtains, you can then choose fabrics, colours and patterns that are personal to you, and bring your personality into your new home.
Source: Easyroommate
Not surprisingly, Australian students are most likely to stay at home to study where there is the option. 
<blockquote class="twitter-tweet" lang="en">
As a uni student it's next to impossible to rent on the Gold Coast, let alone find time to work! <a target="_blank" href="https://twitter.com/triplejHack">@triplejHack</a> <a target="_blank" href="https://twitter.com/search?q=%23housing&amp;src=hash">#housing</a> <a target="_blank" href="https://twitter.com/search?q=%23auspol&amp;src=hash">#auspol</a>
— Elise Eyears (@eliseeyears) <a target="_blank" href="https://www.propertyobserver.com.au/https://twitter.com/eliseeyears/statuses/367552072587030528">August 14, 2013</a>
</blockquote>
<blockquote class="twitter-tweet" lang="en">
Squatters at <a target="_blank" href="https://twitter.com/search?q=%23SydneyUniversity&amp;src=hash">#SydneyUniversity</a> are protesting about high rent in Syd.Been squatting in empty building for a month <a target="_blank" href="https://t.co/yOGxWdvp">https://t.co/yOGxWdvp</a>
— Inner West Courier (@InnerWestNews) <a target="_blank" href="https://www.propertyobserver.com.au/https://twitter.com/InnerWestNews/statuses/114537906059747328">September 16, 2011</a>
</blockquote>
jduke@propertyobserver.com.au 
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University students urged to look at room sharing: Easyroommate Australia

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The Property Council of Australia - ANZ Property Industry Confidence Survey, which saw Queensland's confidence surge by 10 points over the March quarter, has attracted the notice of Premier Campbell Newman.
With the result noting that property confidence in Queensland is now stronger than that of any other state or territory, Newman said that it outlined the capacity to do business in the state.
“It’s also great to see that Queensland is the only State where the majority of industry professionals believe the State Government is doing a good job in planning and managing growth," he said.
The survey also saw the highest expectation for economic growth for Queensland over the coming year, which Acting Treasurer John McVeigh said is a marked change over the last six months.
“Planned property construction for the March quarter has also surged ahead, particularly for the residential sector," said McVeigh.
The Government's reform agenda, that including a new planning policy, assessment and referral agency, two regional plans and the creation of a number of Priority Development Areas, is being noted by Acting Minister for State Development Infrastructure and Planning, Ian Walker, has having an effect.
“This year we will be focusing on finalising the local infrastructure charges system, introducing a new concise planning act to replace the current convoluted legislation, finalising the Cape York regional plan, preparing a new southeast Queensland regional plan, and reforming the structure and content of future local government planning schemes," said Walker.
<a target="_blank" href="mailto:jduke@propertyobserver.com.au">jduke@propertyobserver.com.au</a>
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Queensland property confidence attracts Premier's attention

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After looking at the five most beautiful vacant rentals in Victoria, we set our sights upon New South Wales. While our favourite rental properties in Victoria only included two beachside properties, as expected, in New South Wales, it’s all about the water views.
 
1)<a target="_blank" href="https://www.realestate.com.au/property-house-nsw-bayview-412159103"> 24 Lentara Road Bayview NSW 2104</a>
{yoogallery src=[images/stories/2014/01/15/1]}
Purchased by the current owners in November 2013, this five bedroom home in Sydney’s north displays a seamless integration of indoor and outdoor areas.
The master bedroom, which features a large en suite and walk in robe, opens out onto the house’s raised verandah, as do two of the smaller bedrooms. Glass doors let tenants open up the indoor living spaces, allowing them to spill over onto the deck. Many of the home’s rooms also feature floor to ceiling windows, ensuring clear views to Pittwater and the Tasman Sea.
The one acre property features a large marble-benched kitchen, two lounge and dining areas, a library, a gymnasium and a temperature controlled cellar. Available for $2,500 a week, it also boasts a large pool and tennis court.
 Read more over page
 
 
 
 
 
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2) <a target="_blank" href="https://www.realestate.com.au/property-apartment-nsw-sydney-409991835">129 Harrington Street, Sydney</a>
{yoogallery src=[images/stories/2014/01/15/2]}
This five bedroom penthouse is one of Sydney’s largest, with 630 square metres of indoor and outdoor living spaces, spanning three levels. Dubbed the SkyHouse, the property takes up the 43rd, 44th and 45th floors of Sydney’s the Cove, giving it unparalleled views of the Sydney Harbour Bridge and the Opera House.  While each space in the property is designed to maximise the spectacular view, the best vantage point is the rooftop spa – but if you’re not in the mood, the spa cover also doubles as an illuminated dance floor.
The residence’s cutting edge technology also includes no-key entry, wireless control panels for the penthouse’s cinema, televisions and over 40 speakers, and fully automated toilets with a range of functions.
Each bedroom (one of which is a guest suite with its own separate entrance) in the penthouse comes with an en suite, with two additional bathrooms and a sauna. All that, plus an aquarium, will set a renter back $8,500 a week. The SkyHouse was put up for sale in October 2013, with an asking price of $10m.
 Read more over page
 
 
 
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3) <a target="_blank" href="https://www.realestate.com.au/property-house-nsw-mosman-412008976">28 Hopetoun Avenue Mosman NSW 2088</a>
{yoogallery src=[images/stories/2014/01/15/3]}
The minimalist, bleach-white exterior of this three bedroom home reflects the simplicity and flow of its interior. The house includes an open plan kitchen, dining and living area, with a fireplace, Gaggenau oven and stove, and bespoke seating. There is underfloor heating throughout the house, with remote controlled shutters and blinds ensuring.
A large courtyard punctuates the property, featuring a heated infinity pool perfectly offset by a single frangipani tree. The single large window of the hallway alongside the courtyard extends to the floor, ensuring that the home is flooded with sunlight.
The master bedroom opens directly onto the courtyard, as does the living area. The courtyard itself leads up to a rooftop terrace, where the tenant can enjoy the view over Port Jackson.
This home is currently available to rent for $3,000 a week.
 Read more over page
 
 
 
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4) <a target="_blank" href="https://www.realestate.com.au/property-house-nsw-clareville-411762087">Clareville NSW 2107</a>
{yoogallery src=[images/stories/2014/01/15/4]}
Next on our list is a three story Clareville residence, situated right on the waterfront.
The property’s master suite features its own kitchenette, dressing room, accessories closet and an en suite that extends to the outdoor decking area, with a free standing stone bath.
The rest of the house is no less luxurious, with an iPad-controlled audio-visual system, automated lighting and ducted air conditioning.  It also boasts a steam room which seats six people.  Open living and dining areas feature fully retractable doors, allowing the spaces to fully open up to the outdoors.
Once a tenant is outside, they might enjoy a swim in the gas heated infinity pool, before heading to the outdoor shower. Or perhaps the dedicated meditation hut, surrounded by tropical gardens, would be preferable. The property also comes with an outdoor wood fire pizza oven, extensive parking, and a boatshed and ramp.
 Read more over page
 
 
 
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5) <a target="_blank" href="https://www.realestate.com.au/property-house-nsw-bellevue+hill-412031919">Barford Bellevue Hill Bellevue Hill NSW 2023</a>
{yoogallery src=[images/stories/2014/01/15/5]}
Our most beautiful vacant rental in NSW will cost you $25,000 a week to rent – a steal, considering it’s been known to go for $40,000 a week for a short term stay over the Christmas holidays.
Barford on Bellevue Hill is steeped in history. The Georgian style mansion was commissioned by Sir Warwick Fairfax in 1929.
Hollywood certainly isn’t immune to the National Heritage listed property’s charms either. Will Smith’s family has reportedly enjoyed Barford’s sprawling grounds, while the rental listing notes that “there is no opportunity for paparazzi to moor outside Barford.”
The main mansion has seven bedrooms, each with its own balcony, seven bathrooms, a cold room, walk-in butler’s pantry, a sitting room, dining room, and cinema room. The fully-furnished interiors are second-to-none, with 3.5m ceilings, two fireplaces, and marble flooring throughout the entry.
<a target="_blank" href="mailto:jrichardson@propertyobserver.com.au">jrichardson@propertyobserver.com.au</a>
 
 
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The five most beautiful vacant rentals in New South Wales

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This summer is heating up quickly, with those in Melbourne experiencing temperatures of around 30 degrees celsius at 7am this morning. It might just be the time to consider cooling your home and the options you have.
Reverse cycle air-conditioning is going to be many peoples’ fail safe go-to for the summer months. This is the first method most think of, being a generally cost-effective and energy efficient way to keep cool, recommends Fujitsu General.
When researching the options, ensure you let the specialist know the following:
• The size and shape of the space being cooled
• The direction the windows face and the dimensions
• The type of insulation in the home
• If the system is for the whole home, a study or bedroom(s)
• The budget
Source: Fujitsu General
Ensure you consider offering the option to your tenant, as it can even result in some cash back in your pocket. Many tenants suffering through the hot months will be willing to pay a little extra in their rent for a useful staple such as air conditioning. Ensure you offer this to them at the end of a tenancy when their rental payments are negotiable.
Consider the following other tips to keep your home cool:
-          Fans can be another useful option to consider, and freestanding fans or cooling units have helped a number of tenants through the tough months (when using fans, keep doors shut to other rooms).
-          Keep the blinds and windows shut. This is particularly important if the sun shines directly onto your windows into trafficked rooms. Opt for insulated curtains or aluminium/reflective blinds where possible to keep the heat away.
-          Reflective window film can be considered.
-          Open the windows during cooler hours and at night to let the breeze in.
-          Ensure you don’t have any extra heat sources adding to the issue. Turn off heat producing lights and avoid using your oven and other heat producers for long periods of time. Undertake these activities at night where possible.
How do you keep your property cool?
<a href="mailto:news@propertyobserver.com.au">news@propertyobserver.com.au</a>
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Suffering from the heat? Home cooling tips for tenants and homeowners

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It appears American property is still on the radar of many investors, with Ray White group seeing a number of Australasian investors jump in to buy after they established their first office in the US in October.
One of the main driving forces behind the step into the US was Ray White Surfers Paradise director, Greg Bell, who said that the main drivers of Australian buyers to purchase were the strong returns and the dollar figure of less than $100,000 to purchase a house.
“Investors are identifying fantastic value in American property and consequently we are transacting between 20 and 30 properties per month,” said Bell.
“We are based in the United States’ strongest rental market, Atlanta, where renovated, freestanding homes are selling for less than $100,000.”
He said that the investment returns surpass what is achievable in Australia, which is causing many investors to add them to their portfolio.
Ray White’s goals are to have several thousand properties in Atlanta under professional property management for investors throughout Australasia. The US has notoriously been a struggle for investors in the past due to a different property management system.
“Sales have predominantly been to Australian buyers, but also Chinese and Indonesian investors who are familiar with the Ray White brand given our strong presence throughout Asia,” he said.
Setting up a Limited Liability Company (LLC), tax/accounting process and an American bank account are all services that they offer.
<a href="mailto:jduke@propertyobserver.com.au">jduke@propertyobserver.com.au</a>
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Ray White’s US venture sees Australasian investors buying in

For most new apartment buildings, the Owners Corporation starts life with little more than a bank account and the first quarterly strata levies.

At <a href="https://www.apartments.com.au/buildings/9-gay-street-castle-hill-9-gay-street-castle-hill-nsw-2154">9 Gay Street</a> in <a href="https://www.apartments.com.au/developments/castle-hill-nsw-2154">Castle Hill</a>, it starts with around $7 million in reserve.

It's an unusual legacy of what was once one of Sydney's highest-profile apartment remediation projects. When the development, originally known as Skyview and built by disgraced developer Top Place, came under scrutiny by then NSW Building Commissioner David Chandler, an $11 million remediation bond was negotiated to ensure any building defects could be fully rectified.

The building underwent an 18-month remediation program, during which around $4 million of that bond was spent bringing the building up to the standard it should have been in from the outset.

After extensive inspections, all active rectification orders have been lifted. What's more, around $7.2 million remains secured for the Owners Corporation for the next 15 years.

In a twist few would have predicted, what began as a significant concern for purchasers has left the building with something almost unheard of in the apartment market: a multi-million-dollar financial reserve from day one.

[smartcode_project:default project_id=147685 project_image_fid=359136]

<a href="https://www.apartments.com.au/project-marketer/equitifund-group">Equitifund</a> Executive Chairman Greg Huxley said the structure offers buyers a level of certainty that is difficult to replicate.

"The $11 million bond established for the Skyview Castle Hill development represents exceptional value, providing genuine financial security for purchasers," Huxley said.

"Unlike a standard insurance policy, this bond consists of real funds held in trust for the Owners Corporation, offering a tangible layer of protection and added peace of mind."

The apartments themselves have been designed with a focus on practical, contemporary living. Interiors feature Smeg appliances, stone benchtops, tiled living areas, carpeted bedrooms, 2.7-metre ceilings, floor-to-ceiling glazing, and ducted heating and cooling throughout.

Residents also have access to a range of shared amenities, including two rooftop barbecue areas, a swimming pool, children's playgrounds, secure building access, storage cages, and visitor parking.

The location continues to be one of the project's strongest drawcards. Castle Hill Metro Station sits virtually on the doorstep, providing direct connections across Sydney's expanding Metro network, while Castle Towers offers extensive retail, dining, entertainment, and service amenities within walking distance.

[smartcode_project:default project_id=147685 project_image_fid=359127]

The building, now named after its location at 9 Gay Street, comprises a diverse mix of one-, two-, and three-bedroom apartments starting from just under $600,000.

Equitifund National Sales Director Ben Hamblett said demand in the Hills District continues to be driven by buyers seeking convenience and connectivity.

"Interest from both owner-occupiers and investors in Castle Hill remains exceptionally strong, with buyers consistently prioritising developments in close proximity to the Metro station and Castle Towers Shopping Centre," Hamblett said.

"There is a clear trend in the market, with purchasers seeking convenient access to transport and lifestyle amenities that support a seamless, low-maintenance way of living."

On top of the long-term protection afforded by the remaining $7.2 million bond, Equitifund is offering a limited-time stamp duty rebate on selected apartments.

Eligible purchasers can also secure finance options, including a 3.99 per cent two-year variable rate, loan-to-value ratios of up to 90 per cent, and interest-only lending options through EquitiCredit.

[smartcode_project_cta:default project_id=147685]

Joel Robinson

Why this Castle Hill apartment building starts with a $7 million advantage

For much of the past few years, conversations about Australia's property market have centred on the rapid growth seen in Sydney, Brisbane, Gold Coast, and Perth. <a href="https://www.apartments.com.au/developments/melbourne-vic-3004">Melbourne</a> has followed a different trajectory.

That relative underperformance is now encouraging some buyers to reassess the city, particularly those willing to look beyond short-term market movements and focus on quality property in established locations, along with the long-term growth prospects of a city expected to overtake Sydney as Australia’s most populous.

John Bekiaris, Research &amp; Market Insights at <a href="https://www.apartments.com.au/project-marketer/equitifund-group">Projects by Equitifund</a>, said Melbourne's current position is attracting increasingly sophisticated purchasers.

"Melbourne continues to present one of Australia's strongest long-term investment stories," Bekiaris says.

"While other capital cities have experienced stronger recent growth, that relative underperformance is exactly what's attracting sophisticated counter-cyclical investors."

[smartcode_project:default project_id=1979 project_image_fid=363268]

Equitifund isn't just commenting on Melbourne's property market, it's investing in it.

The Sydney-headquartered capital partner has taken over the remaining apartments at <a href="https://www.apartments.com.au/buildings/victoriana-melbourne-20-queens-road-melbourne-vic-3004">Victoriana</a>, the recently completed glass-encased development opposite Albert Park Lake in Melbourne's tightly held St Kilda Road precinct.

Designed by <a href="https://www.apartments.com.au/architects/rothelowman">Rothelowman</a> and built by <a href="https://www.apartments.com.au/builders/hickory">Hickory</a>, Victoriana places residents between one of Melbourne's most recognised parklands and the CBD, offering oversized two and three-bedroom apartments aimed at owner-occupiers seeking a genuine alternative to a traditional family home.

The development comprises 232 completed residences alongside a suite of resident amenities, including a 25-metre indoor swimming pool, gymnasium, landscaped entertaining areas, resident lounges, EV charging, secure basement parking and a concierge-style arrival experience.

[smartcode_project:default project_id=1979 project_image_fid=363229]

The apartments have been designed with owner-occupiers firmly in mind.&nbsp;Open-plan living and dining areas flow onto generous balconies framing views across Albert Park Lake, Fawkner Park, the Royal Botanic Gardens and the Melbourne skyline.

Kitchens feature Gaggenau appliances, stone benchtops and generous preparation space. Bedrooms include built-in robes, while bathrooms feature full-height textured tiling. Hardwood flooring and ducted air conditioning complete residences designed for long-term living.

Rothelowman's architecture takes its cues from the landscape opposite the site. Sweeping horizontal glazing references the movement of Albert Park Lake, while generous balconies and expansive glazing strengthen the connection between the apartments and the surrounding parklands. The result is a building designed to deliver the scale and amenity expected of luxury apartment living, while offering the larger floorplans increasingly sought by owner-occupiers.

[smartcode_project:default project_id=1979 project_image_fid=363284]

The location is one of Victoriana's defining characteristics. Positioned on Queens Road, residents are directly opposite Albert Park Lake and within easy reach of Fawkner Park, the Royal Botanic Gardens, South Melbourne, St Kilda Road and the CBD. With few comparable development opportunities remaining in the precinct, buyers are increasingly placing value on outlooks that are unlikely to be interrupted by future construction.

Greg Huxley, Founder of Equitifund, believes those qualities become even more valuable over time.

"Premium real estate has always rewarded buyers who take a long-term view," Huxley said.

"Victoriana represents the kind of asset that's increasingly difficult to recreate today, particularly in an established location like Queens Road."

He said rising construction costs are also changing the way buyers assess completed developments.

"When you combine an irreplaceable location with thoughtful architecture and premium finishes, you create something that becomes increasingly difficult to reproduce as construction costs continue to rise."

[smartcode_project:default project_id=1979 project_image_fid=363228]

According to National Sales Director Ben Hamblett, enquiry has been driven largely by Melbourne downsizers and buyers upgrading from smaller apartments.

"Interest in Victoriana continues to build, with strong buyer focus on the larger owner-occupier residences within the development," Hamblett says.

"Enquiry is increasingly driven by local buyers who recognise the rarity of what's on offer: park-facing apartments in an established neighbourhood where new development opportunities are becoming increasingly scarce. At Victoriana, the view is not just a feature; it's an appreciating asset in its own right."

He said interstate enquiry has also strengthened as buyers reassess Melbourne's position within the national property cycle.

"Melbourne currently stands as the most compelling entry point of any major Australian capital, and discerning buyers are beginning to recognise what those who move early always understand: the best opportunities are taken before the price rise confirms them."

[smartcode_project_cta:default project_id=1979]

Why now is the time to buy in Melbourne's premium apartment market

Developers and apartment buyers have a narrowing window of opportunity before Brisbane's Olympic infrastructure pipeline begins competing directly with residential construction, pushing up costs, tightening labour supply and making new projects increasingly difficult to deliver.

While Brisbane's apartment market continues to benefit from strong population growth and limited housing supply, industry research suggests the years leading up to 2027 could prove to be the most important period for developers looking to secure builders and buyers hoping to purchase before the next wave of price increases.

A new Colliers report, Brisbane 2032 Olympic and Paralympic Games: Creating Solutions, highlights the scale of the challenge. While thousands of new homes are planned across South East Queensland, the Brisbane Olympic Athletes Village alone will deliver more than 10,500 beds during the Games before being converted into around 1,750 to 2,000 apartments. Equivalent to almost two years of typical inner-city apartment supply, the project will also absorb a significant share of the construction workforce and building materials.

The broader construction pipeline paints an even clearer picture.

Construction Skills Queensland's Horizon 2032 report forecasts Queensland's annual construction pipeline will average $69 billion over the coming years before peaking at $75 billion in 2027-28. Demand for construction workers is expected to increase by 17 per cent to almost 150,000 people, with the industry facing an annual shortfall of around 19,000 workers that could blow out to as many as 35,000 during the peak construction period.

The Olympic venues, athletes village and supporting infrastructure will account for billions of dollars worth of work across South East Queensland through to 2032, creating intense competition for labour at a time when Australia's residential construction sector is already under pressure.

[smartcode_project:default project_id=150489 project_image_fid=373834]

Colliers Queensland Residential Director Andrew Scriven said the convergence of these projects is creating a clear window of opportunity for both developers and buyers.

"From 2027 onwards, the market will shift dramatically," Scriven said.

"Labour will increasingly be locked into government-led infrastructure and Olympic projects, which means private residential developments will face higher costs and tighter margins. The developers who move now are the ones most likely to get projects off the ground."

Scriven said the same dynamic would also affect buyers, with fewer apartment projects expected to launch once construction capacity tightens.

"If you're looking to change your lifestyle over the next five years, now is your window of opportunity to buy."

[smartcode_project:default project_id=150713 project_image_fid=373827]

Developers are already positioning themselves ahead of that window.

Following the success of Monarch at Toowong, Consolidated Properties is preparing to launch two new Brisbane apartment projects in the second half of 2026. They include <a href="https://www.apartments.com.au/new-apartments/gloriette-30-bedivere-street-yeerongpilly-qld-4105">Gloriette</a> at Yeerongpilly Green, a 25-storey tower within one of Brisbane's key Olympic precincts, and <a href="https://www.apartments.com.au/new-apartments/castile-47-skyring-terrace-newstead-qld-4006">Castile</a>, a recently approved 25-storey riverfront development at 47 Skyring Terrace in Newstead.

Hutchinson Builders will deliver both projects, with early works already underway at Yeerongpilly and Newstead expected to commence later this year.

The timing comes as Brisbane's fundamentals continue to strengthen, with strong interstate migration, population growth and vacancy rates remaining below 1.5 per cent.

Colliers Queensland researcher Pragya Sharma said Greater Brisbane is forecast to require around 40,000 new apartments between 2021 and 2031.

"There's a real mismatch emerging between when housing is needed and when it will be feasible to build," Sharma said.

"As a result, the period leading up to 2027 presents a key window of opportunity for developers to secure approvals, funding and construction capacity, while buyers will have greater choice before supply constraints intensify."

Colliers research outlines a critical pre-2027 window to start residential projects before labour squeeze: now is the time to buy

Developers, buyers on watch in South East Queensland ahead of construction crunch: Colliers

It's taken less than nine months for developer Sherpa Property Group to sell out all 51 apartments in its <a href="https://www.apartments.com.au/new-apartments/flourish-oasis-palm-beach-7-9-sixth-avenue-palm-beach-qld-4221">Flourish Oasis</a> development in <a href="https://www.apartments.com.au/developments/palm-beach-qld-4221">Palm Beach</a>, over a year before its anticipated completion.

&nbsp;

Located at 7-9 Sixth Avenue, the $67 million development has resonated strongly with both local owner-occupiers and downsizers seeking high-quality apartments within walking distance of the beach, dining precincts and everyday amenities.

[smartcode_project:default project_id=151449 project_image_fid=357458]

Christie Leet, Founder of <a href="https://www.apartments.com.au/developers/sherpa-property-group">Sherpa Group</a>, said the sell-out reflected both the strength of the Palm Beach market and the success of Sherpa's community-first approach to development.

"The sell-out of Oasis is a fantastic outcome and reinforces the strong demand we're seeing for thoughtfully designed apartments in lifestyle locations," Leet said.

"From the outset, our vision was to create a development that genuinely enhanced the Palm Beach community while providing residents with exceptional homes and wellness-focused amenities.

"We've been incredibly encouraged by the level of local support throughout the campaign, 72.5 per cent of buyers are locals, with a significant proportion of purchasers choosing Oasis as their future home rather than an investment."

[smartcode_project:default project_id=151449 project_image_fid=357463]

Construction is now progressing following development approval, with trusted builder LPS Group delivering the project and completion anticipated in Q3 2027.

Oasis forms part of Sherpa Group's successful Flourish collection, which has become recognised for its focus on wellness, community and elevated coastal living.

[smartcode_project:default project_id=151449 project_image_fid=357469]

Residents will have private access to a rooftop amenity space featuring a pool, gym, sauna, steam room, hot and cold plunge pools, spa and barbecue facilities.

"The success of Oasis demonstrates that buyers continue to prioritise quality, location and lifestyle," Leet said.

"We are proud to have delivered a project that has resonated so strongly with the market and look forward to bringing Oasis to life for our future residents."

Sherpa recently launched <a href="https://www.apartments.com.au/new-apartments/flourish-soleira-palm-beach-1150-1160-gold-coast-highway-palm-beach-qld-4221">Flourish Soleira</a>, its third instalment of the Flourish brand in Palm Beach following Flourish Oasis and <a href="https://www.apartments.com.au/new-apartments/amargo-6-12-sixth-avenue-palm-beach-qld-4221">Flourish Amargo</a>.

[smartcode_project_cta:default project_id=151449]

Sherpa sells out Flourish Oasis in booming Palm Beach

Urban Property Group's <a href="https://www.apartments.com.au/new-apartments/la-vera-macquarie-park-94-talavera-road-macquarie-park-nsw-2113">La Vera</a> is leading the next phase of Macquarie Park's residential evolution, with the new apartment development set to become the first of several new apartment projects in the precinct to complete.

The 169-apartment building has now topped out ahead of its scheduled completion in the third quarter of 2026, as new residential investment continues to reshape one of Sydney's largest employment hubs into a true mixed-use precinct.

[smartcode_project:default project_id=134951 project_image_fid=368645]

Cox Architecture has designed La Vera to capture the best of its unique positioning on Talavera Road, orienting the building towards Lane Cove National Park.&nbsp;The building features a sculpted northern façade with flowing curves inspired by the surrounding landscape, while its city-facing elevation adopts a more structured architectural expression to maximise skyline views.

"The vision for the project was to conceive a building that adopted an organic and curvilinear form to the northern portion that faces the Lane Cove National Park," <a href="https://www.apartments.com.au/architects/cox-architecture">Cox Architecture</a> Director Felipe Miranda said.

"The residents that reside in the northern portion of the building benefit by having beautifully crafted curved balconies that speak to the natural context and heighten the relationship of their internal living spaces to the external balconies."

[smartcode_project:default project_id=134951 project_image_fid=358802]

La Vera offers a diverse mix of one, two, three, and four-bedroom configurations, with prices currently starting from $740,000. Buyers so far have been a mix of Sydney-based investors,&nbsp;metro commuters, owner-occupiers and downsizers from surrounding North Shore suburbs.

Both investors and owner-occupiers have been drawn to La Vera's proximity to Macquarie University, Macquarie University Hospital, Macquarie Centre and the Sydney Metro, infrastructure that supports both strong rental demand and a convenient lifestyle for residents.

The apartments feature full-height glazing, timber flooring throughout living areas, stone kitchen benchtops, SMEG appliances, floor-to-ceiling bathroom tiling and ducted air conditioning.

Residents will have access to a rooftop recreation level featuring a swimming pool, sauna, barbecue facilities and landscaped relaxation areas, complemented by additional communal space at ground level. Many apartments enjoy uninterrupted views across Lane Cove National Park, reinforcing the project's connection to its natural setting.

[smartcode_project:default project_id=134951 project_image_fid=364551]

<a href="https://www.apartments.com.au/developers/urban-property-group">Urban Property Group</a>, a family-owned developer and builder with nearly four decades of experience, holds a 4.5-star iCIRT rating and was Australia's first developer to introduce 10-Year Latent Defects Insurance (LDI). La Vera is the first apartment development in <a href="https://www.apartments.com.au/developments/macquarie-park-nsw-2113">Macquarie Park</a> approved to offer the additional insurance protection, alongside a five-year warranty on SMEG appliances.

Urban Property Group CEO Patrick Elias said the additional protection reflects changing buyer expectations in the off the plan market.

"Consumers are a lot more weary and a lot more concerned in buying off the plan than they ever have been. Having LDI is a tool to portray the confidence that we have in our product, and a confidence we want buyers to share," Elias said.

Following completion of the building later this year, buyers will move into their apartments well before Christmas.

[smartcode_project_cta:default project_id=134951]

Jennifer Duke

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