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Many first time investors do not wish to have property acting as a drain on their finances.
That is, they don’t want to be paying out of pocket every week to maintain the home. While neutrally geared or even slightly negative cash flow may also be acceptable, many want property to actually provide a return.
If you want to know what positive cash flow is, you <a href="/expert-insights/investing/what-is-positive-cash-flow-property-investment-terms-explained">can read our quick guide here</a>.
Whether or not you want a negative or positively geared property is down to your strategy. If you’re still deciding, you can <a href="/expert-insights/investing/positively-or-negatively-geared-property-which-strategy-will-work-best-for-you">read Mark Armstrong’s comparison of the two</a> and how capital growth may vary. Terry Ryder also explains that <a href="/news/qld/you-can-achieve-good-capital-growth-and-positive-cashflow-in-the-same-property-if-you-know-where-to-buy-terry-ryder">it is possible to achieve good capital growth and positive cashflow in the same property</a>, if you know where to buy.
It’s also worth bearing in mind <a href="/expert-insights/finance/why-lenders-are-negative-about-positively-geared-property">this insight from Albertus Waldron that banks can actually be somewhat wary of positive property</a>.
What a cash flow positive property looks like is unique to every investor and their financial situation. Due to negative gearing the tax bracket that you are in will affect your after-tax yearly financial situation. The amount you can afford as a deposit, the interest rate, you decisions around renovations and a number of other personal choices and situation aspects will determine your overall cash flow outcome. For this reason, there is no hard and fast rule, or specific investment property, that it makes sense for every person.
These personal differences are what makes up the final result, or your net cash flow. That is, the amount of money you make once all your own expenses and outgoings are taken into account. The gross cash flow or yield, which is what most people discuss as it is the universal figure, is the money you make without taking into account ongoing costs.
You must reflect on your personal circumstances to see how each of these elements will have an effect.
Similarly, there are things to look for when purchasing, and things to consider doing once you own the property, that can assist your cash flow. These are worth bearing in mind when in this "finding" stage, as you can consider whether they are viable early on.
BEFORE PURCHASING
Rental yield
The first stop for many is to check out the percentage figure called a rental yield – the amount of rent earned as a proportion of the property's price. The higher it is, the more it seems to get investors talking. Consider this an initial barometer, but don’t think low rental yields are enough to rule out areas with otherwise strong drivers.
We regularly discuss the problems with relying on headline figures that are not always specific to an area, and this is no exception.
Know how to calculate the rental yield yourself, and the factors that influence it, if you are intending to use the figure. <a href="/expert-insights/your-weekly-how-to-calculating-rental-yield">Here’s a quick explanation of the rental yield.</a>
Specific high yielding property types and locations may include:
<ul>
<li>Mining towns 
</li>
<li>Regional areas 
</li>
<li>Student-dominated rental areas 
</li>
<li>Furnished rentals 
</li>
<li>Short stay apartments</li>
</ul>
Apartments
With lower price points to purchase, but not always as proportionately low rents, apartments can sometimes be worth consideration. When looking at individual markets across Australia, by and large apartments tend to yield more than houses.
If you have enough capital, buying blocks of units, rather than units individually, can often offer better returns. If you’re still not finding what you’re looking for, then some investors do turn to commercial property. You can read more about investing in commercial property (from retail and leisure to offices and industrial) in our designated commercial pages.
Speak to your broker and accountant
Understand the likely repayments you will need to make and how this can be affected by putting more money down as a deposit. Your broker should be able to assist you with this.
Your accountant will be able to explain to you how the property you are considering may work in terms of your income, and will lay out the claimable expenses. Bear these in mind when purchasing, including depreciation.
Here’s a <a href="/expert-insights/finance/what-can-landlords-claim-on-tax">list of what landlords can claim on tax</a>.
Back of the envelope calculations
Undertake some preliminary calculations for the properties you consider prior to purchasing. This will help you compare the cash flow possibilities in a number of locations. There are a range of <a href="https://www.smartline.com.au/mortgage-calculators/investment-property-cashflow" target="_blank">online calculators</a> that can be used as a rough guide to get you started.
Get to know the rental market
Know the price point that will make your cash flow work, and make offers with this in mind.
You should also understand the concept of a vacancy rate. If the property is vacant for a long period of time then even if the rental yield is high you could face a lower overall cash flow position.
While in some cases a higher vacancy rate through certain periods can be offset by short-term high paying tenants (such as is the case for some holiday rentals), you must be prepared to plan for this in advance. You can see the vacancy rates for free on <a href="https://www.sqmresearch.com.au">www.sqmresearch.com.au.</a>
Remember, rental markets change over time. Rents may increase or decrease, with demand shifting. This will affect your cash flow situation. Even if tenants are willing to pay significant amounts of money now, demographics and demand do change. Be prepared, and aim to be forward thinking in what that rental yield will look like over the time you wish to hold it.
Undertake the necessary inspections
Your outgoings certainly affect your cash flow, so it’s worth knowing what these may be upfront. Be aware of strata costs, <a href="/expert-insights/buying/how-to-navigate-the-building-and-pest-inspection">potential pest damage and any repair work or renovation required</a>. Add these into your calculations.
AFTER PURCHASING
Much of the effort after purchasing will revolve around two things – reducing costs and increasing your income (rent).
Getting more rent for your property
Hiking the rent can quickly lift your cash flow, but it must be done within the bounds of your tenancy law and it must be justifiable – else you will find complaints from your tenant, or a vacant property.
Here are <a href="/expert-insights/investing/how-to-boost-your-rental-yield">some ways you can boost the rent</a> and, in turn, your cash flow.
Common strategies to consider include:
<ul>
<li>Renovations (to either include more desirable features to command a higher rent, or to add an extra room) 
</li>
<li>Adding a secondary dwelling or granny flat to rent separately 
</li>
<li>Furnishing the property 
</li>
<li>Renting by the room 
</li>
<li>Small developments</li>
</ul>
Reducing costs and fees
Much of this will be in the planning and upfront considerations, ensuring no major repairs you haven’t calculated into the equation are required. Remember, scrimping on important repairs is usually a false economy – irritating your tenant and potentially leaving your asset limping for re-sale.
Go through your list of expenses each year and consider where these costs can be minimised. While some are non-negotiable, for instance strata fees, others are up for debate. Some even go so far as to self-manage to avoid the management fee. Just remember, you largely get what you pay for – <a href="/expert-insights/investing/you-get-what-you-pay-for-in-property-managers-who-work-cheap">particularly with property managers that come cheap</a>. If self managing is a consideration, then it will likely affect the location in which you choose to buy.
MUST READ: <a href="/expert-insights/16-ways-to-maximise-your-cash-flow-and-protect-yourself-financially">16 ways to maximise your cash flow and protect yourself financially</a>
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jduke-EHk3XBmHkn

Finding positive cash flow properties 101

Concerns about FHBs misguided as Gen Ys turn to investing: 1300HomeLoan

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Westpac Group and BlueChilli’s Innovation Challenge has been won by realAs’ Josh Rowe, with the competition holders saying the new technology can change commercial real estate.
The Westpac Innovation Challenge, launched in September, has seen realAs win a $40,000 cash prize and a six-month placement in the ‘BlueChilli accelerator program’, which will help develop the website and app. Josh Rowe, chief executive of realAs, <a href="/expert-insights/buying/underquoting-q-a-with-realas-josh-rowe">believes it will help stamp out underquoting in the industry</a>.
realAs allows real estate consumers, currently residential, to find out what a property is likely to sell for. It uses a complex algorithm that is kept under lock and key.
“This is exactly the kind of leading edge, future-ready idea we were looking for,” said Westpac head of digital business banking Kalpana Gee.
“It has the potential to completely change the way our commercial real estate customers do business.”
Westpac Group head of innovation Ian Hill said that there was a high standard among the five finalists’ ideas.
“The response from the start-up community to our challenge has been phenomenal. We received more than 100 impressive applications. The top five finalists all have impressive ideas, but realAs really shone today,” he said.
Commercial real estate was the focus area of the first challenge, explained BlueChilli founder and chief executive Sebastien Eckersley-Maslin.
“We want to boost start-ups that use technology in smart ways in order to expand the services available to professionals and consumers within their industry,” he said.
The second round of the Innovation Challenge will be next year, focusing on solving business problems for other Westpac business customers from a number of industries.
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realAs wins Westpac innovation award with potential to shake up commercial real estate 

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The conversation around a potential Docklands oversupply has been going for some years.
Adjacent to Melbourne's CBD, Docklands is conveniently located and Places Victoria has big plans for the suburb.
With construction starting in 1997, and a 25 year time frame, we're right in the latter half of the development process. Teething problems have, almost inevitably, been highly scrutinised.
Last year, we reported that <a href="/news/vic/docklands-finding-its-feet-after-a-difficult-conception">Docklands was beginning to find its feet after a difficult conception</a>. However, there were <a href="/news/water-usage-reveals-high-vacancy-rates-in-southbank-and-docklands">still reports in late-2013 that water usage was revealing high vacancy rates</a> in the area of around 11%.
The 2014 <a href="/news/vic/over-64-000-melbourne-properties-sit-vacant-prosper-australia">Prosper Australia report found that this had not improved this year</a>. In fact, in terms of water usage, Docklands has potentially the highest number of vacant properties in Melbourne.
With a median unit price of $600,000 currently, Docklands offers a gross rental yield of 4.51% with a median weekly advertised rent of $520, according to RP Data. They note the average hold period for a Docklands apartment is seven years, and while a -1.64% dip has been seen in the median price over the past three months, the 12 month growth is at 6.57% with annual average growth of 2.38%.
Glenn Lucas, managing director of Lucas Real Estate, is a resident in Docklands. He began selling real estate in the area in 2000 before establishing Lucas Real Estate in 2004. It is now the largest independent agent in the area and this year secured the Real Estate Institute of Victoria's Residential Property Manager of the Year title.
He doesn’t believe that the vacancy rate is a huge issue.
SQM Research records the vacancy rate at 4.4% at present, down from  a 2013 peak above 9%, with regular swings prior to this.
His agency’s vacancy rate sits at around 2%, and he’s quick to note that changing vacancy rates, or cyclical results, are a normal transitional part of any new market.
“Real estate goes through cycles and when a developer puts a tower to the market it’s when the market is at its highest. Then it takes a couple of years to build the tower. It takes time for the buyers to settle,” explains Lucas.
“There’s a good demand for [existing] properties, rentals are not dropping at all,” he says.
Renters come in many forms in Docklands. He points to the professional couples and singles that like the convenience of apartment living in the area, but also says a number of downsizers are also active in the area. Some students in budget apartments also make up a portion of the market.
“There is a market for one bedroom rentals, but it’s the two bedrooms that have done very well,” he says. These rent for between $450 and $650 per week.
While success in the short term may not have occurred for everyone, Lucas has seen some of the first Dockland properties that sold off the plan for $450,000 now achieving $650,000.
He shared four of their recent sales highlights:
<ul>
<li>1401/20 Rakaia Way, Docklands VIC 3008 - $915,000</li>
<li>2504/90 Lorimer Street, Docklands VIC 3008 - $1,310,000</li>
<li>1902/5 Caravel Lane, Docklands VIC 3008 - $900,000</li>
<li>2301/1 Point Park Crescent, Docklands VIC 3008 - $1,160,000</li>
</ul>
Property Observer looked through the latest RP Data to see what sales we could find.
When looking at the sales record from September 1 to today, with 72 sales, it appears gains and losses are in a strong mix. Those who held the property since 2002 or prior, particularly those with larger apartments, seem to have done well with strong gains.
However, those purchasing for the short term – as well as a pain period in 2003 where it seems a number of investors overspent – have realised losses upon selling in the past two and a half months.
Refining the search to those in even more recent days, from 1 November to today, we found the following sales:
<ul>
<li>Two bedroom, one bathroom apartment sold for $467,000 in 2008 and was listed as non-disclosed on the recent sale. It was advertised at $405,000 to $435,000.</li>
<li>Two bedroom, two bathroom apartment was bought for $677,500 in 2001 and listed non-disclosed on sale. It was advertised at $759,000 plus.</li>
<li>Two bedroom, one bathroom apartment bought in 2003 for $532,600 (after 2002 construction), it then sold in 2007 for $495,000, before selling again this month for $550,000.</li>
<li>Two bedroom, one bathroom apartment sold in 2002 for $430,000 before being purchasing in 2011 for $505,000. It sold again for $505,000 less than two weeks ago.</li>
<li>One bedroom, one bathroom apartment was listed as non-disclosed for sale price on 10 November. It transacted for $438,000 in 2002, and was asking for "offers over $420,000" this time round.</li>
<li>Two bedroom, two bathroom apartment sold at the beginning of the month for $450,000. No previous sales information available, but seems it was asking $499,000 to $539,000, before lowering the expectations to $455,000 in January 2013.</li>
<li>One bedroom, one bathroom apartment sold for $456,000 this month after selling in June for $310,000, prior to this it was bought for $301,000 in 1999.</li>
<li>Three bedroom, two bathroom apartment sold for $1,310,000 on the 14th, previously selling for $1,100,000 in 2011. Prior to this it sold for $1 million in 2008 and $1,370,000 in 2005.</li>
<li>Three bedroom, three bathroom apartment sold for $765,000 on the 11th. It was bought for $715,000 in 2013 and $683,000 in 2001.</li>
<li>Two bedroom, two bathroom apartment sold for $730,000 on 11th. It last sold for $1,025,000 in 2010.</li>
<li>One bedroom, one bathroom apartment sold for $335,000. It was purchased in February 2008 for $375,000 and March 2007 for $350,000.</li>
<li>One bedroom, one bathroom apartment sold for $380,000 on 12th. It was previously bought for $400,000 in 2009.</li>
</ul>
Looking at the list a little closer, it shows that there were three clear losses, four clear gains, three “possible” losses, one “possible” gain and one that recorded no change (though likely a loss for the investor in terms of transaction costs).
What is particularly interesting is the losses seen by those who sold to our most recent vendors in the list; even when gains are seen now there has been pain in the past. Perhaps it suggests an emerging recovery.
“Like any investment, we recommend [holding] for the medium to long term,” Lucas urges of those considering a Docklands investment.
It seems he is on the money.
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Docklands: Are gains to be had amid "oversupply" speculation?

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Legal action has commenced against collapsed Gold Coast-based LM Investment Management Limited founder Peter Charles Drake and other former directors, over the lending of funds for a Gold Coast development.
Maddison Estate Pty Ltd, known as Maddison Estate, was a Gold Coast property development that LM Managed Performance Fund loaned money to. The ASIC action is specifically targeted on the conduct of the directors of LM Investment Management Limited approving a number of loans to Maddison Estate. Drake owned and controlled Maddison Estate in 2011 and 2012.
The loan limit to Maddison was increased from $40 million to $280 million between 2008 and 2012. In 2011 and 2012 loan extensions had been approved by the former directors. This was done without independent valuations or any feasibility studies.
No construction had begun, no plans of subdivision had been registered and none of the proposed lots had been sold by the time LM went into administration. Development approval had been obtained with some land clearing taking place.
ASIC alleges that the decisions to extend the loan from $115 million to $180 million in September 2011, and further from $180 million to $280 million in August 2012, were innapropriate.
It is also alleged by ASIC that a loan re-establishment fee of $9.8 million, that was payable to LM Investment Management Limited, was extended to Maddison Estate as part of a 2012 loan extension and then levied to ensure they booked a profit for the financial year.
ASIC is seeking financial penalties and banning orders.
Civil penalty proceedings are currently underway in the Federal Court of Australia against Drake, with allegations he used his position to gain an advantage.
Francene Maree Mulder, Eghard van der Hoven, Simon Jeremy Tickner and Lisa Maree Darcy, as former directors, also face civil penalty proceedings for breaching director’s duties and failing to act with the proper degree or care and diligence. This is in relations to transactions involved the LM Managed Performance Fund, with various contraventions applying to different former directors.
The maximum fine for directors breaching duties is $200,000 per contravention. ASIC also seeks disqualification for Drake and the former directors from managing companies and providing financial services in the future.
“Investors should be able to have confidence that the people responsible for managing their investments act appropriately, take a diligent and intelligent interest in the affairs of the company, and apply an enquiring mind to the responsibilities placed upon them,” said ASIC commissioner Greg Tanzer.
A directions hearing in the Federal Court will be in Brisbane on 25 November.
LM Investment Management was the responsible entity for a total of seven registered managed investment schemes, managing a total of more than $800 million for 12,000 Australian and overseas investors.
They were the trustee for MPF, an unregistered managed investment scheme with 4,500 investors, according to ASIC. More than $400 million was invested in MPF.
There is <a href="https://www.asic.gov.au/about-asic/media-centre/key-matters/lm-investment-management-limited/" target="_blank">a dedicated webpage for any investors caught up in the collapse</a>.
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Peter Drake's collapsed investment company LM faces ASIC over Gold Coast development loans

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A Woolloongabba development has secured 117 unconditional sales in three months, with developers Pellicano achieving record sales over the past quarter at the site.
<a href="https://www.trafalgarlane.com.au/" target="_blank">Trafalgar Lane</a>, Pellicano’s $85 million Woolloongabba development, was released in May this year and is now 90% sold.
The 20 level tower development has seen interest from owner occupiers, according to Pellicano Queensland development manager Michael Kent.
"Trafalgar Lane's sales success saw us meet our pre-sales target extremely quickly, particularly in this market, which allowed us to commence construction ahead of schedule," he said.
"There has been a mix of buyers with owner-occupiers very well represented due to the project's central location, just 1.5 kilometres from the Brisbane CBD,  the quality design and competitive price points.”
The remaining apartments are available from $412,500. In total the development includes 147 one, two and three bedroom apartments. A five level podium, with retail and commercial space, is also integrated into Trafalgar Lane.
<img src="/images/2014/11/20/woolloongabba-nov-20-two.jpg" alt="">
"The development's unique vantage point, directly across the road from The Gabba has proved to be an enormous drawcard, offering commanding views of the stadium, the CBD and the Brisbane River," Kent said.
"The apartments have been designed by the internationally acclaimed DBI Design, and apartments feature floor-to-ceiling windows to take in the views, with private, noise-protected balconies and refined interior detailing.
"They have been designed for the end user, featuring hand-selected fittings and finishes including wool blend carpet, fully vitrified floor tiles, stone benchtops with waterfall ends and feature lighting, along with high quality tapware, joinery and integrated fridge and dishwasher."
Construction is currently progressing on the site, having begun in July. Completion is expected in late-2015.
<img src="/images/2014/11/20/Hero%20Shot_Trafalgar.jpg" alt="">
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Pellicano's Woolloongabba, Queensland development secures record sales

SQUIIZ under the microscope: Will it work?

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The CEO of Mortgage Choice, Michael Russell, has announced his retirement.
In a statement, Mortgage Choice Limited chairman Peter Richie advised that the retirement would occur after the completion of the 2015 financial year, and the “identification of an appropriate successor”. The date isn't completely set for the June 2015, as Property Observer understands that he will stay until the successor is hired.
An official Mortgage Choice statement expresses that he is as determined as ever to lead the company to another successful and profitable financial year.
"Michael joined Mortgage Choice determined to enhance the business' profitability and introduce a financial planning arm and, during his tenure, he has managed to do just that. Having completed the job he set out to do, Michael feels the time is right to retire from his role as CEO."
Russell has held senior executive positions at ANZ Banking Group and National Mutual Royal Bank, with more than 30 years experience in financial services.
Russell joined Mortgage Choice in 2009 as CEO and implemented and developed two three-year strategic plans. Richie notes that this “enabled the franchise group to grow and prosper through the aftermath of the GFC", and that now he will assist Ritchie with identifying and transitioning a replacement CEO.
At a Mortgage Choice media luncheon last week, Russell discussed the risks to retirees of reverse mortgages, quipping “we always assume seniors are incapable of making decisions for themselves”, saying that none of the major banks offer this product.
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Mortgage Choice CEO Michael Russell announces retirement

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The latest SQM Research vacancy rate figures have found vacancy rates dipping slightly for the second consecutive month, in what is likely a seasonal trend.
Currently, the national vacancy rate is 2.1% with 62,947 vacancies. Year on year, this sees the national vacancy rate at a fairly stable figure, recording 2.0% in October 2013 and 2.2% in September 2014.
Despite the national figure remaining stable, <a href="https://www.sqmresearch.com.au/" target="_blank">SQM Research</a>’s managing director Louie Christopher pointed to drastic vacancy rate changes when drilling down to the capital city levels, perhaps as a result of the falling mining boom.
For instance, Perth in October 2013 recorded a vacancy rate of 1.5%. It is now 0.9% higher.
Similarly, Darwin recorded a 0.9% vacancy rate in October 2013 and now sits at 2.1%.
Canberra has recorded a reduction in the vacancy rate from 2.1% in October 2013, and in September 2014, to 1.8% in October 2014.
“The rental market was steady over the month with the trends observed over the course of the year, continuing on in October,” said Christopher.
“We continue to see ongoing rental weakness in Perth and Darwin. Canberra is now providing signals that perhaps the worst of the rental downturn is over with a slight fall in vacancies year on year and a rise in asking rents for the month,” he said.
He noted that Sydney appears to be the strongest rental market at present, with asking rents up 6.8% for the past 12 months. However, he said that he expects this to slow in 2015 with increased stock coming onto the market for the city.
Vacancy rates (from highest to lowest):
<ul>
<li>
Melbourne 2.5% 
</li>
</ul>
<ul>
<li>
Perth 2.4% 
</li>
</ul>
<ul>
<li>
Brisbane 2.2% 
</li>
<li>
Darwin 2.1% 
</li>
<li>
Canberra 1.8% 
</li>
</ul>
<ul>
<li>
Sydney 1.6% 
</li>
</ul>
<ul>
<li>
Adelaide 1.5% 
</li>
</ul>
<ul>
<li>
Hobart 1.3%
</li>
</ul>
Turn over page for SQM Research’s results on the changing rents charged across the capital cities.
<hr class="system-pagebreak">
<img src="/images/2014/11/19/sqm%20nov%2019%20one.png" alt="">
Source: <a href="https://www.sqmresearch.com.au" target="_blank">SQM Research</a>
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Drastic Perth and Darwin vacancy changes: The weakest capital city rental markets

Seven things to know about the stamp duty debate

Repeat buyers are one of the strongest measures of confidence in any apartment development.

At <a href="https://www.apartments.com.au/new-apartments/era-newcastle-west-124-126-bull-street-newcastle-west-nsw-2302">ERA</a> in Newcastle West, some purchasers are returning to <a href="https://www.apartments.com.au/developers/gwh">GWH</a> after living at the developer's One Apartments. Their decision to purchase again was driven by the quality of life they found after moving into their first GWH home.

Keith Wilton had spent years living in a house in East Maitland before deciding it was time for a change. Apartment living had always been on his radar, but he was selective about what he wanted.

<iframe allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" allowfullscreen="" frameborder="0" height="315" referrerpolicy="strict-origin-when-cross-origin" src="https://www.youtube.com/embed/FH_1EzB-1vs?si=XScVlP1ERsTDJoME" title="YouTube video player" width="560"></iframe>

"I had some boxes I wanted to tick," he says.

Keith points to the open-plan design, generous outdoor areas and considered inclusions as key reasons One Apartments worked for him.

“One of those things was a nice indoor open plan area, but also I wanted a nice outdoor open area that I could entertain on in summer or Christmases or birthdays,” he says.

He also found value in the smaller details, from integrated appliances to shared resident spaces including the pool, cinema and rooftop areas.

[smartcode_project:default project_id=135096 project_image_fid=356818]

After comparing several developments, he chose One Apartments because of GWH's longstanding local reputation and his own experience working with the developer on a commercial project more than a decade earlier.

"I knew that they were local, that the quality of the build was going to be up there. I'd looked at other apartment complexes around and close by, and I just knew that here was a better decision location wise."

Today, Keith says the move has completely changed how he experiences Newcastle.

"I enjoy living in this location because it's more of a lifestyle change. That Newcastle city living where you can walk to restaurants and bars and even beaches and parks and even shopping across the road."

[smartcode_project:default project_id=135096 project_image_fid=356828]

Beyond the location, he says it's the sense of community that has surprised him most.

"Everyone loves living here because they chose to live here, but everyone looks out for each other. It's a real great community feel here."

For Aimee and Lyle Goodman, the journey started almost by chance.

<iframe allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" allowfullscreen="" frameborder="0" height="315" referrerpolicy="strict-origin-when-cross-origin" src="https://www.youtube.com/embed/tsioMLcnjas?si=zq-ys3JuWpfa5hFv" title="YouTube video player" width="560"></iframe>

The couple happened to be having coffee in Newcastle when they noticed the site where One Apartments was about to begin construction.

"We were aware GWH was planning a development," Aimee says. "We made one phone call and things moved pretty quickly after that."

As busy business owners, they initially thought apartment living would simply reduce the maintenance that came with larger homes. Instead, it fundamentally changed how they spent time together.

"We actually catch up more as a family now," Aimee says.

"We've had homes with big yards and lots of space, but everyone ended up in different rooms. Here we'll have dinner together, the kids can play, and we spend far more quality time together."

[smartcode_project:default project_id=135096 project_image_fid=356829]

Lyle says their confidence came from GWH's reputation within Newcastle's building industry.

"I know people who've worked across different apartment projects, and whenever GWH came up the feedback was always the same. They're rock solid. They're quality."

That confidence only grew throughout the buying process.

"One of the things that really impressed us with GWH was the whole process, was the communication," Lyle says. "It was consistent, it was regular, there was no problem if we had some weird questions, there was no problems in getting answers."

[smartcode_project:default project_id=135096 project_image_fid=351104]

Aimee says one moment stood out.

"The project actually finished on time. We realised we needed to hurry up and sell our house because everything was happening exactly when they said it would."

The positive experience at One Apartments ultimately gave all three buyers the confidence to purchase again with GWH, this time at ERA.

Their confidence reflects what many buyers are seeking in today's apartment market. Location remains important, but so too does certainty around delivery, quality and long-term liveability.

[smartcode_project:default project_id=135096 project_image_fid=356822]

ERA builds on those foundations with 280 one, two and three-bedroom apartments across two landmark towers in <a href="https://www.apartments.com.au/developments/newcastle-west-nsw-2302">Newcastle West</a>.&nbsp;

Designed by <a href="https://www.apartments.com.au/architects/fk-australia">Fender Katsalidis</a>, the project will include more than 2,000 square metres of resident amenities, including a resort-style pool, gym, sauna, private cinema and rooftop entertaining spaces overlooking the harbour and coastline.&nbsp;

The development is also within walking distance of the Newcastle Interchange, Honeysuckle, Darby Street, the harbour foreshore, restaurants, retail and the city’s beaches, continuing the walkable lifestyle that existing GWH buyers say has transformed how they live.

[smartcode_project:default project_id=135096 project_image_fid=356826]

For Keith, the appeal remains straightforward.

"You feel at home even before you've moved into your home."

For Aimee, the change is measured in time.

“I just felt like I had more time,” she says.

[smartcode_project:default project_id=135096 project_image_fid=351102]

Construction at ERA is now underway, with more than half of the residences already sold and limited two and three-bedroom apartments remaining in the East Tower release. Priced from $980,000 for two-bedroom residences and $1.46 million for three-bedroom residences, buyers can secure an apartment with a 10 per cent deposit, with premium homes offering ocean views from Level 8 and harbour views from Level 10.

ERA is also backed by Resilience Insurance's 10-year Latent Defects Insurance policy, providing protection against structural or waterproofing defects for 10 years after completion. The project is anticipated to be completed in early 2028.

[smartcode_project_cta:default project_id=135096]

Joel Robinson

From ONE to ERA: Why buyers are choosing GWH again in Newcastle West

Virgate Property Group is preparing to commence construction of Verdé, its new apartment development in Melbourne's Arts Precinct at Southbank, following a strong run of sales that has seen more than half of the project's 173 apartments secured.

Verdé has attracted a broad mix of first home buyers, owner-occupiers upgrading from nearby inner-city suburbs and investors, with younger owner-occupier couples aged between 28 and 45 accounting for the strongest enquiry. Many are already living in Southbank, South Melbourne, Albert Park, Port Melbourne, South Yarra and the CBD.

"Verdé is located in one of the most desirable pockets of southern Melbourne," Blair Property Group Director Darren Blair, who is managing sales at Verdé, said.

"It's within walking distance of the Arts Centre, Royal Botanic Gardens, Albert Park Lake, and Southbank's restaurants and retail. It's a great lifestyle location with strong amenity and liveability, which made it a very attractive choice for the project."

[smartcode_project:default project_id=4661 project_image_fid=372549]

Virgate was already familiar with the precinct, having previously delivered the successful Domain House development in neighbouring South Melbourne. That experience gave the developer confidence to acquire the Coventry Street site and continue expanding its presence in Melbourne's inner south.

"We had been keeping an eye on the site and the broader precinct for a few months before deciding to move forward with the acquisition," Virgate said.

The project was ultimately secured in 2020 following feasibility studies, planning assessments and due diligence, with the brief centred on delivering "a high-quality, considered design that feels both refined and fit for purpose."

[smartcode_project:default project_id=4661 project_image_fid=314259]

Designed by <a href="https://www.apartments.com.au/architects/bruce-henderson-architects">Bruce Henderson Architects</a>, Verdé comprises 173 one, two and three-bedroom apartments priced from $599,000. The architecture is distinguished by a faceted glass façade that responds to both the site's outlook and Melbourne's changing light conditions.

According to Bruce Henderson Architects, the coloured glazing gives the building a distinctive identity while also providing privacy and solar shading, with residences oriented to capture views across the bay, city skyline and surrounding parklands.

Inside, <a href="https://www.apartments.com.au/interior-designers/designoffice">DesignOffice</a> has created interiors focused on natural light, efficient planning and enduring materials. Apartments feature engineered oak flooring, natural stone benchtops, floor-to-ceiling glazing and SMEG appliances, while a restrained material palette aims to complement the expansive outlooks rather than compete with them.

[smartcode_project:default project_id=4661 project_image_fid=372550]

Resident amenity has also been designed around everyday functionality rather than occasional use. Facilities include a concierge-serviced lobby, residents' lounge with fireplace, library and co-working space, gym, terrace garden with barbecue facilities, ground-floor café, and package delivery management.

The project's location continues to be one of its strongest drawcards. Positioned on Coventry Street, Verdé sits within walking distance of the National Gallery of Victoria, Arts Centre Melbourne, Royal Botanic Gardens and Albert Park Lake, while Southbank's dining precinct, Sturt Street trams and the new ANZAC Station are all nearby. The surrounding education catchment also includes Melbourne Grammar, Melbourne Girls Grammar, Mac.Robertson Girls' High School and several major university campuses.

The sales team says buyers have responded particularly well to the combination of location, design quality and long-term liveability.

"They're responding really positively to the quality of the design, premium resident amenities and the uninterrupted views. Many also appreciate the location and how connected it is to everything they need."

The ability to secure stamp duty savings before completion has also been a key factor for purchasers, alongside the opportunity to personalise finishes ahead of settlement.

With construction set to commence soon and more than half the apartments already sold, Verdé enters its next phase as one of the Arts Precinct's more established apartment developments, offering remaining buyers an opportunity to secure a residence before construction advances further. Expected completion is scheduled for late 2027.

[smartcode_project_cta:default project_id=4661]

Virgate's Verdé Southbank moves toward construction as sales fly past halfway stage

Downsizer-focused apartment development Kooyongkoot in Hawthorn has been recognised at the 2026 Better Future Melbourne Design Awards, taking home Gold and Silver awards in two categories.

<a href="https://www.apartments.com.au/new-apartments/kooyongkoot-hawthorn-1-kooyongkoot-road-hawthorn-vic-3122">Kooyongkoot</a>, currently being delivered by developer PQD and designed by Cera Stribley, received Gold in the Interior Design – Proposed category and Silver in the Architecture – Proposed category.

The dual recognition reflects the design approach behind the boutique development on prestigious Kooyongkoot Road, where the focus has been on creating homes for downsizers seeking the space, quality and functionality of a detached house within a low-rise apartment building.

Rather than maximising apartment numbers, <a href="https://www.apartments.com.au/developers/pqd">PQD</a> and <a href="https://www.apartments.com.au/architects/cera-stribley-architects">Cera Stribley</a> limited the development to just 18 residences, allowing for larger floorplans, greater privacy, generous landscaping and expansive communal spaces.&nbsp;The majority of the apartments also benefit from corner aspects, allowing for dual sources of natural light.

Now around 70 per cent complete and on track for completion in November 2026, Kooyongkoot will comprise a mix of garden residences, ter​race apartments, sub-penthouses, and is crowned by two half-floor penthouses with direct lift access and private rooftop terraces.

[smartcode_project:default project_id=102717 project_image_fid=355297]

The Silver Award for Architecture recognised the way the building responds to its prominent corner position at the ent​rance to Hawthorn's Scotch Hill precinct, one of Melbourne's most established residential neighbourhoods.

Rather than competing with the grand homes that line Kooyongkoot Road, the architectural approach focused on restraint and longevity, using curved brickwork, generous landscaping and carefully considered proportions to integrate with the existing streetscape.

"The form feels fluid and timeless, as though shaped by the landscape itself – architecture that belongs, rather than competes," said Chris Stribley, Co-Founder and Managing Principal of Cera Stribley.

The judging submission also highlighted practical innovations throughout the building, including lift cores servicing only nine homes each, a central landscaped lightcourt designed to bring daylight and ventilation into the building, and fully enclosed private storage rooms with lighting, power and shelving to better accommodate residents transitioning from larger family homes.

[smartcode_project:default project_id=102717 project_image_fid=355293]

The Gold Award for Interior Design recognised the project's focus on long-term liveability rather than display-home aesthetics.

According to the awards submission, the interiors were designed from the inside out, prioritising how homes would function over decades of daily use through generous proportions, practical storage, durable natural materials and flexible layouts.

The specification includes natural stone throughout, upgraded acoustic glazing, V-ZUG appliances and fully enclosed storage rooms, alongside an amenity offering focused on wellness, entertainment and everyday convenience.&nbsp;

Residents will have access to a gym and yoga studio, a wellness centre featuring traditional and infrared saunas, a cold therapy shower and treatment room, as well as a residents' lounge and golf simulator/cinema room for entertainment.&nbsp;Kooyongkoot has also considered the everyday convenience of its residents by offering a private carwash and pet wash facilities on site as well as dedicated parcel lockers and oversized fully enclosed storage rooms.&nbsp;

[smartcode_project:default project_id=102717 project_image_fid=355303]

The project's attention to detail has already resonated with buyers. Earlier this year, Kooyongkoot recorded one of Boroondara's highest apartment sales when an $8 million penthouse was purchased by a Melbourne CEO downsizing from a nearby family home.

"Every detail feels deliberate, from the overall design down to the smallest touches," the purchaser said.

"The level of quality and refinement is exceptional, but what really sold it was how liveable it felt... It felt like a place where everything had been considered, not just a luxury building."

[smartcode_project:default project_id=102717 project_image_fid=355304]

Sustainability also formed a key part of both award submissions. Kooyongkoot is targeting a minimum 7.5-star NatHERS rating across all residences, supported by passive design principles, high-performance glazing, EV charging infrastructure, water reuse systems and a wellness model focused on lower-energy dry facilities rather than pools and large wet areas.

Located within walking distance of Scotch College, Methodist Ladies' College, Koo​yong Lawn Tennis Club, Aubur​n Village and Camberwell Junction, Kooyongkoot continues to target owner-occupiers looking to remain in Melbourne's inner east without compromising on space or quality. A limited selection of two, three and four-bedroom residences remains available, with prices starting from $1.9 million.

[smartcode_project_cta:default project_id=102717]

Kooyongkoot wins Gold and Silver at Better Future Melbourne Design Awards

New apartment supply has become increasingly constrained across <a href="https://www.apartments.com.au/developments/parramatta-nsw-2150">Parramatta</a> in recent years, with fewer projects progressing through to completion as development conditions have become more challenging.

It makes <a href="https://www.apartments.com.au/developers/novm">NOVM</a>'s 2021-completed <a href="https://www.apartments.com.au/buildings/the-lennox-parramatta-12-phillip-street-parramatta-nsw-2150">The Lennox</a> one of the most recently completed residential towers on the Parramatta River, and among the newest apartment developments in Sydney's second CBD.

With the project largely completed before the sharp escalation in construction costs and inflation following the pandemic, The Lennox is now offering pricing that would be difficult to replicate in a comparable new development in Parramatta today, or across much of Western Sydney.

The majority of the 413 apartments at The Lennox sold before and shortly after completion. A limited release of the remaining apartments has recently been brought to market by capital partner <a href="https://www.apartments.com.au/project-marketer/equitifund-group">Equitifund</a>, with entry-level pricing from $700,000 and two-bedroom apartments available from under $1 million.

Rising above the Parramatta River at 12 Phillip Street, The Lennox comprises one, two, three and four-bedroom apartments, appealing to first home buyers, young professionals, families, downsizers and interstate investors seeking a completed apartment in one of Australia's fastest-growing economic centres.

[smartcode_project:default project_id=5743 project_image_fid=372394]

Rather than positioning Parramatta as an alternative to Sydney's CBD, Equitifund believes the city has reached a point where it stands on its own merits.

"Parramatta is no longer simply an alternative to Sydney CBD, it's becoming a destination in its own right," Equitifund Executive Chairman Greg Huxley said.

"The Lennox captures that evolution with a level of quality and amenity that's difficult to match at its price point."

[smartcode_project:default project_id=5743 project_image_fid=953]

Designed by <a href="https://www.apartments.com.au/architects/marchese-partners">Marchese Partners</a>, the tower responds directly to its riverfront setting through expansive glazing and open-plan layouts that maximise views across the Parramatta River and city skyline. Interiors feature engineered timber flooring, stone benchtops, stainless steel appliances and floor-to-ceiling glazing, while generous balconies extend the living spaces outdoors.

Marchese Partners says the project was conceived to balance high-quality apartment living with practical, long-term functionality, pairing larger, efficient floorplans with amenities more commonly associated with five-star hotels.

That emphasis continues through the resident facilities, which include a 20-metre rooftop swimming pool, fully equipped gym and wellness spaces, full-time concierge, a residents' lounge, function room, private lifts, secure basement parking and rooftop communal areas overlooking the Parramatta River. Ground-floor boardwalk retail and dining further activate the riverfront and integrate the building into the surrounding public realm.

[smartcode_project:default project_id=5743 project_image_fid=925]

Australian housing and finance group Equitifund has secured the remaining apartments, believing there are few completed apartment opportunities in Parramatta that offer the same combination of location, amenity and pricing.

Equitifund National Sales Director Ben Hamblett says buyers are increasingly recognising that premium apartment living no longer needs to come with Sydney CBD pricing.

"The Lennox is where aspirational living becomes attainable," Hamblett said.

"Wake to river and mountain views, step into Sydney's Second CBD, and arrive home to resort-calibre amenities, all without the harbour price tag."

Hamblett says owner-occupiers are also attracted by the convenience of having Westfield Parramatta, Church Street's dining precinct, Parramatta Park, Riverside Theatres, Western Sydney University and major transport connections all within walking distance.

"At The Lennox, lifestyle is not an afterthought, it is the foundation."

[smartcode_project:default project_id=5743 project_image_fid=5374]

The Lennox places residents within walking distance of Parramatta Square, Westfield Parramatta, Church Street Eat Street, Parramatta Station, the ferry wharf, Light Rail, the future Sydney Metro West, Parramatta Park and CommBank Stadium, reinforcing Parramatta's position as one of Australia's most connected metropolitan centres outside Sydney's CBD.

Equitifund says buyers visiting the display suite consistently comment on the quality of the finishes, generous floorplans, river and skyline views, and the walkability of the location. The project has attracted a broad mix of local professionals, upsizers, downsizers, buyers relocating from Sydney's inner suburbs and interstate investors seeking long-term growth opportunities.

That demand aligns with Parramatta's continued evolution as an economic powerhouse. Equitifund Research and Market Insights specialist John Bekiaris says sustained population growth, infrastructure investment and expanding employment opportunities continue to support long-term housing demand across the city.

"Parramatta has evolved from a satellite city into one of Australia's most important economic centres. Population growth, infrastructure investment and employment are all supporting sustained long-term housing demand."

[smartcode_project_cta:default project_id=5743]

The apartment price gap drawing Sydney buyers west

A luxury beachfront apartment at Rainbow Bay has more than doubled in value since it sold off the plan six years ago, setting a new local apartment record in the process.

The three-bedroom apartment in the Flow development on Petrie Street, the first of four new projects locally by Paul Gedoun's S&amp;S Projects, has sold for $7.4 million, after originally selling for $3.27 million when the project launched in 2020.

The seventh-floor apartment, comprising 187 sqm of internal living space and a 54 sqm balcony overlooking Froggies Beach and Snapper Rocks, was purchased by a local family.

The transaction was negotiated by Pezet Matheson director Kerry Pezet and equates to more than $30,000 per sqm.

Pezet said the sale reflected the limited opportunities to buy into the boutique beachfront development.

"The sale highlights the rarity of opportunities within the boutique beachfront development, where residences seldom become available," Pezet said.

"Flow is one of the Gold Coast's most tightly held buildings. Buyers from our database move quickly when residences become available, and achieving an off-market sale at $7.4 million demonstrates the depth of demand for property of this calibre."

<img alt="Flow" data-entity-type="file" data-entity-uuid="c585b206-2130-4eee-a50c-3f27c51a7c70" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-07-06%20at%208.33.25%E2%80%AFPM.png?VersionId=m3pHRDV62Y3fvN.XQuQHq.52ilTWpRLf" />

Flow was the first of four luxury apartment developments delivered by Paul Gedoun's S&amp;S Projects at Rainbow Bay and was completed in 2023.

Positioned on the beachfront overlooking Snapper Rocks, the residence includes three bedrooms, three bathrooms, a powder room and views stretching north along the coastline towards Surfers Paradise.

Pezet Matheson Residential principal Mitchell Lambert said buyers continued to prioritise quality beachfront apartments in tightly held locations.

"Flow Residences offers a rare combination of elevated beachfront positioning, architectural excellence, comprehensive resident amenity and premium finishes, which is exactly what discerning purchasers are seeking," Lambert said.

"The transaction further reinforces Rainbow Bay's reputation as one of Australia's premier coastal lifestyle destinations, where limited supply and growing demand continue to support strong market performance."

Pezet Matheson originally marketed and sold out Flow off the plan, making the latest transaction a return to one of the project's original buyers.

Paul Gedoun is selling his third project, <a href="https://www.apartments.com.au/new-apartments/radia-rainbow-bay-271-boundary-street-coolangatta-qld-4225">Radia Rainbow Bay</a>, after recently completing, and selling out, <a href="https://www.apartments.com.au/buildings/esprit-217-227-boundary-street-coolangatta-qld-4225">Esprit</a>. He has plans for a <a href="https://www.apartments.com.au/news/qld/first-look-s-s-projects-proposes-88-apartment-wellness-tower-at-coolangattas-boundary-street">fourth building</a>, 88 apartments on <a href="https://www.apartments.com.au/new-apartments/209-213-boundary-street-coolangatta-qld-4225">Boundary Street</a>.

Jennifer Duke

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