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Mortgage lender RAMS has cut its one year-fixed rate home loan by 40 basis points to 4.99% per annum.
The loan has a relatively high comparison rate of 6.49%.
It follows parent bank Westpac cutting its two-year fixed rate home loan also to 4.99% as the banking group seeks to lock-in conservatively minded borrowers.
RAMS has also cut its two (5.25%), three (5.29%), four (5.64%) and five year (5.69%) fixed rates by between 10 and 15 basis points.
RAMS chief executive, Melos Sulicich says fixed interest rate home loans and splitting between variable and fixed interest rates are a popular choice for first-home buyers who are looking for repayment certainty when starting out.
“The recent RAMS First Home Buyers’ (FHBs) Pulse Check survey showed around two thirds of first home buyers surveyed intend to take out a fixed interest rate (22%) or split home loan (43%) in the next 12 months,” he says.
“Fixing your interest rate could be a smart option, allowing customers to lock in the certainty of monthly repayments.
“Another option to consider is splitting your home loan between fixed and variable interest rates to make the best of both worlds,” says Sulicich.
RAMS offers a standard variable home loan at 6.35%.
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RAMS joins Westpac by cutting fixed rates below 5%

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The number of new home loans approved for owner-occupiers fell by 1.5% in December, with 45,335 loans approved, according to ABS seasonally adjusted estimates.
This was below economists' expectations of unchanged approval figures for December.
The number of home loans approved in November was downwardly revised from 46,199 to 46,031.
Loans to purchase established dwellings fell 2.1% to 38,009.
Loans for the construction of new dwellings rose by 1.2% to 4,894 and loans to buy new homes rose by 1.9% to 2,432.
For the calendar year, the number of loans approved for owner-occupiers fell 4.7%, loans for the construction of new dwellings rose 4% and loans to buy new homes rose 17.3%.
In original terms, the number of first home buyer commitments as a percentage of total owner occupied housing finance commitments fell to 14.9% in December 2012 from 15.8% in November 2012.
RP Data's <a target="_blank" href="https://twitter.com/CameronKusher" data-user-id="748009759">Cameron Kusher ?</a>noted that there were 97,672 first home buyer finance commitments over 2012, up just 4.9% compared to 2011 with "no significant bounce despite interest rate cuts".
Between December 2012 and November 2012, the average loan size for first home buyers rose $6,100 to $293,900. The average loan size for all owner occupied housing commitments rose $1,500 to $308,300 for the same period.
In seasonally adjusted terms, the total value of dwelling finance commitments excluding alterations and additions fell 2.6% to $20.83 billion.
Banks continued to dominate mortgage lending, accounting for a record - as noted by CommSec's <a target="_blank" href="https://twitter.com/craigjamesOZ">Craig James</a> - 92.9% of all home loan commitments in December.
Westpac notes another "weak reading for FHB activity and estimates approvals in this segment were down another 5.7% in December seasonally adjusted. 
"The share of FHBs in total owner-occupier loans fell to 14.9%, down from 19.3% in Sep and the weakest reading since June 2004. "The state detail was something of a surprise.
"We had expected unwinding FHB demand in NSW (from an earlier bring-forward relating to state government changes) to have run its course by December with weakness to instead centre on Victoria where stamp duty concessions coming in from January 1 would have encouraged many FHBs to delay purchases.
"Instead, the sharp slide in NSW continued (–3.2%) with Victoria posting a slight rise (+0.3%). "Elsewhere, approvals were down 0.8% in Queensland and 1.9% in WA. "The upgrader market provided some offset, with lending up an estimated 1.6% in the month and 9.9% for the year. "Investor activity softened though, with the value of investor approvals falling 1.3% after strong gains in previous months," says Westpac. 
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Mortgage lending falls 1.5% in December but some pick-up for new housing: ABS

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Chocolate café chain Chocolateria San Churro will open its first store in the Adelaide CBD after leasing space on Rundle Street.
The Spanish themed chocolate chain has leased a 203 square metre café space at shop 5, 300 Rundle Street over seven years in a deal negotiated by CBRE’s Julia Pottenger.
While the price per square metre being paid by Chocolateria San Churro has not been disclosed, Property Observer understands that it will be around the going rate for rental space on the prime retail strip.
Annual rents on Rundle Street range from $400 to $1,200 per square metre.
Savills reported a <a href="https://www.propertyobserver.com.au/retail/darrell-lea-among-store-closures-as-adelaides-rundle-mall-vacancy-rate-hits-double-figures-savills/2012110557560/Page-2" target="_blank">vacancy rate of just 2.88% on Rundle Street </a>in November last year.
Rundle Street is the non-pedestrianised portion of the retail strip extending east from Rundle Mall.
They are far dearer in Rundle Mall, the super-premium retail location in Adelaide, with CBRE reporting rents remained stable in the final quarter of 2012 and ranged from $2,400 per square metres to $4,000 per square metre.
Originating in Melbourne in 2006, the chain is known for its range of decadent chocolate products including its famous Spanish churros.
Pottenger says demand for Rundle Street remains strong with Yvonne’s Yiros Café recently opening next door to the new San Churro café. The street has also seen the return of Mimco who have taken the former Mary Martin Book Shop tenancy.
“San Churro will be a great addition to Rundle Street and will thrive especially as they are due to open before the ‘Mad March’ season,” she says.
In contrast, CBRE reports that demand for space on Rundle Mall has been reasonably subdued in the December quarter.
“Property along Rundle Mall is traditionally tightly held by private investors and therefore rarely come to the market.
“There have therefore been no sales recorded in Rundle Mall during 2012 and no properties listed for sale in the precinct.
“Yields have remained stable in the December quarter and ranged from 6.75% to 7.25% for super prime and 7.25% to 7.75% for prime space,” says CBRE.
A new mall – Rundle Place - is currently under construction due to be completed in March 2013. It has been reported that the centre is 95% leased with three international retailers to open stores in the development to be anchored by Harris Scarfe.
CBRE warns of an increase in the retail vacancy rate the Adelaide CBD during the first half of 2013.
“There are two reasons for this. Firstly that there are currently several sites which are being marketed for lease, but are still occupied by the current tenant and they are likely to vacate in the first half of 2013.
“Secondly there are several tenants which currently occupy space on Rundle Mall which will move to the new accommodation in the Rundle Place development when it is completed in March 2013.
“This is likely to result in very limited growth in rentals in the CBD and depending on how much vacancy eventuates and there will be a increase in the incentives landlords will need to offer to attract a tenant,” says CBRE
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Spanish-themed Chocolateria San Churro to open first Adelaide CBD store on Rundle Street.

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People are doing more than just looking for whales at Hervey Bay, they’re buying houses as well.
Sales picked up for the third consecutive six month period to September 2012 in the Fraser Coast coastal town, about three hours north of Brisbane,  according to a new research report from PRDnationwide.
Activity is expected to rise again in 2013 although house prices won’t start to rise until excess apartment stock priced under $300,000 is sold.
PRDnationwide researcher, Rob Matta, says a price point analysis undertaken for the Hervey Bay house market indicates 49% of sales recorded for the September 2012 period were below $300,000, compared to 29% in September 2010 period.
“Increased activity in the sub $250,000 price range substantiates a notable change in buyer preferences, with many owner occupiers and investors exploiting opportunities to buy well and add value to somewhat tired properties,” says Matta.
“Houses within this price range have traditionally been overlooked by buyers, resulting in lengthy stints on the market. Current on-the-market evidence confirms that these properties have become the fastest to move throughout 2012, as buyers respond to diminishing stock levels at the lower end.”
According to Matta, the absorption of limited stock under $250,000 will eventually stabilise the median house price from further softening in 2013, as buyers shift back to higher price brackets and mortgagee sales become less prevalent.
“The increase in sales activity and firming of median price for the suburb of Pialba over the September 2012 period is further evidence of buyer’s increased appetite for affordable housing in what has become a competitive market.”
The heavily tourism-dependent town has, like other Queensland coastal markets suffered from the effects of the post-GFC fallout including the high-Australian dollar which has seen more Australians take overseas trips than travel domestically in the last five years.
Matta says the Hervey Bay Area unit market continues to demonstrate a sound level of sales, having recorded 97 settled transactions during the September 2012 period, a marginal difference from the previous March period.
“With the current oversupply of apartment stock in the market, it is expected that prices may experience further corrections throughout 2013, with sales volumes likely to maintain resilience at best,” he said.
“With that being said, there has been a greater level of interest for duplexes and smaller unit complexes which could experience modest growth over the year and compensate for weaker apartment sales.”
However, demand for more expensive apartments remains weak with “notably less enquiry for units in the higher end of the market compared to two years ago”.
Matta says the availability of stock on the market providing would-be buyers with many options and enhanced bargaining power.
A similar assessment of the Hervey Bay market is made by Herron Todd White (HTW) in its February month-in-review report.
HTW expects that over the next twelve months the Fraser Coast residential property market is “expected to experience a stabilisation period where prices will remain steady, however further retraction may still take place for higher end stock (above $450,000).
“Demand for property below $350,000 will continue to provide a large percentage of sales with affordability being a key factor in this price range.
“It is anticipated that the unit market will continue to flounder over the next year, with only minimal demand in this sector.
“Rental accommodation is expected to remain tight, with low vacancy levels particularly for dwellings close to schools and the beach," says HTW.
The regional market is also benefiting from infrastructure investment with the commencement of construction of the new $87.5 million private hospital in Urraween, which HTW says will generate around 300 construction jobs and a similar number of healthcare positions.
The $28 million Splash Bay water park has recently been approved by the local council and is due to be completed by Christmas 2013.
Hervey Bay, principal of PRDnationwide Hervey Bay, Jim McKay, Hervey Bay says higher rents are enticing investors back as well while owner-occupiers are attracted by the affordable prices and lifestyle.
“Our lifestyle here is casual and just great. The locals are friendly and come from all over the place, so there’s a great mix of backgrounds. Look out across the Esplanade at the beach and the crystal clear water and that’s the reason people just don’t want to leave,” he said.
For more hot spot opportunities, sign up for tomorrow’s free Property Observer webinar with hotspotting.com.au’s Terry Ryder, as he examines the next Gladstone-like property investment hotspots. <a target="_blank" href="https://propertyobserver.us2.list-manage.com/track/click?u=24bd0766a834290948593f5aa&amp;id=173a01f3bf&amp;e=add64da266">Sign up here for Terry's free webinar on Tuesday, February 12 at 12.30</a>
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Prospects pick up for Hervey Bay as properties under $300,000 begin to sell and rental vacancies tighten

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The RBA may have left the cash rate unchanged in February at 3%, but with the prospect that wholesale funding costs will ease, there are expectations that lenders may reduce variable rates independently of central bank cash rate decisions.
Lenders have already started reducing fixed-rate mortgage rates with Westpac becoming the first major bank this year to offer a fixed-rate home loan below 5%.
Today, Westpac-owned mortgage lender brands Rams also went under 5% on fixed rates, cutting its one-year fixed-rate by a large 40 basis points to 4.99% as well as making smaller reductions to two, three, four and five fixed-rate home loans.
Property Observer analysis of mortgage comparison websites, indicates the lowest fixed-rate mortgage offering to be a <a href="https://www.propertyobserver.com.au/mailto:https://www.infochoice.com.au/home-loans/loanscomau/dream-loan-express-fixed/20672" target="_blank">one-year fixed-rate mortgage offered by loans.com.au</a>, the online arm of non-bank lender FirstMac at 4.89%.
Borrowers can <a href="https://www.homeloanfinder.com.au/imortgage-home-loans/imortgage-2-year-fixed-pro-pack-home-loan" target="_blank">fix at the same rate over two-years with iMortgage,</a> the online offering of ASX-listed non-bank lender Homeloans Limited.
The lowest variable rate remains the 4.99% honeymoon rate being offered by Easy Street, owned and operated by Sydney-based Community First Credit Union.
The February monetary policy statement noted that funding costs were reducing but would take longer to flow through given that banks are still issuing mortgages with money raised when wholesale funding costs were higher.
The recent repurchase of $31 billion worth of government-guaranteed bonds by commercial banks is proof of the cheaper offshore funding, wrote John Kehoe in the Australian Financial Review this weekend.
The banks issued the bonds with the backing of the government’s AAA credit rating following the GFC in 2008 as offshore funding markets dried up. It allowed them to continue funding new mortgage lending.
The decline in wholesale funding costs are expected to benefit the smaller banks, among them Bendigo and Adelaide Bank, which last week, raised $850 million from investors via securitised residential mortgage-backed securities at the lowest rates since the GFC.
“Given the reduction in wholesale funding costs, we should expect to see banks reducing mortgage rates, despite the fact the RBA has held, ‘says Acquasia credit strategist Mark Bayley.
These are the lowest advertised mortgage rates based on listings by <a href="https://www.ratecity.com.au/" target="_blank">ratecity.com.au</a>, <a href="https://mozo.com.au/" target="_blank">Mozo.com.au</a>,  <a href="https://www.infochoice.com.au/" target="_blank">infochoice.com.au</a> and <a href="https://www.homeloanfinder.com.au/">homeloanfinder.com.au</a> as of February 11:
Where the headline rate is the same, the lender with the lowest comparison rate gets preference.
Lowest variable rate offerings:
<table border="1" cellpadding="0" cellspacing="0" width="470"><tbody>
<tr>
<td valign="top" width="134">
Provider
</td>
<td valign="top" width="124">
Loan name
</td>
<td valign="top" width="97">
Rate
</td>
<td valign="top" width="116">
Comparison rate*
</td>
</tr>
<tr>
<td valign="top" width="134">
Easy Street
</td>
<td valign="top" width="124">
Honeymoon Home Loan Special
</td>
<td valign="top" width="97">
4.99%
</td>
<td valign="top" width="116">
5.77%
</td>
</tr>
<tr>
<td valign="top" width="134">
Loans.com.au
</td>
<td valign="top" width="124">
Blackboard Special
</td>
<td valign="top" width="97">
5.09%
</td>
<td valign="top" width="116">
5.11%
</td>
</tr>
<tr>
<td valign="top" width="134">
UBank
</td>
<td valign="top" width="124">
UHomeLoan - refinance variable loan with a special upfront discount of 0.25%p.a.
</td>
<td valign="top" width="97">
5.12%
</td>
<td valign="top" width="116">
5.12%
</td>
</tr>
</tbody></table>
 Lowest one-year fixed-rate offerings
<table border="1" cellpadding="0" cellspacing="0" width="470"><tbody>
<tr>
<td valign="top" width="137">
Provider
</td>
<td valign="top" width="123">
Loan name
</td>
<td valign="top" width="95">
Rate
</td>
<td valign="top" width="114">
Comparison rate*
</td>
</tr>
<tr>
<td valign="top" width="137">
Loans.com.au
</td>
<td valign="top" width="123">
Dream Loan Express - Fixed P&amp;I 1 year
</td>
<td valign="top" width="95">
4.89%
</td>
<td valign="top" width="114">
5.28%
</td>
</tr>
<tr>
<td valign="top" width="137">
My mortgage freedom.com.au
</td>
<td valign="top" width="123">
Fixed Rate (LVR&lt;75%)
</td>
<td valign="top" width="95">
4.99%
</td>
<td valign="top" width="114">
5.66%
</td>
</tr>
<tr>
<td valign="top" width="137">
Greater Building Society
</td>
<td valign="top" width="123">
Ultimate Home Loan Package Standard Fixed 1 year
 
</td>
<td valign="top" width="95">
4.99%
</td>
<td valign="top" width="114">
5.79%
</td>
</tr>
</tbody></table>
 
Lowest three-year fixed-rate offerings
<table border="1" cellpadding="0" cellspacing="0" width="470"><tbody>
<tr>
<td valign="top" width="131">
Provider
</td>
<td valign="top" width="131">
Loan name
</td>
<td valign="top" width="96">
Rate
</td>
<td valign="top" width="111">
Comparison rate*
</td>
</tr>
<tr>
<td valign="top" width="131">
homeloanHQ
</td>
<td valign="top" width="131">
Rate Lock Home Loan
</td>
<td valign="top" width="96">
4.99%
</td>
<td valign="top" width="111">
5.53%
</td>
</tr>
<tr>
<td valign="top" width="131">
eMoney
</td>
<td valign="top" width="131">
Pro Pack 75 – 3 Year Fixed Rate Home Loan
</td>
<td valign="top" width="96">
5.00%
</td>
<td valign="top" width="111">
5.67%
</td>
</tr>
<tr>
<td valign="top" width="131">
My mortgage freedom.com.au
</td>
<td valign="top" width="131">
Fixed Rate (LVR&lt;75%)
</td>
<td valign="top" width="96">
5.09%
</td>
<td valign="top" width="111">
5.62%
</td>
</tr>
</tbody></table>
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Funding cost to ease: a guide to the lowest rate home loan offerings fixed and variable starting from 4.89%

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Central Equity, one of Melbourne’s biggest apartment builders, is heading west in an effort to find willing and wealthier buyers for its latest Melbourne apartment projects.
Central Equity is seeking off-the-plan Perth investors in a new apartment project in <a target="_blank" href="/news">Southbank </a>called Grand, with prices starting from $359,000 as part of a “Perth priority release” as well as buyers of its other projects.
Southbank Grand is 43-level glass tower featuring emerald-coloured glass and a seven-star energy rating.
The privately owned developer, credited for changing the skyline of Melbourne with more 70 residential projects under its belt, will hold 45-minute information sessions at the Perth Convention Centre Adina Hotel between February 21 and February 24.
Attendees will be given an update on the Melbourne property market and meet a Melbourne-based lawyer who specialises in Victorian property. A major banks will be in attendance for those who bring their chequebooks.
To sweeten the deal, Central Equity is offering a free night’s accommodation to attendees who subsequently fly over from Perth and book one night at one of its short-stay venues in Melbourne.
Central Equity has just completed building the 43-level Mainpoint tower on City Road in South Bank and commenced construction of the 38-level Epic tower also in Southbank (pictured below), with one-bedroom apartments priced from $389,000.
<img src="/images/stories/2013/02/grand.jpg" alt="grand" height="219" width="470">
The advertisements for the information seminars promote Melbourne’s best attributes including its reputation as the world’s most livable city as well as the opportunity to secure significant stamp duty savings.
This is the not the first time Central Equity has tried flogging apartments to Perth buyers, tapping into the stronger WA economy, cashed-up investor with higher wages earned from the mining boom and an AFL-inspired affinity among Perth investors for Melbourne over Sydney and other capital city property markets.
In April 2011, Central Equity undertook a Perth roadshow selling Melbourne CBD apartments as well as house-and-land packages in<a target="_blank" href="/news"> Point Cook,</a> <a target="_blank" href="/news">Mernda </a>and <a target="_blank" href="/news">Mount Martha</a>.
Commenting at the time, Urban Development Institute of Australia (UDIA) executive director Tony De Domenico said there was a lot of interest in Victoria from ''cashed-up workers'' from Perth and Queensland.
Agents promoting Central Equity investments to Perth buyers said Melbourne appealed over other capital cities because there are a few more similarities such as AFL and its greater affordability relative to Sydney.
This time round, Central Equity will be looking again to garner demand from Perth investors given the disparity between the Victorian economy and the WA economy.
Central Equity produced poor 2012 financial year annual results with its net profits halving to $19.5 million as demand slowed for apartments in Melbourne.
The company reported a 43% drop in revenue from $184 million to $104.6 million.
Central Equity was founded by Eddie Kutner and schoolteachers Dennis Wilson and John Bourke in 1987 and was listed on the ASX until it was privatised in 2006.
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Central Equity heads back to Perth to find willing apartment investors

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Six out of the 10 suburbs picked by Australian Property Monitors senior economist Andrew Wilson as offering the best prospects for price growth have already beaten inflation over the first six months of the year.
Wilson picked Fairfield, Blacktown, St Ives, Rooty Hill, Lethbridge Park, Macquarie Fields, Doonside, Punchbowl, Ingleburn and Kingswood at the start of 2013 as his detached housing hotspots.
Apart from wealthy upper north shore enclave of St Ives, popular with South African expats, where the median house price is above $1 million, the nine other suburbs are all traditional “battler” locations in the western outer ring of the Sydney metropolitan region with Ingleburn, 44 kilometres south of the CBD, the furthest away.
They all have median prices well below the Sydney median house price of $673,000.
To date, the top performer has been Fairfield, 29 kilometres west of the city where the median house price has risen 12.1% to $474,000, followed by Blacktown (9.2%) and St Ives (5.8%).
The others recording price growth above inflation – currently at 2.6%  - are Rooty Hill, Lethbridge Park Macquarie Fields
<img height="237" width="470" src="/images/stories/2013/larry_uploads/APM_HOUSES1.jpg" alt="APM_HOUSES1">
Fairfield is a multi-cultural suburb with large Vietnamese, Arabic and Chinese communities. Just over a third (37.5%) of Fairfield’s 39,515 residents were born in Australia with 16% born in Iraq, according to the 2011 census. Vietnamese is the most commonly spoken language in Fairfield outside of English.
Homeownership is relatively high in Fairfield with just 30% of residents renting compared with 40% who rent across NSW.
However, Fairfield along with Lethbridge Park are among the most socially disadvantaged suburbs in Sydney, according to the Australian Bureau of Statistics.
Recent sales below $500,000 in Fairfield include a 1960s built weatherboard house with two-bedrooms at <a target="_blank" href="https://www.realestate.com.au/property-house-nsw-fairfield-114053147">61 Crosby Crescent</a>, which sold for $432,000 at auction on July 6 through Stephen Jurinic of Pretti Real Estate - Fairfield Heights. It was listed with expectations above $390,000. RP Data records show it last sold for $112,000 in 1995 – annual growth of nearly 8%.
Another recent sale was a renovated <a target="_blank" href="https://www.realestate.com.au/property-house-nsw-fairfield-108781911">six bedroom house at 462 The Horsley Drive Fairfield</a> also built in the 1960s within walking distance to the Fairfield CBD.
It sold for $485,000 through Muhammad Mushtaq of Ray White – Fairfield having last sold for $312,000 in June 2012. RP Data photographs show the house partially gutted and surrounded by fencing, prior to its renovation.
It currently rents for $550 per week – a gross yield of around 5.9%.
Property Observer reported earlier this month that <a target="_blank" href="https://www.propertyobserver.com.au/trophy-homes/fairfield-mansion-with-granny-flat-fetches-%241117-million-in-sydney-weekend-auctions/2013071363235">Fairfield mansion with granny flat</a> fetched a $1.117 million suburb record price in Sydney weekend auctions. The McMansion has seven bedrooms and a two-bedroom granny flat.
Wilson wrote recently in the Fairfax-owned Sun Herald that APM “relative affordability” of suburbs like Fairfield and Blacktown compared with the rest of Sydney was the reasons they were popular
“Because Sydney is the most expensive city in Australia, there is always that drive at the bottom of the market for budget-priced properties,” Wilson said.
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APM's Andrew Wilson’s top 2013 Sydney suburb picks showing price growth led by multi-cultural Fairfield

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The trendy inner Sydney suburb of Potts Point stands in stark contrast to the more affordable suburban unit markets picked by Australian Property Monitors senior economist Andrew Wilson to be the top performers for 2013 – most of which are showing good prospects of price growth.
Figures for the first six months of year show seven out 10 of Wilson’s top picks are beating inflation (2.6%) lead by Penrith on the western outskirt of Sydney, with unit prices up 8.4% to a median of $257,000 as of the end of June.
Potts Point ranks fourth best performing market out of the 10 chosen by Wilson with respectable price growth of 4.2% and a median unit price of $525,000 – more than double that of Penrith.
Ahead of Potts Point is the south west suburb of Wiley Park, where unit prices are up 7.9% for the first six months of the year and neighbouring Lakemba, where unit prices have risen 5.5%.
Both suburbs are within postcode 2195 in the Canterbury/Bankstown region with a high proportion of residents with Lebanese and Bangladeshi ancestry and with only a third of residents born in Australia, according to census 2011 data.
Around 88% of residents in these two suburbs are the children of parents born overseas.
The other inner city unit hotspot in the top ten, Ultimo, has yet to fire with unit prices treading water at median of $470,000.
Interestingly, Fairfield, the strongest performing detached housing suburb among Wilson’s 2013 picks with house prices up 12.1% over the first six months of the year has not shown the same strength across units, with median unit prices down 3.5% over this period with a median price of $273,000.
<img height="248" width="470" src="/images/stories/2013/larry_uploads/APM_UNIT_HOTSPOTS.jpg" alt="APM_UNIT_HOTSPOTS">
Recent Wiley Park unit sales include a two bedroom apartment in a <a href="https://www.realestate.com.au/property-apartment-nsw-wiley+park-108397731" target="_blank">small block on Shadforth Street</a> which sold for $257,000 through Carlos Almeida of Just Think Real Estate – Parramatta. RP Data records show it sold for $235,000 in 2009. It is currently rented for $310 per equating to a gross yield of around 6.3%.
Another sale in Wiley Park was a two-bedroom unit in a <a href="https://www.realestate.com.au/property-unit-nsw-wiley+park-113948619" target="_blank">1960s-built block at 279 Lakemba Street</a> which sold through Luke Knapton of Knapton &amp; Co Pty Limited – Lakemba.  It sold for $284,000 having previously sold for $236,000 in February 2010. It is currently rented for $330 per week equating to a gross yield of around 6%.
Around $500,000 plus gets you a two-bedroom unit in Potts Point. Recent sales include a <a href="https://www.realestate.com.au/property-apartment-nsw-potts+point-114369391" target="_blank">71 square metre apartment at 238 William Street</a> which sold for $565,000 through Romany Brooks of BresicWhitney – Darlinghurst.
RP Data records indicate it previously sold for $450,000 in 2008.
Part of a 2008 built block, the apartment has rented for $490 per week equating to a yield of 4.5%.
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Penrith, Wiley Park and Lakemba beat Potts Point for price growth among Andrew Wilson's unit hotspots for 2013

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In its first significant deal under the new name of Federation Centres, the former Centro business, has agreed to sell half-shares in four malls and a convenience centre to the Industry Superannuation Property Trust (ISPT), one of Australia’s biggest unlisted property trusts.
The four sub-regional shopping centres are Mandurah in WA, Cranbourne and Karingal in Victoria and Warriewood in NSW. The convenience centre is Halls Head also located in Mandurah, WA.
The transaction with ISPT represents a 2.9% premium to the June 30 2012 book value (pre-transaction costs) and average yield of 7.49%.
The signing of the co-ownership agreement with ISPT, follows the deal in May last year for the privately-owned Perron Group to pay a post-GFC record of $690.4 million to acquire a 50% share in a portfolio of three Centro flagship regional shopping centres.
The three shopping centres in this deal were the Colonnades in South Australia, The Glen in Victoria and the Galleria in Western Australia in a deal brokered by Simon Rooney, Australian head of retail investments at Jones Lang Lasalle.
Commenting on the latest deal, Federation Centres managing director and CEO, Steven Sewell said the transaction with ISPT is part of the transformation of the business under the new name.
“When combined with the previous Perron Group strategic alliance, on completion of this transaction with ISPT, Federation Centres will have undertaken co-ownership in eight centres with a gross value of $2.1 billion.
“With more than $1 billion in capital raised from these co-ownership arrangements, we will be well positioned to grow our business through redevelopment projects across our portfolio of quality Australian shopping centres and further acquisitions of syndicate properties.
Federation Centres will continue to manage the shopping centres to be held with ISPT.
ISPT has over $8 billion of property assets.
Subject to the satisfaction of conditions, the transaction is expected to be completed on or before 31 July 2013. Proceeds from the sale, net of transaction costs, will initially be applied to reducing debt facilities.
Daryl Browning, CEO of ISPT said he was looking forward to working with Federation Centres to “explore future development opportunities for the co-owned shopping centres to enhance returns for our investors”.
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Federation Centres sells half-shares in four malls to ISPT for $371.4 million

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The receivers of failed Victorian debenture issuer and mortgage lender Banksia expect to make a “significant” second payment of between and 20 and 35 cents in the dollar to investors by June 30 if it can successfully realise a portfolio of 565 loans.
In addition, the receivers will also seek to sell freehold property owned by Banksia to raise additional funds to repay debenture holders.
A first distribution payment of 20 cents in the dollar was paid to investors on December 7 out of cash holdings, the first part of an estimated total repayment to debenture holders of between 50 and 65 cents in the dollar.
Banksia operated from 10 branches across Victoria and NSW with its head office in Kyabram.
The loans have a face value of $270 million and represent the best performing loans out of a total portfolio of around 1,000 loans, which have a total face value of $537 million.
A return of between 55 to 70 cents is expected for investors in a smaller Banksia-managed fund, Cherry Fund Limited, also in the hands of the receivers.
<a href="https://www.propertyobserver.com.au/https://www.propertyobserver.com.au/industry-news/victorian-non-bank-lender-banksia-securities-collapses/2012102657456" target="_blank">Banksia collapsed in October</a> putting $660 million of small investor debenture funds at risk.
In a new circular to debenture holders, McGrath Nicol receivers Tony McGrath, Joseph Hayes, Matthew Caddy and Robert Kirm report that a public marketing campaign to realise a portfolio of 565 loans commenced in the first week of February and that “strong interest has been received to date from a range of parties including significant financial institutions”.
“Whilst we are unable to disclose the likely sale price for the identified portfolio, we expect a positive outcome
“Following a staged process, we expect final offers to be received in late March 2013 and a sale announced and completed during April 2013.  Whilst this timeline may ultimately require extension, it has been structured to allow for a further significant distribution to debenture holders by 30 June 2013,” say the receivers.
The receivers have identified around 87 impaired loans with a face value of $167 million.
“As the loan book continues to be managed, it is likely that additional loans will become impaired.”
The receivers say they are working with Banksia’s impaired loans team to encourage repayment and/or refinancing and where this does not happen, they are taking enforcement action.
“The Receivers are undertaking an individually tailored realisation program for each impaired loan/security property to maximise the return to debenture holders.”
Apart from the efforts to realise the loan portfolio and sell Banksia properties, the receivers are also  working closely with “Securities Hold Co Limited in relation to the $11.2 million intercompany loan, and continuing to liaise with the liquidator of Lehman Brothers in relation to Banksia’s collateralised debt obligation portfolio”
Debenture holder have launched a class action in the Supreme Court of Victoria against Banksia and its related companies, their directors, auditors and the trustee.
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Banksia investors to get “significant” second payment in June as receivers aim to realise half of loan portfolio and sell defunct branches

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

Joel Robinson

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

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

Sammut secures approval for debut Brisbane apartment development in Toowong

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

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

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

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

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

Larry Schlesinger

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