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The Queensland government has listened to the pleas of the property industry and will extend the $10,000 Queensland building boost for a further three months.
Deputy premier and treasurer Andrew Fraser says the boost is beginning to make headway in the housing industry.
Figures put out by the Queensland government show a jump in applications received over the past three months, with application numbers now over 3,700 since the stimulus scheme kicked off on August 1 last year.
<table border="0" cellspacing="0" cellpadding="0"><tbody>
<tr>
<td width="155" valign="top">
Date
</td>
<td width="166" valign="top">
Applications received
</td>
</tr>
<tr>
<td width="155" valign="top">
August 26,2011
</td>
<td width="166" valign="top">
100
</td>
</tr>
<tr>
<td width="155" valign="top">
September 30,2011
</td>
<td width="166" valign="top">
569
</td>
</tr>
<tr>
<td width="155" valign="top">
October 28,2011
</td>
<td width="166" valign="top">
1,174
</td>
</tr>
<tr>
<td width="155" valign="top">
November 25,2011
</td>
<td width="166" valign="top">
2,038
</td>
</tr>
<tr>
<td width="155" valign="top">
December 30,2011
</td>
<td width="166" valign="top">
3,221
</td>
</tr>
<tr>
<td width="155" valign="top">
January 11, 2012
</td>
<td width="166" valign="top">
3,728
</td>
</tr>
</tbody></table>
The $10,000 grant is available to all home purchasers buying or building a new home worth less than $600,000.
A lobbying group made up of the Housing Industry Association, the Property Council of Australia, Master Builders Australia and the Urban Development Institute of Australia has been calling on the Queensland government to extend the boost, as has property developer Stockland.
Speaking to Property Observer, Kathy McDermott, executive director of the Queensland division of the Property Council of Australia, says while the state’s housing sector has shown some signs of improvement in lending approvals in October and November, it is “still in critical condition”. 
“The market is still very distressed and needs support,” she says. 
McDermott says the boost has taken time to gain momentum but the reduction in interest rates in November and December has helped. 
She points to the recent PCA/ANZ property industry sentiment survey, which <a href="https://www.propertyobserver.com.au/residential/australian-property-market-confidence-highest-in-resource-rich-areas-pca-anz-survey/2012011153018" target="_blank">showed that there has been a “nice improvement” in confidence</a> in Queensland, with the state’s confidence index rising above the national average in December – it was below the national average in September. 
The extension has also been welcomed by HIA Queensland executive director Warwick Temby who says it will "help the home building industry to gather some momentum and build on the early signs of recovery late last year".
"The Boost had played a part in rekindling interest in building a home.  Combined with the lift in affordability from lower interest rates and fierce competition among builders, the Boost has made it a great time for building a new home," says Temby.
“This timely announcement will help to set the scene for a much needed lift in activity from the thirty year lows the industry experienced in 2011.
“HIA had been concerned that the Christmas and New Year break was making it difficult for builders to finalise contracts to meet the previous end January deadline.  The three month extension has removed this problem for the industry.
Treasurer Andrew Fraser acknowledges that industry representatives had come to him asking for an extension to the boost, “and that's what we'll provide”.
"They've said to me, and the recent application numbers show, that the boost is increasingly gaining traction with potential buyers.
"Official interest rates have been lowered in recent months, and with the possibility of even more cuts, this $10,000 grant for buying or building a new home means it's never been more attractive to sign on the dotted line and support the state's housing industry.
"A first-home owner also gets the $7,000 state-funded first-home owner's grant and zero stamp duty if the home is worth less than $500,000.
"An end date of April 30 will give developers and builders and extra three months to market the boost and give the housing industry the kick-start it needs."
Fraser says the initial budget allocation of $140 million will cater for the time extension.
"So far we've seen over 3,700 applications for the building boost. There is obviously room within the budget allocation to accommodate the uptake in interest we expect over the next three months.
"Every housing stimulus package always has a large increase in interest at the back end of the time period, with many applications coming in after the end date."
"The HIA Home Sales report shows that Queensland is the only state that has increased the number of new home sales each month from August to November (the most recent month data has been collated for).
"I expect that momentum to swing through December and January and into the next few months as well.
"Building approvals data this week also showed growth for houses.”
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Queensland government to extend building boost until April

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The Commonwealth Bank has agreed to change the way it advertises its “Wealth Package” home loans due to concerns from ASIC that ads promoting the product did not mention the $350 annual fee in the advertised comparison rate.
The Wealth Package is offered to existing customers who already have a Commonwealth Bank mortgage of at least $150,000.
ASIC said rates used in ads were incorrect and potentially misleading. “Under the National Credit Code, credit ads that include an annual percentage rate must also include a comparison rate. Comparison rates incorporate the fees, charges and interest relating to a loan to better reflect the true cost of credit,” the regulator said. “ASIC was concerned CBA’s home loan ads promoting its Wealth Package loans did not include the Wealth Package $350 annual fee in the advertised comparison rate. “When promoting a package loan, any fee in connection with a loan to qualify for the advertised annual percentage rate must be included in the comparison rate. Not including all fees and charges results in a comparison rate not reflecting the loan’s true cost.” ASIC commissioner Peter Kell says comparison rates help consumers work out the actual cost of credit.
“It can be difficult for people to compare home loans with different combinations of interest rates and fees. This is why credit providers must include the comparison rate when they advertise a rate or a weekly payment for a home loan, and ASIC will be active to ensure compliance in this area,” Kell says.
“Consumers will be more confident if they have information that allows them to properly understand and compare financial products.”
Later this year, ASIC will release a consultation paper on advertising of credit products.
The slap on the wrist for the CBA comes soon after the <a target="_blank" href="/news">launch of home loan key fact sheets</a>, which credit providers must offer customers on request.
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CBA changes home loan ad after ASIC complaint

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Office and industrial property values are expected to increase in the first quarter of 2012, but further declines are forecast for the already struggling retail and tourism property sectors, the latest Property Council of Australia (PCA)-ANZ Property Industry Confidence Survey has revealed. 
“Weak retail and tourism industry conditions are expected to negatively impact capital growth in these sectors, with the balance of property industry respondents across Australia expecting prices to decrease in March quarter 2012 in both tourism and retail property,” the report says.
The divergence in expectations across sectors and markets is attributed to “varying domestic economic performance across industries and states/territories and the respective property market fundamentals”.
Growth expectations are strongest for office and industrial property in WA, Queensland and the Northern Territory.
<img src="/images/stories/commercialgrowth.gif">
Source: PCA-ANZ
Across the commercial sector, capital growth expectations are more optimistic for WA than in any other state. 
“Positive expectations for the Queensland office and industrial property sectors are welcome after the Queensland economy endured a tough 2011,” the report says. 
The capital growth outlook is negative across all commercial property sectors in South Australia, Tasmania and ACT. 
Despite the mixed outlook, ANZ believes the commercial property market is in “the early stages of a multi-year cyclical upswing, with rents set to rise and yields to compress”. 
“The office and industrial markets are particularly well placed with tight vacancies, limited capacity expansion and attractive yields expected to support growing investor interest and a marked increase in valuations as rents rise and yields compress.
“However, considerable uncertainties in Europe, the Middle East, the US and China threaten economic and financial market stability and will continue to weigh on investor sentiment and property yields through 2012.
“Consumer restraint, reduced workspace ratios, employer caution and potential job shedding, all present significant risks to commercial property demand.”
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Office and industrial sectors to lead commercial property growth in 2012: PCA-ANZ survey

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Property market participants have more confidence in and growth expectations for Australia’s resource-rich states and territories, according to latest Property Council of Australia (PCA)-ANZ Property Industry Confidence Survey.
The PCA-ANZ property industry confidence index increased at the national level from 104 in September to 107 in December (neutral being 100), but “there was increasing divergence in property industry confidence across the states”. 
“Resource-sector states (WA, Queensland, Northern Territory, South Australia) are indicating the greatest confidence, while Victoria, ACT and Tasmania are indicating the lowest confidence,” says ANZ and the PCA.
<img src="/images/stories/confidence2.gif">
Source: PCA-ANZ
The Northern Territory registered the biggest jump in confidence over the last quarter of 2011 and has the highest rating on the confidence index, followed by Western Australian and Queensland, which both recorded strong gains. 
There was also a small lift in South Australia, where a number of big projects are in the pipeline. 
On the other hand, confidence fell below the 100 mark in Victoria, Tasmania and the ACT, which do not have strong ties to the resources boom. 
Reflecting a weak property market and poor job and tourism prospects, Tasmania property participants have the gloomiest outlook of all states and territories. 
While confidence in the property market in NSW declined over December, it remains above the neutral 100 mark. 
Survey respondents expect residential prices to fall further in the March quarter in all states and territories bar the Northern Territory, despite back-to-back November and December rate cuts and an increasing likelihood that the RBA will cut rates further in early 2012. 
The outlook for residential property values improved strongly in Western Australia and Queensland though remained below the 100 mark, and there were also gains in NSW.
<img src="/images/stories/residentialgrowth.gif">
Confidence in the property market fell furthest in Victoria over the quarter, with 61% of industry respondents expecting residential prices to weaken in the March quarter compared with 54% in the previous quarter. 
“The data indicate the significant negative impact of ongoing economic and global financial market uncertainty that is weighing on housing market confidence and expectations,” says ANZ and the PCA. 
ANZ expects house prices to ease further into 2012 but maintains a “cautiously optimistic medium-term house price view supported by a robust economic outlook, limited forced selling, improved affordability and an ongoing tightening of the Australian housing demand/supply balance”. 
The survey also revealed that the property industry expects the RBA to cut interest rates further in the March quarter of 2012.
 
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Australian property market confidence highest in resource-rich areas: PCA-ANZ survey

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Regional towns linked to the mining industry are expected to again be among the top-performing property markets in Australia in 2012, according to hotspotting.com.au director Terry Ryder.
Ryder has picked five mining towns (Port Hedland, Newcastle, Bowen, Whyalla and Darwin) among the best prospects for 2012 even though he warned investors to avoid mining towns in general on a list of No-Go Zones he compiled in August last year.
The 2011 no-go list included the mining towns of Kalgoorlie and Mount Isa.
“Mining towns have great allure for property investors because they often provide high rental returns and rapid capital growth,” Ryder <a target="_blank" href="https://www.propertyobserver.com.au/queensland/mining-towns-not-rivers-of-gold-terry-ryder/2011081051115">said at the time.</a>
“But mining towns are among the most perilous locations for investors. They sit at the extreme far end of the risk spectrum. Mining towns have volatile markets that depend on buoyancy in the resources sector,” he said in August 2011.
“Often the prices and rents in mining towns are sustainable only while a resources boom lasts.”
This time around he again warns that despite the “often spellbinding” appeal of resources boom-related towns for property investors, “there are risks to be heeded – most notably in locations that are dependent solely on the fortunes of a single project”.
In his current list Ryder also warns that the increasing trend of FIFO (fly-in, fly-out) workers poses growing potential risks for those investing in real estate in mining towns.
Despite this, he says the performance and future prospects of property investment in mining towns cannot be ignored.
Ryder has highlighted <a href="https://www.propertyobserver.com.au/hotspots/hotspot-newcastle-tipped-for-strong-growh/2011062950648" target="_blank">Newcastle, heart of the NSW coal-mining industry</a>, as Australia’s “most under-rated market” and Port Hedland in the <a href="https://www.propertyobserver.com.au/residential/pilbara-mining-rents-the-seven-most-expensive-wa-boom-towns/2011113052624" target="_blank">iron-ore rich Pilbara region</a> of northern Western Australia as Australia’s “most remarkable property market” in the January 2012 edition of The Ryder Report.
“While it has a lingering image of smoke stacks and hard times, in reality Newcastle is a prosperous city with a pumping economy and a great lifestyle, which presents as a viable affordable alternative to Sydney. Most Newcastle suburbs recorded price growth in 2011 and some delivered double-digit growth,” Ryder says.
The <a target="_blank" href="https://www.hotspotting.com.au/">hotspotting.com.au</a> director describes Port Hedland as having “the most extraordinary property market, with house prices rising an average 22% per year for the past 10 years and the median price now $1.04 million”.
“Just when you think they can’t go any higher, they do. The median price rose 11% in 2011. Despite these ridiculously high prices, you can still get 10% yields because typical rents are above $1,800 per week. There is no other market like this in Australia,” he says.
In Queensland, Ryder names <a href="https://www.propertyobserver.com.au/queensland/gladstone-queensland-s-top-performer-reiq/2011082451272" target="_blank">perennial hotspot favourite Gladstone</a> – location of some of Australia’s biggest long-term resource projects, including a $41 billion coal mining project scheduled to run from 2011 to 2020 – as the star performer of 2011 and Bowen, 1,100 kilometres north of Brisbane, as the state’s rising star of 2012 because of its “important role in the Queensland coal industry”.
“[Bowen’s] prospects were enhanced late in 2011 when the state government announced a super-sizing of Abbot Point. With six new coal terminals to be built, it will be one of the biggest export facilities in the world,” Ryder says.
In NSW, the <a href="https://www.propertyobserver.com.au/residential/mining-boom-drives-up-nsw-hunter-valley-rents/2011113052623" target="_blank">mining-rich Hunter Valley</a> is Ryder’s pick as the state’s top performer of 2011 while he believes Whyalla in South Australia will be the state’s star performer in 2012, labelling it the “Gladstone of South Australia”.
“It’s the largest regional centre in the state, it’s affordable and it will play a key role in the $30 billion expansion of Olympic Dam. A new export port is being planned there, as well as a $1 billion rare earths processing plant,” he says.
Both Ryder’s top picks in the Northern Territory have mining links, with the small regional town of Tennant Creek chosen because of its “cattle properties, tourist attractions and mining sites”. He also nominates the capital Darwin as the best territory prospect for 2012 on the back of the $30 billion Inpex onshore gas project almost certain to proceed after gaining both territory and federal approval. Ryder also says the decision to station 2,500 US military personnel in Darwin will boost market confidence. 
Regional towns not tied to the resources boom and suburban markets also make the January list including the unfashionable outer western Sydney suburb of Blacktown (his top NSW pick for 2012).
“Blacktown will continue its steady emergence as an underrated star of the Sydney market. First-home buyers are starting to return in numbers to the Blacktown LGA, which includes Seven Hills and Quakers Hill. It is also a population growth leader, has good transport links and is close to major jobs nodes,” says Ryder.
He also picks the Melbourne suburb of Melton as the rising star of the Victorian market of 2012, with the regional town of Ballarat the state’s star performer of 2011.
“A strong regional centre within commuting distance of Melbourne, Ballarat had a strong year while much of Melbourne was struggling. A number of Ballarat suburbs recorded double-digit growth in median house prices. The city’s prospects are set to get stronger, with the Regional Rail Link, multiple wind farms and a new cancer centre coming up,” he says.
He describes Melton as the most affordable region of the city housing market with good transport connections to central Melbourne and which will be boosted by urban renewal developments.
The southern Perth region of Murdoch is picked as the star performer of 2012 due to being a “cluster of middle-priced suburbs around a major university-hospital precinct”, site for the $2 billion Fiona Stanley Hospital currently under construction as well as the recently released eight-hectare mixed-use “Murdoch Mix” precinct which will include 220,000 square metres of commercial offices, allied health services, retail, residential and short-stay accommodation planned until 2031.
The full list is:
 
QUEENSLAND:
Star performer of 2011 – Gladstone
Rising star in 2012 – Bowen
 
NEW SOUTH WALES:
Star performer of 2011- The Hunter Valley
Rising star in 2012 – Blacktown
 
VICTORIA:
Star performer of 2011 – Ballarat
Rising star in 2012 – Melton
 
WESTERN AUSTRALIA
Star performer of 2011 – Port Hedland
Rising star in 2012 – Murdoch precinct
 
SOUTH AUSTRALIA:
Star performer of 2011 – Ceduna
Rising star in 2012 – Whyalla
 
NORTHERN TERRITORY:
Star performer of 2011 – Tennant Creek
Rising star in 2012 – Darwin
 
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Mining towns could be 2012 property hotspots: Terry Ryder

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John McGrath will remain on the board of the REA Group, which owns Australia's largest property website, realestate.com.au.
As chief executive of McGrath Estate Agents he is now the only board member directly connected to the real estate industry, following Sam White’s decision to step down earlier this week to focus on the <a href="https://www.propertyobserver.com.au/industry-news/sam-white-quits-rea-board-to-focus-on-the-family-business/2012010952996">Ray White family’s real estate and mortgage broking businesses.</a>
White, deputy chairman of the Ray White Group and executive chairman of Loan Market, quit the board on January 9 without notice after nearly nine years as a non-executive independent director and member of its HR committee, fuelling industry speculation that Ray White might throw its support behind a rival website.
Following White’s departure, McGrath is now one of only three independent directors on the board, the others being Roger Amos, director at Austar, and Kathleen Conlon, a non-executive director at CSR Limited.
The other board members are chairman Richard Freudenstein (CEO of Foxtel); REA Group managing director Greg Ellis, News Ltd executives Diana Eilert, John Pittard and Stephen Rue; and Rebecca Liatis, the company secretary.
The board of REA Group will consider the appointment of a new independent non-executive director to replace White early this year.
McGrath is the longest-serving board member, having joined in September 1999.
He is also a member of the HR committee and attended all nine board meeting in the 2011 financial year.
McGrath estate agents specialise in high-end property sales and rentals in Sydney and NSW with smaller operations in Queensland and the ACT.
There are currently about 800 properties listed on the McGrath website.
The company also provides mortgage broking services through its Oxygen Home Loans division.
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John McGrath to retain seat on REA Group board after Sam White's departure

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Mortgage broker Mortgage Choice says home loan key fact sheets are a good starting point for making mortgage comparisons, but are not a comprehensive tool. 
Since January 1, 2012, lenders must provide customers with a home loan key facts sheet, setting out the details of the mortgage they may apply for including the interest rate, loan amount, fees, total cost of the mortgage (including interest), how much mortgage repayments will rise if the interest rate rises by 1% and ways to pay off their home loan faster. 
The fact sheet requirement is aimed at making it easier for borrowers to compare mortgage products and is part of the government’s banking reforms program, which also includes the ban on exit fees on variable-rate mortgages. 
The home loan key facts sheets do not constitute an offer to provide credit.
According to Belinda Williamson, acting head of corporate affairs at Mortgage Choice, the introduction of the fact sheets are a positive step but “only address one part of the home loan comparison process”. 
“While they do help borrowers assess the cost of a specific home loan product in comparison to others, they do not present a comprehensive comparison of the home loan's features such as the availability of a redraw facility, an offset account, etc. and the impact these may or may not have on the total cost of the loan,” Williamson says. 
“They also do not go to the extent of demystify specific loan types (such as interest only versus principal and interest, line of credit, etc.).”
Mortgage Choice brokers will provide lenders' key facts sheets to borrowers on request. 
“When choosing a loan it is important that borrowers compare all aspects of a home loan including the interest rate, any upfront, ongoing and exit fees, the availability of loan features and the impact of these on the total cost of the loan, the accessibility of the lender (e.g. do they have online banking, local ATMs, etc.) and the lender’s service quality,” Williamson says. 
Example (click to enlarge):
<a title="Click to enlarge" rel="shadowbox" href="/images/stories/keyfactbankwest.gif"><img src="/images/stories/keyfactbankwestthumb.gif"></a>
 
Damian Smith, CEO of comparison website RateCity.com.au, says the fact sheets will make it easier for borrowers to “compare apples with apples before they apply for a home loan”. 
"Anything that simplifies the lending process and encourages greater transparency in the home loans market is a good thing for competition. 
"The fact sheets will be standardised so lenders will be required to provide borrowers with information in the same way, making the comparison process easier. This will help first-time borrowers in particular compare loans side by side, and give them just a little more bargaining power – which is a good thing," he says.
The initiative has the support of consumer group Choice, with its head of campaigns Matt Levey calling the introduction of home loan key fact sheets “a welcome step towards transparency, allowing consumers to more easily compare mortgage products on their merits”.
“Choice has campaigned strongly for reforms to increase competition in the banking sector, and one of the most powerful ways to do this is to make consumers more mobile, able to seek out better deals and move their money” says Levey.
“Key fact sheets are part of this equation, along with measures like the ban on mortgage exit fees and steps to improve confidence in smaller lenders.”
Levey says they are part of the solution to overcome the perception revealed in Choice consumer surveys that there is too much hassle and little benefit in switching mortgages, “by making the switching process more straightforward, and making it easier to compare different deals in the market place on similar terms”.
“Experience tells us that those consumers who do switch often find the process easier than they expected, and that those who shop around often find better deals,” he says.
Though not obligated to do so, mortgage franchise RAMS – part of Westpac –will publish key fact sheets on its website. 
“This will enable consumers to compare the strength of the RAMS product set against the major banks products,” a spokesperson for the franchise says. 
Australia biggest mortgage lender, the Commonwealth Bank, is backing the scheme with a spokesperson saying it is “important to provide customers with the information they need to make informed financial services decisions”. 
For more information on the new home loan fact sheets visit <a target="_blank" href="https://www.bankingreforms.gov.au/content/Content.aspx?doc=homeloan.htm">the government’s website</a>. 
 
 
 
 
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Home loan key fact sheets just a good starting point for borrowers: Mortgage Choice

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Building approvals rose 8.4% in November on a seasonally adjusted basis, following a fall of 10% in the previous month, according to the latest ABS figures.
Despite the strong turnaround in November, approvals remain almost 19% below the level reached a year earlier.
In total 11,424 dwelling were approved for construction in November on a seasonally adjusted basis, with the number of houses approved for construction rising 4.8% to 7,469 while the more volatile units sector increased by 17.2% to 3,762 dwellings.
Westpac called the November result “better than expected, though still only a partial, rebound in November”.
“The November partial rebound … still leaves a strong trend decline in place, but the picture is considerably better than that in October. 
“That detail shows solid rebounds in key areas that were of concern last month, including: private sector houses, +4.8%, retracing two thirds of the previous month's decline; and Victoria up a staggering 40% for the month basically reversing all of the slump over the previous two months. 
“The bounce in Queensland though was less pronounced with a 6.6% monthly rise only recouping a little of the 30% slump over the previous two months. 
“WA also saw a sharp 16.9% drop although this looks unlikely to mark the start of renewed weakness with the state recording accelerating mining-led growth a turnaround in population growth and tightening housing supply. 
“NSW posted a 1.9% monthly rise but had been much more resilient in previous months,” Westpac says.
Earlier this week, the <a href="https://www.propertyobserver.com.au/residential/new-home-sales-rise-6.8-in-november-as-interest-rates-decline-but-experts-warn-still-more-work-to-do-in-2012/2012010952984" target="_blank">HIA reported a 6.8% increase in new home sales</a> following the November rate cut, but both it and <a href="https://www.propertyobserver.com.au/residential/builders-gloomy-about-year-ahead-mba/2012010952992" target="_blank">Master Builders Australia say the 2012 outlook is poor </a>and are urging further rate cuts and government stimulus measures to help residential construction.
 
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Units lead 8.4% jump in building approvals in November: ABS

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Resolute silence from both real estate company Ray White and the wider industry has followed Sam White’s decision to quit the board of the REA Group, publisher of site realestate.com.au.
White quit the board after nearly nine years as a non-executive director. He was also a member of its HR committee.
His decision to step down has fuelled speculation that Ray White might throw its support behind a rival website.
Ray White, which has about 1,000 offices in Australasia, is a shareholder in Property Page, along with LJ Hooker, Raine &amp; Horne and Century 21.
Property Page owns homehound.com.au with the Hannan family’s media and printing company, Independent Print Media Group.
In July 2009, Ray White ceased being a major shareholder in REA, selling most of holding for $77.6 million. It had been a major shareholder in REA, which operates realestate.com.au. It had acquired its 15.8% stake from Macquarie Bank in 2002.
News Limited owns 59% of REA, and Sam White retains a small holding of 0.44%.
Neither Sam White nor Ray White could be reached for comment yesterday, and other industry players declined to comment.
A spokesperson for the REA Group told Property Observer it had nothing further to add “at this moment” to a media release in which it thanked White for being a “vital member of the board since 2002, helping to guide the company in its transition from a small listed business to a market capitalisation of around $1.5 billion today”. 
The media release says White has stepped down “to focus on his family business, the Ray White Group”. 
The most recent REA annual report reveals that White attended just five out of nine board meeting in the 2011 financial year –fewer than all other board members, which include McGrath Real Estate boss John McGrath, the only other board member with direct ties to the real estate sector. 
White is the executive chairman of the Ray White’s mortgage broking arm, the Loan Market Group, which has grown into one of the largest aggregators with about 600 brokers writing about $600 million in mortgages each month.
In October last year <a target="_blank" href="https://www.propertyobserver.com.au/news/real-estate-agents-planning-rebellion-against-rea-dominance/2011062350577">REA came under attack from industry players</a> over accusations that it was abusing its dominant market position to push through excessive price rises. It also angered agents by announcing that it would directly approach real estate agents’ clients to upsell ads.
Realestate.com.au has also faced more competition in the listings space with emergence of realestateview.com.au, which is operated by the state real estate institutes and which added to its NSW and Victoria sales teams in December.
In August last year, <a target="_blank" href="https://www.propertyobserver.com.au/western-australia/west-australian-launches-localised-rea-rival/2011080150973">the West Australian newspaper group and the Real Estate Institute of Western Australia set up their own listings website</a> for the WA market. The website, <a target="_blank" href="https://www.westrealestate.com.au/">www.westrealestate.com.au</a>, is owned by West Australian newspapers, with content and listings provided by the REIWA and its members.
A month later, the Real Estate Institute of Queensland began including state property listings on its website for the first time as part of a revamped website. Only members of the institute are able to list their properties on the website.
The increased competition has had little impact though on REA, with the group revealing revenue up 23% to $238.4 million in its 2011 annual results and net profit after tax up 37% to $67.5 million.
REA earns three-quarters of revenue from 9,500 estate agents who pay to list their properties on realestate.com.au and its other affiliated websites.
The company reported close to 200 million page views in the 2011 more than double that of its nearest rival Domain.com.au (91 million page views), which is owned by Fairfax.
Real estate commentary website Business2 reports that Domain.com.au has advised some clients it will increase advertising rates from February 1, 2012, with Andrew Blachut from PropertyNow.com.au saying the increase “is the equivalent of filling ones petrol tank today for $60 and then going to the petrol station tomorrow and being charged $1,800”.
Just before Christmas <a target="_blank" href="https://www.propertyobserver.com.au/industry-news/fairfax-pays-%2435-million-for-half-of-the-weekly-review/2011122352946">Fairfax paid $35 million to acquire a 50% share in Antony Catalano’s Metro Media Publishing business</a>, publisher of Melbourne real estate advertising vehicle The Weekly Review.
 
 
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Sam White quits REA board to focus on the family business

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Mortgage franchise RAMS is looking to entice new borrowers in the slow month of January by cutting application fees on all its mortgage products.
“Apply for a RAMS Home Loan by 31 January 2012 and we’ll drop the application fee. Yes, we’re offering a $0 home loan application fee across our entire range of new loans – saving you $$$s!” says a message on the RAMS website.
The lender is particularly strong among first-home buyers.
RAMS, which is owned by Westpac, passed on both the November and December rate cuts in full.
The lender offers a standard variable rate of 7.18%, undercutting all the major banks.
NAB is the cheapest major lender, with a rate of 7.22%
Westpac’s standard variable rate is 7.36%.
 
 
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RAMS eliminates mortgage application fees in January

The Gold Coast economy has grown by 25 per cent since 2020/21 to surpass $55 billion, but perhaps the more significant story is what sits behind the headline number.

For decades, the Gold Coast has been viewed through the lens of tourism, lifestyle and population growth. The latest State of the City Report suggests that perception is increasingly out of step with reality.

Released by Invest Gold Coast, the report ranks the Gold Coast as Australia's largest non-capital city economy and, perhaps more notably, second nationally behind Sydney for Economic Complexity, a measure that assesses the diversity and sophistication of an economy.

It's a result that places the Gold Coast ahead of Melbourne, Brisbane, Perth and Adelaide, highlighting the extent to which the city's economic base has broadened beyond its traditional industries.

Today, the Gold Coast supports more than 350,000 jobs, is home to over 83,000 businesses and generates $19 billion in annual exports. Manufacturing now accounts for 62 per cent of international export growth, while sectors including health, education, advanced manufacturing, technology and professional services are becoming increasingly important contributors to the local economy.

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Gold Coast Mayor Tom Tate said the report confirmed the city's evolution into one of Australia's most significant economies.

"The Gold Coast economy continues to grow at an incredible pace. This is no surprise to those of us who have watched the evolution up close," Mayor Tate said.

"As one of the most entrepreneurial, investment driven and opportunity focused economies in the country our ambition has been realised and possibilities are endless.

"The Gold Coast has built a reputation as the city that says yes. We say yes to investment, yes to opportunity and yes to people who want to build something.

"It's this mindset helping us drive major growth across health, advanced manufacturing, screen production, marine, technology and the knowledge economy."

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While population growth has been one of the defining stories of the past decade, the report points to a broader economic transformation taking place.

The city's knowledge economy now contributes $7.9 billion annually and supports around 31,000 jobs, while the health and wellbeing sector contributes $5.2 billion and employs more than 42,000 people. Together, the six priority sectors identified in the report account for almost $24 billion in economic output and more than 145,000 jobs.

One of the strongest examples is the Gold Coast Health and Knowledge Precinct at Southport. The 200-hectare precinct now contains more than $5 billion worth of health, education, research and innovation infrastructure and supports over 16,000 jobs.

The report also highlights the growing role of advanced manufacturing, particularly in aerospace, defence and modular construction.

Gold Coast-based Gilmour Space Technologies recently became the first Australian commercial company to attempt an orbital launch, while companies including Modscape and ModnPods are helping establish the Yatala-Stapylton corridor as one of Australia's fastest-growing advanced manufacturing hubs.

The city's entrepreneurial culture is also translating into business growth.

Since 2019/20, the number of businesses operating on the Gold Coast has increased by 22 per cent, while firms employing more than 200 people have grown by 80 per cent. The report suggests the next challenge is converting more local start-ups and medium-sized businesses into nationally significant companies.

Development activity remains another key indicator of confidence.

There are currently more than $23 billion worth of major projects underway across the Gold Coast, supported by a record 75 active cranes, a figure that now exceeds Brisbane and represents a 150 per cent increase since 2016.

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Importantly, the report notes the next phase of investment will need to extend beyond residential development.

While 93 per cent of crane activity is currently tied to housing, Invest Gold Coast argues future investment will increasingly need to focus on cultural, civic, infrastructure and industry-enabling projects that strengthen the city's long-term economic resilience.

Invest Gold Coast Chair Will Hodgman said the city was now benefiting from years of economic diversification.

"What is happening on the Gold Coast is the result of the city's economic base broadening, fuelled by industries with long-term, high-growth potential," Mr Hodgman said.

"This is no longer a secondary Australian economy, the Gold Coast is becoming a globally connected city with deeper capability across health, knowledge and creative industries, advanced manufacturing, technology and exports."

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Looking ahead, the Gold Coast's population is projected to exceed one million residents by 2046.

For a city that was once largely defined by tourism and lifestyle, the latest figures suggest the Gold Coast is becoming something more significant, one of Australia's most diverse and economically sophisticated urban economies, and increasingly one that national and international investors can no longer afford to overlook.

Joel Robinson

75 cranes, $23 billion pipeline and a $55 billion economy: Inside the Gold Coast economic boom

Ron Bakir's Homecorp has sold more than 75 per cent of the apartments in its wellness-driven Florence Residences in Surfers Paradise following its first weekend release.

The <a href="https://www.apartments.com.au/new-apartments/florence-residences-24-monte-carlo-avenue-surfers-paradise-qld-4217">26-storey project on Monte Carlo Avenue</a>, which commenced construction earlier this year, has seen a flurry of buyers secure their slice of the Gold Coast's latest wellbeing-focused offering in one of the nation's most competitive property markets.

Since the pandemic, the Gold Coast's population has grown by more than 11 per cent, a rate approximately four times faster than Sydney's, driven largely by lifestyle changes and interstate migration. While buyer activity has moderated in some markets nationally, demand for newly built dwellings on the Gold Coast continues to gain momentum as purchasers increasingly prioritise lifestyle, amenity, wellbeing, liveability and long-term investment potential.

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Homecorp CEO Ron Bakir says buyers today are looking for more than just a home.

"What we are seeing is a shift in how people define value in property," Bakir says.

"What attracts residents to new developments is a desire for more than just a residence. They are looking for a place that complements their lifestyle, supports their wellbeing and reflects the way they want to live into the future.

"Lifestyle, longevity, proactive health, wellbeing, connection and a sense of community are increasingly shaping purchasing decisions, particularly on the Gold Coast, where these factors continue to be a major drawcard."

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Bakir says Homecorp is responding to this shift through an approach that places greater emphasis on design, amenity and experience working together to create places that feel considered, connected and enduring in value.

Inspired by Eastern European design, Florence Residences will comprise 120 apartments alongside a private residents-only wellness club featuring a resort-style rooftop pool, hot and cold plunge pools, a spa retreat, contemporary gymnasium, and a spacious yoga and Pilates studio.

The development will also feature a residents-only lounge with private dining facilities and a rooftop bar, premium outdoor entertaining areas, a hotel-style lobby lounge, generous bike parking, and pet-friendly amenities including a heated dog wash.

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A limited number of apartments remain available, with an exclusive collection of four-bedroom sub-penthouses set to be released in the coming months.

Florence is one of the latest additions to Homecorp's expanding multi-billion-dollar property portfolio, which also includes plans for a <a href="https://www.apartments.com.au/news/qld/homecorp-lodges-plans-for-260-million-moroccan-bathhouse-inspired-tower-in-budds-beach">$260 million development in Budds Beach</a> tailored to the growing wellness market.

A development application has been lodged for a 27-storey, 156-residence tower at 8–10 Acacia Avenue and 25–27 Oak Avenue, featuring a residents-only Moroccan spa-inspired sanctuary.

Apartments at Florence Residences are priced from $1,249,000, with construction expected to be completed by late 2027.

[smartcode_project_cta:default project_id=150414]

Buyers rush to Homecorp's Florence Residences as Gold Coast wellness trend gains momentum

The NSW Government has expanded its $1 billion Pre-sale Finance Guarantee program, broadening access for affordable housing providers and smaller residential developments as it seeks to accelerate housing delivery across the state.

The Minns Government says the program has already helped bring forward more than 600 homes across Sydney and regional NSW since launching in September 2025, with similar models now adopted in South Australia and Western Australia.

The latest changes, announced by Treasurer Daniel Mookhey and Minister for Planning and Public Spaces Paul Scully, are designed to improve access to finance for projects that have planning approval but are struggling to secure funding.

Among the key changes is an expansion of support for community housing providers. The program will now support up to 100 per cent affordable housing projects valued at up to $30 million when delivered by not-for-profit providers, while support for larger affordable housing developments will increase for projects worth up to $80 million.

The government says the changes will help accelerate the delivery of housing for low-income workers, older people, people living with disability, and those at risk of homelessness, while reducing reliance on direct grants or subsidised loans to bridge funding gaps.

The eligibility criteria for smaller residential developments have also been broadened. The previous $5 million minimum project value threshold has been removed and replaced with a requirement that projects deliver at least four homes.

Support has also increased for projects delivering fewer than 20 homes, with the guarantee now able to cover up to 75 per cent of dwellings in a development, capped at $30 million per project.

The changes are expected to particularly benefit smaller-scale and regional developments, which often face greater challenges meeting pre-sale requirements imposed by lenders.

Treasurer Daniel Mookhey said the scheme demonstrates how government can use its balance sheet to stimulate housing supply without relying solely on taxpayer-funded grants.

"The Pre-sale Finance Guarantee shows how this Government is using its balance sheet to reduce risk and unlock private investment, enabling new homes to move from design to construction faster," Mookhey said.

"This landmark reform allows us to deliver homes for working families at a lower cost to taxpayers, while also maintaining strong financial discipline."

Planning Minister Paul Scully said the program had already proven effective in bringing stalled projects to market.

"The Pre-sale Finance Guarantee has already proven it can unlock stalled projects and accelerate housing delivery by giving lenders the confidence they need to back good developments," Scully said.

"These changes will allow more affordable housing and smaller developments to access support so more homes can be built faster where communities need them most."

Housing Minister Rose Jackson said the expansion would help community housing providers overcome financing barriers that often delay projects.

"We know community housing providers are ready to build more homes, too often they're held back by barriers to finance," Jackson said.

"Expanding the Pre-sale Finance Guarantee helps remove those barriers so more affordable homes can get off the ground sooner."

The announcement was welcomed by the Property Council of Australia, which has long advocated for measures aimed at improving project feasibility and access to finance.

Property Council NSW Executive Director Katie Stevenson described the expansion as a practical intervention that addresses one of the most immediate constraints on housing delivery.

"This is exactly the kind of practical intervention we need right now, focused on getting projects out of the ground, not just approved," Stevenson said.

"It builds on a model the Property Council has worked closely with government to develop following calls for such a scheme ahead of last year's NSW Budget, so it's great to see it being expanded."

Stevenson said the reforms would help unlock projects that are ready to proceed but have been delayed by financing challenges. However, she noted that broader feasibility issues remain a significant barrier to increasing housing supply.

"The biggest challenge in NSW housing today is delivery. Too many projects have planning approval but are simply not financially viable to proceed under current settings," she said.

Speaking at the Property Council's NSW Housing Summit, Housing Minister Rose Jackson acknowledged that feasibility and financing pressures continue to constrain housing delivery, while reaffirming the government's commitment to work with industry on solutions.

Stevenson said the government's recognition of those challenges was encouraging ahead of next week's state budget.

"It's positive to see the government clearly recognising that feasibility pressures are now a binding constraint on supply," she said.

"With the Budget just days away, the focus must be on backing delivery, making sure projects stack up, finance can flow, and more homes can move from approval to construction."

The expanded Pre-sale Finance Guarantee forms part of the NSW Government's broader housing agenda, which also includes planning reforms, the NSW Housing Pattern Book, and a series of rezonings intended to increase housing capacity across the state.

NSW expands Pre-sale Finance Guarantee to unlock more affordable and regional housing

Design-led developer-builder Lowe Living has unveiled its latest residential development, Jardin House, marking its first foray into Melbourne's blue-chip City of Boroondara.

Located a short walk from Camberwell Junction, <a href="https://www.apartments.com.au/new-apartments/jardin-house-by-lowe-living-camberwell-335-camberwell-road-camberwell-vic-3124">Jardin House</a> has been designed to appeal to affluent local downsizers and established families seeking a low-maintenance alternative to the large homes that have long defined Camberwell and surrounding suburbs.

The project will comprise a collection of two and three-bedroom apartments ranging from 92 sqm to 280 sqm, alongside a limited number of penthouse residences featuring rooftop terraces spanning more than 100 sqm, with optional private pools.

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Lowe Living Co-Founder and Managing Director Tim Lowe said Camberwell represented a natural next step for the developer as it expands into some of Melbourne's most tightly held residential markets.

"Jardin House is an important project for our team as it marks the next evolution of our portfolio into different well-established blue-chip pockets of Melbourne," Lowe said.

"Camberwell, with its incredible walkability, family-led neighbourhood feel and superb access to education and transport, makes it a natural choice for us."

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Designed by Tristan Wong Architects, with interiors by Hecker Guthrie and landscaping by Acre, the development takes inspiration from the Art Deco architecture that remains a defining feature of many of Camberwell's established streets.

A curved facade, arched openings, textured brickwork and sculpted forms reference the suburb's architectural heritage, while extensive landscaping softens the building's presence and creates a strong connection to the surrounding tree-lined streetscape.

The project will be set behind a secure gated entrance, with residents arriving through landscaped gardens designed to create a transition between the public realm and private residences.

Inside, the residences feature natural stone and timber finishes, full-height glazing, Miele appliances and generous open-plan living areas designed for long-term owner occupation.

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While the apartments themselves have been designed to attract discerning owner-occupiers, it is the amenity offering that sets Jardin House apart from many other boutique projects currently launching across Melbourne.

The centrepiece is a 350 sqm private bathhouse curated in partnership with Aurora Spa &amp; Bathhouse founder Lyndall Mitchell.

The wellness precinct includes mineral pools, hydrotherapy experiences, a Himalayan salt room, sauna, steam room, cold plunge pools and dedicated relaxation spaces, creating what Lowe Living describes as a private wellness retreat exclusively for residents.

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The collaboration follows Lowe Living's recent partnership with Aurora at Maison Savoy in Brighton, although Jardin House is the first project to incorporate both indoor and outdoor wellness experiences.

Emma Lowe, Co-Founder and Managing Director of Lowe Living, said wellness was becoming an increasingly important consideration for apartment buyers.

"Collaborating with Lyndall Mitchell from Aurora Spa &amp; Bathhouse for a second time is an intentional nod to creating residences that are more than just homes, but a way to enrich the lives of our residents through wellness and longevity," Lowe said.

The amenity offering is complemented by a Technogym fitness studio, residents' lounge, private dining spaces and concierge services.

The launch comes as developers increasingly target Melbourne's established eastern suburbs, where rising land values, ageing housing stock and growing downsizer demand are creating opportunities for boutique apartment projects.

Lowe said the company expects significant generational wealth transfer across suburbs such as Camberwell in coming years, creating further demand for luxury apartment living.

"Camberwell is a blue-chip suburb where homes regularly transact for multiple millions of dollars," he said.

"The generational change of wealth in these locations expected in the coming years is significant, so we see an opportunity to create exclusive residences that appeal to older families and downsizers in order to meet this demand."

Apartments at Jardin house start from $1,195,000. The project forms part of Lowe Living's near-$1 billion portfolio of new developments across Melbourne.

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Lowe Living launches Jardin House in Camberwell

As <a href="https://www.apartments.com.au/developments/north-sydney-nsw-2060">North Sydney</a> continues its transition from a commercial centre into a more layered residential and lifestyle precinct, a new generation of apartment developments is reshaping expectations around scale, amenity, and long-term liveability.

Improved transport connections through the Victoria Cross Metro, continued investment in dining and public spaces, and a constrained supply of new luxury apartments have sharpened demand for homes that combine proximity to the CBD with the privacy and outlook traditionally associated with harbourside houses.

At 177 Walker Street, <a href="https://www.apartments.com.au/developers/aland">ALAND</a>’s new apartment development <a href="https://www.apartments.com.au/new-apartments/the-walden-north-sydney-177-walker-street-north-sydney-nsw-2060">The Walden</a> enters the market with a distinctly residential approach to high-rise living. The 30-level tower will deliver 161 residences, ranging from one-bedroom apartments through to sub-penthouses and a full-floor penthouse, all oriented to capture uninterrupted views across Sydney Harbour, the Opera House, and out toward the Pacific Ocean.

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Designed by <a href="https://www.apartments.com.au/architects/rothelowman">Rothelowman</a>, the project takes advantage of the site’s natural topography and elevated position above the harbour. Rather than relying on density alone, the architecture focuses on outlook, orientation, and spatial flow, with every apartment occupying a corner position to maximise natural light and cross ventilation.

Rothelowman says the site itself shaped much of the architectural response.

“The site has a long history in terms of its inevitable transformation and when we came in, we took inspiration from the idea of reestablishing a sense of the site’s natural terrain and fall. Our scheme aims to integrate with the terrain and the landscape, using the undulating site to slowly reveal glimpses and views of the harbour. The rotation of the tower off grid means every apartment has a view and is naturally cross ventilated. The building's colour palette is quintessentially Sydney, with bronze and sandstone and a luminescent green colour in the glass, making it very earthy and grounded in its location.”

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Inside the residences, the emphasis moves toward larger-format living typically associated with standalone homes. Kitchens sit at the centre of the apartments, connecting directly to open-plan dining and living areas before extending outward into expansive winter gardens and balconies. Calacatta marble, bespoke joinery, integrated appliances, and custom metal detailing are used throughout, while three distinct interior palettes, Terrace, Opera, and Harbour, allow buyers to personalise the spaces without compromising the architectural consistency of the project.

The larger residences place particular attention on separation between entertaining and private zones. In many apartments, master suites occupy the outer corners of the floorplates, allowing bedrooms to benefit from floor-to-ceiling glazing and harbour outlooks independent of the living spaces. Dressing rooms and ensuites continue the material palette through fluted detailing, freestanding baths, and layered stone finishes.

Rothelowman says the design intent centred on creating homes that feel enduring rather than transient.

“Our philosophy is all about the way people live in these spaces, and we wanted to create homes that reflect the quality of life in this unique Sydney location. The apartments showcase expansive living spaces that are generous, sophisticated, and bold, with the ability to connect with views throughout each apartment.”

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A separate four-storey amenity building known as The Pavilion expands the residential offering beyond the apartments themselves. Positioned alongside the tower, the building consolidates wellness, recreation, and social spaces into a dedicated resident retreat. Facilities include a 20-metre rooftop pool and sundeck, sauna, spa, ice bath, wellness studio, gymnasium, concierge service, wine cellar, residents’ lounge, private dining spaces, and dedicated co-working areas with meeting rooms and boardroom facilities.

The amenity mix reflects the buyer profile emerging in North Sydney, where owner-occupiers and downsizers are increasingly prioritising convenience, apartment scale, and long-term usability over purely investment-driven decisions.

The Walden also represents a significant milestone for ALAND, marking the company’s first major move into Sydney’s inner-city luxury apartment market after more than two decades delivering large-scale residential communities across Greater Sydney. Founder Andrew Hrsto says the Walker Street site stood apart because of both its positioning and its rarity.

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“As a company, we had been searching for a site in one of Sydney’s blue-chip locations, spanning the Eastern Suburbs, the Sydney CBD and the North Shore, and when we had the opportunity to purchase this site, we immediately recognised that it could be something iconic.”

At launch, The Walden recorded more than $103 million in sales, with buyers drawn to the project’s harbour positioning, apartment scale, and proximity to the Metro, which now connects North Sydney to Barangaroo in three minutes and Martin Place in five.

ALAND has commenced construction, and is expecting a completion date in 2028.

[smartcode_project_cta:default project_id=134323]

Larry Schlesinger

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