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The bounce to prestige property markets anticipated from the approval of signficant investor visas (SIV) could take a long time to filter through given very long processing times and a backlog of applications.
The Department of Immigration says that once it has developed the “organisational expertise for the new visa” it will take between six to nine months to process applications under a "business as usual" scenario.
Checks include assessing an applicants source of funds among a range of the usual background checks a spokesperson told Property Observer.
"The time to process each case will be different."
The department has revealed just two visas issued since the scheme was launched in November – one to a Chinese toymaker - with around 222 invitations issued to investors up to early June, 212 of them to Chinese investors.
The visas are available to offshore investors with at least $5 million to invest in approved schemes, which include Commonwealth, State or Territory government bonds, ASIC-regulated managed funds with a mandate for investing in Australia; and direct investment into Australian proprietary companies.
In NSW, applicants must invest a third of the $5 million in state government Waratah bonds, with the state hoping to use the scheme to fund infrastructure and road projects.
Direct property investments do not qualify, but <a target="_blank" href="/news">Dominic Ong, who heads up a new Knight Frank special significant visa team</a> specifically targeting wealthy Chinese investors, told Property Observer last month that he was showing Asian clients around some of the most expensive Sydney waterfront real estate.
The visas qualify the recipient with four-year’s residency without needing to be proficient in English or meet other traditional visa requirements. Following this period they can then apply for permanent residency.
<a target="_blank" href="/news">Property Observer has previously written</a> that the issuing of the first two visas had generated a seemingly disproportionate amount of press coverage with the Department of Immigration seemingly in no hurry to approve applications despite a pipeline of more than 400 applications.
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lschlesinger-FZcF9M3vE6

Significant investor visas to take up to nine months to process

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Mortgage arrears among prime borrowers remained stable in the first three months of 2013, helped by low interest rates, the latest Fitch Dinkum Index shows.
Fitch records a negligible 2 basis point rise in prime mortgages more than 30 days in arrears rising from 1.46% in the December quarter of 2012 to 1.48% in the first quarter of 2013.
Fitch also notes that loans between 30-59 days arrears were at 0.59% up from 0.55% in the December quarter, making it the lowest post-Christmas level since March 2006.
An increase in 30-59 days arrears in the first quarter is anticipated each year because the serviceability of Australian borrowers is temporarily affected by the holiday season and Christmas spending.
The figures are based on Fitch's analysis of mortgages bundled and sold by lenders to investors as residential mortgage-backed securities (RMBS).
However, of concern will be the rise in arrears for both the self-employed (low-doc loans) and those with poorest credit ratings (non-conforming low-doc loans).
Fitch records the proportion of non-conforming loans more than 30 days in arrears increased from 11.99% to 12.76% while low-doc loans arrears increased from 7.05% to 7.57%.
The graph below shows the stable low-arrears rates for prime mortgages (blue) and rising arrears rates for low doc and non-confirming loans (brown and green lines).
Click to enlarge
<a title="Click to enlarge" href="/images/stories/2013/06/fitchjune24one.gif" rel="shadowbox"><img src="/images/stories/2013/06/fitchjune24onethumb.gif"></a>
"Self-employed borrowers are still experiencing financial distress and finding it difficult to cure their arrears," says Iselle Gonzalez, associate director at Fitch.
"Historically, low-doc borrowers have taken longer to adjust their spending and cure arrears due to the lumpy nature of the cash flows; Fitch believes this will continue."
According to Fitch, low-doc performance, can be an early indicator of financial distress among borrowers who do not have a stable income and are therefore sensitive to volatility in the economy.
Fitch explains that non-conforming mortgage lending standards do not meet the standard lending criteria of mainstream lenders and include lending to borrowers who have poor credit or payment histories. As a consequence non-conforming transactions tend to have high levels of delinquencies and defaults.
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Mortgage arrears rise for self-employed and credit impaired borrowers: Fitch

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The Australian Tax Office is warning users of the virtual currency Bitcoin that it can track who is using it following concerns that it could be used to hide transactions and evade paying tax.
Bitcoin is a virtual currency that launched in 2008 with the aim of facilitating online transactions, but concerns have been raised about its volatility and the anonymity it creates between bitcoin payer and payee.
ATO senior assistant ­com­missioner for the cash economy Michael Hardy told The Australian ­Financial Review it was confident it could track down the identity of bitcoin users saying it was “no more anonymous than physical cash”.
He said the ATO had the experience to deal with the new currency, was monitoring the currency and was confident of catching any misconduct.
Bitcoin is also facing scrutiny from the US Treasury department and US regulator Commodity Futures Trading Commission (CFTC).
While it has yet to be used to purchase property in Australia, it has been used to make payments in relation to property transactions.
<a href="https://www.propertyobserver.com.au/https://www.propertyobserver.com.au/industry-news/secret-agent-jumps-on-the-bitcoin-bandwagon/2013050260955" target="_blank">Melbourne buyers advocate Secret Agent </a>accepted its first Bitcoin payment in May for services relating to a single-fronted terrace house in Carlton.
The buyer, a web entrepreneur called ‘Cosmo’ paid the Secret Agent 10 bitcoins valued at $130 each at the time for the $1,300 fee for its advice and recommendations.
Secret Agent managing director Paul Osborne said Bitcoin transactions could become much more common, though he is only accepting bitcoin for smaller payments.
"We think it could take off," he said.
This week in the US, a start-up venture Coinsetter will launch as a trading platform for bitcoins potentially allowing larger traders using the web currency.
Regular Property Observer contributor Pete Wargent wrote of the volatility in Bitcoin prices in<a href="https://www.propertyobserver.com.au/https://www.propertyobserver.com.au/residential/real-estate-is-only-worth-what-someone-else-will-pay-for-it-pete-wargent/2013051561392" target="_blank"> mid-May</a> illustrating this with a chart:
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/stories/2013/larry_uploads/bitcoin.jpg" alt="bitcoin" width="470" height="243">
"Since this chart was produced, over the last weeks, bitcoin prices have been all over the place. From a peak of well over US $200, the price quickly swung to a low of just $105, yet by Wednesday the price had rebounded to $175 before plummeting again to $120 on Thursday," wrote Wargent.
"The extreme volatility caused one major exchange to call a 12 hour halt to trading and has caused skeptics to question whether an item with such wild swings in prices can even be referred to as a 'currency' at all.
"The total supply of bitcoins in circulation today is said to be worth around $1.3 billion. Where that figure will be in 6-12 months time is anybody’s guess."
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Bitcoin users in ATO sights as use in property transactions set to rise

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Australian feels more confident about buying residential property and of its potential to build wealth, the latest QBE LMI Mortgage Barometer report has found.
The survey or more than 1,100 home owners and prospective homebuyers also found a distinct shifting in buying tastes with a higher percentage of first-home buyers, second homebuyers and investors contemplating buying a new house or apartment rather than an existing one.
Thirdly, there also appears to be a shift towards buying units with respondents considering buying detached houses in 2013 than in 2012.
Nearly one in three (32%) of those surveyed believe the next six months is the best time to buy residential property, up from 26% in 2012 while more than half believe the next 12 months is the best time to buy, up from 40% in 2012.
“This sentiment is in line with almost half of respondents (47%) thinking that property prices will increase strongly in the next three years and more than a third believing prices will be at least 10% higher in 2013,” says Jenny Boddington, chief executive officer of QBE LMI.
Other results also point to the belief that property will be a better investment vehicle in the coming years with 17% of those surveyed classifying it as a “reliable blue-chip investment” – up from 16% in 2012; 14% considering it as a way to build wealthy relatively quickly (up from 8% in 2012) and 22% considering it an investment to fund retirement (up from 19%).
In addition, significantly fewer respondents now believe property should only be one part of a diversified portfolio (17% in 2013 versus 29% in 2012) - in other words more Australians believe that the asset class can stand on its own as an investment vehicle.
<img width="470" height="223" src="/images/stories/2013/larry_uploads/perceptions.jpg" alt="perceptions">
“The slow recovery of the share market post-Global Financial Crisis (GFC) has likely had a large part to play in these perceptions, with dwelling values outperforming the ASX 200 Index on capital appreciation over the last decade to 2012, and proving to be far more stable (largest 12-month fall of 5% vs. 40%+ for shares),” notes the report. 
While buying an existing home remains the most popular choice for all buyers, the survey did find a rise in appetite for new homes across first-home buyers, owner occupiers and investors.
 
<hr class="system-pagebreak">
In 2013, more than a third of respondents (35%) said they were looking to buy a new house compared with 29% in 2012.
Interest is a new home highest among first-home buyers, which is not surprising given the changes in first-home owner grants in NSW and Queensland, incentivising only new home purchases, with Victoria, the ACT, South Australia and Tasmania all to follow suite in the coming months and years.
Nearly one in two (49%) first-home buyers are considering a new home compared with 34% in 2012.
Among owner-occupiers, more than a third (34%) are considering a new home over an existing one (up from 26% in 2012) and among investors, 32% are considering a new home (up from 27% in 2012).
Perhaps signalling a desire for a more affordable property, but possibly also reflecting the rise in apartment living in capital cities, the survey found a distinct shift towards purchasing units among owner occupiers and investors with demand for generally more expensive detaching housing falling.
Desire for an apartment remains high among first-home buyers at 32%.
<img width="469" height="456" src="/images/stories/2013/larry_uploads/existing_homes.jpg" alt="existing_homes">
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Homeownership sentiment improves as demand for new homes rises: QBE LMI survey

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A 22% rise in the number of new houses and apartment built is anticipated in Greater Brisbane over the next year.

Almost 3,000 more new dwellings are expected to commence being built over the next 12 months than the previous 12 months, according to forecasts from BIS Shrapnel.
In total, 15,859 new house and apartments are expected to be built in the Greater Brisbane area in 2013/14 compared with 12,963 in 2012/13.
Brisbane will pick up the slack from Melbourne, the now declining, but still the epicentre of new dwelling construction in Australia.
Melbourne dwelling starts are forecast to fall 18% from 38,471 new homes under construction in 2012/13 to 31,423 in 2013/14.
This is still greater - for now - than Sydney, which is forecast to manage a solid 10% growth in residential starts rising from 26,806 dwellings to 29,360.
Much of the new construction in Brisbane will be focused on apartments projects in the inner city with <a href="https://www.propertyobserver.com.au/residential/brisbane-apartment-market-heats-up-as-more-buyers-choose-apartments-over-houses-terry-ryder-hotspotting/2013060561953">hotspotting.com.au’s Terry Ryder</a> writing earlier this month that two new reports by Place Advisory and Colliers International confirm that off-the-plan sales in the March quarter were the highest since September 2004, boosted by the release of six new projects.
Place Advisory records 625 off-the-plan sales in inner Brisbane in the March quarter – double the number in the December 2012 quarter, 40% up on the same quarter last year.
In Queensland, the pick-up in residential building is not confined to the capital city, with a number of lifestyle locations such as Wide Bay and Toowoomba, a property investment hotspot, also included in the Top 20 residential building growth markets.
<img width="470" height="474" src="/images/stories/2013/larry_uploads/dwellings_up.jpg" alt="dwellings_up">
 
<hr class="system-pagebreak">
"The Wide Bay region lies just above the Sunshine Coast and includes the major regional cities of Bundaberg, Gympie, Hervey Bay and Maryborough. The region is a lifestyle location with tourism being a key industry in the local economy,” says Kim Hawtrey, associate Director of BIS Shrapnel. “We expect continued strong economic activity to drive a pick up in home construction in regions such as Wide Bay (forecast to be up 16%) and Toowoomba (up 12%) in 2013/14 and beyond.”
Greater Brisbane ranks 10th overall among residential building hotspots over the next 12 months, but is by far the biggest market in the top 20.
Other notable larger markets expected to experience strong growth in residential dwelling construction include Bunbury in WA (up 27%) and Newcastle and Lake Macquarie (up 19%).
The pick-up in Bunbury, the Wheat Belt (forecast to grow by 29%), Esperance (+27%) are part of a building focus shift “strongly towards the southern half of the state, especially the south west corner”.
“Bunbury, Esperance and the Wheat Belt cover the south-west corner of the state, including the Margaret River wine region and Manjimup,” says Hawtrey. “The area includes a number of manufacturing operations as well as a local tourism industry and a lifestyle component of demand. A new rail link to Mandurah is promising to open up the region.”
By comparison, the resources-rich Pilbara region is set to undergo a significant residential building correction as the mining investment boom peaks with a forecast 36% drop in dwelling commencements in 2013/14.
<img width="470" height="472" src="/images/stories/2013/larry_uploads/dwellings_down.jpg" alt="dwellings_down">
Other towns tied to mining that are expected to undergo a residential construction slowdown include the Kimberley region (-22%), Greater Darwin (-12%) and Mackay (-8%) in Queensland.
While a relatively tiny market by comparison to Brisbane and Sydney, Coffs Harbour will undergo a mini-residential building boom with a forecast 52% rise in dwelling commencements over the next 12 months.
“Coffs Harbour-Grafton hugs the coast towards the north of New South Wales, sandwiched between Richmond-Tweed and the Mid-North Coast. It has an older age profile, with a median age of 44 compared to 38 across the state as a whole, and has a significant lifestyle and retiree component to demand,” says Hawtrey.
 
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Brisbane to lead residential construction pick-up as Melbourne and Pilbara region contract: BIS Shrapnel

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Since John Howard lifted the ban on superannuation funds borrowing money to invest in 2007, self-managed super funds (SMSF) have invested around $80 billion in property.
A March quarter survey by SMSF administrator Multiport found that 18.6% of super fund assets were property holdings up from 17.4% a year ago.
At the same time ASIC has been raising alarm bells about spruikers targeting this sector of the market with a new taskforce established to look into the behaviour of unscrupulous operators and may also consider expanding its regulatory powers to<a target="_blank" href="/news"> include property investment.</a>
Just this week a property investment adviser who allegedly recommended to various NSW investors that they set up SMSFs to invest in the development of a number of house and land packages in Queensland was charged with eight counts of fraudulent misappropriation.
In May, ASIC cancelled the credit licence of Money Choice Pty Ltd (Money Choice) and banned its director, Matthew George, after an investigation found failures to comply with credit laws, responsible lending shortfalls and instances of unlicensed self-managed superannuation fund (SMSF) advice.
In April, it was revealed that <a target="_blank" href="/news">four Melbourne businesses running seminars on investing in real estate through SMSF</a>s are being investigated by ASIC over the potentially misleading nature of flyers, advertisements and online ads promoting these seminars.
This week, ABC’s The Business program provided a special report on “less scrupulous schemes encourage people to set up funds and then borrow heavily to buy property” calling it a “ticking time bomb”.
These are five tips we have gleaned from this broadcast:
1. Don’t let appearances fool you
Consumer advocate Neil Jenman told the ABC that SMSF property investment spruikers will come across as across as “smart, clever, sophisticated, intelligent, trustworthy people. They don't come across like crooks”. He advices that no matter who you are dealing with you should "do your homework and read the fine print".
2. Be wary of cold calls that promise you can save tax and pay off your home quicker
Noel Whittaker from QUT Business School told the ABC he was aware of one Gold Coast company “making 22,000 cold calls a week” which begins with: "How would you like to save tax and pay your home off quicker? Well to see if you qualify, one of our consultants will come to your house." The next thing that happens, according to Whittaker, is a “six-hour brainwashing interview which ends up with you buying a property from them”.
3. Do your own research on property values, don’t trust rental guarantees and promises of discount prices.
Spruikers are likely to use a high pressure sales approach and seek to sell you properties at inflated values, but tell you they can sell them for you at a discount. They will also often offer guaranteed rent on a property they are selling. The higher prices are used to pay the rental guarantees and the high commissions to those promoting these property investments.
4. Always get independent advice before you sign
A spruiker will most likely connect you with their own network of property valuers, mortgage brokers, financial planners and conveyancers who may be in on the game. The four Melbourne sandbelt Melbourne businesses under investigation by ASIC were a law firm, mortgage broker, a real estate agency and a firm of chartered accountants all allegedly acting together in promoting a property investment SMSF scheme. You should always seek out the opinion of an independent valuer you trust and choose your own mortgage broker, lawyer and financial planner.
5. Don’t trust everything you read on Google. Seek personal experiences
Apart from being excellent at presenting themselves as trustworthy, spruikers are also aware that people will do their own research online. To combat this, spruikers have become very good search engine optimisation (SEO) and “flooding the web with positive material to keep the truth from coming out”. Claire Mackay from financial planning firm Quantum Financial Services, which assisted a “financially literate company executive” sucked in by plausible sounding SMSF spruikers, said she had trawl through around 15 or 16 pages of Google searches to “find out more than just guru property experts revealing the secrets”. Speaking to people who attended a seminar about their experiences is a much better way to gauge the real intent of marketeers.
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Five SMSF property spruiker tricks you should not fall for

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A 11% dip in residential building construction is anticipated in Geelong over the next 12 months, the key regional Victorian centre hit by a spate of recent business closures and planned closures.
Researchers BIS Shrapnel forecast a 11% fall in dwelling commencements in Geelong in 2013/14 with construction of 2,333 new house and apartments to begin over this period.
This compares with 2,627 dwelling commencements over 2012/13.
This ranks Geelong as the 13th most contractionary new housing market over the next 12 months in Australia.
The drop in new dwelling commencements signals a likely contraction in the local Geelong residential building sector at a time when they may be reduced demand for new homes given recent company announcements.
Earlier this week retailer Target confirmed that 200 jobs would be cut from its Geelong headquarters.
It follows Ford Australia’s announcement last month that it would close its <a href="https://www.propertyobserver.com.au/victoria/first-ansett-collapse-now-ford-plant-closure-threatens-broadmeadows-property-market-ford-fordaustralia/2013052361599" target="_blank">Geelong production plant in 2016</a> with the loss of around 500 jobs.
There is also uncertainty around the future of workers at Shell’s Geelong refinery. The enterprise employs around 450 people as well as contractors.
A further 500 jobs are at risk at Alcoa's unprofitable Point Henry aluminium smelter with the American-owned enterprise considering cuts worldwide. Alcoa had planned to shut the smelter down last year before receiving a $40 million bail out from the Victorian and Federal governments.
The potential loss of more than 2,00 jobs (more when contractors and affiliated employment are factored in) has been tempered by news that Geelong has been chosen as the headquarters of the new DisabilityCare agency for the National Disability Insurance Scheme (NDIS), which will employ around 300 people plus another 150 in the regional office.
State and federal government initiatives have also been announced to assist the Geelong economy.
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New dwelling starts to fall 11% in Geelong: BIS Shrapnel

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The Macquarie Group and Macquarie Bank have raised their holding in Mark Bouris’s wealth management and home loans business Yellow Brick Road from 8.3% to 10.5%.
This follows the purchase of additional shares last week.
<a href="/news">In November last year</a>, Yellow Brick Road announced that it had signed an origination agreement with Macquarie Bank, the financial services subsidiary of Macquarie Group, to "develop branded banking and wealth management products and services, including the terms of a new mortgage funding and distribution arrangement".
Macquarie will provide wholesale mortgage funding to Yellow Brick Road, allowing the franchise to expand its mortgage offering with plans for further wealth management and banking products though out the year.
Yellow Brick Road (YBR) franchise network grew its mortgage book by 21% to around $1.5 billion in the first three months of the year, a May quarterly update revealed.
The increased investment comes as the final episode of Channel Nine’s Celebrity Apprentice airs this week, hosted by Mark Bouris.
Channel 9’s Nine Ventures consumer investment group holds an 18% stake in Yellow Brick Road.
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Macquarie lifts its Yellow Brick Road stake to 10.5%

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An interim injunction has been served against Mark William Whittingham and his business, Connection Blue Pty Ltd restraining them from selling rent rolls, mortgage trail commission books or financial planning books.
The injunction was confirmed by the Melbourne Magistrates’ Court, which also ordered the defendants to pay more than $5,000 in legal costs.
The details of the injunction were revealed by Consumer Affairs Victoria after <a target="_blank" href="https://www.propertyobserver.com.au/industry-news/victoria-and-nsw-estate-agents-warned-about-unsolicited-rent-roll-emails/2013032660082">warning estate agents in Victoria and NSW in March</a> about unsolicited emails being sent out by Connection Blue Pty Ltd.
Whittingham had sent unsolicited emails to real estate agents, advertising rent rolls for sale through Connection Blue, which was only registered as a proprietary company in August last year.
Consumer Affairs said in March that in one instance, it is claimed a Victorian estate agent paid $135,000 for rent rolls but did not receive access or a refund.
Another Victorian estate agent alleges to have paid $24,200 and a New South Wales agent claims to have paid $1,000.
Whittingham is well known in mortgage broking circles with the <a target="_blank" href="https://www.google.com.au/url?sa=t&amp;rct=j&amp;q=mfaa+whittingham&amp;source=web&amp;cd=2&amp;cad=rja&amp;ved=0CDgQFjAB&amp;url=http%3A%2F%2Fwww.brokernews.com.au%2Fnews%2Fbreaking-news%2Fmfaa-warns-brokers-against-whittingham-145117.aspx&amp;ei=MRdSUYfsJOyXiAfB6YHICw&amp;usg=AFQjCNFlBC5zxLxAUFoyOS6M4qY-VWXIWA&amp;bvm=bv.44342787,d.aGc">MFAA issuing a warning to its members</a> about his business practices in November last year.
Whittingham had previously offered to sell loan trail books to mortgage brokers through another company that has since been placed in liquidation, with brokers not being refunded their deposits as promised in information booklets.
Specifically, the interim injunction restrains Whittingham and Connection Blue from “disbursing, transferring, dealing with, drawing on or disposing of deposit monies received (up to $161,000) prior to the sale and delivery” of rent rolls, mortgage trail books or planning books.
It also restrains both parties from “requesting any money from any person for access to these assets” and “requesting/disbursing/transferring/drawing on/disposing of any payment or other consideration (after this order was made) prior to the actual delivery of the goods”.
The court ordered the defendants to pay costs of $5076 (including $700 costs previously ordered on 30 April).
The court also struck out the defendants’ Notice of Defence and gave them leave to file an amended Notice of Defence by 4pm on 14 June 2013.
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Court confirms interim injunction against rent roll seller Mark Whittingham 

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The majority of economists expect the cash rate to remain on hold on July 2, the latest Bloomberg survey reveals.
Of the 27 economists polled by this week, 22 tip the cash rate to remain at 2.75%.
This is almost unchanged from the June 7 forecast when 21 out of 26 economists said no rate cut in July.
AMP Capital Investors chief economist Shane Oliver and Stephen Koukoulas from Market Economics are among the five economists tipping a rate cut in July.
The others are from analysts Nomura Australia, Goldman Sachs and RBC Capital Markets.
Looking ahead to August 6, economists are almost equally divided with 14 tipping a rate cut to 2.5% and 13 expecting no change.
The minutes of the <a href="https://www.propertyobserver.com.au/residential/dwelling-prices-still-relatively-flat-but-housing-market-appeared-to-be-improving-rba-minutes/2013061862374" target="_blank">June RBA monetary policy meeting</a> said there was scope for further rate cuts if needed highlighting that previous rate cuts were supporting what appeared to be an improving housing market.
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Most economists tip no RBA cash rate cut in July: Bloomberg

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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