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Following the May RBA rate cut , lenders continue to cut their fixed-rate home loan offerings with Citibank the latest to do so.
The bank has cut its Citibank Mortgage Plus five-year fixed home loan rate to 5.35% per annum, which it claims is the lowest five-year fixed-rate offering in the Australian market.
UBank currently offers a five-year refinancing-only fixed-rate home loan at 5.41%, the next cheapest five-year fixed-rate offering, according to RateCity.com.au.
Five-year fixed-rate home loans are the second most popular fixed-rate term, <a href="https://www.propertyobserver.com.au/news/monday-feb-25-feature-the-fix-is-on-for-bank-mortgage-rates-should-you-take-the-deal/2013022159504" target="_blank">according to research by homeloanfinder.com.au</a>, accounting for around 20% off all fixed-rate home loans.
Three-year fixed-rate home loans make up two-thirds of fixed-rate home loan applications in Australia.
Citibank previously cut its two-year fixed home loan rate to <a href="/news">4.89% at the end of April.</a>
“Fixed rates continue to be in high demand by consumers; with over 50%  of our new applications having a fixed rate component," says Vibha Coburn, head of mortgages at Citibank in Australia.
“Since September 2012, Citibank has reduced its five-year fixed rates by 34 basis points, while our two-year fixed rates have dropped 86 basis points.
"We look to provide competitive alternatives for those customers who look for stability in their mortgage repayments," she says.
Citibank is also offering a free 60-day rate lock which allows customers a guaranteed low fixed rate for 60 days after their application has been submitted.
Citibank offers borrowers who wish to take advantage of the new rate conditional approval in under 24 hours if all relevant information is supplied.
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lschlesinger-FZcF9M3vE6

Citibank cuts five-year fixed-rate home loan to 5.35% 

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US private equity giant Blackstone has reportedly pulled out of its takeover bid for listed property trust Australand following GPT Group’s formal withdrawal yesterday.
Blackstone had put in a bid for the entire Australand business at around a 10% discount to the trust’s $3.46 a security net asset backing, The Australian Financial Review’s StreetTalk gossip column reported.
However, it withdrew its bid via email a few hours after the GPT statement was issued yesterday.
<a target="_blank" href="/news">GPT’s $2.8 billion December offer</a> (StreetTalk quotes a $2.95 billion offer) was for only the non-residential businesses of Australand.
Analysts John Kim from CLSA and Jason Weate from Deutsche Bank continue to back Australand despite the withdrawal of GPT and Blackstone after its share price fell 18 cents to $3.35 (a 5.3% fall) in morning trading today.
The option still remains for a block trade of Singapore-based majority shareholder CapitaLand’s $1.2 billion stake, but according to StreetTalk, this would represent a worse outcome for shareholders than the Blackstone offer and would be difficult to accomplish.
In a statement released yesterday, Australand confirmed that it had been unable to reach agreement with GPT on the sale of its investment portfolio and commercial and industrial businesses that would be a “superior outcome than business as usual”.
It also said it was not in receipt of any formal proposals, but that process had not yet concluded.
Clearly Australand was eager to sell to GPT, but the two parties could not agree on a fair price.
StreetTalk reported that a high-ranking CapitaLand executive flew into Sydney on Monday to try and help thrash out a deal with GPT, but could not get the property group to budge on its offer.
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Australand running out of options as Blackstone joins GPT at the exit gates

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Federal Treasurer Wayne Swan has claimed the Coalition’s paid parental leave scheme would cause variable mortgage rates to rise.
Swan quotes new Treasury analysis showing the cost of the 1.5% company tax hike on banks and other mortgage lenders is nearly $4 billion over four years – reaching $1.1 billion in 2016-17.
“Mr Abbott's new tax will send standard variable mortgage rates up by 10 basis points, while business rates could rise by as much as 25 basis points,” says Swan.
“The big banks have put Mr Abbott on notice that they will pass on every dollar of his company tax hike by jacking up interest rates on mortgages and small business loans - everyone with a home loan or business loan will pay for Mr Abbott's PPL scheme.”
Swan labelled the tax “unfair and unaffordable” and said it would be “paid for out of the pockets of hard-working families and small businesses across Australia”.
“It's downright unfair to rip away $2,000 from new families on modest incomes and jack up their mortgage repayments just to put $75,000 straight into the bank accounts of millionaires.
“Under Labor, a family on a $300,000 mortgage is saving around $5,500 a year in repayments compared to the high interest rates the Liberals saddled them with when they left office,” he said.
The paid parental leave scheme is one of the key policies of the Coalition’s election manifesto.
It will pay mothers six months of their normal salary up to $75,000. 
Treasury estimates of cost of 1.5% company tax hike on entities involved in general lending and deposit taking
<table border="1" cellspacing="0" cellpadding="0" style="width: 470px;"><tbody>
<tr>
<td valign="top">
2013-14
</td>
<td valign="top">
2014-15
</td>
<td valign="top">
2015-16
</td>
<td valign="top">
2016-17
</td>
<td valign="top">
Total
</td>
</tr>
<tr>
<td valign="top">
$850m
</td>
<td valign="top">
$970m
</td>
<td valign="top">
$1030m
</td>
<td valign="top">
$1110m
</td>
<td valign="top">
3960
</td>
</tr>
</tbody></table>
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Coalition’s paid parental leave tax to push up mortgage rates: Wayne Swan

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The percentage of home owners a month or more behind on mortgage repayments lifted from 1.44% in December to 1.66% at the end of March, according to Moody’s Investors Services.
This was marginally above the 1.59% of borrowers 30 days or more behind in mortgage repayments in March 2012.
The increase was consistent across all mortgage providers, says Moody's.
The arrears rate for the major banks rose to 1.39% in March from 1.16% in December, while for the regional banks, it rose to 1.87% from 1.65%, and for non-authorized deposit-taking institutions (ADIs), it rose to 3.46% from 3.24%.
Despite the increase, Australian mortgage arrears rates are very low by international standards.
The US 30-plus days mortgage arrears rate was 6.21% in April, according to the First Look report prepared by Lender Processing Services.
The UK arrears rate was 2.5% in April, according to the Council of Mortgage Lenders.
Moody's  attributed the rise in the Australian mortgage arrears rate to seasonal factors, that is the fallout from higher discretional spending over the Christmas and New Year holiday period.
However, the increase in the arrears rate also lifted despite a cut in interest rates.
In December the RBA cut the cash rate by 25 basis points to 3% with most of this passed on to borrowers.
Moody’s expect the arrears rate to decrease in the second half of the year.
Borrowers will also be assisted by the May 25 basis point rate cut with most lenders passing this on in full.
Arrears rates improved among borrowers with lower credit ratings.
The low-doc arrears rate fell from a record high of 6.24% in January to 5.83% in March.
"Borrowers in low-doc deals provide little or, in the case of no-doc loans, no proof of income. Moody's considers that the higher delinquency rate of these loans can be explained by the cash flow volatility of the borrowers, who are typically self-employed," says Moody's.
"After excluding 100% low-doc deals, the prime 30-days plus arrears rate would have been much lower at 1.60% in March."
The non-conforming 30-days plus arrears rate rose to 7.85% in March from 7.39% in December, and was 85 basis points lower than March 2012 when it was 8.70%.
Moody’s figures are compiled based on the performance of securitised loans, that is loans packaged into residential mortgage-backed securities (RMBS) and sold to investors.
The worst performing 2004 vintage incurring 36 basis points of losses to date.
"To date, lenders mortgage insurance has covered the majority of these losses, with any residual covered by excess spread or by the lender," says Moody's.
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Small rise in home mortgage arrears rate in March blamed on Christmas holiday spending

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Tasmania has joined NSW, Queensland and South Australia by announcing plans to axe the $7,000 first-home owner grant (FHOG) for established homes on June 30, 2014.
It will coincide with the end of Tasmania's First Home Builder Boost (FHBB) - a payment of $8,000 - on June 30.
From July 1, Tasmanian first-home buyers who build or buy a new home (including off-the-plan) will be entitled to a $7,000 FHOG. Those buying an existing home will receive no grant.
The withdrawal of the FHOG for existing homes was announced by Tasmanian premier Lara Giddins as part of her recent 2013-14 state budget announcement.
Giddins said the $7,000 grant for new homes only would provide "an ongoing stimulus to the building industry and creating jobs in the process".
"This change will bring Tasmania into line with other States such as Victoria, NSW and South Australia while saving an estimated $11 million per annum, which will be used to fund job-creating changes to the payroll tax," Giddins said.
South Australian Premier Jay Weatherill will deliver his state budget on June 6, but the state's revenue office website reveals that the already reduced $5,000 FHOG will end on June 30. The state's $15,000 FHOG for new homes is ongoing.
These are the key dates first-home buyers need to diarise:
All dates correct as of May 27 2013.
June 30, 2013 - Victoria
The date the Victorian government ends its $7,000 first-home owner grant. The grant is available if the price of the property or construction of the home does not exceed $750,000. An exception to this requirement is where the contract relates to a home that is on, or to be built on, primary production land.
June 30 2013 - South Australia
The $8,000 Housing Construction Grant (HCG) will expire on June 30. It applies to contracts entered into between 15 October 2012 and 30 June 2013, or in the case of owner builders, where construction commenced between 15 October 2012 and 30 June 2013. A property value cap of $450,000 applies.
June 30 2013 - ACT
The Home Buyer Concession Scheme (HBCS), offering stamp duty concession to first-home buyers and anyone else purchasing a new home or residential vacant land under certain thresholds (<a href="https://www.revenue.act.gov.au/home_buyer_assistance" target="_blank" rel="nofollow">details on the ACT government website</a>), is due to expire on June 30.
July 1, 2013 – Victoria
The start of the $10,000 grant in Victoria for newly constructed homes. In addition, the state government will also increase stamp duty cuts of 40% for all first home owners (including those buying existing homes) for homes valued up to $600,000. The combination of a $10,000 first-home owner grant and 40% stamp duty cut means that Victorians buying a newly constructed first home for $400,000 will save over $16,500.
January 1, 2014 - NSW
The $15,000 grant for first-home owners who purchase or build a new home in NSW valued at up to $650,000 will reduce to $10,000 from this date.
June 30, 2014 – Tasmania
Up until this date, Tasmanian first-home buyers of established homes are entitled to a $7,000 grant. From July 1, 2014, the grant is only available to those who buy or building a new home, including off the plan and house and land packages.
June 30, 2014 – South Australia
Up until this date, South Australian first-home buyers of established homes are entitled to a $5,000 grant. From July 1, 2014, no first-home owner grant is available to purchasers of established homes.
June 30, 2014 – South Australia
Stamp duty concessions for first-time buyers who purchase an apartment off the plan in the Adelaide CBD will end on this date. The scheme is available on the transfer of a new CBD apartment or a "substantially refurbished apartment" for a contract entered into from May 31, 2012, to June 30, 2014, capped at stamp duty payable on a $500,000 apartment of $21,330. 
June 30, 2014 – Tasmania
The $8,000 First Home Builder Boost Scheme grant available to Tasmanians building a new home (including off-the-plan) if the qualify for the first-home owner grant will end on this date.
September 1, 2014 - Victoria
All first home buyers (whether purchasing newly constructed or established homes) will benefit from a 50% stamp duty concession for homes valued up to $600,000.
June 30, 2016 - South Australia
Partial stamp duty concessions for first-time buyers who purchase an apartment off the plan in the Adelaide CBD will end on this date.
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Tasmania and South Australia to axe first-home owner grants from June 30 2014: key dates to diarise

Talk of the mining boom effect petering out in perennial property hotspot favourites Gladstone and Moranbah in northern Queensland appears premature with both bucking the trend of property markets that soar one year only to fizz out the next.

Property Observer analysis of the 15 best performing detaching housing markets across five house price brackets published last May&nbsp;by Smart Property Investment magazine now one year on, shows that nine markets went from boom to bust in the space of a year, two tread water and three grew strongly, albeit at slower rates in the prior year.

The biggest boom to bust occurred in Quindalup, a small town in the South West region of Western Australia in the shire Busselton and about 250 kilometres west of Perth, most famous as the hub of a thriving timber industry from the mid to late 1800s.

Just a few original buildings remain, including Harwoods Cottage, now a local tourist attraction.

Based on annual sales data, RP Data figures show that Quindalup median house prices rose 47% to Feb 2012 but then fell 38% in the twelve months to February 2013.

Double-digit corrections also occurred in Netherby, a suburb of Adelaide, Sydney&rsquo;s prestige McMahons Point on the lower north shore (though from a small number of prestige sales), Dicky Beach, a suburb on the Sunshine Coast, East Launceston in Tasmania, Alton Downs near Rockhampton and Shorewell Park on the north coast of Tasmania near Burnie.

However, Gladstone City median house prices (the greater Gladstone area) have risen 24% over the 12 months to February 2013 following a rise of 32% in the previous months to a median of $600,000, albeit off just 17 recorded sales, according to RP Data.

And in Moranbah, house prices rose 17% over the 12 months to February 2013 following a 33% in the previous 12 months to rise to $740,000 from 159 sales.

The third location to register two consecutive years of strong price growth was Millthorpe in NSW, a tiny hamlet between Orange and Blayney with 1,100 people, with price gains of 31% in 2012 and 13%.

While listed as the top performers, the locations below were not necessarily recommended by RP Data or SPI Magazine as property investment hotspots for 2013.

<table border="1" cellpadding="0" cellspacing="0" style="width: 470px;">
	<tbody>
		<tr>
			<td valign="top" width="82">
			State
			</td>
			<td valign="top" width="114">
			Suburb
			</td>
			<td valign="top" width="66">
			Annual sales to Feb 13
			</td>
			<td valign="top" width="78">
			Median price Feb 2012
			</td>
			<td valign="top" width="95">
			Median price Feb 2013
			</td>
			<td valign="top" width="90">
			Median 12mth growth to Feb 2012
			</td>
			<td valign="top" width="90">
			Median 12mth growth to Feb 2013
			</td>
		</tr>
		<tr>
			<td colspan="7" valign="top" width="616">
			BEST PERFORMING SUBURBS $700,001 plus
			</td>
		</tr>
		<tr>
			<td valign="top" width="82">
			WA
			</td>
			<td valign="top" width="114">
			Quindalup
			</td>
			<td valign="top" width="66">
			12
			</td>
			<td valign="top" width="78">
			$970,000
			</td>
			<td valign="top" width="95">
			$565,000
			</td>
			<td valign="top" width="90">
			47%
			</td>
			<td valign="top" width="90">
			-38%
			</td>
		</tr>
		<tr>
			<td valign="top" width="82">
			SA
			</td>
			<td valign="top" width="114">
			Netherby
			</td>
			<td valign="top" width="66">
			19
			</td>
			<td valign="top" width="78">
			$970,000
			</td>
			<td valign="top" width="95">
			$800,000
			</td>
			<td valign="top" width="90">
			39%
			</td>
			<td valign="top" width="90">
			-18%
			</td>
		</tr>
		<tr>
			<td valign="top" width="82">
			NSW
			</td>
			<td valign="top" width="114">
			McMahons Point
			</td>
			<td valign="top" width="66">
			16
			</td>
			<td valign="top" width="78">
			$1.92m
			</td>
			<td valign="top" width="95">
			$1.6m
			</td>
			<td valign="top" width="90">
			33%
			</td>
			<td valign="top" width="90">
			-17%
			</td>
		</tr>
		<tr>
			<td colspan="7" valign="top" width="616">
			BEST PERFORMING SUBURBS $500,001 - $700,000
			</td>
		</tr>
		<tr>
			<td valign="top" width="82">
			WA
			</td>
			<td valign="top" width="114">
			Derby
			</td>
			<td valign="top" width="66">
			42
			</td>
			<td valign="top" width="78">
			$555,000
			</td>
			<td valign="top" width="95">
			$542,500
			</td>
			<td valign="top" width="90">
			40%
			</td>
			<td valign="top" width="90">
			0%
			</td>
		</tr>
		<tr>
			<td valign="top" width="82">
			QLD
			</td>
			<td valign="top" width="114">
			Moranbah
			</td>
			<td valign="top" width="66">
			159
			</td>
			<td valign="top" width="78">
			$610,000
			</td>
			<td valign="top" width="95">
			$740,000
			</td>
			<td valign="top" width="90">
			33%
			</td>
			<td valign="top" width="90">
			+17%
			</td>
		</tr>
		<tr>
			<td valign="top" width="82">
			QLD
			</td>
			<td valign="top" width="114">
			Dicky Beach
			</td>
			<td valign="top" width="66">
			20
			</td>
			<td valign="top" width="78">
			$660,000
			</td>
			<td valign="top" width="95">
			$562,500
			</td>
			<td valign="top" width="90">
			28%
			</td>
			<td valign="top" width="90">
			-15%
			</td>
		</tr>
		<tr>
			<td colspan="7" valign="top" width="616">
			BEST PERFORMING SUBURBS $400,001 - $500,000
			</td>
		</tr>
		<tr>
			<td valign="top" width="82">
			QLD
			</td>
			<td valign="top" width="114">
			Alton Downs
			</td>
			<td valign="top" width="66">
			13
			</td>
			<td valign="top" width="78">
			$480,000
			</td>
			<td valign="top" width="95">
			$430,000
			</td>
			<td valign="top" width="90">
			38%
			</td>
			<td valign="top" width="90">
			-10%
			</td>
		</tr>
		<tr>
			<td valign="top" width="82">
			TAS
			</td>
			<td valign="top" width="114">
			East Launceston
			</td>
			<td valign="top" width="66">
			44
			</td>
			<td valign="top" width="78">
			$478,000
			</td>
			<td valign="top" width="95">
			$385,000
			</td>
			<td valign="top" width="90">
			33%
			</td>
			<td valign="top" width="90">
			-19%
			</td>
		</tr>
		<tr>
			<td valign="top" width="82">
			QLD
			</td>
			<td valign="top" width="114">
			Gladstone City
			</td>
			<td valign="top" width="66">
			17
			</td>
			<td valign="top" width="78">
			$482,500
			</td>
			<td valign="top" width="95">
			$600,000
			</td>
			<td valign="top" width="90">
			32%
			</td>
			<td valign="top" width="90">
			+24%
			</td>
		</tr>
		<tr>
			<td colspan="7" valign="top" width="616">
			BEST PERFORMING SUBURBS $300,001 - $400,000
			</td>
		</tr>
		<tr>
			<td valign="top" width="82">
			SA
			</td>
			<td valign="top" width="114">
			Munno Para
			</td>
			<td valign="top" width="66">
			92
			</td>
			<td valign="top" width="78">
			$322,827
			</td>
			<td valign="top" width="95">
			$307,500
			</td>
			<td valign="top" width="90">
			42%
			</td>
			<td valign="top" width="90">
			+1%
			</td>
		</tr>
		<tr>
			<td valign="top" width="82">
			NSW
			</td>
			<td valign="top" width="114">
			Millthorpe
			</td>
			<td valign="top" width="66">
			12
			</td>
			<td valign="top" width="78">
			$330,000
			</td>
			<td valign="top" width="95">
			$372,500
			</td>
			<td valign="top" width="90">
			31%
			</td>
			<td valign="top" width="90">
			+13%
			</td>
		</tr>
		<tr>
			<td valign="top" width="82">
			NSW
			</td>
			<td valign="top" width="114">
			Wyee Point
			</td>
			<td valign="top" width="66">
			17
			</td>
			<td valign="top" width="78">
			$380,000
			</td>
			<td valign="top" width="95">
			$377,500
			</td>
			<td valign="top" width="90">
			31%
			</td>
			<td valign="top" width="90">
			-1%
			</td>
		</tr>
		<tr>
			<td colspan="7" valign="top" width="616">
			BEST PERFORMING SUBURBS UNDER $300,000
			</td>
		</tr>
		<tr>
			<td valign="top" width="82">
			TAS
			</td>
			<td valign="top" width="114">
			Shorewell Park
			</td>
			<td valign="top" width="66">
			18
			</td>
			<td valign="top" width="78">
			$246,000
			</td>
			<td valign="top" width="95">
			$207,500
			</td>
			<td valign="top" width="90">
			47%
			</td>
			<td valign="top" width="90">
			-21%
			</td>
		</tr>
		<tr>
			<td valign="top" width="82">
			NSW
			</td>
			<td valign="top" width="114">
			Boggabri
			</td>
			<td valign="top" width="66">
			21
			</td>
			<td valign="top" width="78">
			$157,500
			</td>
			<td valign="top" width="95">
			$153,000
			</td>
			<td valign="top" width="90">
			45
			</td>
			<td valign="top" width="90">
			-6%
			</td>
		</tr>
		<tr>
			<td valign="top" width="82">
			TAS
			</td>
			<td valign="top" width="114">
			Trevallyn
			</td>
			<td valign="top" width="66">
			98
			</td>
			<td valign="top" width="78">
			$290,000
			</td>
			<td valign="top" width="95">
			$279,500
			</td>
			<td valign="top" width="90">
			26%
			</td>
			<td valign="top" width="90">
			-7%
			</td>
		</tr>
	</tbody>
</table>

Source: RP Data/Smart Property Investment magazine&nbsp;

Gladstone defies doomsayers with 24% gain in annual median house prices with Moranbah also strong

<html><body>
Two out of every five (40%) home loan enquiries to mortgage brokers Loan Market are now for a fixed-rate home loan product.
This follows the RBA cutting the cash rate to 2.75% on May 7 and lenders responding with fixed-rate cuts to interest rates below 5% including <a target="_blank" href="/news">Aussie Home Loans</a>, <a target="_blank" href="/news">RAMS</a>, <a target="_blank" href="/news">Westpac, St.George, Bank of Melbourne and BankSA</a>.
Loan Market spokesperson Paul Smith says that since the RBA rate cut, 40% of home owners have been looking into fixing their interest rate, which is the highest proportion since the start of 2013.

“There’s been a roller coaster of speculation when we’ll hit the bottom of the interest rate cycle and the latest RBA rate cut has caused lenders to drop their fixed rates even further as they expect the cash rate to drop again,” says Smith.

Smith says one of the interesting areas of movement in the past two weeks has been lenders moving the pricing of their three-year fixed rates more than their two-year rates.
Three-year fixed rate terms are the most popular followed by five-year fixed rate terms, according to mortgage comparison website, <a target="_blank" href="https://www.propertyobserver.com.au/news/monday-feb-25-feature-the-fix-is-on-for-bank-mortgage-rates-should-you-take-the-deal/2013022159504">Homeloanfinder.com.au</a>
“As lenders speculate where variable rates will bottom out, they’re going to find ways to attract and retain customers – fixed rate products are so competitive right now for this reason,” says Smith.

He says it is important for a borrower to consider the longer term implications of signing up for a fixed or variable rate and not to make a decision based on the interest rate alone.

“Fixed rates continue to be priced below variable rates and have been so for nearly 12 months now. It’s a trend that’s against the historical comparison of fixed and variable rates, which further adds to the unique situation interest rates are presently in.”
These are the lowest advertised variable and fixed mortgage rates based on listings on mortgage comparison websites<a target="_blank" rel="nofollow" href="https://www.ratecity.com.au/">ratecity.com.au</a>, <a target="_blank" rel="nofollow" href="https://mozo.com.au/">Mozo.com.au</a>,  <a target="_blank" rel="nofollow" href="https://www.infochoice.com.au/">infochoice.com.au</a> and <a rel="nofollow" href="https://www.homeloanfinder.com.au/">homeloanfinder.com.au</a> as of March 4:
Where the headline rate is the same, the lender with the lowest comparison rate gets preference.
Lowest variable rate offerings:
<table width="470" cellpadding="0" cellspacing="0" border="1"><tbody>
<tr>
<td width="127" valign="top">
Provider
</td>
<td width="129" valign="top">
Loan name
</td>
<td width="98" valign="top">
Rate
</td>
<td width="116" valign="top">
Comparison rate*
</td>
</tr>
<tr>
<td width="127" valign="top">
State Custodians
</td>
<td width="129" valign="top">
State Custodians Peak Performance Offset Home Loan
</td>
<td width="98" valign="top">
4.74%
</td>
<td width="116" valign="top">
5.11%
</td>
</tr>
<tr>
<td width="127" valign="top">
Loans.com.au
</td>
<td width="129" valign="top">
Blackboard special – purchases only
</td>
<td width="98" valign="top">
4.75%
</td>
<td width="116" valign="top">
4.77%
</td>
</tr>
<tr>
<td width="127" valign="top">
UBank
</td>
<td width="129" valign="top">
UHomeloan – refinance only
</td>
<td width="98" valign="top">
4.87%
</td>
<td width="116" valign="top">
4.87%
</td>
</tr>
</tbody></table>
Lowest one-year fixed-rate offerings
<table width="470" cellpadding="0" cellspacing="0" border="1"><tbody>
<tr>
<td width="137" valign="top">
Provider
</td>
<td width="123" valign="top">
Loan name
</td>
<td width="95" valign="top">
Rate
</td>
<td width="114" valign="top">
Comparison rate*
</td>
</tr>
<tr>
<td width="137" valign="top">
Greater Building Society
</td>
<td width="123" valign="top">
Ultimate Home Loan Package
</td>
<td width="95" valign="top">
4.74%
</td>
<td width="114" valign="top">
5.51%
</td>
</tr>
<tr>
<td width="137" valign="top">
UBank
</td>
<td width="123" valign="top">
UHomeloan – refinance only
</td>
<td width="95" valign="top">
4.83%
</td>
<td width="114" valign="top">
5.12%
</td>
</tr>
<tr>
<td width="137" valign="top">
iMortgage.com.au
</td>
<td width="123" valign="top">
iMortgage Fusion 75
 
</td>
<td width="95" valign="top">
4.84%
</td>
<td width="114" valign="top">
5.08%
</td>
</tr>
</tbody></table>
Lowest three-year fixed-rate offerings
<table width="470" cellpadding="0" cellspacing="0" border="1"><tbody>
<tr>
<td width="133" valign="top">
Provider
</td>
<td width="133" valign="top">
Loan name
</td>
<td width="97" valign="top">
Rate
</td>
<td width="108" valign="top">
Comparison rate*
</td>
</tr>
<tr>
<td width="133" valign="top">
iMortgage.com.au
</td>
<td width="133" valign="top">
iMortgage Fusion 75
 
</td>
<td width="97" valign="top">
4.94%
</td>
<td width="108" valign="top">
5.16%
</td>
</tr>
<tr>
<td width="133" valign="top">
Loans.com.au
</td>
<td width="133" valign="top">
Dream Loan Express Fixed
</td>
<td width="97" valign="top">
4.99%
</td>
<td width="108" valign="top">
4.93%
</td>
</tr>
<tr>
<td width="133" valign="top">
Aussie
</td>
<td width="133" valign="top">
Aussie Select Basic Fixed Rate
</td>
<td width="97" valign="top">
4.99%
</td>
<td width="108" valign="top">
5.22%
</td>
</tr>
</tbody></table>
*A comparison rate includes both the interest rate and the fees and charges relating to a loan, combined into a single percentage figure.
</body></html>

Cheapest fixed and variable offerings: mortgage brokers record spike in fixed-rate home loan enquiries

<html><body>
GPT Group has formally withdrawn its bid to acquire the non-residential businesses of Australand.
A <a target="_blank" href="/news">$2.8 billion bid</a> to acquire Australand’s investment property portfolio and commercial and industrial businesses was rejected in December.
"The GPT Group (GPT) announces that it has withdrawn from pursuing a proposal with the Board of the Australand Property Group (Australand) to acquire its Commercial and Industrial assets and business," said the A-REIT. "GPT expressed an interest to work with Australand in early December 2012 to develop a proposal in the interests of both sets of securityholders.
"Following the completion of  detailed due diligence and discussions, it has become apparent that a transaction at a price that GPT is willing to pay is not possible. "GPT has maintained a disciplined approach and has consistently advised the market that it does not need to proceed with the transaction to achieve its strategic goals. "GPT will continue with its existing organic growth plans for its logistics &amp; business parks and office portfolios and allocate capital accordingly," said GPT. 

</body></html>

GPT pulls out of Australand bid 

<html><body>
Mortgage lender RAMS has cut its one-year fixed home loan rate by four basis points to 4.95% p.a. and its three-year fixed home loan rate by 10 basis points from 5.09% to a low 4.99% p.a.
The new rates take effect from tomorrow (May 28).
It follows less than two weeks since RAMS <a href="/news">last cut its fixed rates</a> following the RBA May cash rate cut, with its two-year fixed home loan also falling to 4.99%.
“These interest rate cuts to our fixed home loan rate further demonstrates our commitment at RAMS to bringing Australians a better deal. RAMS continues to offer some of the most competitive and attractive fixed home loan rates on the market to help everyday Australians into homes," said RAMS chief executive Melos Sulicich.
“Fixing your interest rate could be a smart option allowing customers to lock in certainty of monthly repayments. Another option to consider is splitting your home loan between fixed and variable interest rates to make the best of both worlds,” he said.
<table border="1" cellspacing="0" cellpadding="0"><tbody>
<tr>
<td width="106" valign="top"></td>
<td width="106" colspan="2" valign="top">One year</td>
<td width="106" colspan="2" valign="top">Two year</td>
<td width="106" colspan="2" valign="top">Three year</td>
<td width="106" colspan="2" valign="top">Four year</td>
<td width="106" valign="top">Five year</td>
</tr>
<tr>
<td width="106" valign="top">
New Rate 
</td>
<td width="106" colspan="2" valign="top">
4.95% 
</td>
<td width="106" colspan="2" valign="top">
4.99%
</td>
<td width="106" colspan="2" valign="top">
4.99% 
</td>
<td width="106" colspan="2" valign="top">
5.39%
</td>
<td width="106" valign="top">
5.45%
</td>
</tr>
<tr>
<td width="106" valign="top">
Comparison Rate* 
</td>
<td width="106" colspan="2" valign="top">
6.07% 
</td>
<td width="106" colspan="2" valign="top">
5.98%
</td>
<td width="106" colspan="2" valign="top">
5.91% 
</td>
<td width="106" colspan="2" valign="top">
5.98%
</td>
<td width="106" valign="top">
5.97%
</td>
</tr>
</tbody></table>
Source: RAMS
</body></html>

RAMS cuts three-year fixed-rates to 4.99%

<html><body>
A Perth estate agency trading as a Century 21 office has become the fourth company to be fined recently for taking too long to lodge a number of tenants’ bonds with the WA Bond Administrator.
Maida Vale-based Dalefin Holdings Pty Ltd, trading as Century 21 Eastbelle Realty, took on average, three months to lodge 14 security bonds totalling more than $22,000. Some bonds were not lodged until more than four months after they were received.
It is the second WA estate agency in less than a week to be fined for this offence.
Dalefin Holdings was fined $8,000 after pleading guilty in the Midland Magistrates Court on 23 May 2013 to 14 charges of failing to lodge bonds ‘as soon as practicable’ as required by the Residential Tenancies Act.
The Court also ordered the agency to pay legal costs of $275.
Last week Bunbury property management company <a href="https://www.propertyobserver.com.au/industry-news/bunbury-property-management-firm-fined-%2410000-for-late-bond-lodgement-consumerwa/2013052261594">Just Property Management (WA) Pty Ltd </a>was fined $10,000 for late bond lodgement.
Lawyers for WA’s Consumer Protection told the Court that Dalefin Holdings had taken, on average, three months to lodge 14 security bonds totalling more than $22,000.
The bonds were collected between October 2011 and February 2012 and, in some cases, were not lodged until more than four months after they were received. The agency had received formal warnings on two previous occasions.
Three other companies have been recently fined for similar breaches:
<ul>
<li>A real estate agency was fined $15,000 in December 2011 over 51 late lodgements that were 17 to 72 days late</li>
<li>A real estate agency was fined $10,000 in April 2013 over 27 late lodgements that were, on average, 38 days late</li>
<li>A property management company was fined $10,000 earlier this month over 37 late lodgements that were 17 to 46 days late</li>
</ul>
Commissioner for Consumer Protection Anne Driscoll said real estate agencies and property managers need to review their office procedures to ensure speedy lodgement of bonds.
“It’s essential that tenants’ funds are safe and secure and lodged with the Bond Administrator as soon as possible. Taking many weeks or even months to do so is unacceptable and is a breach of the law,” she said.
“The appropriate lodgement and security of tenant’s bond moneys is an issue that Consumer Protection takes seriously. Agents and property managers need to keep their business in order so they don’t run the risk of being prosecuted.”
</body></html>

Perth Century 21 branch the latest to be fined $8,000 for late bond lodgements

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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