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If you’ve been reading my property investment blogs, you’ll know that I feel confident in the long-term prospects of our property markets, which will be underpinned by the dual prongs of a growing population (which will require housing) and the fact that we are a wealthy nation (we can afford to pay for housing).
I know some commentators are concerned that our economy will slump as the resources boom slows down and some doomsayers are gloating that the property market has fallen for two consecutive months.
But I see it differently.
We are entering a new economic stage; a period of continued prosperity, albeit at a slower pace. This stage will be underpinned by a generally buoyant economy.
It’s much more than just resources
Sure, the construction phase of the resources boom is coming to an end and other sectors of the economy will have to step up.
And yes, our economic growth will slow down a little over the next few years, which will keep interest rates and inflation low.
But it’s not all doom and gloom.
Government analysis last year suggested that over the next five years we’ll need an extra 800,000 workers to ensure our continued economic growth as a surge in service industries eclipses the resources boom.
This means there is a looming structural shift in the jobs market as demand grows for professional skills, offsetting the expected loss in the manufacturing sector.
A regional shift is forecast as Queensland outstrips other parts of the country in job creation, adding 220,000 positions compared with about 190,000 in NSW, 180,000 in Victoria, 150,000 in Western Australia and 50,000 in South Australia.
Countering assumptions about our economy slumping as the resources boom slows down, the findings of the report show the service industries will need more workers than any other part of the economy.
While mine companies will need about 100,000 new workers over the next five years, healthcare and social assistance employers will need 240,000 staff and professional services companies will require 110,000.
Education, tourism, retail and financial services will also create new jobs as the manufacturing sector shrinks.
The forecasts come with danger signs, as 19 of the 20 strongest job categories require qualifications higher than secondary school.
"The structural change in the Australian labour market and the significant shift towards higher skills occupations will limit the opportunities available to job-seekers without appropriate levels of qualification, work experience and employability skills," the analysis says.
 
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What about our ageing population?
At the same time that we need more workers, our population is ageing, and in many ways this could provide a greater challenge for us than population growth.  
Demographer Harry Dent caused a stir when he suggested that our ageing population and its lack of spending is going to cause the next depression. The fallout of a baby boom gone wrong has been witnessed in Japan, where the number of retirees escalated beyond the number of working age citizens and had a notable impact on their local economy.  
Dent suggested that Australia is facing its own demographic tsunami as more of our Baby Boomers hit retirement age.  
Again, I see it differently: we are going to have to populate or perish.  
Look at the facts. Today, 43% of our workforce is made up of Baby Boomers (people born between 1945 and 1964).  
The Baby Boomer crisis 
Think about it. Australia is on the crest of a demographic tsunami as Australia’s 5.3 million Boomers are going to reach retirement age over the next 15 years.
The country's money box faces a double whammy as these Baby Boomers leave the workforce and stop paying tax, yet at the same time many will go on the pension and use our public health care system.
The problem is that most Baby Boomers don’t have enough savings or superannuation to see them through retirement.  This means many will have to keep working longer than they had anticipated but eventually, when they do retire, they will place a massive burden on our financial system.
The government will have to find money for their pensions and health costs while at the same time making up for their lost taxation revenue by either:
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<li>
Increasing taxes on those in the workforce, which would be political suicide, or;
</li>
<li>
Increasing the size of the tax-paying workforce by importing younger workers. These young skilled adults that will migrate to Australia to fill our increasingly wide gap in skilled labour will be gainfully employed and, given their skills, will earn high incomes and pay their share of tax.
</li>
</ul>
Fact is Australia's population will keep getting bigger under every realistic scenario and no matter what politicians do, population growth is going to happen. This is a certainty.
What does this mean for Australia?
There is no doubt that our population growth will bring with it significant social, infrastructure and environmental impacts.
In Australia at present, 87% of us live in urban areas. There is an obvious emerging trend toward smaller dwellings and inner-city lifestyles, which means more of us are going to be concentrated around our major capital cities.
With more and more of us wanting to live in the same four big capital cities, and in fact in the same suburbs of those capital cities, our old friend the supply and demand ratio will keep pushing up the value of well located inner suburban properties.
Sure, these properties will be unaffordable for some of us who’ll remain tenants. But others will be able to afford these higher priced properties, as I don’t think that anyone would argue that as a nation Australia will become wealthier over the next few decades.
The good news is that by many accounts Australians are already the wealthiest nation in the world and if we play our cards right, this is likely to continue as Australia is well positioned to benefit from the growth of Asia, which represents 50% of the world’s population.
Yes, our economy is slowing down, and of course there will be speed bumps along the way, but our economy is still the envy of most developed nations.
It’s most likely we’ll have a change of government later this year but the new government will inherit a particularly good set of economic fundamentals. This means Joe Hockey will likely be able to deliver much the same in his first term in government.
If he can keep GDP growth near 3%, underlying inflation around 2.25% and the unemployment rate around 5.5% then we’re likely to remain in a low interest rate environment.
The bottom line is that our economy is going to soldier on, as are our property markets. I can’t see a bust ahead for either!
Michael Yardney is a director of <a rel="nofollow" href="https://www.metropole.com.au/">Metropole Property Strategists</a>, who create wealth for their clients through independent, unbiased property advice and advocacy. Subscribe to his <a rel="nofollow" href="https://propertyupdate.com.au/category/property-investment/">Property Update</a> blog.
 
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Despite gloom our economy and property markets will soldier on: Michael Yardney

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When economic news from around the world gets all gloomy, one sector that always seems to get hit is Australia’s tourism industry.
But there are some travel changes in the wind that could be good for some property markets. And they are probably not the specific real estate markets you are thinking of.
What’s gone on over the last few years?  
The fact is since the GFC we have turned from a nation of spenders into a generation of savers.  
Today, Australians tend to be cautious with their disposable income, wondering whether the annual family holiday is such a good idea or whether it’s better to save those extra few pennies.  
Add to this the fact that the strong Aussie dollar has until recently bought us far more bang for bucks overseas, and those of us who had a desire to travel suddenly got itchy feet for the likes of Asia, the US and Europe.  
This meant that locals in our holiday towns have been doing it tough as they face rising unemployment due to a slowdown in the tourism sector.  
And many residents in our holiday locations have been struggling to cope with their mortgage commitment, with these areas recently recording some of the highest rates of repayment delinquencies in the country.  
But now things are changing…  
You’d have to be living under a rock not to have heard that over the last month the Australian dollar has plummeted from its previous highs, now making overseas holiday more expensive for locals and holidays in Australia more economical for foreigners.  
That’s the first bit of good news for our tourism industry, but there’s more.  
We could become the new playground for Asia  
The rapid urbanisation of China and India, two of the world's most populous countries, has created a new population of potential tourists at our doorstep.  
The rapidly expanding numbers of cashed-up Asians are choosing to spend their downtime (and disposable income) right here as China and India’s burgeoning middle class start to embrace holidays Down Under.  
Interestingly, almost as fast as we ship coal and iron ore to China’s steel mills, the number of inbound visitors to our shores from China is soaring.  
A surge in tourism  
In the past decade, the number of Chinese tourists visiting Australia has escalated by 13.4% annually, overtaking Japan and Britain.  
In fact, China is our biggest source of local tourism revenue, with Chinese holidaymakers spending more per person on average than Kiwis or Brits.  
In contrast, the number of inbound tourists from the financially flailing Britain has grown by a dismal 0.2% per annum, while the number of tourists from Japan and the United States has shrunk.  
With many analysts predicting a rapid expansion in China’s middle class, we will no doubt see this trend continue. In fact, some suggest that Chinese visitors will account for a third of the tourism export industry’s growth between now and 2020.  
Where do they want to spend their money?  
The big question then for Australia’s tourism operators is where and how do these new Asian jetsetters want to spend their time and money?  
In the 1980s, the priority was sun, sand and surf as Japanese holidaymakers flocked to the Gold Coast and far north Queensland.  
But the Chinese have different priorities, with a greater emphasis on the attractions offered by urban centres such as Melbourne, Sydney and Brisbane.  
While the traditional holiday hotspots in regional Australian towns struggle, capital city operators are adapting and, in turn, profiting.  
This is because the average Chinese tourist spends more than two-thirds of their entire trip in the nation's three biggest cities, but relatively little time in tropical Queensland.  
So what does this mean for property?  
Well, like anything, where there is economic viability and demand fed by a number of industries (as there is in our capital cities), there is prosperity to be had.  
Regional areas that rely heavily on tourism to sustain their local economies are unlikely to benefit strongly from overseas travellers. However, local tourism should eventually pick up as our cheaper Aussie dollar makes overseas holidays more expensive for locals.  
In the meantime, the economies of our three big capital cities are being strengthened by this new wave of tourism and this can only be good for their property markets.
Michael Yardney is a director of <a href="https://www.metropole.com.au/" rel="nofollow">Metropole Property Strategists</a>, who create wealth for their clients through independent, unbiased property advice and advocacy. Subscribe to his <a href="https://propertyupdate.com.au/category/property-investment/" rel="nofollow">Property Update</a> blog.
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New wave of tourism is good news for Australian property markets: Michael Yardney

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Australians seem to have lost their mojo! For much of the last few years we were an unhappy lot, then just when confidence seemed to be returning earlier this year, it took a slump again.
So what does it take to make us happy?
Obviously, it's more than money because we're already the world's richest people.
Now, before you shoot me down, let me explain that I certainly realise that to be truly wealthy you need more than just money. Of course I realise that money is important in those aspects of your life where it is important (like paying the bills and the school fees) and money is not important in those areas of our lives where it is not important.
But many of us are still worrying about getting more money so we don't have to worry about money anymore.
Back to the point I was starting to make – we're already wealthy
Yes, we're already wealthy. This was confirmed in the <a href="/news">Credit Suisse 2012 Global Wealth Report</a>, which showed that Australians are now comfortably the richest population in the world with a median wealth per adult of $US194,000.
This is more than double that of second-placed Switzerland with $US87,000.
Interestingly, the report states that Australians comprised some 1,571,000 people in the top 1% of the planet’s wealthiest people.
By the way, in order to be in the world’s top 1% you need a net wealth of $US710,000 and if you have net assets of over $US71,000 you are in the richest 10% of global wealth holders.
<img src="/images/stories/2013/05/yardneymay30one.jpg" width="470" height="285" alt="yardneymay30one">
Source: <a href="/news">credit-suisse.com</a>
The fact that the proportion of Australians with wealth above $US100,000 is the highest of any country, and eight times the world average, is mainly thanks to Australia being sparsely populated, our high levels of natural resources and our high real estate prices.
How many millionaires?
America still has the largest number of millionaires – more than 11million – three times higher than its nearest rival Japan and Australia boasts more than 905,000 millionaires.
Better yet, the report forecasts that the number of millionaires in Australia will jump to 1.6 million over the next five years. That’s a staggering 82% increase!
<img src="/images/stories/2013/05/yardneymay30two.jpg" width="368" height="215" alt="yardneymay30two">
Source: <a href="/news">credit-suisse.com</a>
What's ahead?
The report suggests that total world household wealth is expected to increase by almost 50% in the next five years, with the United States retaining the top spot with wealth of US$89 trillion.
China is expected to add US$18 trillion to global wealth and overtake Japan as the second-wealthiest country in the world.
This bodes well for Australia – we just happen to be in the right spot at the right time.
As China transforms from an industrial economy into a consumer-driven society, this will offer abundant opportunities for Australia.
Not only will China and other developing Asian countries require our resources, but we can supply them with health services, education, food and technology. If we play our cards right, we can be the tourism playground for a new generation of middle-class Chinese, just like we were for the Japanese in the 1980s.
Yes, there’s some good reasons for our mojo to return!
Michael Yardney is a director of <a rel="nofollow" href="https://www.metropole.com.au/" target="_blank">Metropole Property Strategists</a> who create wealth for their clients through independent, unbiased property advice and advocacy. Subscribe to his <a rel="nofollow" href="https://propertyupdate.com.au/category/property-investment/" target="_blank">Property Update</a> blog.
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Australia is at the top of the wealth pyramid and our future is bright: Michael Yardney

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Savvy property investors know how to negotiate a better deal for themselves by applying pressure to three critical negotiating points.  
These pressure points are at work in every negotiation; either you are applying pressure to the other party or they are using them on you. So let’s take a look at them.  
1. Options  
When you’re buying a property it is important to convince the seller that you have more options than they do, because power in negotiation goes to the person with the most options.  
Look at it this way: if a seller has two buyers lined up waiting to offer him $500,000 for his property, then he has options. You probably have little chance of getting him to accept your offer of $480,000.  
However, it’s important to realise that in negotiations you often deal with perception rather than reality.  
Agents will often tell you they have other buyers interested or better offers than yours, but they are simply applying this same pressure tactic on you.  
To gain power in negotiations you must convince the vendor through his agent that you have more options than they do. Currently, this isn’t too difficult because in most markets there’s an abundance of properties for sale.  
Let the agent know that there are also other properties you are interested in. You could say something like: “We like this property but there are two others we have in mind in a better location and at a lower price”.  
Remember: the person with the most options has the upper hand in the negotiation.  
2. Time
 
If a vendor is highly motivated and under time pressure you could find yourself a terrific buy.  
While it may be hard to work out what type of pressure the vendor is under, the selling agent will sometimes tell you that they have already purchased another property and must settle at a particular time.  
Other time-motivated sellers include people going through a divorce or moving interstate.  
To help find out how motivated the vendor is you could ask the selling agent: why is the vendor selling? Where are they moving to? Would they consider a lower offer for a quick settlement?  
Other sensible questions to ask are:
• How long has the property been on sale?
• Have they received any offers on the property?
• How did the vendor come to his selling price?  
I like to use time pressure when making a written offer to purchase. I’ve found it helps if I put a deadline on my offer such as “this offer expires at 6.00 pm on Thursday 23rd May.”  
I always give an explanation to the agent such as: “Well…I’m considering purchasing a particular property that’s going to auction this weekend and if the vendor doesn’t accept my offer by Thursday I’m keen to purchase the other property and can’t have this current offer remaining open when I go to the auction .”  
3. Knowledge
 
In negotiations, the side with the most knowledge will do better.  
If you’ve done the proper research you should know more about the property market in which you are buying than the seller.  
However, apart from researching the local property market, it’s also good to find out what you can about the vendor. The problem is that most of what you know comes from the agent.  
But the reason you should find out as much as you can about the seller and their property is that it will give you a better insight into the real motivation for selling. This could lead to a creative win-win solution that will let you buy the property at below market price.  
In summary:
Remember these three critical negotiating pressure points when negotiating your next property purchase. Make sure you take advantage of them and that the selling agent doesn’t apply them to you.    
Michael Yardney is a director of <a href="https://www.metropole.com.au/">Metropole Property Strategists</a>, who create wealth for their clients through independent, unbiased property advice and advocacy. Subscribe to his <a href="https://propertyupdate.com.au/category/property-investment/">Property Update</a> blog.
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Three pressure points that can swing property purchase negotiations in your favour: Michael Yardney

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You often hear that location is paramount when choosing a great investment property. But what makes a good location?  
While a lot of factors come into play, easy access to facilities must be near the top of the list.  
Walking distance to transport, shops and the café lifestyle is one the strongest trends attracting buyers and tenants. This is particularly so among the growing demographic living in apartments in our inner suburbs.  
Australian cities have been ranked by WalkScore
Well, now you can find out how ‘walkable’ your suburb is.  
Walkscore.com measures the number of typical consumer destinations within walking distance of a dwelling. It issues scores ranging from 0 (car dependant) to 100 (most walkable) and has recently ranked more than 100 Australian cities and 3,000 suburbs.
With a ‘walk score’ of 63, Sydney comes out on top in the ranking of <a href="https://www.walkscore.com/rankings/australia" target="_blank">The Most Walkable Australian Cities and Suburbs</a>.  
While a number of real estate websites have incorporated WalkScore and more are likely to follow, the ‘walkability’ index has a number of shortcomings.  
Consider the low-scoring regional dweller who enjoys walking their dog on a rural path. Not to mention that what one person considers a ‘walkable’ trip may seem an epic hike to another.  
Walk Score’s ranking of the top 10 largest Australian cities:  
Here is how our cities ranked:
1. Sydney (Walk Score: 63)
2. Melbourne (Walk Score: 57)
3. Adelaide (Walk Score: 54)
4. Brisbane (Walk Score: 51)
5. Perth (Walk Score: 50)
6. Newcastle (Walk Score: 49)
7. Wollongong (Walk Score: 48)
8. Gold Coast (Walk Score: 48)
9. Central Coast (Walk Score: 41)
10. Canberra (Walk Score: 40)  
While this is interesting, what is more important is that in every city some suburbs are more ‘walkable’ than others.  
You can check out the complete list of ranked cities and suburb <a href="https://www.walkscore.com/rankings/australia" target="_blank">here</a>.
Walk scores are turning up in a number of property portals and agent websites and you can expect to see more in the future.  
What does all this mean?
Over the past decade, <a href="https://www.smh.com.au/nsw/walkability-can-step-up-house-prices-20120330-1w3he" target="_blank">home values in Sydney’s ‘walkable’ neighbourhoods</a> have outperformed the rest of the city and can attract a 20% premium.  
It was much the same overseas where studies indicate that properties with above-average levels of ‘walkability’ command a premium over homes with average levels of ‘walkability’.  
It gets even better…  
‘Walkable’ neighbourhoods offer a number of health and economic benefits. For example, a 10-year long study of Australians by the <a href="https://www.sciencedaily.com/releases/2013/03/130307124427.htm" target="_blank">University of Melbourne</a> found that ‘walkable’ neighbourhoods with proximity to shops, parks and public transit improve people’s health and wellbeing.  
As our population grows and our cities become denser, I see the importance of easy access to amenities and ‘walkability’ becoming more important.  
With more of us trading backyards for balconies and living in apartments, we’re spending more time in cafés and restaurants rather than entertaining at home.
Add to this the fact that 22% of our population are living alone, then the opportunity to stroll up the road to visit their favourite café for a coffee or a meal is particularly important to them.
So when you’re looking at buying your next home or investment property consider its proximity to amenities. As our lives become more hectic and our cities become more congested, many of us will be prepared to pay a premium to be close to - but not right next to - transport, shops and amenities.
Michael Yardney is a director of <a href="https://www.metropole.com.au/" rel="nofollow" target="_blank">Metropole Property Strategists</a> who create wealth for their clients through independent, unbiased property advice and advocacy. Subscribe to his <a href="https://propertyupdate.com.au/category/property-investment/" rel="nofollow" target="_blank">Property Update</a> blog.
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'Walkability' will become more important as cities become denser: Michael Yardney

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I recently read an article suggesting that financial planners often recommend that, based on current average annual returns, a couple would need close to $1 million in superannuation when they retire to live modestly.
In my opinion that would only give them a very modest lifestyle since they would, in general, live off the $40,000 or so interest they receive on this, or on dividends from the shares in the super fund.
Apparently, a single person would need about $800,000, once again to live modestly.
By the way; I think you will need much, much more than this to fund a comfortable retirement.
Either way, this means millions of Australians will struggle in retirement because only 10% of Australians have more than $100,000 in their super accounts. 
A report from last year by the Association of Superannuation Funds of Australia says:
“On the basis of the current average superannuation balance and average income of those aged 35 to 44 and the assumption of only compulsory superannuation contributions being made, the average retirement superannuation payout at age 60 for a male currently aged 35 to 44 would be $183,000, while for a female it would only be $93,000.”
That’s scary stuff…  
Most Gen X-ers will fall far short of being able to retire on their superannuation.  
Little wonder that more and more Australians are looking at taking control of their financial future and setting up self-managed super funds (SMSF).  
With 5.3 million Baby Boomers transitioning into retirement over the next 15 years or so, I see properties bought in a SMSF as a major driver of property values over the next decade.
How much super is enough? 
So, the big question is how much money do you really need for your retirement?
Well, lifestyle is a very personal thing – luxury living for one person is a modest existence for someone else.
While you’re in your working years, choosing a lifestyle is simple – most of us live the life we can afford. If we want a fancier lifestyle, we need to earn more, win the lottery, marry someone rich or inherit money from a rich relative.
However, if you want a comfortable life in retirement, then you better start working on your financial independence now. Super alone is unlikely to get you there, but growing a substantial property portfolio just may.
The 4-step formula to financial independence
Here are four timeless rules for achieving financial freedom. Please don’t dismiss them because they sound so simple:
1. Spend less than you earn
This maxim may seem obvious, but many people have difficulty following it. If you're spending more than you earn, you will never become financially independent. You will be paying money to others for the rest of your life. The earlier you start living by this rule, the better. It is never too late to start.
2. Invest the difference wisely 
It may surprise you, but the average Australian earning between $50,000 and $60,000 a year for 40 years will earn somewhere between $2-3 million during their working life. Yet most of them will retire poor. Clearly, the level of your income has no bearing on the level of wealth you achieve; what is critical is the amount you save and invest wisely.
3. Reinvest your investment income so you get compounding growth
As you are beginning to understand, you will never become financially independent on your earnings alone. You need to keep reinvesting. In fact, by the time you become financially free almost all your assets will have come from compounding capital growth, not from your income, your savings or your rent.
4. Keep doing steps 1 and 2 until your asset base reaches a critical mass so that you have the cash machine that gives you the income you desire.
If you’ve been following my blogs you’d know I advocate growing a multi-million dollar property portfolio as your cash machine. In fact, I’ve written a best selling book on that topic, <a href="https://www.thebookonpropertyinvestment.com/">How to Grow a Multi-million Dollar Property Portfolio</a>. This book is about helping you build your own cash machine.
So how many properties do you need to retire? 
Do you know? Well, it’s a trick question.
It’s not really how many properties you own that’s important. I’d rather own one Westfield shopping centre than 35 small regional properties.
In other words, what’s really important is the size of the asset base you build – the size of your cash machine. And this probably needs to be a lot bigger than you think.
Over the last few years, more and more property investors are considering setting up a self-managed superannuation fund (SMSF) as a vehicle to buy their properties and increase their asset base.
So what are the main advantages and disadvantages of taking this tack when it comes to building your own retirement nest egg?
The good
&gt; Control – You have control over your SMSF rather than entrusting your future financial wellbeing to a complete stranger, who will take your hard-earned cash and invest it in shares and managed funds that may or may not perform.  
&gt; Leverage – You can make the money in your SMSF work harder by using it as a deposit and borrowing to buy investment properties that grow in value.  
&gt;Tax savings – In the past, those who bought a property in their fund until they retired were exempt from paying either capital gains tax if you sell the investment, or income tax on any rental income should you decide to hang onto it. Before they retired, any capital gains or rental income generated by your SMSF was taxed at a rate of 15% and 10% Capital Gains Tax was applicable if they sold the property after holding on to it for over a year.
Recent changes to the tax law means that in the future these concessional tax rates will change, but owning property in super may still be tax effective for you.  
&gt;You will have a diversified super portfolio that is not reliant on just one investment vehicle, meaning you will have better financial security for the future.  
The bad
&gt;The cost! This usually involves thousands of dollars in establishment costs and sometimes there will be higher fees involved in borrowing to buy property through your SMSF.  
&gt;The confusion – There’s no denying that managing your own super fund can be a minefield of complicated rules and regulations. Get something wrong and you could end up paying hefty penalties. Of course, you can pay a professional to manage it on your behalf and this is something I would strongly advise anyone with a SMSF to do – whether they’re buying real estate or not!  
&gt;You have to have the cash to do it. This is not a strategy for someone with a small amount of cash in his or her super fund. Basically, unless you have over $150,000 of available funds in your SMSF and are still contributing to your SMSF, the banks may not be willing to lend money for you to buy property in your SMSF.
If you’re at all concerned about financial independence in retirement, put some plans in place, review your finances, do something now and don’t leave it until it’s too late.
Be careful  
Of course, before you go down the route of setting up your own SMSF, it is critical to seek independent advice from a properly qualified financial planner to ensure that it is appropriate for your circumstances, and that you set up things correctly and don’t fall foul of the tax man.  
Michael Yardney is a director of <a target="_blank" href="https://www.metropole.com.au/">Metropole Property Strategists</a> who create wealth for their clients through independent, unbiased property advice and advocacy. Subscribe to his <a target="_blank" href="https://propertyupdate.com.au/category/property-investment/">Property Update</a> blog.
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Weighing the pros and cons of SMSFs as you plan for retirement: Michael Yardney

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Recently one of my sons who has taken a keen interest in property investment asked: “Dad, what’s the worst advice you’ve ever been given on real estate investing and what’s the best advice you could give me?”  
The worst advice:
I explained that the worst real estate investment advice I was given was that property investment is easy.  
This was clearly wrong because most property investors fail!  
Look at the facts: 50% of those who get into property investment sell up in the first five years and of those who keep their properties, the vast majority never ends up owning more than one or two properties. This means they don’t ever achieve the financial independence they desired.  
However, over the years I have found that property investment is simple, but not easy.  And that’s not a play on words.  
It’s simple if you follow a proven formula but it’s really hard to become wealthy in property if you do what everyone else is doing. While many investors chase cashflow or the next hot spot, I’ve found successful investors build their asset base.  
Over the years I have developed a four-stranded strategic approach to property investment that ensures the properties I buy will outperform the market averages.
<ol start="1">
<li>
I buy a property below its intrinsic value.
</li>
<li>
In an area that has a long history of strong capital growth
</li>
<li>
I look for a property with a twist – something unique or special or different or scarce about it.
</li>
<li>
And a property where I can manufacture capital growth through refurbishment, renovations or redevelopment.
</li>
</ol>
This means I minimise my risks and maximise my upside as each strand represents a way of making money from property. Combining all four is a powerful way of putting the odds in my favour. If one strand lets me down, I have two or three others supporting my property’s performance.
The best advice I’ve been given:
When I first became involved in property investment I didn’t understand the cyclical nature of the property market – my only experience was a rising property market.  
An early mentor taught me to prepare for the lean times by having a cashflow reserve to see me through the down times of the property cycle or to handle unforeseen expenses.  
Rather than use my full borrowing capacity and buy the most expensive property I could afford, I learned the concept of setting aside a buffer.  
While I was initially concerned that I was not using my full borrowing capacity, having this safety net helped me get through the high interest rate period of the early 1990s, while many other investors had to sell up their properties.  
It’s a lesson I’ve never forgotten and has let me sleep peacefully at night through five property cycles.  
Another piece of good advice – treat your property investments like a business
Over the years I’ve seen a small group of property investors, those who treat their investments like a business, become very, very rich by growing a multi-million dollar investment property portfolio.  
They do this requires understanding of “the system”, getting the right type of finance, setting up the correct ownership and asset protection structures and knowing how to legally use the taxation system to your advantage.  
Let's face it: the majority of Australians will be always be employees but we all have the ability to become financially free by becoming property investors who treat their investments like a business. And you can set up your own property investment business while you are still an employee or self-employed.  
In fact, that’s what I did and what almost every wealthy property investor I know has done.  
They built their wealth by growing their real estate portfolio one property at a time. While this was going on they lived off the income they earned from their day job.  
They started off with one property, then leveraged off its capital growth to invest in another and another until one day they found themselves with a true property investment business.  
One that gave them financial freedom and choices in their lives.
Michael Yardney is a director of <a href="https://www.metropole.com.au/" rel="nofollow">Metropole Property Strategists</a>. 
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The best and worst property investment advice I've received: Michael Yardney

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Recent reports reveal that Australia has overtaken the US as titleholder for “home to the world's largest houses”.
Large ‘McMansions’ on expansive suburban blocks have long been held up as the ‘Great Australian Dream’ ideal, while smaller inner city apartments copped a pretty bad rap as the cheap and nasty end of the property market.
However, <a href="https://www.propertyobserver.com.au/residential/times-are-changing-and-apartments-are-on-the-rise-terry-ryder/2013041560408" target="_blank">times are changing</a>, with many home buyers and tenants forced to reflect on whether their priority is square footage and a big backyard in the burbs or getting into a property without breaking the budget.
Suddenly that one-bedroom apartment seems a lot more appealing.
Whilst many developed countries have embraced the virtues of high-density accommodation clustered around major cities – think New York, Paris, London and Tokyo – here in Australia, our culture has been based on backyards, BBQs and wide-open family spaces.
Now though, a demographic shift is occurring, with more single person households and childless couples choosing to live in and around our big cities where employment and lifestyle factors are big drawcards.
Figures from the Australian Bureau of Statistics (ABS) reveal that the number of one person households will surge to between three million and 3.6 million by 2031; a dramatic shift when you consider that in 2006 only 1.9 million people lived alone.
This massive increase is due to a number of factors, including:
<ul>
<li>Gen X downsizing as their children grow up and leave the family home.</li>
<li>A forecast jump in the number of DINKS (Double Income No Kids). According to the ABS, couple-only households are set to overtake the number of families with offspring in the next two or three years, and it's expected that DINKS will make up 60% of all couple-only households by 2031.</li>
<li>A rapidly growing population and continuing housing shortage in some of our major cities.</li>
<li>Ongoing affordability issues and increasing rental prices forcing many to rethink their size requirements.</li>
</ul>
Demand for one bedroom apartments, which skeptics have long considered to be less desirable, is set to soar as many Australians adjust their ideals according to what they can afford. And one of the questions they'll be asking is: do I really need that extra bedroom?
In the past, singles and couples have, by and large, sought out two bedroom apartments with the perception that they offer larger living spaces and the convenience of extra storage.
However, with median price tags for such real estate heading upwards of $500,000 and rents soaring over $500 per week in many desirable locations, the affordability barrier is encouraging many tenants, investors and home buyers to accept one bedroom units as a viable alternative.
Recognising this growing trend, developers are jumping on the bandwagon and including more one bedroom units in their large scale projects. But be wary – the price of many of these new apartments is going up as their size is going down.
 
<hr class="system-pagebreak">
So do one bedroom apartments make good, affordable investments? 
 
Is there enough ongoing future demand from tenants and owner occupiers alike to ensure they perform as long-term cash cows?
The simple answer is – yes!
Why?
Because affordability means more owner-occupier buyers will be pushed into this type of real estate as they sacrifice size for location, thereby increasing demand and placing upward pressure on prices. These apartments are often located closer to the city and major work nodes as well as universities and hospitals, in areas that generally have efficient transport connections, plenty of retail facilities and social amenity; all key elements high on the list of young buyers.
In addition, tenants seeking rental accommodation in and around desirable lifestyle locations will look for affordable one bedroom alternatives, meaning investors will have a large tenant pool to help pay the mortgage.
Sure, one bedroom accommodation caters to a narrow demographic of one and two-person households, but the reality is this is a mismatch of the demand from this growing demographic and the relatively restricted supply of established one bedroom apartments that are “investment grade” properties.
I have to say that some of my best performing investments over the last few years have been one bedroom apartments. They attract a diverse range of tenants, including Gen Y’s making the break from mum and dad; young professional couples, middle-aged singles as well as downsizing baby boomers.
A few words of warning:
<ul>
<li>Small spaces can either be highly functional or incredibly pokey, meaning the design and layout of your apartment is critical.</li>
</ul>
<ul>
<li>Avoid studio apartments. They are too small, the banks don't like them and they are very hard to on sell. Instead, go for something that offers at least 50 square metres of indoor space and if you can manage a balcony and plenty of clever storage options, all the better. Off-street parking is a desired bonus, but not necessarily required if close to transport</li>
</ul>
<ul>
<li>Steer clear of new and off-the-plan developments, especially in the CBDs of our major capital cities. Especially in Melbourne, where there is a huge oversupply and Brisbane with a potential oversupply problem.</li>
</ul>
<ul>
<li>Avoid the large generic developments sold off the plan in the center of major cities. While these might seem shiny and new, they quickly lose their lustre when people realise they lack character and the timeless appeal that puts property in continuous strong demand. Usually the majority of buyers in these soulless complexes are investors, while owner occupiers – the true driving force behind real estate values – tend to stay well away in preference of something more established or in a boutique block.</li>
</ul>
So next time you're shopping for an investment remember that it's not the size of the property that counts, it's the size of the profit you'll realise at the end of the day!
Michael Yardney is a director of <a rel="nofollow" href="https://www.metropole.com.au/">Metropole Property Strategists</a>.
 
 
 
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Warning, but yes small apartments offer big property investment possibilities: Michael Yardney

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Many young Australian families are having difficulty getting a foot on the rungs of the property ladder and the common catch cry is “property is unaffordable”. Some blame the high cost of housing on greedy developers while others blame wealthy investors who use tax dodges like negative gearing.  
But is that really the case?  
There is no doubt housing in our capital cities is expensive, but is it really unaffordable? Let’s have a look.  
Why are house prices so high?
House prices are obviously made up of the land component and cost of the dwelling on it.  
The cost of building a new house has hardly moved (in inflation-adjusted terms) over the last 20 years, however land prices have skyrocketed.  
By restricting the <a target="_blank" href="https://www.propertyobserver.com.au/australian-capital-territory/increasing-land-supply-is-not-the-answer-to-affordability-issues-terry-ryder/2013041060295">amount of land</a> available on the urban fringes of our cities, in part to cap urban sprawl and the associated costs of building infrastructure, state governments have sent the price of entry-level housing through the roof.  
I’ve heard it said that Australia does not have a housing affordability problem, it has a land affordability problem.  
How much of the cost of a new home goes into taxes?
If I asked you how much of the cost of a new home goes toward paying for various taxes, what would your guess be?
Would you guess 5%? Or maybe 10%?  
Well, you would be way of the mark. It can be as much as 44%.  
Research by the Centre for International Economics, commissioned by the HIA, found that Sydneysiders paid about 44% (or an average of $268,000) in various taxes when they built new homes. In Brisbane the figure was about 36% (or $191,000) and in Melbourne taxes accounted for 38% of the cost of new homes.  
In other words, new housing is one of the most heavily taxed sectors of the Australian economy.  
Are houses really unaffordable?
Having said that, do today’s first homebuyers really have it tougher than their parents did?  
Is it all really as bad as what many commentators and the media would have us think?  
I know when I bought my first property close to 40 years ago, properties were unaffordable.  
My first mortgage was for $16,000 and I had no idea how I was ever going to pay it off over the 20-year term. Remember, I was only getting $12 a week rent from my tenant back then in the 1970s.  
According to the ANZ’s head of property research, Paul Braddick, those looking to get their foot in the proverbial property door are no worse off today than purchasers from the 1980s.  
Contrary to popular belief, Australian property prices have increased in line with rising incomes and lower interest rates over the past thirty years. Over the last few decades, increasing income and falling interest rates have been capitalized into house prices.  
The increased number of households with two wages, as well as higher average incomes for women, has put buyers in a better financial position than they were in three decades ago. And recently flat or falling house prices plus falling interest rates have made properties more affordable for many.  
A reality check
Before we complain too much about the cost of new housing, let’s not forget that the type of property many first homebuyers expect today is very different to what their parents started off in. In fact they expect to start off in the type of house it took their parents 30 years to be able to afford.  
Today’s first-home buyers are looking for bigger homes on a large block of land with an ensuite, probably a double garage, all the modern conveniences including air conditioning, a dishwasher and let’s throw in a media room for good measure.  
It’s also worth noting that today around 70% of people own their own home and just 30% rent. In 1911 those figures were reversed; at that time the typical house would have only had one bathroom (an outside toilet).  
By the way, did you know Australia can lay claim to having the largest homes in the world? The average size of our new homes is 214.6 square metres. While US home-builders have been building smaller homes over the last few years, Australian homes have continued to get larger. 
 
<hr class="system-pagebreak">
So what is affordable?
There are many ways to measure housing affordability and many of the models used by overseas economists are not really relevant to Australia.  
To me the key question is: do households in 2013 have more or less disposable income after buying a home and paying down the mortgage than their predecessors?  
Last year the RBA found that, contrary to popular myth, today's households actually have more disposable income than at any other point since they began their analysis in 1993.
Of course, there are some good explanations for this. Per capita disposable income has been growing very strongly, and has outpaced house price appreciation, over the last 7-8 years.  
Over the longer-term, we have had a structural decline in the unemployment rate from the double-digit peaks in the early 1990s to just over 5% today. And then we have had the rise of multi-income households thanks to a secular increase in the female participation rate.  
Last month, the Reserve Bank assistant governor Christoper Kent presented the following chart, which shows that payments on new housing loans now represent less than a quarter of disposable income due to the property price correction we experienced in 2011 and the in first half of 2012 (a time when the cash rate fell from 4.75% to 3.00%).
On the other hand, wages continued to grow <a href="https://www.propertyobserver.com.au/https://www.abs.gov.au/ausstats/abs@.nsf/mf/6345.0" target="_blank">across Australia last year</a> by an average of 3.4%.
<img alt="yardneyapril19one" src="/images/stories/2013/04/yardneyapril19one.jpg" width="374" height="353">
In summary
Currently, interest rates are at record lows and may even fall a little further at a time when incomes are likely to keep rising as our economy chugs along. This will make housing even more affordable for many this year.   Now may be as good a time as any to buy your next property.
Michael Yardney is a director of <a href="https://www.metropole.com.au/" rel="nofollow">Metropole Property Strategists</a>.
 
 
 
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Housing is more affordable than you think

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“It was the best of times, it was the worst of times…” These words seem as relevant describing the Melbourne property market today as they were when written by Charles Dickens over 150 years ago in A Tale of Two Cities.
The latest RP Data stats show that overall Melbourne dwelling prices increased by 2.5% over the last quarter and have risen 4.9% since the market turned in May last year.
Not a bad result! But when you dig deeper you find there is a shortage of well-located, desirable, established apartments and houses in Melbourne’s middle ring suburbs, causing prices to rise and auction clearance rates to remain high.
But on the other hand, there is a glut of new apartments coming onto the market and a dearth of new house and land packages standing vacant not able to find buyers.
Add to this the record number of new apartments coming onto the market in some of Melbourne's inner suburbs over the next few years, which will put further pressure on the city's supply and demand ratio.
According to a recent report by valuers <a href="https://www.charterkc.com.au/" target="_blank">Charter Keck Kramer</a>, about 25,500 new apartments will be completed in metropolitan Melbourne by the end of next year, four times what was built in 2005, when the market for apartments last peaked.
And there are even more in the pipeline. Across the Melbourne metropolitan area there were about 10,250 apartment completions last year, 19,250 under construction and 16,300 being marketed but not under construction.
Many off-the-plan purchasers will be disappointed
The problem is that many Melbourne purchasers bought their off-the-plan apartments a few years ago during more buoyant times, and according to Charter Keck Kramer, eight out of ten off-the-plan apartment sales coming up for completion over the next two-and-a-half years could be facing negative equity.
Apartment prices across Melbourne have fallen between 7% and 11% in the past 12 months and even more than that in some areas of oversupply.
The potential problem for off-the-plan buyers is that, on completion, valuations will fall far short of their contract purchase price and the banks will only lend against the lower valuation. This means many buyers will have to bridge the gap, coming up with the shortfall as well as the stamp duty and acquisition costs.
If history repeats itself, some buyers will try and walk away from their contracts, accepting the loss of their deposits. But they could be in for a rude surprise if the developer on-sells the apartment at a lower price and sues the original purchaser for any loss.
 
<hr class="system-pagebreak">
Melbourne house and land sales are also in big trouble
One more thing: the new house and land market in Melbourne also has a huge oversupply.
According to real estate group Oliver Hume, there has been a 29% increase in the number of residential projects being marketed on Melbourne fringes since 2006, at a time when there is a 5% decline in the number of land settlements.
Land prices have now fallen by a cumulative 16% over eight consecutive quarters, forcing developers and marketing companies to entice first home buyers and property investors by offering substantial incentives.
At the same time as experiencing an oversupply of land, these areas lack infrastructure and facilities, meaning there will be no swift recovery in the outer-Melbourne residential new housing markets.
If you want to get an idea of the huge oversupply just hop on to <a href="https://realestate.com.au/" target="_blank">RealEstate.com.au</a> and type in <a href="/news">Point Cook</a> or <a href="/news">Truganina</a> and you’ll be shocked by how many properties are for sale.
I’ll save you the trouble: Point Cook and surroundings – 3482; Truganina – 4020.
And it’s much the same for many of the northern and western outer suburbs in Melbourne.
So why are the stats showing the Melbourne property market is rising?
Considering the outer suburbs are performing so poorly, the overall figures just show the strength of the established home and apartment market in Melbourne’s inner and middle ring suburbs where there is a shortage of good properties.
Now is a time to be very selective in what you buy in Melbourne. While there are some good buying opportunities, there are also a lot of secondary properties on the market right now.
Michael Yardney is a director of <a rel="nofollow" href="https://www.metropole.com.au/">Metropole Property Strategists</a>.
 
 
 
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Melbourne's property market is a tale of two cities: Michael Yardney

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]

Michael Yardney

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