Around 400 additional homes could be built at Southwark Grounds on Port Road, lifting total site capacity from 1300 to around 1700 dwellings.

A recently approved code amendment would allow apartment towers of up to 14 storeys in some areas of Renewal SA’s redevelopment of the former West End Brewery.

Renewal SA Acting Chief Executive Shane Wingard said he welcomed the code amendment, with the increase in heights and homes making a positive impact on the supply of high-quality, well-connected housing close to the city.

“By going higher across some parts of Southwark Grounds, we are adding a substantial number of very well-located homes with little impact on project delivery time or planned open space,” Mr Wingard said.

Since the project officially launched in 2025, Mr Wingard said more than 12,000 enquiries had been received about living at Southwark Grounds.

“The very strong early interest we’ve seen since homes were first released in the precinct reinforces our plans to create more housing opportunities,” he said.

The Southwark Grounds code amendment was launched in December last year, with community engagement undertaken over five weeks from January.

It proposed increasing maximum building heights from eight to 14 storeys on the eastern section of Southwark Grounds, and to 12 storeys across the remainder of the site, with minimum building heights ranging from two to four storeys.

The code amendment was implemented through an Early Commencement policy in late January, allowing developers to quickly explore the viability of increased height and housing yield while other planning processes continue.

One of the first developers delivering apartment sites have already finalised redesigns to increase the number of apartments following the code amendment.

Samaras’ development adjacent to the future Colonel Light Park is now planning to deliver 125 apartments across 11 storeys, significantly greater than original plans of around 50 apartments across four storeys.

The developer is also exploring the potential for additional affordable housing outcomes.

Most of the apartments at Southwark Grounds will be delivered within a master-planned precinct on a large parcel of land on the eastern portion of the site, covering around two-thirds of its 8.4 hectares.

Wingard said detailed precinct planning over the coming months may identify further opportunities to increase yield further that could see total apartment numbers at Southwark Grounds, exceed this number.

Affordable homes at Southwark Grounds will also see a net increase, with Renewal SA maintaining its commitment to a minimum of 20 per cent affordable housing across the development.

&nbsp;

&nbsp;

Civil works have begun across the site, with construction under way on the first new roads surrounding a townhouse precinct in the south‑west corner of Southwark Grounds. This includes Renewal SA’s 17 Founder’s Row homes, which are on track for completion by Christmas.

“We expect to have people living at Southwark Grounds by the end of the year, so delivering roads and public spaces for those residents is among our highest priorities.”

Construction of 40 townhouses off Anderson Street, known as West Village and being delivered by Contour, is forecast to begin in mid‑2026. Kolabb’s Anderson Lane development will follow shortly after, delivering a further 26 townhouses.

Southwark Grounds is a state government‑led urban renewal project now set to deliver around 1,700 homes over the next decade.

Homes will be supported by a supermarket, a range of retail and hospitality offerings anchored by a revitalised Walkerville Brew Tower, a childcare centre, car parking and well‑connected public spaces.

Joel Robinson

400 new homes planned for Adelaide's former West End Brewery site

Brisbane developer&nbsp;<a href="https://www.apartments.com.au/developers/cavcorp">Cavcorp</a> has lodged plans for a new mixed-use residential development at <a href="https://www.apartments.com.au/new-apartments/55-wyandra-street-teneriffe-qld-4005">55 Wyandra Street</a>, Teneriffe, anchored by an 85-metre public laneway designed to reconnect the suburb’s riverfront with the Gasworks precinct.

The buildings, known as Teneriffe House and Teneriffe Lane, would replace the existing Queensland Cotton head office site with a 15-storey residential tower transitioning to eight storeys toward Helen Street. The project has been designed by Plazibat Architects and lodged as a code assessable development application for 93 apartments across a 3,401 sqm mixed-use site within the Newstead and Teneriffe Waterfront neighbourhood plan.

Central to the scheme is the transformation of an existing service easement into a publicly accessible cross-block connection linking Wyandra and Helen Streets. Cavcorp says the new laneway will act as both a pedestrian shortcut and a landscaped civic space between the Teneriffe Riverwalk, ferry terminal, and Gasworks precinct.

<img alt="First Look: Cavcorp unveils Teneriffe House and Teneriffe Lane plans for landmark wellness tower in Teneriffe" data-entity-type="file" data-entity-uuid="26e7f058-b065-4de8-b13d-a2b8cb64dfcc" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/bldg.png?VersionId=sELS0ZKYi361oYipUa1BIKfe_.DLZoFV" />

“The revised proposal delivers a legacy public-realm cross-block link, permanently secured for community use, transforming an existing private easement into a safe, high-quality pedestrian connection between the Teneriffe heritage riverwalk and the Gasworks–Long Island precinct,” the planning report states.

The laneway will sit beneath a large subtropical loggia integrated into the podium levels of the development. The design incorporates deep landscaping, water gardens, lobby spaces, business lounges, and ground-floor apartments to create what Cavcorp describes as a climate-responsive “urban verandah.”

The tower itself has been designed as a slender form with recessed floorplates and curved translucent corners inspired by contemporary Japanese architecture. The building height aligns with the Commercial Road precinct controls, which permit towers up to 15 storeys within proximity to Longland Street.

<img alt="First Look: Cavcorp unveils Teneriffe House and Teneriffe Lane plans for landmark wellness tower in Teneriffe" data-entity-type="file" data-entity-uuid="a8a17d40-43b6-4718-b3fd-67676fcbb485" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/pers%202_1.png?VersionId=i3VwDtp5AmL_8InW7w4qRbDFEpb744Jt" />

The project will comprise a mix of larger-format apartments aimed at owner-occupiers, downsizers, and families. The proposed apartment mix includes 11 loggia apartments across the lower levels, 50 four-bedroom Sky-Terrace apartments from levels three to seven, and 32 Sky-Pool Homes occupying the upper tower levels. The Sky-Pool Homes will feature private thermal plunge pools integrated into oversized balconies.

According to the application, the apartments are intended to reinterpret the scale and character of Teneriffe’s woolstore conversions and Queensland homes within a vertical residential format.

“The sky-pool homes build on Cavcorp’s previous projects and introduce a distinct apartment typology to Teneriffe, informed by both local and international precedent and responding to an identified market demand for enhanced safety, space and amenity,” the planning submission notes.

A major focus of the proposal is its five-level wellness and lifestyle offering, extending from the basement through to the rooftop.

Amenities proposed include a rooftop Swim &amp; Racquet Club with a 25-metre Olympic lap pool and tennis court, coworking spaces and libraries, golf simulators, wine storage, concierge facilities, business lounges, pet wash areas, and rooftop longevity-focused wellness spaces with spas, outdoor fitness zones, and landscaped terraces.

<img alt="First Look: Cavcorp unveils Teneriffe House and Teneriffe Lane plans for landmark wellness tower in Teneriffe" data-entity-type="file" data-entity-uuid="944b352c-49b9-4247-a4c6-5967b4b69fda" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/amenity.png?VersionId=Ed_qKjAtMwFT.5gfl3jiA9QwdWxSMsaX" />

All parking will be concealed within basement levels accessed from Wyandra and Helen Streets. Cavcorp says the deep-basement engineering approach allows the entire ground plane to prioritise landscaping, pedestrian movement, and active frontage rather than vehicle infrastructure.

The development continues Cavcorp’s concentration in Newstead and Teneriffe, where the Brisbane developer has delivered a number of apartment projects including Lucent, Le Bain, and Luminare, as well as the Long Island Wellness Precinct nearby. Several of those projects have received national design and architecture awards, including recognition under Brisbane’s “Buildings that Breathe” program.

Cavcorp unveils wellness-focused Teneriffe House and Teneriffe Lane apartment buildings

Focus Group Investments has lodged plans for a new apartment development at <a href="https://www.apartments.com.au/new-apartments/64-70-hanover-street-fitzroy-vic-3065">64–70 Hanover Street</a> in Fitzroy, seeking to utilise the Victorian Government’s recently introduced Great Design Fast Track pathway to accelerate approvals for the project.

The proposal is among the latest developments to emerge through the state-led initiative, which was established to fast-track well-designed residential projects in activity centres and transport-connected inner-city locations. The pathway allows qualifying developments that meet elevated design and housing benchmarks to bypass traditional council planning timeframes and instead be assessed directly by the Department of Transport and Planning.

Designed by SJB, the development will comprise a mix of apartments above activated lower levels, with a strong focus on architectural articulation, landscaping, and communal amenity. The design response seeks to balance the industrial character of Richmond’s former warehouse precincts with a more contemporary residential form.

<img alt="First look: Focus Group Investments taps Victoria’s Great Design Fast Track for Richmond apartments" data-entity-type="file" data-entity-uuid="abea51cc-d85b-479e-9aef-a589f3b37ca7" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/ground.png?VersionId=e1Kf8EyPWwyiVumtqQ4rM5S4GpOR3CCz" />

Proposed are 63 new dwellings, a wide ranging mix of studio, one-, two-, and three-bedroom apartments, and townhouses and duplexes. They will be spread across a part-three, part-eight storey building.

The Planning and Urban Context Report by Tract says the development is of an "exemplary architectural standard" and has been carefully crafted by SJB Architects.

"Dwellings&nbsp;will benefit from excellent access to natural light, cross-ventilation opportunities and extensive communal space," the report noted.

The architectural material highlights the project’s integration of landscaped elements and communal spaces throughout the building. The proposal also incorporates sustainability initiatives aligned with the Victorian Government’s push for higher-performing apartment developments under the fast-track program.

The Great Design Fast Track was unveiled by the Victorian Government in 2024 as part of a broader housing supply strategy aimed at accelerating the delivery of new homes. Projects assessed through the pathway must demonstrate high-quality architecture, sustainability outcomes, and housing diversity while being located close to public transport and existing infrastructure.

<img alt="First look: Focus Group Investments taps Victoria’s Great Design Fast Track for Richmond apartments" data-entity-type="file" data-entity-uuid="afdbe834-8dc4-4a77-a943-ba07bc927348" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/site_11.png?VersionId=0J657j.TaChAZfp93wqJYBTqSsnREJx2" />

Focus Group, founder and led by Paul De Lutiis, is increasingly active across Melbourne’s inner suburbs, targeting well-connected urban renewal locations suited to medium and higher-density residential development. The Fitzroy proposal continues that strategy, leveraging the area’s strong transport links, established retail amenity, and proximity to the CBD.

Fitzroy has been one of the most popular spots for developers and buyers in recent years. The likes of PACE Development Group, SMA Projects, Crema Group and Chapter Group, currently selling projects in the suburb.

First look: Focus Group Investments taps Victoria’s Great Design Fast Track for Fitzroy apartments

The Gold Coast Planning Committee has supported the preliminary approval for the Benowa Gardens Urban Village project following an extensive community consultation and assessment process.

The proposal will now proceed to a full council vote on June 2.

The application sought approval for a masterplanned urban village on the existing Benowa Gardens Shopping Centre site, combining new housing, retail, dining, health and lifestyle amenities within a walkable, integrated precinct.&nbsp;

The proposed redevelopment includes around 413 apartments integrated above a revitalised mixed-use centre featuring a full-line supermarket of 4,000 sqm, 6,000 sqm of specialty retail and dining space across around 30 retailers, a 7,000 sqm health and wellness precinct, and roughly 9,630 sqm of office and medical suites.&nbsp;

<img alt="$1b Benowa Gardens Urban Village moves to Full Council following Planning Committee support" data-entity-type="file" data-entity-uuid="fb36ae47-80bc-45f0-9914-31b0c7b6007d" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/PR26576%20Ashmore%20Road%20C4%201121%20FI.jpg?VersionId=6mRKk2uU4r67TmTt39DKGUlvFRbTVqWa" />

The broader masterplan also includes very significant traffic and transport improvements, wide pedestrian walkways, upgraded pedestrian and cycle connections, and enhanced public areas designed to create a more connected and walkable community environment.&nbsp;

Centre owner Patrick Lu said the milestone reflected months of detailed planning, technical assessment and ongoing communication with local residents, businesses, schools and stakeholders.

“We appreciate the time, consideration and care Council officers and the Planning Committee have given this proposal throughout the assessment process,” Lu said.

“We also sincerely thank the local community for engaging with us, sharing feedback and participating in the consultation process over many months.

<img alt="$1b Benowa Gardens Urban Village moves to Full Council following Planning Committee support" data-entity-type="file" data-entity-uuid="32fd1fc3-d0e6-485f-ac57-9916c9bcb818" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/PR26576%20Ashmore%20Road%20C5%201121%20FI_2.jpg?VersionId=fz8qQKDBLQ7MyFRc856Zccfbh9nFwLOe" />

“We understand projects of this scale bring questions and concerns, which is why we have worked hard to listen carefully, provide information transparently and continue refining elements of the proposal where possible.

“Our vision has always been to create a well-designed, community-focused urban village that responds to the changing needs of the Gold Coast, while delivering improved amenity, housing diversity, healthcare access and local lifestyle benefits.

“This proposal is about creating a genuine live-work-play environment where residents can access everyday services, schools, healthcare, dining, shopping and green space within walking distance, while also supporting local jobs and economic activity.”

<img alt="$1b Benowa Gardens Urban Village moves to Full Council following Planning Committee support" data-entity-type="file" data-entity-uuid="50dfbd04-590e-4fc6-983b-766880947867" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Dining%20Day%20Time%20-%20High%20Resolution.jpg?VersionId=BP7ZoKJ0DdL_8iRkkC8VVx99moICV6kg" />

Lu said the proposal had evolved significantly through consultation and technical review, particularly around traffic, pedestrian and student safety and neighbourhood connectivity.&nbsp;

Melissa Griffin, Director at Urbis, said the recommendation recognised the strategic importance of delivering more housing and services within established urban areas already supported by infrastructure.

“This proposal represents the type of thoughtful, integrated growth that planning frameworks across South-East Queensland are encouraging,” Ms Griffin said.

“The project seeks to place housing, retail, healthcare and employment opportunities together in a highly accessible location close to schools, transport and existing services.

“Importantly, the process has involved significant technical assessment and community engagement to ensure local issues and feedback were properly considered throughout the planning pathway.”

$1 billion Benowa Gardens Urban Village heads to council vote following Planning Committee support

Surfers Paradise is officially set for its first new residential development with a 45-storey skybridge connecting the two towers.

John Camilleri’s Celestino Developments has been given the green light by the Gold Coast City Council to develop its major beachfront precinct across its huge 4,000 sqm oceanfront site at <a href="https://www.apartments.com.au/new-apartments/63-79-garfield-terrace-surfers-paradise-qld-4217">63–79 Garfield Terrace</a>, just five months after its <a href="https://www.apartments.com.au/news/qld/first-look-exclusive-billionaire-winx-breeder-s-bold-two-tower-surfers-paradise-play-with-45th-storey-skybridge">submission in late 2025</a>.

The approved scheme will deliver two towers rising 55 and 48 storeys, connected by a skybridge positioned on level 45 that will house a range of resident-only wellness and entertainment spaces.

In its notice of approval, the Gold Coast City Council said the&nbsp;proposed overall built form has been designed to complement the scale, intensity and protect the adjacent amenity and surrounding streets through the use of varied setbacks, site cover and architectural elements.

<img alt="First look exclusive: Billionaire Winx breeder’s bold two-tower Surfers Paradise play with 45th-storey skybridge" 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%202025-12-30%20at%209.53.48%E2%80%AFAM.png?VersionId=ADyPJ_TFbJvSU9wZFOiCBnlPtgF7VWqW" />

Designed by <a href="https://www.apartments.com.au/architects/dbi">DBI</a>, the development will comprise 275 apartments across the two towers, including a mix of two-, three-, and four-bedroom residences, as well as several penthouses. The apartments will sit above a landscaped podium featuring more than 90 metres of beachfront pool frontage, private resident lawns, lounges, and wellness spaces.

DBI said the design draws heavily from the movement and form of the coastal environment, with curving balcony lines and sculpted façades intended to soften the scale of the towers while maximising ocean outlooks and passive shading outcomes.

“The project occupies a rare, uninterrupted oceanfront site and has been shaped by a design philosophy that merges architectural elegance with environmental responsiveness and a carefully curated lifestyle experience,” DBI said in planning documents submitted to the Gold Coast City Council.

The most distinctive element of the approved project is the skybridge linking the two towers at level 45. The elevated communal space is planned to include executive lounges, formal dining areas, wellness facilities, and panoramic ocean-facing outlooks.

“The skybridge enhances the identity of the development, promotes social interaction, and delivers a lifestyle experience not found elsewhere on the Gold Coast,” DBI said.

At podium level, residents will have access to a suite of resort-style amenities, including resident lounges, private dining rooms, a yoga lawn, gymnasium, plunge pools, and treatment spaces. The beachfront pool has been designed with separate lap, lounge, and children’s areas extending across the width of the site.

The project will also introduce new food and beverage offerings along the Enderley Avenue and Oceanway frontages, contributing additional activation to the beachfront precinct.

First look: Winx billionaire’s beachfront Surfers Paradise apartment development greenlit

Sydney’s property market is known for high prices, competitive bidding, and mounting pressure on first home buyers. But change is on the horizon.

From late 2025, eligible first home buyers in New South Wales will have access to a new federal government initiative aimed at addressing affordability: the Help to Buy Scheme.&nbsp;

<h2>What is the Help to Buy Scheme?</h2>

The program introduces a shared equity model intended to reduce the upfront cost of entering the property market, particularly in high-demand urban areas such as Sydney.

The scheme operates under a shared ownership structure in which the federal government takes an equity stake of up to 40 per cent for new homes, or 30 per cent for existing dwellings. This arrangement allows eligible buyers to significantly reduce their loan size and avoid the added cost of Lenders Mortgage Insurance (LMI).

Under this model, purchasers can enter the property market with as little as a two per cent deposit, well below the traditional 10 to 20 per cent usually required. The government’s contribution is not a loan but a co-ownership stake in the property. As such, there is no interest or rent charged on its portion.

Because the government’s equity combined with the buyer’s deposit typically meets or exceeds the 20 per cent threshold, LMI does not apply. The remaining balance, generally between 60 and 70 per cent of the property’s value, is financed through a standard home loan with a participating lender.

The government's equity in the property remains in place until the buyer chooses to repay it voluntarily or until the property is sold. Buyers can buy back the government’s share over time, in increments of at least five per cent, depending on their financial situation.

There is no fixed repayment timeline, but the amount to be repaid will be based on the property's market value at the time of repayment, not the original purchase price.

<h2>How do you qualify for the&nbsp;Help to Buy Scheme?</h2>

To qualify for the Help to Buy Scheme, applicants must meet the following conditions:

<ul>
	<li>Be an Australian citizen at least 18 years of age.</li>
	<li>Be a first-home buyer who does not currently own property.</li>
	<li>Intend to live in the property as their primary residence.</li>
	<li>Earn less than $100,000 per year for individuals, or $160,000 for couples.</li>
	<li>Purchase a property within the regional price caps, currently $950,000 in Sydney, though this is expected to rise to approximately $1.3 million ahead of the program’s launch.</li>
</ul>

While the Help to Buy Scheme does not solve affordability challenges across the board, it does offer a more accessible pathway for a defined segment of the market, particularly younger buyers with moderate incomes who have been priced out of traditional lending routes.

The scheme is expected to commence in NSW in late 2025, as part of a national rollout.

Under the new model, purchasers can enter the property market with as little as a two per cent deposit, well below the traditional 10 to 20 per cent usually required

Help to Buy Scheme: What first home buyers in NSW need to know

The First Home Owners Grant (FHOG) is a government initiative designed to help eligible first-time home buyers by offering financial assistance towards the purchase or construction of a new home.

While the FHOG is a nationwide program, it is administered separately by each state and territory, meaning the eligibility criteria, grant amounts, and property requirements can vary depending on your location. This means that the amount available and the conditions attached to the grant will differ, so it is important to check the specific guidelines for your state or territory.

It’s important to note that the FHOG is just one of several incentives available to first home buyers. In most states and territories, the grant is not linked to stamp duty exemptions or concessions, with the exception of the Australian Capital Territory (ACT). The FHOG is typically a one-off payment, reducing the overall cost of purchasing or building a new home before any stamp duty concessions are applied.

Below, we provide a breakdown of the First Home Owner Grants available across Australia, outlining the specific details for each state and territory.

<h2>New South Wales First Home Owner Grant</h2>

First Home Owner Grant: Offers a $10,000 grant for new homes valued up to $600,000. For land purchases and owner-builders, the threshold extends to $750,000.

Stamp Duty Benefits: Provides full stamp duty exemption for homes valued up to $800,000, with concessions available for properties up to $1 million.

<h2>Victoria South Wales First Home Owner Grant</h2>

First Home Owner Grant: Provides a $10,000 grant for first-home buyers purchasing or building new homes valued up to $750,000.

Stamp Duty Benefits: Offers full stamp duty exemption for properties up to $600,000, with concessions available up to $750,000.

<h2>Queensland First Home Owner Grant</h2>

First Home Owner Grant: Offers $30,000 for contracts signed between 20 November 2023 and 30 June 2025. The FHOG applies to new homes valued up to $750,000.

Stamp Duty Concessions: Provides additional concessions for properties valued up to $800,000.

<h2>Western Australia First Home Owner Grant</h2>

&nbsp;

First Home Owner Grant: Offers a $10,000 grant for new homes valued up to $750,000 in the southern regions and up to $1 million in the northern regions.

Stamp Duty Concessions: Available for homes valued up to $600,000 for transactions entered into on or after 9 May 2024.

<h2>Australian Capital Territory First Home Owner Grant</h2>

First Home Owner Grant: Replaced by the Home Buyer Concession Scheme, offering full stamp duty concessions for eligible buyers.

<h2>South Australia First Home Owner Grant</h2>

First Home Owner Grant: Provides up to $15,000 for new homes, including houses, apartments, and townhouses. As of 6 June 2024, there is no property value cap for eligibility.

Stamp Duty Relief: Available for new homes and vacant land purchases.

<h2>Tasmania First Home Owner Grant</h2>

First Home Owner Grant: Offers a $10,000 grant for new homes and off the plan purchases.

Stamp Duty Exemption: Between 18 February 2024 and 30 June 2026, first home buyers of established homes valued up to $750,000 receive a full exemption on property transfer duty.

<h2>Northern Territory First Home Owner Grant</h2>

First Home Owner Grant: The Northern Territory provides a $10,000 grant for new homes only. Additional government grants and concessions are available for first home buyers.

Stamp Duty Exemption: The only stamp duty exemption available to property buyers is the House and Land Package Exemption (HLPE).

Eligibility criteria and application processes differ across states. Prospective buyers should refer to their respective state revenue offices for full details on grant availability, conditions, and additional concessions.

Every First Home Owner Grant for new property by state

In the ever-evolving landscape of sustainable architecture and environmentally conscious design, systems and ratings in place can help determine the energy efficiency of residential buildings in Australia.

Australia has multiple building rating systems that evaluate energy efficiency and sustainability in existing and new building designs.

Some systems assess individual building components, while others provide an overall rating for the entire structure.

A rating system ensures that homes are comfortable and energy-efficient, whether you are buying, renovating, or building.

NatHERS (Nationwide House Energy Rating Scheme) is a common way for new homes to meet energy efficiency requirements.

As new developments continue to shape the urban environment, understanding NatHERS ratings becomes essential for developers and homeowners. This article delves into the concept of NatHERS ratings, their significance, and how they contribute to creating energy-efficient homes.

<h2>What is NatHERS?</h2>

NatHERS is a national initiative implemented by the Australian government to promote energy efficiency in residential buildings. The scheme aims to provide a standardised method for assessing the thermal performance of homes, considering factors such as insulation, orientation, ventilation, and building materials.&nbsp;

NatHERS ratings are the most common way new homes meet the National Construction Code's (NCC's) minimum energy efficiency requirements.&nbsp;

NatHERS assessments provide thermal and whole-home ratings for new homes, townhouses, and apartments.

The rating helps evaluate the energy performance of buildings, guides homeowners and developers to make informed decisions about the energy efficiency of their properties, and encourages the construction of more sustainable, comfortable, and cost-effective homes.

<h2>How NatHERS Ratings Work</h2>

NatHERS ratings are determined through four accredited software tools (AccuRate, BERS Pro, FirstRate5, HERO) using a calculation engine CSIRO developed to predict building temperature based on various factors.

The tools can model complex effects of building mass, insulation, window size, and other elements.

The outcome is a star rating that reflects the building's overall thermal efficiency, indicating how well it can maintain a comfortable indoor temperature without excessive reliance on heating or cooling systems.

The star rating scale ranges from 0 to 10, with a 6-star rating being the minimum requirement for compliance with the National Construction Code (NCC).&nbsp;

Achieving a higher star rating demonstrates a commitment to energy efficiency and sustainability, as the building is better equipped to minimise its environmental impact and reduce long-term energy costs.

Anyone can use NatHERS tools, but accredited assessors can provide certified ratings and professional advice.

<h2>Benefits of Higher NatHERS Ratings</h2>

Energy Efficiency: Buildings with higher NatHERS ratings are more energy-efficient, requiring less heating and cooling energy. This reduces the structure's carbon footprint and lowers occupants' energy bills.

Cost Savings: Homes with higher NatHERS ratings are generally more energy-efficient, resulting in reduced energy consumption for heating and cooling. This translates to lower energy bills for homeowners, making sustainable living environmentally friendly and economically viable in the long run.

Environmental Impact: Lower energy consumption directly translates to a reduced environmental impact. Buildings with higher NatHERS ratings contribute to the overall goal of mitigating climate change by lowering greenhouse gas emissions associated with heating and cooling systems.

Improved Comfort: Buildings with high NatHERS ratings offer better thermal comfort to occupants. Proper insulation, well-designed ventilation, and optimal orientation maintain a consistent and comfortable indoor temperature, providing occupants with a more enjoyable and healthier space.

Market Value and Desirability: Higher NatHERS ratings can enhance the market value of a property. As energy efficiency becomes a more significant consideration for homebuyers, a well-rated building may attract a premium price and stand out in the real estate market.

Compliance with Building Codes: NatHERS ratings are a vital component of the National Construction Code (NCC), and compliance with these ratings is often a mandatory requirement for new developments. Local councils and planning authorities may set minimum energy efficiency standards that must be met to obtain development approval.

The Nationwide House Energy Rating Scheme (NatHERS) is a crucial initiative shaping the future of energy-efficient, resilient, and cost-effective homes. With its recent upgrades, NatHERS has evolved into a world-leading tool for the building sector, supporting the global commitment to achieving net-zero emissions by 2050.

Staff Writer

What is a NatHERS rating in new off the plan apartment developments?

Mixed-use developments have gained significant popularity across Australia in recent years due to their unique blend of residential, commercial, and recreational spaces.

Unlike traditional single-purpose developments, mixed-use projects offer a harmonious integration of various functions within a single locale.

Residential units seamlessly coexist with commercial establishments, retail outlets, dining venues, entertainment hubs, and recreational facilities, with the combination not only enhances convenience but also fosters a vibrant lifestyle and a sense of community.

<h3>Convenience and accessibility</h3>

Mixed-use developments are designed with convenience in mind. They often integrate residential units with commercial spaces, retail outlets, restaurants, and recreational facilities, creating a self-contained community.

[smartcode_project:default project_id=114215 project_image_fid=204874]

The proximity allows residents to enjoy the convenience of having essential amenities and services within walking distance. Whether it's grabbing a cup of coffee, going grocery shopping, or accessing healthcare services, everything is conveniently located, saving residents time and effort.

<h3>Vibrant lifestyle and community</h3>

One of the major advantages of mixed-use developments is the vibrant lifestyle they offer. With a diverse range of amenities and communal spaces, residents have ample opportunities to interact, socialise, and build a sense of community.

[smartcode_project:default project_id=107714 project_image_fid=214122]

The presence of parks, community centres, and shared spaces fosters a lively atmosphere, encouraging residents to engage in various activities and events. The vibrant lifestyle within these developments creates a unique sense of belonging and camaraderie among the residents.

<h3>Potential for higher rental yields and property value appreciation</h3>

Mixed-use developments tend to attract a broad range of tenants and buyers due to their versatile nature. This high demand can result in higher rental yields for investors and potentially lead to property value appreciation over time.

[smartcode_project:default project_id=139989 project_image_fid=212887]

The integration of commercial and retail spaces attracts businesses, which can provide a stable rental income stream. Additionally, the popularity of mixed-use developments often drives up property values, making them a potentially lucrative investment in the long term.

<h3>Enhanced security and maintenance</h3>

Mixed-use developments typically have comprehensive security measures in place. With controlled access points, CCTV surveillance, and professional security staff, residents can enjoy enhanced safety and peace of mind.

[smartcode_project:default project_id=108019 project_image_fid=212658]

Additionally, these developments often have dedicated maintenance teams responsible for the upkeep of common areas, landscaping, and infrastructure. This ensures that the overall appearance and functionality of the development are well-maintained, creating a pleasant living environment for residents.

<h3>Live-work-play balance</h3>

One of the key attractions of mixed-use developments is the ability to achieve a desirable live-work-play balance. The integration of residential and commercial spaces allows residents to live closer to their workplaces, reducing commuting time and improving work-life balance.

The proximity to various amenities and recreational facilities encourages an active and healthy lifestyle. Residents can easily access fitness centres, parks, restaurants, and entertainment options, all within the same development, leading to a more fulfilling and convenient way of life.

alisonwarters@gmail.com

The top five reasons to buy in a mixed-use development

When buying a property, everyone needs to be aware of the additional costs that come as part of the buying process.

Often the largest outlay, after the deposit which goes to the bank, is stamp duty.

<h2 style="line-height: 1.38;">What is Stamp Duty?</h2>

Stamp duty is an extra tax to pay the government when you buy land, a property, and other certain assets.

It happens when the legal ownership is transferred. It can also be known as property transfer duty or transfer duty.

<iframe allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="415" src="https://www.youtube.com/embed/C32BWkB5--c" title="YouTube video player" width="660"></iframe>

<h2>Who pays Stamp Duty?</h2>

In some circumstances, you may get an exemption. For some states, you won’t have to pay for stamp duty if you are a first home buyer or a pensioner for houses under a particular price. There are also stamp duty concessions, where you may be entitled to a discount.

<h2>How much does Stamp Duty cost?</h2>

Each state has different rules which affect how much you need to pay. These rules can affect the rate you pay, and the timeframe you will need to pay in. Before you buy land or a property, make sure you check the up-to-date information for your state’s stamp duty.

You can use a free stamp duty calculator online to see approximately how much you’ll need to pay. Find out if you’re eligible for an exemption by enquiring on a project via Urban!

Overall, the stamp duty you need to pay will depend on:

<ul>
	<li aria-level="1">How much your land/property is worth</li>
	<li aria-level="1">Where your land/property is located</li>
	<li aria-level="1">What type of land/property it is</li>
</ul>

Want to find out more? <a href="https://www.youtube.com/@UrbanAustralia?utm_source=YouTube&amp;utm_medium=Video&amp;utm_campaign=Subscribe&amp;utm_id=Subscribe">Subscribe to our YouTube channel</a> for more property videos.

Ellen Walker

Off-the-plan property explained: What is stamp duty?

Roberts Co has entered a new phase of growth following its acquisition by Arada, one of the world’s fastest-growing property developers in Australia.

The acquisition is supported by a $50 million capital injection into Roberts Co’s Australian balance sheet, consisting of the previously announced $25 million recapitalisation and an additional $25 million in new funding from Arada.

This investment strengthens Roberts Co’s financial position, stabilises operations, and provides the foundation for strategic expansion beyond its New South Wales base, with a focus on new opportunities in Queensland, including the Brisbane and Gold Coast regions.

With Arada’s international resources and financial backing, Roberts Co will broaden its portfolio across residential, commercial, and infrastructure sectors, reinforcing its strong market position in New South Wales and setting itself to capture growth in one of Australia’s most dynamic construction markets.

Ahmed Alkhoshaibi, Group CEO of Arada, said Roberts Co has a proud Australian heritage, an outstanding delivery record, and a strong reputation for collaboration with clients and partners.

"By combining this expertise with Arada’s global scale and financial capacity, we are creating a platform for sustained growth in the Australian market,"&nbsp;Alkhoshaibi said.

“Our $50 million capital injection, including new funds from Arada, underlines our commitment to both stabilise and expand Roberts Co’s operations, particularly into the fast-growing Queensland market. We see significant potential in South-East Queensland’s pipeline and are confident Roberts Co is well placed to deliver lasting value for clients and communities.”

George Kostas, CEO of Roberts Co, said Queensland, and particularly South-East Queensland, is one of the most active and opportunity-rich regions in Australia right now.

"The lead-up to the Brisbane 2032 Olympic Games will bring unprecedented investment across housing, transport, and infrastructure. Roberts Co is eager to play a major role in that transformation and secure a meaningful share of this fast-growing market.”

Arada pours more funds into Roberts Co, flags expansion into South East Queensland construction market

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Andrew Winter’s Selling Homes Australia achieved record ratings in its 2012 series debut.
The show’s average audience was about 115,000 – who rather than watch the cricket tuned into the program on Foxtel Lifestyle. Viewers peaked at 152,000.
It seems assured to remain the top-rating non-sports program on subscription television.
The 2012 series kicked off with a<a href="https://www.propertyobserver.com.au/renovating/brisbane-house-featured-in-selling-houses-2012-premiere-still-awaiting-buyer/2012020253230" target="_blank"> flood house makeover in the Brisbane suburb of Yeronga</a>.
The previous best average audience score was when it showed a Frankston extreme mess makeover, which had a 114,000 average audience rating when it aired midway through its fourth series last year.
Winter’s profile is steadily more known across Australia following a roadshow late last year sponsored by News Ltd local papers, where he gave seminars sponsored by RP Data.
<img src="/images/stories/sellinghousesoz2.jpg">
Last year’s debut program on a North Rocks makeover was watched by an average 91,000 people, which was its highest season debut since its premiere in 2008 at 72,000 average audience with an Austinmer makeover, based on OzTam data.
There were 68,000 average viewers per program after its 2008 launch.
Viewers dipped to 49,000 in season two, then jumped back to 62,000 in season three.
There were typically 108,000 viewers in its fourth series last year when Winter accepted Astra Awards for the Viewers’ Favourite Personality (second year running) and for the third year running, the Viewers’ Favourite Lifestyle Program.
Selling Houses began on Britain's Channel 4 amid the property boom in 2002 when Winter, then a London real estate agent, was plucked from obscurity to present the program.
He rivalled Property Ladder's Sarah Beeny and Location, Location, Location's Phil Spencer until his migration, with his wife Caroline and their three daughters, to the Gold Coast in Australia.
Winter, who is represented by the Harry M. Miller Group, has dispensed advice this year suggesting with another year comes a new property outlook.
He suggests important New Year resolutions for buyers and seller in the market for 2012 should include:
1. I will not place my house on the market unless I seriously want to sell and understand that the price I am finally offered may not be what I hoped for.
2. If I am selling, I will not leave it all to the agent. I resolve to get involved, read the text in advertisements and online, check the pictures, questions all aspects of the marketing campaign and listen to the agent’s advice and give them a chance to explain.
3. I will not underestimate the power of first impressions when selling. I will not leave the toilet seat up, beds will be made, windows will be shining, the whole place will feel clean, and no sign of pets other than pictures of them.
4. As a buyer, I will acknowledge that in reality my requirements will change during my search and I promise to be realistic with my expectations.
5. I promised to do my research and know there’s no such thing as “guaranteed capital growth”.
6. If I see a home I really like I will be prepared to pay market value and not get upset when the sellers, who are normal, sane beings, refuse my mad, crazy and insulting low offer.  I will try to secure the home at the right price, but make sure any low offers are based on facts and market conditions or because the seller needs to sell quick. If I do make an offer under those circumstances, I resolve to act quickly.
 
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jchancellor-FAypfDUnLy

Audiences sold on Andrew Winter's Selling Houses Australia, with record ratings

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Renovating residential investment property is a great way of building wealth quickly. It’s a relatively low-risk strategy if executed correctly and will allow you to manufacture capital value and increase rental returns without relying solely on market conditions. 

Back in 1999 a friend of mine wanted to sell a house his parents left him when they passed away. Since he knew that I knew a bit about real estate he asked for my help. The house had been neglected for 18 months and was in very poor condition. A few local real estate agents gave him valuations ranging between $320,000 and $340,000.

I did a little research and was confident my friend could get more if he tidied up the house but he couldn’t be bothered and just wanted to sell it as it was. So we made a deal. I would fix up the house and when he sold it we would split whatever profit we made, based on the average of the initial valuations less the renovation costs. So I got stuck into it, working 12 hours a day for a week.

I cleared out all the junk, filling two jumbo skip bins. I had the floors sanded and polished and touched up the interior paintwork. I tidied up the gardens, trimmed some trees that were overhanging the roof, had some stumps removed and put bark on the garden beds. I washed the outside of the house and touched up the paintwork, replaced the cracked roof tiles, cleaned the gutters and painted them as well as the eaves.

The cost of the makeover was just over $10,000 plus my labour. Only two weeks after their initial valuation, we asked two of the original selling agents (plus another one) for a fresh valuation. They all valued the house between $390,000 and $410,000. It sold for $395,000. So for an outlay of around $10,000 plus one week of my labour we had increased the value of the house by $65,000.

In essence, I had converted a little imagination and one week of my time into $27,500, which I used – yes, you guessed it – to buy some property to renovate. Now that you can see what’s possible, here are my top three reasons why renovating residential property is one of the best investment strategies:

1. It’s easy to understand

With the popularity of shows like The Block and The Renovators, most people are familiar with the concept of property renovation and how it can increase the value of a property. Because people already understand how it works, they don’t have to struggle with the basics and can get on with practising their skills and developing their techniques.

2. You’re in control

How much control do you have over the performance of shares you buy? Unless you own a big enough chunk of shares in a company to get yourself a seat on the board, very little. The board of directors can make bad, negligent or straight-out criminal decisions, wiping significant value off your shares, and apart from selling your shares and investing elsewhere as a sign of protest, there’s not much you can do about it.

However, with property renovation you’re in the driver’s seat. Maximum return comes from a property when it’s improved to its “highest and best use” for its tenants and buyers. Because you make all the decisions, you can be proactive to ensure the property reaches its highest and best use.

You don’t have to quit your day job, but renovating can become a full-time career if you want it to. You can potentially make more money in less time than you’re earning now.

3. You can “manufacture” capital growth

If you buy a parcel of shares is there anything you can do to add value to them? No. You can add value to a business but unless you’re a naturally gifted entrepreneur, growing a business is hard work. It usually takes a significant commitment of time, money and emotional energy and according to some reports and business books I have read you have an 80% chance of going out of business within the first five years.

In comparison, adding value to an investment property is relatively simple if you know what you are doing. You add value by taking a structurally sound but run-down property and smartening it up, making it more desirable, and thus more valuable, to renters and buyers.

You can give it a coat of paint and tidy up the garden. Or replace all the doorknobs, build a barbecue, replace the carpet or polish the floorboards. There are literally hundreds of improvements, big and small, that you can do to increase the value. The trick is to add more value than the actual cost of the improvements.

By doing creative, cost-effective cosmetic renovations you can “manufacture” capital growth. Rather than just sitting back and waiting for the market to deliver capital growth over time, you accelerate the process by manufacturing capital growth with a renovation. This allows you to build wealth faster than relying solely on market increases.

As an added bonus, renovating can also increase your cashflow via the higher rent you can achieve for the renovated property. So you have two ways to profit: capital growth and increased cashflow. If you’re clever about it, the increased rental income you generate can cover the costs of financing the renovation. This means you can achieve the capital gain without putting in any of your own money.

In summary, renovating is a solid approach for building wealth which is less reliant on outside factors which are beyond your control. The only limit is your imagination. I firmly believe that building wealth through renovating residential property is a skill that can be learnt by just about anyone.

If you don’t include renovating as part of your property investment strategy then you’re probably not maximising your potential returns. You can use it to fast-track the growth of your portfolio, create an additional income stream, or a combination of the two.

My definition of renovation

When I refer to renovation I’m talking about cosmetic rejuvenation. I’m not talking about buying derelict property and making it liveable again, restoring period homes or fixing major structural defects. What we’re doing is taking a structurally sound but messy property, smartening it up and adding the “wow factor” on a limited budget.

The type of renovation projects you attempt should be in line with your level of knowledge, skills and tradespeople contacts. By using some common sense I believe most people can handle a basic rejuvenation without too many dramas.

My seven-step plan for renovating for profit

The secret to success in anything you do is having a good plan, conducting your research and working smartly. To get you started I want to introduce my proven seven-step plan that I use to renovate properties for profit, for myself and my clients:

Step 1: Understand the renovation profit formula – once you understand the theory you’ll see where the profits lie.

Step 2: Work out how much you can afford – you need enough in the kitty to cover the three major costs of renovating.

Step 3: Target the right property type – match your risk profile to the right type of property.

Step 4: Market research and preparation – it all comes down to the all-important research.

Step 5: Select the right property to buy – how to spot a property with the maximum profit potential.

Step 6: Pay the right price – how to work out the maximum you can afford to pay and still make a healthy profit.

Step 7: Get the work done on time and budget – avoid profit-shrinking cost overruns and delays.
Patrick Bright is a real estate author and founder of Sydney-based buyer’s agency <a target="_blank" href="https://%20www.epspropertysearch.com.au">EPS Property Search</a>. Bright has purchased over $500 million worth of real estate for clients. His best-selling titles include The Insider’s Guide to Buying Real Estate, The Insider’s Guide to Saving Thousands at Auction, The Insider’s Guide to Profitable Property Investing and The Insider's Guide to Renovating for Profit. This is an excerpt from The Insider's Guide to Renovating for Profit. 
For expert commentary and analysis on lessons to be learnt from property reality TV, <a href="https://register.propertyobserver.com.au/lights-camera-auction/" target="_blank">download our e-book Lights, Camera, Auction!</a>
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pbright-aNtgvRfvJN

Three reasons you should renovate for profit

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Property developer Stockland has continued last year’s trend of developers offering incentives to entice new home buyers. 
The developer is also tapping into concerns over the impact of the carbon tax on energy bills in 2012 by offering buyers of land and selected house-and-land packages a $6,000 Visa Energy Card to help pay their energy bills for up to three years. 
The “Power to Move” campaign runs from January 7 to February 19. The eight NSW Stockland residential communities participating in the offer are Waterside at <placename>Penrith</placename><placetype>Lakes</placetype>; Glenmore Ridge in Western Sydney; Darcy’s Peak and McKeachie’s Run in the Maitland and Hunter region; <placename>Murrays</placename><placetype>Beach</placetype> in <placetype>Lake</placetype><placename>Macquarie</placename>; McCauley’s Beach and the newly launched Brooks Reach in the Illawarra and Bayswood on the <place><placename>NSW</placename><placename>South</placename><placetype>Coast</placetype></place>. 
Last year developers attempted to entice new buyers with <a href="https://www.propertyobserver.com.au/land/buying-a-house-and-land-package-10-key-dates-to-keep-in-mind/2011112352508" target="_blank">offers of furniture vouchers, free luxury carpets and appliances and discounted lots</a> to name just a few. 
<a target="_blank" href="https://www.propertyobserver.com.au/residential/home-building-still-in-the-doldrums-but-renos-picking-up-abs/2011112352503">Master Builders Australia</a> is pleading for government intervention to kick-start new home building, as new home sales numbers dwindle.
Matthew Mears, Stockland’s general manager for residential development in NSW, says the offer recognises the burden of the household energy bill. 
“The great thing is that buyers into our residential communities will benefit with Stockland paying their energy bills for up to three years. With a sensible approach to energy consumption, the opportunity exists to stretch that bonus even further,” he says. 
In addition to the $6,000 bonus, buyers will also receive bonus energy-efficient builder upgrades including solar or gas hot water, an energy-saving dishwasher and energy-efficient lighting that will help reduce energy bills further. 
Stockland is also promoting the idea that buying a new home is more cost-efficient than owning an older established home. 
Stockland compared the living costs of a three-bedroom and a four-bedroom home built in 2011 with houses of the same configurations built in 1981. 
It found new homes generated more cost savings from reduced heating and cooling costs, etter use of natural light and savings from built-in energy-efficient appliances. 
According to Stockland research, running a newly built four-bedroom, two-bathroom home with a two-car garage versus a comparable house 30 years older results in a savings of $2,197 in New South Wales, $1,749 in Western Australia and $1,574 in Victoria. 
“The figures show that across the country, new homes clearly offer lower ongoing running costs, when compared to homes from 30 years ago,” says Ben Allen, general manager of sustainable communities for Stockland.
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lschlesinger-FZcF9M3vE6

Stockland seeking to power up new home market by paying buyers' energy bills

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The secret to renovating for profit is in selecting the right property, conducting thorough research and having a good plan. 
It is important that the type of renovation projects you attempt is in line with your level of knowledge, skills and tradespeople contacts. 
There are literally hundreds of improvements, big and small, that you could do to increase the value of their property. 
By using some common sense I believe most people can handle a basic rejuvenation without too many dramas. 
The trick is to add more value than the actual cost of the improvements. 
This is my seven-step plan to renovate properties for profit: 
Step 1: Understand the renovation profit formula 
In simple terms the renovation formula is: Your renovation profits margin equals the renovated value of the property minus the purchase price and total renovation costs.
Once you understand the theory you’ll see where the profits lie. The formula is like the filter through which you view a property. 
Step 2: Work out how much you can afford
 
You need to have enough saved to cover the three major costs of renovating: the cost of buying the property, the cost of renovating the property and the selling costs or the ongoing costs to hold the property. 
Step 3: Target the right type of property 
Match your risk profile to the right type of property. Before buying a property to renovate it is important to consider your risk profile carefully, including how comfortable you are with the possibility of losing money, or that the return on investment may not be as high as you had hoped for. If you’re new to property investing and/or you’ve never renovated a property before, I recommend you cut your teeth on a simple project. Start off with an apartment – it’s better to start small to minimise your risks. 
Step 4: Market research and preparation
 
This involves identifying suburbs with the greatest profit potential, researching property values, brushing up on design and decorating, and selecting a team of quality tradespeople. 
Step 5: Select the right property type
Look for a property with the maximum profit potential. Your first consideration here should be the condition of the property. Search for something rundown, but not totally derelict. 
Step 6: Pay the right price 
Work out the maximum you can afford to pay and still make a healthy profit. One of the fundamentals of renovating for profit is that you buy well. I always begin with the end in mind, by that I mean I work out what the post-renovated value will be, the costs to get it in that state, calculate the holding costs, decide on the amount of profit I want to make then I know my maximum purchase price. 
Step 7: Get the work done on time and within your  budget 
Avoid profit-shrinking cost overruns and delays. Make sure you use a spread sheet to
schedule the works. You need to ensure all the tradespeople do their work in the right sequence. Always add a buffer of a day or so around each tradesperson. This gives you wiggle room if there are delays.
Patrick Bright is a real estate author and founder of Sydney-based buyer’s agency <a href="https://%20www.epspropertysearch.com.au" target="_blank">EPS Property Search</a>. Bright has purchased over $500 million worth of real estate for clients. His best-selling titles include The Insider’s Guide to Buying Real Estate, The Insider’s Guide to Saving Thousands at Auction and The Insider’s Guide to Profitable Property Investing. 
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The seven-step plan for renovating in the new year

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Over the years I’ve noticed several common traps that renovators fall into. From not conducting enough comparable market research to thinking you have to do all the renovation work yourself in order to make a profit. There are numerous pitfalls that can eat into your bottom line and destroy your confidence. Here are the top six mistakes to avoid.
1.   Not doing enough research
I can’t overemphasise the importance of undertaking comprehensive research because it’s fundamental to each and every step of the renovating for profit process. When you boil it down, every one of the following mistakes can be avoided by doing research.
The vast majority of the effort involved in renovating for profit is research and preparation, but so often I see people rushing in, thinking they know it all, and ending up with a disappointing result. If you don’t take the time to cost your renovation accurately, you could end up with a half-renovated property and no money to finish it. If you don’t do enough comparable market research you could overestimate the value of the property post renovation and get a nasty shock when you go to sell.
Renovating for profit requires time, effort and dedication. The time and effort you put into research will ultimately determine the amount of profit you make.
2.   Paying too much for the property
The purchase price has a direct impact on your profit margin. Every dollar you negotiate the purchase price below your maximum is another dollar of profit for you. However if you set your maximum purchase price too high (because you didn’t do enough research to understand fair market value), or you exceed it (because, for example, you lost self-control bidding at an auction), your profit will suffer.
Purchasing at the right price to ensure you make a profit comes down to knowing market values and negotiating well. All too often I see property investors taking short cuts on the research and market analysis and not bothering to hone their negotiation skills. In the end they pay too much, don’t end up making a profit and don’t maximise the return on their investment. Remember if you’re not experienced at something (for example, tiling) then outsource it!
3.   Not renovating for the target market
If you’re renovating your own home it’s all about pleasing yourself, however when you’re renovating for profit it’s about appealing to the target market, i.e. tenants and buyers. Unfortunately many people get this wrong. They let their “know it all” attitude get in the way and decide what they like is best for everybody.
How many times have you walked into a property for sale and been appalled by the décor? I can assure you it happens to me all the time. Anyone who wants to buy such a property will reduce their offer by the amount they’ll have to pay to have the place redecorated to their taste. So you can see how getting the décor wrong can easily erode a renovator’s profit.
It’s always safer to go for a conservative, neutral but classy décor that’s appropriate to the local market and will appeal to the masses, not the few. If you’re not sure how to achieve that result, get professional advice from an interior designer. I’ve always found this kind of advice a very worthwhile investment.
4.   Over (or under) capitalising
When you’re renovating for profit, adding value is the name of the game. Unfortunately you can’t add unlimited value to a property because there is a limit as to what the market will pay for say a four-bedroom, two-bathroom, double lock-up garage house. Once a home has reached its ceiling price for the accommodation it offers, buyers will not pay more. It doesn’t matter how much Italian marble, state-of-the art electronics and gold-leaf ceilings you put in it.
I know I’m sounding like a broken record here, but it all comes back to your research. When you’re undertaking comparable market analysis you need to establish the ceiling price of fully renovated properties that are similar to the ones you’re targeting. To avoid overcapitalising, prioritise your expenditure on improvements that will add the most value. Be mindful of the price ceiling and resist the temptation to overspend.
It’s also possible to go the other way and under-capitalise on a renovation. This usually happens when you’re trying to save money. For example, you put in a cheaper kitchen with laminate benchtops but the target market prefers a much higher-quality kitchen with CaesarStone benchtops and European branded appliances.
So they lower their offers to take into account the cost of re-doing the kitchen to what it should be for a property of its style, position and character or they dismiss the property from consideration altogether because renovating is too much of a hassle for them. Either way, it’s bad news for you.
If you don’t have the budget to renovate a property to the standard the target market expects then it’s better to set your sights on a more affordable property that you can renovate properly. Otherwise wait until you’ve saved more money.
5.   Relying on the sales agent’s opinion about renovated value
Here’s another reason why you have to research the prices of renovated properties for yourself. You can’t rely on selling agents to give you an accurate estimate of the renovated value of a property. If you ask them what a property would be worth when it’s renovated they’re more than likely going to give you a very optimistic estimate.
Why would they do this? Well, apart from the fact that it’s in their nature to be very bullish with sale prices as no one wants to list their property for sale with a pessimist, it’s also in their vendor’s financial interest. They want to paint the property in the best possible light to encourage you to make an offer on it. The other problem is it’s also an unqualified estimate as they may interpret what you intend to do with the property as more high end than you actually intend to do.
6.   Doing the work yourself to “save money”
If your budget is small there’s always a temptation to do some or all of the work yourself to save money but DIY renovations can easily backfire. If the quality of workmanship is substandard this will diminish your sale price, possibly eliminating any profit you might have made in much the same way as under-capitalising on a renovation.
It’s also a false economy. You might save a few bucks on the cost of the renovation, but how much is your time worth? The time it takes you to paint walls and sand floors could be better spent looking for another deal. Plus, the longer it takes you to renovate, the more you’ll pay in holding costs. Why not just hire professionals to do all the work? Especially since you can still make a healthy profit without picking up a paint brush.
Patrick Bright is a real estate author and founder of Sydney-based buyer’s agency <a href="https://www.epspropertysearch.com.au" target="_blank">EPS Property Search</a>. Bright has purchased over $500 million worth of real estate for clients. His best-selling titles include The Insider’s Guide to Buying Real Estate, The Insider’s Guide to Saving Thousands at Auction, The Insider’s Guide to Profitable Property Investing and The Insider's Guide to Renovating for Profit. This is an excerpt from The Insider's Guide to Renovating for Profit.
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The top six profit-killing mistakes to avoid when renovating

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As we look to what's ahead for 2012, Property Observer is republishing some of our most noteworthy stories of 2011.
 
Along with their booming profits and market dominance, Australia’s four biggest banks have collectively invested about $2 billion dollars in new office developments in Melbourne and Sydney.
ANZ and NAB are already comfortably settled into state-of-the-art and gargantuan headquarters in Melbourne’s Docklands precinct while CBA recently took occupation of new $500 million premises in Darling Quarter on the western fringes of the Sydney CBD.
Currently under construction is NAB’s second Docklands office block at a cost of $400 million featuring 64,000 square metres of floor area, and the Commonwealth Bank will take up to a third of a new tower being built in the Melbourne CBD on Collins Street.
Not be left out Westpac has committed to taking up residence in a new $105 million office building mooted for the Paris end of Collins Street due to be developed by Grocon and APN Property Management.
Here’s a look at the office projects the major banks have invested in, starting with projects already completed and occupied by banking staff:
Commonwealth Bank
<img src="/images/stories/combankdarling1.jpg">
Name: Commonwealth Bank Place (redeveloped former Sega World site) Location: Darling Quarter, western CBD fringe, Sydney Cost: $500 million Space: 56,000 square metres over two eight-storey buildings Number of staff: 6,200 Environmental rating: Six green star rating for its design and a five-star NABERS energy rating. CBA is also aiming for a six green star “as built” rating.
<img src="/images/stories/combankdarling2.jpg">
Standout feature: The building is designed to promote activity-based working. Teams are assigned a primary working space called a “home zone”. In the home zone, personal lockers are provided for storage. Home zones are dotted with stylish open breakout rooms, collaboration spaces or designated meeting areas.
 
<hr>
NAB
<img src="/images/stories/nabbourke2.jpg">
National @ Docklands
Number of staff: 3,900 Environmental rating: NABERS Energy Rating of 4.5 star (five stars with Green Power) Developer: Lend Lease Architect: Bligh Voller Nield
<img src="/images/stories/nabbourke3.jpg">
Standout feature: It has no individual offices. Each building has large open floor plans and a central atrium. NAB employees were consulted on the design of workstations design and selection of chairs.  800 Bourke Street is one of Australia's inaugural green buildings and was designed and built before the introduction of the green star ratings tool. In 2005 it won 2005 Banksia - Leadership in Sustainable Buildings Award.
 
<hr>
ANZ
<img src="/images/stories/anzhq.jpg"> 
Name: ANZ Centre Location: 833 Collins Street Docklands, Melbourne Cost: $512 million Space: 86,000 square metres Environmental rating: Six green stars for office design Developer: Lend Lease Architect: HASSELL and Lend Lease design Awards: named Victorian Development of the Year at the Property Council's 2011 Innovation and Excellence Awards.
 <img src="/images/stories/anzhq2.jpg">
Standout feature: The building produces 70% less greenhouse gas emissions, generates much of its own electricity using the on-site gas-fired tri-generation plant, solar cells and wind turbines and uses about 50% less potable water than a standard Australian commercial building.
 
 
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Under construction
NAB

<img src="/images/stories/nabbourke1.jpg">
Name: Docklands 2 Location: 700 Bourke Street, Docklands, Melbourne Cost: $350 million Space: 63,000 square metres across 14 floors Number of staff: 5,900 Environmental rating: Six star green star, five-star NABERS energy rating Developer: Cbus Property Architect: Woods Bagot Due for completion: Mid-2013
Standout feature: Besides its unique design built on a triangular site, the building will include a childcare centre, concourse level retail, a public auditorium and accessible public throughways.
 
Commonwealth Bank
<img src="/images/stories/combankcollins1.jpg"> 
Location: 357 Collins Street Space: 30,000 square metres of office space over two towers, one third to be occupied by CBA Developer: Australand Environmental rating: Five-star NABERS rating and four green star rating targets Due for completion: October 2012
<img src="/images/stories/combankcollins2.jpg">
 
 
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In the development pipeline
Westpac
<img src="/images/stories/westpaccollins.jpg">
Location: 150 Collins Street
Cost: $105 million Space: 20,000 square metres of office space over 10 levels Environmental rating: Six green stars for office design and five-star NABERS rating
Developer: APN Property and Grocon 
The <a href="https://www.propertyobserver.com.au/office/westpac-takes-paris-end-of-collins-leaves-docklands-to-other-banks/2011092251651">proposed site for the tower</a> is currently occupied by an Art Deco multi-level car park behind the historic Scots Church on the corner of Russell and Collins streets.
 
 
 
 
 
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Big banks have big investments in CBD office space in Melbourne and Sydney

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Construction has begun on the first of 800 planned homes that make up developer Peet Limited’s new Victorian project Quarters.
Peet has commissioned construction companies Burbank, Carlisle, Metricon and Simonds to build the Cranbourne West homes.
Land prices start at $164,000 for a 294-square-metre block and from $210,000 for a 516-square-metre block. These will increase $15,000 on December 23 when Peet’s discounting period stops.
Quarters was officially launched in February 2011. To date 119 have been released, of which 93 have sold.
The next land release will be in March 2012.
The development is on Evans Road, three kilometres from Cranbourne’s town centre.
Some homes have their frames and roofs built, whiles others are still just foundations in the dirt.
“Quarters offers affordable housing in a high-growth area so, not surprisingly, the community is proving a popular choice amongst first-time buyers and young families,” says Peet Limited managing director and CEO Brendan Gore.
“Peet is offering a variety of lot sizes well-suited to a wide range of home designs that suit different buyers and families.”
The City of Casey is one of the fastest-growing municipalities in Australia, with development concentrated Berwick, Cranbourne, Narre Warren South and Lyndhurst, according to June research by Oliver Hume.
The municipality's population grew by 3.3% over the last 12 months to June 2011 according to state government’s Department of Planning and Community Development.
The median price for houses in Cranbourne West is $318,000.
For advice on buying house-and-land packages, <a href="http://propertyobserver.com.au/ebooks/free-ebook-10-tips-for-buying-house-and-land-packages-what-investors-need-to-know" target="_blank">download our free eBook.</a>
 
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Construction begins on Peet’s Cranbourne development Quarters

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Property developer Stockland will sell the undeveloped parts of its Melbourne Tooronga project to the Coles division of Wesfarmers, with settlement in October 2013.
The deal covers 7.7 hectares of land at stages two to five of the Tooronga apartments, which was originally planned to be a 785-apartment housing complex.
The development was expected to be worth up to $593 million in revenues in June 2010, but a poor performance in Stockland's apartments division led to a decision to exit the sector.
“This sale is another important step forward in the wind down of our Apartments business,” says Stockland Residential chief executive Mark Hunter.
Stockland will retain ownership of the Coles anchored-shopping centre on the site, which opened in August 2010. The centre was valued at $48.7 million as of June 30.
The undisclosed sale price is said to be above impaired book value.
The site was subject to impairment in the 2009 financial year and the surplus will be excluded from the group’s underlying profit.
 
 
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Stockland selling undeveloped parts of Melbourne Tooronga site to Coles

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In a bid to encourage house-and-land buyers to commit to buying before Christmas, developer Australand has knocked $10,000 off the price of 14 of the houses in its master-planned development Botanica, at Sydney’s former Lidcombe Hospital site.
The homes are expected to be completed before Christmas, and ready to move into early in the new year.
<img src="/images/stories/botanica1.jpg">
Prices range from $685,000 to $740,000 for a three-bedroom home and $780,000 to $905,000 for a four-bedroom home. The promotion began in late October, and so far six buyers have taken advantage of the sale.
<img src="/images/stories/botanica2.jpg">
“Construction will be completed before Christmas, which means purchasers can be happily settled and ready to start the new year afresh in their the new home,” says Nigel Edgar, general manager of Australand’s residential division.
He says that the development’s parks and gardens are a big drawcard for buyers.
<img src="/images/stories/botanica3.jpg">
“The design of homes at Botanica complements modern lifestyles. All homes are well spaced with private garden and courtyard areas and are ideally located a short stroll to the community’s picturesque seven hectares of parks and gardens, which offer a relaxing retreat for all residents,” Edgar says.
<img src="/images/stories/botanica4.jpg">
Australand recently sold three of four homes in the first release of its more affordable Emerald Collection within two weeks of their launch. All were three-bedroom homes and all sold for $600,000. The developer plans to release the remaining eight in March 2012.
“Australand is responding to the lack of affordable stock available in the NSW residential market by ensuring that new products are developed with specific market segments in mind and with price points that meet consumer expectations of value,” says Edgar.
The Botanica site is 12 kilometres from Sydney CBD and is set to be home to about 1,800 people by 2014. In addition to the new homes, the site features 10 century-old cottages that will be restored. The one-bedroom residences will be priced from $430,000 and the three-bedroom cottages will start at $850,000.
The grandest of the heritage properties is a two-storey superintendent's home on the site will be a five-bedroom house on a Torrens title flanking the village green, but its pricing has not been determined.
For advice on buying house-and-land packages, download our free eBook.
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Australand offers $10,000 discount in Sydney's Botanica development

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First-home buyer interest in house-and-land packages has grown significantly over the past few months, Stockland CEO Matthew Quinn has told investors.
Quinn says the first-home buyer segment has been the biggest beneficiary of the November interest rate cut.
“For those looking to borrow for the first time, every dollar counts. The idea of buying your first house gets more compelling with each rate reduction,” Quinn says.
For other segments of the market though such as investors and upgraders, Quinn says while the rate cut was great news, it’s too early to determine the benefits.
“It’s not a top of mind issue for buyers. They are not saying ‘hallelujah, rates have fallen’. It’s not a game changer.”
What will have an impact on sentiment, Quinn says, is if a pattern of rate reductions develops, as many are predicting.
Both Quinn and Stockland residential CEO Mark Hunter stressed on numerous occasions during the presentation that affordability and pricing are key to attracting first-home buyers.
 <img src="/images/stories/stocklandnov232.jpg">
“An affordable product is in high demand from first-home buyers,” Quinn says.
Stockland is targeting a price range of $290,000 to $350,000 for first-home buyers.
For this price, buyers get a three-bedroom, two-bathroom, one-garage houses measuring about 143 square metres built on lot sizes of 212 square metres.
Stockland is targeting first-home buyers to make up 20% to 30% of its sales composition.
For advice on buying your first investment property, download our free e-book.
 
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