The Gold Coast economy has grown by 25 per cent since 2020/21 to surpass $55 billion, but perhaps the more significant story is what sits behind the headline number.

For decades, the Gold Coast has been viewed through the lens of tourism, lifestyle and population growth. The latest State of the City Report suggests that perception is increasingly out of step with reality.

Released by Invest Gold Coast, the report ranks the Gold Coast as Australia's largest non-capital city economy and, perhaps more notably, second nationally behind Sydney for Economic Complexity, a measure that assesses the diversity and sophistication of an economy.

It's a result that places the Gold Coast ahead of Melbourne, Brisbane, Perth and Adelaide, highlighting the extent to which the city's economic base has broadened beyond its traditional industries.

Today, the Gold Coast supports more than 350,000 jobs, is home to over 83,000 businesses and generates $19 billion in annual exports. Manufacturing now accounts for 62 per cent of international export growth, while sectors including health, education, advanced manufacturing, technology and professional services are becoming increasingly important contributors to the local economy.

[smartcode_project:default project_id=150017 project_image_fid=372547]

Gold Coast Mayor Tom Tate said the report confirmed the city's evolution into one of Australia's most significant economies.

"The Gold Coast economy continues to grow at an incredible pace. This is no surprise to those of us who have watched the evolution up close," Mayor Tate said.

"As one of the most entrepreneurial, investment driven and opportunity focused economies in the country our ambition has been realised and possibilities are endless.

"The Gold Coast has built a reputation as the city that says yes. We say yes to investment, yes to opportunity and yes to people who want to build something.

"It's this mindset helping us drive major growth across health, advanced manufacturing, screen production, marine, technology and the knowledge economy."

[smartcode_project:default project_id=149670 project_image_fid=360975]

While population growth has been one of the defining stories of the past decade, the report points to a broader economic transformation taking place.

The city's knowledge economy now contributes $7.9 billion annually and supports around 31,000 jobs, while the health and wellbeing sector contributes $5.2 billion and employs more than 42,000 people. Together, the six priority sectors identified in the report account for almost $24 billion in economic output and more than 145,000 jobs.

One of the strongest examples is the Gold Coast Health and Knowledge Precinct at Southport. The 200-hectare precinct now contains more than $5 billion worth of health, education, research and innovation infrastructure and supports over 16,000 jobs.

The report also highlights the growing role of advanced manufacturing, particularly in aerospace, defence and modular construction.

Gold Coast-based Gilmour Space Technologies recently became the first Australian commercial company to attempt an orbital launch, while companies including Modscape and ModnPods are helping establish the Yatala-Stapylton corridor as one of Australia's fastest-growing advanced manufacturing hubs.

The city's entrepreneurial culture is also translating into business growth.

Since 2019/20, the number of businesses operating on the Gold Coast has increased by 22 per cent, while firms employing more than 200 people have grown by 80 per cent. The report suggests the next challenge is converting more local start-ups and medium-sized businesses into nationally significant companies.

Development activity remains another key indicator of confidence.

There are currently more than $23 billion worth of major projects underway across the Gold Coast, supported by a record 75 active cranes, a figure that now exceeds Brisbane and represents a 150 per cent increase since 2016.

[smartcode_project:default project_id=112024 project_image_fid=343235]

Importantly, the report notes the next phase of investment will need to extend beyond residential development.

While 93 per cent of crane activity is currently tied to housing, Invest Gold Coast argues future investment will increasingly need to focus on cultural, civic, infrastructure and industry-enabling projects that strengthen the city's long-term economic resilience.

Invest Gold Coast Chair Will Hodgman said the city was now benefiting from years of economic diversification.

"What is happening on the Gold Coast is the result of the city's economic base broadening, fuelled by industries with long-term, high-growth potential," Mr Hodgman said.

"This is no longer a secondary Australian economy, the Gold Coast is becoming a globally connected city with deeper capability across health, knowledge and creative industries, advanced manufacturing, technology and exports."

[smartcode_project:default project_id=108274 project_image_fid=365786]

Looking ahead, the Gold Coast's population is projected to exceed one million residents by 2046.

For a city that was once largely defined by tourism and lifestyle, the latest figures suggest the Gold Coast is becoming something more significant, one of Australia's most diverse and economically sophisticated urban economies, and increasingly one that national and international investors can no longer afford to overlook.

Joel Robinson

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

Ron Bakir's Homecorp has sold more than 75 per cent of the apartments in its wellness-driven Florence Residences in Surfers Paradise following its first weekend release.

The <a href="https://www.apartments.com.au/new-apartments/florence-residences-24-monte-carlo-avenue-surfers-paradise-qld-4217">26-storey project on Monte Carlo Avenue</a>, which commenced construction earlier this year, has seen a flurry of buyers secure their slice of the Gold Coast's latest wellbeing-focused offering in one of the nation's most competitive property markets.

Since the pandemic, the Gold Coast's population has grown by more than 11 per cent, a rate approximately four times faster than Sydney's, driven largely by lifestyle changes and interstate migration. While buyer activity has moderated in some markets nationally, demand for newly built dwellings on the Gold Coast continues to gain momentum as purchasers increasingly prioritise lifestyle, amenity, wellbeing, liveability and long-term investment potential.

&nbsp;

[smartcode_project:default project_id=150414 project_image_fid=372743]

Homecorp CEO Ron Bakir says buyers today are looking for more than just a home.

"What we are seeing is a shift in how people define value in property," Bakir says.

"What attracts residents to new developments is a desire for more than just a residence. They are looking for a place that complements their lifestyle, supports their wellbeing and reflects the way they want to live into the future.

"Lifestyle, longevity, proactive health, wellbeing, connection and a sense of community are increasingly shaping purchasing decisions, particularly on the Gold Coast, where these factors continue to be a major drawcard."

[smartcode_project:default project_id=150414 project_image_fid=372744]

Bakir says Homecorp is responding to this shift through an approach that places greater emphasis on design, amenity and experience working together to create places that feel considered, connected and enduring in value.

Inspired by Eastern European design, Florence Residences will comprise 120 apartments alongside a private residents-only wellness club featuring a resort-style rooftop pool, hot and cold plunge pools, a spa retreat, contemporary gymnasium, and a spacious yoga and Pilates studio.

The development will also feature a residents-only lounge with private dining facilities and a rooftop bar, premium outdoor entertaining areas, a hotel-style lobby lounge, generous bike parking, and pet-friendly amenities including a heated dog wash.

[smartcode_project:default project_id=150414 project_image_fid=372742]

A limited number of apartments remain available, with an exclusive collection of four-bedroom sub-penthouses set to be released in the coming months.

Florence is one of the latest additions to Homecorp's expanding multi-billion-dollar property portfolio, which also includes plans for a <a href="https://www.apartments.com.au/news/qld/homecorp-lodges-plans-for-260-million-moroccan-bathhouse-inspired-tower-in-budds-beach">$260 million development in Budds Beach</a> tailored to the growing wellness market.

A development application has been lodged for a 27-storey, 156-residence tower at 8–10 Acacia Avenue and 25–27 Oak Avenue, featuring a residents-only Moroccan spa-inspired sanctuary.

Apartments at Florence Residences are priced from $1,249,000, with construction expected to be completed by late 2027.

[smartcode_project_cta:default project_id=150414]

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

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

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

Design-led developer-builder Lowe Living has unveiled its latest residential development, Jardin House, marking its first foray into Melbourne's blue-chip City of Boroondara.

Located a short walk from Camberwell Junction, <a href="https://www.apartments.com.au/new-apartments/jardin-house-by-lowe-living-camberwell-335-camberwell-road-camberwell-vic-3124">Jardin House</a> has been designed to appeal to affluent local downsizers and established families seeking a low-maintenance alternative to the large homes that have long defined Camberwell and surrounding suburbs.

The project will comprise a collection of two and three-bedroom apartments ranging from 92 sqm to 280 sqm, alongside a limited number of penthouse residences featuring rooftop terraces spanning more than 100 sqm, with optional private pools.

&nbsp;

[smartcode_project:default project_id=146717 project_image_fid=372212]

Lowe Living Co-Founder and Managing Director Tim Lowe said Camberwell represented a natural next step for the developer as it expands into some of Melbourne's most tightly held residential markets.

"Jardin House is an important project for our team as it marks the next evolution of our portfolio into different well-established blue-chip pockets of Melbourne," Lowe said.

"Camberwell, with its incredible walkability, family-led neighbourhood feel and superb access to education and transport, makes it a natural choice for us."

[smartcode_project:default project_id=146717 project_image_fid=372227]

Designed by Tristan Wong Architects, with interiors by Hecker Guthrie and landscaping by Acre, the development takes inspiration from the Art Deco architecture that remains a defining feature of many of Camberwell's established streets.

A curved facade, arched openings, textured brickwork and sculpted forms reference the suburb's architectural heritage, while extensive landscaping softens the building's presence and creates a strong connection to the surrounding tree-lined streetscape.

The project will be set behind a secure gated entrance, with residents arriving through landscaped gardens designed to create a transition between the public realm and private residences.

Inside, the residences feature natural stone and timber finishes, full-height glazing, Miele appliances and generous open-plan living areas designed for long-term owner occupation.

[smartcode_project:default project_id=146717 project_image_fid=372225]

While the apartments themselves have been designed to attract discerning owner-occupiers, it is the amenity offering that sets Jardin House apart from many other boutique projects currently launching across Melbourne.

The centrepiece is a 350 sqm private bathhouse curated in partnership with Aurora Spa &amp; Bathhouse founder Lyndall Mitchell.

The wellness precinct includes mineral pools, hydrotherapy experiences, a Himalayan salt room, sauna, steam room, cold plunge pools and dedicated relaxation spaces, creating what Lowe Living describes as a private wellness retreat exclusively for residents.

[smartcode_project:default project_id=146717 project_image_fid=372222]

The collaboration follows Lowe Living's recent partnership with Aurora at Maison Savoy in Brighton, although Jardin House is the first project to incorporate both indoor and outdoor wellness experiences.

Emma Lowe, Co-Founder and Managing Director of Lowe Living, said wellness was becoming an increasingly important consideration for apartment buyers.

"Collaborating with Lyndall Mitchell from Aurora Spa &amp; Bathhouse for a second time is an intentional nod to creating residences that are more than just homes, but a way to enrich the lives of our residents through wellness and longevity," Lowe said.

The amenity offering is complemented by a Technogym fitness studio, residents' lounge, private dining spaces and concierge services.

The launch comes as developers increasingly target Melbourne's established eastern suburbs, where rising land values, ageing housing stock and growing downsizer demand are creating opportunities for boutique apartment projects.

Lowe said the company expects significant generational wealth transfer across suburbs such as Camberwell in coming years, creating further demand for luxury apartment living.

"Camberwell is a blue-chip suburb where homes regularly transact for multiple millions of dollars," he said.

"The generational change of wealth in these locations expected in the coming years is significant, so we see an opportunity to create exclusive residences that appeal to older families and downsizers in order to meet this demand."

Apartments at Jardin house start from $1,195,000. The project forms part of Lowe Living's near-$1 billion portfolio of new developments across Melbourne.

[smartcode_project_cta:default project_id=146717]

Lowe Living launches Jardin House in Camberwell

As <a href="https://www.apartments.com.au/developments/north-sydney-nsw-2060">North Sydney</a> continues its transition from a commercial centre into a more layered residential and lifestyle precinct, a new generation of apartment developments is reshaping expectations around scale, amenity, and long-term liveability.

Improved transport connections through the Victoria Cross Metro, continued investment in dining and public spaces, and a constrained supply of new luxury apartments have sharpened demand for homes that combine proximity to the CBD with the privacy and outlook traditionally associated with harbourside houses.

At 177 Walker Street, <a href="https://www.apartments.com.au/developers/aland">ALAND</a>’s new apartment development <a href="https://www.apartments.com.au/new-apartments/the-walden-north-sydney-177-walker-street-north-sydney-nsw-2060">The Walden</a> enters the market with a distinctly residential approach to high-rise living. The 30-level tower will deliver 161 residences, ranging from one-bedroom apartments through to sub-penthouses and a full-floor penthouse, all oriented to capture uninterrupted views across Sydney Harbour, the Opera House, and out toward the Pacific Ocean.

[smartcode_project:default project_id=134323 project_image_fid=6395]

Designed by <a href="https://www.apartments.com.au/architects/rothelowman">Rothelowman</a>, the project takes advantage of the site’s natural topography and elevated position above the harbour. Rather than relying on density alone, the architecture focuses on outlook, orientation, and spatial flow, with every apartment occupying a corner position to maximise natural light and cross ventilation.

Rothelowman says the site itself shaped much of the architectural response.

“The site has a long history in terms of its inevitable transformation and when we came in, we took inspiration from the idea of reestablishing a sense of the site’s natural terrain and fall. Our scheme aims to integrate with the terrain and the landscape, using the undulating site to slowly reveal glimpses and views of the harbour. The rotation of the tower off grid means every apartment has a view and is naturally cross ventilated. The building's colour palette is quintessentially Sydney, with bronze and sandstone and a luminescent green colour in the glass, making it very earthy and grounded in its location.”

[smartcode_project:default project_id=134323 project_image_fid=6399]

Inside the residences, the emphasis moves toward larger-format living typically associated with standalone homes. Kitchens sit at the centre of the apartments, connecting directly to open-plan dining and living areas before extending outward into expansive winter gardens and balconies. Calacatta marble, bespoke joinery, integrated appliances, and custom metal detailing are used throughout, while three distinct interior palettes, Terrace, Opera, and Harbour, allow buyers to personalise the spaces without compromising the architectural consistency of the project.

The larger residences place particular attention on separation between entertaining and private zones. In many apartments, master suites occupy the outer corners of the floorplates, allowing bedrooms to benefit from floor-to-ceiling glazing and harbour outlooks independent of the living spaces. Dressing rooms and ensuites continue the material palette through fluted detailing, freestanding baths, and layered stone finishes.

Rothelowman says the design intent centred on creating homes that feel enduring rather than transient.

“Our philosophy is all about the way people live in these spaces, and we wanted to create homes that reflect the quality of life in this unique Sydney location. The apartments showcase expansive living spaces that are generous, sophisticated, and bold, with the ability to connect with views throughout each apartment.”

[smartcode_project:default project_id=134323 project_image_fid=353235]

A separate four-storey amenity building known as The Pavilion expands the residential offering beyond the apartments themselves. Positioned alongside the tower, the building consolidates wellness, recreation, and social spaces into a dedicated resident retreat. Facilities include a 20-metre rooftop pool and sundeck, sauna, spa, ice bath, wellness studio, gymnasium, concierge service, wine cellar, residents’ lounge, private dining spaces, and dedicated co-working areas with meeting rooms and boardroom facilities.

The amenity mix reflects the buyer profile emerging in North Sydney, where owner-occupiers and downsizers are increasingly prioritising convenience, apartment scale, and long-term usability over purely investment-driven decisions.

The Walden also represents a significant milestone for ALAND, marking the company’s first major move into Sydney’s inner-city luxury apartment market after more than two decades delivering large-scale residential communities across Greater Sydney. Founder Andrew Hrsto says the Walker Street site stood apart because of both its positioning and its rarity.

[smartcode_project:default project_id=134323 project_image_fid=6390]

“As a company, we had been searching for a site in one of Sydney’s blue-chip locations, spanning the Eastern Suburbs, the Sydney CBD and the North Shore, and when we had the opportunity to purchase this site, we immediately recognised that it could be something iconic.”

At launch, The Walden recorded more than $103 million in sales, with buyers drawn to the project’s harbour positioning, apartment scale, and proximity to the Metro, which now connects North Sydney to Barangaroo in three minutes and Martin Place in five.

ALAND has commenced construction, and is expecting a completion date in 2028.

[smartcode_project_cta:default project_id=134323]

The Walden pairs house-scale living with North Sydney connectivity

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?

Are mortgage holders set to get a reprieve from the RBA in 2026?

Big Four bank NAB believes so. They are now expecting the next move from the RBA to be a cut, rather than a hike, which they had pencilled in for August. They are unsure of the timing of the cut however, they note in their latest&nbsp;NAB Economics RBA Watch.

NAB Chief Economist, Dr Sally Auld, said recent data suggests the economy has lost momentum and the outlook for rates has shifted, noting that the broader economic backdrop has changed since earlier in the year.

“The next move in the cash rate is likely to be down, but the timing is uncertain," Dr Auld said.

"In February, growth was above trend, the economy was operating above capacity and there was uncertainty over the restrictiveness of rates. None of these conditions exist today,” she outlined.

Dr Auld said recent data pointed to softer momentum across the economy while acknowledging that at the same time, uncertainty remains a key feature of the outlook.

“Both Q1 GDP data and the NAB business survey suggest momentum in the economy has slowed, meaning that growth has likely peaked for the cycle. That said, we are cognisant there is still considerable uncertainty around the outlook, both with respect to activity and inflation.”

Dr Auld said inflation risks and labour market outcomes would be important to watch.

“On the prices side, we are still forecasting above target core inflation through to mid-2027. Margins will compress and weaker labour market outcomes are a risk.”

She said tighter financial conditions are expected to weigh on housing and activity.

“Tighter financial conditions will be reflected in a slowing in house price growth and housing credit growth. In summary, we have greater conviction that the next move in rates is down, but less conviction on the timing.”

Mortgage relief? NAB forecasts RBA rate cut, not hike, after softer economic conditions

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Private treaty time on market blew out in Brisbane and Perth, according to the latest July figures from Australian Property Monitors.
It was an unusually volatile month.
Only Adelaide and the Gold Coast avoided the deterioration in time on market, but just by a one day improvement.
<img src="/images/2014/07/30/apm-chart-onejuly-30.gif" alt="">
Source: APM Domain Group.
Canberra was the only capital where vendor's discounting improved during July. The Gold Coast also achieved its low discounting status at 6.6%, a level that hasn't been seen for many years.
All other localities required consistent or higher discounting by vendors to secure their sale. 
<img src="/images/2014/07/30/apm-chart-two-july-30.gif" alt="">
Source: APM Domain Group.
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Brisbane and Perth days on market blowout: APM

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A 350-apartment development is coming to Brisbane's inner north.
The Arden Group has launched Jade, a $200 million master planned community set on 1.4 hectares by Ascot, Clayfield and Hamilton. The first sales stage will comprise 150 apartments over two six storey buildings. The first, called 'Sage', will have 60 apartments, while 'Fern' will have 90 apartments.
With completion expected in late 2015, the development will offer one, two and three bedroom apartments, ranging from 60 square metres to 160 square metres. Off the plan prices begin at $392,000, with the most expensive three bedroom apartment costing $990,000. Prices for the 24 three bedroom apartments begin at $670,000.
According to Arden Group director Steve Walsh, the development is located in a rapidly growing lifestyle market.
"Jade’s convenient location less than 10 minutes from Brisbane’s CBD and airport as well as its close proximity to Brisbane’s best urban restaurants and lifestyle precincts makes it an excellent choice for owner resident buyers,” said Walsh.
“High quality, affordable apartment product in Albion is hard to come by due to the suburb’s highly constrained land supplies and we’re anticipating a lot of interest in this particular development.
There will be four towers in total at Jade, each six levels high, with construction expected to complete in December 2015.
“Apartments of this size are experiencing the highest demand in a decade, particularly for young professionals looking for convenience and empty nesters looking to downsize and remain within easy reach of the city,” said Walsh.
“Combined with the development’s competitive price points and more buyers being drawn to property in the area, we’re expecting a strong level of enquiry.”
Jade will include three "park-like areas", with two barbecue areas. There will also be a gym and pool with sun deck and spa. Each apartment will include at least one secure basement car park.
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Arden Group launches $200 million Albion development

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Five Squared Property Group has released the latest stage of its 475 lot master planned community in Doreen, Katandra Rise.
About 1,500 people are expected to live in Katandra Rise when it is completed. Ashley Lewis, the development and marketing manager at Five Squared Property Group, zoning changes as part of Plan Melbourne are expected to see an increase in development in the area.
Moving forward, it’s likely we’ll see more high density development in the area, so buyers are looking for the certainty that comes with a master planned community like Katandra Rise,” said Lewis.
Some of the City of Whittlesea, Doreen's local government area, has been converted to a Residential Growth Zone, allowing apartment and townhouse development, with building heights of over 13.5 metres.
According to Lewis, the group has seen a high volume of enquiries since community's latest sales stage, The Boulevard, launched earlier this month.
"Much of the interest has come from first and second homebuyers wanting an affordable white picket fence lifestyle and peace of mind knowing their home won’t be surrounded by apartments in ten years," he said.
He believes the level of interest indicates a strengthening market.
“Over the last couple of years, we’ve seen buyers sit tight because of economic uncertainty, which meant it could take up to a year to sell each release. We’re extremely encouraged by the initial response we’ve had at this early stage and expect to sell out easily by Easter next year," said Lewis.
Katandra Rise features a new community garden, with 12 individual plots, one communal plot and a garden shed, managed by the development group in conjunction with Doreen Primary School.
“Community gardens are popping up across the city and providing a connection to nature and community that residents really value as space becomes increasingly tight,” said Lewis.
“Buyers to Katandra Rise love the idea of having access to the garden - it’s already playing a large role in helping to foster a strong community spirit.”
Six of the development's 37 hectares will be dedicated to open space, with bike paths, terraced play and picnic areas, and a playground.
Katandra Rise's fourth land release, The Boulevard comprises 22 home sites at the bottom of Katandra Rise hill. Elevated home lots range from 375 square metres to 603 square metres, with frontages ranging from 12.5 metres to 16 metres. Land is priced from $174,500 to $234,500. Construction on the stage will begin next week, with completion expected for December this year.
The development is located 500 metres from the Doreen Town Centre.
Click to open in new window.
<a href="/images/2014/07/30/0305769r02_FIVE_Katandra_Rise_Master_Plan_940px_x_555px.jpg" target="_blank"><img src="/images/2014/07/30/0305769r02_FIVE_Katandra_Rise_Master_Plan_940px_x_555px.jpg" alt=""></a>
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New release from Doreen masterplan development

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The Housing Industry Association has said that it’s time to allow young buyers access to their superannuation savings to assist with a deposit in getting into a new home, saying that it would also assist them in retirement.
HIA executive director, industry policy and media, Graham Wolfe, said that superannuation contributions are a form of forced savings to assist in retirement.
“Owning a home delivers the same result, but with the added benefits arising from home ownership throughout their working lives,” said Wolfe.
“Many young people are busy working, renting, repaying their education costs and in many instances, raising a family,” he said.
“Saving for a deposit at the same time is a significant challenge.”
He noted that enabling access to a portion of their superannuation will allow many first home buyers to accumulate a deposit, redirect their rental payments to their own financial security and allow home ownership sooner.
“Accessing superannuation for a home deposit would provide temporary access to their personal savings. Provided it was repaid to their superannuation accounts over a period of time, similar to university HECS repayments, their retirement savings would be assured,” he said.
“HIA urges all stakeholders to support measures aimed at improving access to home ownership for first home buyers, including assistance in breaching the deposit gap.”
Allowing first home buyers access to their superannuation is something that has been previously encouraged by the Real Estate Institute of Australia for some years, including <a href="/news/reia-urges-government-to-allow-fhbs-to-dip-into-superannuation-for-a-home">in their submission to the last government budget</a>.
It would follow <a href="/news/act/australia-could-learn-from-new-zealands-first-home-buyers-super-scheme-reia">New Zealand</a> and <a href="/expert-insights/investing/reia-lobbies-for-canadian-style-first-home-buyer-scheme">Canada</a>, who currently allow this.
However, last time Property Observer<a href="/news/exclusive-should-australia-follow-canadas-home-buyer-plan-the-experts-have-their-say"> surveyed our panel of experts about whether following Canada’s first home buyer schemes would work</a> for Australian first time buyers, most said that there are other fundamental issues that should be addressed before allowing them to tap into their superannuation.
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Time to allow first home buyers access to superannuation: HIA

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While some commentators have been discussing a slowdown in the significant rate of property price growth in some Australian cities, HSBC Global Research has suggested that this is not the case.
In fact, they’re expecting double digit growth to be realised by year end with the risk of a bubble increasing in cities such as Sydney.
“We expect housing prices to rise by around 10% this year, supported by low mortgage rates,” their research summary explains.
However, they went on to say that they remain of the view that Australia does not have a housing bubble “but the risk that a bubble forms is rising, particularly in the Sydney market”.
“Signs of exuberance are most acute in Sydney, where housing prices are already rising at twice the pace of elsewhere and the investor share of market has reached record new highs in recent months,” their research explains.
Prudent action on behalf of the Reserve Bank was also said to be becoming more critical with the risk of leaving interest rates too low for too long having the potential to drive excessive risk taking in the housing market.
With this in mind, they also suggested that further rate cuts would not be materialising – with hikes to contain growth the more likely scenario.
They noted that in May, there were indeed signs that activity in the housing market is slowing down. However, subsequent activity in June and July have proven this to be a temporary lull with auction clearance rates and prices bouncing back over this month and seasonality perhaps being part of the reason for the slowing.
Despite their overall view that it’s not crisis mode yet, and no bubble has yet been inflated, they did call Sydney’s market “worrisome”.
“The current pace of housing price growth in Sydney seems likely to be unsustainable. Over the past year, Sydney’s housing rices have risen by 15 year on year, while the weighted average of the other capital cities has increased byonly 7% year on year,” they noted.
The pick up in Sydney was attributed to some fundamental factors, including slower supply response and restrictions on land release, but also noted that there are more worrying signs as well.
“In this regard, Sydney’s housing market is starting to show signs that the merely the expectation of rising housing prices may be starting to drive housing price gains, which is worrisome,” they explained.
“One such sign is the investor share of new housing loan approvals, which has reached a new record high in recent months, exceeding the levels reached during Sydney’s 2002-03 housing boom.”
They also pointed to the proliferation of property buying seminars, particularly those aimed at SMSF property purchasing, as a worrying sign.
In 2002/2003, the boom saw Sydney race past Australia’s national growth averages, and after this a significant increase in mortgage defaults was seen.
“It is fair to say that if any part of the national market had the characteristics of a bubble in 2002-03, it was the Sydney market,” they noted.
However, they said there are clear differences this time round. For instance, in 2002/2003, exuberance had spread from housing to the broader economy, housing credit growth was running at over 20% annually and equity withdrawal was a significant driver of household consumption.
At present, signs this exuberance is spreading beyond the housing market are limited.
YOU MIGHT ALSO WANT TO READ
<a href="/expert-insights/buying/how-can-investors-cope-with-a-property-bubble-q-a-with-philip-soos">How can investors cope with a property bubble? </a>Q&amp;A with Philip Soos
Pessimism threatening further price growth: July state of the market analysis
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Sydney bubble risk increases as house prices expected to boom by 10%: HSBC

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Back in February 2012, I published a post on the subject “smaller apartments to be the norm, not the exception”. 
Now almost two and a half years later we are starting to see projects that were then on the drawing board either finished or mostly sold off the plan.
As was already apparent back in 2012, today the reality is that generally apartments have in fact gotten smaller. However, via skillful design and by responding to buyer feedback, smaller now also generally means better. While size is still important, it’s not the most important factor.
Over the same time frame Sydney has also retained it’s place (which depending upon your circumstances and point of view is either a good or bad thing) among the world’s most expensive cities to buy a home. In 2012 there was the certainty that new apartment designs were set to be smaller but also hopefully more efficient with changes being driven mainly by price ceiling constraints and lifestyle demands.
What we have seen over the intervening years has been a remarkable shift in design standards and buyers have also shown little or no resistance to smaller apartments. From a marketing perspective this shift has been driven by a number of factors, mainly quality, good planning and lifestyle shifts. But there has also been the expectation that smaller did not mean inferior.
Smaller Apartments, Big on Design
Apartment buyers are a pretty smart bunch, developers know this and as marketers we also respect how much more engaged buyers have become. When buyers approach off the plan projects they do so with confidence but that is also matched by a much more discriminating buyer.
There have been a number of key facts driving this trend. Higher prices are key; this applies to all buyers as investors are no less demanding of quality. There has also been greater competition for the best locations.
I get constant feedback that in a nut-shell goes like this: Buyers are looking for well-designed, carefully planned projects, that are well located, close to local shops (and that is within walking distance), with access to good public transport. Most buyers are willing to move down in apartment size, but they expect location and services to be top rate. They also have a clear checklist of what they expect internally.
I also think that this has a lot to do with market education that comes via reality TV. There are now so many home renovation shows and I think this has been a factor in educating buyers. They are more aware of good design.
Like the food revolution that has in part grown out of the saturation of cooking TV shows, I think the same can be linked to a cultural shift that has buyers thinking about the design and function of apartments. This also extends more than ever to the reputation of the developer and builder.
First Impressions
One of the most telling ways to judge how people are reacting to smaller and smarter projects is to see how they first respond, what questions are generally top of mind and what first impression is created at a sales and display centre.
They are very keen to see how the space is used; they look beyond the finishes to how the space will function and what the developer has done to make the space work.
I have also noticed buyers are keen to see how the project sits within the neighbourhood and what sort of brand message does the exterior design of the building broadcast. They are quick to spot gimmicks, but there is an appetite for themed buildings that reflect the local environment.
It’s fairly clear that a good project team has to work hard to get the mix just right, this is now essential as apartments are not seen as a stepping stone any more, they are home to more and more of us. Between 2009 and 2012 the supply of new apartments increased by 56% and over the same period the numbers of new detached dwellings fell by 13%.
Article continues on the next page. Please click below.
<hr class="system-pagebreak">
Some Trends
Looking at one of our most recent developments, Woolooware Bay, near Cronulla, in Sydney’s Sutherland Shire, there’s a variety of one, two and three bedroom apartments which range in size across an assortment of designs which include: (internal) 59 square metres for a one bed, 78 square metres for a two bed and 114 square metres for a three bed. These apartments being developed by Bluestone help highlight how good design is being delivered.
Some of the features include; a multi-purpose or shared zone, which might have been a media-nook or study, but has now evolved to a shared space for work, study or pleasure. Apartment kitchens have also evolved, perhaps more than any other area, kitchens are now almost a ‘piece of furniture’ with varied surfaces, textured finishes, display cupboards, recessed lighting, and so just having stainless steel appliances no longer makes the grade.
Other design features include the use of windows and balcony access to create good air circulation, and balconies even, when they are small, are now more private, attractive ‘rooms’. Most of the larger three bed apartments at Woolooware Bay provide balcony access from all main rooms and all bedrooms. The use of high-set windows and privacy screens are now more common features, and there’s a deliberate aim to create separation and privacy for bedrooms.
Another area of design, and this might well help make smaller apartments even more functional, is the use of technology to create ‘smart apartments’ where the push of a button might one day do much more than switch on the lights and TV.
We aren’t fully there yet, but at almost every consumer electronic show manufacturers now display even more smart-home devices. The spread of smart-phones and tablets could soon see apartments online and residents able to switch their lights on or off, tweak the air conditioning, order in dinner, and make sure those houseplants and pets are looked after.
Buyers are skeptical when it comes to ‘gimmicks’, but this does not mean that as apartments are smaller there is not a need for well-planned building facilities. Alongside better interior design these facilities have also evolved and in addition to lap pools and well-equipped BBQ areas. We now have contemplation gardens, wine cellars, common rooms, a library and indoor and outdoor cinemas. However, when these facilities are included, buyers are still keen to see strata levies at manageable levels alongside the focus on quality management.
The end result of all of these trends is the ready comprehension among developers and buyers that smaller apartments are workable and popular, but this needs to be balanced with really assiduous design, great quality and the continued quest for well thought-out locations and buildings with sought-after facilities.
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When it comes to apartments, smaller really can be better

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High density urban redevelopment is needed to improve housing affordability and ensure community access to amenities is fairly distributed around Sydney as the city grows, according to the chair of the Committee for Sydney and director of Turnbull and Partners, Lucy Turnbull.
But local resistance to high density development is creating barriers to urban improvement, Turnbull said at the 2014 HIA Building Better Cities Summit in Sydney last week.
“There is a fundamental break down between professional and industry understanding, and community understanding, of the benefits of smart growth,” said Turnbull, who among other board and executive positions is Chair of the Committee for Sydney and former Lord Mayor of the City of Sydney.
“Communities often have the default position that doing nothing is the best thing,” she said.
Resistance to development was often based on a fear of a loss of access to services such as healthcare, car parking, childcare, local schools and public transport.
This was exacerbated by the small size of Sydney’s local government areas which led to attitudes at a local level that managing wider national and metropolitan population and economic growth was someone else’s problem, Turnbull said.
With a population of around 4.5 million, Sydney has 38 local government areas. In contrast, Brisbane has one local government area covering a population of one million. Overseas, London has a population of 8.2 million and one city council that sits above 33 local government areas. New York City, with 8.3 million people, has one city council and five boroughs.
Turnbull said higher density developments in Sydney could deliver benefits to the community by improving the vitality of town centres and access to public transport.
She said the Central Park development near Sydney’s central station and Stockland Balgowlah on Sydney’s northern beaches should be held up as good examples of urban development done well.
She identified Parramatta, Liverpool and Penrith as areas in which higher density centres should be developed.
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Resistance to high density development creating barriers to urban improvement: Lucy Turnbull

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For those who think houses will always outperform units, this week’s top 10 most expensive sales might offer some food for thought.
It was a three bedroom unit that took out the top sale in the country this week, clearing the second most expensive home, a four bedroom house, by almost $4 million.
These are the 10 biggest sales of the week, from RP Data.
<ol>
<li>
<a href="https://www.propertyobserver.com.au/https://www.myrp.com.au/property/2/3_loftus_road_darling_point_nsw_2027/16165997">2/3 Loftus Road, Darling Point, NSW</a>
<img src="/images/2014/07/29/1.jpg" alt=""> This three bedroom unit sold for $6.4 million through 1st City Hasemer and Caldwell.Eyes and LJ Hooker Double Bay. The full floor, 326 square metre, residence in The Bower was designed by JPRA and Collins Vanguard.
The luxury apartment has an en suite for each bedroom, a family room that extends to a wrap around terrace and 21 metre frontage to the harbour. 
</li>
<li>
<a href="https://www.propertyobserver.com.au/https://www.myrp.com.au/property/4_roslyn_street_brighton_vic_3186/10020852">4 Roslyn Street, Brighton, VIC</a>
<img src="/images/2014/07/29/brighton-july-29-one.jpg" alt=""> This four bedroom house in the Melbourne bayside suburb of Brighton sold for $2.475 at auction through Nick Johnstone Real Estate Brighton. The contemporary two storey home has three bathrooms and a powder room and three living spaces. Outside, there is a solar heated pool and spa. The vendors purchased the house for $1.58 million just last year.
</li>
<li>
 <a href="https://www.propertyobserver.com.au/https://www.myrp.com.au/property/23_beaufort_street_croydon_park_nsw_2133/2031134" style="line-height: 1.3em;">23 Beaufort Street, Croydon Park, NSW, 2133</a>
<img src="/images/2014/07/29/3.jpg" alt=""> 
In Croydon, a five bedroom house was sold for $2.19 million by Elders Inner West Enfield. The full brick home has a formal living and dining area with a curved glass wall, a casual meals and family room and a lift servicing all three levels of the house. It sits on a 614 square metre corner plot.
The vendors purchased the home for $1,275,000 less than a year ago. 
</li>
<li>
<a href="https://www.propertyobserver.com.au/https://www.myrp.com.au/property/28_sevenoaks_street_balwyn_vic_3103/9568809">28 Sevenoaks Street, Balwyn, VIC</a>
 <img src="/images/2014/07/29/4.jpg" alt="">
Another five-bedroom house, Balwyn offering secured $2.16 million for the vendor through Bekdon Richardson and Hawthorn. In a prime school district, the house sits on a 797 square metre block. The house has multiple living spaces, including a formal living and dining room and open plan family areas, with a sandstone wrap around terrace and a glass enclosed pool and spa with its own private bathroom. The house was purchased by the vendors in April 2006 for $1.73 million.
</li>
<li>
<a href="https://www.propertyobserver.com.au/https://www.myrp.com.au/property/18_tutus_street_balgowlah_heights_nsw_2093/1231539">18 Tutus Street, Balgowlah Heights, NSW</a>
<img src="/images/2014/07/29/5.jpg" alt="">
Sold on July 23 by Richardson &amp; Wrench Seaforth, this three bedroom house secured for $2.1 million. Adjoining a bush reserve, the house is set on a 701 square metre “gently undulating” plot with a North Easterly aspect. The house is a few minutes’ walk from Forty Baskets Beach. The house has been held by the same vendors for 23 years – they purchased it for just $262,500 in 1991.
</li>
<li>
<a href="https://www.propertyobserver.com.au/https://www.myrp.com.au/property/38a_crescent_road_mona_vale_nsw_2103/4381359">38A Crescent Road, Mona Vale, NSW, 2103</a>
<img src="/images/2014/07/29/6.jpg" alt="">
This five-bedroom house was sold at auction on July 24 by L J Hooker Avalon for $2,095,000. Overlooking Pittwater, the house has interconnected living spaces around a central outdoor terrace and a pool. Despite making the top 10 list, the vendors made a loss on the sale – they bought 38A Crescent Road for $2.2 million in 2007.
</li>
<li>
<a href="https://www.propertyobserver.com.au/https://www.myrp.com.au/property/1_francis_street_naremburn_nsw_2065/4728487">1 Francis Street, Naremburn, NSW, 2065</a>
 <img src="/images/2014/07/29/7.jpg" alt="">
McGrath Real Estate Agents sold this four bedroom, three bathroom house for $2,053,000. A few minutes away from St Leonards Railway Station, the single level home sits on a 727 square metre block. It has floorboards through the living areas which transition to a north-east facing deck. The vendors purchased the house five years ago, for $1.73 million.
</li>
<li>
<a href="https://www.propertyobserver.com.au/https://www.myrp.com.au/property/116_fifth_avenue_windsor_qld_4030/8251326">116 Fifth Avenue, Windsor, QLD</a>
 <img src="/images/2014/07/29/8.jpg" alt="">
The only Queensland home to make the top 10 list this week, this house secured $2,005,000 when auctioned by Ray White Alderly. The four bedroom Queenslander has high cathedral ceilings and polished floorboards throughout. The property also features a salt water pool and three 3,000 litre water tanks on its 1,045 square metre plot. It was bought by the sellers for $1.14 million in November 2005.
</li>
<li>
<a href="https://www.propertyobserver.com.au/https://www.myrp.com.au/property/1/3_drummoyne_avenue_drummoyne_nsw_2047/2124490">1/3 Drummoyne Avenue, Drummoyne, NSW</a>
<img src="/images/2014/07/29/9.jpg" alt="">
The second unit on this week’s list, this three bedroom Drummoyne offering sold for $2 million through Patterson Rizzo Biviano. The renovated townhouse has panoramic water views from its large entertaining terrace. The complex comes waterfront gardens, a pool and pontoon. The vendors purchased the townhouse for $1,515,000 in 2007.
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<a href="https://www.propertyobserver.com.au/https://www.myrp.com.au/property/17_castle_street_randwick_nsw_2031/5744260">17 Castle Street, Randwick, NSW</a>
 <img src="/images/2014/07/29/10.jpg" alt="">
This two storey four bedroom house sold through Phillips Pantzer Donnelley for $2 million. Close to Centennial and Queens Park, the modern home has a northerly aspect, a swimming pool and secure parking. All the bedrooms are on a single level, freeing up the other floor for living spaces. The home also has a saltwater plunge pool.
The sellers made a loss on this house. It was bought for $2.15 million in 2009.
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Darling Point unit takes top place in the 10 most expensive sales of the week: RP Data 

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There are few topics that cause as much debate among property pundits and housing economists as Australia’s potential property bubble.
It’s a divisive topic. Those who say that we are experiencing a housing bubble are often labelled scaremongers, while those who consistently deny the presence of a bubble are accused of spruiking.
Philip Soos is an economist and post graduate candidate at Deakin University. He has recently co-authored <a href="https://www.worldeconomicsassociation.org/files/Bubble_Economics_Egan_Soos.pdf" target="_blank">Bubble Economics: Australian Land Speculation 1830-2013 </a>with Paul D Egan.
Property Observer asked Soos to explain past bubbles in Australia’s economy and how Australian investors can cope with a potential bubble.
<img src="/images/2014/07/29/soos-profile.jpg" alt="" style="float: right;">
What is your new book about?
The book provides a conclusive answer to the debate that has been raging in Australia for the last decade – is there a bubble in the housing market? Paul D. Egan and I used a fairly conventional approach to investigate this possibility.
We examined the work of the small number of economists who identified the US housing bubble and predicted the GFC, analysed past real estate bubbles in Australia’s history going back to the 1830s, and used a paper published by the RBA in 1999 (<a href="https://www.rba.gov.au/publications/rdp/1999/pdf/rdp1999-06.pdf" target="_blank">Two Depressions, One Banking Collapse</a>) as a template for the book.
What we found is that Australia’s history is littered with real estate bubbles (really, land market bubbles) that later collapsed, pummelling the banking and financial system and repeatedly sending the economy into recession or depression. The stock market has often bubbled over as well, but the effects weren’t nearly as bad.
What is the difference between a bubble and a normal business cycle peak?
Every capitalist economy experiences fluctuations or business cycles, especially given its dynamic and chaotic nature. Business cycles are driven by a number of factors, particularly rapid industrialisation and urbanisation, mining and manufacturing booms, and the rise and fall of speculative asset bubbles. The former are typically based on fundamental movements in the domestic and world economy, but the latter is caused by irrational exuberance.
Due to the reasons mentioned below, mainstream economists pay little attention to the cycles in stock and land markets. If they did, they would notice that many business cycles throughout history have been strongly influenced by real estate booms, financed by private debts the banking and financial system extends to speculators. Controlling the regular pattern of asset bubbles would considerably tame the business cycle.
What are some big bubbles Australia's property market has seen?
The first land market bubble occurred during the 1830s. Speculators purchased enormous amounts of government-owned land, holding them in the hopes that prices would always rise. But fall they did, resulting in Australia’s first depression in the early 1840s, which the economy promptly recovered from.
The second bubble was insane, developing during the 1880s. Bank and non-bank lenders provided credit to everyone who wanted it, underpinning a period of mass speculative fervour, primarily in commercial CBD real estate. There were reports of Melbournian city blocks doubling in price within the space of several months in 1887. The bubble collapsed in the early 1890s, resulting in the worst depression on record, relatively worse than the ‘Great Depression’ of the 1930s.
The next bubble formed during the 1920s, though this was muted compared to the two previous bubbles. Banks were more cautious and adopted <a href="https://www.philipsoos.com/private-debt/">prudent lending standards</a> which ended up saving them during the depression. The movement in real estate prices were smaller relative to the previous land market cycle. The banks favoured lending to the business sector rather than households during these three bubbles.
The mid-1970s saw a commercial bubble, feeding into a smaller residential bubble which peaked in 1974. Both were financed by a sharp rise in lending by the banking and financial sector and eventually burst, bringing about a recession. The high rate of inflation and wage growth did, however, help to mitigate the large private sector debt burden.
During the late 1980s, another commercial bubble developed, centred in Melbourne, Sydney and Perth. After peaking in 1989, commercial real estate prices collapsed by 60% through to 1993, a thorough blood-letting. This produced the early 1990s recession and, to date, Australia has escaped a further recession.
The latest, and easily the largest, land market bubble in post-WW2 history began in 2001. This time around, the commercial property market is playing a backseat role, with the housing market severely overpriced by a range of <a href="https://www.philipsoos.com/housing-valuation">fundamental indictors</a>, indicating severe trouble will occur when it collapses. The illiquid, over-leveraged, under-capitalised, highly concentrated, foreign-funds addicted, and heavily over-compensated banking and financial sector is eerily reminiscent to that of the 1880s.
Article continues on the next page. Please click below.
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Are any markets in Australia currently in a housing bubble?
All capital city housing markets have experienced a <a href="https://www.philipsoos.com/housing-prices/">surge in prices</a> since the mid-1990s, with Melbourne posting the largest gain between the low in 1996 and apparent peak in 2010. Perth has also boomed, with prices doubling in a couple of years after 2004, peaking in the March quarter of 2007.
According to our <a href="https://theconversation.com/property-bubble-thats-the-theory-anyway-16814">preferred measure</a>s of a housing bubble - rising real (inflation-adjusted) prices, accelerating mortgage debt and aggregate net rental income losses - all capital city markets are in the bubble zone, though some are larger than others. Darwin has the <a href="https://www.philipsoos.com/rents-and-yields/">highest yields</a>, so it appears to have the smallest bubble.
What is the relationship between purchasing for capital gains and housing bubbles?
The crazy race for capital gains (paper gains or phantom wealth) is the cause of the bubble. Property investors accumulate huge debts to speculate on the future movements of housing prices, expecting continual rises. Fundamental metrics like household incomes, rents and yields are dismissed, as rapidly rising prices become the new norm.
To protect themselves from a crash, should investors be seeking rental returns rather than purely capital growth?
Yes! The fundamental value of a property is based on the income it produces, not what prices could be next year or the year after. Gross yields were around 7% during the mid-1990s, falling to 4% today. Those who have focused on positive cash flows rather than capital gain will come out ahead.
Housing prices can only rise so far given the staggering burden of household debts, currently around <a href="https://www.bis.org/statistics/credtopriv.htm">110% of GDP</a> as of 2013. This is a historical high and aligns with other nations having experienced a bubble: Ireland, Denmark and the Netherlands. Unfortunately, 67% of investors are negatively-geared as of 2012, up from 51% in 1994, indicating they are focused on capital gains, not rental income.
Why do you believe economists "get it wrong" when it comes to bubbles?
There are two primary reasons why the economics profession as a whole always fail to identify real estate bubbles and predict the subsequent economic downturns.
The first is the theory taught and practised is a <a href="https://www.amazon.com/Debunking-Economics-Revised-Expanded-Dethroned/dp/1848139926/ref=sr_1_1?s=books&amp;ie=UTF8&amp;qid=1405987428&amp;sr=1-1&amp;keywords=debunking+economics&amp;dpPl=1">pseudo-science</a> (neoclassical economics). It imagines a world where people can see into the infinite future, know all information and always make rational decisions. Furthermore, banks, debt and time do not play any role in these models. Economists assume housing and land markets operate efficiently by definition; therefore bubbles can’t exist by this logic. It’s a religious-like belief, but with <a href="https://theconversation.com/time-to-stop-rewarding-economists-for-bad-behaviour-5836">very dangerous consequences</a>, especially for middle and low-income earners.
The second reason is due to vested and conflicts of interest. It is almost impossible to gain the honest opinion of an economist, researcher or analyst into matters of real estate and banking. Economists, particularly those in senior and executive roles within government and industry, are unwilling to jeopardise their incomes and privileged status by pointing out the obvious. If they did, they would be kicked to the curb by their employers by the end of the day.
It’s also the reason why our book has been suppressed by the mainstream media, echoing the experience of other published authors who have come to the same conclusion, such as Australian businessman Lindsay David (<a href="https://www.australiaboomtobust.com/" target="_blank">Australia: Boom to Bust</a>). Our two books have a combined 1,000 plus pages of the most in-depth research on real estate, banking and mining available, but no mainstream journalist or reporter will review or cover them. This is to be expected, however, given the irrationality of the times we live in.
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How can investors cope with a property bubble? Q&A with Philip Soos

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Sydney’s mid-winter auction market retained its recently renewed energy at the weekend recording yet another preliminary strong result around 77%, according to Australian Property Monitors.
The 77.1% clearance rate recorded was the third consecutive 77% plus result following a five week period of waning rates.  
"A moderation of unrealistic price expectations from vendors may be a contributing factor to rising clearance rates over recent weekends," the APM senior economist Dr Andrew Wilson suggested.
Some 506 homes were scheduled for auction at the weekend in Sydney which was well up on the prior weekend’s 404.
It was some 174 more or 52% higher than the 335 homes auctioned over the same weekend last year.
"Auction numbers will continue to gradually rise over coming weekends from its July lows as the market turns from its mid-winter trough and heads towards the spring selling season," he said.
The inner west recorded the highest clearance rate at the weekend of all the suburban regions with an exceptional 90.7% result.
"Next best was the lower north with 88.9% closely followed by the city and east with 88.7%, the upper north with 87.2% and the south with 83.1%.
"The strong upper north shore result follows last weekend’s relatively low result and reflects continuing strong underlying demand for property in that region."
The most expensive property reported sold at auction at the weekend was the five bedroom home at <a href="https://www.realestate.com.au/property-house-nsw-croydon+park-117338283" target="_blank">23 Beaufort Street, Croydon Park</a> (pictured above) sold for $2,190,000 by Elders Inner West-Enfield agent Sebastian Bonaccorso. It came with lift servicing three levels including its basement garaging for eight cars.
Auctioneer at Property Auction Services Rocky Bartolotto told Property Observer that buyer numbers for the weekend across his Sydney auctions dropped by one buyer week to week, however the percentage of registered bidders who actually make a bid at the auction was still considerably up.
 "This traditionally is around 50% however at the moment is at approximately 70%," he said.
He noted that his auctioneers had detected a "handful of owners" had reserve prices set well above the agent opinion and what the buyer feedback has been throughout the marketing campaign. 
"These properties seemed to have lower registered bidders to bid on auction day. 
"In some cases this was evident with reserve prices set $100,000 over agent/buyer indication levels.
"It’s important for vendors that the feedback coming from agent/buyer is strongly considered for best outcomes."
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