The residential transformation of St Kilda Road is set to continue into with more new apartment plans for the sought-after boulevard.

Wing Tai Asia has lodged plans for a major residential tower at 464-466 St Kilda Road, replacing the former VACC House with an 18-storey mixed-use development designed around a retained heritage podium and a sculpted contemporary tower.

The proposal, prepared under Victoria’s Significant Residential Development with Affordable Housing pathway, would deliver 325 apartments and ground-floor retail across the prominent 4,653 sqm boulevard site in Melbourne’s St Kilda Road North Precinct.

The project centres on the adaptive reuse of the site’s heritage-listed VACC Building, an eight-storey office designed by Bernard Evans that has occupied the address for decades. Planning documents state the development would involve “carefully dismantling and conserving off-site the original metal fabric of the podium visible from St Kilda Road,” before reinstating it as the defining frontage of the new scheme.

Above the restored podium, Wing Tai is proposing a curvilinear residential tower. The scheme includes 172 one-bedroom apartments, 63 two-bedroom apartments, 66 three-bedroom apartments, and 24 four-bedroom apartments, alongside two ground-floor food and beverage tenancies fronting St Kilda Road.

The tower has been designed with substantial articulation and variable setbacks to minimise perceived bulk and maintain view corridors along the boulevard. Urbis, which prepared the planning report, said the design “has been significantly articulated through a curvilinear design” with “an interplay with materials, façade expression and depth” to create visual separation and visual interest.

The proposal also includes 254 basement car spaces, landscaped pedestrian links connecting St Kilda Road and Queens Lane, and a biophilic landscape strategy featuring canopy trees, raised planters, cascading greenery and a glass oculus pool overlooking the eastern frontage.

Planning documents confirm the $270.1 million development will contribute 3 per cent of project costs to the Social Housing Growth Fund as part of the application process.

Wing Tai acquired the St Kilda Road property in 2018 alongside Abacus Property Group for $95.38 million, before later consolidating ownership of the site. The property previously served as the Victorian Automobile Chamber of Commerce headquarters for around 60 years.

The transformation of the St Kilda Rd boulevard is already beginning to materialise, with a number of high-profile projects recently completed, launched, or approaching launch as developers continue to back the long-term appeal of the precinct.

Among the most notable recent completions is Louise by Samuel Property Group, just off the strip on Queens Lane, the same pocket Hirsch &amp; Faigen recently launched The Queensbury. Mirvac is too on the same street with The Albertine, which is approaching completion.

Dexus recently secured approval for its slice of St Kilda Road, while Gurner also has approved plans for the precinct.

Joel Robinson

Wing Tai unveils 325-apartment St Kilda Road tower on former VACC House site

Malaysian developer <a href="https://www.apartments.com.au/developers/s-p-setia">SP Setia</a> is the latest to jump into St Leonards booming Transport Oriented Development precinct.

The developer, which has previously delivered Sapphire by the Gardens apartment development in Melbourne, identified the Atchison Street site in 2023. It filed a Scoping Report around 12 months ago, and now has revealed the designs for the new&nbsp;40-storey mixed-use tower.

The State Significant Development Application covers <a href="https://next-portal.urban.com.au/projects/14650/summary">20-22 Atchison Street</a>, a 1,374 sqm site positioned between St Leonards Station and the new Crows Nest Metro station.

Designed by <a href="https://www.apartments.com.au/architects/cox-architecture">COX Architecture</a>, the project would deliver 181 apartments, above a four-storey commercial podium, five basement levels, and new public domain works along Mitchell Street. The apartment mix comprises 35 one-bedroom apartments, 39 one-bedroom-plus-study apartments, 85 two-bedroom apartments, and 22 three-bedroom residences.

The proposal has been lodged as a shop-top housing development under the NSW Government’s TOD planning pathway, which allows increased density around key transport infrastructure. The site sits within the recently rezoned Crows Nest Accelerated TOD Precinct.

<img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="b799673d-48e2-46b0-801a-0e33a9330100" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/atchinson%20site.png?VersionId=dPh0UfwfaHpbFL1R7H1cbZNbIW0CHbCC" />

SP Setia acquired the Atchison Street site as part of its continued expansion into the Australian apartment market. In comments made to City &amp; Country (The Edge Malaysia) in 2023, SP Setia President and CEO Datuk Choong Kai Wai described the acquisition as “a strategic move” aligned with the group’s post-pandemic market recovery strategy.

“Our target for this exceptional development is local and overseas buyers, including first-home buyers, downsizers and investors,” Choong said.

The tower has been designed as a slender vertical form rising from a mixed-use podium, with COX Architecture positioning the development as a response to the evolving St Leonards and Crows Nest skyline.

“The purpose of the project is to facilitate the delivery of high-quality housing at a strategically located site and deliver a built tower outcome that is consistent with the desired future character of St Leonards and aligns with the TOD controls,” the design report stated.

<img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="b1a85eee-76f7-436c-a6da-73ba827b9b13" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/atchinson%20entry.png?VersionId=dA9jHGPMcm.dDbwk4QfxqWiY5bfh3UVt" />

The podium would incorporate retail uses fronting Atchison Street, commercial tenancies, landscaped communal areas, and pedestrian improvements along Mitchell Street. Vehicle access and loading would be consolidated via Atchison Lane.

Residents would have access to more than 665 sqm of communal indoor and outdoor spaces, while the development proposes 96 parking spaces across five basement levels.

The proposal also includes a commitment for 10 per cent of residential floor space to be allocated toward affordable housing through a monetary contribution.

COX said the tower form responds directly to the emerging high-density character of the precinct while seeking to maximise solar access, cross ventilation, and outlook from apartments.

<img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="2163f85c-f63b-4be3-aafa-f8763976cec5" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Article%20Feature%20Image%20%28Grid%29_5.png?VersionId=WiAmtIKJ6.ZQ41EtYEQ1fol7AeorKBlL" />

“The building is orientated towards north,” the Apartment Design Guide compliance report noted, adding that the tower’s slim form was driven by the constrained inner-urban site dimensions.

The design also incorporates landscaped setbacks and communal open space at podium level, intended to soften the interface with surrounding streets and improve pedestrian amenity.

The project adds to a growing wave of redevelopment proposals reshaping St Leonards and Crows Nest following the opening of the Sydney Metro City line and the NSW Government’s push for higher-density housing around major transport nodes.

Last week Stockland filed plans just down the road. They want to build a <a href="https://www.apartments.com.au/new-apartments/601-pacific-highway-st-leonards-nsw-2065">52-storey tower on Pacific Highway</a>.

Read more:&nbsp;<a href="https://www.apartments.com.au/news/nsw/first-look-stockland-plans-52-storey-538-apartment-st-leonards-tower">First look: Stockland plans 52-storey, 538-apartment St Leonards tower&nbsp;</a>

First look: SP Setia targets St Leonards skyline with 40-storey TOD tower

<a href="https://www.apartments.com.au/developers/urban-property-group">Urban Property Group</a> has revealed plans for a new mixed-use tower at 10 Dangar Street, Wickham, advancing a proposal that would reshape the southern gateway to Newcastle’s city centre with one of the city’s tallest residential buildings.

The State Significant Development proposal, now on exhibition, seeks approval for a <a href="https://www.apartments.com.au/new-apartments/bowline-10-dangar-street-wickham-nsw-2293">43-storey tower</a> immediately adjacent to the Newcastle Interchange. The project would deliver around 200 apartments, including 42 affordable housing dwellings, alongside 99 co-living units, a 171-room hotel, retail space, and new public domain integrated through the site.

The scheme marks a significant escalation of plans previously approved for the site. Urban Property Group took over the prominent 2,904 sqm parcel, where excavation and demolition had already commenced under an earlier consent for a 14-storey mixed-use development.

<img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="58a96dd9-407f-4d20-86b4-94e4bfeef74b" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20podium.png?VersionId=LGlf08pdFGAZDzvx_CXC4XakHNZRuEE0" />

Designed by <a href="https://www.apartments.com.au/architects/sjb-architects">SJB</a>, the tower has been conceived as a landmark transit-oriented development anchored to the Newcastle Interchange precinct. The proposal includes 245 build-to-sell apartments across a mix of one, two, and three-bedroom residences, as well as two penthouses. Fifteen apartments and one operational unit are earmarked for NDIS housing. The co-living component would add a further 99 units, while the podium would accommodate retail uses and hotel facilities.

SJB said the site presents “a valuable opportunity to anchor the precinct by setting the standard for design, active ground planes and character at the key southern gateway.”

The architecture responds directly to the site’s position beside major transport infrastructure and within one of Newcastle’s fastest-evolving urban renewal precincts. The tower form sits above a sculpted podium designed to frame new public spaces, including a through-site pedestrian link connecting Station Street to Hannell Street, landscaped plazas, and activated retail edges.

<img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="a7bd6ff0-f7db-4ce8-a6dc-ea56e72c6149" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20lanne.png?VersionId=xzf39VADyhj7zBQY2I9fx9vI62u2tuSb" />

The design report describes the project as part of the broader transition of Wickham into “a vibrant, high-quality mixed-use urban precinct” that leverages proximity to the station, open space, and regional connectivity.

A detailed public art strategy has also been prepared for the development. The strategy positions the project as “a transit-oriented development of state significance at the gateway to Newcastle’s city centre” and outlines a series of integrated artworks responding to Newcastle’s industrial and transport heritage.

Creative Road’s curatorial framework for the project, titled Unveil, draws on “stratified surfaces, carved volumes, and light-filled apertures” while referencing Newcastle’s transformation from an industrial city into a contemporary education and technology hub.

<img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="77a882bb-14b1-4d28-99ff-9438e39508c0" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20site.png?VersionId=cevgo_vN0eKPK78P8YcEu3mKPLkpFqE7" />

The proposal is being advanced through the NSW Housing Delivery Authority pathway after being declared State Significant Development in June 2025. The accompanying scoping report states the development aims to “maximise the site’s proximity to the Newcastle Interchange by delivering transit-oriented development” while increasing housing supply and affordable housing provision within the Newcastle LGA.

Urban Property Group’s plans align with the long-term strategic vision established under the Wickham Master Plan, which identified the interchange precinct as suitable for substantial uplift in height and density. The current proposal would significantly intensify that vision, positioning the tower among the tallest developments proposed for Newcastle.

The site sits immediately north of the Newcastle Interchange, bounded by Dangar Street, Hannell Street, and Charles Street. It is surrounded by a rapidly growing cluster of residential towers and mixed-use projects that have emerged following the completion of the light rail and transport interchange.

First look: Urban Property Group unveils Newcastle’s latest tower at Wickham interchange

Bottega House has completed settlement of a landmark riverfront site in Macquarie Street, St Lucia, representing its first major Brisbane development.&nbsp;

Positioned on the banks of the Brisbane River, the <a href="https://www.apartments.com.au/new-apartments/180-macquarie-street-st-lucia-qld-4067">premium site at 180 Macquarie Street</a> features uninterrupted river frontage in one of Brisbane’s most tightly held residential precincts.&nbsp;

The proposed development, currently under assessment with Brisbane City Council, has been designed by <a href="https://www.apartments.com.au/architects/plus-studio">Plus Studio</a> with interiors by <a href="https://www.apartments.com.au/interior-designers/mim-design">Mim Design</a> and will deliver a boutique collection of premium residences positioned specifically for owner occupiers and downsizers.&nbsp;

The residences are set to redefine luxury apartment living in the area, with a focus on architectural quality, refined finishes, landscape integration and elevated amenities including curated wellness facilities, resort-style pools and recreation spaces rarely seen in the local market.&nbsp;

Exclusive sales for the project will be led by Keenan &amp; Byrne, ahead of an anticipated launch later this year.&nbsp;

Bottega House Managing Director Nick Malloch said the project reflects the group’s ambition to deliver a highly curated residential offering within one of Brisbane’s most tightly held precincts.&nbsp;

“This is an incredibly rare riverfront opportunity and one we have approached with a long-term perspective,” Malloch said.&nbsp;

“Our vision from the outset was to create a boutique collection of residences that feel more like private homes than traditional apartments, with generous proportions, refined finishes and exceptional amenity throughout."

Malloch says there is a&nbsp;lack of premium owner-occupier stock of this quality in the market, particularly for downsizers wanting space, privacy and a true lifestyle offering without compromise.&nbsp;

"Demand is expected to be strong given the scarcity of premium riverfront opportunities of this nature within Brisbane’s inner-west."&nbsp;

Bottega House secures landmark riverfront site in St Lucia 

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The arrival of the first piling rig officially marks the commencement of construction at SIERA’s new beachside apartment development, Exhale, in Northcliffe.

<a href="https://www.apartments.com.au/new-apartments/exhale-surfers-paradise-8-enderley-avenue-surfers-paradise-qld-4217">Exhale</a>, a glass-encased tower featuring 54 large-scale apartments at 8 Enderley Avenue, is SIERA’s third Gold Coast development. It follows the recently completed PIPIS Bilinga beachfront project, which achieved suburb-record prices, and the soon-to-be-completed Chevron Island development, Tapestry.

[smartcode_project:default project_id=112661 project_image_fid=359603]

<a href="https://www.apartments.com.au/developers/siera">SIERA</a> Founder and Managing Director Brent Thompson said the arrival of the piling rig represented a significant milestone for the development, which is scheduled for completion in late 2028.

Over the next month, around 260 piles are expected to be installed as work progresses on the basement structure. The building is anticipated to rise above ground level early next year, before unveiling its sculptural glass curtain wall, developed in collaboration with specialist façade engineers.

“The façade was designed to maximise panoramic coastal views while creating a distinctive architectural identity,” Thompson said.

[smartcode_project:default project_id=112661 project_image_fid=355935]

Designed by BDA Architecture, Exhale will comprise just 54 two- and three-bedroom residences across 26 levels, a level of low-density living rarely delivered in this beachside pocket between Surfers Paradise and Broadbeach.

The project has been conceived as a resident-only building, with no short-stay accommodation permitted. SIERA says the model is intended to appeal to long-term owner-occupiers rather than transient holiday demand.

[smartcode_project:default project_id=112661 project_image_fid=361052]

Residences have been designed with large-format layouts and expansive glazing, with most apartments featuring more than 30 metres of glass frontage to maximise natural light and ocean views.

The amenity offering spans two levels and centres on wellness and lifestyle, including a heated magnesium pool, sauna, yoga and Pilates studio, gymnasium, private dining facilities, cinema lounge, and dedicated surfcraft storage.

[smartcode_project:default project_id=112661 project_image_fid=359607]

More than half of the apartments have already sold. SIERA has also opened a sales gallery for Exhale at its Chevron Island commercial premises, near its Tapestry tower and the site of its second Chevron Island apartment development, which is slated to launch in early 2027.
</section>
</section>

[smartcode_project_cta:default project_id=112661]

SIERA kicks off construction at Northcliffe tower Exhale

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?

National Australia Bank (NAB) has brought forward the timing of the first RBA cash rate cut by three months.

NAB is now expecting a cut in February, in line with ANZ and Westpac, having initially thought a cut wouldn't come until May.

Commonwealth Bank, the nation's largest lender, still thinks the first cut will come in December.

NAB changed its call following the August monthly inflation figures that were released at the end of September, showing it had dropped to 2.7 per cent.

"The risk has been skewed to a first cut earlier in 2025, and today’s change acknowledges the balance of risks has likely shifted sufficiently for the RBA to feel comfortable cutting a little sooner than we earlier expected," NAB noted in its latest update.

They added that the cadence of the cuts may be faster than its central profile.

"Domestic inflation pressures are cooling, but only gradually, and we continue to expect the conditions for a cut will not be in place this year.

NAB believes the easing cycle will end at 3.1 per cent by early 2026, which is five cuts from the current 4.35 per cent cash rate.&nbsp;

CBA also thinks 3.1 per cent will mark the end of the cutting cycle, while Westpac is forecasting 3.35 per cent, and ANZ is the most pessimistic at 3.6 per cent, which would be just three interest rate cuts.

<h2>What would a rate cut in February look like for borrowers?</h2>

According to&nbsp;<a data-saferedirecturl="https://www.google.com/url?q=https://link.mediaoutreach.meltwater.com/ls/click?upn%3Du001.IVvjJ-2BPT0A8C3VxtqKc6e3bj5hBuw27WFEYqovsYs7kPsgFulYrdOzeP8gI7CybJOya3_RgrM7qq-2BfK-2FtAHeRBLv5Qrb-2Bii5fzjLeKcP4w-2FkNgJPXygpiRhVUan3WV3QEggcf617UC8Z60RjQJZAqx7PiO7FtVJQSn0D46Zc3iTVP0kAhTTzG51cPpa5hrqz1OkSA-2BiXAxUajQ686MTtiseWBIdMdknd83aB7cOVgXlVTeHCGf3-2BcMHwfvI8TYlkUovqEhn4dj0KXf2eJGpb9-2BBv20hPXdLlPP9yD7DvFFDBM5yrTqxvcCiMfAsW1onD-2FcriL628eYdhNQE7bwzYrxcOYnmaYfRhGl-2FEHQ6eK2uQcLxs6Cbu6Dx0bYvpi5A6enmxMWU5TkcRYrP6Z8GbXZYtc5qSoKu6eWFBQR9K7fsjXwHMmby3D3X6Yx-2BxcDcdRruTG&amp;source=gmail&amp;ust=1727774368149000&amp;usg=AOvVaw2vK2ujS77CHs9VRvSSXzLC" href="https://link.mediaoutreach.meltwater.com/ls/click?upn=u001.IVvjJ-2BPT0A8C3VxtqKc6e3bj5hBuw27WFEYqovsYs7kPsgFulYrdOzeP8gI7CybJOya3_RgrM7qq-2BfK-2FtAHeRBLv5Qrb-2Bii5fzjLeKcP4w-2FkNgJPXygpiRhVUan3WV3QEggcf617UC8Z60RjQJZAqx7PiO7FtVJQSn0D46Zc3iTVP0kAhTTzG51cPpa5hrqz1OkSA-2BiXAxUajQ686MTtiseWBIdMdknd83aB7cOVgXlVTeHCGf3-2BcMHwfvI8TYlkUovqEhn4dj0KXf2eJGpb9-2BBv20hPXdLlPP9yD7DvFFDBM5yrTqxvcCiMfAsW1onD-2FcriL628eYdhNQE7bwzYrxcOYnmaYfRhGl-2FEHQ6eK2uQcLxs6Cbu6Dx0bYvpi5A6enmxMWU5TkcRYrP6Z8GbXZYtc5qSoKu6eWFBQR9K7fsjXwHMmby3D3X6Yx-2BxcDcdRruTG" target="_blank">Canstar</a>, if there is a cut in February, a borrower with a $600,000 loan today and 25 years remaining would see their monthly repayments drop by $92.&nbsp;

<table border="1" cellpadding="0" cellspacing="0">
	<tbody>
		<tr>
			<td colspan="3">
			Impact of 0.25% pt cut in February 2025
			</td>
		</tr>
		<tr>
			<td>
			Current loan size
			</td>
			<td>
			Drop in monthly repayment
			</td>
			<td>
			New monthly repayment
			</td>
		</tr>
		<tr>
			<td>
			$600,000
			</td>
			<td>
			-$92
			</td>
			<td>
			$3,907
			</td>
		</tr>
		<tr>
			<td>
			$750,000
			</td>
			<td>
			-$114
			</td>
			<td>
			$4,884
			</td>
		</tr>
		<tr>
			<td>
			$1M
			</td>
			<td>
			-$153
			</td>
			<td>
			$6,512
			</td>
		</tr>
		<tr>
			<td colspan="3">
			Source:&nbsp;<a data-saferedirecturl="https://www.google.com/url?q=https://link.mediaoutreach.meltwater.com/ls/click?upn%3Du001.xWMOP9hChsvn-2BC9O-2FebBihXIZ4cEzbiuENdxm-2Bx3-2FYEEgYMhZlKWNj5Zzy1YZ56RuASD_RgrM7qq-2BfK-2FtAHeRBLv5Qrb-2Bii5fzjLeKcP4w-2FkNgJPXygpiRhVUan3WV3QEggcf617UC8Z60RjQJZAqx7PiO7FtVJQSn0D46Zc3iTVP0kAhTTzG51cPpa5hrqz1OkSA-2BiXAxUajQ686MTtiseWBIdMdknd83aB7cOVgXlVTeHCGf3-2BcMHwfvI8TYlkUovqEhn4dj0KXf2eJGpb9-2BBv20v2akwr6-2BqLyRrlEgkJ4J-2BCCyY0x189xEHZA4Ylf8c7ChBqNIkhmftZzoFuZKFn43pw3oJVg2o1gumrpdA-2B7MB-2FBtmL2rFCI-2FXORATQHySCLVOMg7Vywv-2BqnnQUAtDz6XkvpwxdHFXh70VwKazzhJsICilEYOvP4ju0sIfi5g6TL&amp;source=gmail&amp;ust=1727774368149000&amp;usg=AOvVaw2qVnp6oqATgqDUi2Frm22q" href="https://link.mediaoutreach.meltwater.com/ls/click?upn=u001.xWMOP9hChsvn-2BC9O-2FebBihXIZ4cEzbiuENdxm-2Bx3-2FYEEgYMhZlKWNj5Zzy1YZ56RuASD_RgrM7qq-2BfK-2FtAHeRBLv5Qrb-2Bii5fzjLeKcP4w-2FkNgJPXygpiRhVUan3WV3QEggcf617UC8Z60RjQJZAqx7PiO7FtVJQSn0D46Zc3iTVP0kAhTTzG51cPpa5hrqz1OkSA-2BiXAxUajQ686MTtiseWBIdMdknd83aB7cOVgXlVTeHCGf3-2BcMHwfvI8TYlkUovqEhn4dj0KXf2eJGpb9-2BBv20v2akwr6-2BqLyRrlEgkJ4J-2BCCyY0x189xEHZA4Ylf8c7ChBqNIkhmftZzoFuZKFn43pw3oJVg2o1gumrpdA-2B7MB-2FBtmL2rFCI-2FXORATQHySCLVOMg7Vywv-2BqnnQUAtDz6XkvpwxdHFXh70VwKazzhJsICilEYOvP4ju0sIfi5g6TL" target="_blank">www.canstar.com.au</a>. Starting rate is the RBA existing average owner-occupier variable rate of 6.36%. Assumes banks pass the cash rate cut on in full the month after the meeting.
			</td>
		</tr>
	</tbody>
</table>

Canstar Data Insights Director, Sally Tindall, says if core inflation continues to track in the right direction, or unemployment starts to accelerate significantly, we could well see a cash rate cut as early as February of next year.

“All four big banks now believe the RBA will be ready to cut the cash rate in just over four months’ time, if not before, in the case of CBA.

“However, the outlook for both inflation and unemployment is still highly uncertain. A couple of wobbly sets of inflation data could see the RBA holding for longer, particularly if unemployment remains relatively steady."

&nbsp;

Commonwealth Bank, the nation's largest lender, still thinks the first cut will come in December.

NAB bring forward first RBA cut to February 2025

<html><body>
Governor Glenn Stevens' statement:
At its meeting today, the Board decided to leave the cash rate unchanged at 2.5%. Growth in the global economy is continuing at a moderate pace, helped by firmer conditions in the advanced countries. China's growth remains generally in line with policymakers' objectives. Commodity prices in historical terms remain high, but some of those important to Australia have declined this year. Financial conditions overall remain very accommodative. Long-term interest rates and risk spreads remain very low. Emerging market economies are receiving capital inflows. Volatility in many financial prices is currently unusually low. Markets appear to be attaching a very low probability to any rise in global interest rates, or other adverse event, over the period ahead. In Australia, growth was firmer around the turn of the year, but this resulted mainly from very strong increases in resource exports as new capacity came on line; smaller increases in such exports are likely in coming quarters. Moderate growth has been occurring in consumer demand. A strong expansion in housing construction is now under way. At the same time, resources sector investment spending is starting to decline significantly. Signs of improvement in investment intentions in some other sectors are emerging, but these plans remain tentative as firms wait for more evidence of improved conditions before committing to significant expansion. Public spending is scheduled to be subdued. Overall, the Bank still expects growth to be a little below trend over the year ahead. There has been some improvement in indicators for the labour market this year, but it will probably be some time yet before unemployment declines consistently. Recent data showed an increase in inflation, with both headline and underlying measures affected by the decline in the exchange rate last year.  But growth in wages has declined noticeably and is expected to remain relatively modest over the period ahead, which should keep inflation consistent with the target even with lower levels of the exchange rate. Monetary policy remains accommodative. Interest rates are very low and for some borrowers have continued to edge lower over recent months. Savers continue to look for higher returns in response to low rates on safe instruments. Credit growth has picked up a little, including most recently to businesses. The increase in dwelling prices has been slower this year than last year, though prices continue to rise. The exchange rate remains high by historical standards, particularly given the declines in key commodity prices, and hence is offering less assistance than it might in achieving balanced growth in the economy. Looking ahead, continued accommodative monetary policy should provide support to demand and help growth to strengthen over time. Inflation is expected to be consistent with the 2–3% target over the next two years. In the Board's judgement, monetary policy is appropriately configured to foster sustainable growth in demand and inflation outcomes consistent with the target. On present indications, the most prudent course is likely to be a period of stability in interest rates.
</body></html>

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Interest rates for borrowers have edged even lower: Glenn Stevens' August statement

<html><body>
Lenders are expected to discount their rates further in coming months, according to 1300HomeLoan managing director John Kolenda.
With interest rates still at significant lows, there’s competition in the market between the lenders that may spur on further discounts for current and new mortgage holders.
“We are seeing some of the lowest fixed rates ever and there’s also good deals being offered on variable rates,” said Kolenda.
“This is an environment which offers potential wins for the home loan customer prepared to shop around for a better deal.”
He noted that the borrowing costs for banks in the global market have fallen, leaving them well placed to offer competitive home loan products.
“The home loan customer is in a strong negotiating position and your lender will be keen to listen, particularly if you raise the possibility of looking elsewhere,” he said.
</body></html>

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More discounting from lenders on the horizon: 1300HomeLoan

<html><body>
The Reserve Bank of Australia publishes a number of different indicator lending rates each month.
These include indicator rates for home loans issued by banks and mortgage managers, as well as personal loans and loans to large and small businesses.
Indicator rates for home lending are published for standard variable loans from banks and mortgage managers; discount variable loans from banks; basic variable rate loans from mortgage managers and three-year fixed interest rate loans from banks.
As the chart below shows, of the variable interest rates offered by lending institutions standard variable loans offered by banks generally have the highest indicator lending rate. Mortgage managers’ standard variable rate loans are next highest, followed by banks’ discount variable rate loans, with mortgage managers’ basic variable rate loans having the lowest interest rates.
Chart 1: Indicator lending rates over the decade 2004-2014
<img src="/images/2014/08/01/rba-chart-aug-1.gif" alt=""> 
Source: Property Observer using RBA data
Canstar research manager Mitchell Watson says lenders use the standard variable indicator rate as a reference rate when issuing discounts on mortgages to customers.
Few people pay the standard variable indicator rate. Most consumers will pay around 0.7 percentage points less than that rate, either through a packaged loan which offers a discount rate, or through a basic home loan, Watson says.
Consumers interested in home lending rates should look at the RBA’s indicator rates for bank discount variable loans, mortgage managers’ basic variable loans and bank three year fixed rate loans when comparing products.
“What they provide is an indication of the type of interest rates that you should be looking for,” Watson says. “That should be a benchmark if you are researching or looking to take out a home loan.”
Lenders offer two main types of variable-rate mortgage products: basic loans and packaged loans.
“A basic home loan is a product that doesn’t have all the bells and whistles. It may not have an offset account and if you want to access certain features it might cost to do that,” Watson says.
“A discount [variable rate mortgage] will have an offset account and all the bells and whistles but also attract a higher annual fee.”
The rates the RBA publishes are an average. Watson says there will be lower rates available, so it pays to shop around.
Fully featured discount variable rate loans tend to be slightly more expensive than basic home loans, but that is not always the case. During the financial crisis the indicator rate for home loans from banks briefly fell below the indicator lending rate for mortgage managers’ basic variable loans (see chart below).
Chart 2: Detail from Chart 1
<img src="/images/2014/08/01/rba-chart-aug-1-two.gif" alt="">
 
Source: Property Observer using RBA data (detail from Chart 1)
Watson says that was most likely due to interest rate cuts at the time being passed on more quickly on discount variable rate loans than on mortgage manager basic rate loans.
While movements in the RBA’s cash rate direct mortgage interest rate changes to some extent, lenders often lower or raise the mortgage rates they offer on their products independently of the RBA’s interest rate movements.
In late July, the country’s biggest banks cut rates on five-year fixed mortgages, despite there being no change from the RBA.
The Commonwealth Bank, National Australia Bank and Westpac all cut five-year fixed rate loans to less than 5%. NAB also cut its four-year to 4.99% and its three-year loan to 4.94%.
Smaller lenders followed quickly. Last week, St George cut its rates to 4.99% for four and five year loans under its Advantage package. ME Bank and RAMS also dropped their fixed rates below 5%.
Watson says the banks have been able to offer lower rates to customers as their lending costs – which are determined by factors such as the outlook for the RBA cash rate – have fallen.
Finder.com.au money expert Michelle Hutchison says in the past, when lenders lowered the rates on their fixed loan products, it was a good indication that variable rates would soon be cut too. But now, most interest rate experts believe the next rate movement will be up, according to Finder.com.au’s monthly survey of economists.
The recent mortgage rate cuts are likely to be part of a competitive push by lenders to lock in customers for a longer period of time, Hutchison says.
“The longer the bank can lock you in to a home loan the better it is for the bank,” she says. “Often fixed home loans have limitations and caps on how much you can repay in lump sums. Also, there are break costs if you want to break within the fixed period so if you fix the loan as a borrower you are likely to stay in that loan for at least that fixed period.”
Consumers can more easily change mortgage products than in the past due to the banning of early exit fees on variable rate mortgages in 2011, Hutchison says. That has encouraged banks to take steps, such as offering very low five-year fixed rates, to lock in customers.
Finder.com.au has calculated that with the average variable rate at around 5.5%, the low five-year rates available will offer considerable savings to many borrowers. According to their calculations, variable rates would need to be cut by 25 basis points every six months for the next four and a half years before rising again – a total of 125 percentage points of cuts – for a variable rate mortgage to cost less than the fixed rate loans.
But five-year fixed rate loans will not suit everybody, Watson says.
“The big thing to consider is the term. Understand that big changes in your financial situation might have an impact on what’s the best term for you. If you are looking to upgrade in four years time, a five-year fixed term may not suit you due to break costs,” Watson says.
People who wish to repay a fixed-rate loan in full before the end of the term typically have to pay a fee called a break cost. This can be very high depending on factor such as how much of the term is left to run.
Fixed rate loans also tend to have fewer features than variable rate loans, although Watson says fixed rate mortgages with offset accounts and facilities to allow extra repayments are becoming more common. CUA, Mortgage House and ANZ for example, have fixed rate loans with some of the same features traditionally offered only by a variable rate loan.
</body></html>

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What the RBA's indicator rates can tell you about your home loan

<html><body>
Borrowers should begin planning ahead for a rate rise, according to comparison website finder.com.au.
Experts surveyed by <a href="https://finder.com.au">finder.com.au</a>, including senior economists from the big four banks, all agreed that the cash rate will most likely remain on hold at 2.5% this month.
The majority of the 20 respondents to finder.com.au's survey expect the cash rate to increase next year, with two experts predicting that rates will rise before the end of 2014.
Seven of the 17 experts who predicted a rate rise for 2015 believe it will happen in the first half of the year, while six think it won't come until after June 2015. Three were undecided, while one did not comment.
A senior economist from Commonwealth Bank and an expert from Urbis both expect rates will rise before 2015.
According to Michelle Hutchison, money expert at finder.com.au, interest rates will likely increase by 1.5 percentage points from next year.
“While lenders are competing harder to lock in borrowers with a fixed home loan, the finder.com.au monthly Reserve Bank Survey shows that we can expect to see interest rates rise to a new normal level of 150 basis points higher from next year," says Hutchison.
“Most of our experts believe the cash rate won’t reach the historical average of about 5%, but rather reach around 4%, which is 150 basis points above the current cash rate of 2.50%. And with 17 out of the 20 respondents betting on rates to start their way up from next year, borrowers need to ensure they can afford the extra cost.”
The website's database shows that more lenders have dropped the rates on their five-year fixed loans to under 5% this week, following NAB, Commonwealth and Westpac which all dropped their rates to 4.99% following last week's CPI announcement.
St George Bank, Citibank and St George Bank have all reduced their five-year fixed rates to 4.99%. Newcastle Permanent now offers a 4.95% rate on its five-year fixed loan, and Mortgage House's five year product is offered at a 4.97% interest rate.
Hutchison says borrowers should take advantage of the low rate deals before they change.
“Interest rate hikes are on the horizon and look set to start rising very soon, so borrowers need to start preparing now before it’s too late. For instance, variable rate borrowers with a $300,000 mortgage will need to factor in an extra $300 per month to keep up with repayments should their interest rate increase by 150 basis points," she says.
“Fixed home loan rates are among the lowest levels we’ve ever seen so if you are concerned about rising rates and higher repayments, it could be worthwhile locking in before these potential savings are gone.
“We calculated that borrowers with a $300,000 mortgage who switch from the average variable rate of about 5.50 percent to the lowest five-year fixed rate of 4.95 percent, could save almost $16,000 in five years if variable rates rise by 150 basis points," explains Hutchison.
</body></html>

jrichardson-uRX5hFdKfN

Start planning for a rate rise: Finder.com.au

<html><body>
Property enthusiasts are no doubt gearing up for the results of the RBA meeting at 2.30pm today.
In the meantime, we look at the things that you should know about interest rates and the current environment.
Here are 10 things you should know:
<ol>
<li>The current interest rate is 2.5%. 
</li>
<li>It’s at a historical low. 
</li>
<li>The low interest rate is being called one of the primary reasons that <a href="/expert-insights/finance/thanks-to-low-interest-rates-affordability-at-highest-level-for-over-a-decade-hia-cba-index">affordability was recently recorded at the highest level in a decade</a>, according to the HIA-CBA Housing Affordability Index. <a href="/expert-insights/finance/thanks-to-low-interest-rates-affordability-at-highest-level-for-over-a-decade-hia-cba-index"> </a>
</li>
<li>Interest rates haven’t been changed by the Reserve Bank since this time last year, August 2013, when it was reduced by 0.25%. 
</li>
<li>Prior to this, the historical low was 3% in April 2009, which lasted until a 0.25% hike in their October 2009 meeting. 
</li>
<li>In August 2012, the rate was set at 3.5%. In August 2011, it was 4.5%. 
</li>
<li>In the last 25 meetings where changes were seen (taking us to 8 August 2007), 11 were increases of 25 basis points, nine were decreases of 25 basis points, three were decreases of 100 basis points, one was a 75 basis point decrease and one was a 50 basis point decrease. 
</li>
<li>In RBA governor <a href="/expert-insights/finance/strong-expansion-in-housing-construction-underway-glenn-stevens-july-statement">Glenn Stevens’ last meeting minutes (July)</a> he noted that the most prudent course of action is a period of interest rate stability. HSBC's Paul Bloxham has said that <a href="/expert-insights/investing/rates-will-go-up-but-not-this-time-around-hsbcs-bloxham">a change in language in upcoming minutes is the factor to keep an eye out for</a>. <a href="/expert-insights/finance/strong-expansion-in-housing-construction-underway-glenn-stevens-july-statement"> </a>
</li>
<li>Low interest rates and rising property prices have seen<a href="/expert-insights/investing/economists-warn-of-a-property-bust-if-interest-rates-stay-too-low"> international economists predicting a ‘property bust’</a>. <a href="/expert-insights/investing/economists-warn-of-a-property-bust-if-interest-rates-stay-too-low"> </a>
</li>
<li>Just two experts in a recent panel from Finder.com.au expect interest rates to increase by the end of the year… however, the majority expect increases next year with a “new normal” of 4% expected.</li>
</ol>
YOU MAY ALSO WANT TO READ
Interest rates crash course: <a href="/expert-insights/finance/interest-rates-crash-course-whats-the-relationship-to-the-property-market">What’s the relationship to the property market?</a>
</body></html>

10 things to know about the current interest rate

<html><body>
A new report from HSBC Global Research’s chief economist Peter Bloxham said that the RBA is expected to keep rates on hold next week with the next movement expected to be up.
While this has been expected for the last couple of months, Bloxham made an interesting observation of what must be watched in the next statement from RBA governor Glenn Stevens.
It’s all in the wording.
“A key thing to watch out for will be a possible language change in the statements,” Bloxham explained.
“For the past six months, the RBA has been stating that a 'period of stability' in rates was likely; however, with rates now having been stable for almost a year that language may change, simply because there has already been a long period of stable rates.”
He noted that Stevens had warned about a forthcoming language change, but said that it was not necessarily an indication that rate hikes were being considered.
Next week, Bloxham expects the RBA to reiterated that the Australian dollar remains higher than they would like it to be, and to revise down CPI forecasts.
Sentiment was also noted to be improving.
{module When do you think the next RBA movement will be?}
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RBA expected to keep rates on hold, next movement up: HSBC

<html><body>
Divergent trends are apparent in the housing market of late, with investors continuing to show momentum, while credit to owner-occupiers has consolidated since the end of last year.
Andrew Hanlan, the Westpac senior economist was commenting after investment property loan growth accelerated sharply last month, at the fastest year-on-year growth since the first quarter of 2008.
<img src="/images/2014/08/01/wp-aug-1-one.gif" alt="">
The surge in investment loan lending to pre-GFC levels saw loans to investors in June jump 0.9%, according to Reserve Bank of Australia data published Thursday.
Annual investment loan growth has now hit 8.7%.
<img src="/images/2014/08/01/wp-aug-1-two.gif" alt="">
Loans to households – including owner-occupiers – rose by a more modest 0.6%, taking the annual gain to 6.4%.
"Notably, low and falling interest rates in 2013 triggered a sharp lift in new lending for housing," Andrew Hanlan noted.
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Investor property loan growth back to pre-GFC levels: RBA

<html><body>
Rams and ME Bank have both cut the interest rates on their fixed home loan products.
Following <a href="/expert-insights/finance/nab-and-westpac-meet-cbas-rate-cut">rate cuts by Commonwealth, NAB and Westpac</a> last week, the two smaller lenders have also dropped their rates, with ME Bank undercutting them all on its five year fixed rate loan.
ME Bank now offers its five-year fixed home loan at a 4.94% interest rate, a 45 basis point cut. They have also cut their three year fixed loan interest rate to 4.69%. According to ME Bank, they are the lowest rates offered for three and five year fixed home loans on the market.
Chief executive Jamie McPhee said ME Bank's rates are better than those offered by the big four banks.
“And borrowers don’t need to pay an extra package fee to get the lower rate – we’re offering 4.94% on our non-package five year fixed home loan," said McPhee.
“Our three year fixed rate has been under 5% for more than 18 months and at a record low of 4.69% since April 2014.
He advised borrowers to fix their home loans, "with variable rates not expected to go much lower - we’re either at or very close to the bottom of the current interest rate cycle”.
ME Bank's rates are available to members of eligible super funds and unions.
Rams cut the rates on their two, three, four, five and ten year fixed home loan rates. Their five year fixed loan product is now offered at 5.19% per annum.
How ME Bank and Rams stack up next to the big four on five year fixed loans: 
<table style="width: 460px;" border="0"><tbody>
<tr>
<td>Bank</td>
<td>Rate</td>
<td>Comparison Rate</td>
</tr>
<tr>
<td>ME Bank</td>
<td>4.94%</td>
<td>5.21%</td>
</tr>
<tr>
<td>Rams</td>
<td>5.19%</td>
<td>5.71%</td>
</tr>
<tr>
<td>ANZ</td>
<td>5.64%</td>
<td>5.86%</td>
</tr>
<tr>
<td>NAB (Choice package)</td>
<td>4.99%</td>
<td>5.56%</td>
</tr>
<tr>
<td>CBA</td>
<td>4.99%</td>
<td>5.62%</td>
</tr>
<tr>
<td>Westpac (Premier advantage package)</td>
<td>4.99%</td>
<td>5.52%</td>
</tr>
</tbody></table>
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Rams and ME Bank cut fixed year rates: How do they stack up against the big four?

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GUEST OBSERVATION
Looking to ensure a smooth property transaction? Congratulations, you’ve already taken the first step, which is to begin to learn about how property transactions usually work.
The more you know about the process, the easier it is on the blood pressure. Buyers, sellers and conveyancing solicitors all agree that the best surprise at settlement is no surprise at all.
Most property transactions go through six steps:
<ol>
<li>Financing 
</li>
<li>The execution of the contract of sale 
</li>
<li>Review of searches and removal of conditions 
</li>
<li>Preparation of settlement figures 
</li>
<li>Settlement 
</li>
<li>Post settlement matters</li>
</ol>
At each step there may be twists and turns, but these too are generally somewhat predictable. 
Step one – Obtain financing 
Finding the home of your dreams and only then going to look for money guarantees anxiety. 
Most buyers seek preapproval for a mortgage before they go house hunting. That way they know what they can afford.
First time home buyers should explore <a href="/expert-insights/buying/the-national-guide-to-first-home-buyer-grants">whether they are eligible for a First Home Owner Grant scheme</a> (FHOG scheme).  
Step two – Exchange of contracts
Supposing that buyer and seller have met and agreed upon a price, step two is the exchange of contracts. The seller’s real estate agent, conveyancer or solicitor generally prepares the contract, which will set out the description of the property, price, warranties, contingencies and other terms and conditions. 
The buyer’s solicitor will carefully review the contract and negotiate any changes before the parties sign and the buyer pays the deposit. This is known as the “exchange of contracts”.
During a <a href="/expert-insights/buying/what-is-the-cooling-off-period-investment-terms-explained">“cooling off” period</a>, of a few business days, the buyer may withdraw from the agreement, forfeiting the deposit but incurring no legal penalty. 
As an aside, we advocate retaining a conveyancing solicitor rather than a conveyancer because the solicitor has the legal background to evaluate any unanticipated legal issues that may arise in the course of the conveyance.
Step three – Searches and inspections 
The buyer’s obligation to buy the property is generally contingent on satisfactory results from things like pest inspections and property searches. The buyer’s solicitor will order and review the property searches.
In New South Wales, these include a title search, zoning search, strata plan search and a historical search. If there are termites or a problem with the title, for example, the parties may choose to re-negotiate or walk away.
Step four - Pre-settlement Process
This is where the number crunching begins. Smart clients ask for an itemised list of estimated costs before the work begins. In addition to fees for legal services, a buyer should anticipate charges for inspections, searches and building insurance. 
There may also be a category of fees associated with the mortgage, including mortgage insurance, establishment and registration of the mortgage and mortgage duty. Other miscellaneous costs may include photocopying, certificate fees charged by water, utility, roads and school authorities, adjustment for council and water rates, stamp duty and the goods and services tax.
Your job, as a client, is to make a complete pest of yourself at this point. Ask to be updated regularly on costs and ask for an explanation of what those costs are if they seem mysterious.
Step five – Settlement 
This is the exciting part – when the purchase of your property is finalised.
Your conveyancer or solicitor (known as your settlement agent) will meet with your lender and a seller's representative to sign and exchange documents and cheques. The documents will then be lodged with the Titles Office to register you as the new property owner.
Do not be alarmed if at the settlement the costs change to adjust for taxes, rental fees and fees for the release of an existing mortgage. In the spirit of being a nuisance, you should ask your solicitor to estimate these costs for you in advance.
Step six – Post settlement Matters
Remember that the job is not done until the paperwork is finished, so step six involves notifying relevant authorities of the change in ownership and lodging transfer documents with the Land Titles Office. This is often done by the buyer’s lending institution, but to be secure buyers should follow up to confirm with the lender.
Property transactions involve money, quite a lot of it. Where there is money, there can be complications. You can minimise these, however, by understanding the process and insisting that you be updated regularly on costs and progress.
Rolf Howard is managing partner of <a href="https://www.owenhodge.com.au/">Owen Hodge Lawyers</a>. 
Rolf concentrates on business planning and formation, directors’ duties, corporate governance, fund raising and business succession. His major interest is to assist business owners and their financial advisers plan and implement strategies to build and exit from successful businesses.<a href="https://www.owenhodge.com.au/" style="line-height: 1.3em;"> </a>
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rhoward-axCnf7VAF6

The six steps to ensure a smooth property transaction

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<h1><img src="https://62e528761d0685343e1c-f3d1b99a743ffa4142d9d7f1978d9686.ssl.cf2.rackcdn.com/files/55198/width668/h3p45kff-1406675366.jpg" alt="" style="color: #333333; font-family: Tahoma, Helvetica, Arial, sans-serif; font-size: 12px; line-height: 1.3em;"></h1>
<img src="https://counter.theconversation.edu.au/content/29843/count.gif" alt="The Conversation" width="1" height="1">
Charis Palmer is deputy business editor and Emil Jeyaratnam multimedia editor at <a href="https://theconversation.com">The Conversation</a>.
This article was originally published on <a href="https://theconversation.com">The Conversation</a>.
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