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>

Joel Robinson

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

Local Little Bay residents, along with buyers from premium postcodes across Sydney’s affluent Eastern Suburbs, have dominated purchases in developer-builder Urban Property Group’s first Eastern Suburbs apartment development, <a href="https://www.apartments.com.au/new-apartments/este-little-bay-jennifer-street-little-bay-nsw-2036">ESTE Little Bay</a>.

The $250 million coastal project, one of the first new developments in the area in several years, has proven particularly popular with downsizers, especially those from Coogee and Bondi. One Double Bay downsizer paid $4.7 million for a four-bedroom penthouse, setting a new local apartment price record in the process.

Buyers have been attracted to the combination of coastal tranquillity, premium design and amenity-rich neighbourhood living. The walkable village setting, along with proximity to three of Sydney’s leading golf courses, New South Wales Golf Club, St Michael’s Golf Club and The Coast Golf Club, has also been a key drawcard.

[smartcode_project:default project_id=112343 project_image_fid=352689]

Built across two low-rise buildings designed by <a href="https://www.apartments.com.au/architects/hill-thalis-architecture-urban-projects-pty-ltd">Hill Thalis</a> and set along a lush, landscaped green spine, designed by leading landscape architect <a href="https://www.apartments.com.au/landscape-architect/arcadia-landscape-architecture">Arcadia</a>, ESTE Little Bay offers a collection of one, two, three and four-bedroom residences with interiors by Richards Stanisich.

<a href="https://www.apartments.com.au/developers/urban-property-group">Urban Property Group</a> Sales Director, Tom McIvor said the response to ESTE has been "nothing short of extraordinary."

“Buyers have been quick to recognise ESTE as a rare opportunity to invest in a coastal sanctuary that offers both seclusion and connectivity to the heart of Sydney,” McIvor said.

[smartcode_project:default project_id=112343 project_image_fid=352687]

<a href="https://www.apartments.com.au/project-marketer/srm-residential">SRM Residential</a> Senior Director, <a href="https://www.apartments.com.au/project-marketer/srm-residential">Clayton Ross</a> said the local market has responded incredibly well, driven by ESTE’s exceptional location and the rarity it offers.

“We’ve seen strong interest from a variety of buyer groups, all of whom are drawn to the exclusivity and quality of the build and construction by the 4.5-star iCIRT-rated builder / developer, Urban Property Group. There’s truly nothing else like it along Sydney’s coastline.”

[smartcode_project:default project_id=112343 project_image_fid=352690]

The project also includes robust buyer protections, including Resilience Insurance’s Latent Defects Insurance, providing 10 years of structural cover, and an independent iCIRT-rating of the developer.

“The iCIRT-rating adds another layer of confidence,” Ross added. “Buyers see it as a safeguard for their investment and their lifestyle.” A highlight of ESTE’s offering is its exclusive wellness amenities, including a heated rooftop infinity pool and outdoor heated spa, a state-of-the-art Technogym fitness centre, and a sauna.

<a href="https://www.apartments.com.au/new-apartments/este-little-bay-jennifer-street-little-bay-nsw-2036">ESTE Little Bay</a> is topped out and is on track to complete towards the end of 2026, with residents moving in before Christmas.

[smartcode_project_cta:default project_id=112343]

Eastern Suburbs buyers snap up ESTE Little Bay apartments

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>
Technical terminology is okay if it provides shorthand for complex ideas.
But in superannuation, jargon tends to push people away.
That’s a pity, because super is built on basic concepts.
So if you’re feeling a bit confused by it all, here are the five ideas you need to get your head around it:
<ol start="1">
<li>
Super is a tax arrangement: it is not an investment. You are putting money aside for your retirement (9% of wages) and the government encourages you to do this with tax benefits on contributions and investment earnings. It is the most tax-effective way to save for retirement.</li>
<li>
Super is income replacement: when you no longer work for income, you’ll need to replace this income using your assets (i.e. property and super). The income replacement rate is the percentage of your working life salary that you’ll need to earn in retirement. The sweet spot for singles is around 70% of average salary to live comfortably. For couples it’s more like 55% of combined salaries.</li>
<li>
Establishing a goal: you’ll need assets to generate your replacement income. So, you need a goal. Assume that your investments return 5% per annum. This means you must have enough assets so that when they earn 5% per annum, they produce your replacement income. For example, if you earn $60,000 per year, you’ll need a lump sum of $840,000 to replace your working life income. Your goal should include owning your home by retirement.</li>
<li>
The compound effect: often referred to as earning interest on interest. It works like this: if you put $1,000 into a fund that returns 10%, after one year you earn $100 interest. If you reinvest the principal amount plus the interest ($1,100), then next year you have $1,210. You’ll double your money in seven years by reinvesting like this. Now, add to this a regular contribution, over forty years and with extra contributions and occasional lump sums, in a tax concessional fund, and the compound effect is turbocharged. Superannuation is – in effect – a 40-year compound effect.</li>
<li>
Planning: Most super funds cater to people wanting low volatility and low returns (cash, bonds), through to high volatility and high returns (local and global shares). And all points in between. Generally, people close to retirement choose low volatility-return options while people in their twenties choose high volatility, because they have the time to weather downturns and make their gains. You should match your life stage and goals to your investment profile. Planning covers life insurance, home equity draw-downs, transition to retirement, annuities and special concessions for some Australians. These can be complex so you should take some advice from a professional.</li>
</ol>
Complexity aside, most Australians can create a retirement plan with a pad, a pen and an internet connection (remember to only rely on information from organisations with an AFSL).
The complexities will emerge – they always do. But you can start towards a comfortable retirement by taking control, setting a plan and empowering yourself to pursue your goals.
Mark Bouris is executive chairman of <a href="https://www.ybr.com.au/" rel="nofollow" target="_blank">Yellow Brick Road</a>, a financial services company offering home loans, financial planning, accounting and tax, and insurance.
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mbouris-tauSvXGAM2

Let's lose the jargon around superannuation: Mark Bouris

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The Greater Building Society has cut its one-year fixed-home loan rates by 25 basis points to 4.74%.
The new rate is available under its one year fixed ultimate home loan package offering.
It was the first lender to offer a fixed-rate home loan under 5% when in October last year, it cut its one year <a target="_blank" href="/news">fixed-rate packaged home loan by 30 basis points to 4.99%</a>
The Newcastle-based mutual lender <a href="/news">cut its standard variable  by 30 basis points last week</a> following the Reserve Bank’s 25 basis point cut to the cash rate.


Credit card rates will also be reduced by 1% from June 1, with card rates starting from 9.25%. 
CEO Don Magin said The Greater Building Society continued to take on the major banks to provide a more competitive financial sector for Australian consumers. 
“As a mutual financial institution we’re focused on customers rather than shareholders, which means we can put people before profits,” Magin said. 
 
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lschlesinger-FZcF9M3vE6

Greater Building Society cuts one-year fixed-rate home loan to 4.74%

<html><body>
Prominent property investment adviser and Sky Business host Margaret Lomas has slammed ‘Barefoot’ investment adviser Scott Pape following his comments that the government didn’t have the “ticker” to abolish negative gearing tax rules.
Lomas warned that removing negative gearing would cause a “sudden market crash” leave 600,000 homeless and a “government unable to house them under public housing programs”.
“Private housing is a must and removing the capacity to claim loan interest [under negative gearing allowances] would create far more problems than it solves,” she said.
Pape said in a <a href="/news">post-budget newsletter</a> that abolishing the concessions could save the government $5 billion in lost tax revenue having previously called it a “dud” policy that does little to increase the supply of new homes, "since the majority of investors buy established properties".
Lomas said in response that Pape wasn’t a property investor and “does not consider the full picture”.
“I like Scott but he needs to stick to his specialty,” she said.
Lomas says there is an inherent misunderstanding of negative gearing.
“It’s not a strategy, it's a tax outcome.  Therefore any discussions about negative gearing versus positive gearing are completely moot.
“The strategy is property investing.  Two people could buy exactly the same property and it would be negatively geared for one of them and positively geared for the other.
“It’s about tax, interest rates and income, not about the property,” she said.
Lomas said removing negative gearing rules –as Pape contends – would remove the ability for investors to claim the interest on their loan, “which is what negative gearing is”.
“Contrary to popular belief, removing it means you can still make tax claims for everything but the interest and probably more than half of them would sell,” she said.
However, not all agree with Lomas.
Bank of America economist and former ANZ chief economist Saul Eslake told Fairfax Media ahead of the budget, but following the publishing of ATO figures showing one in three property investors negatively gear their investments - that it should be abolished.
"I have to translate the words 'negative gearing' to people overseas because it just sounds crazy to have a system that rewards people for losing money,” he said.
Eslake said removing negative gearing would be top of his list of priorities calling the decision to halve the headline rate of capital gains tax [in 1999] decision that made negative gearing attractive “the worst tax decisions of the last 20 years".
 
<hr class="system-pagebreak">
The recently published <a href="https://www.propertyobserver.com.au/landlords/two-thirds-of-property-investments-negatively-geared-ato-figures/2013043060891" target="_blank">ATO annual report</a> revealed that around two-thirds of 1,811,174 property investors - 1,213,597 taxpayers – claimed losses on their investment properties for the 2010-11 tax year up from 1,110,290 who claimed losses in the 2009-10 tax year.
The average loss recorded for negatively-geared property investors was $10,947 in 2010-11, up from $9,132 in 2009-10.
Negative gearing is likely to become more attractive and drain more from government coffers in the next few years as house prices start rising again and interest rates remain low.
A high interest rate environment makes investors less willing to take on debt while a falling property market means less certainty about future capital gains.
The 2010 Henry Tax Review did not call for the abolition of negative gearing perhaps due to the polarisation of views.
“Some submissions suggest that 'negative gearing' for investors and the exemption from CGT for owner-occupiers benefit high-income Australians.
Others argue that negative gearing supports the provision of affordable rental housing,” the report said.
The review received a number of submissions that claimed that “'negative gearing' has reduced housing affordability by causing speculation in the housing market”.
“Several submissions propose restricting negative gearing or directing it so that it promotes the supply of affordable housing.
“The housing industry argues for the retention of negative gearing on the grounds, among others, that the temporary removal of negative gearing lead to an increase in rents in 1987.”
The contention that the “quarantining” of negative gearing between 1985 and 1987 caused rents to spike is often used to argue against it being removed.
However, those in favour of removing it claim that high interest rates, which peaked at 19.4% in December 1985 and not the removable of negative gearing alone, made property investment unfavourable while the implementation of the capital gains system in September 1985 is also believed to have been a factor.
Analysts also point to rents not rising evenly across all capital cities (rents rose the most in Sydney and Perth, were flat in Melbourne and Canberra, but fell in Brisbane and Darwin) while negative gearing for property investment purposes was briefly abolished as evidence that the quarantining of negative gearing was not the sole factor behind rent rises.
In September last year, finance minister Penny Wong responded to questions from Greens leader Christine Milne about negative gearing.
Wong said it would be “difficult to quantify whether limiting the ability to offset rental losses against other income would lead to a decrease in the rate of return on investment property, or just a one-off fall in prices”.
“The impact of changes to negative gearing on house prices is difficult to quantify because of a number of factors.
“These factors include the ratio of negative geared properties to owner occupied housing; the extent to which the benefit provided by negative gearing is reflected in housing prices or whether the benefits are shared with renters through the provision of lower rents; and a range of other factors which impact on housing supply and interest rates,” she said.
 
 
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Scott Pape is wrong on negative gearing: Margaret Lomas

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Mortgage lender RAMS has cut its two-year fixed-rate home loan by 26 basis points to 4.99% as well as reduced its three, four and five-year fixed-rates as it recorded a rise in home loan enquiries from investors.
Its three-year fixed-rate home loan has been reduced by 20 basis points to 5.09%, its four-year fixed rate has been reduced by 25 basis points to 5.39% and its five-year fixed-rate by 24 basis points to 5.45%.
RAMS one-year fixed-rate home loan remains unchanged at 4.99%.
It passed on the full 25 basis points to variable rate borrowers following the May RBA cash rate cut with its lowest advertised variable rate offer being at 5.29%.
RAMS will also waive its $595 application fee and $275 settlement fee for any RAMS home loan "predominantly for investment purposes" for applications received until June 30 2013.
RAMS reported a 23% uplift in the volume of investor customer enquiries to their call centre and online in the first quarter of the 2013 calendar year compared to the same period in 2012 (January to March 2013 versus 2012). It follows the latest ABS housing finance data for March confirming investors are leading mortgage growth with a 21% increase in investment housing commitments over a 12-month period compared to owner occupied housing commitments at 12%.
Commenting on the rise in investor demand, RAMS chief executive, Melos Sulicich said historic low interest rates and greater competition in the home loans market were “creating opportunities for savvy investors to get into the property market”.
“It is encouraging to see property investment activity on the rise and early indications shows the investor market is set to lead the housing market uplift over the coming months,” he said.
Earlier this week, <a href="/news">Aussie Home Loan cut fixed-rates</a> on its Aussie-branded home loan with a 4.99% three-year fixed-rate offering.
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RAMS cuts two-year fixed-rates to 4.99% and waives investment home loan fees as investor demand rises

<html><body>
'Barefoot' investment adviser Scott Pape has slammed the government for not having the “ticker” to remove negative gearing in his latest newsletter following the federal budget announcement.
“Our 1.25 million loss making landlords cost taxpayers $5 billion a year - a significant saving when the budget is in deficit of $18 billion,” writes Pape.
“And all it achieves is to make it harder for young people to compete to buy their first family home.
“Sadly, the government didn't have the ticker to abolish it this year."
Pape bills himself as "Australia’s favourite money guy", but his views on negative gearing won’t be popular among the 1.2 million property investors who claimed losses on their investment properties for the 2010-11 tax year.
The recently published <a href="https://www.propertyobserver.com.au/landlords/two-thirds-of-property-investments-negatively-geared-ato-figures/2013043060891">ATO annual report</a> revealed that around two-thirds of 1,811,174 property investors - 1,213,597 taxpayers – claimed losses on their investment properties for the 2010-11 tax year up from 1,110,290 who claimed losses in the 2009-10 tax year.
The average loss recorded for negatively-geared property investors was $10,947 in 2010-11, up from $9,132 in 2009-10.
The highest proportion of tax payers claiming rental deductions are those earning between $37,000 and $80,000 per year, making up more than a third of all negatively-geared property investors.
Pape has long been a critic of negative gearing calling for its banning on talk back radio in 2011 and telling a negatively-geared listener that “negative gearing is really just a socially acceptable way of saying ‘I’m losing money’”.
Pape has labelled it a “dud policy” despite admitting to having been a “big beneficiary of negative gearing over the years”.
“Contrary to real estate rhetoric, it does little to increase the supply of new homes, since the majority of investors buy established properties. What’s more, it costs the Australian taxpayer billions of dollars in forgone revenue,” he says.
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Government didn’t have the “ticker” to abolish negative gearing in budget: Scott Pape

<html><body>
Property investors who use questionable tax avoidance schemes will come under more sophisticated levels of scrutiny following the Australian Tax Office (ATO) receiving an additional $77.8 million in federal budget funding over the next four years.
The extra funds are aimed at improving compliance among taxpayers by “expanding data matching with third party information”.
The ATO will use the funds to undertake compliance activity to target “known tax scheme designers, promoters, individuals and businesses who participate in such arrangements”.
“This measure will tackle the use of abusive trust schemes in the wider community and encourage active compliance by taxpayers,” says Treasury in its federal budget papers.
The money will be used to strengthen existing reporting systems for:
<ul>
<li>taxable government grants and specified other government payments;</li>
<li>sales of real property, shares (including options and warrants), and units in managed funds;</li>
<li>sales through merchant debit and credit services;</li>
<li>managed investment trust and partnership distributions, company dividend and interest payments; and Centre transactions reported to the ATO by the Australian transaction reports and analysis </li>
</ul>
The <a target="_blank" href="https://www.propertyobserver.com.au/tax/taxpayers-face-ato-data-matching-crackdown-over-residential-and-commercial-property-sales/2013032460054">ATO began using improved data-matching technology</a> earlier this year to closely scrutinise residential and commercial property sales to ensure tax payers paid the correct amount of tax.
Treasury estimates this technology has resulted in an estimated increase in tax receipts of $431.7 million with a projected gain to revenue of $610.2 million over the coming financial year.
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Property investors face greater ATO scrutiny following $78 million data-matching budget handout 

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Borrowers should take advantage of the low interest rate environment to ensure they have a competitive mortgage deal and to demand a discount, says RateCity.com.au chief executive Alex Parsons.
“With this week’s cut making it the seventh since November 2011, variable rate borrowers, which are the majority of the home loan market, are paying much more interest compared to the cash rate,” Parsons says.
Parsons says the gap between the benchmark standard variable rate – the average of the major four banks – and the cash rate has almost doubled (88%) over the past decade.
“The benchmark standard variable rate is currently 6.42%.
"While this is the lowest level since December 2009, it is still 3.42 percentage points above the cash rate (excluding the May 25 basis point rate cut) and the biggest spread we’ve ever seen," he says.
“Borrowers may not realise that there are over 100 other lenders outside of the major four banks in RateCity’s database, and many with more competitive deals and lower spreads than the big four banks,” Parsons says.
Parsons says borrows needs to keep a close eye on their lender, compare their home loan to other lenders and make sure they receive the discount they deserve.
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ntrotman-Et3xWpamVh

Variable rate borrowers need to look outside the Big Four banks for a competitive mortgage deal: RateCity CEO Alex Parsons

<html><body>
Bankwest has a distinctly higher proportion of borrowers three months or more behind on their mortgage repayments than parent company the Commonwealth Bank and fellow subsidiary, the New Zealand ASB bank, according to Commonwealth Bank's March quarter update.
The results reveal that the Commonwealth Bank reported unaudited cash earnings for the three months ended 31 March 2013 of $1.9 billion.
Statutory net profit over the period was also $1.9 billion.
The Commonwealth Bank reported that “system home loan credit growth remained modest through the March quarter, with the Group growing slightly ahead of system”.
Total impairment expense was $255 million in the quarter, or 19 basis points of total average loans, but with a higher impairment contribution from Bankwest, acquired by the Commonwealth Bank in October 2008.
The graph below shows the percentage of home loans in the three banking divisions more than three months in arrears with ‘RBS’ referring to the Commonwealth Bank’s retail banking services division.
<img alt="commbank_results" height="300" width="470" src="/images/stories/2013/commbank_results.jpg">
The bank grew its household deposits above system growth with deposit margins remaining “under pressure in a competitive market”.
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Commonwealth Bank reports $1.9 billion quarterly profit but with higher Bankwest home loan arrears rates

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The tiny Macarthur Credit Union has become only the third lender to pass on more than the RBA’s 25 basis point May cash rate cut to borrowers.
The credit union, which dates back to 1971 when it formed to service coal miners and truck drivers as the Clutha Employees Credit Union Ltd, cut its standard variable rate by 26 basis points to offer a new 5.99% standard variable rate.
As the Macarthur Credit Union, it services 17,000 members in Camden, Campbelltown and Wollondilly in the Macarthur region of NSW, south west of Sydney.
The other lenders to pass on more than the RBA's May cash rate reduction to date are ANZ (27 basis points) and the Greater Building Society (30 basis points).
“It’s great to see most lenders passing on the Reserve Bank’s 0.25 percentage points and even better to see some lenders going further. Macarthur Credit Union is the third lender so far to drop its standard variable rate by more than the Reserve Bank’s 0.25 percentage point cash rate drop, even if it’s only by an extra 0.01 percentage point,” said RateCity.com.au CEO Alex Parsons.
“We’re hoping that this latest round of rate cuts by the Reserve Bank will spark greater competition between lenders. The game has changed for Australia’s lending market and now is the time for borrowers to take advantage of what lenders are offering.
RateCity.com.au has counted 39 lenders announcing rate cuts since last week’s decision by the RBA to cut the cash rate by 25 basis points to a 53-year-low of 2.75%:
<div align="center">
<table align="left" style="width: 470px;" border="1" cellspacing="0" cellpadding="0"><tbody>
<tr>
<td width="45%" nowrap>
Company
</td>
<td width="32%" nowrap>
Standard variable
rate movement
</td>
<td width="22%" nowrap>
New standard
variable rate
</td>
</tr>
<tr>
<td width="45%" nowrap>
Greater Building Society
</td>
<td width="32%" nowrap>
-0.30%
</td>
<td width="22%" nowrap>
5.75%
</td>
</tr>
<tr>
<td width="45%" nowrap>
ANZ
</td>
<td width="32%" nowrap>
-0.27%
</td>
<td width="22%" nowrap>
6.13%
</td>
</tr>
<tr>
<td width="45%" nowrap>
Macarthur Credit Union
</td>
<td width="32%" nowrap>
-0.26%
</td>
<td width="22%" nowrap>
5.99%
</td>
</tr>
<tr>
<td width="45%" nowrap>
AMP Bank
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
6.25%
</td>
</tr>
<tr>
<td width="45%" nowrap>
Aussie Home Loans
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
5.24%
</td>
</tr>
<tr>
<td width="45%" nowrap>
Bank MECU
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
5.74%
</td>
</tr>
<tr>
<td width="45%" nowrap>
Bank of Melbourne
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
6.15%
</td>
</tr>
<tr>
<td width="45%" nowrap>
Bank SA
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
6.22%
</td>
</tr>
<tr>
<td width="45%" nowrap>
Bankwest
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
6.14%
</td>
</tr>
<tr>
<td width="45%" nowrap>
Bendigo Bank
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
6.26%
</td>
</tr>
<tr>
<td width="45%" nowrap>
BMC Mortgage
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
5.28%
</td>
</tr>
<tr>
<td width="45%" nowrap>
BOQ
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
6.26%
</td>
</tr>
<tr>
<td width="45%" nowrap>
Coastline Credit Union
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
5.34%
</td>
</tr>
<tr>
<td width="45%" nowrap>
Commonwealth Bank
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
6.15%
</td>
</tr>
<tr>
<td width="45%" nowrap>
Heritage Bank
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
5.89%
</td>
</tr>
<tr>
<td width="45%" nowrap>
IMB
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
5.91%
</td>
</tr>
<tr>
<td width="45%" nowrap>
ING DIRECT
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
5.41%
</td>
</tr>
<tr>
<td width="45%" nowrap>
Intech Credit Union
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
5.93%
</td>
</tr>
<tr>
<td width="45%" nowrap>
Macquarie Bank
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
6.24%
</td>
</tr>
<tr>
<td width="45%" nowrap>
MyRate
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
5.42%
</td>
</tr>
<tr>
<td width="45%" nowrap>
nab
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
6.13%
</td>
</tr>
<tr>
<td width="45%" nowrap>
Newcastle Permanent
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
5.80%
</td>
</tr>
<tr>
<td width="45%" nowrap>
P&amp;N Bank
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
5.95%
</td>
</tr>
<tr>
<td width="45%" nowrap>
Pacific Mortgage Group
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
5.02%
</td>
</tr>
<tr>
<td width="45%" nowrap>
People's Choice Credit Union
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
6.12%
</td>
</tr>
<tr>
<td width="45%" nowrap>
Police Credit
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
5.74%
</td>
</tr>
<tr>
<td width="45%" nowrap>
Queenslanders CU
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
5.25%
</td>
</tr>
<tr>
<td width="45%" nowrap>
RAMS Home Loans
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
6.10%
</td>
</tr>
<tr>
<td width="45%" nowrap>
RESI Mortgage Corp
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
5.31%
</td>
</tr>
<tr>
<td width="45%" nowrap>
SGE Credit Union
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
5.82%
</td>
</tr>
<tr>
<td width="45%" nowrap>
St George Bank
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
6.24%
</td>
</tr>
<tr>
<td width="45%" nowrap>
Summerland CU
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
5.54%
</td>
</tr>
<tr>
<td width="45%" nowrap>
Suncorp Bank
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
6.24%
</td>
</tr>
<tr>
<td width="45%" nowrap>
UBank
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
4.87%
</td>
</tr>
<tr>
<td width="45%" nowrap>
Westpac
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
6.26%
</td>
</tr>
<tr>
<td width="45%" nowrap>
Yellow Brick Road
</td>
<td width="32%" nowrap>
-0.25%
</td>
<td width="22%" nowrap>
6.15%
</td>
</tr>
<tr>
<td width="45%" nowrap>
loans.com.au
</td>
<td width="32%" nowrap>
-0.24%
</td>
<td width="22%" nowrap>
4.75%
</td>
</tr>
<tr>
<td width="45%" nowrap>
Community First Credit Union
</td>
<td width="32%" nowrap>
-0.22%
</td>
<td width="22%" nowrap>
6.12%
</td>
</tr>
<tr>
<td width="45%" nowrap>
Police Bank
</td>
<td width="32%" nowrap>
-0.20%
</td>
<td width="22%" nowrap>
5.84%
</td>
</tr>
</tbody></table>
</div>
Source: RateCity.com.au, ranked by biggest cuts then alphabetically, effective dates vary between lenders
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Macarthur Credit Union beats RBA with 26 bps rate cut: RateCity guide of 39 lender rate cuts

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The cash rate may be back to what it was in January 1960, but it was a different era for those seeking a home loan.
For those who missed it, the RBA’s <a target="_blank" href="/news">decision to cut the cash rate to 2.75% last week</a> meant that the benchmark borrowing rate fell to a 53-year-low below a 'cash rate' setting of 2.89% in January 1960.
This was not the official benchmark figure it is today, since the Reserve Bank did not publish a cash rate target until January 1990.
Rather the cash rate was a proxy measure of short-term interest rates at a time when the banking sector was highly regulated and getting a home loan meant making an appointment with your bank manager and wearing your best suit to an interview.
<img alt="commsecmay13one" height="333" width="470" src="/images/stories/2013/05/commsecmay13one.gif">
Source: CommSec
There were no foreign banks, no discount online mortgage offerings, nor the plethora of different mortgage products tailored for different types of borrowers and investors.
There were no honeymoon rates, low-doc loans, reverse mortgages, packaged home loans or off-set accounts with such product innovation only coming to the fore in the late 1990s and early 2000s.
Getting a good home loan rate meant having a good relationship with your bank manager.
The headline home loan rate was also lower at 5.00% through 1959 and 1960, according to <a target="_blank" href="https://www.propertyobserver.com.au/economy/a-return-to-the-1950s-glory-days-is-on-the-cards-commsec-s-craig-james/2013050861160?utm_source=po&amp;utm_medium=aida&amp;utm_campaign=economy">CommSec chief economist Craig James</a> compared with an average standard variable rate of around 6.17%, according to RateCity.com.au following the 25 basis point reduction.
However, a standard variable rate would not even have been quoted in 1960s, with most home loans on fixed-rates with "flexible" mortgage rates only appearing more commonly in the mid-1960s. Certainly most of the Commonwealth Bank's lending would have been done on fixed-rates.
 
<hr class="system-pagebreak">
Assistant RBA governor Guy Debelle pointed out in a speech in 2010 the differences between mortgage lending today and forty and fifty years ago.
"In the 1960s and early 1970s, the Australian financial system was heavily regulated," Debelle said.
He highlighted a number of wide-ranging controls including that interest rates that banks could charge on their loans and pay on their deposits were controlled.
"Banks were subject to reserve ratios and liquidity ratios. There were directives on the overall quantity of loans banks should make, as well as moral suasion on who they should lend to.
"Institutions were specialised – trading banks lent to businesses, savings banks held large quantities of government debt and lent to households (almost entirely for housing), and finance companies lent for more risky property loans and consumer credit," he explained.
Finance companies likes of the Finance Corporation of Australia funded Alan Bond's first property speculations now subsumed into ANZ-owned Esanda.
However, this heavy regulation of the banks would later result in them losing market share as the unregulated financial sector, primarily building societies moved in.
The banks’ share of total financial intermediary assets declined from nearly 90% in the early 1950s to 70% in 1970.
"The banks’ share of housing credit was just below 60% in 1976 with much of the rest of the mortgage market being provided by credit unions and building societies. Finance companies, which were generally associated with the banks, often provided top-up funding to bank mortgages but were not a particularly large share of the overall market," explained Debelle.
Compare this with today's mortgage market where banks have 96% of outstanding home loans and credit unions and building societies just 4%.
And there are other differences.
It certainly was not possible as it is today to contact your mortgage broker if you felt you were paying too high an interest rate and ask them to source a better deal with another lender.
Or demand that your bank offer you a better rate.
In 1959/60 Australia's GDP growth was 4.4% compared with 3.1% through 2013.
The unemployment rate was under 2% compare with the current 5.5%, meaning decidely fewer borrowers were worrying about paying off their mortgages.
It certainly was not the market-driven banking and lending system we have today while a high Australian dollar - a key factor in the RBA's decision to cut the cash rate on Tuesday - was not a problem as the currency only floated in 1983.
The floating of the dollar coincided with federal treasurer Paul Keating deregulating the banking system between 1983 and 1985 granting 40 new foreign exchange licences in June 1984; and granting 16 banking licences to 16 foreign banks in February 1985.
Australia’s sixth biggest mortgage lender, ING Direct, only began offering its cheap online home loans and high-interest savings accounts in 1999.
Bear in mind that in 1960, the Reserve Bank of Australia had only just come into official being in under the Reserve Bank Act 1959, tasked with undertaking the central banking functions of the Commonwealth Bank.
The Commonwealth Bank as we know it today, originated from this date offering commercial banking and savings banking activities in the form of the newly created Commonwealth Banking Corporation.
Monetary policy was of course entirely different with no RBA imperative to maintain an inflation target of between 2% and 3%.
And it’s not just the nature of the banking system that was so different, house prices had yet to boom as they did in the 1990s and 2000s.
Housing was far more affordable meaning mothers did not have to go out into the workforce to help pay for the mortgage and buying your first home was not the financial commitment it is today.
The boom in property values prior to the GFC saw house price to income ratios of less than to two in the 1960s rise to above four to one currently.
As for household debt that's in a different stratosphere.
In 1960 household debt to Australia’s GDP was less than 20%.
Today it’s just under 150%.
 
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