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;

Joel Robinson

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

<a href="https://www.apartments.com.au/developers/sunland-group">Sunland Group</a> has officially lodged plans for its first Gold Coast apartment project since the departure of the Abedian family from the company three years ago, unveiling a new high-rise proposal for a prominent Broadbeach corner site on Old Burleigh Road.

The application was submitted by an entity directed by Tom Jamieson, stepson of longtime Sunland leader Soheil Abedian, and Riaz Rezvanipour, brother-in-law of Sahba Abedian, Soheil’s son.

Sunland acquired the 1,283 sqm site on the corner of Old Burleigh Road and Armrick Avenue for $9.5 million late last year and is now seeking approval for a <a href="https://www.apartments.com.au/new-apartments/99-101-old-burleigh-road-broadbeach-qld-4218">42-storey tower with 81 apartments</a>.

<img alt="First look: Sunland Group returns to Broadbeach with new Old Burleigh Road tower plans" data-entity-type="file" data-entity-uuid="fea2946d-90ee-4cfc-babe-2a8ad5db2cb6" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/pers.png?VersionId=BV0fihJw31nDIQ8ozY_h3GbS8mxDyhnm" />

Designed by <a href="https://www.apartments.com.au/architects/contreras-earl-architecture">Contreras Earl Architecture</a>, the proposed tower at 99-101 Old Burleigh Road would deliver a predominantly larger-format apartment mix aimed at the owner-occupier market. Plans include 17 two-bedroom apartments, 55 three-bedroom apartments, and nine four-bedroom residences across 35 residential levels.

The development also incorporates three basement levels, four podium parking levels, two levels of communal recreation facilities, and rooftop plant and equipment. A total of 189 car spaces are proposed, significantly exceeding the 90 spaces required under the planning scheme.

The architecture adopts a sculpted, curvilinear form, with deep wraparound balconies and integrated landscaping intended to soften the tower’s vertical expression. The planning report states the building’s “slender footprint/form provides a complimentary yet varied built form within the local streetscape” and contributes to “a varied, yet ordered skyline.”

Contreras Earl noted in its Architectural Statement that from the early stages, the project addressed a fundamental challenge: how to accommodate the required residential yield while avoiding the conventional model of a tower sitting on a rigid, fully resolved parking podium.

“The most direct response would have been to consolidate parking into a singular, flat podium and extrude a repetitive tower above,” the statement said. “While efficient, this approach would result in a consolidated built form with limited engagement with the surrounding landscape and public realm.”

Instead, the conventional podium model was “deliberately rejected”. The architects described the base of the building as “a landscaped architectural condition where structure, planting and circulation are integrated”.

“Rather than presenting a continuous built mass, the base of the building is articulated through a series of concrete planter elements that organise the podium into a fragmented system,” the statement said. “This approach reduces the perceived bulk of the lower levels while establishing a more permeable interface with the streetscape and adjacent open space.”

<img alt="Sunland" data-entity-type="file" data-entity-uuid="923fad8d-c960-4527-8fbe-975cf1ddf88d" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-25%20at%2010.32.03%E2%80%AFAM.png?VersionId=pngwb0hYOIUpq9vDw6F2EsOiVuHF3DiX" />

&nbsp;

The site sits within the High Density Residential Zone and inside the City of Gold Coast’s unrestricted “HX” building height area, where the planning framework anticipates intensified residential development tied to the expanding light rail corridor. The planning report notes the area is undergoing “transition toward more intense development forms” given its proximity to Broadbeach, Surfers Paradise, and high-frequency public transport infrastructure.

Positioned directly opposite Broadbeach Park and within walking distance of Florida Gardens light rail station, the development would sit among a rapidly evolving stretch of Old Burleigh Road that has become one of the Gold Coast’s most active apartment development corridors.

The application joins a growing pipeline of luxury residential projects reshaping Broadbeach, including nearby developments by 5Point Projects, Polycell, and Graya.

The planning report argues the project contributes toward the Gold Coast’s long-term housing targets under the South East Queensland Regional Plan, which forecasts the need for more than 100,000 additional high-rise dwellings across the city by 2046.

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The Abedian family departed Sunland Group in late 2023, ending a four-decade association with the company, and subsequently established the private development firm Abedian &amp; Co. The group is currently delivering <a href="https://www.apartments.com.au/new-apartments/greenmount-residences-cnr-hill-street-and-marine-parade-coolangatta-qld-4225">Greenmount Residences</a> at Rainbow Bay and recently launched <a href="https://www.apartments.com.au/new-apartments/18-mary-avenue-14-18-mary-avenue-broadbeach-qld-4218">18 Mary Avenue</a> in Broadbeach.
</section>

First look: Sunland Group returns to Broadbeach new apartment market with new Old Burleigh Road tower plans

The Minns Labor Government has established the new Bays West Delivery Authority to lead the development&nbsp;of the Bays West Precinct and Blackwattle Bay Precinct.&nbsp;

The Authority is charged with creating Sydney’s newest precinct, a thriving, connected, sustainable hub with White Bay Power Station as its cultural heart. Its vision is to build on the area’s natural, cultural and industrial history to shape a vibrant new neighbourhood.

The precinct will deliver up to 8,500 well-located homes, including a minimum of 10 per cent affordable and essential worker homes. Combine new housing with public open space, opening public access to the waterfront for the first time in more than 100 years, while retaining important deep-water facilities to support Sydney’s working harbour.

Located just minutes from the Sydney CBD and connected to a world-class metro, ferry, walking and cycling links, the Bays West precinct will rebalance housing growth towards well-serviced inner-city locations and help tackle the state’s housing crisis.

The Bays West Delivery Authority,&nbsp;an agency of the Department of Planning, Housing and Infrastructure, will report to the NSW Minister for Lands and Property who already has oversight of major precinct renewal projects including at Blackwattle Bay and Barangaroo.

As part of the broader Bays West transformation, the Minns Government recently announced that a proposal from Lendlease to redevelop part of the Bays West Precinct has progressed to Stage 2 of the NSW Government’s unsolicited proposals process.

<img alt="Sydney" data-entity-type="file" data-entity-uuid="2ed71eb9-d8e8-4fa7-b9d1-de4531dcf2f3" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-25%20at%209.42.31%E2%80%AFAM.png?VersionId=IDryFIbped9SNDg72LEN_EecvhUsOPvp" />

The Minns Labor Government has also confirmed the Bays West precinct will have a new suburb name. This will be the first major suburb built in close proximity to Sydney’s CBD in decades and will encompass the area currently being referred to as Bays West, including Glebe Island and the White Bay Power Station. Served by a new Metro station just five minutes from the CBD, it will become one of the most populous suburbs in the Inner West and one of Sydney’s premier cultural destinations.

An early works program is taking shape, which&nbsp;includes the first stages of an international design competition.&nbsp;

The aim of the Bays West&nbsp;International&nbsp;Design Competition is to&nbsp;ensure design excellence is embedded in the project from the start. The competition will deliver an&nbsp;urban framework that defines the character, ambition and long-term identity of&nbsp;this&nbsp;former industrial precinct as it transitions to a vibrant, inclusive and sustainable residential&nbsp;neighbourhood.

The competition will be led by the Bays West Delivery Authority in partnership with Government Architect NSW.&nbsp;

It will launch with an invitation for a global Expressions of Interest, before moving to an invitation-only stage that will be assessed by a panel that&nbsp;will provide advice to Cabinet who will select a winner.

Premier of NSW, Chris Minns said the establishment of the new Authority is the first step in transforming the Bays West precinct into a vibrant, livable suburb minutes from the Sydney CBD and two stops from Hunter St Station on the Metro West line.

“The Authority will deliver well-located homes close to the heart of the city and integrate the new precinct with Blackwattle Bay and the new Sydney Fish Market.

“This is a generational opportunity to build a new suburb on the city’s edge and open the harbour foreshore to the public for the first time in a century.”&nbsp;

Minister for Lands and Property Steve Kamper said the new Bays West Delivery Authority established by the Minns Government will turbocharge the development of Sydney’s newest suburb.

“The Authority is working at a record pace to deliver an international design competition, planning pathways and a financial model so that this development benefits Sydney with well-designed homes in a central location, close to public transport, jobs, entertainment and essential services.

“If we want Sydney to stay liveable and affordable, we need to be bold about using underutilised government-owned land to deliver homes for the future while making sure essential working harbour functions can be accommodated.”

Bays West Delivery Authority established to "turbocharge" Sydney’s newest suburb

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>
The message being pushed by mortgage brokers and consumer advocates that borrowers should maintain their current mortgage repayments when interest rates fall and pay off their home loans sooner has well and truly been absorbed by home owners.
Nearly seven out of 10 mortgage holders (68%) surveyed by Nielsen said their number one financial goal was to pay off their home loans, confirming the view that Australians regard owning their home outright as key for their financial future.
This is despite a home not being able to generate any income in retirement apart from when it is sold, meaning future retirees could find themselves debt-free but cash poor.
In a <a href="/news">Property Observer webinar on property and wealth-creation</a>, WHK financial adviser Peter Handberg advised investors against investing extra income in paying off their mortgages but to consider putting the money into a balanced income-generating retirement portfolio made up of a mix of shares, property, bonds and cash.
“You can’t sell a bedroom,” says Handberg.
Only 13% of the 500 borrowers surveyed by Nielsen said their top goal was to save for retirement, while just 8% said purchasing an investment property was their number one goal, confirming the savings culture in Australia highlighted in a <a href="https://www.rba.gov.au/speeches/2012/sp-dg-051212" target="_blank">recent speech by RBA deputy governor Philip Lowe</a>.
The Nielsen study was commissioned by mortgage lender Crown Lending, with chief executive Scott Parry saying results show that the overwhelming majority of Australians wanted to live debt-free.
The propensity for borrowers to make extra mortgage repayments and reduce their home loans comes as banks earn billions more by not passing on interest rate cuts in full.
Following last week’s 25-basis-point rate cut by the RBA, all the major banks and their subsidiaries passed on 20 basis points, increasing their interest margin buffer by a further five basis points.
Notwithstanding the propensity of making prepayments, Mark Lewis, chairman of Adelaide mortgage broker Bernie Lewis, says that in the last five years borrowers have paid $18 billion extra in interest on their home loans due to banks not passing on the RBA interest rate cuts in full.
The banks say higher funding costs and a need for them to raise more expensive funding from retail deposits mean they cannot afford to pass on rate cuts in full anymore.
Lewis says while he agrees “on a grassroots level” that banks are not obliged to move in lockstep with the RBA, he does not buy their funding excuses, which he calls a “bitter pill” for borrowers to swallow as banks continue to generate record profits.
“The gap between the Reserve Bank cash rate and the average standard variable interest rate of the four major banks has nearly doubled since 2007 [from 1.8 percentage points in 2007 to roughly 3.4 percentage points currently]," he says.
 
<hr class="system-pagebreak">
 
According to Ratecity.com.au, the average standard variable rate across the lenders on its panel in November was 6.62% compared with a cash rate of 3.25% - a difference of 3.37 percentage points.
Assuming that lenders pass on 20 basis points on average – the average standard variable rate would reduce to 6.42% with the cash rate at 3% - a difference of 3.42 percentage points.
Lewis says that despite the RBA’s “emergency” cash rate setting, the increased margins of the banks means the cash rate would need to fall to 2% to have any impact – a fact acknowledged by Philip Lowe, when he said in the same recent speech, that the cash rate was currently 1.5 percentage points lower than it would otherwise be due to bank mortgage rates no longer moving “in near lock step with the cash rate”.
Despite their being better deals on offer through alternative lenders, Lewis says many borrowers appear apathetic to the fact that they are paying more than the need to on their home loan while banks are more than happy to take the extra cash and add it to their bottom line profits.
“You could argue that they have the right to increase, but the other thing that comes into play is the lack of competition in the market. With reduced competition comes lazy banks and a growth in margin,” Lewis says.
Banks have also been gouging extra interest payments from borrowers by the length of time they are taking to pass on rate cuts.
ANZ and Westpac combined are expected to generate more than $53 million in interest by being the last of the big four to pass on the RBA’s cash rate cut, with economists estimating that the major banks earn around $2 million for each day they withhold passing on the rate cut, according to Australian Broker online.
Westpac will pass on 20 basis points on December 17 – a full 13 days after the RBA announced its rate cut, while ANZ borrowers must wait until Friday to hear how much it will pass on as part of its independent rate review with borrowers likely to have to wait at least a week further for any rate cut to take effect (December 21).
The Commonwealth Bank and NAB passed on their 20 basis point rate cuts on December 10, earning an extra $14 million each by delaying the rate cut reaching borrowers.
Only <a href="https://www.propertyobserver.com.au/news/yellow-brick-road-passes-on-the-full-25-bps-reduction/2012120558313?utm_source=po&amp;utm_medium=aida&amp;utm_campaign=news" target="_blank">Yellow Brick Road</a> and <a href="/news">ING Direct</a> have passed on the full 25 basis points to borrowers.
Yellow Brick Road’s rate took effect on December 10, but ING Direct borrowers must wait until Christmas Eve (21 days after the RBA decision) to benefit from lower repayments.
 
</body></html>

lschlesinger-FZcF9M3vE6

Australians focused on paying off home loans, not retirement savings, while banks earns billions more in interest payments

<html><body>
The Greater Building Society has cut its standard variable home loan and basic variable home loan rates by 20 basis points to 6.05% p.a (comparison rate of 6.11%) and 5.69% (comparison rate of 5.75%) respectively.
The Newcastle-based mutual lender has passed on the full rate cut to package home loan borrowers with their rate falling to 5.49% (comparison rate 5.85%).
The reduced variable rates take effect from December 15.
The Greater’s standard variable rate is 0.37 percentage points below the average of the rates of the major four banks (assuming ANZ also reduces its rates by 0.20 per cent next Friday).
“Under the new rates, a person taking out a 30 year $300,000 Greater Building Society standard variable home loan would be $82,000 better off than someone taking out the same loan with Westpac,” says Greater CEO Don Magin
“For little effort you can save thousands of dollars off your loan, that is a pretty hefty pay packet,” he says.
“People are throwing their hard earned money away by not switching and switching is easier than most people think.”
Customers on a 30 year standard variable or basic home loan of $300,000 will see their monthly repayments reduce by $39.
The building society is encouraging borrowers to maintain their current payments and use the rate cut to get ahead on their home loan and pay it off sooner.
The Greater recently surveyed 100 of its customers and 98% indicated they were maintaining their repayments when rates were cut.
A Greater borrower who hasn’t changed their payments since rates fell in May has saved themselves approximately $140,000 in interest over the life of their loan and will repay it six years earlier.
Property Observer readers can get great refinancing tips from two free webinars we have run this year: <a href="/news">How smart property buyers and investors should approach refinancing in the current environment</a> and,<a href="/news">The Do's and Don’ts of Refinancing Your Existing Home Loan ... and How to Avoid Unnecessary Hurdles</a>.
</body></html>

Greater Building Society cuts standard variable rates by 20 basis points to 6.05%

<html><body>
The dust is starting to settle on the Reserve Bank’s decision to cut the cash rate by 25 basis points this week to 3% – the lowest it has been since September 2009.
Most lenders have announced their decisions, with cuts ranging from 20 basis points to the full 25 and with these new rate cuts kicking in between December 10 and December 24.
Unlike previous decisions, the three major banks that still take their cue from the RBA – NAB, Commonwealth Bank and Westpac – have been relatively quick in announcing decisions to pass on 20 basis points to variable rate mortgage holders, all doing so by Wednesday afternoon.
As a result, NAB continues to offer the lowest standard variable of the big four at 6.38%, followed by Commonwealth Bank at 6.40% and Westpac at 6.51%.
<table border="1" cellspacing="0" cellpadding="0" style="width: 470px;"><tbody>
<tr>
<td width="139" valign="top">
 
</td>
<td width="107" valign="top">
Date new rate kicks in
</td>
<td width="125" valign="top">
Standard variable rate
</td>
<td width="118" valign="top">
Three-year fixed rate
</td>
</tr>
<tr>
<td width="139" valign="top">
NAB
</td>
<td width="107" valign="top">
Dec 10
</td>
<td width="125" valign="top">
6.38%
</td>
<td width="118" valign="top">
5.49%
</td>
</tr>
<tr>
<td width="139" valign="top">
CBA
</td>
<td width="107" valign="top">
Dec 10
</td>
<td width="125" valign="top">
6.40%
</td>
<td width="118" valign="top">
5.54%
</td>
</tr>
<tr>
<td width="139" valign="top">
Westpac
</td>
<td width="107" valign="top">
Dec 17
</td>
<td width="125" valign="top">
6.51%
</td>
<td width="118" valign="top">
5.59%
</td>
</tr>
<tr>
<td width="139" valign="top">
ANZ
</td>
<td width="107" valign="top">
??
</td>
<td width="125" valign="top">
6.60%
</td>
<td width="118" valign="top">
5.54%
</td>
</tr>
</tbody></table>
Source: bank websites
The only difference is the timing of the rate cuts, with NAB and the Commonwealth bank’s new variable rates kicking in on December 10 and Westpac borrowers having to wait an extra week.
Bank-bashers will argue Westpac is cashing in at the expense of borrowers by delaying passing on the rate cuts – the big four banks earn an estimated extra $50 million collectively for every day they don't pass on a rate cut.
ANZ borrowers have a longer wait, with the bank making its independent rate review decision on Friday, December 14 – and most likely also passing on 20 basis points to borrowers, meaning a standard variable rate of 6.4%.
Rate cuts are catalysts for many borrowers to reassess their current mortgage and consider refinancing with a more suitable lender, often offering a lower interest rate – a 25-basis-point reduction on a $300,000 home loan over 25 years equals monthly repayment savings of around $50.
The federal government’s ban on exit fees also makes it cheaper to switch lenders, but borrowers should bear in mind that it only applies to variable mortgages dating from July 1, 2011 and does not apply to fixed rate home loans, which still carry hefty exit fees in most cases in the thousands of dollars.
Nevertheless, around one in five borrowers (according to Mortgage Choice figures) are still choosing to refinance into a fixed-rate loan, with one-year fixed rates currently starting from below 5% and three-year fixed rates just over 5%. There is also the option to split your loan between fixed and variable mortgages.
 
<hr class="system-pagebreak">
 
Borrowers should bear in mind that while a fixed rate loan can provide some peace of mind if rates start rising, they can prove a major headache if they continue fall, as <a href="/news">happened  around September 2008</a>, when the average three-year fixed rates was 8.75% but then followed a period of steep variable rate cuts, leaving fixed-rate borrowers paying an enormous premium, while variable borrowers enjoyed rates as low as 5.75%.
Mortgage comparison websites such as <a target="_blank" href="https://www.ratecity.com.au">ratecity.com.au,</a> <a target="_blank" href="https://www.mozo.com.au">mozo.com.au</a> and <a target="_blank" href="https://www.infochoice.com.au">infochoice.com.au</a> are a good way to get a sense of the range of rates being offered in the market place by a variety of lenders, but bear in mind that they may not compare all the advertised rates available and always consider the comparison rate, which is the rate inclusive of fees and charges.
Average standard variable rate vs three-year fixed rates over 2012
<table width="200" cellpadding="0" cellspacing="0" border="0"><tbody>
<tr>
<td valign="bottom" nowrap width="64">
 
</td>
<td valign="bottom" nowrap width="64">
SVR
</td>
<td valign="bottom" nowrap width="16">
 
</td>
<td valign="bottom" colspan="2" width="56">
3yr Fixed
</td>
</tr>
<tr>
<td nowrap width="64">
1-Jan
</td>
<td nowrap width="64">
7.30%
</td>
<td nowrap width="16"></td>
<td colspan="2" width="56">
6.38%
</td>
</tr>
<tr>
<td nowrap width="64">
1-Feb
</td>
<td nowrap width="64">
7.30%
</td>
<td nowrap width="16"></td>
<td colspan="2" width="56">
6.38%
</td>
</tr>
<tr>
<td nowrap width="64">
1-Mar
</td>
<td nowrap width="64">
7.39%
</td>
<td nowrap width="16"></td>
<td colspan="2" width="56">
6.34%
</td>
</tr>
<tr>
<td nowrap width="64">
1-Apr
</td>
<td nowrap width="64">
7.39%
</td>
<td nowrap width="16"></td>
<td colspan="2" width="56">
6.48%
</td>
</tr>
<tr>
<td nowrap width="64">
1-May
</td>
<td nowrap width="64">
7.40%
</td>
<td nowrap width="16"></td>
<td colspan="2" width="56">
6.45%
</td>
</tr>
<tr>
<td nowrap width="64">
1-Jun
</td>
<td nowrap width="64">
7.04%
</td>
<td nowrap width="16"></td>
<td colspan="2" width="56">
6.14%
</td>
</tr>
<tr>
<td nowrap width="64">
1-Jul
</td>
<td nowrap width="64">
6.82%
</td>
<td nowrap width="16"></td>
<td colspan="2" width="56">
6.12%
</td>
</tr>
<tr>
<td nowrap width="64">
1-Aug
</td>
<td nowrap width="64">
6.82%
</td>
<td nowrap width="16"></td>
<td colspan="2" width="56">
5.94%
</td>
</tr>
<tr>
<td nowrap width="64">
1-Sep-
</td>
<td nowrap width="64">
6.82%
</td>
<td nowrap width="16"></td>
<td colspan="2" width="56">
5.92%
</td>
</tr>
<tr>
<td nowrap width="64">
1-Oct
</td>
<td nowrap width="64">
6.82%
</td>
<td nowrap width="16"></td>
<td colspan="2" width="56">
5.73%
</td>
</tr>
<tr>
<td nowrap width="64">
1-Nov
</td>
<td nowrap width="64">
6.62%
</td>
<td nowrap width="16"></td>
<td colspan="2" width="56">
5.54%
</td>
</tr>
<tr>
<td nowrap width="64">
1-Dec
</td>
<td nowrap width="64">
6.62%
</td>
<td nowrap width="16"></td>
<td colspan="2" width="56">
5.54%
</td>
</tr>
<tr>
<td valign="top" colspan="4" width="192">
 Source: Ratecity.com.au
</td>
</tr>
</tbody></table>
Borrowers should also bear in mind that standard variable rate offerings of the major banks are only headline rates with all the banks offering rate discounts to borrowers who qualify or for their packaged home loan offerings, which can include things like a credit card, an offset account and a transaction account.
Westpac pointed out in its rates announcement that packaged home loan borrowers get a 70-basis-point discount of the standard variable rate mean – a rate of 5.81% from December 17.
Borrowers may also be able to negotiate individual discounts with their bank manager or lender, particularly if they are borrowers of good standing and can present the research showing the cheaper alternatives available in the market place.
Borrowers happy to refinance outside the major banks or their subsidiaries may qualify for variable rate as low as 5.22% offered by loans.com.au, the online offering of non-bank lender FirstMac.
Alternatively UBank, the online home loan and savings arm of NAB, is offering a refinancing variable rate of 5.47%, meaning borrowers can take comfort that they still have the backing of a major bank.
Of course a lower interest rate should not be the soul consideration when refinancing though it can be a good starting point.
Rather refinancing into a loan suited to your financial needs and goals is much more important and speaking to a reputable ASIC-licensed mortgage broker may help in wading through the various fixed and variable offerings in the market.
Credit laws require that mortgage brokers recommend loans that are “not unsuitable”, must provide explanations for their recommendations and disclose all commissions they receive.
 
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The major bank subsidiary brands have also passed on 20 basis points leaving their standard variable rates as follows: BankWest (6.39% from December 18); St.George Bank (6.49% from December 17) and Bank of Melbourne (6.40% from December 17).
Bank of Melbourne is also promising to beat the variable home loan rate offerings of the big four banks – including its banking parent Westpac – in an effort to separate out the challenger bank brands from the big four in the minds of consumers.
Online bank ING Direct is the only major banking brand to pass on the full rate cut, offering an eye-catching 5.72% on its most popular Mortgage Simplifier variable rate product, but with the caveat that the new rate only kicks in on December 24 while recent APRA banking figures show the Dutch-based lender slowing down its provision of new mortgage considerably in the past year.
Other lenders to have passed on the full rate cut include Yellow Brick Road – with funding from Macquarie group – offering a rate at 5.25% per annum for the first year and as low as 5.54% over the remaining life of its Empower loan.
Credit unions and building societies also offer low rate home loans and a different customer proposition, given they are mutual lenders and are not driven by a need to maximise shareholder returns.
CUA, one of the biggest mutual lenders cut its variable rates by 20 basis points and is offering a new standard variable rate of 5.85% from December 13, which is 62 basis points lower on average than what the major banks are offering.
Another of the bigger mutual lenders, Heritage Bank (formerly Heritage Building Society) has cut variable home loan interest rates by 20 basis points to offer a standard variable interest rate of 6.14%, effective from December 14.
Property Observer readers can get great refinancing tips from two free webinars we have run this year: <a href="/news">How smart property buyers and investors should approach refinancing in the current environment</a> and, <a href="/news">The Do's and Don’ts of Refinancing Your Existing Home Loan ... and How to Avoid Unnecessary Hurdles</a>.
 
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Getting through the mortgage maze: Chasing the lowest rates as most lenders pass on partial cash rate cut

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Home loan comparison websites will face greater scrutiny from corporate watchdog ASIC to ensure they provide accurate information and are not misleading consumers.
This follows growth in the number of comparison websites since GFC, filling a need for consumers to be sure they are getting the best deal on mortgages, credit cards, insurance and other products.
However, ASIC has identified a number of concerns with some comparison websites, including that some only compare a limited number of brands/products from a limited number of providers.
“This may not be clearly disclosed which creates the impression that the extent of comparison is much broader than it actually is,” says ASIC.
ASIC is also concerned at the use of ‘ratings’ and ‘rankings’ for products without a clear explanation of the basis for them and websites that refer to ‘special offers’ and ‘featured products’ without properly explaining the basis of selection of certain products.
“For credit comparison websites that advertise loan products, it is important that comparison rates are disclosed as required under the National Credit Code. Given the nature of comparison sites it is important that consumers are provided with accurate information so they can choose financial products that best suit their needs,” says ASIC.
“ASIC recognises that consumers can benefit from the increasing opportunities to research and compare financial products online. For this to occur, operators of comparison websites must take care to ensure they accurately portray the features and limitations of the products compared. They also need to ensure that any information they provide, including quotes, is reliable, accurate and up-to-date,” says ASIC commissioner Peter Kell. "We will be targeting this area of the market and we will take regulatory action where necessary to ensure that operators of financial product comparison websites comply with the law," he says.
The increased scrutiny of comparison websites was welcomed by Rohan Gamble, managing director of Mozo.com.au.
Gamble told SmartCompany.com.au the aggregator industry is filled with so-called affiliates, who simply create an aggregator product that only compares their products.
“This type of announcement makes sure that we do the best we can. We’ve been waiting for this type of thing, and we take the view that we do this seriously, and that everyone else should as well.”
Comparison websites must comply with their obligations under consumer protection laws.
ASIC recently released a new regulatory guide for advertising financial products (Regulatory Guide 234 Advertising financial products and advice services: Good practice guidance), which includes guidance for comparison websites.
These include early disclosing the basis of awards or ratings, disclosing any links to the providers of products that are being compared, including commissions, referral fees, payments for inclusion in comparisons and/or payments for ‘featured’ products including a warning if not all providers are included in the comparison, clearly disclosing advertisements to prevent consumers being misled about the ranking of the product, and where necessary, including a warning that financial products compared do not compare all features that may be relevant to the consumer.
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ASIC warns mortgage comparison websites on accuracy, disclosure and compliance

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Westpac-owned St George Bank and Bank of Melbourne will pass on 20 basis points to variable mortgage holders from December 17.
The rate cuts mean all three banks will continue to maintain different variable rate settings.
St George Bank it will reduce its standard variable home loan rate by 0.20% to 6.49% per annum while Bank of Melbourne will reduce its standard variable rate to 6.40% per annum.
Yesterday Westpac announced its standard variable rate would reduce to 6.51% on December 17.
In a further move to differentiate the brands in the minds of consumers, Bank of Melbourne is promising to beat any advertised equivalent home loan rate of the big four anks if they take out a new home loan by 21 December.
“On average, Bank of Melbourne has been 15 basis points better than the majors, based on a $300,000 loan over the last 12 months,” said chief executive, Scott Tanner.
This is based on a comparison of a $300,000 loan and average packaged loan rates of Westpac, ANZ, CBA and NAB.
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Three brands, three different rates: St George and Bank of Melbourne to cut by 20 basis points

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The RBA will continue to maintain a low cash rate setting, according to RBA deputy governor Philip Lowe.
He says Australia now has lower interest rates than it otherwise would have to offset some of the effects of an uncomfortably high exchange rate and in an environment of slower credit growth and greater consumer caution.
But he said it was possible that “normal lending rates will be somewhat lower for a period owing to the combination of global factors and the legacy of the credit boom”.
These remarks where part of a speech delivered in Sydney overnight following the RBA cutting the cash rate to 3% and to its lowest level since the GFC.
Speaking on the topic of “What is normal?” Lowe highlighted how it was now much harder for the RBA to judge what an appropriate economic response was to rate cuts, but re-affirmed that the RBA continues to believe that monetary policy continued to keep inflation in check and have a positive impact on the economy.
“Monetary policy still looks like it is working,” Lowe said.
“There are lags and different parts of the economy respond differently, but lower interest rates are still effective in providing a boost to the overall economy.”
But he also provided numerous examples of how the economy has shifted since the GFC and that a new "normal" had emerged.
He said the Australian propensity to spend every dollar earned between the mid-1980s and into the 2000s (as house prices boomed) was not normal and that “more recently, the saving rate has increased and it is back to the level it was in the mid-1980s”.
<img src="/images/stories/2012/12/rbadec6.gif">
 
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Lowe said the lower cash rate settings were also in response to higher funding costs facing banks, meaning they no longer moved in step with the RBA.
Lowe said that in a new “normal” of lower credit growth and higher funding costs for banks, the cash rate was currently around 150 basis points lower than it otherwise would have been.
“The fact that the bank has offset the effect of higher funding costs on lending rates means that the normal level of the cash rate is lower than it otherwise would have been,” said Lowe.
“A 3% cash rate today is not the same as a 3% cash rate in the past,” he added, implying that this was because headline mortgage rates offered by banks are no longer moving “in near lock step with the cash rate”.
The theme of a new normal was also touched on by AMP Capital Investors economist Shane Oliver, who said that while the RBA has cut the official cash rate back to its post-GFC record low of 3%, “overall policy settings are nowhere near as stimulatory as they were in mid-2009”.
“Bank lending rates are much higher, the Australian dollar is way higher and fiscal policy is being tightened not loosened."
In his latest economic note, Oliver said mining investment was fading rapidly and non-mining growth needed to pick up quickly.
“The trouble is that growth in other areas of the economy is soft. While the Reserve Bank has been cutting interest rates for just over a year the response has been subdued.”
Oliver pointed out that all key indicators – building approvals, credit growth, retail sales – “are currently well below the average level they attained this far into past easing cycles” and that further rate cuts were needed to achieve mortgage rates that will become “stimulatory”.
“Although the RBA has cut the official cash rate to its GFC low, because of bank funding issues bank lending rates are around 0.6-0.8 percentage points above their 2009 lows.
“The standard variable mortgage rate at around 6.42%, assuming banks pass on around 0.2% of the RBA’s latest 0.25% rate cut, is below its long term average of 7.25%.
“But normally rates need to fall well below their long-term average to be confident of stronger growth. And in an environment of household and business caution post GFC the neutral rate has likely fallen, probably to around 6.75% ,which is shown as the “new neutral” level," Oliver said.
"This would suggest that current mortgage rate levels are only just starting to become stimulatory.”
But HSBC chief economist Paul Bloxham disagreed.
"We expect that this could be the last in the easing phase of this cycle given China's economy is bottoming out, local rates are supporting the interest-rate sensitive sectors and inflation may have passed its trough, leaving the RBA will little further room to move," he said.
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Credit boom unlikely to return but lower rates the new normal: Philip Lowe

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OK, Philip Soos, I’ll bite.
Your article earlier this week on negative gearing has really ticked me off – and you can’t call me ‘the property lobby’ because I’m primarily a stay-at-home mum and a part-time journalist who used to run around after politicians for a living on the telly.
I’m a property investor too – thank goodness – but I should warn you that negative gearing on property investments all through my 20s certainly paved the way for me to spend the last seven or so years at home, raising two new little taxpayers. You’re right, what a dreadful policy, only benefiting “the rich”.
Who are these “rich” people?! Let’s find them and burn their houses down! They’re certainly the bad guys <a target="_blank" href="/news">in your article, Mr Soos.</a>
I could go on and on about the benefits of private investment in the property industry, despite your determination not to understand them. Try to think of it, if you would, as the original public-private partnership. Governments always have and always will need private citizens to invest in property, therefore providing a bigger rental pool for other private citizens. I hate to be all anti-progress about it, but there just isn’t a better way of doing it for a lazy $3 billion a year.
For this very large effort and ongoing commitment by the investors, there needs to be some sort of reward. People everywhere are great, but generally speaking in a business sense, people don’t do things for others for free.
The point of my response is not to get bogged down in policy debate. What I can tell you is what’s happening on the ground. Negative-gearing property investors are people, too. We’re workers, we’re mums and dads, we’re small business owners, and we’re taxpayers. We’re putting in the hard yards on the ground in the rental industry, and we’ve been doing it for years. Years and years.
I’ve renovated for profit every night and weekend for months, I’ve responded to tenant disasters in the middle of the night, I’ve picked up the pieces when good tenants go bad, I’ve experienced the best and worst of human nature as a self-managing lessor.
I’ve claimed losses, I’ve paid capital gains tax, I’ve put profits back into the economy and I’ve saved money to live off while our children are small. I’m also unlikely to need a pension in retirement –  here’s hoping, anyway.
 
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I’m far from a blight on society, Mr Soos, and I’m certainly not alone. As you’ve pointed out, there are well over a million property investors just like me. We’re a brave lot, and I firmly believe – no, I know, from experience – that our significant contribution outweighs our tax breaks.
Yes, some of us speculate, but many other taxpayers choose not to take on the associated risks and extra hard work. That’s their choice. That’s the difference.
By the way, your assertion that “a salaried employee” doesn’t get tax breaks associated with earning an income, is also wrong. Anyone who works or studies 20 hours or more per week gets 50% of their childcare costs back, paid quarterly, not annually in a tax return. I have no idea why you think “accommodation” is a legitimate work expense – it’s not. We all have to sleep somewhere, job to go to in the morning or not. That’s why it’s called a living expense.
Don’t get me started on your suggestion that perhaps negative gearing should only be applied to new property. Property investors are clever, but you won’t find many of us out and about on the weekends knocking up our own structures from scratch. Why would we want, as a nation, to hand a bigger break to the multinational building firms, which would no doubt whack a premium on top of their house-and-land or apartment package prices for investors, purely because they’d be the only products able to be negatively geared?
If you think there are any “millionaires” out there receiving low rents as a result of negative gearing, well, you’re wrong there, too. No property investor worth their salt sits down and works out the lowest rent they can charge based on what they’ll get back from negative gearing. It doesn’t work that way. It’s called market forces. I can ask $1,000 per week for a shack, but I won’t get it unless it’s comparable with other shacks on offer at the time. It’s unlikely there are any millionaire or high-income tenants paying less than market rent simply because the landlord is negative gearing.
And finally, a little more sense about the maths, please. Let’s all remember that tax refunds received as a result of negative gearing still represent a portion of the total losses on a property during a financial year. No one is investing in the hope of losing $20,000 per annum on a rental so they can get $10,000 (or less) back. They’re out of pocket by $10,000 on an investment!
Every property investor, big or small, is restricted by income. I can’t speak for the casino-owning Packers of the world, but I can confirm that while many mums and dads would like to own a whole street of rentals, most of us can’t – we couldn’t sustain the out-of-pocket repayments. Making it harder for us to be fairly small fish in the rental sea really doesn’t make sense, or good policy.
The aim of public policy should be to encourage private investment (and wealth creation for all), not whack it mercilessly and stomp on it until it’s shattered, and then wonder why government housing queues are getting longer.
I’m also not sure whether you realise that the perceived health of the property market helps determine that whole Reserve Bank interest rate decision each month? It’s pretty big. Screw with property and watch interest rates move, one way or another. With fairly limited options these days for capital growth, there’s never been a worse time to even think about dropping negative gearing.
Over a million of us would run a mile.
 
Melanie Stott is a freelance journalist and regular contributor to <a href="https://www.hotspotting.com.au" target="_blank">The Ryder Report</a>. She also writes for Michael Matusik and works as a TV News producer in Brisbane. Melanie and her husband Andrew own <a href="https://www.paradiseatthepoint.com.au" target="_blank">Paradise at the Point</a>, the Gold Coast holiday house featured in 2012’s Big Brother series– and it’s positively geared.
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mslott-9JQARaBEN9

Negatively geared property investors' contributions far exceed their tax breaks

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Currently around 20% of borrowers choose a fixed-rate home loan, according to Mortgage Choice, with a three-year fixed rate the most popular fixed-rate product.
However, as the chart below prepared by RateCity.com.au shows, timing is key when fixing.
Borrowers who fixed around September 2008, when the average three-year fixed rate was 8.75% and just before the RBA began drastically cutting the cash rate, would have had to endure three years of substantially higher mortgage repayment than those who chose a variable-rate mortgage.
Even those who took out just a one-year fixed rate would have felt mortgage pain.
The standard variable rate was 9.61% in September 2008 but dropped to  5.75% by May 2009 and was well below 8% over the three-year period.
<img alt="ratecity_chart" src="/images/stories/2012/12/ratecity_chart.gif" width="470" height="270">
The chart also shows how the gap between fixed and variable rates has widened since the federal government introduced its ban on exit fees on variable rate mortgages.
“The major banks’ three-year fixed home loans have followed generally followed their standard variable rates quite closely over the past five years," says Michelle Hutchison, spokesperson at financial comparison website RateCity.com.au.
"But since 2011, we’ve seen three-year fixed rates start to fall lower than the banks’ standard variable rates. It’s unusual to see fixed rates so much lower than standard variable rates, but several factors have resulted in lenders making their fixed rates more attractive.
"One of the reasons was banking reforms banned exit fees on variable home loans from July 1, 2011, making fixed loans a more secure investment for lenders.”
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Winners and losers on the interest rate rollercoaster: Fixed and variable rates since 2007

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Westpac  will pass on 20 basis points of the RBA's 25 basis point cash rate cut to borrowers.
It's standard variable rate will reduce to 6.51% from December 17.
It follows both <a target="_blank" href="/news">NAB and Commonwealth Bank</a> announcing rate cuts of 20 basis points, taking effect from December 10.
NAB's new standard variable rate will reduce to 6.38% and Commonwealth Bank's will fall to 6.40%.
Westpac taking an extra week to reduce its variable rates compared with the Commonwealth Bank and NAB is significant.
Earlier this year, <a target="_blank" href="/news">The Australia Institute</a> calculated that every day that the big four banks delay passing on the Reserve Bank’s latest interest rate cut represents a deprivation of $12 million from home owners’ pockets.
Westpac is taking 12 days to pass on 20 basis points this month compared with a big four bank<a target="_blank" href="/news"> average of 10.6 days </a>calculated by the Economic Record, published by the Economic Society of Australia.
In contrast, NAB and the Commonwealth Bank will take only five days to pass on the rate cut.
ING Direct announced yesterday it would pass on the full rate cut, but this will only take effect on December 24 - 19 days after the RBA reduction.
Westpac's reduction in home loan rates will save homeowners $38 a month or $456 a year in total monthly repayments on an average mortgage of $300,000.
Since October 2011, Westpac has cut its variable mortgage rates by 1.35 percentage points, equating to an annual saving of $3,192 on an average home loan.
The RBA has reduced the cash rate by 175 basis points since October.
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Westpac joints CBA and NAB by passing on 20 basis points

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The Commonwealth Bank has become the second of the big four banks to announce its interest rate decision, passing on 20 basis points to borrowers.
From December 10, the bank's standard variable rate will reduce to 6.40% per annum.
This follows <a target="_blank" href="/news">NAB cutting its variable rates by 20 basis points</a> to 6.38%, also from December 10.
The Commonwealth bank once again said that it had to "balance the needs of 1.8 million home loan borrowers with those of its 11 million depositors and its shareholders, who include 800,000 Australians who own its shares directly, and millions more Australians who own shares through superannuation funds" in making the decision.
"A significant factor impacting this balancing of needs has been the increased competition in the domestic deposit market which has benefitted many customers, including those who rely on interest earnings to meet their living expenses," said the bank.
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