<a href="https://www.apartments.com.au/developers/s-p-setia">SP Setia</a> has lodged plans for a $750 million, three-tower mixed-use precinct that would complete the long-running redevelopment of Carlton's former Carlton United Breweries site.

The proposal at <a href="https://www.apartments.com.au/new-apartments/185-195-queensberry-street-carlton-vic-3053">46-78 Bouverie Street and 185-195 Queensberry Street</a> spans a 6,468 sqm site, the last remaining undeveloped parcels within the former brewery's 2007 masterplan.

Designed by <a href="https://www.apartments.com.au/architects/cox-architecture">COX Architecture</a>, the development will comprise two purpose-built student accommodation towers and a third build-to-sell apartment tower above a shared commercial podium and basement.

Across the three towers, SP Setia is proposing 606 build-to-sell apartments and 1,499 student accommodation units containing 2,009 beds.

The apartments will sit in the tallest tower, which will rise nearly 200m and 55 storeys. It will become&nbsp;one of the more substantial new build-to-sell apartment projects at the northern edge of Melbourne's CBD.

The apartment mix is weighted toward smaller inner-city product, with 188 studios, 206 one-bedroom apartments, 192 two-bedroom apartments and 20 three-bedroom apartments

<img alt="First look: SP Setia plans three-tower finale for Carlton’s former CUB precinct" data-entity-type="file" data-entity-uuid="8271bc87-1b0a-41b7-ac73-a425ee375261" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/3_2.png?VersionId=G4lw23o90B1boX4k4dj7rdz2ZEajS9wy" />

Part of the precinct will be a large-scale&nbsp;3,684 sqm supermarket and a further 2,198 sqm of speciality retail, creating close to 5,900 sqm of new commercial space within the precinct.

But one of the biggest components of the proposal is what sits between the buildings.

Around 4,650 sqm, or roughly 72 per cent of the site, will be publicly accessible open space, incorporating plazas, pedestrian connections, landscaped laneways and retail spill-out areas.

The ground plane is intended to finally complete pedestrian connections envisaged when the CUB masterplan was first approved nearly two decades ago, stitching together Victoria Street, Queensberry Street, Bouverie Street and Swanston Street through the former brewery precinct.

Urbis said the development would "complete the CUB precinct", with the public realm providing important north-south and east-west connections through what is currently the final undeveloped portion of the masterplanned site.

SP Setia is also exploring a new linear park within the Bouverie Street road reserve, with the concept to be developed further with the City of Melbourne through the planning process.

The proposal is being pursued through the Victorian Government's Development Facilitation Program under Clause 53.23 for significant residential development with affordable housing.

The planning report acknowledges the proposed heights exceed those contemplated under the original Comprehensive Development Plan and masterplan, but argues the built-form context has changed considerably over the past two decades.

Urbis said the three towers would instead create a stepped transition between Carlton and the Hoddle Grid, rising progressively from the 94.1-metre Tower One along the Queensberry Street edge to the 199.44-metre Tower Three closer to the established CBD-scale buildings to the south.

<img alt="SP Setia" data-entity-type="file" data-entity-uuid="e885a07a-592c-40fc-bf82-e6dbaf32da54" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-21%20at%208.52.24%E2%80%AFAM.png?VersionId=7s_ErUkSKAdY1mAWp3GRZgMNCGtwhk5m" />

SP Setia plans to deliver the development across three stages.

Stage One would deliver the basement, podium and retail areas for the entire precinct alongside the first student tower. Tower Two would follow in Stage Two, before the 606-apartment Tower Three is delivered as the final stage.

If approved and delivered, the project would close out a redevelopment process that has been underway since the former brewery masterplan was approved in 2007, adding more than 2,600 student beds and apartments to a precinct already home to Swanston Central, the Barak Building, RMIT Design Hub and several large student accommodation developments.

&nbsp;

&nbsp;

Joel Robinson

SP Setia plans three-tower finale for Carlton’s former CUB precinct

Melbourne developer Lowe Living is seeking to add to its growing bayside apartment pipeline, filing plans for a boutique eight-residence development in tightly held Middle Park.

Lowe Living, which has built much of its development portfolio across Melbourne's affluent bayside and south-east suburbs, is behind the plans for the 730 sqm site at <a href="https://www.apartments.com.au/new-apartments/123-125-erskine-street-middle-park-vic-3206">123-125 Erskine Street</a>, just off Armstrong Street and within the Armstrong Street Neighbourhood Activity Centre.

The developer is seeking approval for a five-storey residential building above two basement levels, with just eight large-format apartments and 18 car spaces.

“This is a deliberately very different proposition for us,"&nbsp;Tim Lowe, Co-Founder of Lowe Living, said.

"Eight residences is exceptionally boutique, but that's precisely what this site calls for.

“There is a strong community in Middle Park and the surrounding suburbs who have spent decades building a life here. They no longer want the maintenance of a large period home, but they aren't prepared to compromise on space, quality or location. We think there is a real opportunity to capture that hyper local market. A site like this rarely comes to market.”

<img alt="Lowe " data-entity-type="file" data-entity-uuid="875fe572-0f14-4d90-9e11-55b28dd07731" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-21%20at%208.42.49%E2%80%AFAM.png?VersionId=GDNQRv9BfpR9r1zkZ5UDyUM4ZvpIksut" />

The low-density proposal has been designed by Cera Stribley and is being progressed through the Victorian Government's Great Design Fast Track pathway, having already secured eligibility from the Minister for Planning.

The Office of the Victorian Government Architect supported its eligibility after finding the proposal demonstrated consistency with the program's seven design principles, while the project's financial feasibility has also been independently confirmed by Invest Victoria.

The project is targeting the downsizer market, with the planning documents describing the homes as larger-format residences and noting the two penthouses could otherwise have been configured as four separate apartments.

<img alt="Lowe 2" data-entity-type="file" data-entity-uuid="60ab0987-2da6-4175-adac-315dcf6053c6" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-21%20at%208.43.15%E2%80%AFAM.png?VersionId=bOCPH0B2MFwlmaRW.TTCF9TzyifgVoQI" />

The site has dual frontage to Erskine Street and Canterbury Place and currently comprises a collection of commercial buildings used as offices, including a former heritage bakehouse, a former stable, a later gabled addition and a central courtyard.

It sits within the Commercial 1 Zone and the Armstrong Street Commercial Precinct heritage overlay, with the existing property classified as a contributory heritage place.

Heritage has subsequently played a significant role in Cera Stribley's design.

The front section of the former bakehouse facing Erskine Street will be retained, including its return walls, street-facing hipped roof and chimneys, while the Erskine Street façade and part of the western return wall of the former stable will also be incorporated into the new development.

Levels four and five will be set back five metres from the retained stable façade, while bricks removed through demolition are proposed to be salvaged and reused within the new building where possible.

<img alt="Lowe 3" data-entity-type="file" data-entity-uuid="e97927a9-a2de-4a0f-83b6-65451238abfa" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-21%20at%208.43.06%E2%80%AFAM.png?VersionId=VR44AChLrX9q1XPB9GvVQV.ALXXbe4gC" />

Rather than presenting as a single five-storey building to Erskine Street, Cera Stribley has broken the development into a series of distinct forms.

A three-storey infill element will sit between the retained bakehouse and stable façades, with the upper levels recessed behind the heritage fabric. Canterbury Place will similarly feature two three-storey podium forms, separated by a central pedestrian accessway, before the upper two levels step back from the street.

A pedestrian through-link will run through the centre of the project between Erskine Street and Canterbury Place, creating entrances from both sides of the site and introducing landscaping and communal areas through the ground plane.

Landscape architect Acre has designed planting across the ground level, private terraces and upper levels, including a feature canopy tree at level three and integrated planting and arbours across the level four terraces. Five existing Erskine Street trees are proposed to be retained.

Sustainability is also a significant component of the Great Design Fast Track application. The apartments are targeting an average eight-star NatHERS rating, with no residence below 6.5 stars, while the project has achieved a 75 per cent BESS score. Seven of the eight apartments are designed for cross-ventilation, with the remaining residence using mechanically assisted natural ventilation.

The plans also incorporate an 8kWp rooftop solar system, a 5,000-litre rainwater tank and infrastructure allowing future electric vehicle charging for every residence.

Lowe has a strong portfolio across Melbourne's blue-chip suburbs. They recently launched <a href="https://www.apartments.com.au/new-apartments/jardin-house-by-lowe-living-camberwell-335-camberwell-road-camberwell-vic-3124">Jardin House by Lowe Living</a> in Camberwell, their first development in the Stonnington LGA.

Lowe Living unveils Middle Park apartment development

Article summary

<ul data-end="888" data-start="289">
	<li data-end="442" data-section-id="8tsh6o" data-start="289">DVB Projects is preparing to launch its second Gold Coast apartment development, with demolition now underway at 137 Old Burleigh Road, Broadbeach.</li>
	<li data-end="573" data-section-id="1nyxl3e" data-start="443">The 34-level tower will comprise just 49 ultra-luxury residences, including half-floor, full-floor and penthouse apartments.</li>
	<li data-end="717" data-section-id="oiyimj" data-start="574">The launch follows strong demand at DVB's nearby Sea Glass project, which is more than 50 per cent sold and currently under construction.</li>
	<li data-end="888" data-section-id="epk9o9" data-start="718">The development adds to the transformation of Old Burleigh Road, with premium beachfront apartment projects continuing to reshape the tightly held Broadbeach strip.</li>
</ul>

<a href="https://www.apartments.com.au/developers/dvb-projects">DVB Projects</a> is preparing to launch its second Gold Coast apartment development, with demolition now underway on the Broadbeach site as the Sydney developer moves closer to bringing the ultra-luxury project to market.

The 34-level tower at <a href="https://www.apartments.com.au/new-apartments/137-old-burleigh-road-broadbeach-qld-4218">137 Old Burleigh Road</a> will comprise just 49 residences, ranging from half-floor apartments through to full-floor homes and a penthouse. The launch follows the strong sales performance of DVB's nearby Sea Glass development. More than half of the apartments at Sea Glass, on the other side of Broadbeach, have been snapped up, well ahead of its late 2027 completion

<img alt="DVB Projects to commence demolition on $320m Broadbeach luxury tower" data-entity-type="file" data-entity-uuid="2944b4be-c84e-4b54-8dc1-c712e76704c0" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/E02_Exterior_Street%20Level%20Entrance.jpg?VersionId=YoNig7pRdrE3HCue7sUj78LzJteeQf3H" />

The start of demolition at 137 Old Burleigh Road signals DVB Projects’ underlying confidence in the Gold Coast’s luxury beachside apartment sector.

“We see the Gold Coast as one of the most compelling lifestyle markets in Australia, particularly at the premium end where demand continues to deepen,” said Dean Brown, Managing Director of DVB.&nbsp;

“This project has been carefully designed to respond to that demand - delivering large-format residences with a level of quality, privacy and amenity that is still relatively rare in the apartment market on the beachside."

Brown says the site itself is "exceptional."

"Old Burleigh Road is one of the most tightly held beachfront strips, and opportunities to deliver a project of this scale and calibre in this location are extremely limited.”

<img alt="DVB Projects to commence demolition on $320m Broadbeach luxury tower" data-entity-type="file" data-entity-uuid="398f377a-c037-455e-9250-0c5e0d84c35b" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/I12_FF%20Balcony.jpg?VersionId=NwOiRWGMubR1c8wthuEfggklcja7al9." />

The project will comprise 40 half-floor residences of approximately 260 sqm, alongside eight full-floor residences spanning around 524 sqm.

A single penthouse will crown the building, featuring a private pool, barbecue area, indoor gym and dedicated entertaining spaces.

Residents will have access to a resort-style suite of amenities, including a 20-metre pool with daybeds, a gymnasium, hot and cold plunge pools, a sauna, and private residents’ lounge and dining facilities.

<img alt="DVB Projects to commence demolition on $320m Broadbeach luxury tower" data-entity-type="file" data-entity-uuid="d1642bb0-9a66-4427-a022-dfc0988c6287" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/A02_Pool%20to%20View.jpg?VersionId=c0IXPyn_Gp_Kn3XCwzMrqIVkAdCEwVXP" />

Sales agent Todd Matheson, of <a href="https://www.apartments.com.au/project-marketer/pezet-matheson">Pezet Matheson</a>, which is marketing both 137 Old Burleigh Road and Sea Glass, said 137 Old Burleigh Road would address a clear gap in the market for genuine luxury products.

“There are very few opportunities on the Gold Coast where buyers can secure a residence of this size and quality in a new building,” Matheson said.

“What we’re seeing is a growing cohort of downsizers and interstate buyers who still want space - they’re not willing to compromise on living area, entertaining or finishes.

“This project has been designed with that buyer in mind. It offers the scale of a home, combined with the convenience and security of apartment living, in one of the coast’s most desirable positions.”

<img alt="DVB Projects to commence demolition on $320m Broadbeach luxury tower" data-entity-type="file" data-entity-uuid="59aae0ca-5639-4320-8aca-d0bf60f48e43" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/E01_Exterior%20Hero.jpg?VersionId=DS8Zfy2WtgUEtdfe0TEUuf1W1GfcZq8S" />

Located on a 1,156 sqm site one block from the beachfront, the development will replace an ageing walk-up building and is expected to contribute to the ongoing transformation of the Old Burleigh Road strip into one of the Gold Coast’s most prestigious residential corridors.

With the development moving into the delivery phase, 137 Old Burleigh Road is slated to hit the market later this year.

[smartcode_project_cta:default project_id=145141]

DVB Projects to launch second Broadbeach apartment tower as demolition commences

<a data-end="327" data-is-only-node="" data-start="250" href="https://www.apartments.com.au/developers/norus-projects" rel="noopener" target="_new">Norus Developments</a> has lodged plans for a new apartment development in Clayton that would add further momentum to the suburb's emerging Green Street corridor.

Plans have been lodged for the consolidated site at <a href="https://www.apartments.com.au/new-apartments/1359-1365-centre-road-clayton-vic-3168">1359-1365 Centre Road</a>, where Norus is seeking approval for 218 apartments across a 12-storey apartment building designed by <a href="https://www.apartments.com.au/architects/life-architecture-and-urban-design">Life Architecture</a>.

The proposal sits within the Clayton Major Activity Centre at the threshold of the planned Green Street corridor, a landscaped pedestrian connection intended to improve links through the precinct towards Clayton Railway Station.

The development would replace the site's existing collection of low-scale residential and commercial buildings with a single consolidated building, introducing significantly greater housing density to this part of Centre Road.

A retail tenancy is proposed at ground level to activate the Centre Road frontage, accompanied by transparent street interfaces and landscaping intended to create a more pedestrian-focused edge to the development.

<img alt="First look: Norus Developments plans landscape-led apartment project for Clayton’s emerging Green Street" data-entity-type="file" data-entity-uuid="0a5a763a-d9e9-4253-af2f-88008de27ebf" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Clayton%20a.png?VersionId=S2WJJbat1XVkZwB9SnYtygirXgWHiklX" />

The building has been designed with stepped massing and upper-level setbacks to manage its transition towards surrounding residential properties. The planning report describes the approach as one that integrates the building into the landscape rather than treating landscaping as a secondary element.

"A strong landscape and public realm strategy underpins the proposal," Urbis states in the planning report.

"Public benefits include an affordable housing contribution, a new pocket park, generous landscaped setbacks, deep soil planting and integrated Water Sensitive Urban Design."

The report adds that these elements are intended to create "a permeable, pedestrian-focused ground plane that enhances walkability, supports urban cooling and reinforces the emerging Green Street character."

Biophilic and passive design principles extend through the residential levels, with planting, daylight, natural ventilation and views towards landscaped areas forming part of the amenity strategy.

Parking would be concentrated away from the public realm, with 145 car spaces proposed from the rear laneway rather than dominating the Centre Road frontage.

The proposal follows an extensive pre-application process with the City of Monash. Three formal meetings were held between the project team and Council from December 2025 to March 2026, with the scheme evolving through several concept iterations before the current design was lodged.

The project arrives as Clayton prepares for substantial change around its established activity centre and the wider Suburban Rail Loop precinct. Its position on Centre Road places the development within an existing concentration of shops, services and public transport, while the Green Street connection is intended to strengthen pedestrian access towards Clayton Railway Station.

First look: Norus plans landscape-led apartment project for Clayton’s emerging Green Street

<a href="https://www.apartments.com.au/developers/gardner-vaughan-group">Gardner Vaughan Group</a> has officially commenced construction on Bronze on Chevron, celebrating the sod turning of its first-ever Gold Coast development and marking a significant milestone in the company's continued expansion across South East Queensland.&nbsp;

Following the successful delivery of premium residential developments throughout Brisbane and the Sunshine Coast, <a href="https://www.apartments.com.au/new-apartments/bronze-on-chevron-8-mawarra-street-chevron-island-qld-4217">Bronze on Chevron</a> represents Gardner Vaughan Group's entry into the Gold Coast market. Bronze will deliver 119 one, two, three and four-bedroom apartments above two ground-level retail tenancies.

[smartcode_project:default project_id=107520 project_image_fid=367193]

The recent sod turning ceremony was attended by Deputy Mayor Mark Hammel, President of the Surfers Paradise Surf Life Saving Club, Cassandra Sedgman, project consultants, purchasers, project partners and invited guests to celebrate the commencement of construction.&nbsp;

Gardner Vaughan Group Chief Executive Officer Simon Betteridge said Bronze on Chevron represented an exciting new chapter for the business.&nbsp;

"We've spent almost four decades building homes that respond to the way people want to live, and we're excited to bring that experience to <a href="https://www.apartments.com.au/developments/chevron-island-qld-4217">Chevron Island</a>," Betteridge said.

"Bronze on Chevron is particularly significant because it marks Gardner Vaughan Group's first development on the Gold Coast following many successful projects across Brisbane and the Sunshine Coast."

[smartcode_project:default project_id=107520 project_image_fid=367183]

Betteridge said the ground breaking is a proud moment for the&nbsp;team and their purchasers, who can now see their future homes beginning to take shape.&nbsp;

"As both developer and builder, we're able to oversee every aspect of the project from design through to construction, ensuring the quality and attention to detail Gardner Vaughan Group has become renowned for."&nbsp;

Designed by acclaimed architectural practice <a href="https://www.apartments.com.au/architects/cottee-parker-architects">Cottee Parker</a>, Bronze on Chevron has been thoughtfully designed to complement Chevron Island's evolving streetscape while embracing its relaxed coastal lifestyle.

The development will offer generous residences with refined interiors, premium finishes and resort-style amenities, with completion anticipated in early 2029.&nbsp;

[smartcode_project_cta:default project_id=107520]

The development will offer generous residences with refined interiors, premium finishes and resort-style amenities, with completion anticipated in early 2029

Gardner Vaughan Group breaks ground on first Gold Coast development, Bronze on Chevron

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>
While a drop in interest rates is promoted widely as being good news for the housing market, with Wayne Swan bouncing around as if he’s a personal Jiminy Cricket sitting on the shoulders of the board during RBA’s monthly meetings, the bleak reality remains that for savers, many of whom are would-be first-home buyers, the news is not good at all.
Since the beginning of May, cuts of between 65 and 75 basis points have been chopped from the big four’s base rates for online saving accounts, and for many renters balancing work, rental payments and other such necessities, the savings account is perhaps the only area capturing the crumbs in which to advance to ownership.
For property shoppers, it may seem a welcome relief to secure a little more purchasing power – except of course every other property buyer in the market place also benefits.  The resulting increased competition that predictably eventuates in upward pressure on median prices is of no benefit to buyers – only to vendors, who, if keeping up with previous repayments, watch their loans diminish faster and equity appreciate.
Investors fare a little better – they usually fix rates on interest-only terms, which at present are extremely favourable, sitting between 5.29% and 5.69% for two- to five-year terms. Therefore, the recent increase in yields and subsequent tightening of vacancy rates, coupled with the low cost of borrowing and numerous tax incentives, complements a portfolio nicely, making long-term investment in bricks and mortar ever more tempting.
So far, we’ve not seen any significant uplift in sentiment to signify a call to arms from property investors. A further reduction in the value of investment loans – which for the month of August dropped 0.8%(ABS) – also doesn’t indicate sentiment in this sector is improving – although it’s yet to be seen if more positive data emerges after the latest RBA cut in rates.
At the very least, the perception of low rates coupled with the fact that housing affordability is judged to be at its most favourable level since 2003 will force growth in some sectors of the market. The recent release from RP Data citing a national rise of close to 2% over the September quarter in median prices (the strongest quarterly increase since 2010) seems to underline this.
The RBA is all too conscious of the housing bubble risks so often associated with a low interest rate environment. Deputy governor Phillip Lowe said the central bank would be watching “very carefully” for resulting signs.  However, the Treasury have not been so prudish in its commentary, stating boldly it “<a href="https://www.afr.com/p/national/housing_to_the_rescue_as_boom_ends_xuljjEShgcOWBe9C8g70kJ">expects recent interest rate cuts, and the possibility of more, to kick-start the second housing boom in a decade</a>,” It would – Treasury says – be “a natural and desirable development” compensating for any future downturn in the commodity sector.
However, one direct consequence of the previous boom, which locked increasing numbers outside of the housing market, was a national rise of 49.2% in yields over the five-year period to 2011 – outpacing growth in home loan repayments for the same period.  Clearly for the vulnerable homeless sector of our community, another housing boom would not be viewed as both “natural and desirable”.
Recent data from Australian Property Monitors places the median rent for a house in <city>Sydney</city> at $520 a week (a record for the city) – and in <place>Darwin</place> at a lofty $700 per week. And, while property investors look set to reap the benefits, we have a growing rental affordability crisis on our hands.  It’s no wonder crowded houses – with three or more families sharing accommodation – rose nationally by 64% to 48,499 over the past five years.
News this past week that new home construction across the country has hit a 10-year low has inspired state governments to once again busy their hands devising new grants and incentives for the purchase of new property – principally aimed at the first-home buyer sector.
However, you only need glance back at the historical lessons associated with the first-home buyer grants to assess re-introduction, with no analysis of the underlying issues that deter buyers from purchasing new accommodation in grant-free environments, is poor short-term policy.
 
<hr class="system-pagebreak">
 
Following the recent period of inevitable and painful house price correction resulting from the decade-long unsustainable boom, the 2008-09vendors who rushed to purchase using the last round of incentives are still sitting on a pot of <a href="https://www.theaustralian.com.au/news/houses-worth-less-than-loans-on-them/story-e6frg6n6-1226497332060">negative equity</a>.   The “retail sale” mentality that goes hand in hand with rate cuts and generous first-home buyer grants is easily offset by the hangover eventuating from the realisation that any savings were simply added onto the property’s purchase price and therefore, in retrospect, were not as much as perceived when purchased.
Meanwhile back in the camp of our renters and would-be home buyers, not only do they have to battle against the prospect of inevitable rising prices, also hampering any ability to save is the stark reality that Australia’s inching its way up in the “cost of living” ranks, which further compromises any perceived benefit from rate dropping affordability.
A recent survey by Mercer – an organisation claiming to “help clients around the world advance the health, wealth and performance of their most vital asset – their people” – paints a rather worrying outlook for struggling savers.
The index, entitled “Worldwide cost of Living Survey”, covers 214 cities across five continents measuring the comparative cost 200 items including “transport, food, clothing, entertainment” and of course, housing.
Australian cities rank high on the list, with Sydney moving from number 14 in 2011 to number 11 in 2012 and Melbourne moving from number 21 in 2011 to 15 in 2012.  The full breakdown can be viewed here – with the results making a trip to <city>London</city> look comparatively affordable. No matter what wealth bracket you sit within, I doubt anyone would deny <country-region>Australia</country-region> is an expensive place to reside.
Other data highlights the stress low-income families experience while meeting essential needs, and housing is the main contributor.  The Australian Council of Social Service recently released a national report making the bold and astounding call that one in eight people now live in relative poverty.
The analysis of the term “poverty” is defined as those having disposable income of less than half that of the median household (the accepted international definition). This would equal a disposable income of less than $358 per week for a single adult and $752 per week for a couple with two children.
The term poverty is an emotionally fuelled word – it brings up images of third world hunger and refugee camps – conditions we don’t experience here. In addition, a report that suggests such a high proportion of Australian’s live in relative poverty is a poor assessment, as no matter how wealthy <country-region>Australia</country-region> grows, there will always be “relative” poverty.
However, I would challenge anyone to find appropriate accommodation within <country-region>Australia</country-region> for a single-or dual-income family on the income levels cited above. As much as we celebrate the resilience of our housing market with the various economic and employment offshoots, the widening gap between the supply of appropriately located affordable accommodation suited to those in – or just above – the poverty line is huge and shameful.
Private investment does not narrow the gap.  Australian property investors are not in the business of targeting property that can be rented on a dime.  They want quality tenants, market yields and increasing equity. The NRAS (National Rental Affordability Scheme), which was designed to go some way in bridging the affordability gap for low-income workers sitting on the rental ladder, is also flawed in its design.
The scheme targets institutions willing to fund a large supply of residential accommodation available for rent at 20% below current market rates.  The tax benefits offered over a 10-year duration are designed to buffer the short fall in yield.   However, the system is easily manipulated.
Many of the homes set aside for NRAS investors are new properties in outer-suburban zones lacking in facilities and home buyer desirability. Even with a reduction of 20% the rental rates are no cheaper than that of an older home in a similar location.  This is because the rents are assessed 20%below “market rates”, which are always somewhat inflated when dealing with property not previously occupied.
When the scheme was first initiated in 2010, the AHURI (Australian Housing and Urban Research Institute) analysed the project to assess the overall impact in easing affordability. The findings revealed only 40%of applicants using the accommodation had fallen below the 30% “housing stress benchmark”. Claims have also come to light suggesting the scheme is being used by developers and selling agents to take advantage of <a href="https://www.heraldsun.com.au/news/national/national-rental-affordability-scheme-tainted-by-ruse/story-fndo45r1-1226489767612">“unsophisticated investors”</a>. Quite clearly there’s a need for re-evaluation and improvement to the current legislation, and no one should mistakenly believe it’s an answer to an increasing and overwhelming demand for social housing.
All in all, in our current environment of low consumer confidence, high yields, increasing household expenses and potential upward pressure on house prices, further rate cuts are of no help at all to the most venerable in our community, and certainly not the outright answer to building a healthier economy.
So amidst the shouts of good news when/if the RBA cut the cash rate another 25 basis points on Cup Day, someone could perhaps consider the savers and renters who don’t have a mortgage, just a reducing pot of money and consequently, future security.
Catherine Cashmore is a market analyst with extensive experience in all aspects relating to property acquisition.
</body></html>

catherinecashmore-6LXia3pPQj

Interest rate fall bad news for property buyers

<html><body>
Households in Dutton Park, just south of the Brisbane CBD, are spending more than half (54%) of their income on repaying their mortgage, according to analysis of census 2011 data by Brisbane-based firm Resolution Research.
Borrowers are said to be in mortgage stress and at higher risk of defaulting on their mortgage if they spend more than a third of their household income on making monthly mortgage repayments.
Households in <a target="_blank" href="/news">Dutton Park</a>, about four kilometres south of the Brisbane CBD, earn around $4,500 per month and spend nearly $2,200 of this on servicing their mortgages, according to 2011 census data.
This is a 38% increase on the $1,600 they spent on mortgage repayments, according to the 2006 census.
Over the same period, household income has not kept pace with increasing mortgage repayments – five years ago monthly income was just under $3,950, meaning household income has risen only 14% between 2006 and 2011.
Diana Howes, managing director at Resolution Research, says Dutton Park is an example of residents being willing to make sacrifices on big ticket items to be able to afford to live in the suburb.
"Dutton Park is very unique suburb being just a five minute drive to CBD with both city and river views and full of character housing that can't be redeveloped.
"There have been very few changes in its dwelling typology landscape.
"It's a very constrained supply environment – and one of the most desirable suburbs to live in the city."
Howes says Leighton Properties' development of the master-planned Boggo Road Urban Village alongside the heritage-listed Boggo Road Gaol has stimulated price growth.
The median house price in Dutton Park is $745,000 compared with $548,000 in 2007, an increase of 36%, according to RP Data.
Using the same census data, renters pay around $240 per week ($1,080 per month), suggesting renting in Dutton Park is far less of a burden on household finances.
However,  more recent rental data compiled by RP Data suggests rents have risen rapidly in Dutton Park since the census and have almost doubled to $475 per week.
Across Brisbane, Resolution Research found that nearly one in two (49.2%) Brisbane households under or on the verge of household stress spending between 30 and 39% of their median household incomes on mortgage repayments.
This ratio is matched in the sought-after inner-Brisbane market, currently the focus of dozens of new apartment projects.
Mortgage stress is high in <a target="_blank" href="/news">Woolloongabba </a>(44% of household income goes to repaying the mortgage) followed by <a target="_blank" href="/news">St Lucia</a> (41%).
Other mortgage-stressed inner-city suburbs include <a target="_blank" href="/news">South Brisbane</a>, <a target="_blank" href="/news">Hamilton</a>, <a target="_blank" href="/news">Fortitude Valley</a> and <a target="_blank" href="/news">New Farm</a>.
Howes believes that the current definition of housing stress needs to be adjusted.
"Forty percent of income to service a mortgage would be a better guide," she says.
<table cellpadding="0" cellspacing="0" border="0" style="width: 470px;"><tbody>
<tr>
<td width="18%" valign="bottom">
Name
</td>
<td width="10%" valign="bottom">
Household income (w)
</td>
<td width="12%" valign="bottom">
Mortgage repayment (m)
</td>
<td nowrap width="11%" valign="bottom">
Mortgage/
Income
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Dutton  Park
</td>
<td nowrap width="10%" valign="bottom">
$1,004
</td>
<td nowrap width="12%" valign="bottom">
$2,167
</td>
<td nowrap width="11%" valign="bottom">
54%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
West End
</td>
<td nowrap width="10%" valign="bottom">
$1,485
</td>
<td nowrap width="12%" valign="bottom">
$2,597
</td>
<td nowrap width="11%" valign="bottom">
44%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Woolloongabba
</td>
<td nowrap width="10%" valign="bottom">
$1,330
</td>
<td nowrap width="12%" valign="bottom">
$2,200
</td>
<td nowrap width="11%" valign="bottom">
41%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
St Lucia
</td>
<td nowrap width="10%" valign="bottom">
$1,315
</td>
<td nowrap width="12%" valign="bottom">
$2,167
</td>
<td nowrap width="11%" valign="bottom">
41%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Kelvin Grove
</td>
<td nowrap width="10%" valign="bottom">
$1,360
</td>
<td nowrap width="12%" valign="bottom">
$2,123
</td>
<td nowrap width="11%" valign="bottom">
39%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
East Brisbane
</td>
<td nowrap width="10%" valign="bottom">
$1,494
</td>
<td nowrap width="12%" valign="bottom">
$2,167
</td>
<td nowrap width="11%" valign="bottom">
36%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Windsor
</td>
<td nowrap width="10%" valign="bottom">
$1,644
</td>
<td nowrap width="12%" valign="bottom">
$2,383
</td>
<td nowrap width="11%" valign="bottom">
36%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Highgate Hill
</td>
<td nowrap width="10%" valign="bottom">
$1,380
</td>
<td nowrap width="12%" valign="bottom">
$2,000
</td>
<td nowrap width="11%" valign="bottom">
36%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Everton Park
</td>
<td nowrap width="10%" valign="bottom">
$1,346
</td>
<td nowrap width="12%" valign="bottom">
$1,950
</td>
<td nowrap width="11%" valign="bottom">
36%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Annerly
</td>
<td nowrap width="10%" valign="bottom">
$1,385
</td>
<td nowrap width="12%" valign="bottom">
$2,000
</td>
<td nowrap width="11%" valign="bottom">
36%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Bowen Hills
</td>
<td nowrap width="10%" valign="bottom">
$1,458
</td>
<td nowrap width="12%" valign="bottom">
$2,100
</td>
<td nowrap width="11%" valign="bottom">
36%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Coorparoo
</td>
<td nowrap width="10%" valign="bottom">
$1,522
</td>
<td nowrap width="12%" valign="bottom">
$2,151
</td>
<td nowrap width="11%" valign="bottom">
35%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Albion
</td>
<td nowrap width="10%" valign="bottom">
$1,493
</td>
<td nowrap width="12%" valign="bottom">
$2,104
</td>
<td nowrap width="11%" valign="bottom">
35%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Newmarket
</td>
<td nowrap width="10%" valign="bottom">
$1,565
</td>
<td nowrap width="12%" valign="bottom">
$2,200
</td>
<td nowrap width="11%" valign="bottom">
35%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
South Brisbane
</td>
<td nowrap width="10%" valign="bottom">
$1,588
</td>
<td nowrap width="12%" valign="bottom">
$2,210
</td>
<td nowrap width="11%" valign="bottom">
35%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Hamilton
</td>
<td nowrap width="10%" valign="bottom">
$1,894
</td>
<td nowrap width="12%" valign="bottom">
$2,600
</td>
<td nowrap width="11%" valign="bottom">
34%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Fortitude Valley
</td>
<td nowrap width="10%" valign="bottom">
$1,590
</td>
<td nowrap width="12%" valign="bottom">
$2,179
</td>
<td nowrap width="11%" valign="bottom">
34%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
New Farm
</td>
<td nowrap width="10%" valign="bottom">
$1,620
</td>
<td nowrap width="12%" valign="bottom">
$2,200
</td>
<td nowrap width="11%" valign="bottom">
34%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Toowong
</td>
<td nowrap width="10%" valign="bottom">
$1,601
</td>
<td nowrap width="12%" valign="bottom">
$2,167
</td>
<td nowrap width="11%" valign="bottom">
34%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Milton
</td>
<td nowrap width="10%" valign="bottom">
$1,798
</td>
<td nowrap width="12%" valign="bottom">
$2,400
</td>
<td nowrap width="11%" valign="bottom">
33%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Red Hill
</td>
<td nowrap width="10%" valign="bottom">
$1,909
</td>
<td nowrap width="12%" valign="bottom">
$2,500
</td>
<td nowrap width="11%" valign="bottom">
33%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Kangaroo Point
</td>
<td nowrap width="10%" valign="bottom">
$1,679
</td>
<td nowrap width="12%" valign="bottom">
$2,167
</td>
<td nowrap width="11%" valign="bottom">
32%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Morningside
</td>
<td nowrap width="10%" valign="bottom">
$1,696
</td>
<td nowrap width="12%" valign="bottom">
$2,167
</td>
<td nowrap width="11%" valign="bottom">
32%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Herston
</td>
<td nowrap width="10%" valign="bottom">
$1,698
</td>
<td nowrap width="12%" valign="bottom">
$2,167
</td>
<td nowrap width="11%" valign="bottom">
32%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Spring Hill
</td>
<td nowrap width="10%" valign="bottom">
$1,613
</td>
<td nowrap width="12%" valign="bottom">
$2,058
</td>
<td nowrap width="11%" valign="bottom">
32%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Paddington
</td>
<td nowrap width="10%" valign="bottom">
$2,074
</td>
<td nowrap width="12%" valign="bottom">
$2,557
</td>
<td nowrap width="11%" valign="bottom">
31%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Balmoral
</td>
<td nowrap width="10%" valign="bottom">
$2,044
</td>
<td nowrap width="12%" valign="bottom">
$2,500
</td>
<td nowrap width="11%" valign="bottom">
31%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Fairfield
</td>
<td nowrap width="10%" valign="bottom">
$1,525
</td>
<td nowrap width="12%" valign="bottom">
$1,863
</td>
<td nowrap width="11%" valign="bottom">
31%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Auchenflower
</td>
<td nowrap width="10%" valign="bottom">
$1,795
</td>
<td nowrap width="12%" valign="bottom">
$2,167
</td>
<td nowrap width="11%" valign="bottom">
30%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Hawthorne
</td>
<td nowrap width="10%" valign="bottom">
$2,101
</td>
<td nowrap width="12%" valign="bottom">
$2,500
</td>
<td nowrap width="11%" valign="bottom">
30%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Grange
</td>
<td nowrap width="10%" valign="bottom">
$2,097
</td>
<td nowrap width="12%" valign="bottom">
$2,375
</td>
<td nowrap width="11%" valign="bottom">
28%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Norman Park
</td>
<td nowrap width="10%" valign="bottom">
$2,110
</td>
<td nowrap width="12%" valign="bottom">
$2,383
</td>
<td nowrap width="11%" valign="bottom">
28%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Ashgrove
</td>
<td nowrap width="10%" valign="bottom">
$2,083
</td>
<td nowrap width="12%" valign="bottom">
$2,340
</td>
<td nowrap width="11%" valign="bottom">
28%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Newstead
</td>
<td nowrap width="10%" valign="bottom">
$2,480
</td>
<td nowrap width="12%" valign="bottom">
$2,766
</td>
<td nowrap width="11%" valign="bottom">
28%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Bardon
</td>
<td nowrap width="10%" valign="bottom">
$2,287
</td>
<td nowrap width="12%" valign="bottom">
$2,492
</td>
<td nowrap width="11%" valign="bottom">
27%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
The Gap
</td>
<td nowrap width="10%" valign="bottom">
$1,937
</td>
<td nowrap width="12%" valign="bottom">
$2,100
</td>
<td nowrap width="11%" valign="bottom">
27%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Bulimba
</td>
<td nowrap width="10%" valign="bottom">
$2,410
</td>
<td nowrap width="12%" valign="bottom">
$2,600
</td>
<td nowrap width="11%" valign="bottom">
27%
</td>
</tr>
<tr>
<td nowrap width="18%" valign="bottom">
Wilston
</td>
<td nowrap width="10%" valign="bottom">
$2,049
</td>
<td nowrap width="12%" valign="bottom">
$2,167
</td>
<td nowrap width="11%" valign="bottom">
26%
</td>
</tr>
</tbody></table>
Source: Resolution Research
Dutton Park photograph courtesy of <a target="_blank" href="https://www.flickr.com/">Flickr</a>.
This article is under dispute, <a target="_blank" href="https://www.propertyobserver.com.au/queensland/dutton-park-mortgage-stress-debate-continues-as-resolution-research-stands-by-figures/2012112157971">as property analyst Michael Matusik has disagreed with its findings.</a>
 
</body></html>

lschlesinger-FZcF9M3vE6

Aspirational Dutton Park tops list of 19 mortgage-stressed inner-Brisbane suburbs 

<html><body>
Nine out of 27 economists polled by Bloomberg expect the cash rate to fall to 2.75% in the first three months of 2012, the lowest it would be for RBA data going back to June 1959.
The RBA does not meet in January, so this would mean a further RBA cash rate cut in either February or March, assuming the RBA, as expected, cuts the cash rate on Melbourne Cup Day to 3%.
For data going back to January 1990, the lowest the cash rate has been 3%, from April 2009 to October 2009, following big cuts by the RBA to temper the emergency effects of the GFC.
Prior to 1990 the Reserve Bank did not publish an official cash rate setting,  but historical proxy data going back to June 1959 shows the cash rate fell to its previous lowest point of 2.89% in January 1960.
The expectation of the cash rate reaching a 52-year low was pointed out by <a href="/news">Business Spectator columnist and economist Stephen Koukoulas last week</a>.
Among the economists tipping the cash rate to fall to 2.75% in the first quarter of 2013 is Westpac chief economist Bill Evans, who is the first economist to correctly tip the RBA to begin cutting the cash rate in November last year.
In an economic update published last week following the release of the October RBA minutes, Evans indicated there was still scope for at least another 50 basis points of rate cuts, starting with one in November.
He said Westpac assesses that "the current policy stance while clearly in the stimulatory zone is still only around 70 basis points below neutral.
"Previous easing cycles have bottomed out in the 125-150 basis point range below neutral," said Evans.
Aside from Evans and Koukoulas,  the seven other economist tipping the cash rate to fall to 2.75% in either February or March are economists from London-based research consultancy 4Cast Ltd, French bank BNP Paribas, Citi, investment banks J.P. Morgan, Merrill Lynch and RBC Capital Markets and RBS  Equities (Royal Bank of Scotland).
Photograph courtesy of <a target="_blank" href="https://www.flickr.com/">Flickr</a>.
</body></html>

With 50-basis-point cut expectations, nine economists expect lowest cash rate since late 1950s

<html><body>
When the RBA dropped the cash rate to 3.25% almost three weeks ago, mortgage holders were happy, but retirees and savers missed out.
While mortgage holders stood to save about $38 a month on a $300,000 variable rate loan, there are numerically more Australians saving their money and relying on the yield from those savings than there are people borrowing for a home loan.
The people who have their money in cash savings products are relying on interest rates to sustain them. But the Reserve Bank wants to stimulate the economy so it reduces the cost of money to get people to borrow and spend.
The current situation is poised to create terrible pressure on retirees and those close to retirement, because most economists expect inflation to rise again. Inflation is currently low (around 2%) but its average since 1983 is really 3%.
Economists know that inflation always comes back to trend, and when it does it will be in this context: the online savings accounts, bonus savers and term deposits are yielding in the range of 3% to 4.5%.
So if inflation comes back to around 3% – at time when the RBA is still holding the cash rate around 3% – then the safest forms of saving are not going to produce the income that retirees need.
The first thing to do is assess whether you are getting expert advice. If you have an adviser, call and tell them that you don’t want to be caught between rising inflation and a falling cash rate, and schedule an appointment.
If you’re DIY, then you have to start searching for cash products that take you up the return curve while not taking you too far along the risk axis.
If you want the high yields, you will be typically looking at bank term deposits and online savings accounts, which are safe and can earn up to 2.5 percentage points over inflation.
There are tricks to these. The online “bonus” savers often pay their high rates for the first four to six months, or they punish you for taking money out in any month, or they punish you for not putting money in.
Terms deposits are more straightforward in the rates they pay, but they are inflexible.
Into this environment are creeping high-yield “hybrid” products, some of which are offering yields of 7%.
They seem to be products of the cash variety, but many of them include equity features that expose you to loss.
The problem with these investments that look like cash – but are not really – is that the yields are variable and there is a risk of losing your capital. At which point, you are missing out on the main benefit of a “cash” investment: the safety of it.
There are good cash products with high yields in the current market – do you homework and make sure you know what you’re investing in.
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.
</body></html>

mbouris-tauSvXGAM2

Low interest rates to put terrible pressure on retirees

<html><body>
When it comes to demonstrating genuine deposit savings as part of the home loan application process, some borrowers see it as an inconvenience.  Lenders, however, have a different view.
Proof of a savings pattern will not only illustrate to the lender the borrower’s ability to consistently set aside funds for a specific purpose, it demonstrates the borrower's preparedness for what will most  likely be a large monthly commitment.  This preparation is most important for first-time buyers who are unlikely to have been exposed to high ongoing monthly repayments.
Most lenders these days will require a home buyer, particularly a first-home buyer, to demonstrate genuine savings when obtaining a mortgage; this is usually applicable if they are borrowing more than 85% of the value of the property being purchased. This is traditionally demonstrated by providing at least three months of bank account statements in the applicants name showing they have accumulated the cash equity required to complete the purchase.
Lenders will scrutinise these statements to ensure that the borrower has demonstrated some kind of savings pattern and pay particular attention to lump sum deposits, to ensure that these are not gifted or borrowed funds.
It is quite common for parents to assist their children in purchasing their first home. If this is the case and the parent’s contribution is an unconditional gift to their child and not a repayable loan, a statutory declaration can be completed and used as support documentation for the loan.  It is important to note, however, that the lender may still require the applicants to demonstrate a minimum of 5% of their own genuine savings to contribute toward the transaction.
Less common is the instance where a parent or guardian may loan the applicant a sum of money to assist in the purchase of the property. In this case, the lender may still require the applicant to contribute a minimum of 5% of their own genuine savings to the purchase, but other criteria may also apply.  The lender may ask for a statutory declaration from the person making the loan outlining the terms of the loan inclusive of the regular repayment amount.  During the assessment process the lender will ensure that the borrower can afford to meet their future home loan commitments as well as all other commitments (including repayment to the parent or guardian), without incurring hardship.
It’s essential for first-time buyers to seek guidance in relation to lending criteria early in the home buying journey.  This will ensure there are no surprises or impediments when you are ready to buy.  Meeting all the requirements of the lender will ensure a smooth pathway to home ownership.
Lisa Montgomery is CEO of <a href="https://www.resi.com.au/" target="_blank">Resi Mortgage Corporation.</a>
</body></html>

lmontgomery-WVTjxSibz6

What first-time buyers require to secure a mortgage

<html><body>
Boutique fund manager Ausbil Dexia has fallen into line and is now among 23 out of 27 economists tipping the RBA to cut the cash rate to 3% on Melbourne Cup Day, November 6.
In Bloomberg's October 12 survey of econ0mists, Ausbil Dexia was the only Australian-based financial institution tipping the RBA to leave the cash rate on hold at 3.25% in November, along with overseas-based institutions Capital Economics, Goldman Sachs, J.P. Morgan and Moody's Economy.com.
In the latest survey (October 19) Moody's has joined Ausbil Dexia in changing its expectation from a rate hold to a rate cut on Melbourne Cup Day, with Capital Economics, Goldman Sachs, J.P. Morgan and now also Deutsche Bank tipping the RBA to leave the cash rate unchanged on November 6.
According to its website Ausbil Dexia is an "Australian equities specialist with approximately $11 billion in funds under management".
The firm was established in April 1997.
It's core business is the management of "Australian equities and emerging leader investment portfolios for major superannuation funds, institutional investors and master trust clients".
The firm is headed by chief executive Paul Xiradis, who has 30 years of experience in funds management including roles at Westpac, Delfin and Mercantile &amp; General Reinsurance Group.
Ausbil's chief economist is John Honan who has worked for the Federal Treasury in Canberra and also held the position of chief economist for the NSW Treasury Corp.
Attempts to contact the fund were not successful, however in its most recent October Economic Observer, the firm remarks that the recent fall in commodity prices will continue to result in a deterioration in the terms of trade and "translate into an income shock to Australia, the expected impact of which we have already seen manifest in the October RBA rate cut".  
"In addition to this reduction, futures markets are pricing in another 0.75% worth of cuts over the next six months," Ausbil Dexia notes.
"The benefits of a lower official rate and Australian dollar should however be felt across the non-resources sectors of the economy; in particular the likes of tourism, housing and retail spending.  
"This signals the beginning of an inflection point where we expect the two-speed economy to converge into a more balanced one speed economy – resources contracting from high levels of growth whilst non-resources to improve from moderate levels of growth."
</body></html>

Odd one out, fund manager Ausbil Dexia joins Australian economists tipping Melbourne Cup Day rate cut: Bloomberg

<html><body>
Reductions in fixed mortgage rates have not kept pace with variable-rate cuts since the RBA started cutting the cash rate in November last year and have further to fall, according to analysis by mortgage comparison website Mozo.com.au.
Its research reveals that the major banks have cut their standard variable rates by an average of 116 basis points between November 2011 and October 2012 but average one-year fixed rates have only fallen by 96 basis points and average three-year fixed by 94 basis points.
As the Greater Building Society announced its one-year fixed rate would fall below 5% from tomorrow (4.99%), Mozo's Peter Marshall told Property Observer fixed rates “still have some way to fall”.
“Fixed rates have fallen swiftly in the last few months in particular, but they have still not fallen as much as variable since November," says Marshall, product data manager at Mozo.
“And most analysts agree there are more cuts coming through from the RBA,” he says.
Marshall expects lenders to continue to cut fixed rates over the next week or so.
He says it currently makes “very good sense" to consider splitting your loan between fixed and variable products.
“Some lenders will do a sharper fixed rate if you only fix up to 50% of your loan."
He says currently, non-bank lender eMoney  is offering a three year fixed-rate of 5.25% but only if you fixed up to half the loan.
“It’s a really good strategy as you get some benefit if rates fall, but but no repayment shocks”
Marshall also says it pays to look around beyond the major banks.
On average the big four have cheaper fixed rates than other banks, mutuals and non-bank lenders, but when you drill down to individual lenders, the major banks don’t compete.
“There are plenty of other providers offering lower rates,” he says, providers borrowers are happy with a non-big brand lender.
“For borrowers wanting the security of a major lender, it’s worth looking at UBank, owned by NAB and the same goes for Bankwest, owned by Commonwealth Bank.
“You get the confidence of a major lender without having to pay for the privilege."
Changes in rates while the RBA has cut the cash rate by 150 basis points, from November 1, 2011 to October 18, 2012 
<table border="0" cellspacing="0" cellpadding="0" width="389"><tbody>
<tr>
<td valign="bottom" width="125" nowrap>
 
</td>
<td valign="bottom" width="264" colspan="3" nowrap>
Average SVR
</td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap>
Provider type
</td>
<td valign="bottom" width="93" nowrap>
1/11/2011
</td>
<td valign="bottom" width="104" nowrap>
18/10/2012
</td>
<td valign="bottom" width="66" nowrap>
Change
</td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap>
Big 4 banks
</td>
<td valign="bottom" width="93" nowrap>
7.78
</td>
<td valign="bottom" width="104" nowrap>
6.62
</td>
<td valign="bottom" width="66" nowrap>
-1.16
</td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap>
Other banks
</td>
<td valign="bottom" width="93" nowrap>
7.70
</td>
<td valign="bottom" width="104" nowrap>
6.63
</td>
<td valign="bottom" width="66" nowrap>
-1.07
</td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap>
Mutuals
</td>
<td valign="bottom" width="93" nowrap>
7.51
</td>
<td valign="bottom" width="104" nowrap>
6.40
</td>
<td valign="bottom" width="66" nowrap>
-1.11
</td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap>
Non-bank lenders
</td>
<td valign="bottom" width="93" nowrap>
7.01
</td>
<td valign="bottom" width="104" nowrap>
5.98
</td>
<td valign="bottom" width="66" nowrap>
-1.03
</td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap></td>
<td valign="bottom" width="93" nowrap></td>
<td valign="bottom" width="104" nowrap></td>
<td valign="bottom" width="66" nowrap></td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap></td>
<td valign="bottom" width="93" nowrap></td>
<td valign="bottom" width="104" nowrap></td>
<td valign="bottom" width="66" nowrap></td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap>
 
</td>
<td valign="bottom" width="264" colspan="3" nowrap>
Average 1 yr fixed
</td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap>
Provider type
</td>
<td valign="bottom" width="93" nowrap>
1/11/2011
</td>
<td valign="bottom" width="104" nowrap>
18/10/2012
</td>
<td valign="bottom" width="66" nowrap>
Change
</td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap>
Big 4 banks
</td>
<td valign="bottom" width="93" nowrap>
6.49
</td>
<td valign="bottom" width="104" nowrap>
5.53
</td>
<td valign="bottom" width="66" nowrap>
-0.96
</td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap>
Other banks
</td>
<td valign="bottom" width="93" nowrap>
6.65
</td>
<td valign="bottom" width="104" nowrap>
5.66
</td>
<td valign="bottom" width="66" nowrap>
-0.99
</td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap>
Mutuals
</td>
<td valign="bottom" width="93" nowrap>
6.48
</td>
<td valign="bottom" width="104" nowrap>
5.68
</td>
<td valign="bottom" width="66" nowrap>
-0.80
</td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap>
Non-bank lenders
</td>
<td valign="bottom" width="93" nowrap>
6.50
</td>
<td valign="bottom" width="104" nowrap>
5.79
</td>
<td valign="bottom" width="66" nowrap>
-0.71
</td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap></td>
<td valign="bottom" width="93" nowrap></td>
<td valign="bottom" width="104" nowrap></td>
<td valign="bottom" width="66" nowrap></td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap>
 
</td>
<td valign="bottom" width="264" colspan="3" nowrap>
Average 3 yr fixed
</td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap>
Provider type
</td>
<td valign="bottom" width="93" nowrap>
1/11/2011
</td>
<td valign="bottom" width="104" nowrap>
18/10/2012
</td>
<td valign="bottom" width="66" nowrap>
Change
</td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap>
Big 4 banks
</td>
<td valign="bottom" width="93" nowrap>
6.49
</td>
<td valign="bottom" width="104" nowrap>
5.55
</td>
<td valign="bottom" width="66" nowrap>
-0.94
</td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap>
Other banks
</td>
<td valign="bottom" width="93" nowrap>
6.61
</td>
<td valign="bottom" width="104" nowrap>
5.63
</td>
<td valign="bottom" width="66" nowrap>
-0.98
</td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap>
Mutuals
</td>
<td valign="bottom" width="93" nowrap>
6.53
</td>
<td valign="bottom" width="104" nowrap>
5.70
</td>
<td valign="bottom" width="66" nowrap>
-0.83
</td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap>
Non-bank lenders
</td>
<td valign="bottom" width="93" nowrap>
6.53
</td>
<td valign="bottom" width="104" nowrap>
5.76
</td>
<td valign="bottom" width="66" nowrap>
-0.77
</td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap></td>
<td valign="bottom" width="93" nowrap></td>
<td valign="bottom" width="104" nowrap></td>
<td valign="bottom" width="66" nowrap></td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap></td>
<td valign="bottom" width="93" nowrap></td>
<td valign="bottom" width="104" nowrap></td>
<td valign="bottom" width="66" nowrap></td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap>
 
</td>
<td valign="bottom" width="264" colspan="3" nowrap>
Average 5 yr fixed
</td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap>
Provider type
</td>
<td valign="bottom" width="93" nowrap>
1/11/2011
</td>
<td valign="bottom" width="104" nowrap>
18/10/2012
</td>
<td valign="bottom" width="66" nowrap>
Change
</td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap>
Big 4 banks
</td>
<td valign="bottom" width="93" nowrap>
7.00
</td>
<td valign="bottom" width="104" nowrap>
5.85
</td>
<td valign="bottom" width="66" nowrap>
-1.15
</td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap>
Other banks
</td>
<td valign="bottom" width="93" nowrap>
7.07
</td>
<td valign="bottom" width="104" nowrap>
6.06
</td>
<td valign="bottom" width="66" nowrap>
-1.01
</td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap>
Mutuals
</td>
<td valign="bottom" width="93" nowrap>
6.96
</td>
<td valign="bottom" width="104" nowrap>
6.15
</td>
<td valign="bottom" width="66" nowrap>
-0.81
</td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap>
Non-bank lenders
</td>
<td valign="bottom" width="93" nowrap>
7.03
</td>
<td valign="bottom" width="104" nowrap>
6.39
</td>
<td valign="bottom" width="66" nowrap>
-0.64
</td>
</tr>
<tr>
<td valign="bottom" width="125" nowrap></td>
<td valign="bottom" width="93" nowrap></td>
<td valign="bottom" width="104" nowrap></td>
<td valign="bottom" width="66" nowrap></td>
</tr>
<tr>
<td valign="bottom" width="219" colspan="2" nowrap>
 
Source: mozo.com.au
</td>
<td valign="bottom" width="104" nowrap></td>
<td valign="bottom" width="66" nowrap></td>
</tr>
</tbody></table>
</body></html>

More room for fixed rates to fall and better deals outside major banks: Mozo

<html><body>
The Greater Building Society has cut its one year fixed-rate packaged home loan by 30 basis points to 4.99%.
This is the only home loan offering currently below 5% and the first time a home loan from The Greater had been under 5% since July 2009.
The mutual lender has also cut its three and five year fixed-rates by 15 points to 5.34% and 5.54% respectively.
Product manager David Bryde says this gives The Greater the lowest home loan rate in Australia.
The new rates are effective tomorrow and open to both new and existing customers.
The new fixed rates are offered as part of  The Greater’s Ultimate Home Loan home loan package which includes a fee free transaction account, discounted insurance, financial planning, and a linked credit card with waived annual fee.
Current cheapest one-year fixed rate loans
<table style="width: 470px;" border="0" cellspacing="0" cellpadding="0">
<colgroup>
<col width="173">
<col>
<col width="369">
<col>
<col width="60">
<col>
</colgroup>
<tbody>
<tr height="21">
<td height="21" width="173">1 year fixed rates</td>
<td width="369"></td>
<td width="60"></td>
</tr>
<tr height="21">
<td height="21">Provider</td>
<td>Product</td>
<td>Rate %</td>
</tr>
<tr height="21">
<td height="21">Greater Building Society</td>
<td>Fixed Rate Home Loan (Ultimate Home Loan Package)</td>
<td>4.99</td>
</tr>
<tr height="21">
<td height="21">My Mortgage Freedom</td>
<td>Fixed Rate (LVR 75%-90%)</td>
<td>5.09</td>
</tr>
<tr height="21">
<td height="21">QT Mutual Bank</td>
<td>Fixed Rate (Choices)</td>
<td>5.29</td>
</tr>
<tr height="21">
<td height="21">Greater Building Society</td>
<td>Fixed Great Rate Home Loan</td>
<td>5.34</td>
</tr>
<tr height="21">
<td height="21">Morgan Brooks Direct</td>
<td>Fixed Rate Home Loan</td>
<td>5.34</td>
</tr>
<tr height="21">
<td height="21">NAB</td>
<td>Tailored Home Loan (Choice Package)</td>
<td>5.34</td>
</tr>
</tbody>
</table>
Source: Mozo
</body></html>

Greater Building Society cuts one-year fixed home loan to 4.99%

<html><body>
The benchmark RBA cash rate will be at its lowest point since 1960 should the cash rate fall to 2.75% by March 2013, as is being priced by futures markets, Business Spectator columnist and economist Stephen Koukoulas has tweeted today.
<a target="_blank" href="https://twitter.com/TheKouk"><img src="/images/stories/2012/10/kouktweet4.jpg"></a>
Koukoulas, who heads up consultancy Market Economics and is a former economic adviser to the Gillard government, is tipping the cash rate to be cut by 25 basis points on Melbourne Cup Day next month and then another rate cut in the first quarter of 2013.
The RBA has only been publishing an official cash rate since August 1990 and a cash rate range since January 1990.
Prior to 1990 the Reserve Bank did not publish an official cash rate setting, so cash rate measures prior to this date are proxies of the current measure.
Historical proxy data going back to June 1959 shows the cash rate fell to its previous lowest point of 2.89% in January 1960.
“The Reserve Bank previously used other measures of the short-term interest rates as its tool of monetary policy,” explains the RBA.
“However, prior to 1990 monetary policy was not targeting inflation as it does now. In that way, the rates before 1990 do not reflect the same focus of policy.”
</body></html>

Cash rate heading for 52-year low, says Stephen Koukoulas: Tweet of the day

<html><body>
The odds are fairly long on getting a better mortgage deal by taking out a fixed-rate home loans, real estate group First National has tweeted today, quoting an “undisclosed banking source”.
The real estate network's official news channel tweeted:
<a href="https://twitter.com/RealEstateCast" target="_blank"><img src="/images/stories/2012/10/fntweet.jpg"></a>
It comes as banks continue to cut their fixed-rate home loans to entice borrowers to fix their home loan.
Fixed-rate borrowers are better off if interest rates rise over the term of their loan but can be worse if rates fall over the term of their loan.
The federal government ban on exit fees does not apply to fixed-rate home loans.
</body></html>

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