<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>
Western Sydney, parts of the New South Wales coast, south-east Queensland and parts of Melbourne are the areas of highest mortgage vulnerability and also where a “higher-than-average share of borrowers are experiencing some degree of financial stress,” says the RBA in its September Financial Stability Review.
It also warns of a rise in arrears in Melbourne due to an oversupply of inner-city apartments.
“According to the 2011 census, the geographic regions that had the highest incidence of potential mortgage vulnerability, as measured by the share of households that had high debt- servicing ratios (DSRs) and were in the lowest 40 per cent of the income distribution, were western Sydney, parts of the New South Wales coast, south-east Queensland and parts of Melbourne,” notes the RBA.
<img src="/images/stories/2012/09/rbasept25.gif">
The RBA says that arrears on securitised loans suggest that some of the same regions have a “higher-than-average share of borrowers experiencing some degree of financial stress, although even in these regions, arrears rates have generally declined over the past year “
“They include parts of Sydney’s western suburbs, where arrears rates have been high for some time, as well as regions that rely on tourism, a sector that has been under pressure more recently from the high exchange rate.
“This second group of regions includes areas of Queensland, particularly around the Gold Coast and Sunshine Coast, and some coastal areas of New South Wales and Western Australia.
“Many of the loans in arrears in these regions were originated in the few years leading up to the crisis, when housing prices in these areas were still growing quickly and construction was relatively strong."
The report also warns that arrears rates on housing loans in Victoria, which are currently “quite low” could rise, due to a “potential oversupply of property in some segments, particularly inner-city Melbourne apartments and houses at the south-eastern fringe”.
“Overall, the Melbourne residential property market has been experiencing below-average auction clearance rates and a run-up in the stock of land for sale at the same time as actual sales fell; these factors could weigh on prices in the future.”
However, the report also notes that the risk profile of new housing loans has been lower in recent years compared with the earlier period of strong growth in household borrowing.
“Lending standards are tighter now than prior to the financial crisis, and liaison with the major banks indicates that they have been broadly unchanged over the past six months.
“The share of bank lending that is low-doc remains low, at less than 2% of banks’ loan approvals and around 5% of outstanding housing credit."
</body></html>

lschlesinger-FZcF9M3vE6

South-west Sydney mortgage borrowers lead RBA's 15 most vulnerable localities

<html><body>
Westpac subsidiary St George Bank has cut its three-year fixed home loan rate by 10 basis points to 5.49% per annum following last week’s cut to its fixed rates for one and two-year home loans.
The new three-year fixed home loan rate is available under its St George's Advantage Package offering and is effective from today.
St George offers its one- and two-year fixed rates at 5.49% per annum and offers a rate of 5.89% per annum for four- and five-year fixed home loans under the Advantage Package.
The bank now offers the lowest fixed rates in the market, when compared with the big four banks for fixed home loans from one to five years' duration.
<a href="/news">Yesterday Westpac announced cuts to its fixed-rate home loan offerings</a> under its Premier Advantage Package, with its three-year fixed loan reducing 0.1 percentage points to 5.54%.
 
<ul style="font-size: 14.545454025268555px;"></ul>
</body></html>

St George Bank cuts three-year fixed-rate mortgage to 5.49% per annum

<html><body>
The Reserve Bank has no choice but to join the currency debasement contest that’s now going on around the world, and to cut rates by another 1 percentage point in the coming 12 months – including 0.5 percentage points by the end of the year.
The Australian dollar is in a 'no lose' situation: when Western central banks launch asset buying programs, as the central banks of the US, Europe, UK and Japan have all done lately, the 'risk on' environment sees the Aussie rise as a result of fund buying; but Australia’s AAA status and relatively high yield makes it a preferred safe haven as well, especially for other central banks.
Last week the RBA published a list of 16 global central banks that have been buying Australian dollars as part of their diversification strategy, including Russia, Brazil, Korea and Switzerland. On Thursday the Philippines was added to the list.
The result is that as the Chinese economy slows, commodity prices fall and with them Australia’s terms of trade, while the exchange rate has remained stubbornly above 104 US cents.
In other words, the dollar’s unique status as risk asset for hedge funds and safe haven for central banks means that it is no longer doing its usual job of buffering the Australian economy from an Asian or global downturn, as it did in 2001 and 2008.
This morning it is trading at 104.5 US cents, having slipped from its post-third-quarter high of 106.26.
What to do? Well, in March, when the dollar touched 108, the RBA started to sell more dollars than usual and talked the currency down.
Then on May 1, with the dollar still above 104, it shocked the market with a bigger than expected cut of 50 basis points and followed up with another 25 points in June. The dollar instantly fell to 103.3 on May 1 and then kept falling, bottoming at just below 97 US cents a month later before climbing to 106 in August on the back of speculation about European and US quantitative easing programs.
Since then the risk-on trade, the interest differential and central bank diversification has kept it above 104.
 
<hr class="system-pagebreak">
 
The RBA must cut again in October, and possibly by another 50 basis points to shock the markets once more. It also needs to do a bit more Australian dollar selling than usual, although not enough to trigger suggestions that it’s 'intervening' in the currency (can’t have that!).
Certainly the cash rate needs to be significantly lower than it is now by this time next year.
In essence it seems that the world’s central banks are working hard to debase their currencies as an alternative to a trade war. That may not be the primary intention of their quantitative easing and zero interest rate strategies, but it’s definitely an intended consequence.
The US, Europe, UK and Japan are all desperately keen to prop up, and if possible grow, net exports because of weak domestic employment. Some central banks are intervening directly in their currencies, others are settling for printing money to reduce its value.
For years now, the RBA has been talking about the inevitable “painful structural adjustment” as a result of the high terms of trade and currency.
But what if the terms of trade go back down and the currency doesn’t?
The fact that hedge funds and other central banks like the Aussie anyway should not be allowed to continue the painful structural adjustment for Australia’s export industries even as their export prices and volumes fall as well.
The result would not be structural adjustment, but disaster.
This article originally appeared on <a href="https://www.businessspectator.com.au/" target="_blank">Business Spectator.</a>
</body></html>

akohler-TyLfJGrMb8

The RBA must cut the cash rate by 100 basis points by next year

<html><body>
The federal government’s Australian Office of Financial Management (AOFM) has defended itself against claims that it bought fraudulent, high-risk low-doc loans with taxpayers’ money.
Since November 2008 the AOFM has invested in residential mortgage-backed securities worth $11 billion under a government program to maintain competition in mortgage lending.
The program was set up in the wake of the GFC, when non-bank lenders and other smaller lenders could no longer sell their packages of home loans to offshore investors – a process known as securitisation.
The claims against the AOFM were levelled as part of submissions made to the Senate Inquiry into the post-GFC banking sector, where public hearings resuming on Friday in Canberra.
Giving testimony to the inquiry on Friday, AOFM chief executive Rob Nicholl said there were “no 'sub-prime' loans amongst the mortgages underpinning the RMBS in which the AOFM has invested”.
Nicholl said the AOFM had taken a conservative approach to mortgage investments and had only participated in one transaction where the share of low-doc loans was greater than 10% of the underlying pool of mortgages.
In this case, the AOFM only invested $10 million, “of which over half has been repaid without incident”.
In total, Nicholl says low-doc loans account for less than 2% of all the loans it has invested in through the government scheme, with lenders required to insure themselves against the risk of borrowers defaulting.
In a worse-case scenario, only 0.5% of the AOFM’s investments would be at risk, Nicholl says.
The AOFM’s $11 billion worth of mortgage investments are part of a total pool of mortgages worth $25 billion (the AOFM acted as cornerstone investor) – of  which $400 million are sub-prime loans, reported Fairfax Media journalist Clancy Yeates.
 
</body></html>

Government mortgage financier not exposed to low-doc risk: AOFM chief executive

<html><body>
While the RBA held firm on the cash rate in August and September, eight lenders on the RateCity.com.au database have reduced interest rates on a total of 12 variable rate mortgage products.
The rate cuts have been introduced on a range of variable-rate products, including standard variable, basic variable, introductory variable and special variable rate offerings.
Non-bank lenders Hemisphere Financial (backed by Resimac) and Resi Mortgage Corporation have reduced rates on three of their variable-rate products.
Other lenders to reduce variable-rate offerings include Bankwest, credit union ECU Australia and non-bank lender State Custodians.
The rate cuts range from 2 basis points to 25 basis points:
<table cellpadding="0" cellspacing="0" border="1" style="width: 470px;"><tbody>
<tr>
<td width="93">
Company
</td>
<td width="123">
Product
</td>
<td valign="bottom" width="123">
Type
</td>
<td width="94">
Current Rate
</td>
<td valign="bottom" width="76">
Rate at Aug RBA meeting 
</td>
</tr>
<tr>
<td width="93">
Hemisphere Financial
</td>
<td width="123">
Alt Doc Loan
</td>
<td valign="bottom" nowrap width="123">
Standard Variable
</td>
<td width="94">
6.49%
</td>
<td valign="bottom" nowrap width="76">
6.74%
</td>
</tr>
<tr>
<td width="93">
Hemisphere Financial
</td>
<td width="123">
Quickstart Loan
</td>
<td valign="bottom" nowrap width="123">
Standard Variable
</td>
<td width="94">
6.39%
</td>
<td valign="bottom" nowrap width="76">
6.64%
</td>
</tr>
<tr>
<td width="93">
ECU Australia
</td>
<td width="123">
Introductory Home Loan 1 yr
</td>
<td valign="bottom" nowrap width="123">
Intro Variable
</td>
<td width="94">
5.94%
</td>
<td valign="bottom" nowrap width="76">
6.19%
</td>
</tr>
<tr>
<td width="93">
Hemisphere Financial
</td>
<td width="123">
Home Loan
</td>
<td valign="bottom" nowrap width="123">
Standard Variable
</td>
<td width="94">
6.09%
</td>
<td valign="bottom" nowrap width="76">
6.34%
</td>
</tr>
<tr>
<td width="93">
RESI Mortgage Corp
</td>
<td width="123">
FlexiFix Pro Revert
</td>
<td valign="bottom" nowrap width="123">
Special/Other Variable
</td>
<td width="94">
6.06%
</td>
<td valign="bottom" nowrap width="76">
6.27%
</td>
</tr>
<tr>
<td width="93">
Bankwest
</td>
<td width="123">
Mortgage Shredder Intro Variable 1 yr
</td>
<td valign="bottom" nowrap width="123">
Intro Variable
</td>
<td width="94">
5.78%
</td>
<td valign="bottom" nowrap width="76">
5.98%
</td>
</tr>
<tr>
<td width="93">
Rate Busters
</td>
<td width="123">
Ultimate
</td>
<td valign="bottom" nowrap width="123">
Standard Variable
</td>
<td width="94">
5.82%
</td>
<td valign="bottom" nowrap width="76">
6.01%
</td>
</tr>
<tr>
<td width="93">
RESI Mortgage Corp
</td>
<td width="123">
FlexiFix Revert
</td>
<td valign="bottom" nowrap width="123">
Special/Other Variable
</td>
<td width="94">
6.06%
</td>
<td valign="bottom" nowrap width="76">
6.16%
</td>
</tr>
<tr>
<td width="93">
RESI Mortgage Corp
</td>
<td width="123">
FlexiFix 75 Revert
</td>
<td valign="bottom" nowrap width="123">
Special/Other Variable
</td>
<td width="94">
5.96%
</td>
<td valign="bottom" nowrap width="76">
6.06%
</td>
</tr>
<tr>
<td width="93">
State Custodians
</td>
<td width="123">
Breathe Easy Offset
</td>
<td valign="bottom" nowrap width="123">
Basic Variable
</td>
<td width="94">
5.97%
</td>
<td valign="bottom" nowrap width="76">
6.07%
</td>
</tr>
<tr>
<td width="93">
Homestar Finance
</td>
<td width="123">
No Fee Offset
</td>
<td valign="bottom" nowrap width="123">
Standard Variable
</td>
<td width="94">
6.05%
</td>
<td valign="bottom" nowrap width="76">
6.10%
</td>
</tr>
<tr>
<td width="93">
IMB
</td>
<td width="123">
Essentials
</td>
<td valign="bottom" nowrap width="123">
Basic Variable
</td>
<td width="94">
5.99%
</td>
<td valign="bottom" nowrap width="76">
6.01%
</td>
</tr>
</tbody></table>
 
Source: RateCity.com.au
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The eight lenders that have cut variable mortgage rates since the RBA's August meeting

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Westpac has become the latest mortgage lender to cut its fixed-rate mortgage rates as the battle continues to attract and lock in cautious borrowers in low-priced fixed mortgage deals.
When including the discounts of 0.2 percentage points in Westpac's Premier Advantage Package (PAP) are included in the latest reductions, the new offers will see the following rates apply:
<ul>
<li>Two-year fixed-loan – down 0.15 percentage points to 5.54%</li>
<li>Three-year fixed-loan – down 0.1 percentage points to 5.54%</li>
<li>Four-year fixed-loan – down 0.1 percentage points to 5.89%</li>
<li>Five-year fixed-loan – down 0.1 percentage points to 5.89%</li>
<li>The existing discounted one-year offer remains unchanged at 5.69%.</li>
</ul>
The bank now offers the cheapest three-year fixed home loan rate, compared with 5.59% offered by the Commonwealth Bank and 5.64% on offer from NAB.
It takes the popular three-year fixed-rate loan to its lowest level since April 2009.
It also offers the lowest big four bank two-year fixed of 5.54%, four-year fixed at 5.89% and five-year fixed at 5.89%.
"We have experienced an increasing demand for fixed-rate loans, particularly for extended periods of time as a growing number of our customers look for certainty, security and peace of mind over their mortgage repayments,” says Jason Yetton, group executive of Westpac's retail and business banking division.
"As a result, we are pleased to be able to offer these very attractive rates that put us in a market leading position amongst our major peers in what is a very competitive market."
Westpac’s move to slash fixed-rates follows <a target="_blank" href="/news">Citibank repricing its one-, two- and three-year fixed-rate home loans to 5.55% per annum</a>, a reduction of 44 basis points over the past month.
ME Bank is currently offering the lowest three-year fixed rate at 5.39% for its super and union members, according to ratecity.com.au – 23 basis points below the lowest variable home loan rate on the RateCity database (5.62% from UBank)
The push to offer lower fixed rates comes as demand for the products rises with RateCity.com.au reporting that close to one in five home loan enquiries (18%) in August were fixed-rate inquiries, compared with just 5% in July.
Mortgage Choice also recorded a 33% increase in fixed-rate borrowers in August – rising from 15% of all loans arranged to 20%.
Three-year fixed rates are starting from as low as 5.39% – that’s 23 basis points below the lowest variable home loan rate in the RateCity database (5.62%).
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Westpac undercuts major rivals with fixed rate cut

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With wages growing faster than inflation over the past year, you’d assume that Aussie households are bringing in more than they need to live.
But spending is also getting away from many people. According to the Australian Bureau of Statistics, one in seven Australian households is spending more than it earns.
There is a cliché from the older generations: a penny saved is as good as a penny earned. But where can you cut your costs? I suggest you start with the largest item in your household budget, and for most readers that will be your cost of housing: rent, mortgage and maintenance.
You can refinance into a cheaper mortgage, but you could also find several small household savings and put them into your mortgage in a monthly payment. You can save thousands.
Think about a family with an average $350,000, 30-year mortgage, paying a variable interest rate of 6.44%. If you contribute $20 per month extra you can take nearly a year – and $15,000 in payments – off that mortgage.
Of course, in order to have extra money to put into the mortgage, you need to find savings.
These needn’t be complicated: if you work in the city, chances are you’re spending around $12 on a sandwich and a drink for lunch every day. If you pack a lunch just twice a week, you save $24, or $96 a month.
I used our monthly repayment calculator on ybr.com.au and found that on an average 350,000, 30-year mortgage with an average 6.82% variable rate, putting the cost of two lunches per week into that mortgage equates to a savings of $65,500 and takes 42 months off the loan.
Cutting just one cup of take-away coffee at $3.20 per day is a $69 in savings per month. If you put this into your mortgage you’d reduce your home loan by 32 months, saving you $50,532.
What about your phone costs? Many people have mobile phones but they also have a land line. Do you need both? And do you need that size of download on your internet plan? It’s not impossible to save $50 a month between internet and phone.
Other opportunities to save are out there: shop for packaged holidays rather than buying air fares and hotel rooms separately; reduce your dining out from twice to once a week and you could be saving $300 a month; have either cable TV or DVD rentals; time your petrol fill-up for the cheapest days and buy groceries at the lowest-cost supermarket, even if it means bringing your own shopping bags.
Just about any household can find $200 a month in savings: if you put this into your mortgage each month, you save $112,602 and reduce the term of your $300,000 loan by about seven years.
This is not the stuff of financial masterminds – it’s about cutting small costs in your household so you can reduce the biggest cost of all.
Mark Bouris is executive chairman of <a target="_blank" rel="nofollow" href="https://www.ybr.com.au/">Yellow Brick Road</a>, a financial services company offering home loans, financial planning, accounting and tax, and insurance.
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Small savings can add up to reduce the length and cost of your mortgage

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The man who first tipped the RBA would start cutting rates in November last year now expects the central bank to resume cutting the cash rate by 25 basis points at its October 2 meeting, having previously favoured a November start.
Westpac chief economist Bill Evans is forecasting another 25 basis points rate cut in November and third rate cut in the 2013 March quarter taking the cash rate to an all time low of 2.75%
This represents a slight change from his Tuesday forecast, following the release of minutes of the RBA's September Board, which Evans said included “some significant signals that the Reserve Bank is close to cutting rates”
On balance, Evans said on Tuesday he expected the rate cutting cycle to resume in November, but that "the ground work has been laid for a move as soon as October".
He now joins three other economists – Shane Oliver from AMP Capital Investors, Stephen Koukoulas from Market Economics and Dominic Bryant from BNP Paribas Asia – who are also tipping a rate cut in October.
Also this week, ANZ Research shifted its view on the cash rate cut timings, and is forecasting rate cuts in October and November with an easing bias thereafter.
In today’s RBA bulletin, Evans explained how Westpac’s reasoning had shifted since the release of the September minutes on Tuesday (September 18)
“Our snap first take on the minutes of the September board meeting indicated that the board was close to a rate cut but probably not sufficiently close to bring the first move forward to October.
“In the analysis of the minutes I noted, “today’s minutes of the RBA’s September board meeting show some significant signals that the Reserve Bank is close to cutting rates ... the ground work has been laid for a move as soon as October... We assess that the bank is close to moving on rates but, in a close call, do not assess that there is sufficient evidence from these minutes to revise our view that the cuts are likely in November and December”.
But with time to further analyse the minutes Evans says the odds “now slightly favour an October move rather than waiting until November”.
“The aspect of the minutes which merits most scrutiny is the statement, 'The current assessment of the inflation outlook continued to provide SCOPE to adjust policy in response to any significant deterioration in the outlook for growth'," Evans says.
Evans says use of the word “scope” is significant.
“That word rang a few bells with us. It has been used sparsely but significantly in the past during easing cycles," he says.
“Since August 2008 there have been two easing cycles – August 2008 to April 2009 and October 2011-present. During those cycles there have been 20 board meetings – eight in the August – April period and 12 in the October-present period.
 
<hr class="system-pagebreak">
 
In the minutes the word “scope” has been used on six occasions in the key paragraphs on Considerations for Monetary Policy.
“Three coincided with the meeting where the decision had been made to cut.
“Arguably, the use of the word at that time emphasises its appropriateness for an easing cycle.” Some commentators have suggested the RBA will wait until the release of September quarter inflation data due out on October 24, but Evans says the CPI report tends to be more significant in a tightening cycle than in an easing cycle.
“There is less urgency to await the CPI when rates are being cut than when they are being increased. That makes the choice between October and November more complex than if the cycle was likely to be a tightening cycle.”
Evans also accepted that much of its analysis of monetary policy statements and minutes could be described as "pedantic", adding that Westpac Economics “certainly sees its primary contribution to assess the medium term outlook for the cash rate. 
“However, some of our customers are interested in the specific month to month timing of these moves and hence the attempt to put some analysis behind reasons for choosing particular months”.
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RBA to resume cash rate cuts in October, followed by November and one in March quarter: Westpac’s Bill Evans

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Mortgage comparison website Mozo has ended its mystery home loan deal, which promised those who signed up a discount of up to 1% off the standard variable rate of a big four bank.
The offer, which was launched on September 6, is no longer on the Mozo home page or in the home loan section of the website.
Mozo spokesperson Kirsty Lamont posted on Property Observer that having received “such a strong level of enquiries from borrowers that our first mystery deal has now closed, as the lender involved has already met their loans quota”.
“We’re working on bringing some new deals to the market again soon,” Lamont added.
The <a target="_blank" href="/news">big four bank involved in the mystery deal</a> was not revealed.
In an earlier email to Property Observer Lamont said Mozo had already handled refinancing and new loan enquiries for over $80 million worth of borrowings.
“Half of this has already progressed through the approval process,” she said.
Assuming an average mortgage size of $300,000, this would equate to around 270 loan deals provided by the mystery bank.
Lamont later confirmed that $80 milion worth of loans were being negotiated with170 borrowers, with an average loan size of around $500,000.
Anyone who did not get a phone call back from Mozo  might conclude that they did not request a large enough loan to entice the interest of Mozo or the mystery lender.
The Mozo offer placed no obligation on the borrower to take up the loan.
Once one of the 170 selected borrowers found out who the bank was behind the offer, it was up to them to decide whether they wished to progress to submitting a mortgage application.
Mozo claimed borrowers could save over $100,000 by taking up the offer based on the current Mozo mystery bank variable rate of 5.93% for a $500,000 loan, versus the current average big four bank standard variable rate of 6.82%, assuming a loan term of 25 years.
The dedicated url <a href="https://mozo.com.au/mystery-bank-deal">www.mozo.com.au/myster-bank-deal</a> was still functioning when we last checked.
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Mystery big four bank Mozo home loan deal no longer available: Spokesperson

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Mystery flights and mystery hotel deals are popular. Why? Because for many people, not only does the price appeal, but there’s also a certain mystique attached to not being aware of where you are going.
But these "mystery" deals are only defined moments in time, so if we come away thinking we could have done better, or would have preferred a different experience, we can easily put it behind us and move on.
However, when you’re making the biggest financial decision of your life, do you really want any ‘mystery’ associated with it, particularly when it’s such a long-term and significant arrangement? After all, this is your financial security you’re dealing with here.
In my long career in the financial services industry I have always been a huge advocate of research. And when you are looking for a home loan or any other financial product, the best research is the research you do yourself.
There are some great financial services comparison websites out there where you can start that research and compare what’s available.
And in the course of that research, you will undoubtedly come across a variety of marketing offers you can take into consideration, along with your research.
One offer that recently stood out <a href="/news">was a "mystery" home loan deal</a>, which offered a significant reduction in the annual percentage rate of the big four banks, but did not mention the lender.
So what impact does this have on a borrower when they see such an offer, but don’t have all of the details?
Clearly they would find it attractive, but further research would show there are equally competitive rates aplenty in the mortgage marketplace.
There is no doubt that a low interest rate is the major priority for all borrowers choosing a home loan, but making that decision based simply on the interest rate is a common mistake, as there is much more to a mortgage product than rate alone.
And that’s because no two borrowers are the same.
We all have different needs and requirements for how we want our mortgage to perform for us. So when you’re looking for a loan, it has to be a personal decision not based on one thing, but on a range of aspects relating to how you manage your wealth through your different life stages.
Therefore, a borrower needs to also look at the fees, features, flexibility, structure and service attached to the loan - and once they do, there are many more questions to ask.
For example, are there low or no fees attached to the home loan?  What are the specific features and are they the most appropriate ones for my circumstances? And is the structure going to be flexible enough for what I may need now and into the next stage of my life?
However, above all else, not knowing the service proposition attached to a mortgage is a bit like marrying someone you’ve never met.
You need to take the time to choose wisely here, because the relationship with your lending professional can be one of the most significant in your life, particularly in regards to setting up an efficient and effective financial platform.
And yet, is it still often something people undervalue in favour of obtaining the lowest interest rate possible.
In fact, the expertise and guidance of this person can open up doors to wealth creation and deliver information that can save you money on interest, reduce your loan term and strengthen your overall financial position.
You should closely consider your lending professional as your first point of contact when enquiring about a mortgage, as this relationship is as important as the interest rate.
With many of us having complicated financial structures, it’s invaluable having the right lending professional there to advise you, educate you and above all empower you to become a better financial manager – and there’s certainly no one-size-fits-all solution.
Like choosing any partner, you need to know you can rely on someone to be there for you to take those next steps and never more than when your finances are involved.
In such a dynamic lending environment, there is much for borrowers to consider and explore – and there should be no mystery when it comes to choosing your mortgage.
Lisa Montgomery is CEO of <a href="https://www.resi.com.au/" target="_blank">Resi Mortgage Corporation.</a>
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