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

Joel Robinson

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

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

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

Around 400 additional homes could be built at Southwark Grounds on Port Road, lifting total site capacity from 1300 to around 1700 dwellings.

A recently approved code amendment would allow apartment towers of up to 14 storeys in some areas of Renewal SA’s redevelopment of the former West End Brewery.

Renewal SA Acting Chief Executive Shane Wingard said he welcomed the code amendment, with the increase in heights and homes making a positive impact on the supply of high-quality, well-connected housing close to the city.

“By going higher across some parts of Southwark Grounds, we are adding a substantial number of very well-located homes with little impact on project delivery time or planned open space,” Mr Wingard said.

Since the project officially launched in 2025, Mr Wingard said more than 12,000 enquiries had been received about living at Southwark Grounds.

“The very strong early interest we’ve seen since homes were first released in the precinct reinforces our plans to create more housing opportunities,” he said.

The Southwark Grounds code amendment was launched in December last year, with community engagement undertaken over five weeks from January.

It proposed increasing maximum building heights from eight to 14 storeys on the eastern section of Southwark Grounds, and to 12 storeys across the remainder of the site, with minimum building heights ranging from two to four storeys.

The code amendment was implemented through an Early Commencement policy in late January, allowing developers to quickly explore the viability of increased height and housing yield while other planning processes continue.

One of the first developers delivering apartment sites have already finalised redesigns to increase the number of apartments following the code amendment.

Samaras’ development adjacent to the future Colonel Light Park is now planning to deliver 125 apartments across 11 storeys, significantly greater than original plans of around 50 apartments across four storeys.

The developer is also exploring the potential for additional affordable housing outcomes.

Most of the apartments at Southwark Grounds will be delivered within a master-planned precinct on a large parcel of land on the eastern portion of the site, covering around two-thirds of its 8.4 hectares.

Wingard said detailed precinct planning over the coming months may identify further opportunities to increase yield further that could see total apartment numbers at Southwark Grounds, exceed this number.

Affordable homes at Southwark Grounds will also see a net increase, with Renewal SA maintaining its commitment to a minimum of 20 per cent affordable housing across the development.

&nbsp;

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Civil works have begun across the site, with construction under way on the first new roads surrounding a townhouse precinct in the south‑west corner of Southwark Grounds. This includes Renewal SA’s 17 Founder’s Row homes, which are on track for completion by Christmas.

“We expect to have people living at Southwark Grounds by the end of the year, so delivering roads and public spaces for those residents is among our highest priorities.”

Construction of 40 townhouses off Anderson Street, known as West Village and being delivered by Contour, is forecast to begin in mid‑2026. Kolabb’s Anderson Lane development will follow shortly after, delivering a further 26 townhouses.

Southwark Grounds is a state government‑led urban renewal project now set to deliver around 1,700 homes over the next decade.

Homes will be supported by a supermarket, a range of retail and hospitality offerings anchored by a revitalised Walkerville Brew Tower, a childcare centre, car parking and well‑connected public spaces.

400 new homes planned for Adelaide's former West End Brewery site

Brisbane developer&nbsp;<a href="https://www.apartments.com.au/developers/cavcorp">Cavcorp</a> has lodged plans for a new mixed-use residential development at <a href="https://www.apartments.com.au/new-apartments/55-wyandra-street-teneriffe-qld-4005">55 Wyandra Street</a>, Teneriffe, anchored by an 85-metre public laneway designed to reconnect the suburb’s riverfront with the Gasworks precinct.

The buildings, known as Teneriffe House and Teneriffe Lane, would replace the existing Queensland Cotton head office site with a 15-storey residential tower transitioning to eight storeys toward Helen Street. The project has been designed by Plazibat Architects and lodged as a code assessable development application for 93 apartments across a 3,401 sqm mixed-use site within the Newstead and Teneriffe Waterfront neighbourhood plan.

Central to the scheme is the transformation of an existing service easement into a publicly accessible cross-block connection linking Wyandra and Helen Streets. Cavcorp says the new laneway will act as both a pedestrian shortcut and a landscaped civic space between the Teneriffe Riverwalk, ferry terminal, and Gasworks precinct.

<img alt="First Look: Cavcorp unveils Teneriffe House and Teneriffe Lane plans for landmark wellness tower in Teneriffe" data-entity-type="file" data-entity-uuid="26e7f058-b065-4de8-b13d-a2b8cb64dfcc" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/bldg.png?VersionId=sELS0ZKYi361oYipUa1BIKfe_.DLZoFV" />

“The revised proposal delivers a legacy public-realm cross-block link, permanently secured for community use, transforming an existing private easement into a safe, high-quality pedestrian connection between the Teneriffe heritage riverwalk and the Gasworks–Long Island precinct,” the planning report states.

The laneway will sit beneath a large subtropical loggia integrated into the podium levels of the development. The design incorporates deep landscaping, water gardens, lobby spaces, business lounges, and ground-floor apartments to create what Cavcorp describes as a climate-responsive “urban verandah.”

The tower itself has been designed as a slender form with recessed floorplates and curved translucent corners inspired by contemporary Japanese architecture. The building height aligns with the Commercial Road precinct controls, which permit towers up to 15 storeys within proximity to Longland Street.

<img alt="First Look: Cavcorp unveils Teneriffe House and Teneriffe Lane plans for landmark wellness tower in Teneriffe" data-entity-type="file" data-entity-uuid="a8a17d40-43b6-4718-b3fd-67676fcbb485" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/pers%202_1.png?VersionId=i3VwDtp5AmL_8InW7w4qRbDFEpb744Jt" />

The project will comprise a mix of larger-format apartments aimed at owner-occupiers, downsizers, and families. The proposed apartment mix includes 11 loggia apartments across the lower levels, 50 four-bedroom Sky-Terrace apartments from levels three to seven, and 32 Sky-Pool Homes occupying the upper tower levels. The Sky-Pool Homes will feature private thermal plunge pools integrated into oversized balconies.

According to the application, the apartments are intended to reinterpret the scale and character of Teneriffe’s woolstore conversions and Queensland homes within a vertical residential format.

“The sky-pool homes build on Cavcorp’s previous projects and introduce a distinct apartment typology to Teneriffe, informed by both local and international precedent and responding to an identified market demand for enhanced safety, space and amenity,” the planning submission notes.

A major focus of the proposal is its five-level wellness and lifestyle offering, extending from the basement through to the rooftop.

Amenities proposed include a rooftop Swim &amp; Racquet Club with a 25-metre Olympic lap pool and tennis court, coworking spaces and libraries, golf simulators, wine storage, concierge facilities, business lounges, pet wash areas, and rooftop longevity-focused wellness spaces with spas, outdoor fitness zones, and landscaped terraces.

<img alt="First Look: Cavcorp unveils Teneriffe House and Teneriffe Lane plans for landmark wellness tower in Teneriffe" data-entity-type="file" data-entity-uuid="944b352c-49b9-4247-a4c6-5967b4b69fda" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/amenity.png?VersionId=Ed_qKjAtMwFT.5gfl3jiA9QwdWxSMsaX" />

All parking will be concealed within basement levels accessed from Wyandra and Helen Streets. Cavcorp says the deep-basement engineering approach allows the entire ground plane to prioritise landscaping, pedestrian movement, and active frontage rather than vehicle infrastructure.

The development continues Cavcorp’s concentration in Newstead and Teneriffe, where the Brisbane developer has delivered a number of apartment projects including Lucent, Le Bain, and Luminare, as well as the Long Island Wellness Precinct nearby. Several of those projects have received national design and architecture awards, including recognition under Brisbane’s “Buildings that Breathe” program.

Cavcorp unveils wellness-focused Teneriffe House and Teneriffe Lane apartment buildings

Focus Group Investments has lodged plans for a new apartment development at <a href="https://www.apartments.com.au/new-apartments/64-70-hanover-street-fitzroy-vic-3065">64–70 Hanover Street</a> in Fitzroy, seeking to utilise the Victorian Government’s recently introduced Great Design Fast Track pathway to accelerate approvals for the project.

The proposal is among the latest developments to emerge through the state-led initiative, which was established to fast-track well-designed residential projects in activity centres and transport-connected inner-city locations. The pathway allows qualifying developments that meet elevated design and housing benchmarks to bypass traditional council planning timeframes and instead be assessed directly by the Department of Transport and Planning.

Designed by SJB, the development will comprise a mix of apartments above activated lower levels, with a strong focus on architectural articulation, landscaping, and communal amenity. The design response seeks to balance the industrial character of Richmond’s former warehouse precincts with a more contemporary residential form.

<img alt="First look: Focus Group Investments taps Victoria’s Great Design Fast Track for Richmond apartments" data-entity-type="file" data-entity-uuid="abea51cc-d85b-479e-9aef-a589f3b37ca7" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/ground.png?VersionId=e1Kf8EyPWwyiVumtqQ4rM5S4GpOR3CCz" />

Proposed are 63 new dwellings, a wide ranging mix of studio, one-, two-, and three-bedroom apartments, and townhouses and duplexes. They will be spread across a part-three, part-eight storey building.

The Planning and Urban Context Report by Tract says the development is of an "exemplary architectural standard" and has been carefully crafted by SJB Architects.

"Dwellings&nbsp;will benefit from excellent access to natural light, cross-ventilation opportunities and extensive communal space," the report noted.

The architectural material highlights the project’s integration of landscaped elements and communal spaces throughout the building. The proposal also incorporates sustainability initiatives aligned with the Victorian Government’s push for higher-performing apartment developments under the fast-track program.

The Great Design Fast Track was unveiled by the Victorian Government in 2024 as part of a broader housing supply strategy aimed at accelerating the delivery of new homes. Projects assessed through the pathway must demonstrate high-quality architecture, sustainability outcomes, and housing diversity while being located close to public transport and existing infrastructure.

<img alt="First look: Focus Group Investments taps Victoria’s Great Design Fast Track for Richmond apartments" data-entity-type="file" data-entity-uuid="afdbe834-8dc4-4a77-a943-ba07bc927348" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/site_11.png?VersionId=0J657j.TaChAZfp93wqJYBTqSsnREJx2" />

Focus Group, founder and led by Paul De Lutiis, is increasingly active across Melbourne’s inner suburbs, targeting well-connected urban renewal locations suited to medium and higher-density residential development. The Fitzroy proposal continues that strategy, leveraging the area’s strong transport links, established retail amenity, and proximity to the CBD.

Fitzroy has been one of the most popular spots for developers and buyers in recent years. The likes of PACE Development Group, SMA Projects, Crema Group and Chapter Group, currently selling projects in the suburb.

First look: Focus Group Investments taps Victoria’s Great Design Fast Track for Fitzroy apartments

Sydney’s property market is known for high prices, competitive bidding, and mounting pressure on first home buyers. But change is on the horizon.

From late 2025, eligible first home buyers in New South Wales will have access to a new federal government initiative aimed at addressing affordability: the Help to Buy Scheme.&nbsp;

<h2>What is the Help to Buy Scheme?</h2>

The program introduces a shared equity model intended to reduce the upfront cost of entering the property market, particularly in high-demand urban areas such as Sydney.

The scheme operates under a shared ownership structure in which the federal government takes an equity stake of up to 40 per cent for new homes, or 30 per cent for existing dwellings. This arrangement allows eligible buyers to significantly reduce their loan size and avoid the added cost of Lenders Mortgage Insurance (LMI).

Under this model, purchasers can enter the property market with as little as a two per cent deposit, well below the traditional 10 to 20 per cent usually required. The government’s contribution is not a loan but a co-ownership stake in the property. As such, there is no interest or rent charged on its portion.

Because the government’s equity combined with the buyer’s deposit typically meets or exceeds the 20 per cent threshold, LMI does not apply. The remaining balance, generally between 60 and 70 per cent of the property’s value, is financed through a standard home loan with a participating lender.

The government's equity in the property remains in place until the buyer chooses to repay it voluntarily or until the property is sold. Buyers can buy back the government’s share over time, in increments of at least five per cent, depending on their financial situation.

There is no fixed repayment timeline, but the amount to be repaid will be based on the property's market value at the time of repayment, not the original purchase price.

<h2>How do you qualify for the&nbsp;Help to Buy Scheme?</h2>

To qualify for the Help to Buy Scheme, applicants must meet the following conditions:

<ul>
	<li>Be an Australian citizen at least 18 years of age.</li>
	<li>Be a first-home buyer who does not currently own property.</li>
	<li>Intend to live in the property as their primary residence.</li>
	<li>Earn less than $100,000 per year for individuals, or $160,000 for couples.</li>
	<li>Purchase a property within the regional price caps, currently $950,000 in Sydney, though this is expected to rise to approximately $1.3 million ahead of the program’s launch.</li>
</ul>

While the Help to Buy Scheme does not solve affordability challenges across the board, it does offer a more accessible pathway for a defined segment of the market, particularly younger buyers with moderate incomes who have been priced out of traditional lending routes.

The scheme is expected to commence in NSW in late 2025, as part of a national rollout.

Under the new model, purchasers can enter the property market with as little as a two per cent deposit, well below the traditional 10 to 20 per cent usually required

Help to Buy Scheme: What first home buyers in NSW need to know

The First Home Owners Grant (FHOG) is a government initiative designed to help eligible first-time home buyers by offering financial assistance towards the purchase or construction of a new home.

While the FHOG is a nationwide program, it is administered separately by each state and territory, meaning the eligibility criteria, grant amounts, and property requirements can vary depending on your location. This means that the amount available and the conditions attached to the grant will differ, so it is important to check the specific guidelines for your state or territory.

It’s important to note that the FHOG is just one of several incentives available to first home buyers. In most states and territories, the grant is not linked to stamp duty exemptions or concessions, with the exception of the Australian Capital Territory (ACT). The FHOG is typically a one-off payment, reducing the overall cost of purchasing or building a new home before any stamp duty concessions are applied.

Below, we provide a breakdown of the First Home Owner Grants available across Australia, outlining the specific details for each state and territory.

<h2>New South Wales First Home Owner Grant</h2>

First Home Owner Grant: Offers a $10,000 grant for new homes valued up to $600,000. For land purchases and owner-builders, the threshold extends to $750,000.

Stamp Duty Benefits: Provides full stamp duty exemption for homes valued up to $800,000, with concessions available for properties up to $1 million.

<h2>Victoria South Wales First Home Owner Grant</h2>

First Home Owner Grant: Provides a $10,000 grant for first-home buyers purchasing or building new homes valued up to $750,000.

Stamp Duty Benefits: Offers full stamp duty exemption for properties up to $600,000, with concessions available up to $750,000.

<h2>Queensland First Home Owner Grant</h2>

First Home Owner Grant: Offers $30,000 for contracts signed between 20 November 2023 and 30 June 2025. The FHOG applies to new homes valued up to $750,000.

Stamp Duty Concessions: Provides additional concessions for properties valued up to $800,000.

<h2>Western Australia First Home Owner Grant</h2>

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First Home Owner Grant: Offers a $10,000 grant for new homes valued up to $750,000 in the southern regions and up to $1 million in the northern regions.

Stamp Duty Concessions: Available for homes valued up to $600,000 for transactions entered into on or after 9 May 2024.

<h2>Australian Capital Territory First Home Owner Grant</h2>

First Home Owner Grant: Replaced by the Home Buyer Concession Scheme, offering full stamp duty concessions for eligible buyers.

<h2>South Australia First Home Owner Grant</h2>

First Home Owner Grant: Provides up to $15,000 for new homes, including houses, apartments, and townhouses. As of 6 June 2024, there is no property value cap for eligibility.

Stamp Duty Relief: Available for new homes and vacant land purchases.

<h2>Tasmania First Home Owner Grant</h2>

First Home Owner Grant: Offers a $10,000 grant for new homes and off the plan purchases.

Stamp Duty Exemption: Between 18 February 2024 and 30 June 2026, first home buyers of established homes valued up to $750,000 receive a full exemption on property transfer duty.

<h2>Northern Territory First Home Owner Grant</h2>

First Home Owner Grant: The Northern Territory provides a $10,000 grant for new homes only. Additional government grants and concessions are available for first home buyers.

Stamp Duty Exemption: The only stamp duty exemption available to property buyers is the House and Land Package Exemption (HLPE).

Eligibility criteria and application processes differ across states. Prospective buyers should refer to their respective state revenue offices for full details on grant availability, conditions, and additional concessions.

Every First Home Owner Grant for new property by state

In the ever-evolving landscape of sustainable architecture and environmentally conscious design, systems and ratings in place can help determine the energy efficiency of residential buildings in Australia.

Australia has multiple building rating systems that evaluate energy efficiency and sustainability in existing and new building designs.

Some systems assess individual building components, while others provide an overall rating for the entire structure.

A rating system ensures that homes are comfortable and energy-efficient, whether you are buying, renovating, or building.

NatHERS (Nationwide House Energy Rating Scheme) is a common way for new homes to meet energy efficiency requirements.

As new developments continue to shape the urban environment, understanding NatHERS ratings becomes essential for developers and homeowners. This article delves into the concept of NatHERS ratings, their significance, and how they contribute to creating energy-efficient homes.

<h2>What is NatHERS?</h2>

NatHERS is a national initiative implemented by the Australian government to promote energy efficiency in residential buildings. The scheme aims to provide a standardised method for assessing the thermal performance of homes, considering factors such as insulation, orientation, ventilation, and building materials.&nbsp;

NatHERS ratings are the most common way new homes meet the National Construction Code's (NCC's) minimum energy efficiency requirements.&nbsp;

NatHERS assessments provide thermal and whole-home ratings for new homes, townhouses, and apartments.

The rating helps evaluate the energy performance of buildings, guides homeowners and developers to make informed decisions about the energy efficiency of their properties, and encourages the construction of more sustainable, comfortable, and cost-effective homes.

<h2>How NatHERS Ratings Work</h2>

NatHERS ratings are determined through four accredited software tools (AccuRate, BERS Pro, FirstRate5, HERO) using a calculation engine CSIRO developed to predict building temperature based on various factors.

The tools can model complex effects of building mass, insulation, window size, and other elements.

The outcome is a star rating that reflects the building's overall thermal efficiency, indicating how well it can maintain a comfortable indoor temperature without excessive reliance on heating or cooling systems.

The star rating scale ranges from 0 to 10, with a 6-star rating being the minimum requirement for compliance with the National Construction Code (NCC).&nbsp;

Achieving a higher star rating demonstrates a commitment to energy efficiency and sustainability, as the building is better equipped to minimise its environmental impact and reduce long-term energy costs.

Anyone can use NatHERS tools, but accredited assessors can provide certified ratings and professional advice.

<h2>Benefits of Higher NatHERS Ratings</h2>

Energy Efficiency: Buildings with higher NatHERS ratings are more energy-efficient, requiring less heating and cooling energy. This reduces the structure's carbon footprint and lowers occupants' energy bills.

Cost Savings: Homes with higher NatHERS ratings are generally more energy-efficient, resulting in reduced energy consumption for heating and cooling. This translates to lower energy bills for homeowners, making sustainable living environmentally friendly and economically viable in the long run.

Environmental Impact: Lower energy consumption directly translates to a reduced environmental impact. Buildings with higher NatHERS ratings contribute to the overall goal of mitigating climate change by lowering greenhouse gas emissions associated with heating and cooling systems.

Improved Comfort: Buildings with high NatHERS ratings offer better thermal comfort to occupants. Proper insulation, well-designed ventilation, and optimal orientation maintain a consistent and comfortable indoor temperature, providing occupants with a more enjoyable and healthier space.

Market Value and Desirability: Higher NatHERS ratings can enhance the market value of a property. As energy efficiency becomes a more significant consideration for homebuyers, a well-rated building may attract a premium price and stand out in the real estate market.

Compliance with Building Codes: NatHERS ratings are a vital component of the National Construction Code (NCC), and compliance with these ratings is often a mandatory requirement for new developments. Local councils and planning authorities may set minimum energy efficiency standards that must be met to obtain development approval.

The Nationwide House Energy Rating Scheme (NatHERS) is a crucial initiative shaping the future of energy-efficient, resilient, and cost-effective homes. With its recent upgrades, NatHERS has evolved into a world-leading tool for the building sector, supporting the global commitment to achieving net-zero emissions by 2050.

Staff Writer

What is a NatHERS rating in new off the plan apartment developments?

Mixed-use developments have gained significant popularity across Australia in recent years due to their unique blend of residential, commercial, and recreational spaces.

Unlike traditional single-purpose developments, mixed-use projects offer a harmonious integration of various functions within a single locale.

Residential units seamlessly coexist with commercial establishments, retail outlets, dining venues, entertainment hubs, and recreational facilities, with the combination not only enhances convenience but also fosters a vibrant lifestyle and a sense of community.

<h3>Convenience and accessibility</h3>

Mixed-use developments are designed with convenience in mind. They often integrate residential units with commercial spaces, retail outlets, restaurants, and recreational facilities, creating a self-contained community.

[smartcode_project:default project_id=114215 project_image_fid=204874]

The proximity allows residents to enjoy the convenience of having essential amenities and services within walking distance. Whether it's grabbing a cup of coffee, going grocery shopping, or accessing healthcare services, everything is conveniently located, saving residents time and effort.

<h3>Vibrant lifestyle and community</h3>

One of the major advantages of mixed-use developments is the vibrant lifestyle they offer. With a diverse range of amenities and communal spaces, residents have ample opportunities to interact, socialise, and build a sense of community.

[smartcode_project:default project_id=107714 project_image_fid=214122]

The presence of parks, community centres, and shared spaces fosters a lively atmosphere, encouraging residents to engage in various activities and events. The vibrant lifestyle within these developments creates a unique sense of belonging and camaraderie among the residents.

<h3>Potential for higher rental yields and property value appreciation</h3>

Mixed-use developments tend to attract a broad range of tenants and buyers due to their versatile nature. This high demand can result in higher rental yields for investors and potentially lead to property value appreciation over time.

[smartcode_project:default project_id=139989 project_image_fid=212887]

The integration of commercial and retail spaces attracts businesses, which can provide a stable rental income stream. Additionally, the popularity of mixed-use developments often drives up property values, making them a potentially lucrative investment in the long term.

<h3>Enhanced security and maintenance</h3>

Mixed-use developments typically have comprehensive security measures in place. With controlled access points, CCTV surveillance, and professional security staff, residents can enjoy enhanced safety and peace of mind.

[smartcode_project:default project_id=108019 project_image_fid=212658]

Additionally, these developments often have dedicated maintenance teams responsible for the upkeep of common areas, landscaping, and infrastructure. This ensures that the overall appearance and functionality of the development are well-maintained, creating a pleasant living environment for residents.

<h3>Live-work-play balance</h3>

One of the key attractions of mixed-use developments is the ability to achieve a desirable live-work-play balance. The integration of residential and commercial spaces allows residents to live closer to their workplaces, reducing commuting time and improving work-life balance.

The proximity to various amenities and recreational facilities encourages an active and healthy lifestyle. Residents can easily access fitness centres, parks, restaurants, and entertainment options, all within the same development, leading to a more fulfilling and convenient way of life.

alisonwarters@gmail.com

The top five reasons to buy in a mixed-use development

When buying a property, everyone needs to be aware of the additional costs that come as part of the buying process.

Often the largest outlay, after the deposit which goes to the bank, is stamp duty.

<h2 style="line-height: 1.38;">What is Stamp Duty?</h2>

Stamp duty is an extra tax to pay the government when you buy land, a property, and other certain assets.

It happens when the legal ownership is transferred. It can also be known as property transfer duty or transfer duty.

<iframe allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="415" src="https://www.youtube.com/embed/C32BWkB5--c" title="YouTube video player" width="660"></iframe>

<h2>Who pays Stamp Duty?</h2>

In some circumstances, you may get an exemption. For some states, you won’t have to pay for stamp duty if you are a first home buyer or a pensioner for houses under a particular price. There are also stamp duty concessions, where you may be entitled to a discount.

<h2>How much does Stamp Duty cost?</h2>

Each state has different rules which affect how much you need to pay. These rules can affect the rate you pay, and the timeframe you will need to pay in. Before you buy land or a property, make sure you check the up-to-date information for your state’s stamp duty.

You can use a free stamp duty calculator online to see approximately how much you’ll need to pay. Find out if you’re eligible for an exemption by enquiring on a project via Urban!

Overall, the stamp duty you need to pay will depend on:

<ul>
	<li aria-level="1">How much your land/property is worth</li>
	<li aria-level="1">Where your land/property is located</li>
	<li aria-level="1">What type of land/property it is</li>
</ul>

Want to find out more? <a href="https://www.youtube.com/@UrbanAustralia?utm_source=YouTube&amp;utm_medium=Video&amp;utm_campaign=Subscribe&amp;utm_id=Subscribe">Subscribe to our YouTube channel</a> for more property videos.

Ellen Walker

Off-the-plan property explained: What is stamp duty?

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

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

NAB bring forward first RBA cut to February 2025

<html><body>
The NSW coastal tourism and retirement towns of Nelson Bay and Budgewoi have retained their unwanted titles of Australia's most delinquent postcodes, according to the latest report by Fitch Ratings.
The Port Stephens suburb of Nelson Bay in the Hunter region of NSW has a delinquency rate of 7.8% as of March 2012 for mortgages more than 30 days in arrears – unchanged from the last survey by Fitch six months ago.
This is nearly five times above the national average of 1.6%, up 18 basis points from 1.42% in September 2011.
The seachange Nelson Bay district includes the areas of Corlette, Fingal Bay, Nelson Bay and Shoal Bay and has been among the worst-performing postcodes since Fitch first published its report in 2007.
Fitch blamed the high delinquency rate in Nelson Bay on “stagnation in the local housing market, which lead to an accumulation of arrears in the 90+ day bucket”.
“The stagnation in the local housing market has increased the time required for foreclosed properties to sell, leading to an accumulation of arrears in the 90+ day bucket (4.57% as of March 2012).
“Furthermore, properties that are in arrears tend to be high-value properties, where the mortgage balance is on average almost three times the average loan balance in Nelson Bay,” says Fitch.
Notably Surfers Paradise, the epicentre of the struggling Gold Coast property market rose from sixth to third most delinquent post code by value with its arrears rate rising from 3.9% to 4.1%
Cessnock in the Hunter region rose from 15th to 8th most delinquent post code by value with its 30 days plus arrears rate rising from 3.4% to 3.9%. Two years ago it had a delinquency rate of 2.56%.
RP Data's Tim Lawless says all struggling markets have in common "some material declines in values".
Eleven of the 20 worst performing suburbs were located in NSW, seven of which were around Sydney, predominantly in the traditional mortgage belts of south-west and western Sydney.
The-worst performing postcodes — such as Hoxton Park (2171), Eagle Vale (2558), Rooty Hill (2766), Macquarie Fields (2564), and Green Valley (2168) — are all in Sydney’s outer west, located in or nearby Fairfield/Liverpool.
Outer=western Sydney ranked as the ninth worst-performing region by value and 10th worst by number of delinquent mortgages.
Fairfield/Liverpool ranked the most delinquent region in Australia with 2.82% of mortgages more than 30 days in arrears.
Click to enlarge
<a href="/images/stories/2012/08/fitchaug222.gif" title="Click to enlarge" rel="shadowbox"><img src="/images/stories/2012/08/fitchaug222thumb.gif"></a>
Budgewoi on the central coast remained the worst performing suburb by number of mortgages in arrears, with 33 borrowers out of 1,000 in delinquency as of March 2012, followed by Surfers Paradise (QLD), Eagle Vale (NSW), Cessnock (NSW), Nelson Bay (NSW), Crestmead/Marsden (QLD), Beaudesert (QLD), and Helensvale (QLD).
For the first time, two of the 20 worst-performing postcodes by number of mortgages in arrears were located in Victoria (Corio,\ and Wyndham Vale). In South Australia, Salisbury was the worst-performing postcode, with 25 borrowers out of 1,000 in delinquency as of March 2012.
Click to enlarge
<a href="/images/stories/2012/08/fitchaug222.gif" title="Click to enlarge" rel="shadowbox"><img src="/images/stories/2012/08/fitchaug223thumb.gif"></a>
The figures are compiled before the May and June cash rate cuts (a combined 75 basis points) which may have subsequently helped borrowers better manage their mortgage repayments.
Fitch says interest rate movements are usually reflected in mortgage performance with a three to four month lag.
“Regions in which serviceability is key to mortgage performance are expected to benefit the most,” says the credit ratings agency.
 
</body></html>

lschlesinger-FZcF9M3vE6

Nelson Bay and Budgewoi on NSW coast still most delinquent postcodes in Australia: Fitch

<html><body>
RBA board members noted that conditions in the housing market remain weak but were showing “tentative signs” of starting to pick, the release of minutes from the August 7 monetary policy meeting have revealed.
At the August 7 meeting, where the cash rate was left on hold at 3.5%, members noted that there were “tentative signs that housing market conditions and residential building activity were starting to pick up after being weak for some time”.
“Prices had increased a little in recent months, but remained somewhat lower than a year ago.
“Demand for housing finance was broadly unchanged over the year. With building approvals rising from low levels, the outlook for residential construction activity was more positive for the second half of the year. Earlier falls in interest rates and rising rental yields were likely to have increased the attractiveness of housing investment,” the minutes read.
Westpac chief economist Bill Evans says there were "little new insights" into monetary policy in the minutes but says there were some "tentative positive comments are made about housing market conditions and residential building market activity with prices increasing a little in recent months".
"Overall downside risks to the economy are firmly in the 'international' camp with Europe in the spotlight: 'the risk of significant economic and financial disruption in the euro area continued to cloud the outlook'," says Evans.
At the meeting, board members also noted that underlying inflation was at 2% for the year, “the lowest annual rate since the late 1990s” – providing scope for future interest rate cuts if the recovery in the housing market and other non-resource industries stalls.
“The inflation data for the June quarter were broadly in line with expectations, and confirmed that underlying inflation was around the bottom of the target," said the RBA.
The board also noted that the domestic economy appeared to be growing at around trend pace in the June quarter, “though activity continued to vary significantly across industries”
“Resource investment, which continued to evolve broadly in line with the Bank's forecasts, spurred activity in a number of industries, while the high Australian dollar and weak conditions in the housing market had weighed on activity in a number of non-resource industries.”
The performance of the global economy will impact on future interest rate decisions with the RBA board noting the global economic environment remained “fragile”.
“The latest forecasts for global growth had been revised down a little, reflecting further deterioration in Europe and slower growth in the United States and parts of Asia,” say the minutes.
The board concluded that “inflation expected to be consistent with the target and growth close to trend, but with a more subdued international outlook than was the case a few months ago, the Board judged that the stance of monetary policy remained appropriate”.
</body></html>

Housing market weak but showing 'tentative signs' of pick-up: RBA August minutes

<html><body>
Property Observer has scoured the most well-known mortgage comparison websites to determine the lowest variable-rate home loan and one- and three-year fixed home loans currently available.
The following results are based on advertised mortgage rates listed by <a target="_blank" href="https://www.ratecity.com.au/">ratecity.com.au</a>, <a target="_blank" href="https://mozo.com.au/">Mozo.com.au</a> and <a target="_blank" href="https://www.infochoice.com.au/">infochoice.com.au</a> as of August 21:
Lowest variable rate offerings:
<table width="470" cellpadding="0" cellspacing="0" border="1"><tbody>
<tr>
<td valign="top" width="158">
Provider
</td>
<td valign="top" width="151">
Loan name
</td>
<td valign="top" width="123">
Rate
</td>
<td valign="top" width="132">
Comparison rate*
</td>
</tr>
<tr>
<td valign="top" width="158">
UBank (NAB)
</td>
<td valign="top" width="151">
UHomeloan Refinance
</td>
<td valign="top" width="123">
5.62%
</td>
<td valign="top" width="132">
5.62%
</td>
</tr>
<tr>
<td valign="top" width="158">
Nationwide Mortgage
</td>
<td valign="top" width="151">
True Saver Home Loan
</td>
<td valign="top" width="123">
5.65%
</td>
<td valign="top" width="132">
5.65%
</td>
</tr>
<tr>
<td valign="top" width="158">
Loans.com.au
</td>
<td valign="top" width="151">
Dream Catcher
</td>
<td valign="top" width="123">
5.65%
</td>
<td valign="top" width="132">
6.00%
</td>
</tr>
<tr>
<td valign="top" width="158">
Mortgage View
</td>
<td valign="top" width="151">
Mortgage View Pro Pack
</td>
<td valign="top" width="123">
5.70%
</td>
<td valign="top" width="132">
5.71%
</td>
</tr>
</tbody></table>
Lowest one-year fixed-rate offerings
<table width="470" cellpadding="0" cellspacing="0" border="1"><tbody>
<tr>
<td valign="top" width="158">
Provider
</td>
<td valign="top" width="151">
Loan name
</td>
<td valign="top" width="124">
Rate
</td>
<td valign="top" width="132">
Comparison rate*
</td>
</tr>
<tr>
<td valign="top" width="158">
Mymortgagefreedom.
com.au
</td>
<td valign="top" width="151">
Mymortgagefreedom.
com.au fixed rate
</td>
<td valign="top" width="124">
5.44%
</td>
<td valign="top" width="132">
6.06%
</td>
</tr>
<tr>
<td valign="top" width="158">
Reduce Home Loans
</td>
<td valign="top" width="151">
Reduce Fee Free 1 Year Fixed Rate
 
</td>
<td valign="top" width="124">
5.54%
</td>
<td valign="top" width="132">
6.16%
</td>
</tr>
<tr>
<td valign="top" width="158">
UBank (NAB)
</td>
<td valign="top" width="151">
UHomeLoan Fixed (refinance only)
</td>
<td valign="top" width="124">
5.58%
</td>
<td valign="top" width="132">
5.81%
</td>
</tr>
<tr>
<td valign="top" width="158">
Newcastle Permanent
</td>
<td valign="top" width="151">
1 Year residential fixed
</td>
<td valign="top" width="124">
5.59%
</td>
<td valign="top" width="132">
6.4%
</td>
</tr>
</tbody></table>
Lowest three-year fixed-rate offerings
<table width="470" cellpadding="0" cellspacing="0" border="1"><tbody>
<tr>
<td valign="top" width="152">
Provider
</td>
<td valign="top" width="158">
Loan name
</td>
<td valign="top" width="132">
Rate
</td>
<td valign="top" width="123">
Comparison rate*
</td>
</tr>
<tr>
<td valign="top" width="152">
UBank (NAB)
</td>
<td valign="top" width="158">
UHomeLoan Fixed (refinance only)
</td>
<td valign="top" width="132">
5.54%
</td>
<td valign="top" width="123">
5.69%
</td>
</tr>
<tr>
<td valign="top" width="152">
Bank of Queensland
</td>
<td valign="top" width="158">
Fixed Loan
</td>
<td valign="top" width="132">
5.55%
</td>
<td valign="top" width="123">
6.54%
</td>
</tr>
<tr>
<td valign="top" width="152">
Newcastle Permanent
</td>
<td valign="top" width="158">
3 Year residential fixed
</td>
<td valign="top" width="132">
5.59%
</td>
<td valign="top" width="123">
6.24%
</td>
</tr>
<tr>
<td valign="top" width="152">
Resi
</td>
<td valign="top" width="158">
Flexi fix 75 3 years
</td>
<td valign="top" width="132">
5.69%
</td>
<td valign="top" width="123">
5.94%
</td>
</tr>
</tbody></table>
*A comparison rate includes both the interest rate and the fees and charges relating to a loan, combined into a single percentage figure.
For information on refinancing, watch our free webinar <a target="_blank" href="/news">Refinancing and the Interest Rates Riddle</a>
</body></html>

From 5.44%, the lowest rate home loan offerings: fixed and variable as of August 21

<html><body>
The level of sub-prime mortgages in Australia may be far in advance of what was previously assumed and provided for by banks. The story was <a target="_blank" href="https://www.propertyobserver.com.au/https://www.abc.net.au/news/2012-08-13/mortgage-broker-blows-whistle-on-big-banks/4195920">broken on the ABC</a>, and covered <a target="_blank" href="https://www.smh.com.au/business/a-costly-six-degrees-of-separation-20120413-1wynu">elsewhere</a>. The revelations centred around two personalities: Kate Thompson and Denise Brailey.
Kate Thompson was a licensed mortgage broker at Mortgage Miracles in Western Australia. A highly regarded and award-winning broker, Thompson disbursed a veritable torrent of credit from bank and non-banking lenders to clients wanting funds to buy property, making around $5 million a year from upfront and trailing commissions. She is now facing fraud charges for what amounts to predatory lending: providing credit to people with little to no expectation they will be able to repay the entirety of the loan. This fraud was achieved by fudging the income and assets of clients, making them appear much wealthier on paper than was the case. Soon to face the State Administrative Tribunal in Western Australia, Thompson will provide incriminating evidence that predatory lending is widespread throughout the industry.
Denise Brailey is the president of the <a target="_blank" href="https://www.bfcsa.com.au/">Banking &amp; Finance Consumers Support Association</a>, an organisation dedicated to protecting the public against predatory financiers. Having worked in this field for the last 20 years, criminologist Brailey has seen first-hand the financial and social wreckage wrought by a multitude of scams and predatory lending.
Last week, Brailey gave explosive <a target="_blank" href="/news">testimony before the Senate Economics References Committee </a>alleging wide-scale fraud from banks to brokers.
While her testimony, which covers the period of 2008 to the present, was largely about low-doc loans, her claims extend into the mainstream of full-doc mortgages.
Certainly what emerges is a shock to those who believe the claims of the RBA and regulatory agencies that Australia’s banking and financial system is a picture of prudence and reticence.
The term “non-conforming” denotes a mortgage to an owner-occupier or investor where the loan value does not match the fundamental borrower criteria of tangible assets and income. Low-doc loans are provided to those who have difficulty in proving their income, mainly the self-employed.
In the desire to create bank assets, loans were granted to almost anyone who asked for them. For instance, it was recently revealed that three years ago, <a target="_blank" href="https://www.heraldsun.com.au/news/national/elderly-sent-broke-by-over-the-top-loans/story-fndo45r1-1226447127770">Westpac granted a $440,000 loan</a> to a 98-year-old pensioner.
Brailey testified about the way these loans were conceived. Clients would approach a broker and complete a short form, detailing their current assets and income. Through an online “service calculator” created by the banks, the broker would enter clients’ details and create a highly inflated figure. Amazingly, this would include the imputed rent (the rent that owner-occupiers pay themselves), even if the property being purchased was a vacant block of land.
Anticipated increases in the value of the clients’ principal place of residence – essentially, estimated unrealised future capital gains – are counted as current income. Banks’ own lending criteria suggests that for a low-doc loan to be approved, a person needs to have an ABN for a minimum of two years. Unbelievably, for those without an ABN, the banks were teaching brokers how to go online to create an ABN for a client within a day, often without lenders mortgage insurance (LMI). This was done in the back office after the form was signed, without the clients’ knowledge.
As the form passed through the back channels from broker to bank, the three pages morphed into a higher number, typically 11, up to a total of 39. These extra pages detailed the figures provided by the service calculator. Borrowers, however, never get to see these extra pages, and Freedom of Information requests do not work on the private sector. When asked, banks and their law firms send borrowers on a merry-go-round between them, and of course, low- and moderate-income borrowers don’t have the financial power to sue the banks to get them. Once the figures have been fudged, the loan is approved and the bank grants the mortgage to the client.
Brailey says she has more than 4,000 documents relating to borrowers’ loan applications and emails between the brokers and banks, clearly showing how incomes and wealth were grossly inflated. And this practice is continuing. Brailey contends that of 400 loan applications she has gathered in the last six weeks, not one was free from tampering.
Appallingly, both banks and brokers targeted a segment of the population they called ARIPs: asset-rich, income poor. They identified pensioners, the disabled, retirees and single mothers in this group. Incomes of $40,000 were transformed into $180,000 through accounting manipulation.
Interestingly, the banks provide generous commissions for the mortgage managers, originators and introducers, culminating in the broker at the end of the line. This happens to be a highly inefficient method of allocating mortgages to borrowers, as banks could simply hire more loan officers instead. The reason for this chain, Brailey testified, is to create “<a target="_blank" href="https://www.bfcsa.com.au/images/6linkschain.pdf">six degrees of separation</a>” between the banks and brokers, in order to protect banks by outsourcing responsibility to the brokers to ensure they, not the banks, get the blame for fraud.
Why are banks lending out enormous amounts of credit to anyone who asks for it? The likely cause is the escalation of residential property values over the last 15 years, requiring larger mortgages for property purchases.
To maintain profitability, banks have to keep issuing ever-more credit. Unsurprisingly, the stock of mortgage debt has increased from $180 billion in 1996 to over $1.2 trillion today or <a target="_blank" href="https://www.dailyreckoning.com.au/images/dr20120319b.jpg">85% of GDP</a>, a tremendous financial burden.
The other question is where the regulators have been in all of this. In 2005, Brailey met with Australian Tax Office investigators, but she contends her claims were referred to the Australian Securities and Investments Commission, which did not pursue them. As the financial regulator, it must investigate fraud, especially when substaintial evidence is provided. Accordingly to Brailey, however, “ASIC will not enforce the law. It has decriminalised that which Parliament deemed criminal activity.”
The Reserve Bank of Australia, while not strictly a regulator, has substantial political and economic clout. In its <a target="_blank" href="https://www.rba.gov.au/publications/fsr/2012/mar/pdf/0312.pdf">latest Financial Stability Report</a>, one of the risks it sees is falling asset prices may expose credit quality problems – in other countries. The RBA concludes that Australia’s financial system is stable (just as it did before the global financial crisis in 2008).
The Senate’s report will be an interesting read, though only time will tell how this scenario will play out.
Philip Soos is a researcher at the School of International and Political Studies at Deakin University. This story first appeared on <a href="https://theconversation.edu.au/" target="_blank">The Conversation</a>.
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psoos-uR5EGb6SbQ

Predatory mortgage lending widespread, and there is no regulation

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Consumer sentiment has shifted away from an expectation that mortgage rates will fall further over the next 12 months to expectations that they are just as likely to remain unchanged or rise over this time frame.
Less than a third of consumers (32.5%) who hold a view on mortgage rates expect them to fall over the next 12 months, according to the August Westpac-Melbourne Institute Consumer survey.
Two-thirds of consumers expect either rates to rise (32.7%) or rates to remain unchanged (34.7%), indicating a considerable lack of consensus on where mortgages rates are heading over the medium term.
The extra question on mortgage rates was included as part of the wider benchmark Westpac-Melbourne Institute Consumer Sentiment index in February and June.
The latest August results show a distinct shift away from expectations of future rate cuts in the June survey, when 52% of consumers expected rates to fall – an outright majority if a very slender one.
In the February survey – following the rate cuts in November and December – more respondents (around 40%) expected rates to rise than fall.
The graph below shows just how confused borrowers have become about the future direction of rates – a year ago, more than 70% of borrowers expected (incorrectly, it turns out) that rates would rise over the next 12 months.
Click to enlarge
<a title="Click to enlarge" rel="shadowbox" href="/images/stories/2012/08/westpacaug20.gif"><img src="/images/stories/2012/08/westpacaug20thumb.gif"></a>
According to Westpac senior economist Matthew Hassan, consumers lack of consensus on the rate outlook likely reflects several factors.
“The inflation backdrop looks benign ... consumers see little threat to the RBA’s 2% to 3% target.
“Meanwhile the picture on Australian growth remains mixed.
“Notwithstanding patchy consumer sentiment on the economic outlook, actual growth remains solidly positive. Similarly, despite intense job loss fears official unemployment rates are holding at low levels," Hassan says. 
Hassan says comments from RBA governor Glenn Stevens in recent speeches would likely have reinforced this mixed assessment.
“‘The glass half full' speech in early June and his Anika Foundation address on July 24, entitled 'The Lucky Country', both emphasised Australia’s positive economic prospects.
“Against this though the RBA’s recent decisions, accompanying statements and forecasts indicate the bank is in a 'wait and see' mode.
“Markets continue to favour additional official interest rate cuts with 50 basis points of easing by early 2013 still priced in," Hassan says.
“However, this measure is likely being skewed by investors seeking ‘safe-haven’ assets. Economists also favour rates moving lower with polls showing a median expectation of a 25 basis points reduction by Sep 2013.
“Westpac continues to anticipate 75-basis-point reduction over the same period."
Across the different sub-groups, home owners remain more dovish than those renting but showed a bigger swing since June, suggesting more positive house price news may have been a factor.
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Less than a third of consumers expect RBA rate cut in next 12 months: Westpac consumer survey

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Banks are holding back the property market, according to the Melbourne buyers' agent Mal James.
“I suspect that one of the reasons buyers are increasingly reluctant to stretch themselves at some of the big-ticket auctions is that banks have become increasingly tight-fisted in their lending.
“Their letters of offer are not as forthcoming, and there are clear use-by dates with no guarantees of renewing older bank offers," James says.
James suggests the nervousness is filtering through to valuers, who are responding with lower valuations on bricks-and-mortar securities.
“And, in something of a vicious circle, their new lower valuations are ultimately re-feeding the bankers' nervousness.
“The bankers’ concerns are then being passed on to their clients, the buyers."
James Buyer Advocates analysis of the miserably wet day of Melbourne auctions concluded with a 50% clearance rate among the 32 $1 million-plus auctions the group attended in the inner east and bayside.
"The average number of bidders per auction was 1.5, and half the auctions were one bidder (lone rangers) or (no bidders) ducks," James says.
While noting there is still strong demand for quality stock, James notes there are some major pass-ins on big-name properties including Barwon at 38 Cromwell Road, South Yarra, which received no bids other than a vendor bid of $5 million.
"There were also no bids for the Edwardian at 1097 Malvern Road, Toorak - which passed in at $2.8 million, or the contemporary family home at 16 Banool Ave, which passed in at $2,550,000."
James notes it is not that the banks were necessarily refusing loans, but they arelowering the LVRs (loan-to-value ratios).
“And this in turn is being reflected in more conservative bidding at auctions and private sales,” he says.
“This in turn means there is less money overall in the market – and so you can feel the tightening collars as the money tap is slowly being turned off.”
Melbourne's overall weekend cleareance rate was 58%, which mirrored Sydney's 58% success rate. 
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jchancellor-FAypfDUnLy

Banks holding back the big ticket property market: Mal James

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Most of the low-doc loans banks provided to borrowers would have been rejected if they had made a "simple phone call to the borrowers”, banking consumer advocate Denise Brailey has testified before a Senate inquiry into behaviour of the banking sector post-GFC.
But she says banks chose “in a corporate decision” not to make this phone call to ascertain the true financial circumstances of the borrower.
Brailey, who runs the <a target="_blank" href="https://www.bfcsa.com.au/">Banking and Consumers Finance Support Association (BCFSA)</a>, brought with her to the inquiry a “small bundle” of 4,000 “falsified loan applications", which she said includes applications to every bank in Australia.
“The four majors are in there.
“They are all responsible, through a series of emails from banks to brokers, instructing the brokers how to get their deals across the line — 'make the deal fit' was their usual interpretation."
Brailey’s views are shared by former Mortgage Miracles mortgage broker Kate Thompson, who told the ABC’s 7.30 report that she was earning $5 million a year through low-doc lending, but all based on a “lie”.
“I do not think there was a bank or non-bank lender that wasn't doing it. I — from my files alone, I am certain I could evidence every single bank,” said Thompson, who was WA mortgage broker of the year in 2007 and is now facing fraud charges.
In her August 2012 Senate testimony, Brailey said lenders targeted older people, carers, people on parenting allowance and the aged pension.
According to Brailey, any lender who approved a loan without verifying the loan application data with the borrower was “imprudent, negligent and in many cases just plain reckless”.
In the case of the 25 Australian Bankers' Association (ABA) members, she claims they are "also in breach of their contract with the borrower to assess the borrower's ability to repay the loan, as provided for in article 25 of the Code of Banking Practice".
"No lender, and no holder of loan securities, including the government, should be allowed to maintain any loan which the lender would not have given had it applied the simplest of lending criteria tools—namely, verifying the loan application details with the borrower.
“And that simply was not done,” she said.
During her testimony Brailey described how low-doc lending was facilitated.
“The banks provided commissions for mortgage managers, mortgage originators and mortgage introducers that came down in a chain to employing brokers.”
Brailey also pointed the finger of blame at business development manager (BDMs), who were employed by the banks and who worked with mortgage brokers to get mortgage deals approved.
She says BDMs would teach brokers how to use an online loan servicing calculator and “put in certain parameters such that the calculator, belonging to the bank — engineered by the bank — would actually bring out a figure that was highly inflated, based on a possible rental from a property.
“There is just no truth in the document at all." 
Brailey says  the paperwork suggests brokers were merely following policy changes that were both rapid and carried massive risk, which was to be borne by the consumer.
“We have the loan application forms from over 400 people in the last six weeks. During that time, not one of them is a clean document—each one has been fraudulently dealt with.
“But the brokers will get the blame that they put the figures on, but the figures that they have written in the original loan application form are calculated by the banks' calculator through the system, as taught by the BDMs.
“This structure needs to be looked at before we can even start to work out whether we have a problem here in Australia.
“My evidence shows that we have a massive problem here in Australia with these low-doc loans," she said.
"I want to know what we are going to do about them, because the government has purchased around $20 billion worth of them.”
Brailey was referring to the program instigated by the government's Australian Office of Financial Management (AOFM) to buy mortgage-backed securities from lenders to keep the securitisation market afloat after foreign buyers of these mortgage bundles disappeared in the wake of the GFC.
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Banks 'negligent and reckless' with low-doc loans: Denise Brailey in Senate testimony

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Australia’s biggest apartment developer, Meriton, has been obliged to join<a href="https://www.propertyobserver.com.au/developments/incentives-on-offer-as-waterloo-developers-battle-government-timelines-to-entice-buyers/2012080955910" target="_blank"> </a>a spate of other NSW apartment developers<a href="https://www.propertyobserver.com.au/developments/incentives-on-offer-as-waterloo-developers-battle-government-timelines-to-entice-buyers/2012080955910" target="_blank"> </a>by offering incentives to encourage off-the-plan investors in its apartment projects.
Meriton is currently offering to refund stamp duty on six of its NSW apartment projects following changes announced in June to state government housing incentives. <a target="_blank" href="https://www.propertyobserver.com.au/developments/incentives-on-offer-as-waterloo-developers-battle-government-timelines-to-entice-buyers/2012080955910">Other builders have also come up with their own incentives to encourage sales.</a>
A spokesperson declined to comment on the launch of the incentives.
Meriton boss Harry Triguboff was a vocal critic of the changes to NSW government handouts announced in the June budget, which resulted in investors losing out on generous stamp duty savings, while first-home buyers must wait until October 1 for a more generous scheme if they are buying a new home.
<a target="_blank" href="https://www.propertyobserver.com.au/residential/nsw-budgets-needlessly-complex-artificial-deadlines-have-short-term-and-long-term-consequences-for-residential-property/2012061455119">At the time these changes were introduced Triguboff lamented</a> that they would kill off investors “while still not giving birth to the first-home buyers [until October 1]”.
Up until June 30 anyone, including investors, could save as much as $22,490 under the NSW Home Builders' Bonus, which provided a full stamp duty exemption for new homes up to a value of $600,000.
This has been replaced with a $5,000 government handout for investors and non-first-home buyers for new homes up to a value of $650,000.
First-home buyers can still access handouts worth $27,240 ($7,000 first-home owners grant plus up to $20,240 under the First Home – New Home scheme).
However, under the June budget changes, they will get an extra $8,000 from October 1 with the doubling of the first-home owners’ grant to $15,000, but only if they buy a new house or apartment.
Meriton's stamp-duty refund campaign comes as Meriton continues to acquire sites in Sydney and build its pipeline of future apartment projects.
Meriton has acquired five sites since the start of the year with capacity for over 2,000 units and an end value of $1.3 billion. The most recent purchase was on McEvoy Street in Waterloo, with plans for 220 apartments.
Meriton built 1,438 apartments last year and is expecting to build 1,570 this year, The Australian reported. Triguboff says a high proportion of the apartments will be held as serviced apartments. By the end of the year Meriton will have nearly 6,000 serviced apartments in its portfolio.
Meriton is considering buying a Brookfield's site on the corner of Pitt Street and Bathurst Street in the Sydney CBD, which is proposed as the site for Sydney's tallest residential tower, rising to 65 storeys.
<a target="_blank" href="https://www.meriton.com.au/properties/oceanvale-apartments-warriewood/">Meriton is currently offering a stamp duty refund on its Warriewood development </a>on Sydney’s northern beaches.
Prices start from $330,000 on a studio apartment and $470,000 for a one-bedroom apartment.
Stamp duty payable would be $10,340 on the studio apartment and $16,640 on the one-bedroom apartment, with investors also eligible for the $5,000 state government handout.
The five other projects Meriton is offering stamp duty refunds are:
<ul>
<li>Rhodes Peninsula, apartments prices under $650,000</li>
<li>Epping Park, apartments prices under $650,000</li>
<li>Macquarie, apartments priced under $700,000</li>
<li>Fusion, Arncliffe, apartments prices under $650,000</li>
<li>Alcove, St Ives, apartments prices under $650,000</li>
</ul>
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Meriton looking to encourage off-the-plan buyers with stamp duty savings

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David St Pierre, the former Westpac home finance manager and mortgage broker accused by Today Tonight of selling low-doc loans to elderly pensioners whose funds have seemingly ended up in an alleged investment scam, has been suspending by his broking firm 1300 Home Loans, which is investigating his activities.
John Kolenda, CEO of 1300 Home Loans, says St Pierre was suspending on Friday, August 10, ahead of the expose, which aired on Channel 7’s current affairs program on Monday 13 August.
St Pierre’s 1300 Home Loans page comes up with error messages, but a cached version is still visible.
<img src="/images/stories/2012/08/davidstpierre2.jpg">
“David St Pierre has been suspended pending a full investigation by ourselves,” Kolenda told Property Observer.
Kolenda says St Pierre held accreditations with all the major lenders in the country – mortgage brokers must be accredited with a lender to offer their home loans – and had left Westpac of his own accord.
St Pierre is also listed as a member of the Mortgage and Finance Association of Australia (MFAA) – the peak industry body representing mortgage brokers.
MFAA chief executive Phil Naylor says it is his understanding that St Pierre was not a mortgage broker at the time the alleged loans took place but joined the MFAA subsequently.
“However, in light of the allegations, our disciplinary process is investigating his situation,” he says.
Today Tonight claimed David St Pierre, a former loan manager who worked for 20 years at Westpac, facilitated pensioners and nursing home residents to take out 30-year loans for as much as $440,000 with their funds seemingly ending up in a property investment scheme that promised returns of 15% that allegedly then never got off the ground.
In a statement to Property Observer, Westpac said that a “number of people, including a small number of Westpac customers, appear to be the victims of a sophisticated scam and are suffering financial hardship as a result of borrowing to invest in the scam”. “Westpac is committed to providing appropriate compensation to those customers who have borrowed money from us and who have been the victims of the apparent scam. “We believe that the apparent scam was committed by individuals who were never connected with Westpac's business.   “The matter is presently before the police. “We are strongly encouraging all Westpac customers who believe they are victims of this apparent scam to lodge a formal complaint with the Police so that a full and proper investigation can be undertaken.
"The home finance manager who facilitated entry into the loans is no longer employed by Westpac."
Property Observer contacted David St Pierre for a comment but had not received a reply by the time of publishing.
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Mortgage broker David St Pierre suspended by 1300 Home Loans and facing dual investigations

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Consumer sentiment fell in August despite interest rates remaining on hold and other “favourable” economic factors, according to the August reading of the Westpac–Melbourne Institute Index of Consumer Sentiment.
The overall index fell by 2.5% in August from 99.1 in July to 96.6, partially reversed a rise in the index of 3.7% in July and a smaller rise of 0.3% in June.
Westpac chief economist Bill Evans called the August reading a “disappointing result”, with the index in the "cautiously pessimistic range".
“This is the sixth consecutive month that the index has registered below 100, averaging 96.2.
“This is unusual. The only comparable periods since the recession of the early 1990s are in 2000–01 when the index printed an average of 96.5 over an eight-month period and in 2008–09, when it averaged 88 over a 16-month period.
“That most recent period coincided with the authorities responding with a very aggressive fiscal expansion. In the current period both federal and state governments are entering into substantial fiscal consolidations,” says Evans.
Commsec chief economist Craig James, said there were now "mixed messages on confidence and consumer sentiment"  following yesterday's data showed the weekly Roy Morgan consumer confidence rating at a 13-week high and up 2.1% in August.
"The Roy Morgan rating is up 5.1% on a year ago while the Westpac/Melbourne Institute was up 7.8% on a year ago. Bottom line is that consumer confidence is just OK at present," James says.
"The Reserve Bank will probably be a bit disappointed at the latest consumer confidence results. There are plenty of good reasons for Aussies to be encouraged by the state of their economy, but we are still seeing the glass as half-empty rather than half-full. "CommSec expects the Reserve Bank to maintain its easing bias but it may not follow through with another rate cut until later in the year. Europe, the level of the Aussie dollar and the Chinese economic recovery are the key issues affecting interest rate decisions," says James.
In line with the overall drop in consumer sentiment recorded by Westpac, confidence among Westpac respondents who hold a mortgage fell by 3.9% from 98.8 to 94.9.
In the home-ownership category, tenants are the most optimistic with an index score of 100.4, but this reading fell from 110.4 reading in July.
Those who wholly own their own home scored 97.6, up from 95.1 in July.
The largest decrease of 6.3% was recorded by the component index reflecting family finances compared with a year ago.
This was followed by falls of 3.6% and 3.1%, respectively, in the component indices reflecting good or bad time to buy major household items and about economic conditions over the next 12 months.
Sentiment shifted the most among younger respondents, with decreases greater than 10% recorded by those aged between 18 and 24.
“There has been enough positive news around since the last survey, and generally over the last few months, to have sustained an upswing in consumer sentiment,” says Evans.
“News that retail spending was boosted in the first half of the year; unemployment remains low; the government has released $1.9 billion in fiscal compensation over the May–June period; the Reserve Bank had cut the overnight cash rate by 0.75% in May/June; and the President of the European Central Bank has been promising to "do whatever it takes" to save the euro has been unsuccessful in sustaining an upswing in sentiment.
“Indicative of a more positive global outlook the share market has risen by 2.9% and the Australian dollar has risen from around USD 1.02 to USD 1.05 since the survey in July, the latter also reflecting Australia’s attractive interest rate differential.”
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