<p>Malaysian developer <a href="https://www.apartments.com.au/developers/s-p-setia">SP Setia</a> is the latest to jump into St Leonards booming Transport Oriented Development precinct.</p>

<p>The developer, which has previously delivered Sapphire by the Gardens apartment development in Melbourne, identified the Atchison Street site in 2023. It filed a Scoping Report around 12 months ago, and now has revealed the designs for the new&nbsp;40-storey mixed-use tower.</p>

<p>The State Significant Development Application covers <a href="https://next-portal.urban.com.au/projects/14650/summary">20-22 Atchison Street</a>, a 1,374 sqm site positioned between St Leonards Station and the new Crows Nest Metro station.</p>

<p>Designed by <a href="https://www.apartments.com.au/architects/cox-architecture">COX Architecture</a>, the project would deliver 181 apartments, above a four-storey commercial podium, five basement levels, and new public domain works along Mitchell Street. The apartment mix comprises 35 one-bedroom apartments, 39 one-bedroom-plus-study apartments, 85 two-bedroom apartments, and 22 three-bedroom residences.</p>

<p>The proposal has been lodged as a shop-top housing development under the NSW Government’s TOD planning pathway, which allows increased density around key transport infrastructure. The site sits within the recently rezoned Crows Nest Accelerated TOD Precinct.</p>

<p><img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="b799673d-48e2-46b0-801a-0e33a9330100" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/atchinson%20site.png?VersionId=dPh0UfwfaHpbFL1R7H1cbZNbIW0CHbCC" /></p>

<p>SP Setia acquired the Atchison Street site as part of its continued expansion into the Australian apartment market. In comments made to City &amp; Country (The Edge Malaysia) in 2023, SP Setia President and CEO Datuk Choong Kai Wai described the acquisition as “a strategic move” aligned with the group’s post-pandemic market recovery strategy.</p>

<p>“Our target for this exceptional development is local and overseas buyers, including first-home buyers, downsizers and investors,” Choong said.</p>

<p>The tower has been designed as a slender vertical form rising from a mixed-use podium, with COX Architecture positioning the development as a response to the evolving St Leonards and Crows Nest skyline.</p>

<p>“The purpose of the project is to facilitate the delivery of high-quality housing at a strategically located site and deliver a built tower outcome that is consistent with the desired future character of St Leonards and aligns with the TOD controls,” the design report stated.</p>

<p><img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="b1a85eee-76f7-436c-a6da-73ba827b9b13" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/atchinson%20entry.png?VersionId=dA9jHGPMcm.dDbwk4QfxqWiY5bfh3UVt" /></p>

<p>The podium would incorporate retail uses fronting Atchison Street, commercial tenancies, landscaped communal areas, and pedestrian improvements along Mitchell Street. Vehicle access and loading would be consolidated via Atchison Lane.</p>

<p>Residents would have access to more than 665 sqm of communal indoor and outdoor spaces, while the development proposes 96 parking spaces across five basement levels.</p>

<p>The proposal also includes a commitment for 10 per cent of residential floor space to be allocated toward affordable housing through a monetary contribution.</p>

<p>COX said the tower form responds directly to the emerging high-density character of the precinct while seeking to maximise solar access, cross ventilation, and outlook from apartments.</p>

<p><img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="2163f85c-f63b-4be3-aafa-f8763976cec5" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Article%20Feature%20Image%20%28Grid%29_5.png?VersionId=WiAmtIKJ6.ZQ41EtYEQ1fol7AeorKBlL" /></p>

<p>“The building is orientated towards north,” the Apartment Design Guide compliance report noted, adding that the tower’s slim form was driven by the constrained inner-urban site dimensions.</p>

<p>The design also incorporates landscaped setbacks and communal open space at podium level, intended to soften the interface with surrounding streets and improve pedestrian amenity.</p>

<p>The project adds to a growing wave of redevelopment proposals reshaping St Leonards and Crows Nest following the opening of the Sydney Metro City line and the NSW Government’s push for higher-density housing around major transport nodes.</p>

<p>Last week Stockland filed plans just down the road. They want to build a <a href="https://www.apartments.com.au/new-apartments/601-pacific-highway-st-leonards-nsw-2065">52-storey tower on Pacific Highway</a>.</p>

<p><em>Read more:&nbsp;<a href="https://www.apartments.com.au/news/nsw/first-look-stockland-plans-52-storey-538-apartment-st-leonards-tower">First look: Stockland plans 52-storey, 538-apartment St Leonards tower&nbsp;</a></em></p>


Joel Robinson

First look: SP Setia targets St Leonards skyline with 40-storey TOD tower

<p><a href="https://www.apartments.com.au/developers/urban-property-group">Urban Property Group</a> has revealed plans for a new mixed-use tower at 10 Dangar Street, Wickham, advancing a proposal that would reshape the southern gateway to Newcastle’s city centre with one of the city’s tallest residential buildings.</p>

<p>The State Significant Development proposal, now on exhibition, seeks approval for a <a href="https://www.apartments.com.au/new-apartments/bowline-10-dangar-street-wickham-nsw-2293">43-storey tower</a> immediately adjacent to the Newcastle Interchange. The project would deliver around 200 apartments, including 42 affordable housing dwellings, alongside 99 co-living units, a 171-room hotel, retail space, and new public domain integrated through the site.</p>

<p>The scheme marks a significant escalation of plans previously approved for the site. Urban Property Group took over the prominent 2,904 sqm parcel, where excavation and demolition had already commenced under an earlier consent for a 14-storey mixed-use development.</p>

<p><img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="58a96dd9-407f-4d20-86b4-94e4bfeef74b" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20podium.png?VersionId=LGlf08pdFGAZDzvx_CXC4XakHNZRuEE0" /></p>

<p>Designed by <a href="https://www.apartments.com.au/architects/sjb-architects">SJB</a>, the tower has been conceived as a landmark transit-oriented development anchored to the Newcastle Interchange precinct. The proposal includes 245 build-to-sell apartments across a mix of one, two, and three-bedroom residences, as well as two penthouses. Fifteen apartments and one operational unit are earmarked for NDIS housing. The co-living component would add a further 99 units, while the podium would accommodate retail uses and hotel facilities.</p>

<p>SJB said the site presents “a valuable opportunity to anchor the precinct by setting the standard for design, active ground planes and character at the key southern gateway.”</p>

<p>The architecture responds directly to the site’s position beside major transport infrastructure and within one of Newcastle’s fastest-evolving urban renewal precincts. The tower form sits above a sculpted podium designed to frame new public spaces, including a through-site pedestrian link connecting Station Street to Hannell Street, landscaped plazas, and activated retail edges.</p>

<p><img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="a7bd6ff0-f7db-4ce8-a6dc-ea56e72c6149" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20lanne.png?VersionId=xzf39VADyhj7zBQY2I9fx9vI62u2tuSb" /></p>

<p>The design report describes the project as part of the broader transition of Wickham into “a vibrant, high-quality mixed-use urban precinct” that leverages proximity to the station, open space, and regional connectivity.</p>

<p>A detailed public art strategy has also been prepared for the development. The strategy positions the project as “a transit-oriented development of state significance at the gateway to Newcastle’s city centre” and outlines a series of integrated artworks responding to Newcastle’s industrial and transport heritage.</p>

<p>Creative Road’s curatorial framework for the project, titled Unveil, draws on “stratified surfaces, carved volumes, and light-filled apertures” while referencing Newcastle’s transformation from an industrial city into a contemporary education and technology hub.</p>

<p><img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="77a882bb-14b1-4d28-99ff-9438e39508c0" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20site.png?VersionId=cevgo_vN0eKPK78P8YcEu3mKPLkpFqE7" /></p>

<p>The proposal is being advanced through the NSW Housing Delivery Authority pathway after being declared State Significant Development in June 2025. The accompanying scoping report states the development aims to “maximise the site’s proximity to the Newcastle Interchange by delivering transit-oriented development” while increasing housing supply and affordable housing provision within the Newcastle LGA.</p>

<p>Urban Property Group’s plans align with the long-term strategic vision established under the Wickham Master Plan, which identified the interchange precinct as suitable for substantial uplift in height and density. The current proposal would significantly intensify that vision, positioning the tower among the tallest developments proposed for Newcastle.</p>

<p>The site sits immediately north of the Newcastle Interchange, bounded by Dangar Street, Hannell Street, and Charles Street. It is surrounded by a rapidly growing cluster of residential towers and mixed-use projects that have emerged following the completion of the light rail and transport interchange.</p>


First look: Urban Property Group unveils Newcastle’s latest tower at Wickham interchange

<p>Bottega House has completed settlement of a landmark riverfront site in Macquarie Street, St Lucia, representing its first major Brisbane development.&nbsp;</p>

<p>Positioned on the banks of the Brisbane River, the <a href="https://www.apartments.com.au/new-apartments/180-macquarie-street-st-lucia-qld-4067">premium site at 180 Macquarie Street</a> features uninterrupted river frontage in one of Brisbane’s most tightly held residential precincts.&nbsp;</p>

<p>The proposed development, currently under assessment with Brisbane City Council, has been designed by <a href="https://www.apartments.com.au/architects/plus-studio">Plus Studio</a> with interiors by <a href="https://www.apartments.com.au/interior-designers/mim-design">Mim Design</a> and will deliver a boutique collection of premium residences positioned specifically for owner occupiers and downsizers.&nbsp;</p>

<p>The residences are set to redefine luxury apartment living in the area, with a focus on architectural quality, refined finishes, landscape integration and elevated amenities including curated wellness facilities, resort-style pools and recreation spaces rarely seen in the local market.&nbsp;</p>

<p>Exclusive sales for the project will be led by Keenan &amp; Byrne, ahead of an anticipated launch later this year.&nbsp;</p>

<p>Bottega House Managing Director Nick Malloch said the project reflects the group’s ambition to deliver a highly curated residential offering within one of Brisbane’s most tightly held precincts.&nbsp;</p>

<p>“This is an incredibly rare riverfront opportunity and one we have approached with a long-term perspective,” Malloch said.&nbsp;</p>

<p>“Our vision from the outset was to create a boutique collection of residences that feel more like private homes than traditional apartments, with generous proportions, refined finishes and exceptional amenity throughout."</p>

<p>Malloch says there is a&nbsp;lack of premium owner-occupier stock of this quality in the market, particularly for downsizers wanting space, privacy and a true lifestyle offering without compromise.&nbsp;</p>

<p>"Demand is expected to be strong given the scarcity of premium riverfront opportunities of this nature within Brisbane’s inner-west."&nbsp;</p>


Bottega House secures landmark riverfront site in St Lucia 

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<p data-end="157" data-start="0">The arrival of the first piling rig officially marks the commencement of construction at SIERA’s new beachside apartment development, Exhale, in Northcliffe.</p>

<p data-end="459" data-start="159"><a href="https://www.apartments.com.au/new-apartments/exhale-surfers-paradise-8-enderley-avenue-surfers-paradise-qld-4217">Exhale</a>, a glass-encased tower featuring 54 large-scale apartments at 8 Enderley Avenue, is SIERA’s third Gold Coast development. It follows the recently completed PIPIS Bilinga beachfront project, which achieved suburb-record prices, and the soon-to-be-completed Chevron Island development, Tapestry.</p>

<p data-end="459" data-start="159">[smartcode_project:default project_id=112661 project_image_fid=359603]</p>

<p data-end="651" data-start="461"><a href="https://www.apartments.com.au/developers/siera">SIERA</a> Founder and Managing Director Brent Thompson said the arrival of the piling rig represented a significant milestone for the development, which is scheduled for completion in late 2028.</p>

<p data-end="950" data-start="653">Over the next month, around 260 piles are expected to be installed as work progresses on the basement structure. The building is anticipated to rise above ground level early next year, before unveiling its sculptural glass curtain wall, developed in collaboration with specialist façade engineers.</p>

<p data-end="1081" data-start="952">“The façade was designed to maximise panoramic coastal views while creating a distinctive architectural identity,” Thompson said.</p>

<p data-end="1081" data-start="952">[smartcode_project:default project_id=112661 project_image_fid=355935]</p>

<p data-end="1307" data-start="1083">Designed by BDA Architecture, Exhale will comprise just 54 two- and three-bedroom residences across 26 levels, a level of low-density living rarely delivered in this beachside pocket between Surfers Paradise and Broadbeach.</p>

<p data-end="1522" data-start="1309">The project has been conceived as a resident-only building, with no short-stay accommodation permitted. SIERA says the model is intended to appeal to long-term owner-occupiers rather than transient holiday demand.</p>

<p data-end="1522" data-start="1309">[smartcode_project:default project_id=112661 project_image_fid=361052]</p>

<p data-end="1714" data-start="1524">Residences have been designed with large-format layouts and expansive glazing, with most apartments featuring more than 30 metres of glass frontage to maximise natural light and ocean views.</p>

<p data-end="1945" data-start="1716">The amenity offering spans two levels and centres on wellness and lifestyle, including a heated magnesium pool, sauna, yoga and Pilates studio, gymnasium, private dining facilities, cinema lounge, and dedicated surfcraft storage.</p>

<p data-end="1945" data-start="1716">[smartcode_project:default project_id=112661 project_image_fid=359607]</p>

<p data-end="2220" data-is-last-node="" data-is-only-node="" data-start="1947">More than half of the apartments have already sold. SIERA has also opened a sales gallery for Exhale at its Chevron Island commercial premises, near its Tapestry tower and the site of its second Chevron Island apartment development, which is slated to launch in early 2027.</p>
</section>
</section>

<p>[smartcode_project_cta:default project_id=112661]</p>


SIERA kicks off construction at Northcliffe tower Exhale

<p data-end="320" data-start="79">Local Little Bay residents, along with buyers from premium postcodes across Sydney’s affluent Eastern Suburbs, have dominated purchases in developer-builder Urban Property Group’s first Eastern Suburbs apartment development, <a href="https://www.apartments.com.au/new-apartments/este-little-bay-jennifer-street-little-bay-nsw-2036">ESTE Little Bay</a>.</p>

<p data-end="638" data-start="322">The $250 million coastal project, one of the first new developments in the area in several years, has proven particularly popular with downsizers, especially those from Coogee and Bondi. One Double Bay downsizer paid $4.7 million for a four-bedroom penthouse, setting a new local apartment price record in the process.</p>

<p data-end="864" data-start="640">Buyers have been attracted to the combination of coastal tranquillity, premium design and amenity-rich neighbourhood living. The walkable village setting, along with proximity to three of Sydney’s leading golf courses, New South Wales Golf Club, St Michael’s Golf Club and The Coast Golf Club, has also been a key drawcard.</p>

<p>[smartcode_project:default project_id=112343 project_image_fid=352689]</p>

<p>Built across two low-rise buildings designed by <a href="https://www.apartments.com.au/architects/hill-thalis-architecture-urban-projects-pty-ltd">Hill Thalis</a> and set along a lush, landscaped green spine, designed by leading landscape architect <a href="https://www.apartments.com.au/landscape-architect/arcadia-landscape-architecture">Arcadia</a>, ESTE Little Bay offers a collection of one, two, three and four-bedroom residences with interiors by Richards Stanisich.</p>

<p><a href="https://www.apartments.com.au/developers/urban-property-group">Urban Property Group</a> Sales Director, Tom McIvor said the response to ESTE has been "nothing short of extraordinary."</p>

<p>“Buyers have been quick to recognise ESTE as a rare opportunity to invest in a coastal sanctuary that offers both seclusion and connectivity to the heart of Sydney,” McIvor said.</p>

<p>[smartcode_project:default project_id=112343 project_image_fid=352687]</p>

<p><a href="https://www.apartments.com.au/project-marketer/srm-residential">SRM Residential</a> Senior Director, <a href="https://www.apartments.com.au/project-marketer/srm-residential">Clayton Ross</a> said the local market has responded incredibly well, driven by ESTE’s exceptional location and the rarity it offers.</p>

<p>“We’ve seen strong interest from a variety of buyer groups, all of whom are drawn to the exclusivity and quality of the build and construction by the 4.5-star iCIRT-rated builder / developer, Urban Property Group. There’s truly nothing else like it along Sydney’s coastline.”</p>

<p>[smartcode_project:default project_id=112343 project_image_fid=352690]</p>

<p>The project also includes robust buyer protections, including Resilience Insurance’s Latent Defects Insurance, providing 10 years of structural cover, and an independent iCIRT-rating of the developer.</p>

<p>“The iCIRT-rating adds another layer of confidence,” Ross added. “Buyers see it as a safeguard for their investment and their lifestyle.” A highlight of ESTE’s offering is its exclusive wellness amenities, including a heated rooftop infinity pool and outdoor heated spa, a state-of-the-art Technogym fitness centre, and a sauna.</p>

<p><a href="https://www.apartments.com.au/new-apartments/este-little-bay-jennifer-street-little-bay-nsw-2036">ESTE Little Bay</a> is topped out and is on track to complete towards the end of 2026, with residents moving in before Christmas.</p>

<p>[smartcode_project_cta:default project_id=112343]</p>


Eastern Suburbs buyers snap up ESTE Little Bay apartments

<p>Sydney’s property market is known for high prices, competitive bidding, and mounting pressure on first home buyers. But change is on the horizon.</p>

<p>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;</p>

<h2>What is the Help to Buy Scheme?</h2>

<p>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.</p>

<p>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).</p>

<p>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.</p>

<p>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.</p>

<p>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.</p>

<p>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.</p>

<h2>How do you qualify for the&nbsp;Help to Buy Scheme?</h2>

<p>To qualify for the Help to Buy Scheme, applicants must meet the following conditions:</p>

<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>

<p>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.</p>

<p>The scheme is expected to commence in NSW in late 2025, as part of a national rollout.</p>


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

<p>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.</p>

<p>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.</p>

<p>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.</p>

<p>Below, we provide a breakdown of the First Home Owner Grants available across Australia, outlining the specific details for each state and territory.</p>

<h2>New South Wales First Home Owner Grant</h2>

<p><strong data-end="252" data-start="225">First Home Owner Grant:</strong> 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.</p>

<p><strong data-end="413" data-start="389">Stamp Duty Benefits:</strong> Provides full stamp duty exemption for homes valued up to $800,000, with concessions available for properties up to $1 million.</p>

<h2>Victoria South Wales First Home Owner Grant</h2>

<p><strong>First Home Owner Grant:</strong> Provides a $10,000 grant for first-home buyers purchasing or building new homes valued up to $750,000.</p>

<p><strong>Stamp Duty Benefits</strong>: Offers full stamp duty exemption for properties up to $600,000, with concessions available up to $750,000.</p>

<h2>Queensland First Home Owner Grant</h2>

<p><strong data-end="920" data-start="893">First Home Owner Grant:</strong> 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.</p>

<p><strong data-end="1162" data-start="1135">Stamp Duty Concessions:</strong> Provides additional concessions for properties valued up to $800,000.</p>

<h2>Western Australia First Home Owner Grant</h2>

<p>&nbsp;</p>

<p><strong>First Home Owner Grant:</strong> 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.</p>

<p><strong>Stamp Duty Concessions:</strong> Available for homes valued up to $600,000 for transactions entered into on or after 9 May 2024.</p>

<h2>Australian Capital Territory First Home Owner Grant</h2>

<p><strong data-end="1617" data-start="1590">First Home Owner Grant:</strong> Replaced by the Home Buyer Concession Scheme, offering full stamp duty concessions for eligible buyers.</p>

<h2>South Australia First Home Owner Grant</h2>

<p><strong>First Home Owner Grant:</strong> 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.</p>

<p><strong>Stamp Duty Relief:</strong> Available for new homes and vacant land purchases.</p>

<h2>Tasmania First Home Owner Grant</h2>

<p><strong>First Home Owner Grant</strong>: Offers a $10,000 grant for new homes and off the plan purchases.</p>

<p><strong>Stamp Duty Exemption</strong>: 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.</p>

<h2>Northern Territory First Home Owner Grant</h2>

<p><strong>First Home Owner Grant:</strong> The Northern Territory provides a $10,000 grant for new homes only. Additional government grants and concessions are available for first home buyers.</p>

<p><strong>Stamp Duty Exemption</strong>: The only stamp duty exemption available to property buyers is the House and Land Package Exemption (HLPE).</p>

<p><em>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.</em></p>


Every First Home Owner Grant for new property by state

<p>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.</p>

<p>Australia has multiple building rating systems that evaluate energy efficiency and sustainability in existing and new building designs.</p>

<p>Some systems assess individual building components, while others provide an overall rating for the entire structure.</p>

<p>A rating system ensures that homes are comfortable and energy-efficient, whether you are buying, renovating, or building.</p>

<p>NatHERS (Nationwide House Energy Rating Scheme) is a common way for new homes to meet energy efficiency requirements.</p>

<p>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.</p>

<h2>What is NatHERS?</h2>

<p>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;</p>

<p>NatHERS ratings are the most common way new homes meet the National Construction Code's (NCC's) minimum energy efficiency requirements.&nbsp;</p>

<p>NatHERS assessments provide thermal and whole-home ratings for new homes, townhouses, and apartments.</p>

<p>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.</p>

<h2>How NatHERS Ratings Work</h2>

<p>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.</p>

<p>The tools can model complex effects of building mass, insulation, window size, and other elements.</p>

<p>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.</p>

<p>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;</p>

<p>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.</p>

<p>Anyone can use NatHERS tools, but accredited assessors can provide certified ratings and professional advice.</p>

<h2>Benefits of Higher NatHERS Ratings</h2>

<p><strong>Energy Efficiency:</strong> 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.</p>

<p><strong>Cost Savings:</strong> 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.</p>

<p><strong>Environmental Impact:</strong> 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.</p>

<p><strong>Improved Comfort: </strong>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.</p>

<p><strong>Market Value and Desirability:</strong> 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.</p>

<p><strong>Compliance with Building Codes:</strong> 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.</p>


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?

<p>Mixed-use developments have gained significant popularity across Australia in recent years due to their unique blend of residential, commercial, and recreational spaces.</p>

<p>Unlike traditional single-purpose developments, mixed-use projects offer a harmonious integration of various functions within a single locale.</p>

<p>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.</p>

<h3>Convenience and accessibility</h3>

<p>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.</p>

<p>[smartcode_project:default project_id=114215 project_image_fid=204874]</p>

<p>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.</p>

<h3>Vibrant lifestyle and community</h3>

<p>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.</p>

<p>[smartcode_project:default project_id=107714 project_image_fid=214122]</p>

<p>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.</p>

<h3>Potential for higher rental yields and property value appreciation</h3>

<p>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.</p>

<p>[smartcode_project:default project_id=139989 project_image_fid=212887]</p>

<p>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.</p>

<h3>Enhanced security and maintenance</h3>

<p>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.</p>

<p>[smartcode_project:default project_id=108019 project_image_fid=212658]</p>

<p>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.</p>

<h3>Live-work-play balance</h3>

<p>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.</p>

<p>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.</p>


alisonwarters@gmail.com

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

<p style="line-height: 1.38;">When buying a property, everyone needs to be aware of the additional costs that come as part of the buying process.</p>

<p style="line-height: 1.38;">Often the largest outlay, after the deposit which goes to the bank, is stamp duty.</p>

<h2 style="line-height: 1.38;">What is Stamp Duty?</h2>

<p>Stamp duty is an extra tax to pay the government when you buy land, a property, and other certain assets.</p>

<p>It happens when the legal ownership is transferred. It can also be known as property transfer duty or transfer duty.</p>

<p style="line-height: 1.38;"><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></p>

<h2>Who pays Stamp Duty?</h2>

<p>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.</p>

<h2>How much does Stamp Duty cost?</h2>

<p>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.</p>

<p>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!</p>

<p>Overall, the stamp duty you need to pay will depend on:</p>

<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>

<p style="line-height:1.38">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.</p>


Ellen Walker

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

<p>Prominent New Zealand apartment and hotel operator, <a href="/developers/safari-group">Safari Group</a>, is offering up a prime investment opportunity for Australians to purchase off the plan in one of the world’s most popular ski destinations.</p>

<p>They recently took to market Mountain Oak Queenstown Apartments, in the growing precinct of Remarkables Park in Frankton, near the airport and at the foot of The Remarkables - the mountain range the locals like to call “The Remarks”.&nbsp;</p>

<p>Sydney investors have shown interest in the one, two and three-bedroom apartments that secure high-season occupancy six months over the year, primarily over summer and winter months.</p>

<p>They average 90 per cent occupancy across their portfolio over January, February, March, August, November and December, while shoulder season months of April, July, September and October are still occupied 70 per cent of the time, with the growing appeal of Queenstown becoming not just a hotspot for the snow, but a lifestyle destination.</p>

<p>Even in the low seasons of May and June, occupancy levels reach around 40 per cent.</p>

<p><img alt="Safari Group’s Mountain Oak Apartments brings new investment potential to Queenstown" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/f_auto,c_limit,w_1440,q_auto/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/field/image/Ext_Cam15_Sunny.jpg?VersionId=SJAROUM_1s.Tr5ciMk4EEj5oAt_Vewmv" /></p>

<p>Safari’s Safari Hotels arm can also manage the holiday letting for an investor, from the listing on holiday accommodation websites such as Airbnb and Booking.com to the cleaning and maintenance of the investment. They’ve been in the short stay management business for 15 years and offer 24/7 support for investors, an important convenience benefit for any overseas investor</p>

<p>Another major drawcard for Australians is that New Zealand doesn’t have a stamp duty policy - so the entry price of NZ$639,000 (AU$586,000), is all that is payable on completion.</p>

<p><img alt="Safari Group’s Mountain Oak Apartments brings new investment potential to Queenstown" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,dpr_2.0,q_auto:good/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/313_Livingv2_WEB.jpg?VersionId=nV229fM0ZeYpoxOrX372HyGjfwY_LR8c" /></p>

<p>Safari is starting construction of the 141 apartments in Q2 this year, with a two-year build estimated to complete in mid-to-late 2027.<span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><img alt="" data-entity-type="" data-entity-uuid="" height="15" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXczFpFAb7WuA6f4f9TtKWcqXyNwR8qqtakWv352ERkpqNlP3KwIo8YKxw67jZNHfpjEGIZGv5MQTbnvLZwNt8iu9IVdOrswOjCvBZ4zhSoOOLrpt6etVEZTN1gkBho0r_R72zdHNA?key=yq3daOanqHSb88QFd8jGYKdb" title="Click and drag to move" width="15" /></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span><span><span><span><span><span><span>​</span></span></span></span></span></span></p>

<p>The apartments will feature modern amenities and contemporary designs with expansive windows capturing sweeping views of The Remarkables mountain range.&nbsp;</p>

<p>Interiors are equipped with modern finishes, premium appliances, and secure electronic key-locked doors, ensuring a comfortable living experience for residents and guests alike.</p>

<p>With its strategic location near Coronet Peak and Cardrona Alpine Resort, as well as key retail and dining precincts such as Market Street, Five Mile Shopping Centre, and Remarkables Market, Mountain Oak offers a strong proposition for investors seeking high rental yields and capital appreciation in one of New Zealand’s most sought-after locations.&nbsp;</p>

<p>Queenstown’s sustained demand for visitor accommodation and rental properties is underpinned by a shortage of housing options, attracting both local and international buyers.</p>


Safari Group offers low-touch investment proposition in Queenstown’s popular ski fields district

<html><body>
<p class="Body"><span style="line-height: 1.3em;">The image-makers who groom politicians think we’re simplistic creatures easily led. Primary school mantras like “stop the boats” will get us every time, apparently. Of course, if they were right, no one would ever lose an election.</span><span style="line-height: 1.3em;"> </span></p>
<p class="Body">Queensland’s Premier Anna Palaszczuk, not the sharpest tool in the political shed, clearly thinks the “jobs, jobs, jobs” song sheet is the best one to sing from. She and her ministers are chanting this mantra in front of cameras every day.</p>
<p class="Body">But it doesn’t matter how good the song, if the singer is tone deaf it’s still going to jar with the listener.</p>
<p class="Body">So the Premier’s big pitch to justify a mining lease to Indian corporate villain Adani for a mega-billion coal mine - jobs for Queenslanders, jobs for locals, jobs for everyone north of the NSW border - had a hollow sound. You could see in her delivery at the press conference that she didn’t really believe it herself.<span style="line-height: 1.3em;"> </span></p>
<p class="Body">She is no doubt aware of Adani’s track record of being big on rhetoric and small on delivery. Already the company is pulling back from earlier statements about starting work and there is unlikely to be any action in the next 12 months.</p>
<p class="Body">The company won’t even make the key investment decision until some time in 2017. It has been unable to find a bank willing to lend for the project and there will continue to environmental opposition and court challenges.</p>
<p class="Body"> <span style="line-height: 1.3em;">As one major newspaper commented: “Much is the wailing and gnashing of teeth at the move by the Queensland government to approved the project, but this approval is entirely political. It’s all about the appearance of commitment to jobs – jobs that will never occur unless the coal price doubles.”</span></p>
<p class="Body">If and when the project goes ahead, the modern trend of flying in your workers from distant locations and accommodating them in temporary workers camps will seriously dilute the economic and property market benefits in Central Queensland.</p>
<p class="Body">To recap, this week the Queensland Government issued the mining lease Adani needs to proceed with its Carmichael mega coal mine in the Galilee Basin. I’ve seen many different cost estimates for this project, anywhere between $8 billion and $15 billion.</p>
<p class="Body">Whichever way you look at it, it’s a massive project. The proponent says there will be 4,875 jobs in building and operating the mine, plus 1,520 jobs in building and operating the rail link to Abbot Point. There will be, allegedly, a $4.1 billion boost to the economy.<span style="line-height: 1.3em;"> </span></p>
<p class="Body">But can we believe the numbers about jobs and economic benefits, and will it make any difference to ailing property markets in Central Queensland?</p>
<p class="Body">The mine site is a long way from major population centres. This will be a FIFO operation with temporary accommodation camps set up close to the mine. And we’ve seen what happens to local towns when mining companies bypass the local communities and hire workers from outside the area, flying them in from distant locations.</p>
<p class="Body">Moranbah, Gladstone and Emerald are examples. All attracted major development of new dwellings from builders who expected rising demand for local houses and services, not understanding that most would be flying in and staying in camps. Massive oversupply resulted, causing rents and property values to fall.<span style="line-height: 1.3em;"> </span></p>
<p class="Body">The existence of major resources developments puts pressure on local towns, for example its medical services - but they derive few of the benefits because most of the workers don’t live locally and they don’t spend locally. They take their fat pay packets back home, which might be Brisbane, the Sunshine Coast, Sydney or Perth.</p>
<p class="Body">So the core message is that there will be no property boom, if and when Adani eventually does go ahead with its mega project.</p>
<p class="Body">And, in terms of jobs for locals – there will be few, if any.</p>
<p class="Body"><em>Terry Ryder is the founder of <a href="https://www.hotspotting.com.au/" target="_blank">hotspotting.com.au</a>. You can <a href="https://mailto:ryder@hotspotting.com.au" target="_blank">email him</a> or follow him on <a href="https://twitter.com/hotspotting" target="_blank">Twitter.</a></em></p>
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terryryder-YECXbqmri2

No property boom from Queensland's latest FIFO mining project: Terry Ryder 

<html><body>
<p>The number of homes being taken to auction is continuing to increase with 1,677 capital city homes scheduled to go under the hammer this week.</p>
<p>While Sydney had more auctions than Melbourne over the past two weeks, this week, Melbourne’s auction activity is set to rise, bringing the total number of residential auctions to 730, as opposed to the 624 scheduled for Sydney.</p>
<p>This week, auction volumes are higher than last week in the two major auction markets of Melbourne and Sydney, while they remain relatively steady across the remaining capital cities.</p>
<p><span style="text-decoration: underline;"><strong>Capital </strong></span><span style="text-decoration: underline;"><strong>City Auctions this week:</strong></span></p>
<ul>
<li>
<strong>Sydney</strong><strong>: </strong><strong>624</strong>
</li>
<li>
<strong>Melbourne: </strong><strong>730</strong>
</li>
<li>
<strong>Brisbane: </strong><strong>145</strong>
</li>
<li>
<strong>Adelaide: </strong><strong>70</strong>
</li>
<li>
<strong>Perth: </strong><strong>32</strong>
</li>
<li>
<strong>Canberra</strong><strong>: 65</strong>
</li>
</ul>
<p>The three busiest individual suburbs for auctions this week are all located in Melbourne, with 17 auctions scheduled to take place in Mount Waverley, 16 in Reservoir and 14 in Preston.</p>
<p><span style="text-decoration: underline;"><strong>Summary of last week’s results:</strong></span></p>
<p><a href="/images/2016/04/7/20160407-cc-table.png" target="_blank">Click to enlarge</a></p>
<p><img src="/images/2016/04/7/20160407-cc-table.png" alt=""></p>
<p>Across the combined capital cities, clearance rates softened last week from 70.9 percent for the previous week to 66.6 percent last week. Much of the fall in clearance rates was driven by Sydney, which was the busiest auction market over the week, host to 664 auctions and recorded a clearance rate of 69.8 percent, far lower than the 77.9 percent over the previous week.</p>
<p>In Melbourne, the auction clearance rate remained relatively steady, down to 69.2 percent from 71.4 percent the previous week.</p>
<p><a href="/images/2016/04/7/20160407-graph.png" target="_blank">Click to enlarge</a></p>
<p><img src="/images/2016/04/7/20160407-graph.png" alt=""></p>
<p>Despite the fall in Sydney’s auction clearance rate, there were some very strong sub-regions in the city. City and Inner South (91.4 percent) and Eastern Suburbs (90.5 percent) both saw clearance rates in excess of 90 percent, while in Parramatta only one third of auctions were successful.</p>
<p>The strongest clearance rate across Melbourne was 76.3 percent in the Inner East.</p>
<p>Of the other capital city auction markets, Adelaide was the best performer last week with 71.2 percent of auctions clearing, while in all other cities only around half of the properties taken to auction resulted in a sale.</p>
<p><a href="/images/2016/04/7/20160407-sub-region.png" target="_blank">Click to enlarge</a></p>
<p><img src="/images/2016/04/7/20160407-sub-region.png" alt=""></p>
<p> </p>
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smiller-vwPjRHTkST

Melbourne auction levels outpacing Sydney: CoreLogic RP Data's Shana Miller

<html><body>
<p><span style="line-height: 1.3em;">In case it wasn't already obvious from reading this blog, I absolutely love analysing data flows, and I particularly love it when the numbers "just work"!</span></p>
<p>Immigration and population growth is a great case in point.</p>
<p>There was a huge surge in immigration and population growth to more than 450,000 per annum through the mining boom, which naturally slowed as the peak was passed and unemployment began to rise.</p>
<p>I've been hinting on this blog for a while that population growth probably bottomed out in 2015 and by now is probably rising again, though I haven't had any hard data to back that up just yet.</p>
<p>This is partly because a better performing Australian economy is now attracting more migrants - annual employment growth of about +2.3 per cent has been far outpacing population growth of about +1.3 per cent, helping the unemployment rate to cascade into a 28 month downtrend.</p>
<p>And secondly because, largely unrecognised by commentary, a relaxation of visa rules will see tens of thousands of international students acquire permanent residency through the "back door" of higher education.</p>
<div><strong><span style="text-decoration: underline;">Immigration rises again</span></strong></div>
<div> </div>
<div>There was a significant +14 per cent year-on-year jump in the number of permanent and long term arrivals in February to 91,590, while the number of permanent and long term departues wasn't much changed at +31,700, for a net monthly inflow of just under 60,000.</div>
<div> </div>
<div>I wouldn't read too much into one month of figures, granted, but mapping the data on a rolling annual basis showed a rise in net immigration for the first time in two years. </div>
<div id="post-body-6916561749567946338" class="post-body entry-content">
<br><a href="/images/2016/04/8/A3.jpg" target="_blank">Click to enlarge</a>
</div>
<div class="post-body entry-content">
<img src="/images/2016/04/8/A3.jpg" alt=""><br><br><div>The share of settlers from Asia over the year to February continued to increase to its highest ever level at +58.1 per cent, largely at the expense of arrivals from the United Kingdom and New Zealand. </div>
<br><a href="/images/2016/04/8/A4.jpg" target="_blank">Click to enlarge</a>
</div>
<div class="post-body entry-content">
<img src="/images/2016/04/8/A4.jpg" alt=""><br><div> </div>
<div><strong><span style="text-decoration: underline;">Record short term arrivals help rebalancing</span></strong></div>
<div> </div>
<div>The lower dollar is very slowly but surely helping the rebalancing of the economy, with a record 7.55 million short term arrivals in the year to February.</div>
<div> </div>
<div>Australia is a wealthy nation when measured in per capita terms, yet provided the dollar stays low enough for long enough evenutally there could even come a time when short term arrivals match the number of our own overseas trips, as more Aussies opt to holiday at home, thereby boosting the economy. In the words of British Rail, "we're getting there".</div>
<br><a href="/images/2016/04/8/A5.jpg" target="_blank">Click to enlarge</a>
</div>
<div class="post-body entry-content"> </div>
<div class="post-body entry-content">
<img src="/images/2016/04/8/A5.jpg" alt=""><br><div> </div>
<div>The annual number of short term arrivals from China, Hong Kong &amp; Taiwan (1.44 million) is poised to eclipse those from New Zealand &amp; Oceania imminently (1.49 million). </div>
<br><div class="separator"><a href="/images/2016/04/8/A1.jpg" target="_blank">Click to enlarge</a></div>
<div class="separator"><img src="/images/2016/04/8/A1.jpg" alt=""></div>
<br><strong><span style="text-decoration: underline;">Education arrivals going vert!</span></strong><br><br><div>With the share of overseas born Aussies now at a 120 year high, more than 2 million persons per annum are venturing Down Under to visit friends and relatives, which in turn reinforces the strength in the number of visitors from Asia. </div>
<br><a href="/images/2016/04/8/A6.jpg" target="_blank">Click to enlarge</a>
</div>
<div class="post-body entry-content">
<img src="/images/2016/04/8/A6.jpg" alt=""><br><div> </div>
<div>The most significant demographic shift of all has been the near-exponential surge in education arrivals, which bolted to another new record high of 95,100 in February, taking the annual total past half a million for the first time on record. </div>
<div> </div>
<div class="separator"><a href="/images/2016/04/8/A2.jpg" target="_blank">Click to enlarge</a></div>
<div class="separator"><img src="/images/2016/04/8/A2.jpg" alt=""></div>
<br><div class="separator">This is extremely significant, as in the years ahead tens of thousands of these international students will become permanent residents, largely in the largest capital cities.</div>
<div class="separator"> </div>
<div class="separator"><strong><span style="text-decoration: underline;">The wrap</span></strong></div>
<div> </div>
<div>Well, it has certainly been a while coming, but February saw the first rebound in immigration in a couple of years.</div>
<div> </div>
<div>In truth, population growth never really slowed that much in the largest capital cities anyway - still chugging along at a thunderous 80,000 to 90,000 per annum - the slowdown was more of a resources and a regional thing. </div>
<div> </div>
<div>In any case from observing the ABS data and from mapping out official government forecasts it looks as though population growth probably bottomed out at around 310,000 per annum, and is set to increase to about 340,000 in 2016, and to beyond 400,000 per annum before the end of the decade.</div>
<div> </div>
<div>Perhaps just as relevantly, it is important to note that the population growth is becoming increasingly centralised and focussed on a handful of capital cities, a trend which will only accelerate thanks to Asian and international student migration. </div>
<div> </div>
<div>
<p><span><em>PETE WARGENT is the co-founder of <a href="https://allenwargent.com/" target="_blank" rel="nofollow">AllenWargent</a> property buyers (London, Sydney) and a best-selling author and <a href="https://petewargent.blogspot.com/" target="_blank" rel="nofollow">blogger</a>.</em><br></span></p>
<p><em>His latest book is <a href="https://www.bigskypublishing.com.au/Books/General-Interest/Four-Green-Houses--and-a-Red-Hotel/1015/productview.aspx" target="_blank" rel="nofollow">Four Green Houses and a Red Hotel</a>.</em></p>
</div>
</div>
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pwargent-M4siyDbqQY

Population growth to rebound in 2016: Pete Wargent

<html><body>
<p>I’m not sure if you are into New Age stuff, but in my experience it works. I’ve read a few books and I think most of us has seen the movie “The Secret” a few years ago which really bought it all into the mainstream.</p>
<p>The Law of Attraction is a belief based on the concept that ‘like attracts like’ and that focussing on positive thoughts you will attract positive outcomes. Negative thoughts will do the same, attract negative outcomes. </p>
<p>Whilst property developing is mostly all about numbers, if you don’t have the right mindset then you may find it hard to succeed. This goes for most things in life really.</p>
<p>I’ll tell you a little story. It’s been about 15 years since I started my business. Looking back, it was pretty crazy times. Not only did I transition from a career in marketing cosmetics to developing property, I also educated myself financially and bought a hand full of investment properties and had my first son all in the space of about a year.</p>
<p>I’ll always remember when I started Property Bloom as it was the year I also started a family. After discovering I was pregnant, I suddenly decided that we (my then husband and I) needed to build up our wealth in preparation for our retirements, still a way away but this must have been how my “nesting instinct” played out. When you are pregnant the increase in adrenaline in your system, alongside hormones and emotions makes mother’s-to-be very productive.</p>
<p>Rather than buying baby things, I started buying properties. Instead of cleaning out the cupboards, I sat in lecture theatres being inspired by all the strategies you can use to build wealth through property.</p>
<p>In the process of setting up our portfolio of investment properties, I realised just how much I loved property. I wanted to create a business where I could still do what I loved and have the flexibility to look after my little baby. After developing property for myself, a couple of friends asked me to project manager theirs and so that’s how Property Bloom came about. My little baby is turning 15 soon and so much has happened in this time.</p>
<p>The biggest, most challenging change for me came just two years ago when I became a single mum. Unfortunately, things didn’t work out for my marriage and after 19 years it was the biggest decision of my life to leave it. I had to weigh up many things and the most important being the kids. I have two beautiful sons and they are my priority. With the help of some good counselling and support of my awesome girlfriends, I made it through. The scariest thing was not fully knowing how I would manage financially.</p>
<p>But I needn’t have worried as during the last few years, I worked out how we can create and attract what we want. It’s all about having the right energy or mindset.</p>
<p>I was so unhappy I didn’t realise how much this sadness impacted on my daily life. I used exercise and keeping busy to cope but at the end of the day, I was finding it hard to keep a positive mindset. Then two massive life changing things happened. My elderly father died and then suddenly my younger mother-in-law died in the space of just a few months. These were the first deaths in my family and the harsh perspective they gave me was so powerful it literally kicked me into action.  Life was too short and I knew I had to make a massive change.</p>
<p>When I became happy after making that enormous and very tough decision, it was like the entire universe was on my side. My business was already doing well, possibly as I used it to focus on to get me through the tough times. But as a feeling of peace flowed through me, everything became brighter and it was easy to be positive.</p>
<p>I cherished the time I had with my boys and also the newly found time I had to myself when they were with their father. I’d never had much time to myself. Building a business and raising a family is time consuming and hard work. I used this precious time to recharge my energy levels, rebuild my self-esteem and focus on what I wanted.</p>
<p>In the meantime, my property development project management business that I love so much, was gaining momentum. Lots of clients were coming back to do a second and third project with us and new clients were attracted to the high level of service our boutique business offers. This meant I had no reason to feel financially worried despite taking out a massive mortgage on the family home so the kids and I could still stay there. Thank goodness for low interest rates!</p>
<p>After a while, I started thinking that the only thing missing was a partner to share my happy life with.</p>
<p>This is the fun bit. One New Year’s Eve, over a few glasses of champagne with my girlfriends, I wrote out a list of things I wanted in a new partner. This is much like writing out a list of goals. When you write them down, they become real and the more you go back and review them, the more energy and focus you are putting on them.</p>
<p>Almost a year to the day of writing that list, I met an amazing man. As we got to know each other, I was blown away that he was literally everything on my list, and more – no mean feat considering it was two pages long!</p>
<p>I’m ecstatically happy and very grateful, its amazing how awesome life is.</p>
<p>So how is your mindset right now? Make it positive and not negative, as remember like attracts like. Are there any changes (hopefully not as dramatic as mine) that you can make that will help you achieve your goals and have you written them down yet?  If something cannot be changed, you can still change your attitude about it. Get started on attracting what you want, perhaps it’s to get started on that development project you’ve always wanted to do.</p>
<p>Your mind is the most powerful tool you’ll ever need on a development site. </p>
<p><em>Jo Chivers is chief executive officer of property development project managers <a href="https://www.propertybloom.com.au/about" target="_blank">Property Bloom</a>.</em></p>
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What’s the most important tool needed to develop property? Jo Chivers 

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<p>Next year could be the time for the quiet cities to shine.</p>
<p>While Sydney/Melbourne have been rising, and Perth/Darwin falling, the other four capital cities have been apparently dormant in the middle of the pack. </p>
<p>But sales activity patterns, taken with other indicators, suggest we can expect better things from Brisbane, Adelaide, Canberra and Hobart in 2016. </p>
<p>The Canberra market appears poised for recovery, the Tasmanian economy is improving and the Hobart market is producing increasingly positive statistics, while both Brisbane and Adelaide have sales momentum in specific precincts, which are likely to deliver growth in the New Year.<span style="line-height: 1.3em;"> </span></p>
<p>There is considerable movement in Brisbane markets. Within the Greater Brisbane area, the pecking order keeps changing and new markets keep emerging while others subside.</p>
<p>A year ago Brisbane North was strong, with many suburbs delivering double-digit price growth, but now the momentum is very much south of the CBD. </p>
<p>Logan City is the leading precinct with large numbers of growth markets, while the Brisbane South market has stepped up in the second half of 2015 and remains strong going into the New Year.</p>
<p>Logan City has 18 suburbs with rising sales trends, which is the second best in Australia (behind the resurgent Gold Coast).</p>
<p>The most noticeable gains recently have been made by Ipswich City in the south-west of the metropolitan area. Traditionally, Ipswich City has been the leading capital growth precinct in Brisbane. Now, after several down years, it’s making a comeback and is a market to watch, with a high level of affordability and a strong infrastructure spend.</p>
<p>Adelaide is a rising market, but to date significant price growth has been isolated to select precincts.<span style="line-height: 1.3em;"> </span></p>
<p>Sales activity in the past four quarters has been higher, in each case, than the corresponding period a year earlier. This includes the September 2015 Quarter, which produced the best sales result for this time period for the past four years.</p>
<p>The Adelaide market has been on a generally upward path for the past two years, without ever achieving boom status. The rise in activity has been gradual rather than dramatic – and to date price growth has been moderate – except in specific areas, notably in the middle-market precincts in the western suburbs.<span style="line-height: 1.3em;"> </span></p>
<p>Right now, Adelaide has twice as many growth suburbs as Sydney and looks good for better performance in 2016.</p>
<p>Tasmania keeps sending out signals that its economy is improving and that confidence is rising – and we are seeing glimmers of improved activity in property markets, as well as some solid numbers from Hobart in terms of growth in rents and prices.<span style="line-height: 1.3em;"> </span></p>
<p>Canberra sales activity in the September Quarter confirmed my previous assessment that the market had arrested its earlier decline, after two years of stagnating or decreasing sales in its markets. <span style="line-height: 1.3em;"> </span></p>
<p>There have been improvements in house sales levels, but the unit market remains weak. This is reflected in the latest price growth data from CoreLogic RP Data, which shows a 5.1% annual rise in the House Value Index but a 2.6% annual decrease for units. <span style="line-height: 1.3em;"> </span></p>
<p>In terms of total sales in the ACT, including both houses and units, every quarter this calendar year has recorded higher sales than in the same quarter in 2014. </p>
<p>Typically in Canberra, the December Quarter is the strongest period for house sales – and I expect the current trend of gradually rising sales activity to continue into the December 2015 Quarter.</p>
<p><em> </em></p>
<p><em>Terry Ryder is the founder of <a href="https://www.hotspotting.com.au/" target="_blank">hotspotting.com.au</a>. You can <a href="https://mailto:ryder@hotspotting.com.au" target="_blank">email him</a> or follow him on <a href="https://twitter.com/hotspotting" target="_blank">Twitter.</a></em></p>
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2016 may be the year of the quiet city: Terry Ryder

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<p><span style="line-height: 1.3em;">Last week was the busiest week for auctions for the year with 3,729 capital city auctions held. The final auction clearance rate was 60.1%.</span></p>
<p><a href="/images/2015/12/4/20151206-time-series.jpg" target="_blank"><span style="line-height: 1.3em;">Click to enlarge</span></a></p>
<p><span style="line-height: 1.3em;"><img src="/images/2015/12/4/20151206-time-series.jpg" alt="" width="679" height="283"></span></p>
<p> </p>
<p><a href="/images/2015/12/4/20151206-clearance-rate-table.jpg" target="_blank">Click to enlarge</a></p>
<p><img src="/images/2015/12/4/20151206-clearance-rate-table.jpg" alt="" width="757" height="342"></p>
<p><span>Auction volumes this week are set to fall, however the auction markets will still be busy with CoreLogic RP Data currently tracking just over 3,300 auctions across the capitals. Over the 2015 year to date, there has been 7 weeks where over 3,000 auctions have been held across the capital cities. Last week’s final auction clearance rate was recorded at 60.1 %, with 3,388 results reported, showing that over 90 % of all auction results were captured. The capital city clearance rate for Spring was 65.5 %, compared to 68.0 % for Spring 2014.</span></p>
<p><span><strong>Sydney’s</strong> auction clearance rate last week fell to 56.2 % for the 9th consecutive week and show that Sydney’s clearance rate is now much lower than last year at 70.6 cent over the week. Despite the weaker result, there were still pockets in Sydney where the clearance rate maintained strength last week. Across the Eastern Suburbs, 73.7 % of reported results were successful, while Ryde (69.4 %), North Sydney and Hornsby (64.4 %) and Sutherland (63.6 %) each performed well above the city-wide bench mark. This week, Sydney is expecting to host 1,088 auctions, lower than both last week and last year (1,294).</span></p>
<p><span>Across <strong>Melbourne</strong> 1,670 auctions are scheduled this week, compared to 1,876 last week and 1,733 one year ago. Melbourne’s final auction clearance rate for last week was 65.9 %, the highest of any capital city. The best performing Melbourne sub-regions were Inner Melbourne and Outer East Melbourne, both of which recorded a clearance rate above the 70 % mark.</span></p>
<p><span>For <strong>Brisbane</strong>, last week’s clearance rate was 47.3 % and 210 auctions are scheduled for this week.</span></p>
<p><span><strong>Adelaide’s</strong> final auction clearance rate was 58.0 % last week, falling from 64.4 % the previous week. CoreLogic RP Data is currently expecting 137 auctions to be held across the city this week.</span></p>
<p><span>There are 85 <strong>Perth</strong> auctions scheduled this week, which will be the busiest week for the city so far this year. Perth’s clearance rate last week was 36 %, with 50 results reported and a total of 60 auctions held.</span></p>
<p><span>Across <strong>Canberra</strong>, 122 auctions will be held this week, compared to 98 last week and 87 last year. Canberra’s clearance rate was 50.6 % last week, the weakest result for the city since December last year.</span></p>
<p><span>Mount Waverley, Reservoir and Glen Waverley, all in Melbourne will each host 24 auctions this week, the most of any individual suburb nationally.</span></p>
<p><span> </span></p>
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Auction volumes this week are set to fall: CoreLogic RP Data's Shana Miller

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<p><span style="line-height: 1.3em;">According to CoreLogic RP Data research analyst Cameron Kusher, currently private sector housing credit stands at $1.536 trillion; a 7.3% year-on-year increase to January 2016. Mr Kusher said.</span></p>
<p><span style="line-height: 1.3em;"> “Housing credit has done nothing but expand over the period shown (refer adjacent graphs).” </span></p>
<p>Mr Kusher makes note of the fact that historically, credit is expanding at a slow annualised pace. “Of course this is a function of the fact that with low interest rates households are paying back credit faster as well as the value of outstanding credit is so much higher than in the past. Housing credit has been expanding at annual rate of between 7.0% and 7.5% for the past 15 months,” he says. </p>
<p>Click to enlarge</p>
<p><img src="/images/2016/03/3/Screen%20Shot%202016-03-03%20at%2012.24.21%20PM.png" alt=""></p>
<p>Since January 1991, housing credit data has been split between houses and units with investor housing credit typically increasing at a faster pace than owner occupier credit. Over the past year investor housing credit increased by 7.9% which is its slowest annual pace of growth since February 2014; well down on the recent peak rate of growth of 11.0%pa.</p>
<p>Meanwhile, owner occupier credit growth is recorded at 6.9%pa which is its fastest annual rate of growth since October 2010. Between 1991 and 2015, investor housing credit has increased from 16.0% of total housing credit to 35.8%, highlighting how popular housing investment has become since the early 1990’s. </p>
<p>Mr Kusher said, “Late in 2014 the Australian Prudential Regulation Authority (APRA) provided guidelines to lenders that annual investor housing credit should not expand by more than 10%pa. These changes were largely implemented from the middle of last year. Given this it would seem there is some scope for lenders to ease their policies on investment lending and lift the level of lending for investment purposes given credit growth is now well below 10% per annum.” </p>
<p>The latest housing finance data to December 2015 (which tracks the value of new lending) shows that following a large fall over the second half of 2015, investor lending has started to pick-up a little. Meanwhile the value of housing loans to owner occupier has continued to trend higher. </p>
<p>Mr Kusher said, “Given the tentative signs of a pick-up in investor demand in the housing finance data, investor housing credit growth now well below 10%pa and home values still rising, why wouldn’t investor demand ramp back up?” </p>
<p>Mr Kusher cites several reasons why investor demand may not rebound and starts with investors. </p>
<p>“This group is now facing not only higher mortgage rates due to the out of cycle lift in mortgages rates by lenders last year but they are also experiencing an average of 30 basis points higher mortgage rates because they are an investor (due to the higher capital requirements for investment loans implemented by APRA in 2015). Secondly, he notes that the home value growth phase in Sydney and Melbourne is now very mature having run for almost 4 years, perhaps there is some concern as to how much longer it can run.” </p>
<p><a href="/images/2016/03/3/Screen%20Shot%202016-03-03%20at%2012.25.14%20PM.png" target="_blank">Click to enlarge</a></p>
<p><img src="/images/2016/03/3/Screen%20Shot%202016-03-03%20at%2012.25.14%20PM.png" alt=""></p>
<p>“Elsewhere value growth is and has been moderate with values falling in Perth and Darwin. With potential concerns of a slowing of value growth, rental yields are virtually at historic lows with rental rates unchanged over the year with each acting as a potential disincentive. Alternatively, investors may still be attracted to housing because total returns are still substantially higher than all other asset classes. </p>
<p>“The Federal Opposition has signalled changes to negative gearing rules and it is unclear as to how investors will react to the policy should Labor be elected. Arguably the proposed changes to negative gearing may bring forward investment purchases due the grandfathering provision included in the Labor policy; but there is also the argument that the uncertainty in taxation policy relating to housing may act as a disincentive to prospective investors. There is still significant mortgage market competition so despite the recent increases in mortgage rates if borrowers are prepared to shop around they can still get extremely competitive home loan rates.” </p>
<p>“We anticipate that from here there may be a bit of a pick-up in investment borrowing largely because mortgage rates remain low and housing returns are much stronger than most other asset classes. Although a pick-up in investment activity is a possibility, it is unlikely that the annual rate of housing credit growth will return to or breach its 10% pa limit,” Mr Kusher said.</p>
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Will investor housing demand pick-up again? Cameron Kusher

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<p><span style="line-height: 1.3em;">A fairly simple development strategy for a first time developer wanting to boost their property portfolio is a dual occupancy project; buying land where you can build two dwellings and subdividing. </span></p>
<p><span style="line-height: 1.3em;"> The dwelling/villas may be attached or freestanding, either way you are basically halving the land cost for each and that is where the value lies.</span></p>
<p>Where Property Bloom develops, there is usually opportunity to create well over $150,000 in equity through a dual occ development, this is created within about twelve months and doesn't take into consideration the capital growth that also may occur during the development period.</p>
<p>The equity position of a project is determined when you take costs of the project away from the end value. However, be aware that you can't access the entire amount of equity created if you are refinancing on completion as the banks will most likely lend you around 80% of the value, leaving some equity in the project.</p>
<p>Timing your development can also boost the equity creation. If you are developing in an area experiencing good capital growth whilst your project is underway then you have timed your development well. Even if the market is flat, you can still manufacture some equity. Equity created is through the development and subdivision process because you are adding value to the land not with one dwelling but with two. By subdividing, you are halving the land cost for each dwelling.<span style="line-height: 1.3em;"> </span></p>
<p>Here’s an example of a dual occupancy project we recently completed:</p>
<p>Land cost: $270,000</p>
<p>Stamp duty: $2,940</p>
<p>($5,000 NSW New Home Grant* applied so the government contributes $5,000 this off sets the stamp duty cost)</p>
<p>Legal fees: $1,500</p>
<p>Build cost, including plans, council fees &amp; charges, subdivision costs, for duplex; three bedroom, two bathroom villas:  $450,000</p>
<p>Total cost:  $724,440</p>
<p>Actual end valuations:  $920,000 or $460,000 per villa</p>
<p>Equity created:  $195,560<span style="line-height: 1.3em;"> </span></p>
<p>Gross Yield 6.7% based on renting each villa at $480 per week. </p>
<p><span style="line-height: 1.3em;">If you are borrowing at around 4% then the project may be cash flow positive for you. This is when the rent and depreciation benefits combined cover the costs of interest, insurance, council, water rates and management fees.</span></p>
<p>There are strong depreciation benefits too, expected depreciation $20,000 Year 1 (using the diminishing method)</p>
<p>* <a href="https://www.osr.nsw.gov.au/lib/doc/factsheets/ofs_nhg1.pdf" target="_blank">click here</a> for more.</p>
<p><span style="line-height: 1.3em;">Want to know how to do it? </span></p>
<p>Of course I'd recommend using an experienced project manager to guide you through but you can have a go yourself - it will depend on the resources or skills you have available; time, experience, knowledge, contacts with a bit of patience thrown in. </p>
<p>The steps involved in a dual occupancy development strategy are:</p>
<ol>
<li>Finance preapproval. It’s important before you start looking at development sites or any property, that you have a preapproval from a lender in place.</li>
<li>Understand the council requirements for dual occupancies in this area. Study the council’s Local Environment Plan (LEP) and Development Control Plan (DCP).  This will let you know the size of land you’ll need for your dual occ and what is permissible.</li>
<li>Conduct due diligence on the area you want to develop in; understand the zoning for dual occupancies. Having correct zoning doesn't always mean you can carry out a dual occ. There may be covenants on the land preventing building more than one dwelling.</li>
<li>Search for land that meets a number of criteria; size – look at the frontage and know what the minimum width is for your dual occ. Look at the depth and size to ensure the land is large enough to meet the DCP including the minimum outdoor private space requirements. Check the aspect, north facing living areas are desirable and will make meeting the BASIX requirements much easier. Make sure there are services to the site; electricity, sewer, gas. Then ensure the land is relatively flat with a slight slope to the street unless there is a drainage easement at the back. </li>
<li>Check the Planning Certificate to see if the land is in a bushfire or flood zone.  You can still develop in these areas but it will add to your build costs. </li>
<li>Have your builder look at the site. This is very important as the builder will look at the land from a different perspective.</li>
<li>Run a feasibility to ensure the project will be viable. Find recent comparable sales references to base your end value estimates on. Talk to agents about the current rental market and what rent could be expected and calculate the projected yield on completion. Most importantly, you need to have a good understanding of the build costs. The build costs will evolve over the design and planning process. Your builder can give you an estimate once a concept plan is available, but as the full Development Application (DA) plans and documentation is available, the builder will then need to run a full tender. Cross check this against your original estimate. If it’s in line, lodge the DA if it’s not, go back to the design and look at areas where you can reduce costs. Once the plans are approved, the builder may update their tender if council asked for any changes. If not, then a final tender will be generated once the engineer’s plans for the Construction Certificate (CC) are available.</li>
<li>When securing the land, request a long settlement period with permission to lodge a DA from the vendor. You can get all the design work and perhaps even have the DA and CC approved before you settle on the land, this will reduce your holding costs.</li>
<li>Once you have the DA &amp; CC approvals, you can then go back to your lender to obtain your unconditional construction loan. As soon as this is in place, construction can commence.</li>
<li>The build phase for a dual occ should be around three to four month, depending on weather. You need to be on site each week to check the builder’s progress and put out any ‘fires’ that may arise as you are under construction. I've heard some stories of build times taking up to twelve months, so make sure you conduct due diligence on your builder before appointing them.</li>
<li>Once the building works are completed, an Occupation Certificate will be issued. You can now have your villas tenanted. Don’t forget to order a depreciation schedule to maximise your tax rebates.</li>
<li>You can now apply for the subdivision certificate and once council issues this, you can register the subdivision (after your lender has signed off on it).  There is no need to register immediately if you are planning to hold and not planning to refinance as you may find costs such as rates may be a little less if the villas are kept on one title.</li>
</ol>
<p>I’ve summarised the process briefly, but it’s actually not that straight forward. You really do need the time to work on this development strategy closely as mistakes can be costly. If you're a first time developer, use an experienced property development project manager. Our clients enjoy the peace of mind that we've found the right location and development site for them and that their project is being managed efficiently, they also benefit from our long term relationship with our builder. All the fine details are reported to them in a written weekly report, so they are learning from the process but still have time for their own career and family. It's an easy option.</p>
<p> </p>
<p><em>Jo Chivers is chief executive officer of property development project managers <a href="https://www.propertybloom.com.au/about" target="_blank">Property Bloom</a>.</em></p>
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Boost your portfolio using this development strategy: Jo Chivers

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<p><span style="line-height: 1.3em;">Following recent policy announcements by the Federal Opposition, housing related issues such as affordability have come onto the political agenda. </span></p>
<p><span style="line-height: 1.3em;">Whether Labor’s policies would actually improve housing affordability, especially without supply and infrastructure reforms, remains to be seen. Nevertheless the following piece looks at affordability by analysing median house and unit values into bands across Australia’s suburbs in order to get a deeper look at the cost of housing.</span></p>
<p><span>House values tend to be more expensive in capital cities than in regional areas. This is highlighted by the fact that 51.2% of regional suburbs have a median value of between $200,000 and $400,000 compared to 15.4% of capital city suburbs. </span></p>
<p><span>Similarly just 0.6% of capital city suburbs have a median house value of less than $200,000 compared to 13.1% of regional suburbs. There is no value band that shows a clear majority across the combined capital cities however, the 33.1% of suburbs with a median value of between $400,000 and $600,000 is the band with the greatest share of suburbs.</span></p>
<div>
<h3>Suburb median house value bands, capital cities vs. regional areas, Dec-15</h3>
<p><a href="/images/2016/03/4/2016-02-29--image1.jpg" target="_blank">Click to enlarge</a></p>
<p><img src="/images/2016/03/4/2016-02-29--image1.jpg" alt=""></p>
<p>Across the unit markets, the greatest share of suburbs both across the capital cities and in regional areas have a median value between $200,000 and $400,000. There is a large difference between the two in that 71.4% of regional suburbs have a median unit value of between $200,000 and $400,000 compared to 41.2% of suburbs in the capital cities. Again when we look at the most affordable suburbs there is a large difference, just 1.7% of capital city suburbs have a median unit value of less than $200,000 compared to 13.3% across regional Australia. </p>
<h3>Suburb median unit value bands, capital cities vs. regional areas, Dec-15</h3>
<p><a href="/images/2016/03/4/2016-02-29--image2.jpg" target="_blank"> Click to enlarge</a></p>
<p><img src="/images/2016/03/4/2016-02-29--image2.jpg" alt=""></p>
<p>Focusing solely on the data across the capital cities really highlights just how expensive Sydney is relative to other cities.</p>
<p>For houses, 25.3% of Sydney suburbs have a median value of between $1 million and $1.5 million making it the largest single value band for the city. Across the other capital cities the value band with the greatest proportion of suburb median values is $400,000 to $600,000 with the only other exceptions Hobart ($200,000 to $400,000) and Darwin ($600,000 to $800,000).</p>
<p>Sydney, Melbourne and Darwin have no suburbs with a median house value of less than $200,000. In Sydney, 47.8% of suburbs have a median house value of more than $1 million compared to 20.5% in Melbourne, 2.6% in Brisbane, 3.8% in Adelaide and 12.9% in Perth.</p>
<h3>Suburb median house value bands across capital cities, Dec-15</h3>
<p><a href="/images/2016/03/4/2016-02-29--image3.jpg" target="_blank">Click to enlarge</a></p>
<p><img src="/images/2016/03/4/2016-02-29--image3.jpg" alt=""></p>
<p>It is a similar story for capital city unit markets with 33.1% of Sydney suburbs having a median unit value of between $600,000 and $800,000 making it the largest band for the city. In most other capitals, the highest proportion of suburbs have a median unit value of between $200,000 and $400,000 with the exception of Melbourne and Perth (both $400,000 to $600,000).</p>
<p>As with house values, no suburbs in Sydney, Melbourne and Darwin have a median unit value of less than $200,000. 8.8% of Sydney suburbs have a median unit value of more than $1 million compared to 0.3% in Melbourne, 0.4% in Brisbane, 0.0% in Adelaide and 0.9% in Perth.</p>
<h3>Suburb median unit value bands across capital cities, Dec-15</h3>
<p><a href="/images/2016/03/4/2016-02-29-image4.jpg" target="_blank">Click to enlarge </a></p>
<p><img src="/images/2016/03/4/2016-02-29-image4.jpg" alt=""></p>
<p>The data shows that particularly in our larger capital cities there is a critical undersupply of affordable housing options (even in the unit market). As a result an increasing number of residents are being locked out of home ownership or are being forced to purchase outside of the cities. Remember that although job prospects are generally better in the larger capital cities the difference in average wages across the capital cities is nowhere near as large as the differences in home values.</p>
<p><em>Cameron Kusher is research analyst for CoreLogic RP Data. You can contact him <a href="https://blog.corelogic.com.au/about/">here</a>.</em></p>
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Limited capital city housing options under $200,000: CoreLogic RP Data's Cameron Kusher

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<h3 class="post-title entry-title">GUEST OBSERVER</h3>
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<div id="post-body-5220327253665162227" class="post-body entry-content">
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<strong><span style="text-decoration: underline;">Headline immigration slows</span></strong><br><strong><span style="text-decoration: underline;"><br></span></strong>
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<div>The January <a href="https://www.abs.gov.au/AUSSTATS/abs@.nsf/Lookup/3401.0Main+Features1Jan%202016?OpenDocument" target="_blank">Overseas Arrivals &amp; Departures</a> figures revealed that permanent immigration into Australia continued to slow into the beginning of 2016, with a net +268,400 permanent and long term arrivals now tracking more than a third below the peak.</div>
<div> </div>
<div>There were some 13,610 permanent departures in January, the highest on record, although ABS research shows that most "permanent" departures actually return to our shores within a year.</div>
<div> </div>
<div class="separator"><img src="https://3.bp.blogspot.com/-Nllm0CzUbOg/VtzVN9aLYzI/AAAAAAAAbsQ/j5EQ-HSsAYY/s640/ARR1.jpg" width="640" height="350"></div>
<br><div>The composition of immigrants continues to shift away from New Zealanders and Britons, and towards permanent settlers of Asian origin, now accounting for a record 57.7 per cent share over the past 12 months.</div>
<br><img src="https://4.bp.blogspot.com/-1w0a3JXsOt8/VtzVO6qsuFI/AAAAAAAAbsk/Ua4W6MM6LoA/s640/ARR6.jpg" width="640" height="350"><br><br><strong><span style="text-decoration: underline;">Record high 7.5 million arrivals</span></strong><br><br><div>Despite the soft headline figures those hoping for a significant decline in Australian population growth are likely to be disappointed, with the wider picture being that population growth will probably only slow from extremely strong to strong.<br><br>Indeed, after accounting for the rapid growth in student visas, total population growth in Australia is probably already rising again. </div>
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<div>In the year to January the number of short term arrivals blazed past 7.5 million for the first time in recording another strong +8.6 per cent rolling annual increase.</div>
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<div>The number of short term departures is still creeping up, but a much more sedate pace, implying an exchange rate driven rebalancing. </div>
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<div>There was a huge increase in the number of holiday makers to Australia in the year to January of +442,000 taking the annualised total up to a fresh high of 3.57 million, while an additional +119,400 folk came to visit friends &amp; family, taking the total for this category up to a record 2.04 million. </div>
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<div>The key reason that population growth is unlikely to slow is the vast projected boom in international students. </div>
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<div>There were some 55,000 education arrivals in January, by a huge margin the biggest January on record, and it seems to be a nailed on certainty that 2016 will be the greatest ever year for the enrolment of international students. </div>
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<div>More relaxed visa rules mean that many thousands of these students will end up becoming permanent residents in time. </div>
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<div class="separator">Last, but certainly not least, the explosion in visitors from China has virtually torn the roof off, with an astonishing +57.3 per cent increase from January 2015.</div>
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<br><div>Naturally the most popular month in the calendar year for Chinese visitors will be February, due to the lunar year. The raw original data show that Chinese visitors in that month have ramped up at an astonishing pace:</div>
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<div><strong>Feb 2012 - 66,500</strong></div>
<div><strong>Feb 2013 - 110,400</strong></div>
<div><strong>Feb 2014 - 104,400 </strong></div>
<div><strong>Feb 2015 - 164,400</strong></div>
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<div>It seems likely that Febuary 2016 was another record-breaker, but we'll have to wait another month for the official confirmation of that. </div>
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<div><strong><span style="text-decoration: underline;">The wrap</span></strong></div>
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<div>The full suite of figures appear to tie with DIBP forecasts of population growth bottoming out at somewhere close to 300,000 per annum, before increasing strongly over the remainder of the decade.<br><br>It is important to note that most of the population slowdown has been in mining and resources regions - the largest capital cities have barely experienced any slowing at all to date.<br><br>Evidently the composition of immigration moving forward will be very different, with Asia being the key driver of population and tourism growth.<br><br>---<br><br>Chinese iron ore, coke and rebar futures have all hit limit up during today's trade, while crude might even get back to $40.<br><br>Nice to see. A few mining stocks are going ballistic. </div>
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