Apartment buyers in New South Wales are set to gain a decade of insurance-backed protection against major building defects, after the NSW Parliament passed the Fair Trading and Building Legislation Amendment Bill 2026.&nbsp;

The Bill establishes decennial defect insurance, known in the market as Latent Defects Insurance (LDI), as an alternative to the existing two-year strata building bond. It cleared the Legislative Council with amendments on Tuesday evening (August 4, 2026), with the Legislative Assembly agreeing to those amendments shortly after.

Under the reform, eligible developers can satisfy their statutory bond obligation by taking out an approved decennial-style policy that gives owners 10 years of cover for major structural defects from completion, claimable directly, without first having to pursue developers or builders through costly legal action.&nbsp;

The change forms the final tranche of amendments arising from the 2021 statutory review of the Strata Schemes Management Act 2015 and related legislation.

Resilience Insurance, which originated the cover in Australia and has delivered it in NSW since 2022, welcomed the passage and credited the NSW Government for delivering it.

“This is protection apartment buyers have needed for a long time, and the credit for delivering it belongs to the NSW Government,”&nbsp;said Corey Nugent, CEO of Resilience Insurance.

“Minister Chanthivong and his team have shown real leadership in replacing an outdated two-year bond with cover that matches the lifespan of the buildings people are buying into. Reform like this is what good, evidence-based regulation looks like.”

Resilience has delivered LDI in NSW since 2022, protecting thousands of apartments, giving the State, and now the country, real-world evidence of how decade-long, no-fault protection works in practice.

The reform also places NSW within a wider national shift.

NSW is the third jurisdiction to put decennial cover into law. The ACT legislated for it in 2024, with the scheme taking effect in late 2025, and Victoria passed its own framework on 17 June. Between them, the three cover the majority of Australia's apartment market.

The reform commences once the legislation is proclaimed, which is expected in the coming weeks. From that point, developers of Class 2 residential apartment buildings can meet their statutory obligation with an approved decennial policy in place of the bond.

Buyers who purchased into projects that took out the cover early are among the first in the country to take keys to apartments carrying decade-long structural protection.

“With the legislation passed, the focus now turns to making it work for buyers,”&nbsp;Nugent said.

“There are already thousands of apartments in NSW covered by this insurance, bought by developers who moved early. The question every buyer should be asking in a display suite is a simple one: does this building come with 10-year defect cover, and who stands behind it?&nbsp;

“We look forward to working with the Government and the Building Commission in coming weeks as the framework moves to implementation, and to sharing what we have learned over the past four years so the protection reaches owners as smoothly and quickly as possible.”

Other states are working through their own reform programs. Western Australia has indicated that decennial cover is within consideration a later stage of its reform sequence, and Queensland has been examining the settings as it looks at the development pipeline ahead of the 2032 Olympics.

Resilience Insurance acknowledges the NSW Government’s continued focus on strengthening consumer protection while supporting housing delivery across the State.

Fast Facts: What the reform means

<ul style="color:#222222; font-family:Arial, Helvetica, sans-serif; font-size:small; font-style:normal; font-variant-ligatures:normal; font-weight:400; text-align:start; white-space:normal; background-color:#ffffff; text-decoration-thickness:initial; text-decoration-style:initial; text-decoration-color:initial">
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Proven at scale:&nbsp;Decennial cover has operated in NSW since 2022, protecting thousand of apartments.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">10 years of cover:&nbsp;Protection for major structural defects runs for a decade from completion, claimable directly and with no legal action required.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">An alternative to the bond:&nbsp;Eligible developers can meet their statutory obligation with an approved decennial-style policy in place of the 2% strata building bond.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Part of a national shift:&nbsp;The ACT has had decennial provisions in force since 2025 and Victoria passed its framework in June. NSW now joins them.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">No-fault, first resort:&nbsp;Owners corporations claim directly from the insurer without first having to establish who is liable for the defect.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Cost-competitive:&nbsp;At approximately 1.8% of build cost, LDI is typically priced below the 2% bond while offering broader, longer protection.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Market position:&nbsp;Resilience originated LDI in Australia and has delivered it in NSW since 2022.</li>
</ul>

Fast Facts: What is Resilience LDI?

<ul style="color:#222222; font-family:Arial, Helvetica, sans-serif; font-size:small; font-style:normal; font-variant-ligatures:normal; font-weight:400; text-align:start; white-space:normal; background-color:#ffffff; text-decoration-thickness:initial; text-decoration-style:initial; text-decoration-color:initial">
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Resilience Latent Defects Insurance (LDI):&nbsp;Covers major structural defects for 10 years from completion.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Consumer-first:&nbsp;Direct claim access, no need for lengthy legal action.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Cost advantage:&nbsp;At approximately 1.8% of build cost, LDI is typically priced below the traditional 2% Strata Bond while offering broader protection.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Market leader:&nbsp;&nbsp;Resilience Insurance originated LDI in Australia and is the national market leader.</li>
</ul>

Joel Robinson

NSW parliament passes 10-year defect insurance laws for new apartment buyers

Builder-developer <a href="https://www.apartments.com.au/developers/mcnab-developments">McNab</a> has wasted little time reshaping one of South Brisbane's most significant undeveloped apartment sites after acquiring the property earlier this year.&nbsp;

McNab has lodged plans to scrap an existing approval for two 30-storey towers and instead deliver a single 28-storey residential building, preserving part of the site for a future development opportunity.

The proposal, lodged over <a href="https://www.apartments.com.au/new-apartments/64-peel-street-south-brisbane-qld-4101">64 Peel Street and 9 Cordelia Street</a>, is for a residential-led mixed-use development comprising 124 apartments above a landscaped podium, alongside a boundary realignment that preserves part of the land for a future residential project.

<img alt="First look: McNab resets decade-old South Brisbane approval with 124-apartment tower" data-entity-type="file" data-entity-uuid="743bf564-3f8f-45fc-b8d3-bbf18f5b628f" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/mcnab%20Peel%20st%20podium.png?VersionId=EhCxGrVn_VFH3qTbKnI4WppGwaMnOn0t" />

Designed by <a href="https://www.apartments.com.au/architects/hayball">Hayball</a>, the development will deliver 119 two-bedroom and five three-bedroom apartments across 23 residential levels. A five-level podium will accommodate 135 car spaces, while the ground floor will include a 66 sqm commercial tenancy, an activated residential lobby with work-from-home spaces, and a publicly accessible landscaped plaza linking Cordelia and Peel streets.&nbsp;

Communal amenities will span Level 6 and the rooftop, including indoor and outdoor recreation spaces, a swimming pool, barbecue facilities, kitchen and dining areas, lawn space, sauna, steam room and yoga facilities.

The application also proposes a boundary realignment to create a standalone 1,290 sqm development lot while retaining an adjacent parcel for future redevelopment, allowing the balance of the site to contribute additional housing over time.

Hayball said the architecture has been shaped by the site's elevated corner position at the intersection of Peel and Cordelia streets and Brisbane's subtropical climate.

The design incorporates generous landscaped setbacks, a masonry podium wrapped with planting, large north-facing balconies, and a slender tower profile intended to maximise natural light, cross ventilation and long-range views. The rooftop has been conceived as a wellness-focused retreat overlooking Brisbane, with amenities positioned to capture views towards Mount Coot-tha and the CBD.

<img alt="First look: McNab resets decade-old South Brisbane approval with 124-apartment tower" data-entity-type="file" data-entity-uuid="c5f99e84-6ad8-4a87-82d1-869685b754d2" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/mcnab%20tower%20perspective.png?VersionId=Gw0IuJaSAlk.tvGBxInhZOcQAdIB..2b" />

The planning submission positions the proposal as a response to both changing market conditions and Brisbane's Kurilpa Sustainable Growth Precinct planning reforms.

McNab acquired the site after the previous approval was granted, with the existing scheme no longer reflecting current residential market demands, economic conditions, construction challenges, construction efficiencies or the quality of development outcome now being pursued, the planning report noted.

McNab continues to expand its residential development pipeline across Brisbane and the Gold Coast. The developer recently launched The Tannery in West End, securing more than 60 per cent of apartments before the project's public release. It is also delivering Elements Budds Beach in Surfers Paradise and Lucia Highgate Hill, an eight-apartment boutique development overlooking the Brisbane River.

McNab resets decade-old South Brisbane approval with 124-apartment tower

A steeply sloping Bellevue Hill site is set to accommodate a new mid-rise apartment development, with plans lodged for 20 homes that respond to the site's dramatic topography.

The proposal for the consolidated land at <a href="https://www.apartments.com.au/new-apartments/138a-140-bellevue-road-bellevue-hill-nsw-2023">138A-140 Bellevue Road</a> has been designed by Sydney architecture practice Common Office, which has used the site’s substantial fall to distribute the building’s scale and unlock 20 apartments without presenting the full height to the street.&nbsp;

“The unique design strategy leverages the site’s substantial topographical fall to facilitate increased density, presenting a seven-storey profile to Bellevue Road while rising to 10 storeys at the rear,” Common Office said in its architectural design report.

The apartment mix spans one, two, three- and four-bedroom residences. Four two-bedroom apartments are designated as affordable housing, while the plans also include two adaptable dwellings. The mix is majority three-beds, with the typical three-bed apartment offering around 144 sqm internally, with balconies of around 15 sqm.

The affordable housing component represents 15 per cent of the residential floor area and allows the project to access additional height and floor space under the NSW Government’s in-fill affordable housing provisions. The site also falls within the inner area of the Low and Mid-Rise Housing Policy because it is within 400 metres walking distance of Double Bay Town Centre.

<img alt="First Look: Plans lodged for topography-led affordable housing project in Bellevue Hill" data-entity-type="file" data-entity-uuid="b1230d0f-3bfa-4a11-abaf-0928c66ef345" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Bellevue%20da.png?VersionId=dZeMK3P.OutGjN8ycjsxm8uNsj_QFWQv" />

Common Office has arranged the building around a masonry podium and a lighter upper volume, drawing on two recurring elements of Bellevue Hill’s established architecture: sandstone bases and the vertical proportions of local Inter-war Art Deco apartment buildings.

“The proposal is governed by a holistic design language that reconciles the solid horizontal masonry of the neighbourhood’s podiums with the elegant verticality of its Art Deco heritage,” the architect said.

“The building maintains a consistent rhythmic logic utilising deep recesses and a sophisticated material transition to break down the 10-storey scale into a series of articulated, human-scale volumes.”

<img alt="First Look: Plans lodged for topography-led affordable housing project in Bellevue Hill" data-entity-type="file" data-entity-uuid="0147f503-1af1-4d51-97fb-c2f1cba63a9d" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Bellevue%20bldg.png?VersionId=GoW7q3NlK67OpnePXhk7zvklrlKb72Qc" />

Large-format sandstone tiles will define the lower levels, establishing a robust base that negotiates the change in elevation from Bellevue Road. Above, red-tinted precast concrete frames, recessed balconies, anodised aluminium screens and expanded metal details will create a more vertically expressed façade. Integrated planter beds will introduce greenery across balcony edges and recessed sections of the building.

The elongated northern façade has been divided into three recessed vertical masses to reduce its perceived length. Triangular window elements and metal privacy screens reference the geometry of nearby Art Deco buildings while controlling overlooking toward surrounding homes. The southern elevation will incorporate further privacy screening, landscaped edges and deep balconies to maintain light and ventilation.

<img alt="First Look: Plans lodged for topography-led affordable housing project in Bellevue Hill" data-entity-type="file" data-entity-uuid="e8679cf1-18bc-4447-8a0f-0052b94ab83c" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Bellevue%20da%20rooftop.png?VersionId=5SQqQqRFf76rvE2p1TbxJSweMN70AIbc" />

Private and communal landscaping is distributed throughout the development. A landscaped garden apartment is positioned within the lower portion of the site, while a communal terrace on Level 5 will include a central timber deck, barbecue facilities, resident planting plots and areas for outdoor dining and informal gatherings.

Common Office described the terrace as an elevated sanctuary designed to capture district views and sunlight. Its planting strategy incorporates endemic species associated with the Eastern Suburbs Banksia Scrub, extending the landscape vertically through the building and providing habitat for local flora and fauna.

A second communal outdoor area is proposed at roof level, with built-in seating, paved gathering areas and perimeter planting.

Bellevue Hill is enjoying renewed momentum in the new apartment market, with several boutique developments recently launched and currently under construction. Positive Investment Enterprise is delivering the 16-apartment Kew Palm House on Birriga Road, while Chanine Developments is also under construction at Florian, a 36-apartment project on Banksia Road.

&nbsp;

Bellevue Hill is enjoying renewed momentum in the new apartment market, with several boutique developments recently launched and currently under construction.

First Look: Apartment development pitched for Bellevue Hill, Double Bay fringe

South Brisbane's apartment pipeline continues to build momentum, with <a href="https://www.apartments.com.au/developers/trk-property-group">TRK Property Group</a> lodging plans for a 161-apartment tower on Montague Road as developers accelerate investment across the Kurilpa Sustainable Growth Precinct.

The proposal for 176–186 Montague Road would replace an existing office building with a 20-storey residential tower designed by <a href="https://www.apartments.com.au/architects/cox-architecture">COX Architecture</a>, adding to a growing pipeline of high-density projects reshaping one of Brisbane's fastest-evolving inner-city precincts.

The project has been conceived as a "living building", featuring a flowing tower form, extensive vertical landscaping, and generous communal spaces that respond to the evolving Kurilpa Sustainable Growth Precinct.

TRK Property Group Development Director Matt Kan said the project reflected the confidence developers have in South Brisbane's long-term future.

"South Brisbane is entering an incredibly exciting period, and we see Montague Road sitting right at the heart of that evolution," Kan said.

"With the former Visy site directly opposite us and significant investment planned throughout the broader Kurilpa precinct, there is a real sense of momentum around this part of the city and what it will become over the coming years.

"For TRK, this is an opportunity to be part of that next chapter and deliver a project that responds to where the precinct is heading, while contributing to the continued evolution of Brisbane's river edge."

<img alt="First look: TRK Property joins South Brisbane apartment surge with Montague Road tower plans" data-entity-type="file" data-entity-uuid="590fe1ad-f892-4446-a679-80e33a16d029" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/TRK%20tower%20facade.png?VersionId=uOJStrcKpyHFcPE1w6_9SMAFzVMCcZll" />

The scheme includes a mix of one, two, three and four-bedroom apartments, incorporating multi-purpose rooms in selected residences to provide additional flexibility for home offices or expanded living areas. The proposed mix comprises 15 one-bedroom, 13 one-bedroom plus MPR, 73 two-bedroom, 26 two-bedroom plus MPR, 30 three-bedroom, and four four-bedroom apartments.

Rather than adopting a conventional rectilinear tower, COX Architecture has developed a sculpted form inspired by the movement of the Brisbane River.

"The proposal has been designed by COX Architecture as a 'living building' that responds to the site's riverine setting, floodplain history and evolving urban context within the Kurilpa Sustainable Growth Precinct," the planning report states.

"The architectural form draws from the fluid nature of the Brisbane River, with a curved and undulating tower form that creates a varied architectural edge and avoids a conventional rectilinear tower expression."

The podium has also been designed as an architectural feature rather than a conventional parking structure, with cascading planting, screening and natural-toned materials softening its appearance. Resident parking is elevated above ground level to address the site's flood constraints, while habitable apartments sit above flood planning levels. Upper-level communal facilities are designed to accommodate shelter-in-place arrangements during major flood events.

<img alt="First look: TRK Property joins South Brisbane apartment surge with Montague Road tower plans" data-entity-type="file" data-entity-uuid="01fa15d0-90df-46c7-9555-7941fc45373c" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/TRK%20podium.png?VersionId=mHyua.w1pHGBt9qEdWzrlsv.leztUCwO" />

Communal amenity is a major focus of the proposal. Around 1,815 sqm of shared resident space is proposed across the ground floor, level 19 and the rooftop, including co-working areas, indoor and outdoor recreation spaces, wellness facilities, dining and gathering areas, lawn spaces, a rooftop pool and spa, and extensive landscaping. At street level, a landscaped forecourt and approximately 345 sqm of publicly accessible open space along Montague Road are intended to improve the pedestrian experience while activating the building's frontage.

The development will provide 163 car spaces, including 152 resident bays and 11 visitor spaces, together with 144 bicycle spaces incorporating resident storage, visitor parking, bicycle maintenance facilities and e-mobility charging infrastructure.

The site sits within one of Brisbane's fastest-changing inner-city precincts, less than two kilometres from the CBD and within easy reach of South Bank, West End, the Queensland Cultural Centre and extensive public transport connections. The Kurilpa Sustainable Growth Precinct planning framework is encouraging higher-density residential development to help meet Brisbane's housing supply targets while supporting walkable, transit-oriented neighbourhoods.

TRK Property joins South Brisbane apartment surge with Montague Road tower plans

Article summary

<ul data-end="785" data-start="311">
	<li data-end="459" data-section-id="5hbcyr" data-start="311">Pikos Group has released the five-penthouse collection at Skye Kangaroo Point, headlined by a two-storey sky home spanning more than 1,000 sqm.</li>
	<li data-end="561" data-section-id="1p7lq8n" data-start="460">Early buyer interest suggests the residences could set a new Queensland apartment price record.</li>
	<li data-end="667" data-section-id="1y70z0l" data-start="562">The collection includes four move-in ready penthouses and the highly customised Skye One residence.</li>
	<li data-end="785" data-section-id="yvm0y1" data-start="668">The release caps one of Bri​sbane's most ambitious luxury apartment developments overlooking the Brisbane River.</li>
</ul>

<hr data-end="790" data-start="787" />
Pikos Group has released the five-penthouse collection at its <a href="https://www.apartments.com.au/buildings/skye-residences-by-pikos-kangaroo-point-8-river-terrace-kangaroo-point-qld-4169">Skye by Pikos</a> development in Kangaroo Point, with early buyer interest indicating the flagship residences could eclipse every apartment sale previously recorded in Queensland.

The collection crowns the luxury riverfront development with five residences, including four completed penthouses and Skye One, a two-level sky home spanning more than 1,000 sqm that will be tailored to its eventual owner.

[smartcode_project:default project_id=90059 project_image_fid=374075]

Wanting to offer a fully customisable home, Pikos is offering Skye One as a blank canvas, allowing the buyer to work alongside the developer's design team to customise the home's layout, finishes and internal spaces.

The residence will feature a 247 sqm private rooftop terrace with its own swimming pool, sauna, steam room, outdoor kitchen and multiple entertaining areas overlooking the Brisbane River and CBD skyline.

The remaining four penthouses have been completed and are ready for immediate occupation, each offering four bedrooms, expansive open-plan living areas, soaring ceilings and private lift access.

[smartcode_project:default project_id=90059 project_image_fid=374059]

One of the defining features throughout the project is its use of Roman Classic Travertine, with more than 20,000 sqm of the natural stone imported from Italy after being personally selected by Pikos Group Founder and Executive Director Pedro Pikos, interior designer Julie Williamson and third-generation stone specialist Mario Caucci.

Pikos said the penthouse collection represented the culmination of the company's long-term vision for Skye.

"True legacy isn't measured by what we build today, but by what endures tomorrow," Pikos said.

"Our ambition is to create places that become more valuable with time, enrich the lives of generations, and stand as timeless landmarks long after we've stepped away."

[smartcode_project:default project_id=90059 project_image_fid=374060]

Williamson said the interiors were inspired by the natural character of Kangaroo Point and the Brisbane River rather than international design trends.

"Materiality tells the story of a place," Williamson said.

"We looked to the movement of the Brisbane River, the texture of the cliff face and the warmth of the surrounding landscape to create interiors that feel understated, enduring and unmistakably Brisbane."

Positioned above the Kangaroo Point cliffs, Skye places residents within walking distance of Howard Smith Wharves, South Bank and James Street while offering uninterrupted river and city views.

[smartcode_project_cta:default project_id=90059]

Brisbane's next apartment price record? Pikos unveils Skye's exclusive penthouse collection

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

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

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

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

Every First Home Owner Grant for new property by state

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

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

Staff Writer

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

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

alisonwarters@gmail.com

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

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

Ellen Walker

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

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.

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;

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.

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.

Even in the low seasons of May and June, occupancy levels reach around 40 per cent.

<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" />

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

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.

<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" />

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.<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" />​

The apartments will feature modern amenities and contemporary designs with expansive windows capturing sweeping views of The Remarkables mountain range.&nbsp;

Interiors are equipped with modern finishes, premium appliances, and secure electronic key-locked doors, ensuring a comfortable living experience for residents and guests alike.

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;

Queenstown’s sustained demand for visitor accommodation and rental properties is underpinned by a shortage of housing options, attracting both local and international buyers.

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

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This Friday the housing finance figures for May will be pored over by economists in Federal Treasury and especially the Reserve Bank for further evidence that new home industry is rebounding. Both institutions and their masters, along with some private-sector economists, know that a boom is taking shape in the new home market, thanks to record low interest rates -- the question is its sustainability and whether it will be enough to help pick up the slack emerging in the economy from the slowdown in mining investment.
On current indications it probably will last and help cushion the wider economy from a big hit from the effects of mining investment returning to more sedate levels. In fact, such has been the acceleration in new home approvals and construction since late last year that in more normal times the Reserve Bank's next move in interest rates would be an increase as it sought to control the pressures being built up in the volatile housing sector.
Consider the evidence. According to the Housing Industry Association, new home sales in April hit an 18-month high. In the April housing finance stats, finance for the construction of new homes hit the highest level in three years (since April 2010), while finance to purchase a newly built home hit the highest level since the middle of 2007, as there GFC started to erupt overseas (all seasonally adjusted) .
And last Thursday's building approvals for May seasonally adjusted new private house building approvals rose 2.5% in May, to be 11.6% higher over the year (10% in trend terms). That's the strongest rate for more than two years, and the number of approvals -- 8113 (seasonally adjusted) -- was the highest since March 2011.
Private house approvals have now risen in each of the past five months, and with some states continuing their grants for first-home building, (NSW's changed on July 1 from first-home buyers to first-home builders only), it's clear that the the long-awaited rebound in this industry is now underway, although it is happening slowly.
The extent of the boom can be seen by comparing the year to May rise of 11.6% rise (seasonally adjusted) with the 3.8% fall in the year to December (i.e. for all of 2012).
Many media reports concentrate on overall approvals, but they continue to be volatile, influenced by the bunching of local government approvals each month (or delays) for units, apartments and townhouses. For example, overall dwelling approvals (which include units and apartments, townhouses, etc) fell 1.1% in May after a 9.5% rise in April. That was because of a 9.8% fall in non-house private dwelling approvals in May, against the 18% rise in April.
Looking at the states, the ABS said that in NSW the trend estimate for the number of private sector houses rose 2.6% in May and has risen for 14 months, in Victoria it was up 2.3% and has been rising for four months, while in Queensland there was an 0.1% rise and it has been rising now for five months. In WA it rose 1.2% and has been rising for 11 months, while in South Australia it rose 2.2% in May and has also been rising for the past 11 months.
In his <a href="https://www.rba.gov.au/speeches/2013/sp-gov-030713" target="_blank">speech in Brisbane last Wednesday</a>, Reserve Bank governor Glenn Stevens pointed out the extent of the gathering surge in housing activity.
"Dwelling investment has been low for an unusually long period, with at least some households intent on reducing debt, thereby strengthening balance sheets. Households have accumulated a good deal of cash as well over recent years. Meanwhile, population growth is quite solid and it has been picking up a bit of late. If anything, we will need to build more dwellings than we have been over recent years. Meanwhile, interest rates are low, dwellings are more ‘affordable’, and finance approvals for housing purchases have risen by 16 per cent over the past year."
The purchase of existing homes hardly adds to economic growth. But the financing and construction of new homes (and units, townhouses, etc) adds real value and is a big growth driver. And it's exactly the transition the RBA wanted to see follow the peak of the mining boom.
This article originally appeared on <a target="_blank" href="https://www.crikey.com.au/">Crikey</a>.
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Rise in financing and construction of new homes is the transition the RBA wants

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The Wentworth Courier has reported that light rail could run through Bondi Junction's Oxford St Mall in seven years, if a Waverley Council proposal is approved.
<a target="_blank" href="https://newslocal.newspaperdirect.com/epaper/viewer.aspx">The paper</a> says public consultation about a light-rail route from Bondi Junction to Bondi Beach will begin this year.
<a target="_blank" href="https://twitter.com/TheWenty"><img alt="tweetofthedayjuly10one" height="70" width="470" src="/images/stories/2013/07/tweetofthedayjuly10one.jpg"></a>
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Wentworth Courier says trams could return to Bondi Beach

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Yesterday was a hot sunny day in London, where I've been attending auctions.
It's quite clear that in this part of the world the quality suburbs of London remain smoking hot, but the areas away from London are still struggling to gain momentum even after half a decade, although there are signs at long last of an upturn.
Thanks to the UK Government's 'Help-to-Buy' scheme, Bovis Homes today reported a 60% y/y surge in sales as the market is steadily being re-inflated.
Meanwhile back in Australia, RP Data releases figures which show that the most affordable 25% of capital city suburbs have outperformed the remainder of the market over the past decade.
<img alt="WargentJuly10one" height="340" width="470" src="/images/stories/2013/07/WargentJuly10one.jpg">
Source: RP Data
It's difficult to avoid make sweeping generalisations here, of course, but this is broadly what we might expect to see at this stage in the cycle, given the below:
<img alt="WargentJuly10two" height="396" width="470" src="/images/stories/2013/07/WargentJuly10two.jpg">
 
<hr class="system-pagebreak">
In 2008, the official cash rate in Australia threatened to increase back towards the levels seen pre-1993 (it was hiked to 7.25% on 5 March 2008) which was the year of the introduction of the target inflation rate. But since that date, the cash rate has plummeted to record lows.
In fact the cash rate in Australia has fallen from an eye-watering 17.50% in January 1990 to a record recent low of only 2.75% on 7 May 2013. With households able to source incredibly cheap credit at low mortgage rates (as low as 5% or even less today), this has lead to easily the most material gearing up in the history of Australian households.
<img alt="WargentJuly10three" height="422" width="470" src="/images/stories/2013/07/WargentJuly10three.jpg">
I'd suggest that anyone who looks at this chart and thinks that homebuyers Australia-wide are preparing themselves for a major and sustained boom in credit growth might be ever-so-slightly optimistic.
We know that Australia, just as in many other countries, saw banks and lenders dishing out 100% mortgages in the period leading up to 2008, so there is likely to be some bad news in the post in the more affordable segments of the market as and when interest rates revert towards the historical mean.
As noted by RP Data, the premium sector of the market tends to be the most volatile, whilst for the past two cycles, the most affordable properties have been the most stable. The problem here is that their chart only goes back to 1998 and therefore does not go back far enough to show what happens to lower demographic suburbs when interest rates rise. Traditionally, and if overseas markets are a useful guide, prices get clobbered as mortgage stress is experienced.
The good news for property die-hards is that Australia has to date been perhaps unique in developed world economies. We have not experienced a recent major property downturn in the capital cities and we haven't had a recession for some 22 years and counting. And long may that economic record continue.
However, property is not a magical risk-free asset class and all countries experience property downturns - and when this happens, markets with a strong proportion of investors are likely to be those which hold up best. I wouldn't want to be holding property in the cheapest markets where people tend to live through necessity rather than through choice.
Instead, I have a strong preference for markets where investors look to at the first sign of a recovery and where foreign funds will flood - close to the centre of the major capital cities.
Some properties in affordable areas will be represent good investments, but be very wary of properties with seemingly attractive high yields and that are in low demand. I've seen properties for sale here in England in small towns for the price of just one pound, and you've probably heard of similar stories from regions of the US.
 
<hr class="system-pagebreak">
Finding new hotspots
In recent months I've had some long, drawn-out  discussions with an experienced property buyers agent who is in the market daily about this very topic.
Naturally, I understand the theory that instead of buying where everyone else is rushing to buy, you may wish to buy in a regional centre where 'no-one' is buying - in the hope that they might soon do so because of, for example, new government infrastructure, projected employment growth or perhaps a nearby mining project.
The problem with this is that when people migrate to an area to work, they very often do not buy, they rent. And when they do buy (if they remain in the region), they do so to settle based on their earnings which tend to be in line with others in that area.
The only way in which prices are generally going to be pushed higher and ahead of wages growth is if you can anticipate a swathe of speculation which itself generates a larger influx of accelerating debt - and if you get that, you'll usually get new home building, which increases supply and masks the actual price increases (showing instead only median price increases).
Mining towns exhibit many of these traits. Price increases can often be fuelled by investors who may profit if they get their timing right (risky). Those who work in the town often save their money and instead invest it in property in the capital cities.
When will this property cycle end?
RP Data shows that all capital cities have recorded price gains over the past 12 months, values being  pushed up by the record low interest rates. Gains have been strong in Sydney, Darwin and Perth, but weak in Adelaide and Brisbane.
When will the cycle end, if indeed in the unlikely event that it ends coterminously in all cities? Impossible to say and anyone who claims to know is fibbing.
It could be in just a couple of months' time when Mr. Rudd calls an election. It could be in 2014 as the RBA starts to hike interest rates. It could be later in 2014 as unemployment starts to ratchet up (job losses also hurt affordable market sectors disproportionately, so let's hope this doesn't happen in Australia). Or perhaps the cycle will even run for 18 months or more.
In any case, whenever Australia's next significant downturn occurs, expect the broad middle market in supply-constrained capital city suburbs to hold up best. They usually do.
Pete Wargent holds a range of finance and property qualifications and is the author of <a rel="nofollow" href="https://petewargent.blogspot.com.au/" target="_blank">Get a Financial Grip – a simple plan for financial fr</a><a rel="nofollow" href="https://petewargent.blogspot.com.au/" target="_blank">eedom.</a> 
 
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The middle market will hold up best during the next Australian property downturn: Pete Wargent

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A higher-than-average delinquency rate by homeowners on the Mornington Peninsula in the 18 months to the end of March, was one of the main finding in the Fitch study on mortgage deficiency by postcode to the end of March. Mornington Peninsula was the third worst-performing region in Victoria with a delinquency rate of 1.66%. 
This comes despite a stable unemployment rate and stable house prices. Fitch analysed about 240,500 mortgages Australia-wide for an equivalent amount of $43 billion for this study.  Generally, though, Victoria continued to perform well in terms of mortgage arrears, with an overall delinquency rate of 1.29%. This was lower than New South Wales (1.58%) and Queensland (1.58%).  Melbourne performed in line with the rest of Victoria, with a delinquency ratio of 1.25%.  Mortgage performance in Victoria has not changed significantly over the past three years to the end of March. 
The state’s strengths include a stable and diversified economy, satisfactory affordability, and a low unemployment rate. The property market experienced considerable growth from 2008 to late 2010, before declining in 2012 and 2013.  As of the end of March, property prices in Melbourne are still 7% down from their peak in late 2010, but are at the same level as of the end of March 2010.  The unemployment rate in Victoria was 6.2% at the end of March this year, in line with historical levels. Unemployment remains low, the GDP stable, and affordability high, so Fitch does not expect a significant change in delinquency rates in Victoria in the near term.
Recent mortgagee listings and sales on the Mornington Peninsula: Under instruction from the mortgagees, Ray White Chelsea will auction <a target="_blank" href="https://www.realestate.com.au/property-house-vic-bonbeach-114210179">36 Royal Road, Bonbeach</a> (pictured below) on Saturday, July 27 at 11am. The weatherboard on 583 square metres is handy to the beach, shops and station.
{yoogallery src=[images/stories/2013/07/july10bonbeach]}
The interior has been renovated with three bedrooms plus a study, modern kitchen with stainless steel appliances and glass splashbacks, open plan lounge room all with polished floorboards. There’s ducted heating and cooling. Hocking Stuart Frankston is hoping to reap $420,000-$585,000 in a mortgagee sale for <a target="_blank" href="https://www.realestate.com.au/property-townhouse-vic-seaford-114198983">39-41 Nepean Highway, Seaford</a> (pictured below) . The townhouse, in a group of 20 named Twin Waters, has three bedrooms, two bathrooms and two car spaces.
{yoogallery src=[images/stories/2013/07/july10seaford]}
The development includes a mixture of two and three storey residences, some with bay and creek views. It has bamboo flooring, stone bench tops, stainless steel appliances, air conditioning, double car accommodation, private courtyards/balconies. The beach is across the road, and schools, shops, transport and parkland nearby. Sandra Dunbar Real Estate, McCrae, recently sold <a target="_blank" href="https://www.realestate.com.au/property-mixed+farming-vic-boneo-7536059">490 Boneo Road, Boneo</a> (pictured below), on the Mornington Peninsula, for $1.5 million in a mortgagee sale. 
{yoogallery src=[images/stories/2013/07/july10boneo]}
The 1860 farmhouse, Glenlee, is on 12.3 hectares.The iconic property is perfect for farm stay, farming or equestrian. It’s close to schools, shopping, wineries, golf courses and bay and ocean beaches.
It’s fully fenced with manageable paddocks, one with fruit orchard and the rest open to grazing. The historic outhouses, sheds and shelters support the property’s use.
Aerial image courtesy of Frankston Visitor Information Centre.
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Higher than average delinquency rate for Mornington Peninsula: Fitch

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This Sunday I am flying out to Thailand to get away from this bloody cold weather. When I booked my trip a few months ago I though my timing was perfect as the Aussie dollar was flying high.
However, just three months later it has fallen back to earth. I don’t tell you this to make you jealous of my trip but to me this is a clear sign fixed rates are at the bottom of the cycle.  
A high Australian dollar is not good for the Australian economy because our exporters products look less appealing to international buyers. This in turn puts pressure on manufacturing industry and unemployment.  
Higher interest rates in Australia in comparison to the rest of the western world makes our dollar an attractive safe haven in uncertain times as it will produce a higher return.  
The RBA really only has one tool at its disposal to put downward pressure on the dollar and that is to lower interest rates and this has been a large part of their thinking in recent times.  
A combination of lower interest rates and the announcement from the US Federal Reserve that they plan to stop quantitative easing (read print more money) has lead to a sharp fall in the Aussie dollar.  
The graph below illustrates how quickly it has slid. The dollar was above $1.05 US dollars less than three months ago and now sits around 91 cents. This means the purchasing power an international buyer of our products has had a 10% boost and in theory this should give our exporters a kick start.        
<img alt="ArmstrongJuly10one" height="208" width="470" src="/images/stories/2013/07/ArmstrongJuly10one.jpg">
On the other hand we do not want to see the Aussie dollar fall to far as this will mean many of our imports, including the laptop I am writing on, will become more expensive.  For the RBA it is like walking a tight rope and it is vital they get the balance right.
The fall in the dollar will take pressure off interest rates and will bring closer the time when the RBA begins to lift the cash rate. It is not a question of if they will lift rates but simply when.  
This is where the banks come into the frame. Their job is to project into the future to determine where rates will be at some future date. The price they pay for money will be based on these projections and this will have an impact on the price they sell it to you and me.  
Last Friday we saw an indication of what they are thinking as the ANZ bank lifted their three-year fixed rate from 4.99% to 5.19%.  This could mean the bank has sold all its cheap money and is now hedging its bets or they are stepping back from these fixed rates.  
While the other major banks are yet to follow I think this is a clear sign that now is the time to lock in.  
Warren Buffet lives by an investment mantra that says ‘I would rather be vaguely right than precisely wrong’. His investment philosophy is to use all the available information at his disposal to make educated decisions that mean he might not get the timing right every time but he is happy to be close enough to work in his favour.  It is now close enough!  
Mark Armstrong is a director of <a href="https://www.ipropertyplan.com.au/">iProperty Plan</a>, which provides independent analysis and tailored advice to investors and home buyers.          
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Lower Aussie dollar continues to put pressure on interest rates: Mark Armstrong

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The 2013 commercial property market continues its trend of revival with increased activity levels and record sales, according to First National Real Estate’s Mid Year Outlook.
However, the growing trend for tenant incentives - in the form of discounting - is expected to continue into the second half of 2013, according to 68% cent of First National commercial members.
“Commercial tenants have the upper hand in current conditions, with landlords resorting to offering tenant incentives of up to 30% across the Melbourne, Sydney and Brisbane office markets in a bid to retain them,” CEO Ray Ellis says.
According to the survey, members expect the rural/regional property market to perform steadily over the coming six months, however, there is still residual weakness from the recent difficult market conditions.
“The subdued market is seen as the result of the ongoing tough post-GFC lending conditions, supply and demand ratios, and the low interest rates that are propping up the market,” Ellis says.
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Revival of commercial property market continues: First National

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Popular Perth nightspot the Claremont Hotel could be getting new owners.
Its current owner Barry Jones, director at Gretna Nominees, is <a target="_blank" href="https://www.realcommercial.com.au/property-retail-wa-claremont-500800879?listingType=buy">seeking expressions of interest in the property</a>, with a view to either leasing or selling it.
The original hotel dates back to 1886 and then became a grocery store and later a bakery, before being turned back into a hotel in 1902.
In the 1920’s the hotel traded as McManus’ Hotel and Fink’s Hotel. In recent times its been the Continental Hotel and Redrock hotel, before becoming the Claremont Hotel after a refurbishment in 2002.
The building is situated in a prime location on the corner of Bayview Terrace and Gugeri Street, just nine kilometres from the Perth CBD. Its adjacent to the Claremont Quarter Shopping Centre and opposite the Claremont Train Station.
The 1,263 square metre property sits on 1,659 square metres of land. It comes with a tavern licence.
The two-storey hotel offers a variety of indoor and alfresco areas, which can be used for private functions or public dining.
Colliers International agents Mark Werrett and Ben Tana have advertised it as being suitable for refurbishment or redevelopment.
Expressions of interest close on August 16.
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Perth's historic Claremont Hotel seeking expressions of interest

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A key trend in the commercial property market this year will be the rise of the foreign investor, according to First National Real Estate’s Mid Year Outlook.
“Foreign investment in Australia’s property market has continued to increase on the back of the country’s stable economy and high yielding assets, with Asian buyers leading the charge,” CEO Ray Ellis says.
Another trend is the rise in the number of people buying property through their superannuation funds, which 76% of members tip will increase in the coming six months.
Ray Ellis says 2013 has been hailed as ‘the year of the property investor’ with interest rates now below rental yields in many areas and attracting investment.
“According to our members, the rental market in Australia will continue to be relatively tight, with little room for movement,” he says.
“Ongoing strong demand will tighten the market even further, with vacancy rates stretched to their limits in many areas.
“This will continue to place upward pressure on weekly rental prices.  However, given the strong affordability of housing at the moment, there is not much more the market can bear in terms of weekly rental prices.”
Queensland and Western Australia lead the anticipated weekly rental price increases, followed by New South Wales, Victoria and then South Australia.
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Commercial property market rising with foreign investment and superannuation funding: First National

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A tenant’s annoyance at having to pay an extra $1.65 in direct debit fees on top of his monthly rent prompted him to go to VCAT – and have it scrapped.
The case is significant because it’s believed thousands of landlords – through a third party - are collecting rent online or by phone via direct debit. This incurs a fee which the tribunal has ruled is unjust.
And that decision – by VCAT deputy president Ian Lulham - has thrown the legalities of the whole direct debit rental payment system into question.
‘’Clearly, I have concluded that the strength of (tenant) Mr Palmer’s claim in this proceeding is overwhelming,’’ Mr Lulham told the tribunal.
Michael Palmer, 41 leases his property through Ray White Real Estate for $2303 a month. After several months he was puzzled to see on his bank statements that an extra $1.65 was being deducted with each rent payment.
That caused him to take the landlord to VCAT to seek a refund of eight payments of $1.65 and damages of $3355.35.
At the hearing, VCAT heard that Mr Palmer had originally signed a consent form allowing a monthly direct debit of the rental – and that the system being used provided for a non-refundable transaction fee of $1.65 to a third party service.
But Mr Lulham ordered that, under the Victorian Residential Tenancies Act 1997, landlords could not demand from tenants a fee or charge relating to the establishment or use of direct debit facilities for rent payments. They should absorb the costs themselves.
He ordered that the landlord pay Mr Palmer $13.20 and $38.80 costs. He dismissed the tenant’s claim for damages and referred the matter to Consumer Affairs Victoria.
Lisa Pennell, of Ray White Corporate, said the company’s legal understanding was that, provided the tenant has the choice of paying via direct debit through the service, it could keep charging a fee.
‘’We’ve asked to meet with CAV and we’ll wait and see what they have to say before making a final decision,’’ she told Property Observer.
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The $1.65 direct debit Victorian weekly rental payment system dispute

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The logistics property firm, Goodman Group has raised €550 million ($775 million) for its Goodman European Logistics Fund (GELF).
Investor interest was strong for the €1.9 billion GELF, which is Goodman’s largest European investment vehicle with 95 assets in 11 countries.
Earlier in the year it raised another €550 million in its first Eurobond issue. With the new debt and equity the fund has an €800 million capacity for further investment.
“The overwhelming demand for the equity raise reflects the fund’s high quality portfolio and the attractiveness of the European logistics property market to large institutional investors,” the CEO Greg Goodman said.
Emmanuel Van der Stichele, the GELF fund director said with its pan-European diversified portfolio GELF presented an "exceptional opportunity" to invest in the European logistics real estate market.
"We intend to use the proceeds to further strengthen our market position and the ongoing diversification of our portfolio, with a focus on prime assets in key European logistics locations." Mr Van der Stichele added.


As at March 2013, GELF’s occupancy rate stood at 97%. The portfolio has a weighted average lease expiry (WALE) to first break of 4.9 years.
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