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“Minister Chanthivong and his team have shown real leadership in replacing an outdated two-year bond with cover that matches the lifespan of the buildings people are buying into.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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Small investors have the opportunity to acquire a prime retail spot on tightly held Swanston Street, with a small shop on the ground floor of the iconic Manchester Unity Building listed for December 6 auction.
The vendors were swayed to offer the property to the market after a 5.6% yield was  achieved next door when Shop 2, 220 Collins Street sold earlier this year for $9,250,000 with sale negotiated by CBRE’s Josh Rutman, Mark Wizel and Max Cookes.
The<a target="_blank" href="https://www.realcommercial.com.au/property-retail-vic-melbourne-500494095"> 97 Swanston Street</a> retail space is currently tenanted by foreign exchange business Travel Money Oz, owned by ASX-listed Flight Centre, on a new seven-year lease.
The premises currently brings in net annual income of $122,494 per annum.
The shop stands on one of the busiest retail strips in the Melbourne CBD and on the high premium western side of the street between Collins Street and Bourke Street mall.
It is next door to the premises of a <a target="_blank" href="https://www.propertyobserver.com.au/retail/private-investor-snaps-up-collins-street-telstra-store-premises-for-%249.25-million-ahead-of-auction/2012032854057">Telstra corner shop at 220 Collins Street, </a>which sold to a private investor prior to auction for $9.25 million on a yield of 5.6% at the end of March.
The marketing campaign for 97 Swanston Street is also being led by CBRE.
“Anything sub-$4 million in the CBD is pretty unique,” Rutman tells Property Observer.
He says there are a number of other factors that are drawing in potential bidders.
These include that it is leased to an ASX-listed tenant on a brand-new lease bringing in $122,000 per year, with the tenant agreeing to 5% annual rent increases every anniversary of the lease.
“This means it has the potential become a positively geared asset quite quickly,” says Rutman.
The property is being sold by a group of private investors.
“It’s one of the tightly held retail strips in the CBD. I have spoken to four or five owners who have owned shops on Swanston Street for 20 to 30 years,” he says.
According to the Melbourne City Council Research Department, over 15 million pedestrians walk past the property annually, which equates to almost 50,000 per day.
“We expect the location of the property to provide continual growth over the next decade, which we believe will help drive significant interest from local, national and international investors.” says Wizel.
It is due to be offered for sale by public on-site auction at 12.30pm on December 6.
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Swanston Street retail premises listed for auction 

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Fund manager the Trilogy Capital Group has relisted the global headquarters of travel guide publisher Lonely Planet in Footscray following an unsuccessful six month sales campaign last year.
Lonely Planet, which is owned by the BBC, has leased the distinctive red-brick campus office building since 2000 and has another four years to go on its current lease.
The four-level building comprises a total lettable area of approximately 7,374 square metres, with ground-floor parking for 86 cars and a small warehouse distribution centre on-site.
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The lease agreement includes annual rental increases of 3.5%, with Lonely Planet paying a current net passing rental of $1.64 million per annum.
The property at<a target="_blank" href="https://www.realcommercial.com.au/property-offices-vic-footscray-5835771"> 90 Maribynong Road </a>is the sole asset that makes up Trilogy’s Melbourne campus office syndicate, a five-year fixed-term investment fund, which returned 9.82% in the 12 months to March.
Trilogy acquired the building for $14.4 million in mid-2005 and will be hoping for around $16.4 million, representing a yield of around 10%.
It was listed for sale from April to October last year with a slightly higher asking price of $17 million but failed to sell.
Trilogy head of property assets David Hogan says the fund decided to put it back on the market due to the improved market conditions compared with a year ago.
The property is being marketed by Colliers International agents Peter Bremner and Jeremy Gruzewski.
Gruzewski says the building had been refurbished to meet Lonely Planet’s requirements and has been maintained to an incredibly high standard.
“Externally, the building has an appealing brick period-style façade, however it is the unique, lofty internal open plan office accommodation that really sets this building apart from every other office building in the metropolitan office market,” he said.
“In addition, the top floor boasts stunning views back towards the Melbourne CBD skyline.”
Gruzewski says the property represented a rare opportunity for an astute investor to purchase a high yielding, fully leased commercial property less than 5km from the Melbourne CBD in a rapidly growing and thriving suburb.
“Footscray is transforming itself into a vibrant activity centre,” he said.
The three upper floors incorporate an open plan office space as well as a rooftop staff room/canteen, gymnasium and entertainment/recreation area.
Having shrunk its staff numbers by around 70 in 2011 (15% of its workforce), Lonely Planet is seeking to sub-lease up to 1,500 square metres of the first floor of the building, with the space being marketed by Richard Norman and Matthew Collins of Jones Lang LaSalle at around $200 per square metre.
The property is for sale by expressions of interest, closing Thursday December 6 at 4pm.
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Lonely Planet Melbourne headquarters relisted with $16.4 million hopes

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New York-based Australian investment banker Mark Steinert has being tipped as the person to replace Matthew Quinn as managing director and CEO of developer Stockland.
Steinert, global head of product development at UBS Global Asset Management, held talks with Stockland chairman Graham Bradley last week, according to a report in the The Australian.
His first role at UBS was as global head real estate research, a position he held for eight years.
A spokesperson for Stockland told Property Observer it had not yet made a decision about who would replace Quinn and that the search for a replacement is ongoing.
Quinn announced his decision to retire after 12 years in the role in July and is due to step down in February.
Steinert is a new name in the mix of potential candidates.
Previous names touted as possible replacements for Quinn include Australand managing director Bob Johnston, Westfield chief financial officer Peter Allen, Rod Leaver, CEO of Lend Lease Asia, former St George Bank CEO Paul Fegan, David Southon, co-founder and joint managing director of Charter Hall, veteran Macquarie banker Matthew Banks and the only internal candidate, John Schroder, current chief executive of commercial property at Stockland.
Bradley has said recently that Stockland would consider a candidate from the financial services sector as was the case with fellow listed property group GPT, which recently appointed Michael Cameron, former group chief financial officer of the Commonwealth Bank, as its managing director and CEO.
As part of his address to the Stockland AGM on October 17 Bradley said the search for a new managing director was “progressing well”.
“Following Matthew’s decision, we appointed a board sub-committee to progress the internal and external search process, and appointed a leading international executive search firm to review both local and offshore candidates.
Bradley said a suitable candidate would be an “outstanding individual capable of providing strategic leadership in an increasingly complex investment, market and regulatory environment, coupled with all the skills you would expect to find in terms of operational management, people management, business judgement and stakeholder relations appropriate to a top 50 listed company”.
No deadline has been set for making the appointment with Bradley saying at the AGM an announcement was expected “in due course”.
An announcement is expected before the end of the year.
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Expat Aussie investment banker tipped as next Stockland boss

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Selling a home in summer can be tricky for some but rewarding for many. But it all comes down to getting the details right.
Pretty gardens, spectacular views and a well-presented home will only go so far, especially in a market where buyers would rather be relaxing with a cool drink instead of house-hunting in the heat.
It is essential home buyers price their properties correctly, choose the most appropriate sale method and market it appropriately. Real estate agents can make a lot of difference here, as they have the necessary knowledge and experience to maximise the value of your property.
When it came to pricing the property, home owners need to consider the market and buying conditions.
Summer is a time when buyer numbers plateau – particularly during the holiday period – but the current market conditions of low interest rates and affordable prices will prove too tempting for many to pass up.
So it requires real skill to set the price at a realistic level where both the buyer and seller feel comfortable that they have paid and received a fair price.
One of the biggest dilemmas summer sellers face is whether to go to auction or sell their house through private treaty. In making this decision, there are a number of factors that should be considered such as location, style of property, level of demand and timing of the sale.
Private treaty sales offer the advantage of a clearly stated price. This can be powerfully attractive to buyers who sell their property just prior to Christmas and are facing settlement in early January.
 
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When you have properly priced your property, these types of buyers can be super motivated to make strong, fair offers, with a minimum of negotiation, but it’s essential to have your price right in the first place if you’re going to do business.
On the other hand, auctions allow the market to determine the price and competitive bidding can push the price up. Auction also offers the seller certainty that once the reserve is reached, the property will be sold, and there is no cooling-off period so the sale is secure – the buyer can’t change their mind. However, the timing of an auction is crucial so it’s best to have auction campaigns completed before the holiday period gets underway.
When it comes to auctions, there are two types to be considered: in-room or on-site.
At an on-site auction, buyers can actually touch and smell what they are buying, which can provide a stronger emotional connection to the property. Also, there is an argument to be made that suggests when it comes to those final bids, and the buyer is standing in what is to be their new home if they are successful, they are more likely to go that little bit further to secure their new home.
However, in-room auctions are not affected by the weather or other environmental factors and when the market is running hot, the enthusiasm for other properties offered by auction at the same event can positively influence the bidding on your own property.
The soft market of recent times is showing a trend towards private sales over auctions, with sellers more inclined to take that route than what they perceive as the uncertainty of the potential outcome on auction day.
My advice would be to discuss all the options available with a real estate agent, who will help determine which method of sale best suits your individual circumstances and the likely degree of demand for the type of property you’ll be offering the marketplace.
The agent is there to help weight up the benefits and costs and pros and cons of each scenario and to support a seller through the sale process. They can only do that if the seller is open and honest about their feelings and share their concerns.
Stewart Bunn is national communications manager for <a href="https://www.firstnational.com.au/" target="_blank">First National Real Estate.</a>
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How to best sell your home in summer

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Buying a property is one of the biggest investment decisions you will ever make, so it’s important you get it right. Firstly, you must consider what you can afford. Once you have a budget in mind, you can assess your options and decide on which investment type will best suit your individual requirements – an apartment or a house? With the right knowledge and information at your disposal, you can more easily determine which type of property will give you greater capital growth and rental returns.
We are often asked whether a house or a unit/apartment will provide a better overall investment, especially in terms of wealth creation or early retirement goals. Our response to that is historically, houses have always outperformed units in terms of capital growth.
The old investment adage of “land appreciates, buildings depreciate” has held true. However, times are changing, and we’re now starting to see good capital growth levels with apartments.
Consider the following list of pros and cons for both property types to help make your purchase decision easier.
Pros of buying an apartment/unit
• Lower entry-level purchase prices 
There are many good-quality apartments around, for half the cost you would pay for a house. Getting started and saving for a deposit is more achievable and means you can own a property sooner rather than later.
• Low-maintenance living 
Fixing, repairing and general upkeep of a property can be a lot of hard work, especially if you are short on time and money. Apartments generally require less care and maintenance than a house, which makes it ideal for socially active professionals or baby boomers looking to downsize.
• Less expensive to renovate 
Polishing up an apartment with a coat of paint, changing door handles and installing new appliances can really help to sharpen the appeal of an apartment. This can often be achieved at minimal cost, saving you lots of money when compared to renovating a larger home.
• Higher rental returns 
Apartments usually generate a stronger rental yield than a house. The increased demand for apartment rentals will ensure good investor returns over the long term.
Cons to buying an apartment/unit
• High body corporate fees
Depending on the type of apartment you buy, the body corporate fees can sometimes be excessively high. Quarterly payments will often go towards maintaining shared facilities such as laundry, lifts, gymnasium, pool and outdoor entertainment areas.
• High-density living
Not everyone will share the same ideals or standards as your own; some apartments have thin walls and poor insulation, which can mean high noise levels and a general lack of privacy. In many ways, you are powerless to change your environment.
• Buying off the plan 
Modern apartments in high-density developments can often attract very slow capital growth. Resale is usually not that strong, with the land value worth less than 10% of the purchase price.
• Smaller living spaces 
If you are accustomed to more expansive living arrangements, this may present a problem. Some apartments can lack key storage space and can be difficult to navigate in freely.
 
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Pros to buying a house
• More potential for capital growth
The main reason most people buy into real estate is to make money. Houses generally have a larger land size value, which gives you greater flexibility and choice to develop, sub-divide and extend if required.
• More privacy and feeling of space
Communal space can never match the appeal of your own private garden. Houses are more generously proportioned offering you a greater sense of privacy and space. Young families can take advantage of larger outdoor areas with the added bonus of keeping as many pets as you want.
• Appeals to a larger cross-section of buyers 
You will never have a shortage of interested buyers with a house. Demand will be always be stronger if you can appeal to a diverse range of potential buyers such as first-home owners, investors and young families.
• No shared land/or owners’ corporation costs 
The good thing about a house is you have more control over what to spend your money on. Rather than being locked into paying quarterly levies, you ultimately get to decide on what needs to be fixed today, tomorrow or next month. The choice is yours.
Cons to buying a house
• Higher stamp duty and interest costs 
Owning your dream home requires much effort and financial consideration. Spending that little bit extra to have the home you really want can often mean higher stamp duty costs and loan interest fees.
• Higher maintenance and renovation costs
A house will always have higher structural and renovation costs such as plumbing and electrical work. If something unforseen occurs such as a roof leak or the hot water system breaks down, you are solely responsible for that. Not to mention the increased monthly expenses such as council rates and utility charges.
• Lower rental returns and reduced cashflow for investors
In general, properties with higher capital growth have lower rental returns. To increase the rental yield of a house, you would need to invest money on renovating or further developing it into a high-growth property.
• Fewer tax deductions and depreciation benefits for investors 
There are always eligible items that can be depreciated and go towards minimising your tax liability such as carpet and kitchen appliances. Newer homes tend to offer greater tax depreciation benefits rather than older, more established homes.
Frank Valentic is managing director of award-winning buyers' agency <a target="_blank" href="https://www.advantageproperty.com.au/">Advantage Property Consulting.</a>
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Is a house or an apartment a better investment?: Frank Valentic

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A Melbourne-based private investor has paid $2.6 million to acquire the premises of St Kilda food and wine bar Phamish, which sits below one of the bayside suburb’s most striking boutique apartment buildings.
The 370-square-metre <a target="_blank" href="/news">St Kilda</a> restaurant is on the ground floor of luxury apartment block 30 The Esplanade, with its curving glass facade reflecting Luna Park and the Palais Theatre live music venue across the road.
The sale price reflects a yield of 6.39% based on a net annual rental of $166,308. The square metre sale rate was $7,027.
The "quick" sale of the restaurant premises was negotiated by Savills agents Nick Peden and Clinton Baxter subject to the space being leased to Phamish restaurant on a 10-year term with five-year renewal options.
Phamish has leased the space since the building’s completion in December 2009.
“This was really prime property. A restaurant with a long-term lease, within a prestigious new residential development which was itself within arguably Melbourne’s most popular dining and entertainment precinct. It was no surprise that a purchaser snapped it up so quickly," says Peden.
“The quick sale was also an indication of the dearth of such opportunities in the market at the moment and the resultant competition for them whenever they do appear,” he says.
The vendor, who declined to be named, was the developer of the building.
The property at 30 The Esplanade is a curving glass building featuring 14 apartments designed by SJB Architects and stands between traditional terrace houses and a McDonald’s restaurant just a short walk from the St Kilda Beach Acland Street retail and food strip.
A two-bedroom apartment in the building is currently listed for sale at $1.3 million through RT Edgar Albert Park while two apartments featuring two bedrooms are for rent at $900 and $1,000 per week.
The standout feature of 30 The Esplanade is its curved glass façade, which employs a "super-imposed graphic, built into the double-glazed window units, with the semi-transparent image placed between each layer to ensure it does not fade over time," according to architects SJB.
“The image references several characteristics inherent to St Kilda’s cultural fabric; the fishnet stockings simultaneously speaks of sex, the seaside and the politics of the promenade,” explained SJB’s Michael Bialek in 2009. “St Kilda has a rich and varied history, from the artists in residence and the European immigrant community that settled in the '50s to the strong tourist numbers that visit the area throughout the year,” he said.
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Investor snaps up Phamish restaurant premises on St Kilda Esplanade for $2.6 million

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Because banks have been reluctant to fund speculative development, very little new industrial space has come onto the market over the past few years.
Demand on the other hand has remained fairly steady, and it's now increasing.
And this will cause rentals to rise over the next few years — as there is only a modest amount of space in the pipeline.
<img alt="langnov19" src="/images/stories/2012/11/langnov19.png" height="294" width="470">
According to a recent report by Jones Lang LaSalle, 90% of the space built over the past year was through pre-committed.
And with vacancies falling, you are likely to see these pre-commitments continue — as businesses start to expand or relocate from all the premises.
In Sydney, owner-occupiers have dominated the sales market, causing investment yields and prices to firm. And with a looming tight supply, you should see values rise during 2013.
Melbourne has had a continuing shortage of prime space over 3,000 square metres due to strong tenant demand. As such, many tenants are having to settle for second-grade accommodation.
The success of several speculative projects in the west and south-east has encouraged a few cashed-up developers to begin further projects. But even so, the amount of new space coming onto the market will be modest, thereby sustaining growth.
Queensland's mining activities have meant a quarter of all major lettings have been taken up by companies servicing the mining sector. Nonetheless, the demand by manufacturers and wholesalers remains strong, with most investors seeking quality tenants on long leases in modern buildings.
It would seem that strong tenant demand in Adelaide, combined with new space be in short supply have combined to cause some steady growth in rentals over the past six months.
Lack of ready funding in Perth has so far curbed speculative development, with most new construction being undertaken following tenant pre-commitments. However, with vacancies low and demand strong, development activity is expected to increase over the next couple of years.
Bottom line: If you are in a position to contribute the land as your "project equity", then banks will generally fund projects with just 50% pre-commitment.
And in the current market, you are likely to have your project fully leased (or sold) prior to completion.
Chris Lang is an advisor to commercial property investors and gives keynote speeches and regular seminars on the best way to invest in commercial property. He maintains a blog, <a href="https://bitly.com/IFf40C">his-best.biz</a>, which he updates regularly about the best way to get the most out of your commercial property investment.
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chrislang-EQKojcgJPV

Australian industrial property poised for growth

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ISPT's acquisition of a 50% share of Myer Centre in Brisbane from Colonial First State Retail Property Trust is the biggest shopping centre transaction for the year to date, according to figures compiled by Jones Lang LaSalle.
The sale of the <a href="https://www.propertyobserver.com.au/retail/new-york-based-blackstone-group-buys-top-ryde-mall-for-%24341-million/2012111957931" target="_blank">indebted Top Ryde City shopping centre</a> to US private equity firm the Blackstone Group this week for $341 million ranks as the second biggest deal of the year.
Jones Lang LaSalle head of retail investment Simon Rooney, who advised on all but one of the top 10 transactions, says the sale of the <a href="https://www.propertyobserver.com.au/retail/perron-group-to-acquire-half-stake-in-three-centro-centres-for-%24690-million-setting-post-gfc-commercial-retail-record/2012051754740" target="_blank">Centro portfolio to the Perron Group </a>was clearly the most significant deal of the year. The Perron Group acquired 50% stakes in the  Colonnades in South Australia, the Glen in Victoria and the Galleria in Western Australia for a combined $690.4 million.
Click to enlarge
<a href="/images/stories/2012/11/jllnov20.gif" rel="shadowbox" title="Click to enlarge"><img src="/images/stories/2012/11/jllnov20thumb.gif"></a>
Source: Jones Lang LaSalle
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The top 10 Australian shopping centre deals of 2012: Jones Lang LaSalle

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Moranbah tops the latest list of 40 localities with the highest rental yields for houses, according to information provided by RP Data.
Queensland localities top the list, with 18 suburbs.
New South Wales is second with 17 high rental yield suburbs.
Victoria comes in third place with five localities.
 
<table cellpadding="0" cellspacing="0" border="1"><tbody>
<tr>
<td width="120" valign="top">
SUBURB
</td>
<td width="117" valign="top">
POSTCODE
</td>
<td width="113" valign="top">
MEDIAN PRICE
</td>
<td width="110" valign="top">
GROSS RENTAL YIELD
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Moranbah</a>
</td>
<td width="117" valign="top">
4744
</td>
<td width="113" valign="top">
$723,950
</td>
<td width="110" valign="top">
12.9%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Boggabri</a>
</td>
<td width="117" valign="top">
2382
</td>
<td width="113" valign="top">
$156,000
</td>
<td width="110" valign="top">
11.7%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Blackwater</a>
</td>
<td width="117" valign="top">
4717
</td>
<td width="113" valign="top">
$414,000
</td>
<td width="110" valign="top">
11.3%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Collinsville</a>
</td>
<td width="117" valign="top">
4804
</td>
<td width="113" valign="top">
$220,000
</td>
<td width="110" valign="top">
10.6%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Dimboola</a>
</td>
<td width="117" valign="top">
3414
</td>
<td width="113" valign="top">
$83,500
</td>
<td width="110" valign="top">
10%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Broken Hill</a>
</td>
<td width="117" valign="top">
2880
</td>
<td width="113" valign="top">
$110,000
</td>
<td width="110" valign="top">
9.5%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Condobolin</a>
</td>
<td width="117" valign="top">
2877
</td>
<td width="113" valign="top">
$131,500
</td>
<td width="110" valign="top">
8.3%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Roma</a>
</td>
<td width="117" valign="top">
4455
</td>
<td width="113" valign="top">
$320,000
</td>
<td width="110" valign="top">
8.1%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Townview</a>
</td>
<td width="117" valign="top">
4825
</td>
<td width="113" valign="top">
$335,000
</td>
<td width="110" valign="top">
8.1%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Nhill</a>
</td>
<td width="117" valign="top">
3418
</td>
<td width="113" valign="top">
$110,000
</td>
<td width="110" valign="top">
8%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Batlow</a>
</td>
<td width="117" valign="top">
2730
</td>
<td width="113" valign="top">
$107,500
</td>
<td width="110" valign="top">
7.9%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Clermont</a>
</td>
<td width="117" valign="top">
4721
</td>
<td width="113" valign="top">
$317,500
</td>
<td width="110" valign="top">
7.8%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Sunset</a>
</td>
<td width="117" valign="top">
4825
</td>
<td width="113" valign="top">
$350,000
</td>
<td width="110" valign="top">
7.7%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Depot Hill</a>
</td>
<td width="117" valign="top">
4700
</td>
<td width="113" valign="top">
$170,000
</td>
<td width="110" valign="top">
7.6%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Cobar</a>
</td>
<td width="117" valign="top">
2835
</td>
<td width="113" valign="top">
$195,000
</td>
<td width="110" valign="top">
7.6%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Terang</a>
</td>
<td width="117" valign="top">
3264
</td>
<td width="113" valign="top">
$155,000
</td>
<td width="110" valign="top">
7.5%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Werris Creek</a>
</td>
<td width="117" valign="top">
2341
</td>
<td width="113" valign="top">
$125,000
</td>
<td width="110" valign="top">
7.5%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Charleville</a>
</td>
<td width="117" valign="top">
4470
</td>
<td width="113" valign="top">
$160,000
</td>
<td width="110" valign="top">
7.3%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Mount Morgan</a>
</td>
<td width="117" valign="top">
4714
</td>
<td width="113" valign="top">
$125,500
</td>
<td width="110" valign="top">
7.3%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">East Bairnsdale</a>
</td>
<td width="117" valign="top">
3875
</td>
<td width="113" valign="top">
$178,000
</td>
<td width="110" valign="top">
7.3%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Deniliquin</a>
</td>
<td width="117" valign="top">
2710
</td>
<td width="113" valign="top">
$152,500
</td>
<td width="110" valign="top">
7.3%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Windale</a>
</td>
<td width="117" valign="top">
2306
</td>
<td width="113" valign="top">
$228,750
</td>
<td width="110" valign="top">
7.3%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Cloncurry</a>
</td>
<td width="117" valign="top">
4824
</td>
<td width="113" valign="top">
$252,500
</td>
<td width="110" valign="top">
7.2%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Moura</a>
</td>
<td width="117" valign="top">
4718
</td>
<td width="113" valign="top">
$253,000
</td>
<td width="110" valign="top">
7.2%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">North Booval</a>
</td>
<td width="117" valign="top">
4305
</td>
<td width="113" valign="top">
$200,000
</td>
<td width="110" valign="top">
7.2%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Sarina Beach</a>
</td>
<td width="117" valign="top">
4737
</td>
<td width="113" valign="top">
$370,000
</td>
<td width="110" valign="top">
7.2%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Cooma</a>
</td>
<td width="117" valign="top">
2590
</td>
<td width="113" valign="top">
$172,250
</td>
<td width="110" valign="top">
7.2%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Merbein</a>
</td>
<td width="117" valign="top">
3505
</td>
<td width="113" valign="top">
$145,500
</td>
<td width="110" valign="top">
7.1%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Narrabri</a>
</td>
<td width="117" valign="top">
2390
</td>
<td width="113" valign="top">
$263,500
</td>
<td width="110" valign="top">
7.1%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">South Grafton</a>
</td>
<td width="117" valign="top">
2460
</td>
<td width="113" valign="top">
$193,500
</td>
<td width="110" valign="top">
7.1%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Cardwell</a>
</td>
<td width="117" valign="top">
4849
</td>
<td width="113" valign="top">
$231,000
</td>
<td width="110" valign="top">
7%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Marburg</a>
</td>
<td width="117" valign="top">
4346
</td>
<td width="113" valign="top">
$237,500
</td>
<td width="110" valign="top">
7%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Rockhampton City</a>
</td>
<td width="117" valign="top">
4700
</td>
<td width="113" valign="top">
$200,000
</td>
<td width="110" valign="top">
7%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Winston</a>
</td>
<td width="117" valign="top">
4825
</td>
<td width="113" valign="top">
$379,000
</td>
<td width="110" valign="top">
7%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Blackett</a>
</td>
<td width="117" valign="top">
2770
</td>
<td width="113" valign="top">
$229,500
</td>
<td width="110" valign="top">
7%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Bolton Point</a>
</td>
<td width="117" valign="top">
2283
</td>
<td width="113" valign="top">
$260,250
</td>
<td width="110" valign="top">
7%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">North Albury</a>
</td>
<td width="117" valign="top">
2640
</td>
<td width="113" valign="top">
$185,000
</td>
<td width="110" valign="top">
7%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Tolland</a>
</td>
<td width="117" valign="top">
2650
</td>
<td width="113" valign="top">
$190,000
</td>
<td width="110" valign="top">
7%
</td>
</tr>
<tr>
<td width="120" valign="top">
<a href="/news">Willmot</a>
</td>
<td width="117" valign="top">
2770
</td>
<td width="113" valign="top">
$224,250
</td>
<td width="110" valign="top">
7%
</td>
</tr>
<tr>
<td width="120" valign="top"><a style="font-family: Verdana, Arial, Helvetica, sans-serif; font-size: 11px;" href="/news" target="_blank">Tregear</a></td>
<td width="117" valign="top">2770</td>
<td width="113" valign="top">$231,500</td>
<td width="110" valign="top">7%</td>
</tr>
</tbody></table>

Source <a target="_blank" href="https://www.myrp.com.au/">RP Data</a>
For more on investing in mining towns like Moranbah and Gladstone, <a target="_blank" href="http://propertyobserver.com.au/ebooks/free-ebook-gladstone-investment-keys-to-one-of-the-nations-most-talked-about-hotspots">download our free eBook.</a>

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ntrotman-Et3xWpamVh

East coast Australia's top 40 highest rental yield suburbs: From Moranbah to Tregear

<html><body>
<img src="/images/stories/2012/11/1.gif">
To understand the difference between price and value. Price is what you pay the vendor. Value is what your property is worth and can be accurately assessed by a competent, qualified valuer.
 
<hr>
 
<img src="/images/stories/2012/11/2.gif">
To guide your investment/buying/selling decisions. A property investment is one of the biggest decisions you will make, yet people make them without any objective advice. On the other hand, people always seek qualified financial advice when making other investment decisions.
 
<hr>
 
<img src="/images/stories/2012/11/3.gif">
For an objective assessment. A reputable valuer is objective, an estate agent acts on behalf of the vendor. The aim of an estate agent is to get the maximum price for the vendor. Relying on the estate agent to set the price could see you paying over the odds. Choose a Certified Practising Valuer (CPV).
 
<hr>
 
<img src="/images/stories/2012/11/4.gif">
A reputable valuer is objective, an estate agent acts on behalf of the vendor. The aim of an estate agent is to get the maximum price for the vendor. Relying on the estate agent to set the price could result in you paying over the odds. Choose a certified practising valuer (CPV).
 
<hr>
 
 
<img src="/images/stories/2012/11/5.gif">
Personal attachment can cloud judgement. Everyone forms emotional attachments to the homes they live or a property they wish to buy, which can affect how much they believe they are worth. An independent valuation can provide some clarity and prevent unrealistic expectations. If you are selling, a valuation can provide a good idea as to what you can realistically expect it to sell for – it may in some cases be more than you think it is worth.
 
<hr>
 
<img src="/images/stories/2012/11/6.gif">
A valuation is a legally binding document and so can be a valuable document when negotiating with buyers/vendors and if any disputes arise.
 
<hr>
 
<img src="/images/stories/2012/11/7.gif">
A valuation is tax-deductible if the property is held for investment purposes. So you get an objective assessment of the value of your property and can claim the cost as a deduction from your annual tax assessment.
 
<hr>
 
<img src="/images/stories/2012/11/8.gif">
Prevent any financing shocks. This is particularly an issue if you are buying an apartment off the plan or a house-and-land package, where the price you pay may be affected by rebates, incentives, developer profits, marketing costs and a change in value over time. A lower valuation may require a buyer to dip into the hip pocket or be forced to take out lenders mortgage insurance.
 
<hr>
 
And if you want to get some perspective and objectivity on your property’s worth but don’t wish to use a property valuer these are four alternatives to consider (or you could do them all):
Looking at real estate websites. In addition to seeing what prices other comparable properties in your area are advertised for some listings website provide a “sold” section so you can view recent sales. 
Call a couple of local estate agents Speak to a few estate agents to get a sense of what properties have sold for in that area and if you are negotiating a fair price. A local estate agent that is not acting on behalf of the vendor you are negotiating with can be good source of knowledge and information.
Engage a buyer’s agent Unlike an estate agent, a buyer’s agent will act on your behalf and seek to negotiate the best possible price on your behalf.
Buy a property report There are a number of data providers that sell property reports with detailed sales histories right down to the suburb and street.
 
 
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