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“Minister Chanthivong and his team have shown real leadership in replacing an outdated two-year bond with cover that matches the lifespan of the buildings people are buying into.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

<html><body>
The threat of a bubble building in the Australian housing market has been dismissed by senior Treasury economist David Gruen.
Gruen, executive director of Treasury’s macroeconomic group, says there is no danger of a housing bubble because of Australia has an undersupply of homes unlike other major economies, which have built too many houses.
The housing bubble debate has received fresh oxygen of late with senior industry figures warning about the threat posed by rising house prices including ANZ Bank Australia CEO <a href="https://www.propertyobserver.com.au/residential/anz-boss-adds-to-growing-list-warning-of-australian-housing-bubble-risk/2012100456996">Phil Chronican</a> and Barry Brakey head of property at the Future Fund.
However, others like <a href="https://www.propertyobserver.com.au/residential/recovering-housing-market-at-630-on-the-property-clock-with-no-risk-of-a-housing-bubble-john-symond/2012101157115">John Symond</a> of Aussie Home Loans, Meriton’s Harry Triguboff and Australian Property Monitors’ Andrew Wilson have dismissed these concerns.
Gruen also expects the housing market to play a role in driving the economy forward once the mining boom has run its course.
“In a couple of years, when mining investment does not contribute to growth any more, we will need other things to contribute to growth,” Dr Gruen told a Senate budget estimates hearing in Canberra today, as reported by the Australian Financial Review.
“One of the most obvious things [to contribute to growth] is the housing market, given that we think there is undersupply.
Such a contribution, he said, would be “a natural and desirable development and we are seeing early signs of it”.
Gruen said Australia was building no more dwellings now than it was a decade ago, so “we think there is net undersupply in the housing market”.
He contrasted the Australian undersupply picture with that of Spain, Ireland, UK and the US where very large house price increases were accompanied by “truly extraordinary” increases in supply.
He also told the estimates committee he expected the federal government to deliver on its budget surplus ambitions.
“Provided we are in a world in roughly trend growth and there is room to move on monetary policy, it seems to me an appropriate strategy to be aiming for surplus.”
And he expects the mining industry, currently in a lull with commodity prices falling, to be boosted again as more mining investment projects are  finalised.
“I guess I wouldn’t call the resource prices a bubble; I would call it a natural understandable response to a big increase in demand that was unanticipated,” he said.
</body></html>

lschlesinger-FZcF9M3vE6

No risk of housing bubble forming in Australia: Treasury economist David Gruen

<html><body>
There were 796 sales in Perth for the week ending October 10, up 21% from the previous week, according to the Real Estate Institute of Western Australia. 
The suburb of <a href="/news">Nollamara</a>, north of the river, was the most actively traded suburb, with 14 sales.
<img src="/images/stories/2012/10/reiwaoct10.gif">
</body></html>

cknowlton-QnEa6ntUYP

Perth sales up 21% from week of October 3 to October 10: REIWA

<html><body>
The mood of mid-market companies is volatile, according to a Future Business Index report released by the Commonwealth Bank.
"While overall business sentiment has softened ... it is pleasing that the environment is still considerably better than 12 months ago," executive general manager Symon Brewis-Weston says.
The report, released twice-yearly by the bank, measures the confidence of businesses with a turnover of $10 million to $100 million. It shows a notable drop in overall business confidence, from 9.3 points six months ago to 4.3. However, the new figure is still much higher than 12 months ago when it was in the red at -0.3.
The trend wasn't uniform across all business sectors. Retailers and the mining sector jumped by 10 and 7 points respectively, while construction, business services and transport all dropped double figures.
In regard to the next six months, mid-market companies are undecided. While 27% are optimistic about the forecast, 26% of companies expect it to worsen. Opinion on revenue is evenly split, with 50% predicting a rise. But larger companies, with more than $50 million turnover, are more positive, with 59% expecting an increase.
The number of companies expecting to reduce expenditure was down to one third, although more are planning to cut staff.
The story is also very different from state to state. Victoria and Tasmania, both of which have experienced economic difficulties recently, had a 4-point jump in confidence. But that's where the positive outlook ends. New South Wales and the ACT declined 4 points, although confidence is still high, while South Australia and Tasmania slumped 15 points to -10.1. Western Australia also declined sharply off the back of bad news from China, slipping from 16.7 to -2 in just six months.
The news isn't all good, but the results show that while business confidence has dropped, mid-market companies haven't given up hope.
This article first appeared on <a rel="nofollow" href="https://www.leadingcompany.com.au/">LeadingCompany</a>.
</body></html>

cwaters-YrtBR88nBe

Mid-sized retailers feeling more optimistic than 12 months ago: CommBank

<html><body>
The Port of Melbourne, Gladstone Port, Port Hedland Port, Darwin Port, the Great Barrier Reef Airport as well as numerous electricity and water infrastructure are among around $220 billion worth of assets state governments might consider selling to shore up its finances.
The sell-off is recommended in a new federal report called Australia's Public Infrastructure – Part of the Answer to Removing Infrastructure Deficit released today by Infrastructure Australia.
It lists what it calls “commercially viable, publicly owned assets” that could be sold to the private sector.
Infrastructure Australia says it has identified that more than $100 billion of commercial infrastructure assets on Australian government balance sheets including airports; roads; water services; ports; freight rail; and electricity generation, transmission and distribution with an “enterprise value range” of between $195 billion and $219 billion.
The most valuable assets are tied to electricity production, with the report listing up to $59 billion worth of “electricity distribution” assets and $48 billion in electricity generation and transmission assets.
Around $11 billion could be generated from the sale of ports and less than $1 billion from airport sales.
Assets that could be sold to private interests include Snowy Hydro; the three NSW energy distributors Ausgrid, Essential Energy and Endeavour Energy; water retailer Sydney Water; and ports in Newcastle, Gladstone, in Western Australia and Tasmania.
“Today, the costs to governments of operating and maintaining these assets often far outweigh the benefits to the community of retaining these assets in government ownership,” says national infrastructure coordinator Michael Deegan.
He says governments around Australia need to explore new methods of financing and developing the infrastructure needed to improve national productivity.
“If we are to build on and sustain the living standards of all Australians, governments need to recognise that they cannot bridge the current funding gap,” he says.
 
<hr class="system-pagebreak">
 
According to the report, many assets in the energy, ports, regional airports and freight rail sectors could be sold relatively quickly and under current policy settings. The report adds that these sectors have the most capacity to provide funding for new economic infrastructure.
The assets are likely to be targeted at super funds because of their steady yields, rather than offshore institutions and sovereign funds, following the recent political stoush over the sale of <a href="https://www.propertyobserver.com.au/rural/cubbie-station-officially-sold/2012101257136" target="_blank">Cubbie Station,</a> with the report acknowledging that "some members of the community have genuine concerns about the private sector owning or controlling infrastructure that has long been in public hands.
“Australia's superannuation industry is also well placed to purchase these assets - providing a real opportunity to achieve all the potential benefits of a sale while maintaining ownership of these assets across a broad cross-section of the community,” says Infrastructure Australia.
The sale of the assets would be used by the governments to fund highways, ports and other infrastructure projects, as taking on fresh debt to do so could put its Moody’s triple-A credit rating at further risk, following recent falls in commodity prices.
Recent successful asset sales that Infrastructure Australia says “have generated real community value include the recent refinancing of the Sydney Desalination Plant, which raised $2.3 billion, $300 million more than the cost of constructing the plant.
“After repaying the debt incurred in building the plant, the net proceeds from the refinancing have been provided to Restart NSW allowing government to fund the building of critical new infrastructure such as roads, hospitals and schools.”
Other successful sales listed in the report include Hobart Airport, which was sold to a consortium of Macquarie Bank and the Tasmanian Retirement Benefits Fund for $350.5 million.
“Press reports suggest the price was above expectations.  The high sale price was reportedly due in part to the potential of the large parcel of 570 hectares of land attached to the airport,” says the report.
</body></html>

Federal report suggests $220 billion sell-off of ports, airports and infrastructure assets to fund future projects

<html><body>
Jordan Wirsz is at it again. This time, thankfully, not many here in Australia are listening to him.
In this latest diatribe, Wirsz claims that he has been studying human behaviour for 22 years. In the past he has tried to have us believe some fairly hard to swallow claims, but that one has to take the cake!
You see, Wirsz was born in 1983, making him barely 29 year of age.
I have five children. I think back to when each of them was seven.  My eldest was a bit of a larrikin – I still recall the day when he set the sprinklers to the “on” position right in the middle of his dad’s work barbecue. Of course, all of the staff were picnicking on the lawn at the time, but it was true seven-year-old behaviour, and most of us were able to laugh about it. My three girls were most likely playing with Barbies at that age and my youngest boy, the studious one, would have been reading a young person’s book.
Studying human behaviour? It conjures up the picture of one of them sitting at the dinner table, thoughtfully stroking their chin and saying to me, ‘you know mum, Mrs Wilson next door has an interesting response to the post man, and I’ve been pondering this peculiar behaviour’!
It’s rubbish, as is much of what Wirsz claims to know about the Australian property market, one which, by his own admission, he researches using Google.
Further, he states that he has learned to “virtually ignore all media/news, because most of the time, they are wrong”. He then goes on to say that ‘this is because they are listening to so called “experts” who have agendas’. Has anyone asked Wirsz how he makes his money? It looks to me like it’s from running seminars and real estate classes, ones that give you the strategies to employ after he has wound you up with his press releases and lathered you into frenzy about the latest gloom and doom.  If that’s not an “agenda”, then I’d like to know what to call it.
He seems to have lately jumped ship a little – from talking about the woes of US real estate to now saying that “the normalcy bias is keeping many people too fearful of buying real estate, which is going to create an exaggerated bottom, just like we saw an exaggerated top”. He now wants to buy into a market that he said, not that long ago, was doomed.
And, in the latest blog (littered with grammatical errors, which I will ignore because, let’s face it, he’s a product of that younger set), he couldn’t resist another swipe at Australia. He says that he has done a lot of research on the Australia real estate market, and can see some “very significant signs that they are almost exactly where the U.S. market was in 2008”. Who knew it could fall so much?’
He thinks Australia is in for it in a “big way” and invites you to “stay tuned for more later”. I gather this means another webinar – more money-making for Wirsz.
 
<hr class="system-pagebreak">
 
I gather he is doing his research on Google again, because I am finding much more encouraging news from some fairly reliable sources.  Housing affordability is improving monthly, and the average Australian now spends below 30% of his or her income on the average home loan payment, with even better results expected in the coming months. Australians are repaying debt too, with more than 50% of all mortgage holders now in advance on their loans, many of them over one year in advance. We are great ones for hunkering down and shoring up for that rainy day, even if the signs show we may not need it. Lenders are being careful, and under the new credit reforms our lending policies, already tight with an abundance of integrity, just got stronger, providing further protection.
And look at all of those areas in the country today with low buy in prices, growing population and housing shortages.  With technology allowing us to live and work in areas other than capital cities, the choices for housing have become more and more diverse and available, and the Australian people’s confidence in property values remains as strong as ever.
The figures don’t lie. The September quarter showed some slow, albeit low, growth in many markets, as we carefully creep along, prudently buying, bargaining hard but keeping property values just about where they should be given the world economic outlook.
Let’s listen to true experts – you know the Australian ones. Like Tim Lawless from RP Data, who forecasts rising housing prices for the major urban areas of Australia. He says “based on index data over the month up to September 28th, dwelling values across the combined five largest capital cities of Australia are likely to increase by around 1.4% over the month of September, and the quarterly rate of growth will be around 2% over the quarter – that's the strongest quarterly change since May 2010”.
And what of those other real experts – those guys over at BIS Shrapnel? They say that house prices in Sydney, Brisbane and Perth will recover over the next three years, which sounds pretty good to me.
My money’s with the guys who know.  The ones who live here and make the details of our markets their life’s work.
Jordan who?
Margaret Lomas is a best-selling author and writes and hosts the popular Property Success With Margaret Lomas and heads up the panel onYour Money, Your Call, both on Sky News. She is the founder of<a target="_blank" href="https://destiny.com.au/dotnetnuke/en-au/home.aspx"> Destiny</a>.
</body></html>

mlomas-KC9MUPZ6Ca

US doomsayer Jordan Wirsz's Australian housing bubble predictions rubbish

<html><body>
The Australian housing market is set to crash like the US housing market crashed following the sub-prime mortgage crisis, US property market doomsayer Jordan Wirsz has claimed in a new blog post. Wirsz caused a stir in the Australian media earlier this year when he forecast Australian house prices to fall 60% over the next five years. Despite being unknown in Australia and with no evidence to back his claims, they were reported on News Limited websites as a warning of a “bloodbath” to hit the Australian property market. Little has been heard from Wirsz since then until his latest blog post, which claims that while that there are “very bullish signs” for the US housing market, the Australia’s property market is heading for a tumble. “I’ve done a lot of research on the Australia real estate market, and in fact see some very significant signs that they are almost exactly where the U.S. market was in 2008… Who knew it could fall so much… Well, I think Australia is in for it in a big way. Stay tuned for more on that topic later. In the meantime, happy real estate hunting,” <a href="https://blog.jordanwirsz.com/why-i-think-the-time-is-now/" target="_blank">writes Wirsz on his blog.</a>
But property investment adviser Margaret Lomas, who has read Wirz's latest blog and sparred with him in the past on Sky News, says she is finding "much more encouraging news [about the Australian housing market] from some fairly reliable sources".
"The September quarter showed some slow, albeit low, growth in many markets, as we carefully creep along, prudently buying, bargaining hard but keeping property values just about where they should be given the world economic outlook.
Lomas suggests listening to the "true experts" like Tim Lawless from RP Data, who "forecasts rising housing prices for the major urban areas of Australia" with the quarterly rate of house price growth over the September quarter forecast to be around 2% – "that's the strongest quarterly change since May 2010".
Wirsz suggests now is the time to buy US real estate and says that US housing investors are “living and dying with every new release of the home-builder data, home price indexes, and all the nonsense that is available to the average person” and should instead take a leaf out of Warren Buffett’s book and watch very little of the news, “if any”.
 
<hr class="system-pagebreak">
 
According to the September Case-Shiller index of 10 major US metropolitan areas and its 20-city index, properties prices rose 1.5% and 1.6% respectively, supporting a fractured recovery in the US housing market. However, some of the states worst-hit by the sub-prime mortgage crisis, such as Cleveland, have only just moved past January 2000 prices. In a Reuters September poll, 35 of 38 economists said the US market was recovering, but the pace of recovery is still painfully slow. US house prices crashed about 35% in the wake of sub-prime mortgage crisis, but falls were greater in California and in south-west mortgage belts like Nevada. According to a Home Builders Research report from June, the median resale price of  home in Las Vegas, Wirsz's home town, was just $120,000 in June, though up 9.1% from a year ago. The average price of a house in Las Vegas was around $350,000 in 2007, according to the National Association of Realtors. Wirsz claims to have achieved over $500 million in sales and advised Fortune 500 CEOs about real estate investments. He describes himself as a “licensed realtor, entrepreneur and businessman based in Las Vegas, Nevada”. “By the age of 25 Jordan founded a private capital lending firm which grew to a size of approximately $150 million under management. The firm financed the developers and construction companies in the booming Las Vegas real estate market,” says his website. 


</body></html>

Margaret Lomas dismisses US doomster Jordan Wirsz's fresh claim of Australian impending property market crash

<html><body>
The receivers of collapsed music chain Allans Billy Hyde have announced all the company's stores will close and more than 500 jobs will be lost as a result.
Brendan Richards of Ferrier Hodgson said in a statement Australian Music Group Holdings will be shut down.
"The loss of jobs is disappointing, but we exhausted all avenues and there is no other way forward for this business," he said.
"These people have served music lovers and been a key part of the Australian music industry for generations. It is a sad day for live music in this country."
The 513 staff will be made redundant over the next few weeks. All the 27 stores will be closed.
The company collapsed earlier this year, after an injection of capital failed to save the business and investors called in receivers. It had been experiencing trouble for years, with the two groups, Allans and Billy Hyde, creating a new chain in 2010.
This article originally appeared on <a target="_blank" href="https://www.smartcompany.com.au/index.php">SmartCompany</a>.
</body></html>

Receivers of music chain Allans Billy Hyde to close all 27 stores

<html><body>
When a home sells quickly and at a terrific price, everyone is delighted. In a bearish market this outcome remains the ideal target; however the wider the disparity between an asking price and the available offers, the more difficult the sale becomes.
The theory of "optimism bias" purports that individuals expect their own chances of receiving positive things in life to be greater than the average person and that their chances of incurring negative outcomes are less than average. The individual "optimism" outweighs the law of averages.
Thaler in 1980 postulated that “people often demand much more to give up an object than they would be willing to pay to acquire it”. Jeffrey Strain wrote “that people believe something they own is worth more than the exact same thing they don’t”. Thaler’s endowment effect (also known as ‘divestiture aversion’) has been described as one of the most important concepts in behavioural economics.
The connection to real estate is clear. It is common place that vendors of property perceive their own property’s value to be in excess of the buyer market’s perception of same. It is the single most significant impediment to the sale of real property. Essentially all property will sell “at a price” – it is the seller’s expectation that will hold up the process. Over time there usually becomes a meeting of the minds between buyer and seller and a deal is done; however very often there is a period of time and grief prior to achieving that consensus ad idem.
Richard L. Peterson (2008) proffered that in a normal housing market, sellers over-valued their own homes by around 12% more than is justified for the market to pay. In the US downturn, he further commented this to climb to an average of 33% above market value. Why? People are hardwired for “scarcity”, and we don’t want to let go of something we already own.
Peterson cited a study conducted at Stanford University (2008) that connects the endowment effect and the activation of the brain’s anterior insula. The intensity of activation of the anterior insula became a predictor in subjects for the strength of the endowment effect in a situation of value assignment. The interesting parallel is that the anterior insula also activates when someone is experiencing fear; pain or disgust.
The essence is that the prospect of a vendor selling their home below their own assessment of value will produce psychological responses akin to fear, pain or disgust. Given that the endowment effect has shown that the vendor’s notion of price will regularly be elevated beyond reasonable market perception, it is almost inevitable there will be some form of “pain” and that in an effort to avoid “pain”, the sale may be elongated in the pursuit of an unrealistic price.
 
<hr class="system-pagebreak">
 
In the absence of an ‘out of line’ price, it is the existence of a countering and stronger “pain” that can result in a sale. This may take many forms including but not limited to:
<ol>
<li>Financial stress</li>
<li>Illness/age</li>
<li>Relationship breakup</li>
<li>Undergoing the ‘schooling’ exercise of learning the reality of the market</li>
<li>Sheer exhaustion/exasperation at prolonging the process</li>
</ol>
That is, that a price reduction to meet the market becomes the lesser of two “pains”.
While there are always anomalies, it appears that relinquishing our cherished home at a value we feel is appropriate is often destined for some form of disappointment with either the sale price or the period required to achieve it. Like most matters psychological,it is the very awareness of the endowment effect and its influences that may assist in combating its fallout.
For vendors and agents alike, understanding and empathy are key. The selling process is often a rollercoaster of emotions – high and lows of excitement; disappointment; stress and relief. A seller who is more aware of the reasons for his emotional response to his expectations will be able to take charge of his notions of price and be prepared to accept the reality of the market feedback.
Agents are often accused of "over pricing" a home to win the listing. It is a fine tightrope of dealing with this endowment effect while delivering genuine and considered advice.
One business coach puts the issue in terms of face cream. The coach describes the marketing of face cream as one of the greatest lies perpetrated upon the consumer market. The promise of eternal youth is readily clung to despite the buyers already being quite sure that a tub of cream is unlikely to actually turn the tide of age. The face cream companies are simply purveyors of hope. Optimism bias, the endowment effect, hope and the reality of market dynamics are all in play for owners presenting their home for sale.
The upshot of this is that the endowment effect predicts “unrealistic seller expectations” will in fact be the norm. It is a powerful emotional response to ownership and scarcity. Agents would be better served understanding the power of the endowment effect when dealing with clients and consider their approach taken.
It is those agents who can successfully navigate and negotiate these factors who ultimately are the most successful – those being able to represent with integrity and maintain their client’s emotions from start to completion.
Brad Caldwell-Eyles is a principal at <a href="https://www.1stcity.com.au/" target="_blank">1st City - Hasemer+Caldwell-Eyles</a>
</body></html>

bcaldwell-dCALvnaEBt

Why your home is not worth as much as you think it is

<html><body>
Bishopscourt, one of Sydney's grandest mansions – and the home of Anglican Archbishop Peter Jensen – is to be sold after a vote in favour of the sale at the 2012 synod.
The decision marks a reversal from when the proposal went before the 2010 synod. 
Despite opposition from the likes of the Rector of Naremburn, Rick Smith, its sale was approved with a reported 452 votes out of 579. But the motion allows a "sale window" of five years. The motion was moved by the diocesan registrar Dr Philip Selden and seconded by the Rector of Toongabbie, Raj Gupta.
Among their arguments was that it produced no income but cost at least $100,000 annually to keep in good repair. The Rector of Fairfield, Peter Lin, appealed for a yes vote advising $2 million dollars had been spent on the chimneys. He added some members of his congregation had been "scarred" by their visits there because the opulence contrasted with the way Christians lived in other countries, the Anglican press report of the debate noted.
Both something of exaggerations, as Property Observer understands maintenance and conservation work (excluding staff wages) undertaken at Bishopscourt in the last eight years has totalled approximately $2.94 million, averaging therefore $368,000 per year.
The picturesque 1850s Darling Point mansion has been with the church since it paid £6,750 in 1910. It's been home to seven archbishops, including Sir Marcus Loane, Donald Robinson, Harry Goodhew and its present occupant, the 11th archbishop of Sydney.
In the past the church has baulked at selling Bishopscourt, having contemplated it in 1963, 1982, 1991 2001, and most recently in 2010 when defeated by the narrowest of margins.
"The passing of time has allowed more work, research, prayer and thinking and the result is an in principle proposal to authorise the sale Bishopscourt when market circumstances permit," one church official suggested.
Eastern suburbs estate agents gave it a probable $25 million sale price, which reflects the 2010 estimates.
The decision falls against the backdrop of the synod's continued reduced financial capacity after stock losses following the 2008 global financial crisis.
In 2001 the then incoming Jensen let it be known that he was not keen on actually moving into the sprawling Greenoaks Avenue estate as he viewed the home as inappropriately grand for a servant of God and the sale proceeds could be better used.
"It's not really me, this house," he said recently in an interview with The Australian's Caroline Overington.
"I don't mean to complain. It's just that it's a bit like living in a wedding reception centre. And why does the church need such a residence? Every [financial] report that's ever been done says we should sell it, and I agree."
He wasn't the first to utter such words as in 1993 Bishop Goodhew, when he was Archbishop-elect, stated "I think the time has come for the diocese to build a new residence for the bishop; one which is functional but not opulent".
The support to sell was improved at the latest synod, the Anglican Church's own parliament with clergy and laypeople getting together to vote, because its nearing the end of Jensen's term as Archbishop as under church rules, he must retire before he turns 70 next year, and there is no successor yet.
The Swifts, another Gothic home for archbishops in Darling Point, was sold by Catholic Church in 1986 for $9 million.
Bishopscourt, which could revert to its earlier names of Percyville or Greenoaks, sits among the handful of pioneer homes to have survived from the 1850s.
Flowered in sandstone Gothic extravagances, it was built for the pioneer Thomas Sutcliffe Mort, who built an empire on wool, dairy, meat, mining and shipping.
The residence - mostly obscured by the fig trees on its 6216 square metre holding - was designed by architects John Hilly in the 1850s and Edmund Blacket in the 1860s. It was built around an original three-roomed 1835 cottage built for an ironmonger, Thomas Woolley.
Mort was a great supporter of the church, giving it the nearby land to build St Marks.
The church bought the estate from a land speculator in 1910, 32 years after Mort's death in 1878 and the departure of his family.
Prior to the purchase of Bishopscourt previous Bishops of Sydney had lived in a rented house in Darlinghurst (1837-1852), a rented house in Millers Point (1855-1857), and then a new house built in Randwick (on land exchanged for a site in Newtown) (1858-1911).
 
</body></html>

jchancellor-FAypfDUnLy

Peter Jensen's home, Bishopscourt, Darling Point set for sale by Anglican Church

<html><body>
The home of one of Melbourne’s oldest butchers will be auctioned on October 26, the first time the premises will be up for sale in 100 years and a rare opportunity for investor to acquire a retail holding on Carlton's Lygon Street retail strip.
Donati’s Fine Meats at 402 Lygon Street in Carlton (pictured bel0w) has pre-auction expectations in excess of $1.5 million and is only the second retail property up for sale in two years on Lygon Street.
<img src="/images/stories/2012/10/donatis.jpg">
The last commercial building to sell on Lygon Street was the 117-square-metre premises of Intrepid Travel at 231 Lygon Street, which sold in July last year for $1.9 million at a yield of around 3.7%.
The shop at 403 Lygon Street has been run as a butchery since the early 1900s. From its inception until 1954 it was run by the great-grandparents of the current business owner, Leo Donati. In 1954 Davide Baccini in partnership with Modesto Bertocchi (who later created Bertocchi Smallgoods) took over the shop, calling it Extra Meat Supply.
This ran until 1972, when Leo Donati took over the premises and changed its name to Donati’s Fine Meats.
Donati’s celebrates its 40th anniversary this year and is famous for its ox-tails, lamb shanks, veal-and-pork meat loaf and rabbits.
Opera-loving owner Leo Donati has recently signed a new five-year lease, with the shop currently returning a net rental return of $66,656 per annum.
A price of $1.5 million would deliver investors a yield of around 4.5%.
The 76-square-metre property is being marketed by Colliers International agents Jeremy Gruzewski and Tom Noonan.
“The term ‘rare opportunity’ is used quite regularly in our line of business, but the incredibly tightly held nature of this Lygon Street precinct makes this just about as rare an opportunity as you can get in this market,” he says.
“In the last two years, there has only been one commercial property sale on Lygon Street. This is an exciting opportunity to be part of a vibrant, popular area that doesn’t come along often.
Gruzewski says the property is in a high-profile location with excellent exposure to passing foot and vehicle traffic.
“This is an opportunity for a purchaser to secure a solid investment with rental upside and a long standing tenant who is keen to stay where they are,” he says.
The property is located on the eastern side of Lygon Street, between Faraday and Elgin streets, approximately two kilometres north of the Melbourne CBD.
The building itself comprises a two-level brick retail building with the ground floor featuring a fully fitted and renovated butcher shop with cool room, storage area and rear access.
</body></html>

Latest Investing Insights

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

Editor's Picks

Developments

New apartments

New townhouses

News

Latest Investing Insights

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

Editor's Picks

Receive the latest news stories to your inbox

Developments

New apartments

New townhouses

News