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“Minister Chanthivong and his team have shown real leadership in replacing an outdated two-year bond with cover that matches the lifespan of the buildings people are buying into.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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How do you like change? If you’re like most Australians, you probably prefer the certainty of the status quo, but there are some important changes taking place in our property markets that all investors must understand. 
You see, there a number of interesting things going on in our property markets at present, and a lot has to do with our levels of confidence. 
We’re not moving house as often.
The average Australian home owner now stay put for nine years, according to data to <a target="_blank" href="https://www.rpdata.com/">RP Data</a>. That's up from an average of 7.6 years a few decades ago. And it’s much the same for apartments – the average hold period has risen to 7.7 years, from about six years in 2000. 
RP Data research analyst Cameron Kusher suggests: "It appears that home owners are increasingly likely to keep their current properties rather than upgrade due to the significant cost." 
He believes one reason for the drop in housing turnover is that affordability remains an obstacle for many would-be buyers, curbing potential demand. Kusher also blames high stamp duty for making home owners less keen to change their residences.
I think there’s more to it than that.
As I see it, when we feel wealthy many of us like trading up and buying a bigger, more expensive home - even if we don’t really need more space. It’s a great feeling during property booms thinking our home, our castle, is increasing in value. 
On the other hand, in our current markets where the price of the average Australian home is in some cases falling and at best remaining flat, we tend to stay put. And if we need to upgrade we’re more likely to renovate our existing dwelling. 
According to RPData Melbourne led the nation in the average time people remain in their houses before selling (10.4 years up from 9.9 years 12 months earlier.) 
In Sydney, the average holding period was 9.8 years (up from 9.5 years 12 months ago) and over the same period. In Brisbane the average time increased to 9.1 years from 8.4 years. In Perth the hold time extended to an average of 7.9 years from 7.4 years, while in Canberra it extended to 8.7 years from 8.1 years. 
We’re saving our pennies.
The other big change happening is that we’re saving, not spending. We’re paying down our credit card debts rather than using our homes like an ATM.  And we’re renovating rather than moving house. 
Property analyst Michael Matusik put it well when he said we are becoming more prudent. 
But such a mindset comes at a cost. Property sales are down by a third against the past decade, and property values have fallen a bit. 
Matusik explains that in addition to prudence, we are buying different things – services, not goods. 
He suggests that maybe we already have many of the goods we really need, but when a society ages it uses more services. This is already happening and is best shown in the health sector, where new employment in this industry is up 260,000 since 2008.  This is twice as many new jobs as in mining!
It’s affecting our construction industry
Despite Australia’s population growth picking up and increasing by 302,565 people last year (a growth rate of 1.4%, which is higher than most developed countries) our prudence and the fact that we are staying where we are has put our housing construction industry into a tailspin.
The HIA recently reported that housing starts – a forward-looking indicator of building – plunged 12.6% in the first quarter of 2012 to the lowest level in years. This makes housing construction the worst-performing sector of the economy, and this is unlikely to pick up this year despite recent falls in interest rates.
It’s also affecting property investment sentiment.
In a recent report entitled Households' Appetite for Financial Risk the Reserve Bank noted a change in household behaviour towards investments, including property.
It commented: "Surveys show a significant increase in the share of people nominating deposits and paying down debt as the 'wisest place' for saving and a decline in the share nominating equities and real estate."
So what should a property investor do?
Property cycles, in fact all economic cycles, are driven by fear and greed. While it’s important not to trivialise the extent of the changes that are occurring, it’s equally important to remember that every cycle brings downturns and times of opportunity.
In my experience, difficult economic times offer outstanding opportunities for those who are prepared.
If the “end of the world as we know it” merchants are wrong – and they always are – then your decision to take prudent action when all around you are fearful and to invest when everyone else thinks it's crazy will prove to be the kind of insight that truly great investors apply.
I don’t see us having a property market crash in Australia because our economy is doing well, our interest rates are relatively low, our population is growing and unemployment is low, we have a sound banking system and we are at the beginning of a protracted prosperous period underpinned by our resources sector. 
Unfortunately the current world economic problems won’t go away quickly, and we are entering a new era in the financial markets. But this is not a time to panic or make rash emotional decisions. It is a time to learn from history and control your financial future by investing wisely.
And guess what? While the optimists, pessimists and realists will argue whether the glass is half full or empty, the opportunist are going to drink it!
Michael Yardney is the director of <a target="_blank" href="https://www.metropole.com.au/">Metropole Property Investment Strategists</a>, a best-selling author and one of Australia's leading experts in wealth creation through property. He also writes the<a target="_blank" href="https://propertyupdate.com.au/category/property-investment/"> Property Investment Update blog.</a>
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What Australians' reluctance to move means for property investors: Michael Yardney

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A pick-up in new housing construction in Australia is at least a year off, according to forecasts by BIS Shrapnel. 
The economic and building research firm is forecasting 1.4% year-on-year growth in new private dwellings in the current 2012-13 financial year, but then a big jump of 10.6% growth in the 2013-14 financial year. 
This improvement will coincide with an overall pick-up in transaction activity in the property market as a modest recovery kicks in, according to BIS Shrapnel. 
The main beneficiaries of the pick-up are expected be Queensland, WA and NSW – with the first two benefiting from both a historical shortfall in housing construction relative to demand as well as the flow-on impact of overseas and interstate jobseekers taking up jobs tied to the mining boom. This is a new trend, contrasting with new immigrants previously heading to Melbourne or Sydney. 
Undersupply issues will drive the NSW recovery, says BIS Shrapnel.
However, Victoria will not undergo a revival in new housing construction due to a surplus of building from 2009 to 2011, mostly in new apartment projects in the Docklands and the inner city, the firm says.
South Australia is forecast to undergo a third consecutive year-on-year slump in new dwelling construction of 12% in 2012/13, before activity picks up by a modest 7% in 2013/14. 
BIS Shrapnel chief economist Frank Gelber says the new dwelling construction outlook for Tasmania and the ACT are particularly weak.
In the case of WA, the new housing boom will start early with a 26% year-on-year increase in 2012/13 followed by a 17% year-on-year rise in the following year. 
Queensland new dwelling commencements will pick up by 10% in 2012/13 and then by 30% in 2013/14. 
The new housing sectors in NSW and Queensland will also be boosted by the introduction of $15,000 state government handouts for first-home buyers purchasing or building a new home - with the former kicking in on October 1 and the latter already commenced.
 However Victorian dwelling commencements are expected to fall 14% in 2012/13 and then by a further 9% in 2013/14 due to ‘overbuilding in the short term” with BIS Shrapnel figures showing the state built around 49,000 new dwelling per year against demand of just 38,000. 
Gelber says the oversupply issue in Victoria is a relatively modest one and he expects Victoria to grow in line with a second housing growth spurt in the second half of the decade.
“Victoria is paying the price for being overly optimisic," he says. 
“The recovery in private dwelling building at the national level will be welcomed by the building industry, that is expected to remain under pressure due to a few more quarters of week private non-dwelling building and continued declines in public sector building – both dwelling and non-dwelling,” says BIS Shrapnel in its economic outlook report for September.
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New housing construction recovery a year off and will be uneven: BIS Shrapnel's Frank Gelber

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The number of fresh property listings is up, according to the first data on spring sales listings released by RP Data.
The total number of new listings has increased for the fifth successive week, jumping to 43,624 properties across the country.
<img src="/images/stories/2012/09/rpsept13.gif">
Source: <a target="_blank" href="https://www.myrp.com.au/">RP Data</a>
“As spring progresses the increase in new listings is likely to continue each week,” the report finds.
While the number of new listings has risen across Australia, the number remains well below that of a year ago.
New listings are 10.6% lower nationally and 13.6% lower across the combined capital cities for the year.
New listings in Queensland, WA, NT, ACT and Tasmania are all above levels one year ago, but the number is down in NSW, Victoria and South Australia.
The total number of homes advertised for sale across Australia increased slightly last week after eight consecutive weeks of falls.
Last week there were a total of 279,882 homes listed for sale nationally and 126,936 properties across the combined capital cities.
“Total listings remain higher than they were at the same time last year however, the differential has been moderating over recent weeks,” the report finds.
“At a national level, total listings are 4% higher than they were a year ago while across the combined capital cities they are just 0.1% higher.”
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Spring's fresh listings create fifth consecutive weekly national boost: RP Data

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Italian luxury fashion house Ermenegildo Zegna Group is joining the prestige leasing uptake on Brisbane's Edward Street.
Known  for specialising in men’s clothing, the 380-square-metre store will be split over two levels on its early 2013 opening.
The store owned by Aria Property Group was leased in a deal through CBRE agent Michael Hanscomb, who introduced the two parties.
Zegna has signed an eight-year lease for the store, which will include a 12-metre high façade onto Edward Street.
“We are very excited to bring another of the world’s premium brands to Brisbane,” says Aria Property Group general manager Michael Zaicek, as reported in the Australian Financial Review.
The Brisbane store will be the third Australian store for Zegna, with a two-story flagship store in Sydney’s Westfield shopping complex on Castlereagh Street and a boutique located on the Paris end of Collins Street in Melbourne.
The high-end retail strip Edward Street plays host to an array of luxury brands, and according to research by Cushman &amp; Wakefield, Edward Street rental levels are sitting at approximately $4,500 per square metre for super-prime level.
The new Zegna store will be located at 155 Edward Street and will be within metres of luxury stores Hermes, Montblanc and Hugo Boss.
“When the luxury brands start to cluster, it really brings momentum to the area,” says Zaicek.
Zegna has more than 560 stores in 87 countries.
Fashion label Montblanc was the most recent luxury brand to take space at the Paris-inspired Edward Street locality, having signed an eight-year lease in the Aria building.
Montblanc was previously located in Queens Plaza on Brisbane’s Queen Street Mall, but has now relocated next door to French fashion house Hermes at 171 Edward Street.
Famous for its luxury writing instruments, watches, jewelry, leathers goods, fragrance and eyewear, Montblanc is feeling comfortably at home in the competitive Edward Street.
“The Brisbane boutique is the newest up-to-date international Montblanc concept boutique, which promises to take customers on a luxurious journey, allowing them to become immersed in the heart and soul of the Montblanc brand,” says managing director Leon Mervis.
Montblanc received an extensive fit-out of the 127-square-metre Edward street location, which is nearly double the size of its previous boutique in Queens Plaza.
According to research by Cushman &amp; Wakefield, Edward Street rental levels are sitting at approximately $4,500 per square metre for super-prime level. This pricing is on par with Bourke Street in Melbourne.
The luxury Edward Street does not compare with that of Pitt Street Mall in Sydney, though, where retailers are paying $9,910 per square metre.
Montblanc currently has four luxury boutiques in Australia, two in Sydney, one in Melbourne and one in Brisbane.
Terry Lay, Colliers International retail leasing manager, negotiated the Montblanc deal for the ARIA Property Group.
“Being in such high demand it is not often that space becomes available for lease on the street, so Montblanc was lucky to secure this spot,” says Lay.
Lay says big-name brands have come to realise tenancies closer to Elizabeth Street offered more desirable foot traffic.
“Montblanc saw the benefit of being positioned amongst all the luxury brands such as Hermes and Gucci on the Edward Street strip,” says Lay.
Edward Street also plays host to Gucci, Georg Jenson and Watches of Switzerland.
Lay explains that retailers from the Gold Coast are choosing to relocate to the Brisbane CBD, as it is seen as an untapped market.
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Ermenegildo Zegna to open Brisbane store as luxury brands head to Edward Street

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Australian property is overpriced – and possibly set to fall much further than they already have – according to Michael Power, an Investec Asset Management strategist.
He told an investors' briefing in Sydney that while Australia won’t experience the same bust as overseas, the situation is “a real worry, medium term”.
He says prices could fall by as much as 15% in the next two years.
Although residential property prices in Australia have dropped over the last two years, they are still among the highest in the world, Power suggsts.
"When you see what [the property market in] Australia has done, you have to ask ... you may be exceptional, but how exceptional are you.”
"Your level of debt is one of the highest in the world as a percentage of incomes ... [it] will turn against you if there's a real problem."
“This is something that, at some point, catches up with you,” Power says.
“I know a number of investors around the world putting their top short as Australian property.”
He says recent declines in prices show the market is not at its bottom point despite the thoughts of local commentators.
“If you think things have stopped declining at 6% and you’ve just in the last eight weeks had a terms of trade shock, then what you are now experiencing could get a lot worse.”
“I mean, most big property bubbles don’t end at a 6% decline.”
While the price will fall, he says Australia will avoid “anything like a US-style, Irish-style, Spanish-style property bust”.
“I think over the next 18 months it could go down by double digits – 12 or even 15%."
“It’s probably started to put pressure on your banks, and it has actually started to show up in their non-performing loans.
“That’s the first negative that generally starts to show through. But I think the negatives are going to start to show up now in the wake of the change in terms of trade.
“That’s started taking place In Australia . . . I think that could start to increase pressure.”
The Australian Financial Review and The Australian both reported the briefing by Investec, an international specialist banking and asset management group.
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Australian housing prices 'a real worry' and could fall 15% in next two years: Investec strategist

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The Wollaroy Crescent, Double Bay, home of the Ridhalgh family has sold for $4 million, shy of its $4.5 million-plus price hopes. 
It is the top sale of the week, according to RP Data.
It sold just before<a target="_blank" href="/news"> its scheduled auction </a>on September 8. It last sold for $1,467,000 in 1998, according to RP Data, and was listed for rent at $790 per week in 2009. 
McGrath selling agent Richard Cooper describes it as and "elegant family home" with the "homey feel of a country manor".
Seven of the top 10 sales of the week this week are in NSW, with the remaining three in Victoria. 
1. <a href="https://www.myrp.com.au/n/1a-wallaroy-crescent-double-bay-nsw-2028/myrp-490?propertyId=2119217">1A Wallaroy Crescent, Double Bay, NSW, 2028</a>, five-bedroom house, sold prior to auction on September 8 by McGrath Estate Agents for $4 million
2. <a href="https://www.myrp.com.au/n/35-crows-nest-road-waverton-nsw-2060/myrp-490?propertyId=7378121">35 Crows Nest Road, Waverton, NSW, 2060</a>, four-bedroom house, sold on September 5 by Ray White Lower North Shore for $2.77 million
3. <a href="https://www.myrp.com.au/n/25-huntingtower-road-armadale-vic-3143/myrp-490?propertyId=9316039">25 Huntingtower Road, Armadale, VIC, 3143</a>, three-bedroom house, sold at auction on September 8 by Marshall White &amp; Co for $2.35 million
4. <a href="https://www.myrp.com.au/n/666a-port-hacking-road-south-dolans-bay-nsw-2229/myrp-490?propertyId=2107649">666A Port Hacking Road, Dolans Bay, NSW, 2229</a>, three-bedroom house, sold at auction on September 8 by McGrath Estate Agents for $1.91 million
5. <a href="https://www.myrp.com.au/n/16-1-spains-wharf-road-neutral-bay-nsw-2089/myrp-490?propertyId=4829160">16/1 Spains Wharf Road, Neutral Bay, NSW, 2089</a>, three-bedroom unit, sold on September 5 by Prestige Home Sales Crows Nest for $1.872 million
6. <a href="https://www.myrp.com.au/n/118-sackville-street-kew-vic-3101/myrp-490?propertyId=11356490">118 Sackville Street, Kew, VIC, 3101</a>, four-bedroom house, sold at auction on September 8 by Hocking Stuart Hawthorn for $1.8 million
7. <a href="https://www.myrp.com.au/n/3-chalmers-road-strathfield-nsw-2135/myrp-490?propertyId=6481536">3 Chalmers Road, Strathfield, NSW, 2135</a>, five-bedroom house, sold prior to auction on September 8 by Georges Ellis &amp; Co for $1.8 million
8. <a href="https://www.myrp.com.au/n/70-fitzgibbon-street-parkville-vic-3052/myrp-490?propertyId=12470385">70 Fitzgibbon Street, Parkville, VIC, 3052</a>, four-bedroom house, sold at auction on September 8 by Hocking Stuart Carlton for $1.775 million
9. <a href="https://www.myrp.com.au/n/224-3-darling-island-road-pyrmont-nsw-2009/myrp-490?propertyId=5651197">224/3 Darling Island Road, Pyrmont, NSW, 2009</a>, two-bedroom unit, sold at auction on September 8 by Morton &amp; Morton Real Estate for $1.76 million
10. <a href="https://www.myrp.com.au/n/9-bank-lane-mcmahons-point-nsw-2060/myrp-490?propertyId=4166037">9 Bank Lane, McMahons Point, NSW, 2060</a>, four-bedroom house, sold at auction on September 4 by Ray White Lower North Shore for $1.74 million
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Ridhalgh family's Double Bay home top sale of the week: RP Data

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Australia’s housing market is not heading for a crash but could undergo a decade-long period of stagnation with house prices declining in real terms, according to Residex CEO John Edwards.
Speaking to Peter Switzer on Sky Business this week, he said a stagnation in house prices was likely if “things continue to the way they are going and the government and RBA do not do the things they need to do” to stimulate a recovery.
“In real terms they are likely to fall marginally over the next decade,” Edwards said.
“A little pessimistic, I know,” he added.
According to Edwards, long-term stagnation only occurs during very severe recessionary or depressionary periods.
However, he said given what was happening in Europe and other parts of the world there could be a global crisis.
“We have one now, but it could get worse.”
Locally, he says the key factor is the unemployment rate.
But he tempered these comments by saying that even in periods when things go badly, property tended to do better than other asset classes.
“The stock market is much more volatile – and you see something [like a crash] much more often.
“Housing remains the best in terms of investment and the lowest and safest risk option."
Looking at the current capital city housing market, he said the bottom line was that the housing market had improved somewhat over the last few months.
But he said Residex data indicated the housing market was very fragile.
“It has been improving, but it has been in and out of correction in recent times."
Residex has Australian house prices down around 1.4% to a median of $430,00 for the year to July and unit prices up 0.8% to a median value of $401,500.
Edwards said Sydney was now doing OK and Brisbane is “well out of its correction phase” but Melbourne “looks like it is about to enter a correction phase”.
Edwards said rental rates would rise substantially above inflation due a shortage of rental property.
“Across the market there are good places to be and bad places to be.”
“Generally the unit market is doing better than houses because of better affordability.
“This is the market that is going to perform best provided we don’t have oversupply issues like markets like Melbourne,” said Edwards.
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No Australian housing crash, but market could stagnate for a decade: Residex’s John Edwards

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The mining town of South Hedland is the leading town in WA where it’s cheaper to buy that rent, according to RP Data.
The data company's figures show that it can be $3,184 a month cheaper to buy a property with a principal and interest loan that it is to rent.
Agent Ryan Crawford from Crawford Realty says it’s been the case for a long time but rents have jumped noticeably in the last three months.
“There was a substantial jump in people coming to town at that time, and that flowed through into the rental market,” Crawford says.
He says the projects have been going on for a long time and are projected to last for some time into the future.
“They’re all long-term projects. There’s some interesting things happening with prices and China. Whilst that is a short-term thing that will fluctuate with global sector changes, the major effects are based on pricing. The commitments that mining companies like BHP and FMG have made will span 10 years plus.”
“Some have been put on hold. They’re just that – on hold."
Crawford says even though some projects have been put on hold the decisions haven’t had a large influence on the housing market.
“While people might see the postponements at taking large chunks out of the market, it’s not the case because the majority of work forces haven’t been bought on yet.”
Crawford is currently marketing 18 Lovell Place (architect's impression below), a block of eight units due to be finished next year.
<img src="/images/stories/2012/09/lovell.jpg" width="470">
Two of the units, priced at $599,000, have already sold.
The units are expected to rent at more than $1,300 a week, providing yields of 11.3%.
“The site is a fantastic option to get a low price unit in the market,” Crawford says.
Crawford says almost all interest in South Hedland comes from investors.
“It’s heavily investor based. Through our market it’s 90% investors. They come from the West Australian market, and there’s a lot of interest from the east coast and overseas.”
 
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A recent Westpac report found <a href="https://www.propertyobserver.com.au/queensland/moranbah-and-port-hedland-unsustainable-single-industry-mining-boom-hotspots-westpac/2012090655622" target="_blank">Port Hedland, the associated mining town is a “single-industry” and possibly risky  town</a>, making it harder for investors to secure loans in the area.
The Real Estate Institute of Western Australia's David Airey says the changes probably reflect a view from within the bank that “housing prices and rental returns in particular, in places like Karratha, Port Hedland, South Hedland and Newman are unsustainable”.
“The state government is anxious to address affordability in the Pilbara, and while this won’t happen overnight it’s clear that housing demands will be better met over the next few years.”
Crawford says there are big market differences between South Hedland and Port Hedland.
“The demographics really vary between Port Hedland and South Hedland and one differences is price point. Port Hedland is on the ocean while South Hedland is inland,” Crawford says.
“The price difference for a similar home is now $500,000 to $600,000 just from inland to coastal.
“Port Hedland is priced fairly high and is relatively unaffordable, but in South Hedland while there are increases it is still affordable.”
One of the main developments coming in to South Hedland is a 500-plus dwellings project exclusively for BHP staff.
Crawford says the project is at least two years from completion.
RP Data compared the cost of a mortgage vs the cost of renting in four different ways: 1, Principal and interest loan on a variable mortgage rate; 2. Interest-only loan on a variable mortgage rate; 3. Principal and interest loan on a three-year fixed mortgage rate; and 4. Interest-only loan on a three year fixed mortgage rate.
The comparison does not take into consideration stamp duty, associated buying costs and strata fees, where applicable. 
The data contains both units and houses, but in most suburbs on the list it is cheaper to buy a unit than buy one.
The median house asking rent in South Hedland is $1,775 a week, according to RP Data, which estimates it is $3,184 cheaper per month to buy a house with a principal and interest variable mortgage than rent one.
Click to enlarge
<a title="Click to enlarge" href="/images/stories/2012/08/rpsept36.gif" rel="shadowbox"><img src="/images/stories/2012/08/rpsept36thumb.gif"></a>
<a href="https://www.myrp.com.au/buyorrent" target="_blank">For the full list of all suburbs,  </a><a href="https://www.myrp.com.au/buyorrent" target="_blank">visit RP Data's website.</a>
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South Hedland heads the regional Western Australian localities cheaper to buy than rent: RP Data

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The outer-Sydney land market has moved into an early recovery phase of the property cycle – let’s say seven on the property clock – and Macquarie Street’s focus has shifted to supply side incentives, corralling purchasers toward new dwellings. The state’s growth engine lies in a healthy and vibrant land market; the critical ingredients of which are: measured supply meeting strong demand with rising prices, availability of credit, and market certainty.
For the better part of 2003-04 through 2008-09, Sydney’s developers have been “on strike” — their field thinned out as the business of being a developer became all too hard; with post-GFC funding constraints, diminished margins, uncertainty and delays in the approval process, increasing holding costs and the weight of government charges, levies, fees and taxes. The following chart illustrates the cost contribution to lot production: land acquisition 34% land preparation 11%, developer profit averaging 18% and government taxes some 26%.
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<a rel="shadowbox" href="/images/stories/2012/09/bregoz.gif" title="Click to enlarge"><img src="/images/stories/2012/09/bregozthumb.gif"></a>
The GFC had the real potential of being outer-Sydney land market’s coup de grâce – as lot production fell to only 1,400 lots – but for rapid intervention by both state and federal governments in the form of housing grants/incentives.
Broadhectare lot production increased for both 2009-10 (some 2,960 lots) and 2010-11 (at 4,200 lots), with NSW Department of Planning and Infrastructure reporting 4,230 lots released for 2011-12.
A slow correction to land prices from 2007-08 has underpinned future market growth; the outer-Sydney median land price peaked in 2004-05 before falling some 29.5% in real terms over the four years to 2008-09.
Since this time, growth has averaged 2.8% per annum with a 2011-12 median of $301,900. For development to occur, the market requires appreciating land prices. The recent growth in established outer-Sydney house prices will encourage more upgraders to sell and take up house-and-land packages over an established dwelling.
Demand is now sufficiently strong enough to drive price growth and maintain this momentum. Generally, land price growth is sharper during a residential upturn and remains flatter through a market downturn. Given the timing lags from planning through development to sale, developers are often caught short during an upturn, driving strong price growth. An over-supply then emerges, resulting in a period of price stagnation.
Overall, however, average price growth for land slightly outpaces that of houses. When house prices are outpacing construction costs, the residual flows back through to the residual value of the land – a clear link between demand pull inflation and asset pricing.
Click to enlarge
<a rel="shadowbox" href="/images/stories/2012/09/bissept11.gif" title="Click to enlarge"><img src="/images/stories/2012/09/bissept11thumb.gif"></a>
When comparing the two periods 1992-97 and 2007-12 a trend away from the outwards expansion of the populace is evident, with the proportion of new dwelling approvals in the inner and middle rings increasing from 54% to 63%.
This is significant for the outer-Sydney land market as infill development tips the scales in favour of areas located closer to Sydney’s urban and commercial core; consumers adjusting their preference for “backyard, barbecue and big commute” to “balcony, park and lifestyle”.
The enhancement of satellite employment centres (such as Parramatta, Liverpool, and Campbelltown) would encourage the local income growth needed to service mortgages, broaden the economic base of these areas and in turn support the land market. Opportunity driving growth and growth driving opportunity.
 
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Share of total dwelling approvals by inner, middle and outer Sydney
Click to enlarge
<a rel="shadowbox" href="/images/stories/2012/09/bissept111.jpg" title="Click to enlarge"><img src="/images/stories/2012/09/bissept111thumb.jpg"></a>
Source: ABS, NSW Department of Planning and Infrastructure, BIS Shrapnel
Not surprisingly, first-home buyers purchasing house-and-land packages are typically most active in the outer ring areas as opposed to the inner and middle-ring areas; the lower land costs meet their income and equity levels.
The first-home owner segment typically represents around 20% of total market activity; importantly, however, the first-home buyer activity provides a base load of activity facilitating the upgrader, changeover and investor market segments.
At current land prices, new houses are relatively unaffordable for first-home buyers, and a buoyant outer-suburban housing market is required for upgraders to sell their dwellings into. The north-west region has the greatest level of new lot production with some 37% of total lots produced over the 2000–2012 period and generally holding up better than the south-west (27%) and central coast (16%).
Hemmed in by the Blue Mountains to the west and the city to the east, Sydney faces a shortage of viable sites to the southern and north-western growth corridors, areas with disparate and fractured ownership patterns (mostly hobby farms and market gardens).
A program of strategic site consolidation, combined with an accelerated infrastructure delivery program, is needed to open up these areas to house the needs of Sydney’s future populations. But the good news story is that a corner has been turned, although lot production is still well away from, and possibly unlikely to ever get to, the 9,000 lots produced annually at the turn of the last decade.
Martin Bregozzo is a senior project manager and property economist at <a target="_blank" href="https://www.bis.com.au/">BIS Shrapnel.</a>
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Outer-Sydney land market in recovery phase of cycle: BIS Shrapnel's Martin Bregozzo

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The latest Westpac-Melbourne Institute Consumer Sentiment Index augers well for the spring buying season, with the "time to buy a dwelling" sub-index rising 7.6% in September.
The sub-index increased from 118.5 points in August to 127.7 points in September – now well above the 100 mark where optimists and pessimists are equally weighted.
Consumers are now marginally more confident about buying a house than buying a car, with the sub-index tracking "time to buy a vehicle" down 0.2 points in September to 126.1.
The improvement in house buying sentiment also contrasts starkly with the sub-index “time to buy a major household item”, which fell 0.5 points to 124.9.
Overall consumer sentiment rose by a modest 1.6% in September from 96.6 in August to 98.2 in September, the seventh consecutive month that the index has been below the benchmark 100 reading.
The results were based on a survey of 1,200 adults aged 18 and over conducted from September 3 to September 8. The RBA left the cash rate unchanged at 3.5% on September 5.
Westpac chief economist Bill Evans noted that apart from the 2008-09 period (in the wake of the GFC) when the index held below 100 points for 16 consecutive months, this represents the longest run of consecutive ‘sub 100’ prints since the early 1990s.
Evans says consumers are clearly stuck in an extended ‘cautiously pessimistic’ phase.
“In September last year the Index printed 96.9 so it has only increased by 1.3% over the whole year. That is despite 125 basis points of rate cuts from the Reserve Bank; a more or less steady unemployment rate which is close to full employment; and some recent positive news around the threatening European situation.
“This does not bode well for consumer spending and is consistent with the slowdown in consumer spending indicated by the June quarter national accounts.”
AMP Capital Investors chief economist Shane Oliver also noted the improvement in September but tweeted that the level of 98.2 “remains sub-par and little different to when rates started coming down late last year”.
Similarly Business Spectator and Market Economics economist Stephen Koukoulas tweeted that consumer sentiment is still “fragile at best”.
“Fits fit picture of economy doing OK but with more risks to the downside than up," Koukoulas said.
In his analysis Evans noted the improved outlook from households with the sub-index tracking views on “family finances compared with a year ago” up 0.3% compared with the forward-looking “family finances over the next 12 months” sub-index which rose 4.8%.
“By June this year we were particularly concerned by readings on “family finances over the next 12 months”, which was printing at a level around the low point of the 2008-09 period.
“Since then we have seen an encouraging improvement in this component which has increased by 11.4%.
“However, it is still at a historically low level.
“For example the average print of that component during that 2008-09 period when the index registered 16 consecutive months below 100 was 105.2 – today’s print of 96.2 is still well below that average.
“We can only conclude that respondents remain concerned about their finances despite the recent rally.”
Evans says Westpac expects the RBA to cut the official cash rate by 50 basis points over two meetings by year’s end.
“The case for lower rates is strong. Inflation remains well contained and the RBA’s own forecast has inflation remaining consistent with the target over the next one to two years. Interest rates are only slightly below neutral levels.”
"In short, we think the case for lower rates has already been made and there must be a reasonable chance that the Bank will decide to move in October. However, central banks are conservative so a November ‘call’ for the first move looks to be more prudent," says Evans.</body></html>

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