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“Minister Chanthivong and his team have shown real leadership in replacing an outdated two-year bond with cover that matches the lifespan of the buildings people are buying into.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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Moranbah, the Queensland coal mining town and investor darling, leads a regional Queensland list compiled by RP Data of suburbs where it is cheaper to buy a house than to rent one.
RP Data estimates that it  $4,021 cheaper per month to buy a house in Moranbah with a principal and interest variable mortgage than rent one.
The median asking rent  for a house in Moranbah is $1,900 a week, according to RP Data.
The Moranbah council area has a population of around 22,000 permanent residents but a fly-in/fly-out (FIFO) worker population of 24,000, with a government inquiry into the sustainability of mining towns in April hearing that FIFO workers have been a key factor in driving up rents.
However, in April this year there were reports that rents and prices in Moranbah were falling due to mining companies – which take up many of the residential leases on behalf of workers – refusing to sign new leases.
At the time of the mining flare-up Terry Ryder of hotspotting.com.au said the situation highlighted the danger of investing in a mining town, where prices are “a bit artificial”.
“A single major employer can use its market power to achieve something such as forcing down rents,” Ryder told Australian Property Investor magazine. “A lot of investors have been getting very excited about Moranbah. This is a classic example, which may inject a bit of reality into the situation.”
<a target="_blank" href="https://www.propertyobserver.com.au/queensland/moranbah-and-port-hedland-unsustainable-single-industry-mining-boom-hotspots-westpac/2012090655622">Westpac recently tightened its lending requirements for mortgages</a> to buy property in "single-industry" towns like Moranbah.
Current listings that Property Observer estimates would be significantly cheaper to buy then rent include this four-bedroom, two-storey house on a large block on Mills Avenue (pictured below) being sold by Mackay agent Julie Williamson with an asking price of $750,000.
<img src="/images/stories/2012/09/millsave.jpg">
The property has a two-year lease in place at $1,800 per week, or $8,100 per month.
Providing a 10% deposit and borrowing $675,000 on a 25-year principal and interest loan with a 6.25% interest rate would mean monthly mortgage repayments of around $4,500 per month.
Another example of a property that is cheaper to buy then rent is this two-level, four-bedroom house on Bradman Street (pictured below), being sold by Craig Aitcheson &amp; Roz Robinson from LJ Hooker Mackay with a price tag of $549,000 and with the possibility for development at the back of the property, subject to council approval.
<img src="/images/stories/2012/09/bradmanst.jpg">
The property is expected to command rent of at least $900 per week, or $4,050 per month.
Providing a 10% deposit and borrowing $494,000 on a 25-year principal and interest loan with a 6.25% interest rate would mean monthly mortgage repayments of around $3,300 per month.
Yet another example is 8 Goolagong Crescent (pictured below), also a four-bedroom, two-level house being sold by Marie Plahn of Moranbah Real Estate, where the price has been reduced by $100,000 to a negotiable $690,000.
<img src="/images/stories/2012/09/goolagong.jpg">
Plahn says the property can command weekly rent of $1,200 per week  or $5,400 per month.
Providing a 10% deposit and borrowing $621,000 on a 25-year principal and interest loan on a 6.25% rate would mean monthly mortgage repayments of around $4,100 per month.
To come up with its calculations 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 rent a unit than buy one. 
Click to enlarge
<a title="Click to enlarge" href="/images/stories/2012/08/rpsept34.gif" rel="shadowbox"><img src="/images/stories/2012/08/rpsept34thumb.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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lschlesinger-FZcF9M3vE6

Mining darling Moranbah tops list of regional Queensland towns where it is cheaper to buy than rent: RP Data

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The private equity-backed Riversdale Group has bought the landmark Marlborough Hotel in Newtown, Sydney, for $12,175,000 at auction today.
The hotel bears a distinctive Art Deco facade but has a trading history dating back 150 years.
Investors in the pubs acquired by the Riversdale Group include advertising mogul John Singleton, former Qantas boss Geoff Dixon and banker Mark Carnegie.
The group now owns and operates seven pubs in Sydney,with Riversdale Group co-founder and chief executive Patrick Coughlan saying the group is looking to grow its portfolio to $150 million.
Floating of the distressed pub portfolio has also been mooted.
Coughlan says the purchase of the hotel continued with its strategy of “securing the best pub, in the best position, in some of Sydney’s best suburbs”.
He told Fairfax Media the Marlborough would undergo a renovation with the group looking at a few other potential acquisitions.
The pub was part of a $20 million auction of commercial properties conducted by Damien Cooley, director of Cooley Auctions, in Sydney today.
It was marketed by Knight Frank's Mike Wheatley, who told Property Observer he was "delighted" with the sale price.
"We marketed it in the $11 million to $12 million range."
Known by locals as “The Marly” the hotel stands at 145 King Street (on the corner of King Street and Missenden Road) - the popular entertainment and retail strip in Newtown in Sydney’s inner west.
The hotel was offered for auction for the first time in 27 years.
“The sale of such a landmark hotel is extremely encouraging for the market and a sign of good things to come this spring,” said Cooley.
A week ago, another Newtown drinking hole, the Bank Hotel, was sold to Bruce Solomon’s Solotel Group for a reported $11.8 million.
The Australian reported that Geoff Dixon has taken a direct stake in the hotel and already has stakes in Bellevue Hotel in Paddington.
The other pubs in the portfolio are The Toxteth in Glebe, The Peakhurst Inn in Peakhurst, The Unity Hall Hotel in Balmain, The Standard in Surry Hills, Kinselas and Lo-Fi in Darlinghurst and the soon-to-be launched The Workers bar, also in Balmain.
Former prime minister Bob Hawke will launch the upstairs bar at the Unity Hall Hotel in a few week's time, reported The Australian Financial Review.
The Marly incorporates Marly Bar, Bar Prego, Level One Bar, The Cellar, The Deck and the Marly Bottle Shop.
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John Singleton-backed Riversdale Group adds Marlborough Hotel in Newtown to $85 million pub portfolio

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The unemployment rate eased from 5.2% to 5.1% in August as the participation rate eased from 65.2% to 65%,  the latest ABS figures show.

In terms of actual job numbers, the number of people employed fell by 8,800 in August well below expectations of a 5,000 gain and following a revised gain of 11,700 jobs in July (down from 14,000+).
CommSec chief economist Craig James says the Reserve Bank must stand poised to cut rates as necessary, but he says the latest jobs data "is no smoking gun" for a cash rate cut.
"The job market has softened, but not dramatically. In fact for those in NSW, the jobs data is quite encouraging. Employment [in NSW] rose by 13,300, while the [state's] jobless rate fell to 4.8%.
The unemployment figures in the other states are: Victoria 5.6% (5.4% in July); Queensland 5.9% (5.8%); South Australia 5.7% (5.4%); Western Australia 3.9% (3.7%); Tasmania 6.8% (6.5%); Northern Territory 4.2% (4.2%); ACT 3.6% (3.6%).
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August jobs data no 'smoking gun' for RBA cash rate cut:  CommSec's Craig James

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Australia’s biggest shopping landlords are being forced to offer discounted rental rates to new tenants as speciality store sales growth stalls and retailing remains subdued.
The leasing spread on new leases signed by GPT Group, which operates 17 shopping centres, has gone backwards by 10%, while Australia’s biggest shopping centre owner, Westfield, has given up 6% on new leases.
The leasing spread for the restructured Centro group, which has $6.6 billion worth of shopping centres under management, slipped by 2.2%, with Charter Hall Retail the only listed retail trust (REIT) to achieve growth on new leases. Charter Hall's spread rose 3.7%, the Australian Financial Review reported.
Leasing spread is a key metric in retailing representing the percentage increase over rental rates on existing leases versus rental rates on new and renewal leases.
It gives an indication of the strength of the retailing sector and the overall economy.
According to investment site Wealthmanagement.com, during periods of economic weakness, leasing spreads narrow and "some even go into negative territory".
“As the economy strengthens, and retailers are able to pay more rent, leasing spreads increase.”
Presenting Westfield's interim results update last month, co-chief executive Steven Lowy said lease incentives had increased in the subdued retailing environment, but added that Westfield was cautious about how it used rental incentives.
The drop in new lease spreads comes as retail sales figures recorded their biggest fall in almost two years, declining by 0.8% in July according to ABS data.
Research compiled by Merrill Lynch show that speciality retailers managed average comparable sales growth of just 0.6% over the past financial year to the end of June.
Despite the drop in leasing spreads,  the investment outlook for shopping centres anchored by supermarkets and food operators remains healthy, according to Colliers International,
“The stability of supermarket based retail and the food category in general has led to stronger interest in supermarket-anchored centres,” said Colliers International in its 2011-2012 National Retail Investment Review.
“The appeal of neighbourhood centres from an investment perspective lies in their ability to provide steady rental income through long term leases, underpinned by the large supermarket tenants, predominately Coles and Woolworths," says Colliers.
“The lower average occupancy cost for specialty tenants in food-based centres has also been an attraction for investors. This sector continues to dominate sales activity in volume terms, accounting for 42% of all deals.
“The price point remains the key driver of investment returns, with the average value of trades steady at around $20 million. There is generally strong interest in centres sub-$30 million.
“Investors in neighbourhood centres appear prepared to purchase lower value assets on sharper yields, as these are typically easier to debt fund, and less management intensive.”
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Shopping centre landlords forced to discount leases to attract new tenants

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The Gold Coast property market presents a myriad opportunities for those seeking an investment under $300,000, according to Herron Todd White’s September month in review report.

According to HTW’s Gold Coast valuation team, about 20% of properties currently being sold on the Gold Coast are priced under $300,000, but there is not much for that price on the more expensive Sunshine Coast.

“Provided buyers are not greedy in their house wants or are able to live comfortably in a unit, there is a myriad of options available for purchasers wishing to spend under $300,000,” says HTW’s Gold Coast office.

Looking at the unit market, HTW says there are plenty of sub-$300,000 options in Surfers Paradise, including older-style units starting in the low $100,000s and one-bedroom, one-bathroom units in modern high rises from $250,000 to $320,000.

A recent sale in this price range was a 7th floor one-bedroom apartment plus study with two bathrooms in Wings Residential on the Gold Coast Highway,  built around 2004, which sold on June 28, 2012, for $250,000.

Another one-bedroom unit at Wings (pictured below) on the fourth floor that measures 90 square metres is currently listed for sale by Raine &amp; Horne Surfers Paradise John Monteith, “very keenly priced” at $309,000.

<img src="/images/stories/2012/09/wings.jpg">

Other recent sales around the $300,000 mark include Unit 43 in Diamond Beach South in Mermaid Beach, a two-bedroom semi-modern unit in a three-storey walk-up, and a 1994 two-bedroom low-rise unit measuring 105 square metres.

The report suggests that sections of the Gold Coast apartment market are still very much a basket case, with HTW valuers highlighting Southport CBD medium-/high-rise developments, which have recorded severe drops in value over the past couple of years due to distressed sales and rising body corporate rates.

“While values are still slowly softening, the rental market has remained relatively stable."

According to HTW, a notable sale at the $300,000 price point was 715/2 Aqua Street, Southport – a 2009, two-bedroom medium-rise unit with single car basement car space measuring 84 square metres within the Meriton development Brighton on Broadwater (pictured below).

<img src="/images/stories/2012/09/brightonbroadwater.jpg">

Originally sold by the developer for $350,000 in 2009, the apartment sold in July 2011 for $300,000 and most recently sold for $286,250 in April this year.

 

<hr class="system-pagebreak">
 

HTW notes that the best buys generally remain stressed sales, “which are still dominating the lower end of the valuation echelon".

“The market has continued to soften into 2012, with recent indications that the market is starting to stabilise.

“Properties in this price bracket represent the highest sales rates currently on the Gold Coast but many are in fringe rather than central locations. Generally speaking the properties selling circa $300,000 are untidy and usually in need of at least some cosmetic improvement (around $10,000 to $20,000 cost) to lift their overall presentation and marketability.”

In the case of the Sunshine Coast, HTW valuers say $300,000 does give buyers some good options, but options and “bang for your buck” increase if buyers are willing to increase your spending to the low $300,000s.

“Along the coast options are largely restricted to units.

“In the main tourist areas of Mooloolaba/Caloundra and in some cases Noosa, you can purchase two- bedroom units for between $250,000 and $300,000.

In January, Graham Smith from Richardson &amp; Wrench Noosa Heads sold a two-bedroom unit in South Pacific Resort, 179 Weyba Road (pictured below), for under $285,000 in a distressed sale.

<img src="/images/stories/2012/09/noosaville.jpg">

According to <a href="https://www.myrp.com.au/" target="_blank">RP Data</a>, the median unit price in Noosaville is $437,500.

For those looking to buy a house around this price range, HTW says spending in the low $300,000 would buy into areas like Battery Hill, Mount Coolum and possibly Tewantin.

Currently listed for sale is a three-bedroom house being sold by Caloundra City Realty with an asking price of $319,000.

<img src="/images/stories/2012/09/batteryhill.jpg">

“As you move into the hinterland there is defiantly more options. The main service centre of Nambour provides a range of services and employment, with both older and reasonably modern homes selling sub-$300,000,” says HTW.

 “As we move to the railway townships the options continue.

“The key with any purchase is to keep your eye on the market. There are some great buys out there with pressured vendors being forced to sell, often at well below replacement costs. Calling agents, going to auctions and seeking good independent advice are all relevant tips to ensure that you don’t miss an opportunity,” says HTW.

Buying opportunities for under $300,000 was the theme of the residential aspect of this month’s report following <a href="https://www.propertyobserver.com.au/residential/high-yielding-investment-opportunities-for-under-%24500000-in-nsw-include-western-sydney-and-regional-areas-htw/2012060454984" target="_blank">Herron Todd White August report on how to spend a “lazy $500,000”.</a>

The switch to look at a more entry-level price barometer follows a “tastefully worded email” from a reader suggesting to HTW valuers that $500,000 was a bit too much to squander and they should “try and see things from a more reasonable perspective”.

<h2>Recently listed properties:</h2>

[smartcode_project:default project_id=93128]

[smartcode_project:default project_id=6769]

[smartcode_project:default project_id=24427]
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Plenty to buy on the Gold Coast for under $300,000 but not much on the Sunshine Coast: Herron Todd White

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The <a href="https://www.vcat.vic.gov.au/" target="_blank">Victorian Civil and Administrative Tribunal</a> (VCAT) has just finished hearing submissions in a case against McDonald’s opening an outlet in the town of Tecoma. The case is part of a growing trend of councils recognising the insidious impact of fast food on their communities and refusing permission on public health grounds.
It was brought by the multinational fast-food corporation after Yarra Ranges Shire Council declined to grant the company a planning permit to build. The <a href="https://tvag.org.au/McDonalds" target="_blank">campaign against the proposal</a> was spearheaded by the local Tecoma Village Action Group, and its efforts resulted in over 1,100 individual objections being sent to the council.
Our changing diets
Rates of obesity in Australia and many other developed nations have increased rapidly over recent decades. And unhealthy diets that include too much energy-dense fast food is a key contributor to the growing prevalence of obesity, diabetes and other adverse health conditions in both adults and children.
In 2009-10, Australian Bureau of Statistics <a href="https://www.abs.gov.au/ausstats/abs@.nsf/mf/6530.0/" target="_blank">data showed</a> that the average Australian household spent over $30 a week on fast food and takeaway items. That means each household spent over $1,500 a year on fast food, an increase of over $7 a week <a href="https://www.abs.gov.au/ausstats/abs@.nsf/PrimaryMainFeatures/6535.0.55.001?OpenDocument" target="_blank">from 2003-04</a>.
We know that many factors influence the food we choose to purchase and consume. Busier lifestyles, more working parents and longer working hours all play a role. But beyond individual factors, we suspect the number and type of food stores in our neighbourhood also contribute to food purchasing decisions.
Access = consumption?
Fast-food stores are now more accessible than ever. And the combination of more access and busier lifestyles has likely contributed to increasing consumption of these products. While the benefit of fast food and takeaway meals is that they allow us to achieve more in our day, such consumption comes at a cost to our health.
Major fast-food companies consider a number of things when choosing the location of new outlet, including the population characteristics of an area, ease of access and the visibility of the proposed site (for instance, whether it is on a main road). As a result of such considerations, a number of fast-food outlets are often located in close proximity to each other. And we often see neighbourhoods with large numbers of fast-food outlets.
Researchers and policy-makers are <a href="https://www.propertyobserver.com.au/https://www.ncbi.nlm.nih.gov/pubmed/20149118" target="_blank">increasingly paying attention to</a> the placement of fast-food and takeaway outlets in low-income neighbourhoods and near schools. The location of new stores is of interest because of the poorer health observed in low-income neighbourhoods and a recognition of how important it is for children to be making healthier lifestyle choices.
Although there’s <a href="https://www.heartfoundation.org.au/driving-change/current-campaigns/local-campaigns/Pages/food-sensitive-planning.aspx" target="_blank">increasing recognition</a> that the neighbourhood we live in influences health behaviours, planning laws often don’t recognise this. Traditionally, proposals for development can only be opposed on planning grounds, for instance, how the development would impact aesthetics, signage, crime, parking, and traffic.
Healthier food environments
Internationally, there are a number of recent examples of the use of planning laws to limit the amount of fast food that communities are exposed to. In 2008, the City of Los Angeles passed a bill prohibiting the opening of new fast-food restaurants in low-income areas.
And, in the United Kingdom, a <a href="https://www.sthelens.gov.uk/newsroom/2012/08/06/council-put-breaks-on-fast-food" target="_blank">local council banned</a> hot food takeaway shops from opening within 400 metres of schools, youth facilities and parks as a way to combat childhood obesity.
There’s a growing push in Australia too, for planning agencies to actively consider the health consequences of new fast food outlets. A <a href="https://theconversation.edu.au/%5Bhttps://theconversation.edu.au/residents-revolt-against-planned-mcdonalds-near-primary-school-7113%5D" target="_blank">recent South Australian case</a> highlighted the growing awareness of the impact local food environments on behaviours and health.
Residents of a western suburb in Adelaide tried to stop a McDonald's outlet being built within <a href="https://www.propertyobserver.com.au/https://www.abc.net.au/radionational/programs/backgroundbriefing/2012-05-20/4012846" target="_blank">200 metres of a primary school</a>. This case was a rare instance of fast-food access being considered in terms of consumption behaviour in Australia.
But studies considering the link between fast-food access and consumption with an adequate level of detail are rare and the evidence inconclusive. So the appeal could not be upheld on these grounds. Instead, the council decision to grant a planning permit to McDonald’s was overturned on appeal because it was at odds with other planning requirements.
Like the Tecoma and Adelaide cases, future battles between councils, communities and major food retailers will most likely be referred to the courts and administrative tribunals for final decisions.
In the meantime, the quest to better understand how different individuals interact with their local food environment and how new developments lead to changes in eating patterns continues. Better evidence would ensure that the health impacts of such proposals are more strongly considered in the future.
There’s a growing push in Australia too, for planning agencies to actively consider the health consequences of new fast food outlets. A <a href="https://theconversation.edu.au/%5Bhttps://theconversation.edu.au/residents-revolt-against-planned-mcdonalds-near-primary-school-7113%5D">recent South Australian case</a> highlighted the growing awareness of the impact local food environments on behaviours and health.
Residents of a western suburb in Adelaide tried to stop a McDonalds outlet being built within <a href="https://www.propertyobserver.com.au/https://www.abc.net.au/radionational/programs/backgroundbriefing/2012-05-20/4012846">200 metres of a primary school</a>. This case was a rare instance of fast-food access being considered in terms of consumption behaviour in Australia.
But studies considering the link between fast-food access and consumption with an adequate level of detail are rare and the evidence inconclusive. So the appeal could not be upheld on these grounds. Instead, the council decision to grant a planning permit to McDonald’s was overturned on appeal because it was at odds with other planning requirements.
Like the Tecoma and Adelaide cases, future battles between councils, communities and major food retailers will most likely be referred to the courts and administrative tribunals for final decisions.
In the meantime, the quest to better understand how different individuals interact with their local food environment and how new developments lead to changes in eating patterns continues. Better evidence would ensure that the health impacts of such proposals are more strongly considered in the future.
Lukar Thornton is Alfred Deakin Postdoctoral Research Fellow at the School of Exercise and Nutrition Sciences at<a href="https://deakin.edu.au/" target="_blank"> Deakin University.</a>
This article originally appeared on <a href="https://theconversation.edu.au/" target="_blank">The Conversation.</a>
McDonald's sign photograh by Gerard Stolk courtesy of <a href="https://www.flickr.com/" target="_blank">Flickr</a>.
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Fast food landlords could feel the squeeze as councils challenge take-away food retailers on health grounds

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The regional Victorian town of Dimboola, near the South Australian border, leads the regional Victorian list compiled by RP Data of suburbs where it is cheaper to buy a house than to rent one.
The median house asking rent in Dimboola is $160 a week.
RP Data estimates it is $83 cheaper per month to buy a house with a principal and interest variable mortgage than rent one in Dimboola.
Tenanted houses listed for sale in Dimboola include this three-bedroom house on Anderson Street (pictured below), being sold by Wes Davidson Real Estate with a listing price of $90,000.
<img src="/images/stories/2012/09/henderson1.jpg">
The property is currently rented at $150 per week or $684 per month.
With 10% deposit, borrowing $81,000 on a 25-year mortgage at an interest rate of 6.25% would mean monthly mortgage repayments of  around $635 per month.
Another savings opportunity is on offer for buyers of this three-bedroom bungalow on Ellerman Street (pictured below), which is up for sale at $79,900 by North West Real Estate. 
<img src="/images/stories/2012/09/ellerman.jpg">
The property is currently rented at $135 per week or $608 per month.
 
With a 10% deposit, borrowing $72,000 on a 25-year mortgage at an interest rate of 6.25% would mean monthly mortgage repayments of  around $575 per month.
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 data contains both units and houses, but in most suburbs on the list it is cheaper to rent a unit than buy one.
Click to enlarge
<a rel="shadowbox" href="/images/stories/2012/08/rpsept33.gif" title="Click to enlarge"><img src="/images/stories/2012/08/rpsept33thumb.gif"></a>
<a target="_blank" href="https://www.myrp.com.au/buyorrent">For the full list of all suburbs,  </a><a target="_blank" href="https://www.myrp.com.au/buyorrent">visit RP Data's website.</a>
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Dimboola leads the regional Victorian suburbs where it is cheaper to buy than rent: RP Data

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You may have noticed throughout your property search that units and apartments are often presented as a single group in the analyses of the residential market.  However, it is important to be aware that the type and nature of these homes differs substantially.
In some parts of Melbourne, the market is dominated by multi-storey towers; in others, two-storey blocks of flats.  So, whether you are looking to purchase in an area that you would otherwise be unable to afford or searching for a perfect investment, it is important that you understand the differences.
The 2011 census provides insight
The 2011 census showed that the top three suburbs for all units and apartments were, as you would expect, the CBD, Southbank and Docklands.  In each suburb, between 97% and 99% of homes are apartments.
These suburbs, of course, dominate the list of apartment blocks of more than four storeys; however, when the data is analysed for one- to two-storey blocks of units and apartments, a different picture emerges.
In this instance, the top five were Glen Huntly, Dandenong, Carnegie, Fairfield and Ormond.  In these suburbs, medium-density housing forms a comparatively high proportion of the housing stock, with one- or two-storey units comprising between 35% and 47% of all dwellings.  In each case, median prices are well below those for detached housing, providing many people with the opportunity to live in an area they would otherwise be unable to afford.
Focusing just on three-storey blocks reveals a different set of suburbs, generally closer to the CBD: St Kilda, St Kilda East, Elwood, East Melbourne and South Yarra. In these suburbs, between 34% and 40% of all dwellings are located in three-storey complexes.  As expected, median prices for these homes are lower than those for detached housing.
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<a title="Click to enlarge" rel="shadowbox" href="/images/stories/2012/09/reivsept5.gif"><img src="/images/stories/2012/09/reivsept5thumb.gif"></a>
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<a title="Click to enlarge" rel="shadowbox" href="/images/stories/2012/09/reivsept52.gif"><img src="/images/stories/2012/09/reivsept52thumb.gif"></a>
Source: <a href="https://www.reiv.com.au/" target="_blank">REIV</a>
Robert Larocca is communications manager of the <a href="https://www.reiv.com.au/" target="_blank">Real Estate Institute of Victoria</a>
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Not all apartments are created equal, so know what you're buying

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<img src="/images/stories/2012/09/3point6percent.gif">
The median gross rental yield landlords are securing for houses in Melbourne, according to<a target="_blank" href="https://www.myrp.com.au/"> RP Data. </a> The median house price was $495,000 in August.
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<img src="/images/stories/2012/09/4point3percent.gif">
The median gross rental yield landlords are securing for houses in Adelaide, according to<a target="_blank" href="https://www.myrp.com.au/"> RP Data.</a> The median house price was $386,000 in August.
 
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<img src="/images/stories/2012/09/4point3percent.gif">
The median gross rental yield landlords are securing for houses in Sydney, according to<a target="_blank" href="https://www.myrp.com.au/"> RP Data.</a> The median house price was $590,750 in August.
 
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<img src="/images/stories/2012/09/4point5percent.gif">
The median gross rental yield landlords are securing for houses in Perth, according to<a target="_blank" href="https://www.myrp.com.au/"> RP Data.</a> The median house price was $465,000 in August.
 
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<img src="/images/stories/2012/09/4point5percent.gif"> 
The median gross rental yield landlords are securing for houses in Canberra, according to<a target="_blank" href="https://www.myrp.com.au/"> RP Data.</a> The median house price was $540,000. 
 
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<img src="/images/stories/2012/09/4point7percent.gif"> 
The median gross rental yield landlords are securing for houses in Brisbane, according to<a target="_blank" href="https://www.myrp.com.au/" style="font-size: 13px;"> RP Data.</a> The median house price was $430,000 in August.
 
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<img src="/images/stories/2012/09/5point2percent.gif">
The median gross rental yield landlords are securing for houses in Hobart, according to<a target="_blank" href="https://www.myrp.com.au/"> RP Data.</a> The median house price was $285,000 in August.
 
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<img src="/images/stories/2012/09/5point8percent.gif">
The median gross rental yield landlords are securing for houses in Darwin, according to<a target="_blank" href="https://www.myrp.com.au/"> RP Data.</a> The median house price was $545,000 in August. 
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Melbourne landlords still reaping lowest rental returns for houses: RP Data state-by-state analysis

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As we enter the traditionally busy spring selling season, the likelihood and extent of a property market recovery remains extremely hard to call, with white-collar job anxiety one of the factors in a complex jigsaw puzzle that includes interest rate expectations, house price concerns, the impact of changes to government handout schemes, and investor appetite.
While the national unemployment rate remains low by international standards – sitting just above 5% – the perception remains that the mining sector is supporting the high rate of employment, with even RBA governor Glenn Stevens noting in his post-cash rate decision statement yesterday that jobs are being shed in some industries.
At the same time there were perhaps some raised eyebrows – though not from those enjoying their morning tea and scones – when March 2012 mortgage <a href="/news">delinquency figures from Fitch Ratings</a> showed the prestige suburbs on Sydney’s north shore and their counterparts in the eastern suburbs of Melbourne remained among the best-performing locations in Australia.
Surprise, surprise, the rich continue to manage to pay their mortgages, and talk of a white-collar recession appears as unlikely as Lleyton Hewitt winning another grand slam.
A new international report compiled by Swiss-based UNI Global Union Finance, which counts around 20 million affiliated members, provides some insights into the white-collar job picture and suggests that the Australian banking sector has cut relatively few jobs compared to the industrial-size job cuts at other international banks since the GFC.
The figures are based on information submitted to UNI Global Union Finance from representative finance sector unions in 21 countries and show that since the beginning of the financial crisis, more than 300,360 jobs have been lost in the finance sector in 18 countries (UK, Spain, Italy, France, Germany, Austria, Finland, Norway, Sweden, Denmark, Belgium, Romania, Moldavia, Greece, Ireland, Australia, India and the US).
Australia has accounted for less than 3% of these job cuts, with the Finance Sector Union (FSU) reporting that Australian banks have shed around 10,000 jobs since 2007, with nearly two-thirds (6,200) shipped offshore.
The biggest job cutters have been Westpac and ANZ, which have cut a combined nearly 2,000 jobs, with Westpac sending nearly half of its 1,021 positions cut offshore.
Furthermore, according to the FSU figures supplied to the report, there are no more large-scale job cut programs on the cards in Australia.
A figure of 10,000 jobs lost is certainly not a small one, but it is when compared with what has happened in countries with comparable first-world banking systems like the US, UK and Switzerland.
UK-based banks has cut nearly 65,000 jobs – six and a half times more than Australian banks –with HSBC cutting 30,000 positions and Lloyds 24,000.
The US figures in the report, which apply only to 2011- 2012, show 30,000 positions cut by Bank of America alone.
In Italy, where the economic picture has turned dire, the report notes that there were 10,000 job cuts from 2005 to 2012 while 20,000 people left through early retirement packages subsidised by the state.
As many as 15,000 or so more jobs are expected to go over the next three years, with all the major Italian banks having big redundancy programs in place to 2015.
So it appears that Australian banks have taken a relatively conservative approach to job cutting – a message that is unlikely to bring much cheer to those who have lost their jobs, especially given the enormous profits reported recently by all the major banks.
Interestingly, the UNI report notes that some of the biggest job cuts have been made by banks that continued to make big profits.
“In 14 banks which account for almost 3 million workers, more than 121,000 people have lost their jobs or are about to lose their jobs. At the same time, the same banks made profits last year, in the range of US$4 billion to $40 billion in 2011 alone. For example, HSBC made almost $22 billion of profit in 2011, but decided to cut 30,000 jobs. Deutsche Bank made $7 billion of profit but lost 22,000 jobs,” the report says.
This might also explain to some degree why those sipping tea in Mosman and Neutral Bay and Kew and Hawthorn have not struggled to pay their mortgages – clearly there are still big bonuses being paid from the billion-dollar profits.
However, the UNI report is unlikely to ease any of the anxiety among those working in the lower-echelons of the banking industry (many of whom would be either first-home buyers, upgraders or investors) – especially given the constant references from major bank CEOs in the recent reporting season to the current tough operating environment.
Indeed it would be naïve to suggest – as some have –that all that’s needed is a bit more sun and blue skies this spring and summer for the property market to rebound.
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