Buyers considering a residence at boutique Gordon townhouse development <a href="https://www.apartments.com.au/new-townhouses/lume-gordon-43-47-dumaresq-street-gordon-nsw-2072">Lume</a>&nbsp;now have another reason to bring forward their decision.

For a limited time, purchasers of a residence at Lume will receive a BMW iX3 50 electric SUV, valued at more than $120,000, as part of their purchase. The offer is designed to add value for buyers while complementing the lifestyle envisioned for the architecturally designed Upper North Shore development.

Scott Timmins, Development Manager at <a href="https://www.apartments.com.au/developers/winim">WINIM</a>, said the partnership was created to provide buyers with a compelling reason to act.

"In today's market, buyers need a compelling reason to act now, and the BMW partnership was designed to create that catalyst. We wanted to add genuine value for our future purchasers. Choosing the all-electric BMW iX3 50 also reflects the values behind LUME, forward-thinking design, innovation and a more sustainable way of living. It's a premium incentive that complements the lifestyle our buyers aspire to and rewards those who commit early."

[smartcode_project:default project_id=7354 project_image_fid=374893]

Delivered by WINIM in partnership with Burtonwood Investment Partners, Lume comprises 14 architecturally designed two, three and four-bedroom townhomes created for families seeking the space of a freestanding house with the ease of modern, low-maintenance living.

The three-storey residences, designed by award-winning architecture practice <a href="https://www.apartments.com.au/architects/rothelowman">Rothelowman</a>, have been tailored for families and multi-generational living, featuring private internal lifts, flexible lower-level spaces, generous open-plan living and entertaining areas, media rooms, and landscaped outdoor spaces with custom outdoor kitchens.&nbsp;

Inside, engineered oak flooring, bespoke dining joinery with integrated wine fridges and backlit bars, sculptural porcelain bathrooms, Parisi freestanding baths and Astra Walker tapware create interiors that balance functionality with refined finishes.

Each townhome has been designed to combine generous internal spaces with sustainability initiatives such as EV charging infrastructure, while <a href="https://www.apartments.com.au/landscape-architect/arcadia-landscape-architecture">Arcadia</a>'s landscaped communal areas, centred around a restored creek line and native planting, encourage residents to connect with nature and spend more time outdoors.

[smartcode_project:default project_id=7354 project_image_fid=269527]

Rothelowman's Gary Tsui said the architecture was conceived to respond carefully to its Upper North Shore setting.

"Our vision was to create elegant, uplifting homes that draw on and positively contribute to the local character through meticulously considered design and an interaction with the surroundings."

The communal landscape has been designed as more than an open space between homes. Arcadia's Ben Newell and Kate Phillips said the adjoining reserve provided an opportunity to create a distinctive natural retreat for residents.

"Just as waterways carve their way through Ku-ring-gai's landscape, a raised boardwalk weaves through the reserve, connecting the homes to this tranquil oasis."

[smartcode_project:default project_id=7354 project_image_fid=374892]

Located just 300 metres from <a href="https://www.apartments.com.au/developments/gordon-nsw-2072">Gordon</a> Village and Gordon railway station, Lume offers convenient access to Sydney's CBD while placing residents close to some of the North Shore's leading schools, including Ravenswood, Pymble Ladies' College and Knox Grammar. Lane Cove National Park, Gordon Golf Club and a range of cafés and restaurants further reinforce the family-focused lifestyle on offer, with the BMW iX3 50 complementing everything from local trips around Gordon to weekend drives and city commutes.

Construction is underway with completion expected in mid-2027.

[smartcode_project_cta:default project_id=7354]

Joel Robinson

Boutique Gordon townhomes now come with a BMW iX3 50

Two apartments have sold for more than $10 million at EADE Byron Bay, setting some of the highest apartment prices ever achieved in the coastal town and underlining the growing appetite for luxury beachfront apartments in Australia's most popular coastal locations.

The $210 million project by Vitale Property Group has now secured more than $70 million in sales, led by residences that changed hands for $12.75 million and $11.75 million.

The record-breaking transactions reinforce the shift occurring in Byron Bay's premium property market, where affluent downsizers and lifestyle buyers are increasingly opting for high-end apartments over large beachfront homes.

<a href="https://www.apartments.com.au/new-apartments/eade-byron-bay-29-shirley-street-byron-bay-nsw-2481">EADE Byron Bay</a> occupies a rare 6,000 sqm absolute beachfront site on the corner of Shirley and Milton Streets overlooking Main Beach and The Wreck surf break, just 350 metres from Byron Bay's town centre.

The 25-residence development is the first beachfront apartment project approved in Byron Bay in more than a decade and is currently under construction, with completion expected in May 2027.

[smartcode_project:default project_id=145590 project_image_fid=359521]

The project has attracted a mix of local Byron Shire residents downsizing from larger homes, alongside interstate buyers from Sydney, Melbourne and Brisbane seeking a permanent coastal lifestyle without compromising on space.

Designed by <a href="https://www.apartments.com.au/architects/hayball">Hayball</a> and with interiors by <a href="https://www.apartments.com.au/interior-designers/alexander-co">Alexander &amp; Co</a>, EADE comprises&nbsp;10 garden apartments ranging from 284 sqm to 622 sqm, nine with private pools, five full-floor apartments and 10 rooftop residences with private plunge pools, expansive outdoor entertaining areas and uninterrupted ocean views.

[smartcode_project:default project_id=145590 project_image_fid=359527]

<a href="https://www.apartments.com.au/developers/vitale-property-group">Vitale Property Group</a> Managing Partner Chris Vitale said the project's combination of scale, location and limited future supply was driving buyer demand.

"There isn't another beachfront holding in Byron Bay of this size and position that could be developed again," Vitale said.

"Buyers are responding to the scarcity and the irreplaceability of a site of this calibre and to floorplans they can't find elsewhere in the market.

"We are seeing buyers place significant value on quality, space, design, resort-style amenities and the rarity of the location. The sales achieved to date demonstrate that discerning purchasers recognise the long-term significance of what is being created at EADE Byron Bay.

"Many are coming from larger homes in the Byron region, or from Sydney, Melbourne and Brisbane, and are after the space, security and convenience, without the upkeep of a house."

&nbsp;

[smartcode_project:default project_id=145590 project_image_fid=359523]

The Byron Bay project follows Vitale Property Group's delivery of the Mondrian Hotel and Private Residences at Burleigh Heads, with EADE continuing the developer's focus on luxury coastal developments.

Residents will have access to a resort-style swimming pool, gymnasium, sauna, cold plunge pool, concierge services and dedicated workspaces, while the project is targeting an 8-Star Green Star rating.

EADE Byron Bay is being exclusively marketed by Projx Australia in conjunction with WHITEFOX Projects.

WHITEFOX National Projects Director Phillip Rand said demand had been driven predominantly by owner-occupiers.

"We are seeing buyers at EADE place significant value on quality, space, design, resort-style amenities and the rarity of this location," Rand says.

"The sales achieved to date demonstrate that purchasers at this level recognise the long-term significance of what is being created at EADE Byron Bay."

Residences at EADE Byron Bay are currently priced between $4.75 million and $15.95 million.

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[smartcode_project_cta:default project_id=145590]

Vitale breaks Byron Bay records with EADE sales flurry 

When buying an apartment, most people compare the big-ticket items first. Floorplans. Kitchens. Balcony size. Natural light. The view.

But there's one everyday consideration that often doesn't come up until after moving in: how parcels are delivered.

As online shopping has become part of everyday life, parcel deliveries have shifted from an occasional event to a regular occurrence. Australians spent a record $82.6 billion shopping online in 2025, with almost one in every four retail dollars now spent digitally.

For apartment residents, that can present a challenge.

If nobody is home to accept a delivery, parcels may be redirected to a nearby Post Office, left in a building lobby or common area, or require building management to step in. In higher-density buildings, where dozens or even hundreds of residents may receive deliveries each day, parcel management has become an increasingly important part of everyday living.

That can create a range of frustrations. A missed delivery often means making time to collect a parcel elsewhere, while packages left unattended in foyers or mail areas can create clutter and increase the risk of theft. What seems like a minor inconvenience can quickly become a recurring issue for residents who shop online regularly.

It's one of those details that rarely features in a display suite but can have a noticeable impact once residents move in.

As a result, buyers are beginning to look beyond traditional apartment features and consider how a building supports day-to-day convenience, including whether there are secure options for receiving deliveries.

Australia Post's Parcel Lockers provide one solution.

<iframe allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" allowfullscreen="" frameborder="0" height="315" referrerpolicy="strict-origin-when-cross-origin" src="https://www.youtube.com/embed/CkF2oKmlACg?si=C50sDaoUUn2nuLmq" title="YouTube video player" width="560"></iframe>

Rather than having a parcel delivered directly to an apartment, eligible deliveries can be sent to a nominated Parcel Locker. Once the parcel arrives, residents receive a notification through the AusPost app or SMS and can collect it using a QR code or one-time PIN at a time that suits them.

The Parcel Locker network now includes more than 1,500 locations nationwide, with installations at Post Offices, shopping centres, transport hubs and an increasing number of residential developments. By providing a secure collection point, Parcel Lockers help reduce missed deliveries and avoid parcels being left unattended in common areas.

For developers, parcel infrastructure is becoming another way to improve the resident experience. Rather than relying on concierge staff or leaving parcels in communal spaces, secure collection points help streamline deliveries while preserving the presentation and functionality of shared areas.

For buyers, it's a reminder that the best apartment features aren't always the most obvious.

A generous floorplan or quality finishes might help narrow the shortlist, but the conveniences that simplify everyday life, whether that's EV charging, secure bike storage or reliable parcel delivery, often become the features residents appreciate most once they're living there.

The apartment feature many buyers don't think about, until their first missed delivery

<a href="https://www.apartments.com.au/developers/hg-developments">HG Developments</a> is doubling down on Maud Street in Newstead, filing plans for a new apartment tower just a few doors down from its under-construction Aire Newstead development.

Recently submitted to Brisbane City Council, the proposal is for an 18-storey building designed by bureau^proberts, which has drawn heavily on Brisbane's subtropical design principles while referencing the suburb's industrial heritage.

A total of 64 apartments are planned for the amalgamated 1,518 sqm site at <a href="https://www.apartments.com.au/new-apartments/17-21-maud-street-newstead-qld-4006">17–21 Maud Street</a>, a short walk from the Brisbane River and Newstead Riverwalk.

<img alt="First look: HG Developments plans 18-storey subtropical apartment tower for Newstead" data-entity-type="file" data-entity-uuid="a400c7fd-bd15-48f8-a63b-10ede92efe00" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Maud%20st%20bldg.png?VersionId=.0vPmjpbC7CNP7kqGWa6L7rGIwsNExaw" />

"The building is defined by a series of vaulted motifs that reinterpret the arches, colonnades and layered facades evident throughout Newstead's historic built fabric," the Urban Design Report states.

"Combined with recessed glazing and generous balconies, these elements create a layered building envelope that provides shade, weather protection and opportunities for natural ventilation whilst establishing a distinctive architectural identity."

The proposal comprises 64 two, three and four-bedroom apartments across 18 residential levels, positioning it alongside a growing number of taller residential projects transforming Newstead's northern precinct. The tower incorporates extensive subtropical landscaping, with cascading planter boxes, deep planting at street level and a landscaped rooftop recreation area.

<img alt="First look: HG Developments plans 18-storey subtropical apartment tower for Newstead" data-entity-type="file" data-entity-uuid="1d8140f4-8b98-45cd-b1b8-1efe8c8e266b" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Maud%20st%20podium.png?VersionId=VAZtbCoD44YCJ57N99fQCAKeSJx7ldZs" />

Bureau Proberts has prioritised passive environmental design throughout the project, with generous balconies, recessed glazing and operable façades helping reduce solar heat gain while maximising natural ventilation. River views become available from the upper levels, while the building has been orientated to capture prevailing breezes from both the Brisbane River and the west.

The architects say landscape is intended to be integral to the building rather than an applied element.

"Vertical greenery, cascading planter boxes and elevated gardens are woven throughout the architecture, softening the built form and strengthening the connection between residents and the subtropical environment."

"Through the integration of landscape, high-quality materials and passive design principles, the development delivers a refined residential address that celebrates Newstead's heritage character while contributing positively to Brisbane's evolving subtropical identity."

Newstead has remained one of Brisbane's most active apartment markets in recent years, with a number of developers continuing to back the inner-city suburb.

HG Developments is currently delivering the 40-apartment Aire Newstead at 25 Maud Street. Fortis recently launched the 65-apartment <a href="https://www.apartments.com.au/new-apartments/crest-walker-newstead-12-kyabra-street-newstead-qld-4006">Crest &amp; Walker</a> on Kyabra Street, while builder-developer BPG and Don O'Rorke's Consolidated Properties are both expected to launch their respective Newstead projects before the end of the year.

HG Developments doubles down in Newstead with second Maud Street apartment development

Walk past a new apartment development promoting its sustainability credentials and it's easy to picture rooftop gardens, mature trees, landscaped courtyards and residents surrounded by nature.

But in many cases, that's not actually what those sustainability ratings guarantee.

Australia's leading environmental rating tools have played a significant role in improving the energy efficiency and environmental performance of buildings. Yet despite their focus on reducing emissions, many don't require developers to include trees, biodiversity or meaningful green space.

In other words, a building can achieve one of the country's highest sustainability ratings while containing little more than concrete, glass and hard landscaping.

That disconnect has led to the emergence of a new movement across Australia's property industry: nature-based cities.

The concept goes beyond designing buildings that consume less energy. Instead, it encourages developers to treat nature as essential infrastructure, integrating biodiversity, tree canopy, living landscapes and green spaces into projects from the earliest stages of planning.

Research has consistently linked access to nature with better physical and mental health, cooler neighbourhoods, improved biodiversity, stronger climate resilience and more connected communities. As Australia's cities continue to become denser, advocates say those outcomes should be considered just as important as energy efficiency.

Nature Based Cities (NBC) was established in 2022 to help accelerate that shift.

Founded by Hamton Executive Chairman Paul Hameister OAM, the not-for-profit was created after research highlighted a significant gap in Australia's sustainability framework. While existing environmental rating tools rewarded energy performance and emissions reductions, they placed little emphasis on the inclusion of living landscapes.

"We've always wanted to do more, and we know other developers who want to do more, but the ESD rating tools just aren't there," Hameister says.

"In Australia, you can have a five-green-star rated building that's concrete and glass with not a blade of grass.

"The focus is on reducing emissions, which is laudable, but there hasn't been enough attention paid to protecting and re-establishing nature. We need both for the health of the environment and for communities."

Since its launch, NBC has developed independent design guidelines and accreditation frameworks that encourage developers to prioritise ecology, biodiversity, tree canopy, walkability and living landscapes alongside traditional sustainability measures. The organisation first focused on medium and high-density residential developments before recently expanding into precinct-scale communities and masterplanned neighbourhoods.

Jan Talacko, founder of sustainability consultancy Ark Resources and a member of the Nature Based Cities Advisory Council, says the initiative addresses an area that has largely been overlooked by the property industry.

"Throughout my 25 years of working collaboratively with all stakeholders in the property sector, I've always favoured a pragmatic approach to sustainable design which encourages initiatives that not only meet environmental expectations but also improve amenity," Talacko says.

"Whilst we are making steady progress in relation to energy and carbon emissions from buildings, there has been much less emphasis on encouraging biodiversity and tackling the urban heat island effect.

"The Nature Based Cities initiative responds to a gap in the suite of tools currently used by the property development sector, which don't provide sufficient incentive, or recognition, for the integration of landscaping and greenery."

For apartment buyers, the shift is also changing the questions worth asking.

Rather than assuming a sustainable building will naturally include abundant green space, buyers are increasingly being encouraged to look beyond environmental ratings and ask what nature is actually being delivered. How much tree canopy will the development create? Has biodiversity been considered? Are landscaped spaces designed for people as well as appearance?

As Australia's cities continue to grow upwards and outwards, the next generation of sustainability may not simply be measured by lower emissions, but by how successfully developments bring nature back into everyday urban life.

What does it really mean for a building to be 'green'?

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>

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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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Sydney’s residential vacancy rate eased by 0.2% to 1.6% in December, the first increase in three months, according to the latest data from the Real Estate Institute of NSW, which has labeled the increase merely “seasonal”. 
Sydney’s inner suburbs (zero to 10 kilometres from the CBD) and the middle suburbs (10 to 25 kilometres from the CBD) recorded a 0.3% increase in their vacancy rates to 1.5% and 2% respectively in the results released earlier this year. 
In the outer suburbs (more than 25 kilometres from the CBD), vacancies improved by just 0.1% to an extremely tight 1.4%. 
Outside of Sydney vacancy rates deteriorated in other major metropolitan centres, with Newcastle recording a significant decline in available properties for the second consecutive month. 
In December the rental vacancy rate for Newcastle fell by 0.5% to 1.1%, further compounding the 0.3% recorded in November. 
The overall rental vacancy rate across the Hunter region fell by 0.3% to 1.1%. 
In Wollongong the vacancy rate fell by 0.1% to 2.2% while across the entire Illawarra region, the percentage of available properties declined 0.2% to 1.6%. 
Vacancy rates on the central coast rose slightly, up 0.1% to 1.6%. 
REINSW Christian Payne warns the rental situation will only become tighter in 2012. 
“The new year traditionally signals an increase in demand for rental properties across the board. 
“The already low levels of available rental properties are likely to be squeezed even further as people return to work and schools and universities resume for the academic year. 
“Unfortunately for those seeking rental accommodation, the situation will only become more difficult in the first quarter of 2012”, he says.
 
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lschlesinger-FZcF9M3vE6

Sydney vacancy rate eases in December, but REINSW predicts tightening in 2012

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We can’t all be Mark Zuckerberg of Facebook with his 800 million members. But you have to admire the guy. He is just about to become the 28th wealthiest person in the world and he is only 28 years old. But we can and should be inspired by him. He realised only a decade ago that new technology and the internet was the way to go in the 21st century, and he has built his dream from there.
He used the internet to do something that we can all do now on the web. We can communicate directly either by email or through our websites and blogs to a targeted audience that is interested in what we have to say.
It is still all about old-fashioned “networking”. And it is still about communicating with other human beings and getting our own message out to them. But nowadays it is also very much about using the world wide web as well, and it costs absolutely nothing. The trick is to use social media, which refers to “the process of gaining website traffic or attention through social media sites”.
What has not changed in so few years is that social and business networking still works very much on the ground and person-to-person, and this means building your own brand by word of mouth and personal recommendations. But it now has to include your own branding on the web. It won’t be very long before you just say a search phrase out loud like “find me a real estate agent in Sydney” and the wall of your living room will light up with the answer from your favourite avatar.
According to a comment on Wikipedia this is how the network effect works:
“Network effects become significant after a certain subscription percentage has been achieved, called critical mass. At the critical mass point, the value obtained from the service provided is greater than or equal to the price paid for the service.”
The mind boggles after reading this quote, so what does all this mean for you as a real estate agent?
Read my tips below and decide for yourself . . .
<ol>
<li>It’s a new year, so get your critical m’ass moving! Don’t sit around waiting for things to happen to you. Make them happen instead. </li>
<li>Build your own personal brand. At the end of the day it’s your own hard work and effort and you deserve the <a href="https://en.wikipedia.org/wiki/Kudos">kudos</a>. </li>
<li>Start by building your own network, and don’t just rely on your agency’s database (you don’t control it and they are usually out of date anyway). </li>
<li>Don’t listen to your boss’s insistence that you stay glued to your desk all day long on the phone. The “bums on seats” theory for real estate agents does not work. You need to get out there in your own market area and work it constantly. Talk to people, buy them a coffee, rub shoulders with them, tell them what you do and how you can help them. The real estate business is a “hard contact” game. If you don’t make an effort to meet and engage with people, they won’t know who you are! </li>
<li>Work smart. Get rid of the BS in your work-life and use every minute of the day to achieve your own dreams. No one else can do it for you. </li>
<li>Create your own blog or website and get yourself up on the web! There are simple and totally free ways to start branding yourself and get promoted online almost overnight. If you are interested (and you should be!) contact me by email and I will send you a couple of tips that will probably change your life for the thank you-much-much-better. </li>
<li>Befriend a buyers’ agent! These guys will introduce you to a qualified buyer for your listing and save you a lot of time and effort, so work with them. You can read an article I wrote recently about this by clicking on the following link: <a href="https://www.propertyobserver.com.au/residential/selling-agents-and-buyers-agents-work-together-but-have-opposing-goals/2011112052436" target="_blank">‘Selling agents and buyers' agents work together but have opposing goals’</a> </li>
<li>Be good to people every single day, and help them in whatever way you can. Make an effort to show that you are not just interested in yourself. If you take a genuine interest in other people they will always help you down the track. </li>
<li>Don’t lose your confidence or give up halfway through your efforts to build your own network (or achieve your own dreams) – it can take months or years. People who don’t want to be in it are not important; it is the ones who are in it that will give you the business. </li>
<li> NEVER give up! If you are finding it hard to get listings or a sale doesn’t go as well as you hoped, keep on trying. Your efforts will be rewarded sooner or later, so hang in there.</li>
</ol>
Tim Mansfield is founder and principal of Sydney-based buyers' agency <a href="https://www.primepropertybuyer.com/" target="_blank">Prime Property Buyer</a>.
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tmansfield-Rk8rBecHRA

Ten new year tips for real estate agents

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<img src="/images/stories/crashquote.jpg">
Finance sage <a target="_blank" href="https://www.smh.com.au/business/property-crash-just-a-myth-20120201-1qtcz#ixzz1lIFoQ23v">Ian Verrender gives his property price forecast</a> in the Sydney Morning Herald.
And speaking of punting the house ... social commentator Melissa Hoyer jestingly noted she'd done so last weekend on Black Caviar's race. <img src="/images/stories/backdoormat.jpg"> 
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jchancellor-FAypfDUnLy

Don't bet on a crash: Quote of the week

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Low inflation figures have given the Reserve Bank scope to cut interest rates when it meets on Tuesday but it might adopt a wait-and-see approach, says HSBC economist Paul Bloxham. 
Bloxham says it’s a close call because while HSBC expects to rate cuts in the first half of the year, “the issue is timing”. 
“Global financial conditions have stabilised recently, which may give the RBA more time to see the impact of earlier cuts. Also, many of the structural upside risks to medium-term inflation persist, such as weak productivity growth, so the RBA may want more evidence of easing unit labour costs before moving again. 
“So, while we think the RBA will need to cut further, cuts this month are not a done deal. What is clearer to us though is that the 100 basis points priced in by markets over the next year seems overdone, given the structural inflation issues Australia still faces,” he writes in his latest RBA Observer report. 
Putting forward the case for a February rate cut, Bloxham says inflation numbers for the fourth quarter were “low enough to give the RBA an open door to cut rates”. 
“The trimmed mean was in the middle of the band quarter-on-quarter and year-on-year, and at the bottom of the band in the second half of 2011,” writes Bloxham. 
“Base effects are likely to bring year-on-year inflation down further in the first quarter of 2012,” he adds. 
Bloxham also notes the slowdown in the economy, which has taken further pressure of inflation. 
“Employment is contracting, falling in December, and the unemployment rate is 5.2%, up from 4.9% in early 2011. Job advertisements have edged downward; a further reading for January is published on Monday, and anecdotal reports suggest it will weaken. 
“Growth is expected to ease in the first half of 2012 as Australia’s trading partners slow down and the looser labour market weakens household spending. 
“At the same time, financial conditions are tighter than they were late last year. The cost of bank funding has risen, due to the European financial crisis, putting downward pressure on bank net interest margins and upward pressure on effective interest rates. 
“The exchange rate has also been at very high levels in recent weeks, further dampening activity in parts of the economy. The fiscal setting is also tight. The government’s political imperative to achieve a budget surplus by 2012-13 is seeing public demand subtracting from the economy. 
“This leaves the RBA to respond to the easing labour market. These arguments are why we think the RBA will cut rates on Tuesday.”
 
 
 
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February rate cut likely but not certain: HSBC

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Claims by self-promotional US real estate analyst Jordan Wirsz that Australian house prices could fall by up to 60% over the next five years have been torn to shreds by Australian property market analysts.
Wirsz is bearish about global property but <a target="_blank" href="https://www.propertyobserver.com.au/residential/incredible-prediction-of-australian-property-bloodbath-excites-twitter/2012012053102">particurlarly bearish about Australian real estate</a> because of “artificially low interest rates, high loan-to-value lending practices, overinflated property prices, unrealistic vendor expectations and Australia's large number of second mortgages”.
"There have been corrections but they don’t hold up to the scale of what is coming,” he says.
Fairfax columnist and property market analyst Mark Armstrong says if what Wirsz is predicting is true in a few years’ time  a $1 million house in Sydney, currently let for about $700 per week, will be worth just $400,000.
“While this happens the Reserve Bank of Australia that currently has the cash rate set at 4.25%, a full 4% above the US, will sit back and watch.
“Further, the government with a public debt of about 20% of GDP compared to the US's almost 95% will watch as the single largest asset of most Australians goes down the gurgler. I think not,” says Armstrong.
Armstrong also points to the current conservative lending practices and robust supervision demanded by the IMF and Australian banks low exposure to non-conforming high-risk loans and the fact that the vast majority of loans are full recourse (as opposed to many in the US, where borrowers can just drop their keys in the letter box) as further evidence that such dramatic falls are entirely unlikely.
“Very broad-based comments like these fail to recognise the complex nature and differences between property markets, demographics and economic factors from country to country.
Hotspotting.com.au director Terry Ryder describes Wirsz alongside another US property bear Harry Dent as one of a number of US punters “seeking profile at the expense of Australian home owners”.
“Jordan who?, I hear you ask,” writes Ryder.
“Dent forecast a 50% drop. Wirsz (allegedly a self-made millionaire) went further, predicting a 60% decline. But he went further still – land values would fall 80% to 90%, Ryder says.
“Just pause a moment and contemplate what he is suggesting. A fall of 90% means a decline to almost no value at all. If a block of city suburban land is worth $200,000, a decline of 90% means it would be worth just $20,000. Given that planning charges per allotment are generally much higher than $20,000, this is just silly stuff.
“That didn’t prevent headlines in Australia such as ‘Bloodbath to hit real estate’,” says Ryder.
He has also been caught up in a stoush with well-known TV commentator and author Margaret Lomas on Sky Business.
Property Observer has not yet seen the debate, but believes it was heated.
Lomas tells Property Observer she kept challenging Wirsz on the facts and where he sources his information from and his only response was, “on the internet…”.
Writing following the debate, Wirsz writes “Well, that was fun debating on live national television with a clueless investor promoting her own agenda (funny cause that's what she accused me of!) time will tell who is right... :)”
“Pity he didn’t research me,” says Lomas. “He would have found out that far from being a ‘clueless investor’ as he puts it, I have been in this business longer than he has been alive, own 38 of my own properties, run a national company and have a long list of qualifications and credentials, many economics-based.”
Wirsz claims to have achieved over $500 million in sales and advised Fortune 500 CEOs about real estate investments.
He describes his life so far on his Facebook page as “a storybook tale of rags to riches, overcoming the ever-so-common challenging childhood, and working hard to attain his massive successes”.
Other descriptions appear plucked straight from Charles Dickens.
He describes himself <a target="_blank" href="https://www.prweb.com/releases/Jordan_Wirsz/Dallas/prweb3988434.htm">on PRWeb</a> (a press release distribution website) as “having come from a broken home and spending much of his childhood alone, even calling 4-1-1- up to 25 times a day just to hear another human's voice, has decided to take his challenges and turn them into a passion for feeding the world his secrets to his extraordinary success.”
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US doomsayer Jordan Wirsz's predicted 60% drop in Aussie house prices 'silly': Analysts

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The best property bets for Sydney property in 2012 would be most areas in the western suburbs, according to valuer Herron Todd White.
“This segment of the market should see steady capital growth and strong rental returns throughout the year,” the group has forecast.
“Best bets for 2012 would be most areas in the west at the lower to middle end of the market.
“We are seeing signs that small investors are continuing to return to the market in good numbers, looking to take advantage of strong rental returns in areas such as Mount Druitt.”
The valuer suggests new property investors had been “possibly spooked by the stock market fluctuations of late 2011”.
HTW says it is difficult to predict how things will progress as 2011 threw up plenty of challenges with the continuing resources boom counterbalancing poor economic global performance and some lack of business confidence.
“The challenge is trying to see through the macro and micro indicators and come up with a balanced view on how residential will perform this year.
“It seems that good local knowledge of each market’s different sectors is vital.
“The big picture view and blanket statements can prove all too general in a market like this current one.”
It noted The Hills acreage/prestige market appeared as though it would remain quite stagnant with negative growth a possibility through 2012, “so probably one to avoid”.
A major problem pinpointed for the Sydney market was how prospective purchasers react to the changes to the stamp duty exemption.
“This may price out first home buyers who fuel the market in the south west suburbs.”
It noted the upper range of the market had already stalled with very few high end properties selling in the last six months.
“The unemployment rate will also cause some effect,” the report notes.
Local agents in Western Sydney believe immigration is another possible reason for increase in property values, with areas surrounding Auburn and Parramatta remaining popular.
“With cheaper prices and a central location, foreign purchasers have kept the market strong and is predicted to continually grow in 2012,” HTW notes.
In Liverpool and Fairfield areas, the upper range had slowed, however, the properties under the median prices were selling quite well and are also expected to continue in 2012.
The Bankstown and Liverpool areas are envisaged to have “good buys” in 2012, with unit prices approximately $200,000 to $250,000, providing a good rental return of approximately $300-$340  to per week, which would represent a solid net yield.
The report notes the big influences looming for 2012 on eastern suburb property markets were largely dependent on the current economic climate in the US and Europe.
“As a result high end markets such as the eastern suburbs will be worst affected if the predicted white collar recession eventuates,” HTW notes.
“The coming year will still present opportunities in the lower to mid range Eastern Suburbs, as well as mid range dwellings in the Botany Bay, Leichhardt and Marrickville LGAs.”
The expectations in north-west Sydney were generally “pretty positive: with the residential market expected to remain fairly steady”.
The report noted the area was still growing at a fairly rapid rate with major land subdivisions and new estates in the Hills/Blacktown area (The Ponds, Rouse Hill, Ropes Crossing, Bunya Estate at Doonside) and Penrith (Jordan Springs, Waterside development at Cranebrook, Glenmore Park and Claremont Meadows).
In the southern suburbs the report noted the proposed Sharks residential/commercial development at Woolooware as one watch along with work on the light rail extension through the inner west, as another significant property price shaping event.
 
 
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Western suburbs best bets for Sydney investors in 2012: HTW

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The <a href="https://www.propertyobserver.com.au/residential/capital-city-house-price-slide-slows-in-december-quarter-with-melbourne-worst-performer-abs/2012020153211">ABS house price data for December 2011</a> has just been released, and it shows that house prices fell 4.8% in nominal terms between December 2010 and December 2011. The <a target="_blank" href="https://smh.domain.com.au/real-estate-news/house-prices-may-have-bottomed-out-20120131-1qqs0">usual suspects</a> are already trying to see this as marking the bottom, while “<a target="_blank" href="https://www.smh.com.au/business/property/record-slump-in-house-prices-in-2011-20120201-1qsid">just the facts, ma’am</a>” reporting simply emphasises the scale of the downturn. A couple of media outlets have asked my views on the next calendar year, so here they are – along with some historical perspective on the house price bubble.
Figure 1 deflates the ABS series by the CPI and sets the real price index at 100 in mid-1986, when the ABS Data began. The peak was 261 (which means that real house prices were 2.6 times as high in 2010 as they were in 1986), the December 2011 value was 237, a fall of 9.3%. That’s in the ballpark of the figure I anticipated at the beginning of 2011 for the fall from the peak; over the calendar year of 2011, real house prices fell 7.7% (from 256 to 237), which is still in the range of 10% (see Figure 1; the vertical blue lines on this chart mark the beginning of four or five incarnations of the first-home owner’s scheme [its introduction was under Hawke in 1983; its last spin was the doubling and trebling of it by Rudd in 2008-10]).
<img src="/images/stories/keenfeb31.gif">
I expect this rate of decline to keep up for 2012, so I’d expect prices to be of up to 10% lower than they are now by the end of 2012, in inflation-adjusted terms.
The force driving prices down is the same one that drove them up. Houses are overwhelmingly bought with borrowed money, so keeping house prices where they are requires a constant supply of new mortgages at the same level (relative to GDP per household) as now; rising house prices require new mortgages to be growing compared with income; and house prices fall if mortgages grow more slowly than income. That we’re now in a period of mortgage debt falling relative to income is finally obvious; only the first-home vendor’s boost delayed this happening.
<img src="/images/stories/keenfeb32.gif">
The key indicator of the direction in which house prices are likely to move is the Mortgage Accelerator, which is the change in the change in mortgage debt (scaled by GDP). The logic is that since the rate of change of mortgages determines the demand for houses – and hence the price level – the acceleration of mortgages determines the change in the demand for housing – and hence the change in the price level.
Mortgage debt is now decelerating almost as much as it was before the introduction of the first-home vendor’s boost – the rate of acceleration is now about minus 1.5% of GDP, versus -2% before the Rudd government meddled with house prices in its attempt to sidestep the GFC. The annual rate of decline of house prices is also of much the same rate as it was before that intervention: they are now falling at a rate of about 8% per annum in real terms. So a fall of that magnitude – somewhere between 6% and 10% over 2012 – is quite likely.
<img src="/images/stories/keenfeb33.gif">
The government might well attempt to intervene again as it has in the past, but I don’t think it will, and I doubt that intervention would work anyway.
The 2008 squeeze of the first-home vendor’s sauce bottle was very successful, which makes another squeeze much less likely to work: potential buyers from 2011 and beyond were already dragged forward into 2009-10 by the last squeeze, and house prices rose so much – by more than 18% in real terms from the early 2009 trough to the peak early 2010 peak – that another scheme would be hard pressed to entice new buyers in.
The NSW state government did its bit for the bubble by abolishing stamp duty for first-home buyers in 2011, but that’s so expensive for the bottom line of state budgets that I don’t think they’d contemplate a repeat.
So overall, the likely outcome is a fall of 6% 10% in real terms over calendar year 2012.
Steve Keen is Associate Professor of Economics and Finance at the University of Western Sydney and author of   <a href="https://debunkingeconomics.com/" target="_blank">Debunking Economics</a>  and the blog <a style="text-decoration: none; color: #287bce; background-color: transparent; margin-top: 3px; margin-right: 0px; margin-bottom: 3px; margin-left: 0px; background-image: initial; background-attachment: initial; background-origin: initial; background-clip: initial; line-height: 14px; padding: 0px;" href="https://www.debtdeflation.com/blogs/" class="=article" target="_blank">Debtwatch</a>.
 
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stevekeen-hGRrVP8sYD

House prices will be 10% lower by the end of the year: Steve Keen

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McGrath boss John McGrath suggests choosing the best agent to sell your property is the second most important decision in real estate, after choosing the right property to buy.
“From my experience many people are too casual in their approach to this crucial decision," he says.
“They ring a couple of agents and choose the one who gives them the highest valuation or has the lowest commission."
He says prospective vendors should create a series of questions to ask agents:
<ul>
<li>What do you think my property is worth? How have you come up with that figure?</li>
<li> How does my house present? What can I do to maximise the sale price?</li>
<li>What’s the best method for selling my property? Auction or private treaty? Why?</li>
<li>What’s an approximate time frame?</li>
<li>What’s it going to cost me?</li>
<li>Why should I hire you?</li>
<li>How long have you been working in this area?</li>
<li>What comparable homes have you sold in this area lately?</li>
<li>What’s the state of the market?</li>
<li>How long is it taking you to sell well priced listings at the moment?</li>
<li>What marketing strategy do you suggest? Why?</li>
<li>How much will be spent on marketing? Why?</li>
<li>How much traffic does your website get?</li>
<li>What will you do to introduce buyers to my property?</li>
<li>Do you have a list of recent vendors I can speak to?</li>
</ul>
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The 15 questions to ask when hiring a real estate agent to sell your property: John McGrath

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Amanda Sun bought three houses worth a total of $3 million on the Gold Coast after visiting just once as a tourist.
Sun is Chinese, 33 years old and owns a small trading firm, according to a recent news story. She is typical of the Chinese buyers who have rescued many Australian developers, agents and vendors from deeper price cuts and longer selling times in recent years.
Less than 12 months ago, the Chinese government got a shock when the results of a comprehensive survey of high-net-worth Chinese like Sun were released. The two organizations behind the survey are very respectable, Bain &amp; Co and China Merchants’ Bank, so the results can’t be written off as a fluke.
The survey revealed what many Australian agents had already been feeling: rich Chinese, for various reasons, want to get out of China, and they believe buying property in Australia and other countries enables their escape.
Not just a few rich Chinese want out.
A full 57% of rich Chinese have contemplated emigration. About 20% have actually completed immigration procedures in countries like Australia or expect to do so soon.
These percentages account for huge numbers of individuals, because China has the fourth-largest number of high-net-worth individuals in the world. Each year the cohort grows by nearly 10%.
Many of those rich Chinese emigrants are coming to Australia. China sent more immigrants to Australia in 2010 than any other country, including the UK and New Zealand.
Even as they sink roots in Australia, rich Chinese like Sun are also keeping a presence in China. For example, published research shows that about 80% plan to keep their Chinese passports.
It is common for the wife and child to live abroad, while the husband spends most of his time in China. Chinese émigrés might still run businesses in China.
They are usually moving abroad for their children. They believe that Western schools and universities are better than their Chinese counterparts, and that living overseas gives their children an advantage.
Foreign residency could also be useful in case China goes through policy shifts, like massive new wealth taxes, or social unrest. China is a rapidly changing country. Riots, strikes and protests recently doubled over the last five years to 180,000.
Emigration and educating children are just two of the reasons wealthy Chinese are buying property in Australia. The third is for investment.
As Sun puts it, Australia’s “legal system is better”. She plans to migrate to Australia to live in one of her new homes. She will find renters for the other two.
Australian property is an attractive investment in its own right, with <a href="https://www.propertyobserver.com.au/residential/house-prices-will-be-55-higher-in-a-decade-christopher-joye/2011082551288">credible economists predicting</a> prices will be 55% higher in 10 years.
It also represents a diversification of risk. Instead of only investing in property in China, they put some of their money overseas so that they don’t lose everything if the Chinese property market goes down.
Buyers like Sun have made a real impact on the Australian property market. As one agent told the Sydney Morning Herald about Chinese buyers, “They're the only ones that have got the big dollars at the moment”.
The Financial Times has reported that Chinese buyers account for 20% of all purchases in Sydney. This may be an overestimate, but it reflects the trend. They tend to seek out property that has water views or is close to the ocean or major universities and CBDs.
Many developers depend on Chinese buyers for their off-the-plan unit sales. Chinese parents often buy Australian apartments for their children to live in while studying.
At the Stamford Residences, a 30-level tower at The Rocks in Sydney, one buyer recently bought a $2 million apartment to serve as this sort of student housing. In total, mainland Chinese buyers snapped up about six of the building’s 122 apartments.
In Melbourne, developer Morry Schwartz of PanUrban says, "Chinese buyers, both local and from Asia, account for about 60% of enquiries and purchases at Pan Urban's developments. That's up substantially from a few years ago.”
Meriton general manager Peter Spira told the Australian Financial Review that Chinese buyers enabled the company to keep up production rates in Melbourne and Sydney through the global financial crisis.
"We build between 1,300 to 1,500 new apartments each year in NSW and south-east Queensland," Spira says.
Schwartz reckons, "You are not doing a good job at selling real estate in Australia today if you're not marketing to the Chinese buyer”.
Chinese buyers also make their mark on the higher end of the market. Just this month, a luxury penthouse at Lumiere Residences in the Sydney CBD was reported sold for $8.1 million to an Asian, possibly Chinese, investor.
But, while new developments and luxury properties grab the headlines, the overwhelming interest I see is from Chinese buyers enquiring about affordable second-hand property in good locations.
Andrew Taylor is  the founder and CEO of sales and marketing of<a href="https://www.juwai.com/" target="_blank"> Juwai.com</a>, the number-one Chinese real estate portal for property in Australia and around the world. 
 
 
 
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How to understand Chinese property buyers

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Housing construction is set to remain under pressure for the first few months of 2012, but might start picking up again in late 2012, according to the latest Business Outlook report from Deloitte Access Economics.
The consulting group is forecasting private dwelling investment to increase by a modest 3.5% in 2012 (compared with 1.4% drop in 2011) but then accelerate to 12.7% in 2013 before returning to moderate growth of 3.3% in 2013.
“The pace of housing construction is going nowhere in a hurry. Indeed, that trend has been evident in leading indicators such as approvals and loans for a while now,” the report says.
According to Deloitte Access Economics, growth in housing construction is being curtailed by the mortgage rate increases of late 2010, current housing price trends (high but falling) and “lingering difficulties for developers seeking finance for high-rise apartment blocks”.
“That’s why the latest data (September quarter dwelling unit commencements) show new housing starts falling further, and why there’s no surprise in the increasing anecdotal reports of home builders laying off staff. 
“And given that today’s housing starts are the result of decisions made some months ago – when concerns were at their greatest, and there was still a good chance of further interest rate hikes – there’s no immediate upturn in sight,” the report says. 
However, there are signs of a revival driven by a rise in lending commitments for housing, now at a four-year high, as well as successive rate cuts, which have “whetted appetites”. 
Furthermore, the report says that while the gap between demand for housing and its supply “does not imply a surge in construction tomorrow, it does add important upward pressure”.
Examining the wider economic environment, the sub-title of the report “Eurogeddon” makes it clear what will be the tipping point for 2012.
“Europe is the key to global growth: its mismanaged crisis means the euro could falter and banks could go bust, sending shockwaves around the world,” the report says.
“Yet it‘s marginally more likely the eurozone muddles through, with sticky tape holding the euro together and ECB funding to banks keeping the market wolf from the sovereign debt door,” it says.
Deloitte Access Economics is forecasting the eurozone to fall into recession in 2012 with negative growth of 0.4% followed by marginal growth of 1.8%, 2.3% and 1.9% over the next three years.
In contrast, Australia’s economic outlook is far healthier, with the economy forecast to expand by 3.6% in 2012, 3.5% in 2013 and 3.4% in 2014.
The report identifies two possible paths for the Australian economy over the next few years depending on what happens globally:
“If the world muddles through, then Australia will grow faster than you think it will: surging resource construction will underwrite a lot of growth, as will a further rebound in coal output from the early 2011 floods. That will combine with better news in retail and home building (thanks to Reserve Bank rate cuts) to keep growth relatively rapid in 2012, though it may lose some steam in 2013 as the rebound in coal output runs its course. Moreover, that acceleration in growth would occur despite well-publicised negatives: the hit to consumer and business confidence from the horror headlines in Europe, the winding back of federal government stimulus, and continuing pain for many firms from the Australian dollars stellar strength. 
“However, if Europe blows, Australia’s outlook tanks” and “Eurogeddon” becomes a possibility. 
“Resource sector construction would still surge, leaving us among the fastest growing economies in the world. Yet that would be little consolation: growth would still slow and unemployment rise as confidence saps spending by firms and families here at home, the weak world economy cuts commodity prices (and so national income), and money becomes ‘too tight to mention’, as European bank failures would mean a credit crunch even if the RBA cut hard and fast,” says Deloitte Access Economics.
 
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