<p>For most new apartment buildings, the Owners Corporation starts life with little more than a bank account and the first quarterly strata levies.</p>

<p>At <a href="https://www.apartments.com.au/buildings/9-gay-street-castle-hill-9-gay-street-castle-hill-nsw-2154">9 Gay Street</a> in <a href="https://www.apartments.com.au/developments/castle-hill-nsw-2154">Castle Hill</a>, it starts with around $7 million in reserve.</p>

<p>It's an unusual legacy of what was once one of Sydney's highest-profile apartment remediation projects. When the development, originally known as Skyview and built by disgraced developer Top Place, came under scrutiny by then NSW Building Commissioner David Chandler, an $11 million remediation bond was negotiated to ensure any building defects could be fully rectified.</p>

<p>The building underwent an 18-month remediation program, during which around $4 million of that bond was spent bringing the building up to the standard it should have been in from the outset.</p>

<p>After extensive inspections, all active rectification orders have been lifted. What's more, around $7.2 million remains secured for the Owners Corporation for the next 15 years.</p>

<p>In a twist few would have predicted, what began as a significant concern for purchasers has left the building with something almost unheard of in the apartment market: a multi-million-dollar financial reserve from day one.</p>

<p>[smartcode_project:default project_id=147685 project_image_fid=359136]</p>

<p><a href="https://www.apartments.com.au/project-marketer/equitifund-group">Equitifund</a> Executive Chairman Greg Huxley said the structure offers buyers a level of certainty that is difficult to replicate.</p>

<p>"The $11 million bond established for the Skyview Castle Hill development represents exceptional value, providing genuine financial security for purchasers," Huxley said.</p>

<p>"Unlike a standard insurance policy, this bond consists of real funds held in trust for the Owners Corporation, offering a tangible layer of protection and added peace of mind."</p>

<p>The apartments themselves have been designed with a focus on practical, contemporary living. Interiors feature Smeg appliances, stone benchtops, tiled living areas, carpeted bedrooms, 2.7-metre ceilings, floor-to-ceiling glazing, and ducted heating and cooling throughout.</p>

<p>Residents also have access to a range of shared amenities, including two rooftop barbecue areas, a swimming pool, children's playgrounds, secure building access, storage cages, and visitor parking.</p>

<p>The location continues to be one of the project's strongest drawcards. Castle Hill Metro Station sits virtually on the doorstep, providing direct connections across Sydney's expanding Metro network, while Castle Towers offers extensive retail, dining, entertainment, and service amenities within walking distance.</p>

<p>[smartcode_project:default project_id=147685 project_image_fid=359127]</p>

<p>The building, now named after its location at 9 Gay Street, comprises a diverse mix of one-, two-, and three-bedroom apartments starting from just under $600,000.</p>

<p>Equitifund National Sales Director Ben Hamblett said demand in the Hills District continues to be driven by buyers seeking convenience and connectivity.</p>

<p>"Interest from both owner-occupiers and investors in Castle Hill remains exceptionally strong, with buyers consistently prioritising developments in close proximity to the Metro station and Castle Towers Shopping Centre," Hamblett said.</p>

<p>"There is a clear trend in the market, with purchasers seeking convenient access to transport and lifestyle amenities that support a seamless, low-maintenance way of living."</p>

<p>On top of the long-term protection afforded by the remaining $7.2 million bond, Equitifund is offering a limited-time stamp duty rebate on selected apartments.</p>

<p>Eligible purchasers can also secure finance options, including a 3.99 per cent two-year variable rate, loan-to-value ratios of up to 90 per cent, and interest-only lending options through EquitiCredit.</p>

<p>[smartcode_project_cta:default project_id=147685]</p>


Joel Robinson

Why this Castle Hill apartment building starts with a $7 million advantage

<p>For much of the past few years, conversations about Australia's property market have centred on the rapid growth seen in Sydney, Brisbane, Gold Coast, and Perth. <a href="https://www.apartments.com.au/developments/melbourne-vic-3004">Melbourne</a> has followed a different trajectory.</p>

<p>That relative underperformance is now encouraging some buyers to reassess the city, particularly those willing to look beyond short-term market movements and focus on quality property in established locations, along with the long-term growth prospects of a city expected to overtake Sydney as Australia’s most populous.</p>

<p>John Bekiaris, Research &amp; Market Insights at <a href="https://www.apartments.com.au/project-marketer/equitifund-group">Projects by Equitifund</a>, said Melbourne's current position is attracting increasingly sophisticated purchasers.</p>

<p>"Melbourne continues to present one of Australia's strongest long-term investment stories," Bekiaris says.</p>

<p>"While other capital cities have experienced stronger recent growth, that relative underperformance is exactly what's attracting sophisticated counter-cyclical investors."</p>

<p>[smartcode_project:default project_id=1979 project_image_fid=363268]</p>

<p>Equitifund isn't just commenting on Melbourne's property market, it's investing in it.</p>

<p>The Sydney-headquartered capital partner has taken over the remaining apartments at <a href="https://www.apartments.com.au/buildings/victoriana-melbourne-20-queens-road-melbourne-vic-3004">Victoriana</a>, the recently completed glass-encased development opposite Albert Park Lake in Melbourne's tightly held St Kilda Road precinct.</p>

<p>Designed by <a href="https://www.apartments.com.au/architects/rothelowman">Rothelowman</a> and built by <a href="https://www.apartments.com.au/builders/hickory">Hickory</a>, Victoriana places residents between one of Melbourne's most recognised parklands and the CBD, offering oversized two and three-bedroom apartments aimed at owner-occupiers seeking a genuine alternative to a traditional family home.</p>

<p>The development comprises 232 completed residences alongside a suite of resident amenities, including a 25-metre indoor swimming pool, gymnasium, landscaped entertaining areas, resident lounges, EV charging, secure basement parking and a concierge-style arrival experience.</p>

<p>[smartcode_project:default project_id=1979 project_image_fid=363229]</p>

<p>The apartments have been designed with owner-occupiers firmly in mind.&nbsp;Open-plan living and dining areas flow onto generous balconies framing views across Albert Park Lake, Fawkner Park, the Royal Botanic Gardens and the Melbourne skyline.</p>

<p>Kitchens feature Gaggenau appliances, stone benchtops and generous preparation space. Bedrooms include built-in robes, while bathrooms feature full-height textured tiling. Hardwood flooring and ducted air conditioning complete residences designed for long-term living.</p>

<p>Rothelowman's architecture takes its cues from the landscape opposite the site. Sweeping horizontal glazing references the movement of Albert Park Lake, while generous balconies and expansive glazing strengthen the connection between the apartments and the surrounding parklands. The result is a building designed to deliver the scale and amenity expected of luxury apartment living, while offering the larger floorplans increasingly sought by owner-occupiers.</p>

<p>[smartcode_project:default project_id=1979 project_image_fid=363284]</p>

<p>The location is one of Victoriana's defining characteristics. Positioned on Queens Road, residents are directly opposite Albert Park Lake and within easy reach of Fawkner Park, the Royal Botanic Gardens, South Melbourne, St Kilda Road and the CBD. With few comparable development opportunities remaining in the precinct, buyers are increasingly placing value on outlooks that are unlikely to be interrupted by future construction.</p>

<p>Greg Huxley, Founder of Equitifund, believes those qualities become even more valuable over time.</p>

<p>"Premium real estate has always rewarded buyers who take a long-term view," Huxley said.</p>

<p>"Victoriana represents the kind of asset that's increasingly difficult to recreate today, particularly in an established location like Queens Road."</p>

<p>He said rising construction costs are also changing the way buyers assess completed developments.</p>

<p>"When you combine an irreplaceable location with thoughtful architecture and premium finishes, you create something that becomes increasingly difficult to reproduce as construction costs continue to rise."</p>

<p>[smartcode_project:default project_id=1979 project_image_fid=363228]</p>

<p>According to National Sales Director Ben Hamblett, enquiry has been driven largely by Melbourne downsizers and buyers upgrading from smaller apartments.</p>

<p>"Interest in Victoriana continues to build, with strong buyer focus on the larger owner-occupier residences within the development," Hamblett says.</p>

<p>"Enquiry is increasingly driven by local buyers who recognise the rarity of what's on offer: park-facing apartments in an established neighbourhood where new development opportunities are becoming increasingly scarce. At Victoriana, the view is not just a feature; it's an appreciating asset in its own right."</p>

<p>He said interstate enquiry has also strengthened as buyers reassess Melbourne's position within the national property cycle.</p>

<p>"Melbourne currently stands as the most compelling entry point of any major Australian capital, and discerning buyers are beginning to recognise what those who move early always understand: the best opportunities are taken before the price rise confirms them."</p>

<p>[smartcode_project_cta:default project_id=1979]</p>


Why now is the time to buy in Melbourne's premium apartment market

<p>Developers and apartment buyers have a narrowing window of opportunity before Brisbane's Olympic infrastructure pipeline begins competing directly with residential construction, pushing up costs, tightening labour supply and making new projects increasingly difficult to deliver.</p>

<p>While Brisbane's apartment market continues to benefit from strong population growth and limited housing supply, industry research suggests the years leading up to 2027 could prove to be the most important period for developers looking to secure builders and buyers hoping to purchase before the next wave of price increases.</p>

<p>A new Colliers report, <em>Brisbane 2032 Olympic and Paralympic Games: Creating Solutions</em>, highlights the scale of the challenge. While thousands of new homes are planned across South East Queensland, the Brisbane Olympic Athletes Village alone will deliver more than 10,500 beds during the Games before being converted into around 1,750 to 2,000 apartments. Equivalent to almost two years of typical inner-city apartment supply, the project will also absorb a significant share of the construction workforce and building materials.</p>

<p>The broader construction pipeline paints an even clearer picture.</p>

<p>Construction Skills Queensland's <em>Horizon 2032</em> report forecasts Queensland's annual construction pipeline will average $69 billion over the coming years before peaking at $75 billion in 2027-28. Demand for construction workers is expected to increase by 17 per cent to almost 150,000 people, with the industry facing an annual shortfall of around 19,000 workers that could blow out to as many as 35,000 during the peak construction period.</p>

<p>The Olympic venues, athletes village and supporting infrastructure will account for billions of dollars worth of work across South East Queensland through to 2032, creating intense competition for labour at a time when Australia's residential construction sector is already under pressure.</p>

<p>[smartcode_project:default project_id=150489 project_image_fid=373834]</p>

<p>Colliers Queensland Residential Director Andrew Scriven said the convergence of these projects is creating a clear window of opportunity for both developers and buyers.</p>

<p>"From 2027 onwards, the market will shift dramatically," Scriven said.</p>

<p>"Labour will increasingly be locked into government-led infrastructure and Olympic projects, which means private residential developments will face higher costs and tighter margins. The developers who move now are the ones most likely to get projects off the ground."</p>

<p>Scriven said the same dynamic would also affect buyers, with fewer apartment projects expected to launch once construction capacity tightens.</p>

<p>"If you're looking to change your lifestyle over the next five years, now is your window of opportunity to buy."</p>

<p>[smartcode_project:default project_id=150713 project_image_fid=373827]</p>

<p>Developers are already positioning themselves ahead of that window.</p>

<p>Following the success of Monarch at Toowong, Consolidated Properties is preparing to launch two new Brisbane apartment projects in the second half of 2026. They include <a href="https://www.apartments.com.au/new-apartments/gloriette-30-bedivere-street-yeerongpilly-qld-4105">Gloriette</a> at Yeerongpilly Green, a 25-storey tower within one of Brisbane's key Olympic precincts, and <a href="https://www.apartments.com.au/new-apartments/castile-47-skyring-terrace-newstead-qld-4006">Castile</a>, a recently approved 25-storey riverfront development at 47 Skyring Terrace in Newstead.</p>

<p>Hutchinson Builders will deliver both projects, with early works already underway at Yeerongpilly and Newstead expected to commence later this year.</p>

<p>The timing comes as Brisbane's fundamentals continue to strengthen, with strong interstate migration, population growth and vacancy rates remaining below 1.5 per cent.</p>

<p>Colliers Queensland researcher Pragya Sharma said Greater Brisbane is forecast to require around 40,000 new apartments between 2021 and 2031.</p>

<p>"There's a real mismatch emerging between when housing is needed and when it will be feasible to build," Sharma said.</p>

<p>"As a result, the period leading up to 2027 presents a key window of opportunity for developers to secure approvals, funding and construction capacity, while buyers will have greater choice before supply constraints intensify."</p>


Colliers research outlines a critical pre-2027 window to start residential projects before labour squeeze: now is the time to buy

Developers, buyers on watch in South East Queensland ahead of construction crunch: Colliers

<p>It's taken less than nine months for developer Sherpa Property Group to sell out all 51 apartments in its <a href="https://www.apartments.com.au/new-apartments/flourish-oasis-palm-beach-7-9-sixth-avenue-palm-beach-qld-4221">Flourish Oasis</a> development in <a href="https://www.apartments.com.au/developments/palm-beach-qld-4221">Palm Beach</a>, over a year before its anticipated completion.</p>

<p>&nbsp;</p>

<p>Located at 7-9 Sixth Avenue, the $67 million development has resonated strongly with both local owner-occupiers and downsizers seeking high-quality apartments within walking distance of the beach, dining precincts and everyday amenities.</p>

<p>[smartcode_project:default project_id=151449 project_image_fid=357458]</p>

<p>Christie Leet, Founder of <a href="https://www.apartments.com.au/developers/sherpa-property-group">Sherpa Group</a>, said the sell-out reflected both the strength of the Palm Beach market and the success of Sherpa's community-first approach to development.</p>

<p>"The sell-out of Oasis is a fantastic outcome and reinforces the strong demand we're seeing for thoughtfully designed apartments in lifestyle locations," Leet said.</p>

<p>"From the outset, our vision was to create a development that genuinely enhanced the Palm Beach community while providing residents with exceptional homes and wellness-focused amenities.</p>

<p>"We've been incredibly encouraged by the level of local support throughout the campaign, 72.5 per cent of buyers are locals, with a significant proportion of purchasers choosing Oasis as their future home rather than an investment."</p>

<p>[smartcode_project:default project_id=151449 project_image_fid=357463]</p>

<p>Construction is now progressing following development approval, with trusted builder LPS Group delivering the project and completion anticipated in Q3 2027.</p>

<p>Oasis forms part of Sherpa Group's successful Flourish collection, which has become recognised for its focus on wellness, community and elevated coastal living.</p>

<p>[smartcode_project:default project_id=151449 project_image_fid=357469]</p>

<p>Residents will have private access to a rooftop amenity space featuring a pool, gym, sauna, steam room, hot and cold plunge pools, spa and barbecue facilities.</p>

<p>"The success of Oasis demonstrates that buyers continue to prioritise quality, location and lifestyle," Leet said.</p>

<p>"We are proud to have delivered a project that has resonated so strongly with the market and look forward to bringing Oasis to life for our future residents."</p>

<p>Sherpa recently launched <a href="https://www.apartments.com.au/new-apartments/flourish-soleira-palm-beach-1150-1160-gold-coast-highway-palm-beach-qld-4221">Flourish Soleira</a>, its third instalment of the Flourish brand in Palm Beach following Flourish Oasis and <a href="https://www.apartments.com.au/new-apartments/amargo-6-12-sixth-avenue-palm-beach-qld-4221">Flourish Amargo</a>.</p>

<p>[smartcode_project_cta:default project_id=151449]</p>


Sherpa sells out Flourish Oasis in booming Palm Beach

<p>Urban Property Group's <a href="https://www.apartments.com.au/new-apartments/la-vera-macquarie-park-94-talavera-road-macquarie-park-nsw-2113">La Vera</a> is leading the next phase of Macquarie Park's residential evolution, with the new apartment development set to become the first of several new apartment projects in the precinct to complete.</p>

<p>The 169-apartment building has now topped out ahead of its scheduled completion in the third quarter of 2026, as new residential investment continues to reshape one of Sydney's largest employment hubs into a true mixed-use precinct.</p>

<p>[smartcode_project:default project_id=134951 project_image_fid=368645]</p>

<p>Cox Architecture has designed La Vera to capture the best of its unique positioning on Talavera Road, orienting the building towards Lane Cove National Park.&nbsp;The building features a sculpted northern façade with flowing curves inspired by the surrounding landscape, while its city-facing elevation adopts a more structured architectural expression to maximise skyline views.</p>

<p>"The vision for the project was to conceive a building that adopted an organic and curvilinear form to the northern portion that faces the Lane Cove National Park," <a href="https://www.apartments.com.au/architects/cox-architecture">Cox Architecture</a> Director Felipe Miranda said.</p>

<p>"The residents that reside in the northern portion of the building benefit by having beautifully crafted curved balconies that speak to the natural context and heighten the relationship of their internal living spaces to the external balconies."</p>

<p>[smartcode_project:default project_id=134951 project_image_fid=358802]</p>

<p>La Vera offers a diverse mix of one, two, three, and four-bedroom configurations, with prices currently starting from $740,000. Buyers so far have been a mix of Sydney-based investors,&nbsp;metro commuters, owner-occupiers and downsizers from surrounding North Shore suburbs.</p>

<p>Both investors and owner-occupiers have been drawn to La Vera's proximity to Macquarie University, Macquarie University Hospital, Macquarie Centre and the Sydney Metro, infrastructure that supports both strong rental demand and a convenient lifestyle for residents.</p>

<p>The apartments feature full-height glazing, timber flooring throughout living areas, stone kitchen benchtops, SMEG appliances, floor-to-ceiling bathroom tiling and ducted air conditioning.</p>

<p>Residents will have access to a rooftop recreation level featuring a swimming pool, sauna, barbecue facilities and landscaped relaxation areas, complemented by additional communal space at ground level. Many apartments enjoy uninterrupted views across Lane Cove National Park, reinforcing the project's connection to its natural setting.</p>

<p>[smartcode_project:default project_id=134951 project_image_fid=364551]</p>

<p><a href="https://www.apartments.com.au/developers/urban-property-group">Urban Property Group</a>, a family-owned developer and builder with nearly four decades of experience, holds a 4.5-star iCIRT rating and was Australia's first developer to introduce 10-Year Latent Defects Insurance (LDI). La Vera is the first apartment development in <a href="https://www.apartments.com.au/developments/macquarie-park-nsw-2113">Macquarie Park</a> approved to offer the additional insurance protection, alongside a five-year warranty on SMEG appliances.</p>

<p>Urban Property Group CEO Patrick Elias said the additional protection reflects changing buyer expectations in the off the plan market.</p>

<p>"Consumers are a lot more weary and a lot more concerned in buying off the plan than they ever have been. Having LDI is a tool to portray the confidence that we have in our product, and a confidence we want buyers to share," Elias said.</p>

<p>Following completion of the building later this year, buyers will move into their apartments well before Christmas.</p>

<p>[smartcode_project_cta:default project_id=134951]</p>


La Vera closes in on completion as Macquarie Park continues residential transformation

<p>Sydney’s property market is known for high prices, competitive bidding, and mounting pressure on first home buyers. But change is on the horizon.</p>

<p>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;</p>

<h2>What is the Help to Buy Scheme?</h2>

<p>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.</p>

<p>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).</p>

<p>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.</p>

<p>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.</p>

<p>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.</p>

<p>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.</p>

<h2>How do you qualify for the&nbsp;Help to Buy Scheme?</h2>

<p>To qualify for the Help to Buy Scheme, applicants must meet the following conditions:</p>

<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>

<p>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.</p>

<p>The scheme is expected to commence in NSW in late 2025, as part of a national rollout.</p>


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

<p>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.</p>

<p>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.</p>

<p>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.</p>

<p>Below, we provide a breakdown of the First Home Owner Grants available across Australia, outlining the specific details for each state and territory.</p>

<h2>New South Wales First Home Owner Grant</h2>

<p><strong data-end="252" data-start="225">First Home Owner Grant:</strong> 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.</p>

<p><strong data-end="413" data-start="389">Stamp Duty Benefits:</strong> Provides full stamp duty exemption for homes valued up to $800,000, with concessions available for properties up to $1 million.</p>

<h2>Victoria South Wales First Home Owner Grant</h2>

<p><strong>First Home Owner Grant:</strong> Provides a $10,000 grant for first-home buyers purchasing or building new homes valued up to $750,000.</p>

<p><strong>Stamp Duty Benefits</strong>: Offers full stamp duty exemption for properties up to $600,000, with concessions available up to $750,000.</p>

<h2>Queensland First Home Owner Grant</h2>

<p><strong data-end="920" data-start="893">First Home Owner Grant:</strong> 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.</p>

<p><strong data-end="1162" data-start="1135">Stamp Duty Concessions:</strong> Provides additional concessions for properties valued up to $800,000.</p>

<h2>Western Australia First Home Owner Grant</h2>

<p>&nbsp;</p>

<p><strong>First Home Owner Grant:</strong> 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.</p>

<p><strong>Stamp Duty Concessions:</strong> Available for homes valued up to $600,000 for transactions entered into on or after 9 May 2024.</p>

<h2>Australian Capital Territory First Home Owner Grant</h2>

<p><strong data-end="1617" data-start="1590">First Home Owner Grant:</strong> Replaced by the Home Buyer Concession Scheme, offering full stamp duty concessions for eligible buyers.</p>

<h2>South Australia First Home Owner Grant</h2>

<p><strong>First Home Owner Grant:</strong> 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.</p>

<p><strong>Stamp Duty Relief:</strong> Available for new homes and vacant land purchases.</p>

<h2>Tasmania First Home Owner Grant</h2>

<p><strong>First Home Owner Grant</strong>: Offers a $10,000 grant for new homes and off the plan purchases.</p>

<p><strong>Stamp Duty Exemption</strong>: 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.</p>

<h2>Northern Territory First Home Owner Grant</h2>

<p><strong>First Home Owner Grant:</strong> The Northern Territory provides a $10,000 grant for new homes only. Additional government grants and concessions are available for first home buyers.</p>

<p><strong>Stamp Duty Exemption</strong>: The only stamp duty exemption available to property buyers is the House and Land Package Exemption (HLPE).</p>

<p><em>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.</em></p>


Every First Home Owner Grant for new property by state

<p>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.</p>

<p>Australia has multiple building rating systems that evaluate energy efficiency and sustainability in existing and new building designs.</p>

<p>Some systems assess individual building components, while others provide an overall rating for the entire structure.</p>

<p>A rating system ensures that homes are comfortable and energy-efficient, whether you are buying, renovating, or building.</p>

<p>NatHERS (Nationwide House Energy Rating Scheme) is a common way for new homes to meet energy efficiency requirements.</p>

<p>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.</p>

<h2>What is NatHERS?</h2>

<p>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;</p>

<p>NatHERS ratings are the most common way new homes meet the National Construction Code's (NCC's) minimum energy efficiency requirements.&nbsp;</p>

<p>NatHERS assessments provide thermal and whole-home ratings for new homes, townhouses, and apartments.</p>

<p>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.</p>

<h2>How NatHERS Ratings Work</h2>

<p>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.</p>

<p>The tools can model complex effects of building mass, insulation, window size, and other elements.</p>

<p>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.</p>

<p>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;</p>

<p>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.</p>

<p>Anyone can use NatHERS tools, but accredited assessors can provide certified ratings and professional advice.</p>

<h2>Benefits of Higher NatHERS Ratings</h2>

<p><strong>Energy Efficiency:</strong> 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.</p>

<p><strong>Cost Savings:</strong> 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.</p>

<p><strong>Environmental Impact:</strong> 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.</p>

<p><strong>Improved Comfort: </strong>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.</p>

<p><strong>Market Value and Desirability:</strong> 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.</p>

<p><strong>Compliance with Building Codes:</strong> 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.</p>


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?

<p>Mixed-use developments have gained significant popularity across Australia in recent years due to their unique blend of residential, commercial, and recreational spaces.</p>

<p>Unlike traditional single-purpose developments, mixed-use projects offer a harmonious integration of various functions within a single locale.</p>

<p>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.</p>

<h3>Convenience and accessibility</h3>

<p>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.</p>

<p>[smartcode_project:default project_id=114215 project_image_fid=204874]</p>

<p>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.</p>

<h3>Vibrant lifestyle and community</h3>

<p>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.</p>

<p>[smartcode_project:default project_id=107714 project_image_fid=214122]</p>

<p>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.</p>

<h3>Potential for higher rental yields and property value appreciation</h3>

<p>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.</p>

<p>[smartcode_project:default project_id=139989 project_image_fid=212887]</p>

<p>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.</p>

<h3>Enhanced security and maintenance</h3>

<p>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.</p>

<p>[smartcode_project:default project_id=108019 project_image_fid=212658]</p>

<p>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.</p>

<h3>Live-work-play balance</h3>

<p>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.</p>

<p>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.</p>


alisonwarters@gmail.com

The top five reasons to buy in a mixed-use development

<p style="line-height: 1.38;">When buying a property, everyone needs to be aware of the additional costs that come as part of the buying process.</p>

<p style="line-height: 1.38;">Often the largest outlay, after the deposit which goes to the bank, is stamp duty.</p>

<h2 style="line-height: 1.38;">What is Stamp Duty?</h2>

<p>Stamp duty is an extra tax to pay the government when you buy land, a property, and other certain assets.</p>

<p>It happens when the legal ownership is transferred. It can also be known as property transfer duty or transfer duty.</p>

<p style="line-height: 1.38;"><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></p>

<h2>Who pays Stamp Duty?</h2>

<p>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.</p>

<h2>How much does Stamp Duty cost?</h2>

<p>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.</p>

<p>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!</p>

<p>Overall, the stamp duty you need to pay will depend on:</p>

<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>

<p style="line-height:1.38">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.</p>


Ellen Walker

Off-the-plan property explained: What is stamp duty?

<p>For the first time in a long time, Australia's inflation story is starting to look more like a landing than a fight.</p>

<p>The latest Consumer Price Index figures from the Australian Bureau of Statistics showed annual inflation eased to four per cent in May, down from 4.2 per cent in April. On the surface, that might not seem like a major move. Inflation remains above the Reserve Bank's target range and some categories continue to record stubborn price growth.</p>

<p>But the significance of this result lies less in where inflation sits today and more in what it means for where interest rates are likely heading next.</p>

<p>The biggest takeaway is that inflation continues to move in the right direction.</p>

<p>Markets had been bracing for another sticky result after a period where progress appeared to stall. Instead, headline inflation came in softer than expected, helped by falling fuel prices and easing transport costs. Annual transport inflation halved from 6.6 per cent in April to 3.3 per cent in May, while automotive fuel prices fell 11.9 per cent during the month following lower oil prices and the impact of reduced fuel excise measures.</p>

<p>While petrol prices don't solve Australia's affordability challenges, they are one of the most visible and immediate costs for consumers. Falling fuel costs feed through the economy quickly, helping ease pressure on household budgets and business operating expenses.</p>

<p>The ABS data also showed headline inflation is now sitting at its lowest annual level in several months, reinforcing the broader trend that price growth is gradually moderating.</p>

<p>That trend is important because it aligns with what many economists and lenders have been saying for the last month.</p>

<p>Prior to this week's inflation data, ANZ, NAB and Commonwealth Bank had all shifted their forecasts, now believing the Reserve Bank had likely reached the peak of the interest rate cycle. Following the May inflation release, ANZ reaffirmed that view.</p>

<p>In its latest economic update, ANZ said it expects quarterly trimmed mean inflation to come in at 3.7 per cent for the June quarter, slightly below the Reserve Bank's forecast of 3.8 per cent. Importantly, the bank said that outcome, when combined with slowing economic activity, "supports our view that the cash rate has peaked".</p>

<p>The Reserve Bank has spent the better part of three years attempting to bring inflation under control through higher interest rates. If Australia's major banks are correct and rates have now peaked, the conversation shifts from how much higher rates could go to when they might begin coming down.</p>

<p>Westpac's caution comes from underlying inflation. The trimmed mean, the measure most closely watched by the Reserve Bank, increased from 3.4 per cent to 3.6 per cent annually. Housing inflation remains elevated at 6.5 per cent, reflecting ongoing increases in rents, electricity costs and new dwelling construction.</p>

<p>Electricity prices remain particularly problematic, rising 21.1 per cent over the past year following the removal of government rebates.</p>

<p>Housing construction costs are also showing signs of renewed pressure. ANZ noted new dwelling costs rose 0.9 per cent in May and are now running at an annualised pace of 8.6 per cent over the past three months. Builders continue to face higher labour, fuel and material costs, a reminder that inflationary pressures have not completely disappeared.</p>

<p>Housing affordability has deteriorated largely because of higher interest rates rather than higher property prices alone. Even modest reductions in mortgage rates would improve borrowing capacity, increase buyer confidence and reduce repayment pressure on existing homeowners.</p>

<p>While August is far from a certainty, the latest inflation result has strengthened the view that the next move in rates is more likely to be down than up. For borrowers, buyers and the development sector, that alone represents a significant shift from the conversation that dominated much of the past two years.</p>


The inflation result the property market was waiting for

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<p>While Australia celebrates 25 years of economic growth, or an expansion in GDP, one economist says the story is different for the average household as an increase in population takes a toll on living standards.</p>
<p>Commonwealth Bank senior economist Gareth Aird says in a report produced by the bank’s economics team that the focus on the headline GDP number is misleading, and a better measure would be the per capita growth.</p>
<p>Aird said while the focus on immigration has boosted consumption because “more people means more spending”, and hence GDP growth, population growth creates problems like overcrowding, traffic congestion and high housing costs.</p>
<p>The latest gross domestic product (GDP) figures for the June quarter, released in September, showed the economy growing at an annual pace of 3.3 percent.</p>
<p>"Despite the fact that the economy's growing at what looks like a healthy clip on the surface, the way that transfers to how households feel at the moment suggests that things aren't too crash," Aird was quoted by ABC.</p>
<p>Aird said the headline GDP figure ignores population growth, which automatically grows the economy but not the standard of living.</p>
<p>“If you've got more people, you've got more spending," he said in an interview for RN Breakfast.</p>
<p>“But what really matters for households is not the overall growth rate of the economy but how their incomes are growing."</p>
<p>He said a better measure for this purpose is real net national disposable income (RNNDI) per capita, which more closely reflects the income going to households and their capacity to buy goods and services.</p>
<p>Unlike GDP, which has been boosted by the rising volume of mining exports even though prices for those exports have slumped, RNNDI has been hit hard, and has been going backwards for most of the past five years when looked at per person.</p>
<p>He said governments focus more on GDP growth because it “benefits businesses that can take advantage of an ever growing population, or customer base if you like”. </p>
<p>One of the economic arguments that has been used to support current immigration rates has been that it helps offset an ageing population.</p>
<p>However, the CBA report said this is only "kicking the can down the road", with the current working age migrants themselves ageing and leaving the workforce 20, 30 or 40 years from now.</p>
<p>Although Aird did point out the benefits to the Australian economy from immigration.</p>
<p>"If you look at the historical experience of Australia, there has absolutely been benefits to having pretty strong population growth," he said.</p>
<p>"But I think more recently we've seen some of the indicators suggest that those benefits are probably starting to wane and unless there's a commensurate lift in public investment, a look at housing affordability more broadly ... then I think the benefits to running a strong immigration program are questionable."</p>
<p>He said to make migration work, governments should also focus on building infrastructure such as more affordable transport and housing.</p>
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prateek24-ezbwHMbNAk

Population growth fuels GDP rise, but lowers living standards: CBA economist

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<p>A block of 12 one bedroom apartments fronting Barangaroo Reserve in Millers Point has been listed for sale by Property NSW, on behalf of Family and Community Services.</p>
<p>The block is comprised of both heritage and modern apartments, and will be sold as one property.</p>
<p>The property is located on the corner of Merriman and Bettington Streets, with views of the western harbour, Harbour Bridge and the city skyline.</p>
<p>Any purchaser will need to adhere to the NSW Heritage Council-endorsed Conservation Management Plan (CMP). The CMP provides extensive detail on the types of works that are permitted on the property.</p>
<p>The property will be auctioned through Ray White and McGrath Estate Agents on November 30.</p>
<p>Proceeds from the Millers Point sales program will fund 1,500 new social housing dwellings across the State, with more than 600 new fit-for-purpose social housing dwellings funded to date.</p>
<p>A total of 103 Millers Point properties have so far been sold, delivering circa $280m for reinvestment in social housing across NSW.</p>
<p>The new block joins 15 other properties currently listed for sale, including 13 three-bedroom apartments in Windmill Street and duplex properties at 3 and 9 High Street.</p>
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jonathanchancellor-7SQnKwU6yx

Block of 12 apartments listed at Millers Point

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<p><img src="https://counter.theconversation.edu.au/content/67229/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1"></p>
<p>GUEST OBSERVER</p>
<p>The mining industry will still be important to WA’s economy in the future and new growth is unlikely to come from other industries like tourism and agriculture, new research has found.</p>
<p>A growing, and ageing, population is likely to drive continued jobs growth in the health and social services sector, and in education and training. </p>
<p>Our report not only highlights what industries might provide the most employment in the future but also what form that employment will take. We found work will be more precarious and with reduced hours.</p>
<p>In the latest state cabinet reshuffle, WA Premier Colin Barnett indicated that changes in ministry portfolios were aimed at supporting economic diversification outside the resources sector. The spotlight has been on the tourism industry as a potential new growth sector as the mining sector slows, with the premier himself taking on the role of tourism minister. </p>
<p>But the government might need to rethink these policy priorities to support the creation of secure work, in a wider range of industries.</p>
<h2>The future industrial landscape in WA</h2>
<p>Despite a fall in iron ore prices, the mining industry continues to maintain its dominance in the WA economy, contributing about 37% of the gross value added to the economy in 2015. By contrast, the agriculture, retail, and accommodation and food services sectors in WA contributed little or no growth in value in 2014-15. </p>
<p>Although more jobs were created in the hospitality sector in 2014-15, employment in agriculture and retail fell over the same period. Two sectors that have delivered growth in both economic value and employment in 2014-15 are health care and social services, and arts and recreation. </p>
<p><strong>Growth in industry value added to the economy and employment in WA, 2014-15 (%)</strong></p>
<p><a href="/images/2016/10/21/image-20161018-16145-zey8ai.jpg" target="_blank">Click to enlarge</a></p>
<p><img src="/images/2016/10/21/image-20161018-16145-zey8ai.jpg" alt=""></p>
<h4><span class="attribution">Author provided</span></h4>
<p>Employment in health care and social assistance in particular has expanded as a share of the state’s total employment, from 9.5% to 12% between 2010 and 2015. This is not surprising given the growing demands placed on WA’s health care system from an ageing population.</p>
<p>The industrial landscape in WA seems to have changed little despite the slowdown of the resources sector, which begs the question, which of the state’s industry sectors are likely to step up in the future? </p>
<p>There are some signs that investment in energy production, especially LNG, is starting to deliver positive employment returns, but the contribution of high-tech manufacturing to the state’s economic future is less clear, despite the state’s great strengths in science, research and innovation. </p>
<h2>The future of the workforce in WA</h2>
<p>West Australians now face a future characterised by weaker labour market demand, rising precariousness and reduced work hours. Western Australia’s unemployment rate has traditionally remained well below the national rate, but for the first time since 2006, the state’s unemployment rate exceeded the national average.</p>
<p><strong>Unemployment rate in WA versus Australia, 2006 to 2016 (%)</strong></p>
<p><a href="/images/2016/10/21/image-20161018-16176-psw2yr.jpg" target="_blank">Click to enlarge</a></p>
<h4><span class="attribution"><img src="/images/2016/10/21/image-20161018-16176-psw2yr.jpg" alt=""></span></h4>
<h4><span class="attribution">Author provided</span></h4>
<p>Underemployment has risen more rapidly in Western Australia than in other states and territories, from 6% in 2011 to 10% in 2016. The share of WA employees on casual contracts has also been on an upward trajectory in recent years.</p>
<p>This signals career pathways are likely to be less straightforward in the future. It may be that more and more West Australians can expect to hold multiple jobs to make up preferred work hours, and multiple job turnovers and career shifts before retirement. </p>
<p>During the peak of the mining boom, the gap between the rich and the poor grew, with low-income households falling behind other households in WA at a faster rate than the rest of Australia. With the slowdown of the resources sector, there has been a fall in overall income inequality in WA. </p>
<p>However, there remains a persistent gap between the rich and the poor in terms of wealth. The richest 20% of WA households still hold around two-thirds of the state’s aggregate household net wealth. </p>
<p><strong>Share of household net wealth by quaintile: Western Australia, 2013-14</strong></p>
<p><a href="/images/2016/10/21/image-20161018-16156-3zp1uo.jpg" target="_blank">Click to enlarge</a></p>
<h4><span class="attribution"><img src="/images/2016/10/21/image-20161018-16156-3zp1uo.jpg" alt=""></span></h4>
<h4><span class="attribution">Author provided</span></h4>
<p>The poorest 20 percent of households hold a mere 0.8 percent of the state’s total household net wealth by value. The ideal of closing the gap between rich and poor remains out of reach despite the end of prolonged economic bonanza that has mostly benefited the rich.</p>
<h2>Planning for the future</h2>
<p>Much has been made of growing economic diversification and support for non-resource sectors. However, our research questions whether industries (such as agriculture, food and tourism) are of a sufficient scale to continue the state’s economic growth.</p>
<p>In relation to the labour market, Western Australia’s future appears to be one marked by reduced work hours and a greater risk of job insecurity.</p>
<p>Clearly there needs to be a focus on designing policy settings that create secure work for the state’s working age population. This may also require a shift in labour market expectations towards more flexible career pathways in a number of industries.</p>
<p> </p>
<p><em><span class="fn author-name">Alan Duncan is d</span>irector, Bankwest Curtin Economics Centre and Bankwest Research Chair in Economic Policy, Curtin University and can be contacted <a href="https://theconversation.com/profiles/alan-duncan-100759" target="_blank">here</a>.</em></p>
<p><em><span class="fn author-name">Rachel Ong is d</span>eputy director, Bankwest Curtin Economics Centre, Curtin University and can be contacted <a href="https://theconversation.com/profiles/rachel-ong-113482" target="_blank">here</a>.</em></p>
<p><em><span class="fn author-name">Yashar Tarverdi is r</span>esearch fellow, Curtin University and can be contacted <a href="https://theconversation.com/profiles/yashar-tarverdi-309797" target="_blank">here</a>.</em></p>
<p><em>All are authors for The Conversation.</em></p>
<p class="role"> </p>
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jchancellor-FAypfDUnLy

Western Australia’s economic future remains uncertain after the mining boom: study

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<p style="text-align: left;" align="center">GUEST OBSERVER</p>
<p>With house prices surging across Australia in the past year, the demand for properties in the market has become increasingly competitive.</p>
<p>Knowing the best ways to sell a house can make all the difference between a successful sale and struggling to sell for months on end. Many people assume renovations are necessary to increase the sale price of houses, but that isn’t the case. </p>
<p><strong>1. Home presentation is a huge factor when selling a home</strong></p>
<p>It might sound quite obvious, but home presentation has a huge influence when it comes to selling a house. Sometimes good photography or editing is not enough. If buyers inspect the property and find things to fix, they will reduce the price where possible. Always maximise space to create a larger look and feel – less is more in this case. Make sure to remove any rugs, floor or door mats as this will enhance the perception of floor space size in photos. Premium presentation is key and your photographer and real estate agent will love you for it, as there won’t be any extra work to do.</p>
<p><strong>2. Professional looking photography or re-touching is essential</strong></p>
<p>If you don’t have any professional looking photography or haven’t done any retouching, you are already behind. Most homes (small to medium or large) usually only require 8-14 photos. Ensure the main selling feature areas are on display including the front exterior of home, the main or best bathroom, master bedroom, kitchen, lounge or living area, dining room, and outside balcony or view.</p>
<p>It isn’t necessary to show the buyers too much or everything the home has to offer, but even simply just an overview of the property to entice them to visit it. However, agents differ and may market properties differently. Some may prefer a full day shoot and shoot every single bit of the house in case they need to supply images to interstate or overseas clients or investors. Also keep in mind that rooms can look different based on the height of photos, so it is better to take a wide selection of images to choose from. This is especially important in areas such as bedrooms, kitchen, dining room and balcony view areas.</p>
<p><strong>3. Have detailed floor plans</strong></p>
<p>Floor plans continue to be a growing trend in real estate and have been very popular within Melbourne and Sydney for years. 1 in 5 buyers would ignore a property listing completely if it didn’t include a floor plan – showing how important it is to include it in all property marketing. It allows buyers to measure the space, visualise the flow of the rooms, how they fit in relation to other rooms and picture their furniture inside the home. Sellers can draw floor plans themselves. All that is required is grid paper, tape measure and some patience!</p>
<p>Another useful tip is combining photos and floor plans together through an online interactive floor plan. Symbols on the plan indicate the angle the photo was taken from, enabling buyers to easily navigate through a property by clicking on each photo and having a better understanding of the layout. Floor plans are also handy for potential investors and gives your listing a competitive advantage over other sellers who don’t have one.</p>
<p><strong>4. Take aerial photos</strong></p>
<p> Aerial photos are a unique tool to showcase a property in one glance within the context of its neighbourhood and surrounding hot spots, such as local attractions and shopping centres. It gives buyers perspective. A property’s size can be determined in square metres, but cannot be interpreted until the property is seen in its entirety.</p>
<p>The quality of an aerial is directly related to its effectiveness. Be aware of aerials with clouds, flat or dull colours, horizons that aren’t level, too much reflection off ground surfaces and images that aren’t in focus. Hiring professionals to do aerial editing is a great and cost-efficient way to make images more eye-catching and stand out from the rest.</p>
<p><strong>5. Use professional copywriting</strong></p>
<p>A listing is taken to the next level with professional copy. Grammatically correct, well-written text will clearly articulate the benefits and features of the home and attract more buyers. Ideally, the copy should be no longer than a paragraph, with 150 words or so. In some cases, not everything can be shown about a property in photos. If a listing has a unique history or a fascinating architectural element that cannot be displayed well in a photo, professional copywriting will creatively explain the home’s special features to potential buyers and increase buyer interest in the property.</p>
<p style="text-align: left;" align="center"><em>Brad Filliponi is co-founder and director of digital photo editing service, BoxBrownie.com and can be contacted <a href="https://boxbrownie.com" target="_blank">here</a>.</em></p>
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The five tips you need to know to sell your property for more

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<p>GUEST OBSERVER</p>
<p>As national property prices continue to climb in most capital cities – by more than nine percent in Melbourne and Sydney – we encourage buyers and sellers to get serious about the property valuation process as seasonal transactions gather pace.</p>
<p>The Spring season historically attracts a flurry of activity. As prices increase alongside competition, sellers need to be confident in the true value of a property to attract appropriate buyers, while buyers need to ensure emotions are not driving purchasing decisions and risking finances.</p>
<p>Here are the seven dangers of overvaluing property that buyers and sellers must be aware of:</p>
<p><strong>Potential to miss out on initial buyer interest</strong></p>
<p>If a seller’s asking price is too high, in most instances a property will sit on the market, while more appropriately priced properties are sold. As a result, a seller may drop their asking price but in doing so, risks losing the initial round of buyer interest - often strong when a new property is listed.</p>
<p>Remember, the longer a property is on the market, the more difficult it can be to stimulate interest. The cost to advertise a property for an extended period can also compromise gains made from a sale.</p>
<p><strong>Over-confident agents can over-promise on price</strong></p>
<p>Sellers need to be confident in their choice of real estate agent, as agents have been known to overvalue a property to win business. While this is not characteristic of most agents, I encourage sellers to request and check an agent’s sales history, and compare this with median sales prices of properties sold in the area.</p>
<p>Sellers should always consider a valuation from more than one real estate or valuation agent, and I advise buyers to do the same before making an offer, as this will assist in sales negotiations.</p>
<p>Websites such as realestate.com.au also provide sales prices of recently sold properties nationally.</p>
<p><strong>Lender valuation doesn’t always match market price<br><br></strong>Most banks or lenders independently value a property before granting a loan. Buyers need to be mindful that the value set by lenders is often lower than the market value, usually to protect the lender from potential risks should the buyer struggle to meet loan repayments.</p>
<p>If there is a difference on price, this may jeopardise the loan approval process and require the buyer to pay a larger deposit. When applying for finance, I encourage buyers to save a 20 percent deposit rather than 10 per cent to act as a financial buffer.</p>
<p><strong>Emotional purchases can hurt pockets</strong></p>
<p>Certain buyer demographics, such as owner-occupiers, are known to place a higher price on a property when emotions are involved. Buying a property is a major life investment, but too often I see buyers stretching their finances to secure their dream home. With more than two-thirds of owner-occupied mortgages now held by duel income households, and over 700,000 households at risk of mortgage stress, buyers need to be serious about paying within their means.</p>
<p><strong>Investors not immune to defaults</strong> </p>
<p>Housing loans to Australian investors totaled more than $11.8 billion in July, and the 30-plus day delinquency rate for prime residential mortgage backed securities is reportedly rising.</p>
<p>While there is no need to ring alarm bells, less sophisticated investors risk biting off more than they can chew at a time when interest rates are at record lows. As a general rule, I suggest investors have more than 30 percent in equity before releasing this to purchase another property. Any investor, novice or seasoned, should also engage the help of a trusted property mentor and financial advisor before making investment decisions.</p>
<p><strong>Seasonal competition alters prices </strong></p>
<p>Buyers purchasing property in highly sought after locations and in popular periods such as Spring should expect prices to increase above their market value – especially properties sold at auction, where prices can climb by tens or even hundreds ofthousands. Sellers equally need to be mindful that buyer competition, trendy locations and investor hotspots can come and go. Just because a property is sought after at the time of auction or sales campaign does not mean the property will be valued at the same amount in 12 months’ time.<strong> </strong></p>
<p><strong>Renovations don’t always offer immediate gains</strong></p>
<p>It is not uncommon for property investors to purchase older properties and make cosmetic and structural improvements in the hope of making quick capital gains. While owner-occupiers may undertake renovations to maximise a future sale, short term investors risk losing time and money if they over-estimate a property’s post-renovation value. Before buying, I recommend investors obtain quotes from at least three qualified trades companies to compare costs – once a building inspection is completed – and obtain market intelligence on properties sold in the area to ensure sales history aligns with expectations.</p>
<p>Buyers and sellers need to do their homework to ensure they are confident on the market value of a property, as well as the future demand of property in the location being considered. When completing a suburb profile, buyers should always remember to investigate an area’s historical and projected population growth, established and planned infrastructure, percentage of tenants and owner occupiers, vacancy rates, and median income demographics.</p>
<p><em>Tim Godden is national director of investor buying service Seekology and can be contacted <a href="https://seekology.com.au" target="_blank">here</a>.</em></p>
<p> </p>
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The 7 dangers of overvaluing property this spring: Tim Godden

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<p>Residential vacancy rates jumped in Middle Sydney as more stock has come onto the market, according to data released by the Real Estate Institute of New South Wales.</p>
<p>REINSW President John Cunningham said the September 2016 REINSW vacancy rate survey had Middle Sydney see a rise of 0.5 per cent to 2.1 per cent, leading a 0.1 per cent increase in the overall Sydney vacancy rate to 1.9 per cent.</p>
<p>“The Middle Sydney vacancy rate has been affected by more stock coming onto the market,” Mr Cunningham said.</p>
<p><a href="/images/2016/10/17/Vacancy%20rate%201.jpg" target="_blank">Click to enlarge</a></p>
<p><img src="/images/2016/10/17/Vacancy%20rate%201.jpg" alt=""></p>
<p>“Elsewhere across Sydney, the Inner Sydney vacancy rate fell 0.1 per cent to 1.8 per cent and Outer Sydney rose 0.1 per cent to 1.8 per cent,” Mr Cunningham said.</p>
<p>In the Hunter region, vacancy rates dropped 0.5 per cent to 2.2, led by a tightening of the Newcastle market at 1.9 per cent down 1.1 per cent.</p>
<p><a href="/images/2016/10/17/Vacancy%20rate%202.jpg" target="_blank">Click to enlarge</a></p>
<p><img src="/images/2016/10/17/Vacancy%20rate%202.jpg" alt=""></p>
<p>In the Illawarra region, vacancy rates are back at levels seen six months ago at 1.3 per cent down 0.3 per cent. Wollongong was up 0.2 per cent at 1.3 per cent.</p>
<p>Across regional areas, Albury was down 0.2 per cent at 2.9 per cent, Northern Rivers fell 0.3 per cent at 1.0 per cent and New England remained steady at 3.9 per cent.</p>
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j.ballantyne1990-6AQqhLzZaK

Rental vacancy accommodation in middle Sydney increases: REINSW

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<p>Nearly 30 percent of first home buyers had to save for more than five years on order to save a deposit according to Mortgage Choice’s First Home Buyer survey.</p>
<p>Chief executive of Mortgage Choice John Flavell said it came as no surprise to find that 1 in every 3 first home buyers had to save for more than five years before buying their first home when house price growth continues to outpace the growth in incomes.</p>
<p>“Interestingly, while those first home buyers who bought a home within that last two years said it took them more than half a decade to save their property deposit, those who are planning to buy their first home soon believe it will only take them ‘one to two years’ to save their deposit,” he said.</p>
<p>“When it comes to buying property, first home buyers may feel as though two years is a long time to save, but in reality, saving for a property can take quite a while.</p>
<p>"Even if you’re a dedicated saver who diligently puts away a portion of your income into your savings, it’s still very time-consuming to save the amount you need for a deposit.</p>
<p>“And, with house prices consistently rising, the deposit size needed continues to grow.</p>
<p>“Day to day expenses such as groceries, rent, and transport costs, can also impact on a first home buyer’s ability to save.”</p>
<p>Mortgage Choice has five tips to help first home buyers reach their savings goal faster.</p>
<p>1. Have a realistic savings plan</p>
<p>Take control of your finances by drawing up a practical savings plan for the month. Factor in regular expenses such as going out, transport and rent, as well as any bills and debts. Consider what luxuries could be reduced as these will help make a difference to your savings capacity. At the end of the month, have a look at your plan and, if necessary, reassess your spending.    </p>
<p>2.Consider switching lenders</p>
<p>If you have kept your finances with the same lender since your first job, it might be a good idea to have a look around and consider switching to another bank. Today, some lenders are actually offering financial incentives if you switch, which could help you to boost your savings faster.</p>
<p>3.Sell your unused items</p>
<p>You could make some quick money by selling belongings you no longer use or need. Online outlets such as eBay and Gumtree are great places to put your items up for sale and watch the cash come in.</p>
<p>4.Pay off debts</p>
<p>Credit cards and personal loans can easily get out of hand if they are not managed properly. Paying off debts will not only maximise the amount you may be able to borrow when it comes to applying for a mortgage, but it will also help you free up some of your cash flow and allow you to save more money faster.</p>
<p>5.Save 10 percent of your income</p>
<p>Saving a designated amount of your income takes discipline, but it is financially rewarding. It is advisable to set up a savings account where you put in 10 percent of your pay as soon as it comes through. To reduce the temptation to spend it, you may want to open a savings account with a different lender and not get a debit card connected to the account.</p>
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30 percent of first home buyers took more than five years to save a deposit

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<p>A survey of first home buyers has found most would not consider asking parents to go guarantor on their home loan</p>
<p>The annual First Home Buyer survey from Mortgage Choice found Victoria had highest proportion of first home buyers who would not ask parents for help.</p>
<p>Mortgage Choice chief executive officer John Flavell said 59.7 percent of respondents to the survey would not consider asking their parents to go guarantor on their home loan and one reason is because they don’t understand what guarantor loans are and how they work. </p>
<p>“While guarantor loans have been around for a while, they have only enjoyed a surge in popularity in recent times," he said.</p>
<p>"As such, many first home buyers may not even be aware that guarantor loans exist.</p>
<p>“In addition, some first home buyers may feel as though they need to be able to prove they can buy a home on their own and don’t want to burden their parents by asking them to go guarantor on their loan.</p>
<p>“Nearly 65 percent of Victorian-based first home buyers said they would not consider asking their parents to go guarantor on their loan.</p>
<p>"With home prices rising month after month, many first home buyers were finding it increasingly difficult to get their foot onto the property ladder without some form of financial assistance.</p>
<table border="1" cellspacing="0" cellpadding="0"><tbody>
<tr>
<td valign="top" width="198">
<p class="ColorfulList-Accent11"><strong>Would you consider asking your parents to go guarantor on your loan?</strong></p>
</td>
<td width="44">
<p class="ColorfulList-Accent11" align="center"><strong>National</strong></p>
</td>
<td width="44">
<p class="ColorfulList-Accent11" align="center"><strong>NSW</strong></p>
</td>
<td width="44">
<p class="ColorfulList-Accent11" align="center"><strong>VIC</strong></p>
</td>
<td width="44">
<p class="ColorfulList-Accent11" align="center"><strong>QLD</strong></p>
</td>
<td width="44">
<p class="ColorfulList-Accent11" align="center"><strong>SA</strong></p>
</td>
<td width="44">
<p class="ColorfulList-Accent11" align="center"><strong>WA</strong></p>
</td>
</tr>
<tr>
<td valign="top" width="198">
<p>Yes</p>
</td>
<td valign="top" width="44">
<p>35.7%</p>
</td>
<td valign="top" width="44">
<p>43.8%</p>
</td>
<td valign="top" width="44">
<p>32.5%</p>
</td>
<td valign="top" width="44">
<p>37.5%</p>
</td>
<td valign="top" width="44">
<p>31.9%</p>
</td>
<td valign="top" width="44">
<p>33.7%</p>
</td>
</tr>
<tr>
<td valign="top" width="198">
<p>No</p>
</td>
<td valign="top" width="44">
<p>59.7%</p>
</td>
<td valign="top" width="44">
<p>52.7%</p>
</td>
<td valign="top" width="44">
<p>64.9%</p>
</td>
<td valign="top" width="44">
<p>59.2%</p>
</td>
<td valign="top" width="44">
<p>58.5%</p>
</td>
<td valign="top" width="44">
<p>62.9%</p>
</td>
</tr>
<tr>
<td valign="top" width="198">
<p>My parents and I don't know/ understand what guarantor is</p>
</td>
<td valign="top" width="44">
<p>4.6%</p>
</td>
<td valign="top" width="44">
<p>3.5%</p>
</td>
<td valign="top" width="44">
<p>2.6%</p>
</td>
<td valign="top" width="44">
<p>3.3%</p>
</td>
<td valign="top" width="44">
<p>9.6%</p>
</td>
<td valign="top" width="44">
<p>3.4%</p>
</td>
</tr>
</tbody></table>
<p>“Not only are property prices rising across most capital cities, but all of the states have now removed the first home buyer grant for those wishing to purchase an established dwelling.</p>
<p>He said according to Mortgage Choice data more than 80 percent of first home buyers will look to purchase an established dwelling, meaning the vast majority of first timers will not receive any type of government financial incentive.</p>
<p>“With that in mind, there are plenty of reasons why a first home buyer may need financial assistance from their family. And while it is clear the majority of first home buyers are uncomfortable about asking a parent to go guarantor on their loan, there is a lot of benefits associated with this type of loan structure.   </p>
<p>“A guarantor can not only help first home buyers get their foot on the property ladder sooner rather than later, but they can also help them to avoid paying potentially costly Lenders Mortgage Insurance.</p>
<p>He stressed it was important to speak to a mortgage professional.</p>
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First home buyers reluctant to ask parents for help

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<p>While Lismore City caters for all potential buyer types, the vast majority of sales activity appears to be located within the $250,000 to $350,000 price bracket, according to Herron Todd White’s latest monthly market report.</p>
<p>The property advisory firm says that the primary reason for this is that it appeals to not only the first home buyer but also "the savvy investor."</p>
<p>The gross rental yields for a single residential house or unit would barely register 5 percent for properties above $400,000.</p>
<p>However, within the $250,000 to $350,000 range, HTW have started seeing better returns, particularly if current mortgage lending rates stay below 4 percent for the medium to long term.</p>
<p>One example would be a three bedroom home at <a href="https://www.realestate.com.au/property-house-nsw-lismore-123787958" target="_blank">25 Junction Street</a> (above) that is for sale for $315,000.</p>
<p>HTW noted coupled with basement areas, it is not uncommon for property owners to retro fit the space into a self contained granny flat to generate a bit more coin "regardless of whether such improvements are Council approved or not!".</p>
<p>Dwellings and units in this price range are generally original or may have some minor cosmetic improvements, hence making the potential capital gain that could be gleaned from investing in a new kitchen, bathroom or even addition of an en suite if existing space permits) an inviting prospect whilst potentially improving the rental base.</p>
<p>Within this price range, one would expect to purchase a 3-bedroom, 1- to 2-bathroom, single or double garage brick and tile home in Goonellabah with potential rent from $275 to $375 per week depending on location, availability of services and general condition.</p>
<p>At $250,000 to $350,000 the range is simply seen as being affordable and a good starting point for a reasonable quality of accommodation.</p>
<p>From that base, first home owners and investors can value add to the existing structure.</p>
<p>The slowest moving sector, particularly in the past three years, is the typical, unrenovated brick and tile 2-bedroom, 1-bathroom unit with carport, usually within a complex of three or four units.</p>
<p>"This seems rather peculiar given that the price range is approximately $150,000 to $200,000 and is still able to rent for around $200 to $250 per week.</p>
<p>"However, hidden costs such as an ill-managed body corporate and outstanding maintenance issues may give cause for concern."</p>
<p>Herron Todd White noted that first home buyers have higher expectations as their first home.</p>
<p>"Other reasons could be that first home buyers simply have higher expectations and want that 4-bedroom, 2-bathroom home with a double garage as their first home. It does happen. We have completed a number of To Be Erected valuation reports with first home buyers buying land for around $180,000 to $200,000 and then requiring a new build contract at $200,000 plus.</p>
<p>Images of a chained millstone around the neck pop up in one’s mind when witnessing this paradigm shift.</p>
<p>Times have certainly changed since the 1950s and 1960s."</p>
<p>Modern, residential properties in the $400,000 plus price bracket are generally reserved for upgraders and there is reasonable demand.</p>
<p>In the rural townships of Casino and Kyogle, the favoured price range for investment property is lower at $175,000 to $275,000, but interestingly, the rental is higher as a gross yield percentage to the market value of the property.</p>
<p>Similar to Lismore City, original 2-bedroom units within Casino and Kyogle are also hard to move with overall market value being relatively stagnant and even dipping throughout the year.</p>
<p>"But then again, a Casino or Kyogle $110,000 to $120,000 unit is still able to attract rent of around $170 to $200 per week.</p>
<p>"Lastly, the old adage of location, location, location still weighs in heavily in the eventual sale price achieved with convenience of location to shopping, schools and services contributing to demand for housing close to the CBD and local neighbourhood centres," it concluded.</p>
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Lismore market appealing to some first home buyer and investors: HTW

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<h3 class="post-title entry-title"> </h3>
<p>We traded in a car this week for about a twentieth of what it was bought for when new.</p>
<h3 class="post-title entry-title"> </h3>
<p>Not so keen so reproduce this underwhelming result, in its stead I bought a 2012 Ford with 36,000 clicks on the clock, for around half of its 'as new' price. A bit more palatable.  </p>
<h3 class="post-title entry-title"> </h3>
<p>Being no spring chicken any longer, I could obviously afford to buy new, but it's only a runabout and buying second hand simply offers far superior value. </p>
<h3 class="post-title entry-title"> </h3>
<p>Besides, I feel I should practice what I preach: when compounded over a couple of decades, $20,000 could be worth quite a lot in the future. </p>
<h3 class="post-title entry-title"> </h3>
<p>Of course, someone must buy all the new vehicles, else they'd never be sold. But who?</p>
<h3 class="post-title entry-title"> </h3>
<p>Well, some people just like the 'feel' of driving something brand new. And it sometimes makes sense for some company car drivers. </p>
<h3 class="post-title entry-title"> </h3>
<p>Other people just have money burning a hole in their pocket, I guess, and more power to them...</p>
<h3 class="post-title entry-title"> </h3>
<p>Who buys new dwellings?</p>
<h3 class="post-title entry-title"> </h3>
<p>In a similar vein, buying new property tends to incur quite a hefty price premium, and for those buying 'off the plan' there is always that nagging risk that the final product doesn't much resemble what was breezily sketched in the brochure (those busy main roads just never seem to feature, hey!). </p>
<h3 class="post-title entry-title"> </h3>
<p>Some speculators go down this path anyway, hoping to make a fast capital gain before the property is even constructed. I've seen this work very well (e.g. Barangaroo), but have seen it go wrong more often (too may places to mention).  </p>
<h3 class="post-title entry-title"> </h3>
<p>I must confess I've bought new property in Sydney before, and I'm even considering doing so elsewhere again right now, though I wouldn't necessarily recommend it to anyone looking for a bargain.</p>
<h3 class="post-title entry-title"> </h3>
<p>Why?</p>
<h3 class="post-title entry-title"> </h3>
<p>In fact, why would anyone buy new property? It's a bit like buying a new car in many ways. </p>
<h3 class="post-title entry-title"> </h3>
<p>Well, firstly, some people just like the undeniably fresh feel of an unused dwelling. </p>
<h3 class="post-title entry-title"> </h3>
<p>Secondly, downsizing Baby Boomers can comfortably afford to buy new for cash using the proceeds from their home sale - so they may elect to buy new, as indeed they have earned the right to. </p>
<h3 class="post-title entry-title"> </h3>
<p>Thirdly, and unfortunately, some would-be investors attend 'educational' courses which convince them that there are great benefits to buying new, often not realising that the apparent white knights doing the educating are actually salesmen (sometimes egregiously posing as psuedo-financial advisors).  </p>
<h3 class="post-title entry-title"> </h3>
<p>The middlemen/salesmen may secure up to a 6 percent or greater commission from the developer, unbeknownst to the unsuspecting buyer. Goodness knows how this is still allowed to happen, but nevertheless it does. </p>
<h3 class="post-title entry-title"> </h3>
<p>Nascent self-managed super-funds (SMSFs) and inexperienced investors are key target groups for this type of salesman. </p>
<h3 class="post-title entry-title"> </h3>
<p>In truth, there actually are tempting depreciation and other deductions available to investors in new properties, since policy makers know that they must attempt to incentivise investors to buy new dwellings in order to stimulate construction. </p>
<h3 class="post-title entry-title"> </h3>
<p>Strangely these generous benefits are rarely mentioned in the now-traditional annual negative gearing debate.</p>
<h3 class="post-title entry-title"><span style="color: #333333; font-family: Tahoma, Helvetica, Arial, sans-serif; font-size: 12px;"> </span></h3>
<h3 class="post-title entry-title"><span style="color: #333333; font-family: Tahoma, Helvetica, Arial, sans-serif; font-size: 12px;"><a href="/images/2016/10/20/ATO.jpg" target="_blank">Click to enlarge</a></span></h3>
<div id="post-body-4869361016050785926" class="post-body entry-content">
<div>
<div class="separator">
<img src="/images/2016/10/20/ATO.jpg" alt=""> </div>
<div class="separator"> </div>
</div>
<div>That said, if anyone ever throws you this sales pitch in order to flog you a new property, tell them you're considering buying a one-year-old dwelling for the same benefits and gauge their reaction (if they're dead set against the idea, you'll know why: obviously they are angling for a sales commission from the developer). </div>
<div> </div>
<div>Fourthly, a high percentage share of the new dwelling stock in Australia is bought by non-residents, a cohort typically restricted from buying established stock (except in certain circumstances, such as for development purposes). </div>
<div> </div>
<div>The Foreign Investment Review Board (FIRB) typically restricts non-residents to new properties or development projects in order to encourage construction, and by and large this policy works. </div>
<div> </div>
<div>For this reason - especially with lenders less than keen to extend finance to offshore buyers of late - non-settlements on new apartments will be one of the most keenly observed market metrics over the next two years. </div>
<div> </div>
<div>And fifthly, purchasing new just suits some buying demographics. It is frequently said that Chinese buyers like unused property to the extent that some don't even let out their new dwellings, in order to keep them in a pristine condition.</div>
<div> </div>
<div>
<div><strong><span>Incentives for first homebuyers</span></strong></div>
<div> </div>
<div>For first homebuyers, there are typically incentives available to buy or construct new homes.<br><br>These tend to vary over time, and by state and territory. The available incentives as at September 2016 are summarised in the table below. </div>
<div> </div>
<div><a href="/images/2016/10/20/INCENTIVES2.jpg" target="_blank">Click to enlarge</a></div>
<br><div class="separator"><img src="/images/2016/10/20/INCENTIVES2.jpg" alt=""></div>
<br><div>In the same way that I wouldn't buy a new investment property for the depreciation benefits due to the purchase price premium, first homebuyers should be wary of buying new solely to get their hands on cash grants. </div>
<div> </div>
<div>Fortunately, most young people are quite wise to this, and a larger cash grant doesn't necessarily equate to more buyers. </div>
<div> </div>
<div>In August, for example, the housing finance figures recorded only 6 (six!) owner-occupier commitments for the purchase of new dwellings in the Northern Territory, despite a lavish cash grant of $26,000 being available for first-timers!</div>
<div> </div>
<div>That said, well-targeted grants do tend to be effective, as the recently revised first homebuyer statistics showed. </div>
<div> </div>
<div><a href="/images/2016/10/20/FHB.jpg" target="_blank">Click to enlarge</a></div>
<div> </div>
<div class="separator"><img src="/images/2016/10/20/FHB.jpg" alt=""></div>
<div> </div>
<div><strong><span>New dwelling purchases</span></strong></div>
</div>
<div> </div>
<div> </div>
<div>With such a high share of new dwellings being bought by offshore buyers, particularly from mainland China these days, the domestic housing finance figures only show a part of the story. </div>
<div> </div>
<div>Overall, the August housing finance commitments figures showed domestic transaction volumes for new builds holding up well, which is good news for the economy given that there is a record number of completions due over the next two years. </div>
<div> </div>
<div><a href="/images/2016/10/20/A1.jpg" target="_blank">Click to enlarge</a></div>
<br><div class="separator"><img src="/images/2016/10/20/A1.jpg" alt=""></div>
<br><div>At the state level, when the original data is plotted in rolling annual terms, it appears that volumes began to increase steadily in each of the most populous states from around 2012 when the interest rate easing cycle commenced in earnest.</div>
<div> </div>
<div><a href="/images/2016/10/20/A2.jpg" target="_blank">Click to enlarge</a></div>
<br><div class="separator"><img src="/images/2016/10/20/A2.jpg" alt=""></div>
<br><strong><span style="text-decoration: underline;">Stay and renovate</span></strong><br><div> </div>
<div>Finally for today, various forecasters have long predicted a boom in major renovations.</div>
<div> </div>
<div>Generally this makes sense as a concept, for the stamp duty thresholds for the two largest cities were originally designed with much lower purchase prices in mind.</div>
<div> </div>
<div>As such, from the sublime to the ridiculous, stamp duty collection in Sydney has risen to what would previously have been thought of as absurd heights - the state's coffers are literally overflowing!</div>
<div> </div>
<div>Homeowners should therefore be incentivised to stay put and renovate rather than incur the punitive transaction costs of moving. </div>
<div> </div>
<div>In the event there has indeed been a decent boom in major renovations activity in Sydney, but to date this has not been replicated elsewhere, and the anticipated contribution to GDP has not yet materialised.</div>
<div> </div>
<div><a href="/images/2016/10/20/A3.jpg" target="_blank">Click to enlarge</a></div>
<br><div class="separator"><img src="/images/2016/10/20/A3.jpg" alt=""></div>
<br><p><span><em>PETE WARGENT is the co-founder of <a href="https://allenwargent.com/" target="_blank" rel="nofollow">AllenWargent</a> property buyers (London, Sydney) and a best-selling author and <a href="https://petewargent.blogspot.com/" target="_blank" rel="nofollow">blogger</a>.</em><br></span></p>
<p><em>His latest book is <a href="https://www.bigskypublishing.com.au/Books/General-Interest/Four-Green-Houses--and-a-Red-Hotel/1015/productview.aspx" target="_blank" rel="nofollow">Four Green Houses and a Red Hotel</a>.</em></p>
<br><div> </div>
</div>
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