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


Joel Robinson

Boutique Gordon townhomes now come with a BMW iX3 50

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


Vitale breaks Byron Bay records with EADE sales flurry 

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


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

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


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

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


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

<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?

<html><body>
<div>The Sydney weekend auction market produced another strong result at the weekend although APM senior economist Dr Andrew Wilson acknowledges the trend has clearly weakened over recent weeks.  </div>
<div> </div>
<div>"Saturday’s 83.2 percent clearance rate was the lowest non-holiday rate reported since March 7," he noted. The revised result sits even lower, though still in the 80s. </div>
<div> </div>
<div>There was a $1.26 median house price across Sydney auction and an $843,500 median apartment price. Just the five sales below $500,000 in the Sydney metropolitan suburbs. </div>
<div> </div>
<div>
<div>The most expensive property reported sold at auction at the weekend was a 1960s three bedroom home at 4 Sverge Street Mosman sold for $3,050,000 by McGrath Mosman. 
<p><span style="line-height: 1.3em;">Mosman again had the highest sale across Sydney - at $3.05 million at 4 Sverge Street - again through McGrath, albeit at half last weekend's $6 million top reported sale.</span></p>
<p><span>The weekend sale was a 1960s original on 768 square metres.</span></p>
</div>
<div><span style="line-height: 1.3em;">The most affordable property reported sold at the weekend was a two bedroom Canley Vale apartment (below) that fetched $365,000, then outside of Sydney a two bedroom home at 39 Allambee Crescent, Blue Haven that sold for $295,000 by Raine and Horne Charmhaven.</span></div>
<div> </div>
<div>The Canley Vale apartment sold a $163,000 in 2008, reflecting a very healthy 12% annual growth.</div>
</div>
<div> </div>
<div>
<div id="Content_Content_propertyPhotos_MainImage_upnlHeroImage">
<div id="Content_Content_propertyPhotos_MainImage_MainImagePlaceholder" class="img-wrapper"><img class="js-first-image" src="https://b.domainstatic.com.au/w800-h600-w3456-h2304-2011962878_1_pi_150507_124645" alt="11/55 bartley st cabramatta NSW 2166"></div>
</div>
<a id="Content_Content_propertyPhotos_lnkPhoto" href="https://www.domain.com.au/ore/Public/Gallery/Photo.aspx?adid=2012019634&amp;pic=1&amp;mode=Sold&amp;AgencyID=8437" style="line-height: 1.3em;"><span style="color: #333333; line-height: 1.3em;"> </span></a>
</div>
<div><span style="line-height: 1.3em;">Saturdays result was slightly lower than last weekend’s 83.3 percent but well ahead of the 75.1 percent recorded over the same weekend last year. </span></div>
<div><span style="line-height: 1.3em;"> </span></div>
<div><span style="line-height: 1.3em;">"Sydney’s weekend clearance rates however have now fallen over three consecutive Saturdays which may indicate early signs of the usual mid-year hibernation for the market as buyers and sellers re-focus on a spring campaign," Dr Wilson suggested.</span></div>
<div><span style="line-height: 1.3em;"> </span></div>
<div><span style="line-height: 1.3em;">Sydney's overall weekend clearance rate was a smidge down at 83.2%, compared to last weekend's initial 83.3%, which was then revised down to 81.9% after the late notified results.</span></div>
<div> </div>
<div class="separator"><span style="line-height: 1.3em;">Saturday’s weekend result was achieved from high auction numbers for this time of the year with 686 listings – just below last weekend’s 692 but well ahead of the 580 listed over the same weekend last year.</span></div>
<div class="separator"><span style="line-height: 1.3em;"> </span></div>
<div class="separator"><span style="line-height: 1.3em;">Over 650 auctions are expected next weekend.</span></div>
<div> </div>
<div>The Blue Mountains again reported the highest regional clearance rate with 100% from just two reported auctions.</div>
<div> </div>
<div>Next highest was the north west with 96.2 percent with just one of the 26 reported auctions failing to sell under the hammer.</div>
<div> </div>
<div>The inner west followed with 87.5 percent, the northern beaches 86.7 percent, Canterbury Bankstown 86.5 percent, the lower north shore 86.2 percent, the city and east 85.5 percent, the west 83.3 percent, the upper north shore 81.3 percent, the south 80.0 percent, and the south west 69.0 percent.</div>
<div> </div>
<div>The central coast with a 66.7 percent clearance rate.</div>
<div> </div>
<div>
<div>Sydney’s upper north shore hosted the most number of auctions of the suburban regions with 98 scheduled.  Next highest was the inner west with 93 followed by the south 87, the city and east 74, the lower north and the west each with 60, Canterbury Bankstown  43, the northern beaches 42, the north west 33, the central coast 19 and the Blue Mountains with 2 auctions scheduled this weekend.</div>
<div> </div>
<div class="separator"><span style="line-height: 1.3em;">The most popular suburb for auctions in Sydney on the weekend was Wahroonga with 12 followed by Mosman with 11, Baulkham Hills 10, Hurstville and Blacktown each with nine.</span></div>
</div>
</body></html>

jchancellor-FAypfDUnLy

Mosman again the weekend's dearest with Canley Vale $365,000 the cheapest

<html><body>
<p>There are property experts who fancy regional investment over capital city.</p>
<p>But the latest CoreLogic RP Data pain and gain report suggests there can often be a pitfall in regional investment.</p>
<div class="page" title="Page 6">
<div class="section">
<div class="layoutArea">
<div class="column">
<p><span>Throughout the regional markets the proportion of loss-making resales for houses and units was much higher than in the capital cities. </span></p>
<p><span>Across each regional area units recorded a greater proportion of loss-making resales than houses. </span></p>
<p><span>Regional Qld (15.6% vs 29.3%), Regional WA (20.0% vs 32.4%) and Regional NT (12.3% vs 21.9%) had the largest gaps between the proportion of loss-making house and unit sales. </span></p>
</div>
</div>
</div>
</div>
<div class="page" title="Page 6">
<div class="section">
<div class="layoutArea">
<div class="column">
<p><span>Proportion of total resales at a loss/gain, houses vs. units, capital city vs regions: March 2015 quarter.</span></p>
<p><a href="/images/2015/06/22/Screen%20Shot%202015-06-22%20at%202.16.59%20PM.png" target="_blank"><span>Click to enlarge</span></a></p>
<p><span><img src="/images/2015/06/22/Screen%20Shot%202015-06-22%20at%202.16.59%20PM.png" alt=""></span></p>
</div>
</div>
<p>{mijopolls 116}</p>
<p> </p>
</div>
</div>
</body></html>

Where capital cities yield higher capital growth than regions as property investments

<html><body>
<p class="mcntmcntmcntmcntmcntmcntmcntmcntmcntMsoNormal"><span id="mcntmcntmcntmcntmcntmcntmcntext-gen3014">The Melbourne-based Landream launched their $116 million Beecroft Place development on Sydney's upper north shore on the weekend.</span></p>
<p class="mcntmcntmcntmcntmcntmcntmcntmcntmcntMsoNormal"><span id="mcntmcntmcntmcntmcntmcntmcntext-gen3014">The 130 apartments were sold by 2pm, to </span><span style="line-height: 1.3em;">a mix of owner-occupiers and local investors with very strong local support. </span></p>
<p class="mcntmcntmcntmcntmcntmcntmcntmcntmcntMsoNormal"><span style="line-height: 1.3em;">There were no overseas buyers, said </span><span style="line-height: 1.3em;">CBRE director Tim Rees who noted many buyers lived in and around the Beecroft suburb and had bought due to limited supply in the area.</span></p>
<p class="mcntmcntmcntmcntmcntmcntmcntmcntmcntMsoNormal"><span style="line-height: 1.3em;"><span>The Landream apartments were designed by dKO for the c</span></span><span style="line-height: 1.3em;">orner locationof Beecroft Road and Hannah Street. </span></p>
<div class="page" title="Page 2">
<div class="layoutArea">
<div class="column">
<p><span>The principal architect is Koos de Keijzer.  </span></p>
</div>
</div>
</div>
<p class="mcntmcntmcntmcntmcntmcntmcntmcntmcntMsoNormal"><span style="line-height: 1.3em;">Construction is expected to begin in mid</span><span style="line-height: 1.3em;">-</span><span style="line-height: 1.3em;">August 2015 with completion expected mid</span><span style="line-height: 1.3em;">-</span><span style="line-height: 1.3em;">2017. </span></p>
<p class="mcntmcntmcntmcntmcntmcntmcntmcntmcntMsoNormal"><span style="line-height: 1.3em;">The mix was 69 one bedroom from $595,000, 7 one bedrooms with study, 35 two bedroom with 70 sqm internal space from $745,000 and 19 three bedrooms with 90 sqm priced from $1,075,000.</span></p>
</body></html>

Beecroft Place dKO-designed sell-out to locals

<html><body><div class="page" title="Page 1">
<div class="layoutArea">
<div class="column">
<div title="Page 1">
<div>
<div>
<p>DEXUS Property Group (DEXUS) and DEXUS Wholesale Property Fund (DWPF) today announced that they will acquire Waterfront Place and Eagle Street Pier within the prime commercial precinct of the Brisbane CBD for $635 million.</p>
<p>It reflects $9,664 per square metre for the complex and a capitalisation rate of 6.9%. </p>
</div>
</div>
</div>
<p>Stockland agreed to sell its 50% stake in the 40-storey Brisbane Waterfront Place office tower and Eagle Street Pier for $317.5 million to DEXUS.</p>
<p>Stockland will generate $296 million from the sale of the office tower, which is a 3% premium to its December 2014 book value of $287.1 million.</p>
<p>As part of the transaction, Stockland will also sell its 50% stake in the Eagle Street Pier retail and restaurant precinct for an additional $21.5 million.</p>
<p>Stockland and the Future Fund, through its manager Corval, entered into the agreement to sell the entire 100% interest in the tower and pier to DEXUS in what is a challenging leasing market.</p>
<p>The asset is currently 90% leased.</p>
<div title="Page 2">
<div>
<div>
<p>Waterfront Place overlooks the Brisbane River and features 59,500 square metres of premium office space with floor plates averaging 1,800 square metres. The building has a 5 star NABERS energy rating and a 4 star NABERS water rating. </p>
</div>
</div>
</div>
<p>Stockland acquired the office tower in February 2004 and has invested $171 million, including the cost of additions, in its 50% stake.</p>
<p>The other 50% interest in the property was placed into a Stockland- managed retail fund and subsequently sold to the Future Fund in 2011 for $216 million.</p>
<p>CBRE advised it is the largest single office sale to have occurred in Queensland and one of the largest to have occurred in Australia - and certainly the largest since the GFC. </p>
<p>“The acquisition by DEXUS is a significant vote of confidence in the Brisbane office market and the medium term outlook for Queensland,” said Bruce Baker, CBRE senior managing director, Queensland.</p>
<p>“Whilst foreign capital has featured heavily in the Australian market recently, the Waterfront Place transaction shows the big domestic players are still actively pursuing prime opportunities,” Flint Davidson, CBRE Director, institutional investments said.</p>
<p><span> </span></p>
</div>
</div>
</div></body></html>

Brisbane Waterfront Place sold to Dexus

<html><body>
<div class="cq-article-content-paras section">
<p>The <span style="line-height: 1.3em;">Commonwealth Bank of Australia has informed mortgage brokers that new borrowers' existing debts and their incomes are to be assessed more stringently.</span></p>
<p>CBA will apply a servicing loading of 20% to all repayments on existing home loans and lines of credit held by customers.</p>
<p><span style="line-height: 1.3em;">The 20 per cent loading means repayments that were assessed at $1000 a month will now be assessed at $1200 a month.</span></p>
<p>CBA also said it would accept only 80% of income from overtime, bonuses, and investment income when it is assessing home and investment loan applications. </p>
</div>
<div class="cq-article-content-media section"><span style="line-height: 1.3em;">The maximum loan-to-valuation ratio for all owner-occupied home loan applications would be 95%, compared to currently allowing LVRs of up to 97%, including the cost of mortgage insurance.</span></div>
</body></html>

Overtime income won't count as much as CBA tightens home loan lending

<html><body>
<p><span>LF Economics duo Lindsay David and Philip Soos have published 23 recommendations into Australian banking reform in an attempt to curb what they believe is a 'perverse culture of homeowner entitlement' and a 'religious-like culture of property ownership and speculation'.</span></p>
<p>Featured in their submission to the House of Representatives Standing Committee on Economics 2015 Inquiry into Home Ownership, <a href="/news/the-great-australian-household-debt-trap-lf-economics-lobs-first-submission-into-hor-housing-bubble-inquiry">The Great Australian Household Debt Trap: Why Housing Prices Have Increased</a>, the paper backs the use of macro-prudential tools to moderate house price inflation, suggests the implementation of a new RBA risk assessment framework and the RBA raises in the current interest rate.</p>
<p>The 23 recommendations are:</p>
<p>Recommendation #1</p>
<p>Prepare legislation for the implementation of a future Chicago Plan-style reform in the event of a severe banking crisis. This includes a progression to 100% reserve lending and backing for deposits, and public control of the money supply via issuance of government money (equity) when banks want to lend, unless they wish to pay an increased premium for private debt liabilities. Forcing the requirement that banks issue debt instruments to the government, rather than the private sector, is a blueprint forremoving the noxious impact of usurious fees and interest charges, and rapid inflation in themoney supply that causes asset bubbles and financial instability.</p>
<p>Recommendation #2</p>
<p>A range of macro-prudential tools should be implemented to moderate housing price inflation and subdue credit growth in a pro-cyclical financial system, particularly those affecting the loan to value (LVR), debt servicing (DSR) and debt servicing to income (DSTI) ratios.Quantitative restrictions are placed on the share of new mortgages with moderately high LVRs (60 to 79%), and significantly strengthened for mortgages with an LVR of 80 to 89%. Mortgages with an LVR of 90% and above, interest-only loans and those backed by parental guarantee are disallowed. Mortgage debt is capped at a multiple of ten times the imputed or actual annual rental income of the property being purchased to prevent a positive feedback loop forming between rising housing prices and debt.<span>41 </span>The ’30-10-30 Plan’ should be a future policy consideration following a severe downturn in the housing market.</p>
<p>Recommendation #3</p>
<p>To reduce systemic risk, a large rise in capital and liquidity ratios (buffers) is implemented so banks can withstand a future economic downturn, bank run, credit market freeze or large fall in the value of collateral. Research suggests the probability of a banking crisis can be reduced to a 1 in 100 year event by raising core equity (Tier 1) capital ratios to 11 per cent in isolation or raising core equity to 10% with an additional rise in liquid assets of 12.5% (the rise in liquid assets over total assets).For the Big Four banks, this represents a rise of around 3% in core equity. Liquidity and capital buffers (and general debt provisioning) must rise during the expansionary phase of the credit cycle, taming the size and duration of a debt-financed asset price boom.</p>
<p>Recommendation #4</p>
<p>APRA enforces a transparent and prudent risk-weighting methodology for determining capital ratios. APRA rescinds banks’ authority to calculate their own risk-weights with advanced internal methods (APS 113) and enforces all new bank lending under APS 112, applying more conservative criteria and risk weights for residential mortgages. Requisite modifications to APS 112 include higher risk-weights when asset prices significantly diverge from the long-term mean (25-30 year minimum), and re-calculation of potential super-sized LGD, PD and EAD during a large housing correction.</p>
<p>Recommendation #5</p>
<p>Significant capital allocations arising from conservative risk-weights imposed on financial derivatives, with prudential regulations requiring derivatives to be placed on-balance sheet in SPVs.<span style="line-height: 1.3em;"> </span></p>
<p>Recommendation #6 </p>
<p>Development of a new RBA risk assessment framework including a range of macroeconomic, banking, market-priced and qualitative indicators:</p>
<ul>
<li>Macroeconomic metrics include the stock and flow of credit to all sectors of the economy (household, non-banking financial, non-financial business, and government sectors), sectoral leverage, associated DSRs and estimations of credit quality. </li>
<li>Banking sector metrics include capital adequacy as a proportion of total asset value (not RWAs), liquidity ratios, non-performing loan rate, asset quality in high-risk sectors (e.g. residential housing), proportion of high-LVR and interest-only lending, asset concentration on bank balance sheets, and the level of specific provisions for bad debts. </li>
<li>Market-priced metrics include the divergence of asset prices from long-term averages (e.g. P/I and P/R ratios), credit spread between market/deposit and lending rates, proportion of securitised, offshore and short-term wholesale funding, degree of foreign investment, loan to deposit ratios, and the average maturity profile of debt. </li>
<li>Qualitative measures include lending standards and risk appetite, ratio of prime to non- prime/subprime lending, trends in loan control frauds, rapid bank network growth and the intensity of financial sector competition.<span><br></span>
</li>
</ul>
<p>Recommendation #7</p>
<p>Strict limits are placed on the Big Four banks to prevent any further mergers or acquisitions due to the high concentration of Australian financial system assets under management and the already non-competitive operating environment. A maximum threshold is established for the proportion of credit aggregates directed towards any single asset class.</p>
<p>Recommendation #8</p>
<p>APRA enforces less reliance on wholesale borrowing, particularly short-term foreign debt, via existing regulatory powers. The average maturity of wholesale funding is lengthened by adopting suitable benchmarks for short and long-term wholesale borrowing, and imposing restrictions on off-shore bond issuance. A minimum level is also set for ‘stickier’ funding sources like domestic deposits.</p>
<p>Recommendation #9</p>
<p>Covered bonds are phased out, as this dual recourse funding arrangement poses significant over-collateralisation risks. The numerous funding advantages of the Big Four banks over second-tier lenders indicate they are not disadvantaged by this reform. Legislative amendments to the Banking Act 1959 subordinating depositors in the creditor hierarchy are unwound.</p>
<p>Recommendation #10</p>
<p>RMBS funding arrangements are reviewed and a maximum 10% limit set for total RMBS financing in any asset class. The AOFM explicitly rules out any future support for RMBS.</p>
<p>Recommendation #11 </p>
<p>Establishment of a Royal Commission to conduct an exhaustive investigation of the financial system and regulatory bodies. The Terms of Reference are broad and explore accusations of extensive subprime mortgage fraud, predatory lending, and regulatory agency culpability and negligence in addressing systemic risk and unconscionable financier conduct.</p>
<p>Recommendation #12 </p>
<p>External dispute resolution (EDR) organisation regulations are reformed to better assist victims of predatory lending. Arbitrary caps on mortgages are removed, allowing EDRs to write-off the entirety of loans in the worst cases of fraud. The powers of EDRs are significantly expanded to deal with recalcitrant lenders.</p>
<p>Recommendation #13</p>
<p>The Financial Claims Scheme (FCS) is broadened to include significant ex-ante funding from banks to provide depositor and general policy insurance. A financial contribution from banks discourages moral hazard and guarantees they bear a greater loss for subsequent failures.</p>
<p>Recommendation #14</p>
<p>Economists in senior and executive public roles are subject to a suitable incentive structure to ensure appropriate management of the economy and commentary. A range of key performance indicators can be adopted and benchmarked against the performance of the economy. Economists are held accountable for the quality of their work, with a number of penalties being introduced for poor performance: fines, loss of employment and even imprisonment in the worst cases of financial and economic collapse.</p>
<p>Recommendation #15</p>
<p>The development of a more transparent and empirically-validated stress-testing framework. Primary variables that predict future instability include the size of the credit-to-GDP gap (breaching 6%), DSRs greater than 20% (related to more severe recessions), a large proportion of credit aggregates directed towards real estate (42% of all Australian banking assets are housing loans), large deviations of asset prices from the long-term mean, and low equity to deposit ratios (a greater number of creditors have a claim on banking assets). APRA ceases to use ‘soft stress-testing assumptions’ for liquidity as noted in the 2012 IMF Financial Stability Report.</p>
<p>Recommendation #16</p>
<p>The APRA stress-testing framework includes the following secondary variables: large ToT shocks precipitating a significant fall in national income, persistent tepid or negative economic growth, steep rises in unemployment stressing high DSR households, and significant Australian bank exposure to the New Zealand market.A mining sector downturn would increase the likelihood of rising personal and commercial defaults, declining credit quality, and rising bank funding costs as credit ratings agencies lose confidence in credit quality. New Zealand’s housing bubble is also heavily dependent on capital inflows for funding, suggesting a simultaneous property downturn could amplifydifficulties for the Australian parent companies, despite legal ring-fencing.</p>
<p>Recommendation #17</p>
<p>The decision to implement a CLF is reviewed, alongside the conditions of access and possible taxpayer risk. At a minimum, the cost of accessing CLF liquidity should be substantially increased, as there is a spread of well over 100bps between the wholesale funding and cash rates. Banks may otherwise try to access the CLF for cheaper funding, instead of as a last resort measure. The RBA could also threaten to convert debt into equity following a large fall in the value of collateral pledged to access liquidity. Abolishing the CLF is the most prudent measure as it is a thinly-disguised, taxpayer-funded bailout mechanism. If financial institutions require capitalisation at taxpayer expense, they should be nationalised rather than bailed out.</p>
<p>Recommendation #18</p>
<p>Bail-in provisions overseen by the FSB and endorsed by APRA are repealed, despite Australia’s implementation of the new global liquidity framework (Basel III International Framework for Liquidity Risk Measurement, Standards and Monitoring). An independent panel of experts considers a range of alternative policy measures that contribute to financial stability, outside of the costly bailout/bail-in paradigm.</p>
<p>Recommendation #19</p>
<p>A ‘true cost of service provision’ regulation is implemented regarding the pricing of essential bank services. The banking and financial sector is regulated like utilities, rather than viewed as profit centres yielding infinitely rising returns for management and shareholders.</p>
<p>Recommendation #20</p>
<p>A levy is imposed on the financial sector for the government deposit guarantee, and calculated to be the approximate size of the derived market benefit. The Big Four’s heavy concentration and majority control over financial system assets means theyalready reap significant cost savings due to economies of scale.</p>
<p>Recommendation #21</p>
<p>The alleged benefits and costs of high frequency trading are reviewed. Algorithm-based trading has led to heightened volatility in many of the world’s markets and innumerable cases of market manipulation, such as front-running of orders by large institutional players with computerised infrastructure advantages.</p>
<p>Recommendation #22</p>
<p>Lender’s mortgage insurance (LMI) is disallowed. The shifting of risk to mortgage insurers is a form of private moral hazard providing banks with an incentive to lend without considering the capacity to repay. LMI does not afford lenders any real protection in a major crisis as these companies are often severely under-capitalised for the sizeable real estate risks they are insuring.</p>
<p>Recommendation #23</p>
<p>The RBA raises the interest rate. The current speculative housing price booms in Sydney and Melbourne are amplified by the cuts to the cash rate in recent times and thus should be reversed in an attempt to dampen speculation. This may provide an incentive to many highly-leveraged and negatively-geared investors to offload their properties and dissuade new entrants into the market. The knock-on effects of record low interest rates also negate the ability of retirees, dependant on their cash savings, to spend within the domestic economy. By sustaining housing price growth through lower interest rates, the RBA has reduced incomes which will inevitably push more retirees onto the pension as their bank accounts yield increasingly fewer returns.</p>
<p> </p>
</body></html>

Housing affordability must-do 23 banking recommendations: Lindsay David and Philip Soos 

<html><body>
<p><span>Deniliquin had returned to the investor radar, local agent Ashley Hall at Big River Real Estate said.</span></p>
<p><span>"They come from far and wide," he said.</span></p>
<p><span>"Last week we have investors down from the Gold Coast, but more regularly from Sydney, Melbourne, Adeiaide and WA too," he said.</span></p>
<p><span>His Deniliquin agency has the most popular investor listing on realestateview.com.au at the moment.</span></p>
<p><span>"Yields are going up," he explained, adding the town's recent mention in a magazine list helped.</span></p>
<p><span>"But Deniliquin property is coming into its own," he said given the elevated employment for the rice mill, the abattoir and the police station under construction   </span></p>
<p><span> </span><span style="line-height: 1.3em;"> </span></p>
<p><strong>1) 428 Wood Street, DENILIQUIN, NSW, 2710</strong></p>
<p>With six bedrooms spread across two brick properties on a 974 square metre block, this Deniliquin find comes with a motivated vendor and long term tenants.</p>
<p><span>The property is currently returning $200 per week for the four bedroom, two bathroom house and an additional $160 per week for the two bedroom fully renovated unit.</span></p>
<p><span><a href="https://www.realestateview.com.au/Real-Estate/428-wood-street-deniliquin/Property-Details-buy-residential-8709714" target="_blank">Click here to see the property</a></span></p>
<p><strong> </strong></p>
<p><strong>2) 45 Deans Road, AIRDS, NSW, 2560</strong></p>
<div>
<p><span>A three bedroom offering complete with a renovated bathroom, second toilet, solar panels and gas cooking make up this listing which has attracted the second most clicks from investors on realestateview.com.</span></p>
<p><span style="line-height: 1.3em;">It has been marketed as a "bargain in Sydney's Western Suburbs." It is now sold to an investor. Initially it was advertised at offers over $380,000 with the vendor sensing the strong interest upped it to over $420,000.   </span></p>
<p><span style="line-height: 1.3em;">It noted that market rents for the area hover between $350 and $360 per week, making "this the ideal investment," Wayne Browne, the listing agent at Prudential Real Estate suggests. </span></p>
<p><span style="line-height: 1.3em;">Wayne Browne told Property Observer that 70% of his buyer interest came from investors on the offering. The wide net cast through the website listing, allowed the buyer to come from 40kms away at Punchbowl.</span></p>
</div>
<p><a href="https://www.realestateview.com.au/Real-Estate/45-deans-road-airds/Property-Details-buy-residential-8638014" target="_blank">Click here to see the property</a></p>
<p><span style="line-height: 1.3em;"> </span></p>
</body></html>

Deniliquin tops most clicked investor listings on realestateview.com.au

<html><body>
<p>That pesky property bubble is mainly contained to the investors chasing yields and taking advantage of a chronic under-supply which is driving up rents – well it was however, we are now starting to see rents flat lining given supply has significantly increased.</p>
<p>New lending initiatives are quickly changing the investor landscape where I suspect it will be a very long time before we see lenders offering 90 per cent loans as we are now seeing lending ratios sitting more around the 70% mark. <a href="/expert-insights/overseas-buyers-will-support-sydney-house-prices-during-apra-crackdown-nab">Overseas buyers will support Sydney house prices during APRA crackdown: NAB</a>; it is fair to say that the federal government won’t be tweaking the foreign buyer ratios (presently at 100 per cent) anytime soon.</p>
<p>There is a reason for this; Australia’s population is set to hit 40 million people by 2056. In order to meet this demand we will see the greatest infrastructure spending in Australia’s history given it’s been calculated that by 2056 Australia will need a further 1,100,000 apartments. Across Australia that means an additional 27,000 apartments each year for the next 41 years, it is expected Sydney and Melbourne will do the majority of the heavy lifting. This also plainly identifies why the Baird government wants to amalgamate the councils to ensure that these new developments keep getting approved.</p>
<p>The message is quite clear that if you want to reside in close proximity to the CBD you will have to live with an avalanche of high density developments.</p>
<p>This week the residential data from the 34th Property Directions Survey was released which is an industry based group comprising property experts – Valuers, Fund Managers, Property Analysts and Property Financiers.</p>
<ul>
<li>58% of respondents stated that Sydney residential property was in or entering a bubble, while 53%t of the respondents believe that the Melbourne property market is in the same position. Seventy per cent of the survey respondents do not believe that the Brisbane residential market was in a bubble.</li>
<li>The majority of the respondents also believe residential property prices will continue to rise for 6 to 12 months. Fifty – three per cent of respondents believe that Sydney residential property prices will continue to rise for either 6 or 12 months with 26% stating 18 months. Respondents are more certain in their predictions for Melbourne residential property with 76%seeing prices continuing to rise for 6 to 12 months.</li>
<li>In 2016, Sydney residential property is seen as reaching the top of the property cycle and moving past the top in 2017. In 2016 respondents see Melbourne residential property having passed the top of the cycle but remaining close to the top through to 2017. Brisbane residential property is seen to be just nearing the top of the cycle.</li>
<li>All respondents to the Property Directions Survey see low interest rates as either a significant or very significant driver of demand for residential property in Sydney, while 95% also point to foreign investment being significant or very significant.</li>
<li>Respondents list a number of other factors they also believe play a role in increasing demand in Sydney, such as population growth, low supply over the past decade and the trend towards smaller households.</li>
<li>The major drivers are considered to be similar for the Melbourne residential property market however 94% see foreign investment as a significant or very significant driver and 87% sight low interest rates as significant to very significant.</li>
<li>A large majority of respondents see low interest rates as the main driver of demand and prices for Brisbane and Perth residential property; however this view is not as strong as it is for Sydney and Melbourne. The majority of survey respondents do not view foreign investment as a significant or very significant factor in driving demand in Brisbane or Perth, but believe negative gearing plays a bigger role.</li>
<li>Most respondents believe both interest rates and inflation will remain similar for next year, while moving higher in the next three years.</li>
<li>It’s a different story with foreign investment, with a small majority of respondents believing levels will remain similar for the next six months. Respondents are less certain over the next 12 months, but most see foreign investment at similar or higher levels. Respondents are even more uncertain about the outlook for 2018,</li>
<li>Some respondents listed current or emerging factors which they believe may have an impact on the Australian property market. Factors listed include a slowing Chinese economy, any increase in the unemployment rate and potential changes to foreign investment or immigration rules.</li>
</ul>
<p>So the eastern seaboard is where we will see the majority of the new developments with NSW leading the way. This again will be investor led although it would be reasonable to suggest that with such a huge apartment platform the house prices will continue to rise with less single residential housing being built.</p>
<p>With that in mind it’s scary to think where prices will go for houses within a 15 kilometre radius of the Sydney CBD. Through the roof springs to mind.</p>
<p>As for that pesky property bubble – it won’t be doing any damage when the vast majority of suburbs across Sydney are posting record low stock levels. When markets are booming (or bubbling along) you see record stock levels which is the complete opposite to what we are seeing across Sydney at the present.</p>
<h4>MOSMAN – 2088</h4>
<p>• Number of houses on the market this time last year – 85</p>
<p>• Number of houses on the market last week – 55</p>
<p>• Number of houses on the market this week – 46</p>
<p>• Number of apartments on the market this time last year – 63</p>
<p>• Number of apartments on the market last week – 41</p>
<p>• Number of apartments on the market this week – 43</p>
<h4>CREMORNE – 2090</h4>
<p>• Number of houses on the market this time last year – 8</p>
<p>• Number of houses on the market last week – 7</p>
<p>• Number of houses on the market this week – 2</p>
<p>• Number of apartments on the market this time last year – 9</p>
<p>• Number of apartments on the market last week – 11</p>
<p>• Number of apartments on the market this week – 8</p>
<h4><span style="font-size: 1em; line-height: 1.3em;">NEUTRAL BAY – 2089</span></h4>
<p>• Number of houses on the market this time last year – 9</p>
<p>• Number of houses on the market last week – 3</p>
<p>• Number of houses on the market this week – 2</p>
<p>• Number of apartments on the market this time last year– 42</p>
<p>• Number of apartments on the market last week – 29</p>
<p>• Number of apartments on the market this week – 30</p>
<p> </p>
<p><em><span>ROBERT SIMEON</span> is a director of </em><em><a href="https://www.rwm.com.au/" target="_blank" title="RWM" rel="nofollow">Richardson Wrench Mosman and Neutral Bay</a> </em><em>and has been selling residential real estate in Sydney since 1985. <br>He has also been writing real estate blog </em><em><a href="https://www.rwm.com.au/news/" target="_blank" title="Virtual Realty News" rel="nofollow">Virtual Realty News</a> </em><em>since 2000. </em></p>
</body></html>

robertsimeon-hRNTwJyXkQ

Living with an avalanche of high density development: Robert Simeon

<html><body>
<div>
<span style="line-height: 1.3em;"> </span><span style="line-height: 1.3em;">I read with interest this week that the office block at Sydney's 175 Liverpool was sold off to a Chinese property group.</span>
</div>
<div> </div>
<div>As good a time as any, then, to have a quick look at some Chinese investment trends.</div>
<div> </div>
<div>Doug Ferguson of KPMG and Professor Hans Hendrischke of the University of Sydney have teamed up with Knight Frank to produce an excellent and enlightening summary report on this very subject, entitled <a href="https://demystifyingchina.com.au/reports/demystifying-chinese-investment-2015.pdf" target="_blank">Demystifying China</a>.</div>
<div> </div>
<div>It's well worth a read. </div>
<div> </div>
<div>Below are just a few of their key findings.</div>
<div> </div>
<div><strong><span style="text-decoration: underline;">Trend 1 - Commercial real estate investment quadruples</span></strong></div>
<div> </div>
<div>In 2014, Chinese overseas investment in Australia was largely focused on commercial real estate at 46% of the total ($4.4 billion), with mining now accounting for just 11% $992 million)</div>
<div> </div>
<div>Chinese investment in commercial real estate nearly <em>quadrupled</em> in only one year to $4.37 billion.</div>
<div> </div>
<div><a href="/images/2015/06/22/China1.jpg" target="_blank">Click to enlarge</a></div>
<div> </div>
<div><img src="/images/2015/06/22/China1.jpg" alt=""></div>
<div> </div>
<div><span>A few of the larger investments in 2014 included the Hoyts Group, the Port of Newcastle, the Sheraton on the Park and the flagship Gold Field House at Sydney's 1 Albert.</span></div>
<div><span> </span></div>
<div><a href="/images/2015/06/22/China2.jpg" target="_blank"><span>Click to enlarge</span></a></div>
<div><span> </span></div>
<div><span><img src="/images/2015/06/22/China2.jpg" alt=""></span></div>
<div> </div>
<div> </div>
<div>
<div>These trends are only set to continue as the threshold for outbound investment was raised tenfold from US$100 million to US$1 billion in October.</div>
<div> </div>
<div>Incredibly, the report notes that the total assets of China's insurance industry doubled in the past 5 years to RMB 9.6 trillion (US$ 1.6 trillion).</div>
<div> </div>
<div>Investment is now rotating away from mining and resources and into real estate.</div>
<div> </div>
<div>This stunning graphic puts into context just how serious Chinese investment is in the "gateway cities" of Sydney and Melbourne.</div>
<div> </div>
<div>Not that these figures <em>exclude</em> residential property. </div>
<div> </div>
<div><a href="/images/2015/06/22/CHina3.jpg" target="_blank">Click to enlarge</a></div>
<div> </div>
<div><img src="/images/2015/06/22/CHina3.jpg" alt=""></div>
<div> </div>
<div>
<div>The report found that Brisbane and the Gold Coast are beginning to capture more Chinese residential developer interest, in particular around Brisbane's Newstead and Fortitude Valley (I live there, and yes that is definitely the case).</div>
<div> </div>
<div>Here is a list of some of the key properties bought by Chinese investors in the 15 months to March 2015.</div>
<div> </div>
<div><a href="/images/2015/06/22/China4.jpg" target="_blank">Click to enlarge</a></div>
<div> </div>
<div><img src="/images/2015/06/22/China4.jpg" alt=""></div>
<div> </div>
<div>
<span>The trend is only set to continue, if not accelerate.</span><br><br><strong><span style="text-decoration: underline;">Trend 2 - Currency play</span></strong><br><br><div>Purchasing power for Chinese capital against the Australian dollar has increased massively over the past decade, which only encourages further investment.</div>
<div> </div>
<div><a href="/images/2015/06/22/China5.jpg" target="_blank">Click to enlarge</a></div>
<div> </div>
<div><img src="/images/2015/06/22/China5.jpg" alt=""></div>
<div> </div>
<div>
<strong><span style="text-decoration: underline;">Trend 3 - A New South Wales focus</span></strong><br><br><span>It is interesting to note that a massive 72 per cent of Chinese investment hits New South Wales.</span>
</div>
<div><span> </span></div>
<div><a href="/images/2015/06/22/China6.jpg" target="_blank"><span>Click to enlarge</span></a></div>
<div><span> </span></div>
<div><span><img src="/images/2015/06/22/China6.jpg" alt=""></span></div>
<div> </div>
<div> </div>
<div><span>Australia is encouraging further Chinese investment with the Significant Investor Visa (SIV, A$ 5 million) now being refined with a Premium Investor Visa (PIV, $15 million) offering a more expeditious route to Australian permanent residency within 12 months for ultra-high net worth individuals.</span></div>
<div><span> </span></div>
<div>
<span><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></span>
<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>
</div>
</div>
</div>
</div>
</body></html>

pwargent-M4siyDbqQY

Chinese investment rotates to real estate: Pete Wargent

<html><body>
<p>GUEST OBSERVER</p>
<p>If you’ve decided that buying your dream home is out of reach but purchasing a property as an investment for its rental income is more attainable, here's my advice. </p>
<p><strong>Research your suburb </strong></p>
<p>Although some suburbs might seem ‘cheap’, it’s important to do some research on the demographics of the area you’re buying in to. What are the local schools like, who are the main employers, what’s the average age/lifestyle of local residents. All of these things help you determine what kind of tenants your property will attract. </p>
<p><strong>Choose a property with rental appeal </strong></p>
<p>When you’re looking at property, look for the things that would appeal to you as a potential renter, what is the outdoor space like? is it quiet? is the building easily accessible? what’s the parking like nearby? All of these things will help attract the right kind of tenants and ensure you get a good rental return. Also, if the property needs work to make it more appealing, do it as soon as you can after purchasing the property - while it might seem like yet another up-front cost, it will mean less ongoing maintenance. </p>
<p><strong>Choose the right home loan</strong></p>
<p>The pricing and process for taking out an investor loan has changed in the past few months, with several lenders tightening their lending policy so it’s worth doing your research into which providers are offering loans for your loan amount and LVR at the most competitive rate. <span style="line-height: 1.3em;"> </span></p>
<p><strong>Go with a good agent </strong></p>
<p>As a first time investor you’ll likely want to use an agent to manage tenants, especially when it comes to finding them, checking their history and drawing up the rental agreement. Go for a trustworthy agent with local knowledge and a good track record. Over time you might be able to takeover the management of the property with the real estate agent only involved in the set-up phase.   </p>
<p><strong>Take out Landlord’s Insurance </strong></p>
<p>Landlord’s Insurance is something that protects you in case of property damage or lost income if the property can’t be rented unexpectedly or your tenants do a disappearing act. </p>
<p><strong>Know your legal limitations</strong></p>
<p>As a landlord you’re obliged to maintain a watertight property with a legitimate floorplan and all the relevant safety measures like fire escapes and fire alarms. Also, understand the approvals required for any renovations, maintenance or changes to the property and the notice you’re required to give tenants re accessing the property for inspections or making repairs.  </p>
<p><strong>Budget for the maintenance costs </strong></p>
<p>On top of Landlord’s Insurance, you will have other costs to cover over the course of a year, including council rates, water rates or strata if you’ve bought an apartment. Plus, there will be things that need repairing and it’s always good to have a buffer of cash in case of an emergency ceiling leak.</p>
<p><strong>Get a valuation every few years </strong></p>
<p>If you want to use the equity in your investment, refinance your home loan, sell or improve your property it’s handy to have a valuation done to know where you stand, it might open up several options you didn’t know existed.</p>
<p> </p>
<p><em><span>STEVE JOVCEVSKI</span> is property expert at Mozo.com.au.</em><span><br></span></p>
<p> </p>
<p><em>FOR MORE INSIDER INFORMATION ON PROPERTY LOANS, RATES AND MORE: DOWNLOAD THE<a href="/guides/get-loan-savvy-expert-tips-for-a-first-time-investment-or-refinancing-loan-in-a-free-ebook"> FREE MOZO EBOOK</a>.</em></p>
<p><span style="line-height: 1.3em;"> </span></p>
</body></html>

Latest Expert Insights

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

Guides

Editor's Picks

Guides

Developments

New apartments

New townhouses

News

Latest Expert Insights

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

Guides

Editor's Picks

Receive the latest news stories to your inbox

Guides

Developments

New apartments

New townhouses

News