Apartment buyers in New South Wales are set to gain a decade of insurance-backed protection against major building defects, after the NSW Parliament passed the Fair Trading and Building Legislation Amendment Bill 2026.&nbsp;

The Bill establishes decennial defect insurance, known in the market as Latent Defects Insurance (LDI), as an alternative to the existing two-year strata building bond. It cleared the Legislative Council with amendments on Tuesday evening (August 4, 2026), with the Legislative Assembly agreeing to those amendments shortly after.

Under the reform, eligible developers can satisfy their statutory bond obligation by taking out an approved decennial-style policy that gives owners 10 years of cover for major structural defects from completion, claimable directly, without first having to pursue developers or builders through costly legal action.&nbsp;

The change forms the final tranche of amendments arising from the 2021 statutory review of the Strata Schemes Management Act 2015 and related legislation.

Resilience Insurance, which originated the cover in Australia and has delivered it in NSW since 2022, welcomed the passage and credited the NSW Government for delivering it.

“This is protection apartment buyers have needed for a long time, and the credit for delivering it belongs to the NSW Government,”&nbsp;said Corey Nugent, CEO of Resilience Insurance.

“Minister Chanthivong and his team have shown real leadership in replacing an outdated two-year bond with cover that matches the lifespan of the buildings people are buying into. Reform like this is what good, evidence-based regulation looks like.”

Resilience has delivered LDI in NSW since 2022, protecting thousands of apartments, giving the State, and now the country, real-world evidence of how decade-long, no-fault protection works in practice.

The reform also places NSW within a wider national shift.

NSW is the third jurisdiction to put decennial cover into law. The ACT legislated for it in 2024, with the scheme taking effect in late 2025, and Victoria passed its own framework on 17 June. Between them, the three cover the majority of Australia's apartment market.

The reform commences once the legislation is proclaimed, which is expected in the coming weeks. From that point, developers of Class 2 residential apartment buildings can meet their statutory obligation with an approved decennial policy in place of the bond.

Buyers who purchased into projects that took out the cover early are among the first in the country to take keys to apartments carrying decade-long structural protection.

“With the legislation passed, the focus now turns to making it work for buyers,”&nbsp;Nugent said.

“There are already thousands of apartments in NSW covered by this insurance, bought by developers who moved early. The question every buyer should be asking in a display suite is a simple one: does this building come with 10-year defect cover, and who stands behind it?&nbsp;

“We look forward to working with the Government and the Building Commission in coming weeks as the framework moves to implementation, and to sharing what we have learned over the past four years so the protection reaches owners as smoothly and quickly as possible.”

Other states are working through their own reform programs. Western Australia has indicated that decennial cover is within consideration a later stage of its reform sequence, and Queensland has been examining the settings as it looks at the development pipeline ahead of the 2032 Olympics.

Resilience Insurance acknowledges the NSW Government’s continued focus on strengthening consumer protection while supporting housing delivery across the State.

Fast Facts: What the reform means

<ul style="color:#222222; font-family:Arial, Helvetica, sans-serif; font-size:small; font-style:normal; font-variant-ligatures:normal; font-weight:400; text-align:start; white-space:normal; background-color:#ffffff; text-decoration-thickness:initial; text-decoration-style:initial; text-decoration-color:initial">
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Proven at scale:&nbsp;Decennial cover has operated in NSW since 2022, protecting thousand of apartments.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">10 years of cover:&nbsp;Protection for major structural defects runs for a decade from completion, claimable directly and with no legal action required.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">An alternative to the bond:&nbsp;Eligible developers can meet their statutory obligation with an approved decennial-style policy in place of the 2% strata building bond.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Part of a national shift:&nbsp;The ACT has had decennial provisions in force since 2025 and Victoria passed its framework in June. NSW now joins them.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">No-fault, first resort:&nbsp;Owners corporations claim directly from the insurer without first having to establish who is liable for the defect.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Cost-competitive:&nbsp;At approximately 1.8% of build cost, LDI is typically priced below the 2% bond while offering broader, longer protection.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Market position:&nbsp;Resilience originated LDI in Australia and has delivered it in NSW since 2022.</li>
</ul>

Fast Facts: What is Resilience LDI?

<ul style="color:#222222; font-family:Arial, Helvetica, sans-serif; font-size:small; font-style:normal; font-variant-ligatures:normal; font-weight:400; text-align:start; white-space:normal; background-color:#ffffff; text-decoration-thickness:initial; text-decoration-style:initial; text-decoration-color:initial">
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Resilience Latent Defects Insurance (LDI):&nbsp;Covers major structural defects for 10 years from completion.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Consumer-first:&nbsp;Direct claim access, no need for lengthy legal action.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Cost advantage:&nbsp;At approximately 1.8% of build cost, LDI is typically priced below the traditional 2% Strata Bond while offering broader protection.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Market leader:&nbsp;&nbsp;Resilience Insurance originated LDI in Australia and is the national market leader.</li>
</ul>

Joel Robinson

NSW parliament passes 10-year defect insurance laws for new apartment buyers

Builder-developer <a href="https://www.apartments.com.au/developers/mcnab-developments">McNab</a> has wasted little time reshaping one of South Brisbane's most significant undeveloped apartment sites after acquiring the property earlier this year.&nbsp;

McNab has lodged plans to scrap an existing approval for two 30-storey towers and instead deliver a single 28-storey residential building, preserving part of the site for a future development opportunity.

The proposal, lodged over <a href="https://www.apartments.com.au/new-apartments/64-peel-street-south-brisbane-qld-4101">64 Peel Street and 9 Cordelia Street</a>, is for a residential-led mixed-use development comprising 124 apartments above a landscaped podium, alongside a boundary realignment that preserves part of the land for a future residential project.

<img alt="First look: McNab resets decade-old South Brisbane approval with 124-apartment tower" data-entity-type="file" data-entity-uuid="743bf564-3f8f-45fc-b8d3-bbf18f5b628f" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/mcnab%20Peel%20st%20podium.png?VersionId=EhCxGrVn_VFH3qTbKnI4WppGwaMnOn0t" />

Designed by <a href="https://www.apartments.com.au/architects/hayball">Hayball</a>, the development will deliver 119 two-bedroom and five three-bedroom apartments across 23 residential levels. A five-level podium will accommodate 135 car spaces, while the ground floor will include a 66 sqm commercial tenancy, an activated residential lobby with work-from-home spaces, and a publicly accessible landscaped plaza linking Cordelia and Peel streets.&nbsp;

Communal amenities will span Level 6 and the rooftop, including indoor and outdoor recreation spaces, a swimming pool, barbecue facilities, kitchen and dining areas, lawn space, sauna, steam room and yoga facilities.

The application also proposes a boundary realignment to create a standalone 1,290 sqm development lot while retaining an adjacent parcel for future redevelopment, allowing the balance of the site to contribute additional housing over time.

Hayball said the architecture has been shaped by the site's elevated corner position at the intersection of Peel and Cordelia streets and Brisbane's subtropical climate.

The design incorporates generous landscaped setbacks, a masonry podium wrapped with planting, large north-facing balconies, and a slender tower profile intended to maximise natural light, cross ventilation and long-range views. The rooftop has been conceived as a wellness-focused retreat overlooking Brisbane, with amenities positioned to capture views towards Mount Coot-tha and the CBD.

<img alt="First look: McNab resets decade-old South Brisbane approval with 124-apartment tower" data-entity-type="file" data-entity-uuid="c5f99e84-6ad8-4a87-82d1-869685b754d2" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/mcnab%20tower%20perspective.png?VersionId=Gw0IuJaSAlk.tvGBxInhZOcQAdIB..2b" />

The planning submission positions the proposal as a response to both changing market conditions and Brisbane's Kurilpa Sustainable Growth Precinct planning reforms.

McNab acquired the site after the previous approval was granted, with the existing scheme no longer reflecting current residential market demands, economic conditions, construction challenges, construction efficiencies or the quality of development outcome now being pursued, the planning report noted.

McNab continues to expand its residential development pipeline across Brisbane and the Gold Coast. The developer recently launched The Tannery in West End, securing more than 60 per cent of apartments before the project's public release. It is also delivering Elements Budds Beach in Surfers Paradise and Lucia Highgate Hill, an eight-apartment boutique development overlooking the Brisbane River.

McNab resets decade-old South Brisbane approval with 124-apartment tower

A steeply sloping Bellevue Hill site is set to accommodate a new mid-rise apartment development, with plans lodged for 20 homes that respond to the site's dramatic topography.

The proposal for the consolidated land at <a href="https://www.apartments.com.au/new-apartments/138a-140-bellevue-road-bellevue-hill-nsw-2023">138A-140 Bellevue Road</a> has been designed by Sydney architecture practice Common Office, which has used the site’s substantial fall to distribute the building’s scale and unlock 20 apartments without presenting the full height to the street.&nbsp;

“The unique design strategy leverages the site’s substantial topographical fall to facilitate increased density, presenting a seven-storey profile to Bellevue Road while rising to 10 storeys at the rear,” Common Office said in its architectural design report.

The apartment mix spans one, two, three- and four-bedroom residences. Four two-bedroom apartments are designated as affordable housing, while the plans also include two adaptable dwellings. The mix is majority three-beds, with the typical three-bed apartment offering around 144 sqm internally, with balconies of around 15 sqm.

The affordable housing component represents 15 per cent of the residential floor area and allows the project to access additional height and floor space under the NSW Government’s in-fill affordable housing provisions. The site also falls within the inner area of the Low and Mid-Rise Housing Policy because it is within 400 metres walking distance of Double Bay Town Centre.

<img alt="First Look: Plans lodged for topography-led affordable housing project in Bellevue Hill" data-entity-type="file" data-entity-uuid="b1230d0f-3bfa-4a11-abaf-0928c66ef345" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Bellevue%20da.png?VersionId=dZeMK3P.OutGjN8ycjsxm8uNsj_QFWQv" />

Common Office has arranged the building around a masonry podium and a lighter upper volume, drawing on two recurring elements of Bellevue Hill’s established architecture: sandstone bases and the vertical proportions of local Inter-war Art Deco apartment buildings.

“The proposal is governed by a holistic design language that reconciles the solid horizontal masonry of the neighbourhood’s podiums with the elegant verticality of its Art Deco heritage,” the architect said.

“The building maintains a consistent rhythmic logic utilising deep recesses and a sophisticated material transition to break down the 10-storey scale into a series of articulated, human-scale volumes.”

<img alt="First Look: Plans lodged for topography-led affordable housing project in Bellevue Hill" data-entity-type="file" data-entity-uuid="0147f503-1af1-4d51-97fb-c2f1cba63a9d" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Bellevue%20bldg.png?VersionId=GoW7q3NlK67OpnePXhk7zvklrlKb72Qc" />

Large-format sandstone tiles will define the lower levels, establishing a robust base that negotiates the change in elevation from Bellevue Road. Above, red-tinted precast concrete frames, recessed balconies, anodised aluminium screens and expanded metal details will create a more vertically expressed façade. Integrated planter beds will introduce greenery across balcony edges and recessed sections of the building.

The elongated northern façade has been divided into three recessed vertical masses to reduce its perceived length. Triangular window elements and metal privacy screens reference the geometry of nearby Art Deco buildings while controlling overlooking toward surrounding homes. The southern elevation will incorporate further privacy screening, landscaped edges and deep balconies to maintain light and ventilation.

<img alt="First Look: Plans lodged for topography-led affordable housing project in Bellevue Hill" data-entity-type="file" data-entity-uuid="e8679cf1-18bc-4447-8a0f-0052b94ab83c" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Bellevue%20da%20rooftop.png?VersionId=5SQqQqRFf76rvE2p1TbxJSweMN70AIbc" />

Private and communal landscaping is distributed throughout the development. A landscaped garden apartment is positioned within the lower portion of the site, while a communal terrace on Level 5 will include a central timber deck, barbecue facilities, resident planting plots and areas for outdoor dining and informal gatherings.

Common Office described the terrace as an elevated sanctuary designed to capture district views and sunlight. Its planting strategy incorporates endemic species associated with the Eastern Suburbs Banksia Scrub, extending the landscape vertically through the building and providing habitat for local flora and fauna.

A second communal outdoor area is proposed at roof level, with built-in seating, paved gathering areas and perimeter planting.

Bellevue Hill is enjoying renewed momentum in the new apartment market, with several boutique developments recently launched and currently under construction. Positive Investment Enterprise is delivering the 16-apartment Kew Palm House on Birriga Road, while Chanine Developments is also under construction at Florian, a 36-apartment project on Banksia Road.

&nbsp;

Bellevue Hill is enjoying renewed momentum in the new apartment market, with several boutique developments recently launched and currently under construction.

First Look: Apartment development pitched for Bellevue Hill, Double Bay fringe

South Brisbane's apartment pipeline continues to build momentum, with <a href="https://www.apartments.com.au/developers/trk-property-group">TRK Property Group</a> lodging plans for a 161-apartment tower on Montague Road as developers accelerate investment across the Kurilpa Sustainable Growth Precinct.

The proposal for 176–186 Montague Road would replace an existing office building with a 20-storey residential tower designed by <a href="https://www.apartments.com.au/architects/cox-architecture">COX Architecture</a>, adding to a growing pipeline of high-density projects reshaping one of Brisbane's fastest-evolving inner-city precincts.

The project has been conceived as a "living building", featuring a flowing tower form, extensive vertical landscaping, and generous communal spaces that respond to the evolving Kurilpa Sustainable Growth Precinct.

TRK Property Group Development Director Matt Kan said the project reflected the confidence developers have in South Brisbane's long-term future.

"South Brisbane is entering an incredibly exciting period, and we see Montague Road sitting right at the heart of that evolution," Kan said.

"With the former Visy site directly opposite us and significant investment planned throughout the broader Kurilpa precinct, there is a real sense of momentum around this part of the city and what it will become over the coming years.

"For TRK, this is an opportunity to be part of that next chapter and deliver a project that responds to where the precinct is heading, while contributing to the continued evolution of Brisbane's river edge."

<img alt="First look: TRK Property joins South Brisbane apartment surge with Montague Road tower plans" data-entity-type="file" data-entity-uuid="590fe1ad-f892-4446-a679-80e33a16d029" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/TRK%20tower%20facade.png?VersionId=uOJStrcKpyHFcPE1w6_9SMAFzVMCcZll" />

The scheme includes a mix of one, two, three and four-bedroom apartments, incorporating multi-purpose rooms in selected residences to provide additional flexibility for home offices or expanded living areas. The proposed mix comprises 15 one-bedroom, 13 one-bedroom plus MPR, 73 two-bedroom, 26 two-bedroom plus MPR, 30 three-bedroom, and four four-bedroom apartments.

Rather than adopting a conventional rectilinear tower, COX Architecture has developed a sculpted form inspired by the movement of the Brisbane River.

"The proposal has been designed by COX Architecture as a 'living building' that responds to the site's riverine setting, floodplain history and evolving urban context within the Kurilpa Sustainable Growth Precinct," the planning report states.

"The architectural form draws from the fluid nature of the Brisbane River, with a curved and undulating tower form that creates a varied architectural edge and avoids a conventional rectilinear tower expression."

The podium has also been designed as an architectural feature rather than a conventional parking structure, with cascading planting, screening and natural-toned materials softening its appearance. Resident parking is elevated above ground level to address the site's flood constraints, while habitable apartments sit above flood planning levels. Upper-level communal facilities are designed to accommodate shelter-in-place arrangements during major flood events.

<img alt="First look: TRK Property joins South Brisbane apartment surge with Montague Road tower plans" data-entity-type="file" data-entity-uuid="01fa15d0-90df-46c7-9555-7941fc45373c" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/TRK%20podium.png?VersionId=mHyua.w1pHGBt9qEdWzrlsv.leztUCwO" />

Communal amenity is a major focus of the proposal. Around 1,815 sqm of shared resident space is proposed across the ground floor, level 19 and the rooftop, including co-working areas, indoor and outdoor recreation spaces, wellness facilities, dining and gathering areas, lawn spaces, a rooftop pool and spa, and extensive landscaping. At street level, a landscaped forecourt and approximately 345 sqm of publicly accessible open space along Montague Road are intended to improve the pedestrian experience while activating the building's frontage.

The development will provide 163 car spaces, including 152 resident bays and 11 visitor spaces, together with 144 bicycle spaces incorporating resident storage, visitor parking, bicycle maintenance facilities and e-mobility charging infrastructure.

The site sits within one of Brisbane's fastest-changing inner-city precincts, less than two kilometres from the CBD and within easy reach of South Bank, West End, the Queensland Cultural Centre and extensive public transport connections. The Kurilpa Sustainable Growth Precinct planning framework is encouraging higher-density residential development to help meet Brisbane's housing supply targets while supporting walkable, transit-oriented neighbourhoods.

TRK Property joins South Brisbane apartment surge with Montague Road tower plans

Article summary

<ul data-end="785" data-start="311">
	<li data-end="459" data-section-id="5hbcyr" data-start="311">Pikos Group has released the five-penthouse collection at Skye Kangaroo Point, headlined by a two-storey sky home spanning more than 1,000 sqm.</li>
	<li data-end="561" data-section-id="1p7lq8n" data-start="460">Early buyer interest suggests the residences could set a new Queensland apartment price record.</li>
	<li data-end="667" data-section-id="1y70z0l" data-start="562">The collection includes four move-in ready penthouses and the highly customised Skye One residence.</li>
	<li data-end="785" data-section-id="yvm0y1" data-start="668">The release caps one of Bri​sbane's most ambitious luxury apartment developments overlooking the Brisbane River.</li>
</ul>

<hr data-end="790" data-start="787" />
Pikos Group has released the five-penthouse collection at its <a href="https://www.apartments.com.au/buildings/skye-residences-by-pikos-kangaroo-point-8-river-terrace-kangaroo-point-qld-4169">Skye by Pikos</a> development in Kangaroo Point, with early buyer interest indicating the flagship residences could eclipse every apartment sale previously recorded in Queensland.

The collection crowns the luxury riverfront development with five residences, including four completed penthouses and Skye One, a two-level sky home spanning more than 1,000 sqm that will be tailored to its eventual owner.

[smartcode_project:default project_id=90059 project_image_fid=374075]

Wanting to offer a fully customisable home, Pikos is offering Skye One as a blank canvas, allowing the buyer to work alongside the developer's design team to customise the home's layout, finishes and internal spaces.

The residence will feature a 247 sqm private rooftop terrace with its own swimming pool, sauna, steam room, outdoor kitchen and multiple entertaining areas overlooking the Brisbane River and CBD skyline.

The remaining four penthouses have been completed and are ready for immediate occupation, each offering four bedrooms, expansive open-plan living areas, soaring ceilings and private lift access.

[smartcode_project:default project_id=90059 project_image_fid=374059]

One of the defining features throughout the project is its use of Roman Classic Travertine, with more than 20,000 sqm of the natural stone imported from Italy after being personally selected by Pikos Group Founder and Executive Director Pedro Pikos, interior designer Julie Williamson and third-generation stone specialist Mario Caucci.

Pikos said the penthouse collection represented the culmination of the company's long-term vision for Skye.

"True legacy isn't measured by what we build today, but by what endures tomorrow," Pikos said.

"Our ambition is to create places that become more valuable with time, enrich the lives of generations, and stand as timeless landmarks long after we've stepped away."

[smartcode_project:default project_id=90059 project_image_fid=374060]

Williamson said the interiors were inspired by the natural character of Kangaroo Point and the Brisbane River rather than international design trends.

"Materiality tells the story of a place," Williamson said.

"We looked to the movement of the Brisbane River, the texture of the cliff face and the warmth of the surrounding landscape to create interiors that feel understated, enduring and unmistakably Brisbane."

Positioned above the Kangaroo Point cliffs, Skye places residents within walking distance of Howard Smith Wharves, South Bank and James Street while offering uninterrupted river and city views.

[smartcode_project_cta:default project_id=90059]

Brisbane's next apartment price record? Pikos unveils Skye's exclusive penthouse collection

Sydney’s property market is known for high prices, competitive bidding, and mounting pressure on first home buyers. But change is on the horizon.

From late 2025, eligible first home buyers in New South Wales will have access to a new federal government initiative aimed at addressing affordability: the Help to Buy Scheme.&nbsp;

<h2>What is the Help to Buy Scheme?</h2>

The program introduces a shared equity model intended to reduce the upfront cost of entering the property market, particularly in high-demand urban areas such as Sydney.

The scheme operates under a shared ownership structure in which the federal government takes an equity stake of up to 40 per cent for new homes, or 30 per cent for existing dwellings. This arrangement allows eligible buyers to significantly reduce their loan size and avoid the added cost of Lenders Mortgage Insurance (LMI).

Under this model, purchasers can enter the property market with as little as a two per cent deposit, well below the traditional 10 to 20 per cent usually required. The government’s contribution is not a loan but a co-ownership stake in the property. As such, there is no interest or rent charged on its portion.

Because the government’s equity combined with the buyer’s deposit typically meets or exceeds the 20 per cent threshold, LMI does not apply. The remaining balance, generally between 60 and 70 per cent of the property’s value, is financed through a standard home loan with a participating lender.

The government's equity in the property remains in place until the buyer chooses to repay it voluntarily or until the property is sold. Buyers can buy back the government’s share over time, in increments of at least five per cent, depending on their financial situation.

There is no fixed repayment timeline, but the amount to be repaid will be based on the property's market value at the time of repayment, not the original purchase price.

<h2>How do you qualify for the&nbsp;Help to Buy Scheme?</h2>

To qualify for the Help to Buy Scheme, applicants must meet the following conditions:

<ul>
	<li>Be an Australian citizen at least 18 years of age.</li>
	<li>Be a first-home buyer who does not currently own property.</li>
	<li>Intend to live in the property as their primary residence.</li>
	<li>Earn less than $100,000 per year for individuals, or $160,000 for couples.</li>
	<li>Purchase a property within the regional price caps, currently $950,000 in Sydney, though this is expected to rise to approximately $1.3 million ahead of the program’s launch.</li>
</ul>

While the Help to Buy Scheme does not solve affordability challenges across the board, it does offer a more accessible pathway for a defined segment of the market, particularly younger buyers with moderate incomes who have been priced out of traditional lending routes.

The scheme is expected to commence in NSW in late 2025, as part of a national rollout.

Under the new model, purchasers can enter the property market with as little as a two per cent deposit, well below the traditional 10 to 20 per cent usually required

Help to Buy Scheme: What first home buyers in NSW need to know

The First Home Owners Grant (FHOG) is a government initiative designed to help eligible first-time home buyers by offering financial assistance towards the purchase or construction of a new home.

While the FHOG is a nationwide program, it is administered separately by each state and territory, meaning the eligibility criteria, grant amounts, and property requirements can vary depending on your location. This means that the amount available and the conditions attached to the grant will differ, so it is important to check the specific guidelines for your state or territory.

It’s important to note that the FHOG is just one of several incentives available to first home buyers. In most states and territories, the grant is not linked to stamp duty exemptions or concessions, with the exception of the Australian Capital Territory (ACT). The FHOG is typically a one-off payment, reducing the overall cost of purchasing or building a new home before any stamp duty concessions are applied.

Below, we provide a breakdown of the First Home Owner Grants available across Australia, outlining the specific details for each state and territory.

<h2>New South Wales First Home Owner Grant</h2>

First Home Owner Grant: Offers a $10,000 grant for new homes valued up to $600,000. For land purchases and owner-builders, the threshold extends to $750,000.

Stamp Duty Benefits: Provides full stamp duty exemption for homes valued up to $800,000, with concessions available for properties up to $1 million.

<h2>Victoria South Wales First Home Owner Grant</h2>

First Home Owner Grant: Provides a $10,000 grant for first-home buyers purchasing or building new homes valued up to $750,000.

Stamp Duty Benefits: Offers full stamp duty exemption for properties up to $600,000, with concessions available up to $750,000.

<h2>Queensland First Home Owner Grant</h2>

First Home Owner Grant: Offers $30,000 for contracts signed between 20 November 2023 and 30 June 2025. The FHOG applies to new homes valued up to $750,000.

Stamp Duty Concessions: Provides additional concessions for properties valued up to $800,000.

<h2>Western Australia First Home Owner Grant</h2>

&nbsp;

First Home Owner Grant: Offers a $10,000 grant for new homes valued up to $750,000 in the southern regions and up to $1 million in the northern regions.

Stamp Duty Concessions: Available for homes valued up to $600,000 for transactions entered into on or after 9 May 2024.

<h2>Australian Capital Territory First Home Owner Grant</h2>

First Home Owner Grant: Replaced by the Home Buyer Concession Scheme, offering full stamp duty concessions for eligible buyers.

<h2>South Australia First Home Owner Grant</h2>

First Home Owner Grant: Provides up to $15,000 for new homes, including houses, apartments, and townhouses. As of 6 June 2024, there is no property value cap for eligibility.

Stamp Duty Relief: Available for new homes and vacant land purchases.

<h2>Tasmania First Home Owner Grant</h2>

First Home Owner Grant: Offers a $10,000 grant for new homes and off the plan purchases.

Stamp Duty Exemption: Between 18 February 2024 and 30 June 2026, first home buyers of established homes valued up to $750,000 receive a full exemption on property transfer duty.

<h2>Northern Territory First Home Owner Grant</h2>

First Home Owner Grant: The Northern Territory provides a $10,000 grant for new homes only. Additional government grants and concessions are available for first home buyers.

Stamp Duty Exemption: The only stamp duty exemption available to property buyers is the House and Land Package Exemption (HLPE).

Eligibility criteria and application processes differ across states. Prospective buyers should refer to their respective state revenue offices for full details on grant availability, conditions, and additional concessions.

Every First Home Owner Grant for new property by state

In the ever-evolving landscape of sustainable architecture and environmentally conscious design, systems and ratings in place can help determine the energy efficiency of residential buildings in Australia.

Australia has multiple building rating systems that evaluate energy efficiency and sustainability in existing and new building designs.

Some systems assess individual building components, while others provide an overall rating for the entire structure.

A rating system ensures that homes are comfortable and energy-efficient, whether you are buying, renovating, or building.

NatHERS (Nationwide House Energy Rating Scheme) is a common way for new homes to meet energy efficiency requirements.

As new developments continue to shape the urban environment, understanding NatHERS ratings becomes essential for developers and homeowners. This article delves into the concept of NatHERS ratings, their significance, and how they contribute to creating energy-efficient homes.

<h2>What is NatHERS?</h2>

NatHERS is a national initiative implemented by the Australian government to promote energy efficiency in residential buildings. The scheme aims to provide a standardised method for assessing the thermal performance of homes, considering factors such as insulation, orientation, ventilation, and building materials.&nbsp;

NatHERS ratings are the most common way new homes meet the National Construction Code's (NCC's) minimum energy efficiency requirements.&nbsp;

NatHERS assessments provide thermal and whole-home ratings for new homes, townhouses, and apartments.

The rating helps evaluate the energy performance of buildings, guides homeowners and developers to make informed decisions about the energy efficiency of their properties, and encourages the construction of more sustainable, comfortable, and cost-effective homes.

<h2>How NatHERS Ratings Work</h2>

NatHERS ratings are determined through four accredited software tools (AccuRate, BERS Pro, FirstRate5, HERO) using a calculation engine CSIRO developed to predict building temperature based on various factors.

The tools can model complex effects of building mass, insulation, window size, and other elements.

The outcome is a star rating that reflects the building's overall thermal efficiency, indicating how well it can maintain a comfortable indoor temperature without excessive reliance on heating or cooling systems.

The star rating scale ranges from 0 to 10, with a 6-star rating being the minimum requirement for compliance with the National Construction Code (NCC).&nbsp;

Achieving a higher star rating demonstrates a commitment to energy efficiency and sustainability, as the building is better equipped to minimise its environmental impact and reduce long-term energy costs.

Anyone can use NatHERS tools, but accredited assessors can provide certified ratings and professional advice.

<h2>Benefits of Higher NatHERS Ratings</h2>

Energy Efficiency: Buildings with higher NatHERS ratings are more energy-efficient, requiring less heating and cooling energy. This reduces the structure's carbon footprint and lowers occupants' energy bills.

Cost Savings: Homes with higher NatHERS ratings are generally more energy-efficient, resulting in reduced energy consumption for heating and cooling. This translates to lower energy bills for homeowners, making sustainable living environmentally friendly and economically viable in the long run.

Environmental Impact: Lower energy consumption directly translates to a reduced environmental impact. Buildings with higher NatHERS ratings contribute to the overall goal of mitigating climate change by lowering greenhouse gas emissions associated with heating and cooling systems.

Improved Comfort: Buildings with high NatHERS ratings offer better thermal comfort to occupants. Proper insulation, well-designed ventilation, and optimal orientation maintain a consistent and comfortable indoor temperature, providing occupants with a more enjoyable and healthier space.

Market Value and Desirability: Higher NatHERS ratings can enhance the market value of a property. As energy efficiency becomes a more significant consideration for homebuyers, a well-rated building may attract a premium price and stand out in the real estate market.

Compliance with Building Codes: NatHERS ratings are a vital component of the National Construction Code (NCC), and compliance with these ratings is often a mandatory requirement for new developments. Local councils and planning authorities may set minimum energy efficiency standards that must be met to obtain development approval.

The Nationwide House Energy Rating Scheme (NatHERS) is a crucial initiative shaping the future of energy-efficient, resilient, and cost-effective homes. With its recent upgrades, NatHERS has evolved into a world-leading tool for the building sector, supporting the global commitment to achieving net-zero emissions by 2050.

Staff Writer

What is a NatHERS rating in new off the plan apartment developments?

Mixed-use developments have gained significant popularity across Australia in recent years due to their unique blend of residential, commercial, and recreational spaces.

Unlike traditional single-purpose developments, mixed-use projects offer a harmonious integration of various functions within a single locale.

Residential units seamlessly coexist with commercial establishments, retail outlets, dining venues, entertainment hubs, and recreational facilities, with the combination not only enhances convenience but also fosters a vibrant lifestyle and a sense of community.

<h3>Convenience and accessibility</h3>

Mixed-use developments are designed with convenience in mind. They often integrate residential units with commercial spaces, retail outlets, restaurants, and recreational facilities, creating a self-contained community.

[smartcode_project:default project_id=114215 project_image_fid=204874]

The proximity allows residents to enjoy the convenience of having essential amenities and services within walking distance. Whether it's grabbing a cup of coffee, going grocery shopping, or accessing healthcare services, everything is conveniently located, saving residents time and effort.

<h3>Vibrant lifestyle and community</h3>

One of the major advantages of mixed-use developments is the vibrant lifestyle they offer. With a diverse range of amenities and communal spaces, residents have ample opportunities to interact, socialise, and build a sense of community.

[smartcode_project:default project_id=107714 project_image_fid=214122]

The presence of parks, community centres, and shared spaces fosters a lively atmosphere, encouraging residents to engage in various activities and events. The vibrant lifestyle within these developments creates a unique sense of belonging and camaraderie among the residents.

<h3>Potential for higher rental yields and property value appreciation</h3>

Mixed-use developments tend to attract a broad range of tenants and buyers due to their versatile nature. This high demand can result in higher rental yields for investors and potentially lead to property value appreciation over time.

[smartcode_project:default project_id=139989 project_image_fid=212887]

The integration of commercial and retail spaces attracts businesses, which can provide a stable rental income stream. Additionally, the popularity of mixed-use developments often drives up property values, making them a potentially lucrative investment in the long term.

<h3>Enhanced security and maintenance</h3>

Mixed-use developments typically have comprehensive security measures in place. With controlled access points, CCTV surveillance, and professional security staff, residents can enjoy enhanced safety and peace of mind.

[smartcode_project:default project_id=108019 project_image_fid=212658]

Additionally, these developments often have dedicated maintenance teams responsible for the upkeep of common areas, landscaping, and infrastructure. This ensures that the overall appearance and functionality of the development are well-maintained, creating a pleasant living environment for residents.

<h3>Live-work-play balance</h3>

One of the key attractions of mixed-use developments is the ability to achieve a desirable live-work-play balance. The integration of residential and commercial spaces allows residents to live closer to their workplaces, reducing commuting time and improving work-life balance.

The proximity to various amenities and recreational facilities encourages an active and healthy lifestyle. Residents can easily access fitness centres, parks, restaurants, and entertainment options, all within the same development, leading to a more fulfilling and convenient way of life.

alisonwarters@gmail.com

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

When buying a property, everyone needs to be aware of the additional costs that come as part of the buying process.

Often the largest outlay, after the deposit which goes to the bank, is stamp duty.

<h2 style="line-height: 1.38;">What is Stamp Duty?</h2>

Stamp duty is an extra tax to pay the government when you buy land, a property, and other certain assets.

It happens when the legal ownership is transferred. It can also be known as property transfer duty or transfer duty.

<iframe allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="415" src="https://www.youtube.com/embed/C32BWkB5--c" title="YouTube video player" width="660"></iframe>

<h2>Who pays Stamp Duty?</h2>

In some circumstances, you may get an exemption. For some states, you won’t have to pay for stamp duty if you are a first home buyer or a pensioner for houses under a particular price. There are also stamp duty concessions, where you may be entitled to a discount.

<h2>How much does Stamp Duty cost?</h2>

Each state has different rules which affect how much you need to pay. These rules can affect the rate you pay, and the timeframe you will need to pay in. Before you buy land or a property, make sure you check the up-to-date information for your state’s stamp duty.

You can use a free stamp duty calculator online to see approximately how much you’ll need to pay. Find out if you’re eligible for an exemption by enquiring on a project via Urban!

Overall, the stamp duty you need to pay will depend on:

<ul>
	<li aria-level="1">How much your land/property is worth</li>
	<li aria-level="1">Where your land/property is located</li>
	<li aria-level="1">What type of land/property it is</li>
</ul>

Want to find out more? <a href="https://www.youtube.com/@UrbanAustralia?utm_source=YouTube&amp;utm_medium=Video&amp;utm_campaign=Subscribe&amp;utm_id=Subscribe">Subscribe to our YouTube channel</a> for more property videos.

Ellen Walker

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

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

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

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Property flipping is when an investor purchases a property with an intent to sell, or ‘flip it’, quickly to make a profit.
How they go about this varies from investor to investor, but essentially if someone tells you they’re looking to flip a property then it means they’re looking to buy and sell quickly.
You might also see it referred to as house flipping, or as a quick flip.
Usually, to generate a profit, some form of renovation or improvement is involved in flipping properties. A few years ago the term became notorious after investors purchased US properties on the cheap, made a basic cosmetic fix, and then sold on to Australian investors as good yield options at inflated prices.
Not every market can sustain a flip
Property flipping has become increasingly popular, often replacing the mantra of “buy and hold”. However, it doesn’t work in every market. Fast moving “boom time” conditions are far more likely to allow investors to on-sell for a greater price – especially as the market pushes the price up – however, slow moving markets provide little room for making mistakes.
If the market is slow, and fewer buyers are looking, you may be facing a longer waiting period to generate your profit. Similarly, buying and planning on a quick sell that may not eventuate could see you holding a property in a downward market. The same due diligence still applies.
It’s risky business
Observer Mark Armstrong has <a href="/expert-insights/investing/property-flipping-is-risky-business">been plain about property flipping</a> – it offers a good opportunity to make a quick buck, but it comes with a hefty amount of risk.
Due to high in-costs and out-costs of property in Australia, and the likelihood you’ve borrowed to invest, you’ll have to crunch your numbers to make a profit.
To start with, you’ll have the property vacant without income while paying the loan’s interest repayments during the renovation period.
You’ll pay the real estate agent around 2% to 3% in commissions to sell, Armstrong explains, and another 1% on advertising costs.
Not to mention stamp duty when you initially purchased the property.
Your renovation needs to push your purchase price up by those holding costs and buying/selling fees, as well as by a substantial profit to make it worth your time and the funds spent on the renovation itself.
No small feat.
While for some areas the buy/flip strategy can be successful, particularly for those building capital earlier on in their investing years, Armstrong recommends that most consider holding the asset or reconsidering entirely.
“If the holding, transaction and time costs add up to more than the property’s likely sale price, you may need to reconsider whether it’s worthwhile undertaking the project,” he said.
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jduke-EHk3XBmHkn

What is property ‘flipping’? Investment terms explained

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The InterContinental Hotel is getting ready to fling open the elegant entry of its newest Australian operation in Double Bay.
Having languished as the boarded up Ritz Carlton Hotel-turned-Stamford Plaza since closing in 2009, the new property may put some pizazz into the sluggish centre.
During its golden days, the hotel was a hotspot for visiting royalty such as Princess Diana, Madonna, Sir Elton John and former President of the USA Bill Clinton. 
It was also where pop icon Michael Hutchence died in 1997, after a night in the bar.
Next month it will open as the <a href="https://www.ihg.com/intercontinental/hotels/gb/en/sydney/sydic/hoteldetail?cm_mmc=OSMAE-IC2-MEA-EN-visitaustralasia_vanity" target="_blank">InterContinental Double Bay</a> following a $25 million renovation and aim to resume its post as Sydney’s most glamorous inn with 140-rooms and a chic rooftop pool with curtained cabanas. 
Architectural firm Bates Smart has overhauled the mock-European-styled structure.
The Cross Street property was bought in 2013 for $57 million by Singaporean funded group Royal Hotels Australia. It had previously sold to the Valad Property Group for $81.5 in 2008. It will be Royal Hotels’ fifth in Australia.
The new operation will sleep 360 people when full, have a late night gin bar, a restaurant and Sydney’s only fully separate Kosher kitchen in a hotel of this standard. Michelin-starred French chef Julien Pouteau will head the restaurant.
It has also joined the Double Bay wedding collective in an attempt to tap the lucrative nuptial market.
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andreadixon-oif3j7eKne

Double Bay's InterContinental set to turbocharge village renaissance

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Guest observation
I live tweeted a Coburg North auction last weekend. The worst auction ever.
The agent quote for 10 Delta Ave Coburg North was $500,000 to $550,000. Two bidders kicked off the auction and it quickly reached the upper agent quote of $550,000.
However, the auctioneer wouldn't confirm if the home was on the market.  
Bidding slowed down to increments of $250 – a bidding strategy that was a costly mistake for the buyer.
After the usual theatrical intermission, the auctioneer returned from receiving the vendor's instructions and confirmed that the property was now on the market at $555,500. Two bidders continued to take rises of $250 to hit $560,750.
One bidder attempted a knock out bid of $565,000, but failed.
A new bidder (who ended up being the underbidder) joined the action at $565,500.
All three bidders were still moving the price up in $250 increments, and after what had seemed like an eternity the three bidders reached a price of $570,000.
Then it was down to two bidders, now at $576,250 and then by $250 bids to $580,500.
Finally, after 40 minutes of mostly $250 bids the property was sold for $583,750.
Buyer's agent David Morrell's advice to buyers for this type of situation is to bid aggressively and take control of the auction.
By breaking the bidding down to smaller bids here – David has sometimes seen people pay $200,000 over the reserve on $1000 bids – the other people bidding think you only have $1,000 left. No one can value a property down to $5,000 or $10,000. 
So increase the amount of your bid. Turn up the heat on the opposition. If you are standing next to them, offer to toss them for the property.
The realAs.com prediction was spot on; 0.2% off and the agent quote was 17% off.
<img src="/images/2014/10/16/837a164a-ceb5-4e59-b7ea-704b1450d402.png" alt="">
Josh Rowe is the chief executive of <a href="https://realas.com/home/" target="_blank">realAs.com.</a>
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jrichardson-uRX5hFdKfN

Aggressive bidding, not $250 bids, are needed to take auction control

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Recently, 116 people were surveyed by Certified Practising Real Estate Agents (CPREA), with 73% saying that they would expect a lower price from a private seller compared to a property listed by an agent.
CPREA chairman Geoff Baldwin said it’s not uncommon for buyers to negotiate even harder when they know that an agent isn’t representing the vendor, resulting in the buyer usually achieving a lower price.
“When confronted with a lower offer from a buyer, private sellers tend to think, well I’m not paying an agent and hence are more likely to accept a lower price,” said Baldwin.
“In fact listing the property with a proven, experienced negotiator can not only justify the agent fees but in many cases will result in a sale price thousands, if not tens of thousands higher than if sold privately,” he said.
He also noted that many property owners can find it difficult to deal directly with buyers, particularly those that are negative about a property, and can struggle to assess the financial capacity of buyers, deal with “subject to sale” offers, write solid contracts, get meaningful deposits and other aspects.
Property Observer readers – what’s your take?
{mijopolls 54} 
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 Do you expect a reduction in price if home is sold without an agent?

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Apartment development Bosco, from EG Funds Management, is a $130 million project with a Mediterranean style that borders on Italianate, but with a contemporary approach.
<a href="https://www.boscofivedock.com.au" target="_blank">Bosco</a>, which translates to ‘woodland’ in Italian, will include 152 one, two and three bedroom apartments and terraces with parking in Five Dock, nine kilometres from Sydney CBD.
Designed by Bates Smart, the apartments will include balcony rooms and views of Canada Bay, with striking sandstone, terracotta and chocolate Roman brick.
Apartment prices start from $600,000 for one bedroom offerings. There are 51 available, with one car space, ranging from 53 to 87 square metres.
The 74 two bedroom offerings, with one car space, will start from $760,000, spanning 70 to 90 square metres.
The largest apartments, 95 square metres to 107 square metres, are the 14 three bedroom two car park units from $1,100,000.
While those looking for the highest end offering could consider the three bedroom terraces, with two car parks, spanning 119 to 137 square metres. These range upwards of $1,350,000.
The VIP launch of the development will be later this month, on October 25. Completion of the development is expected in mid-2017.
Communal facilities include perimeter landscaping, with fig screen building canopies from the surrounding trees, pedestrian pathways and a central courtyard garden.
The development is being marketed through CBRE.
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Not quite Italianate Bosco in Five Dock slated for 2017 completion

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Melbourne City Council has secured the $76 million purchase of a 6462-square-metre property site opposite the Queen Victoria Market, although there were bids above $80 million from offshore buyers.
The vendor Robert Munro's family had owned <a href="https://www.commercialrealestate.com.au/property/2011417217/for-sale/vic/melbourne/development-land" target="_blank">the Munro site, as it's known, for 104 years</a>.
The Queen and Therry Street warehouse industrial property last sold in 1910 when bought by Robert Munro’s grand­father James Munro for 19,000 pounds from McEwen’s Hardware Co. The property has been retained by his family ever since, with the exception of occasional sales of smaller components such as the site now occupied by McDonalds on Elizabeth Street, in 1989. Ironically, the under-bidder for the site in 1910 was the Melbourne City Council who bid 15,000 pounds. According to marketing agents Clinton Baxter and Nick Peden of Savills, the property offers development potential virtually unrivalled and no longer obtainable within the Melbourne CBD.  
With 160 metres of main street frontage directly opposite the world famous Queen Victoria Market, the property has Capital City 1 zoning. "This property represents the single best redevelopment opportunity to be offered to the Melbourne market in many years. "The most significant in 20 years,’’ Mr Baxter said. “We were inundated with interest from across Asia, and in particular Mainland China, but after significant consideration, the vendor family elected to leave a legacy by selling to the City of Melbourne at a discount to higher bids.  
"The family is keenly aware of its 104 year history at the site and decided that its future was best handled by the City of Melbourne.”
It was bought from McEwan’s hardware business for the Munro family to run its automotive, manufacturing and spring businesses after James went to Paris to secure the agency for ­Clément-Bayard cars.
The sale adds a major element for the unfolding Town Hall plans to ­revitalise the market precinct.
The council will control the site eventually bringing in a private sector developer.
Commentators suggests buying the Munro site ought allow the council to convert the existing car park into public open space.
Five of the top six bids for the property were from mainland Chinese developers.
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jchancellor-FAypfDUnLy

Queen Victoria Market precinct site sells to Melbourne City Council after 104 year wait

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The vacancy rate across the country fell during September to 2.2%, at 64,458 vacancies, according to SQM Research.
Stable vacancies were seen over the past few months, with this being the first notable decrease, which SQM Research’s managing director Louis Christopher notes that it could be due to seasonality. Earlier years have reflected similar decreases.
The current vacancy rates, for September 2014:
Perth: 2.5%
Melbourne: 2.5%
Brisbane: 2.2%
Canberra: 2.1%
Darwin: 1.8%
Sydney: 1.7%
Adelaide: 1.5%
Hobart: 1.4%
All capitals fell over September, excluding Darwin which has seen a 1% increase over the year and a 0.3% increase over the month.
Perth, where there has been a substantial softening of 1% over the year as well, saw a 0.1% reduction over the month.
The surprising result is Hobart, where SQM Research notes that a recovery appears to be in progress. The capital recorded the largest yearly decrease – dropping 0.5% from 1.9% in September 2013. Over the month it fell a further 0.2%.
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Rental listings drop, yet may be seasonal result: SQM Research

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Affordability, and the lack of it, is a big topic for those working in the property industry and those buying into the property industry.
Some do not believe the affordability issue exists, such as observer Terry Ryder who was recently writing on<a href="/expert-insights/investing/there-is-no-australian-housing-affordability-crisis-terry-ryder"> what he sees as a mythical issue, </a>and has been for some years.
Others believe<a href="/expert-insights/investing/government-should-ignore-the-self-interested-nimbys-and-fix-sydneys-affordability-crisis-peter-bentley"> we are at a crisis level</a>.
Property Observer has compiled a list of the seven most regularly suggested ways to improve housing affordability and assist first time buyers enter into the market.
Add yours to the bottom of the post, and debate how effective you think these suggestions would be.
1. More first time buyer grants
Providing first time buyer grants to assist new home buyers get a foot on the property ladder at first seems to make a lot of sense. Giving them a cash injection looks as though it will give them a leg up.
Unfortunately, this isn't necessarily the case. Terry Ryder notes that, particularly at present with grants aimed towards new property, <a href="/expert-insights/investing/first-home-buyer-grant-schemes-simply-dont-work-terry-ryder">they do little to bridge the gap </a>between the cost of a new home and the cost of an established home.
Meanwhile, Steve Keen refers to these hand outs and grants as a<a href="/expert-insights/investing/housing-grants-a-poisoned-chalice-that-create-bubbles-and-leave-buyers-worse-off-steve-keen"> "poisoned chalice" </a>that create bubbles. It certainly isn't an uncommon perspective. Many believe giving out first home owners grants merely serves to increase property prices by the value of the grant.
2. Improving supply with more developments
This is often pushed by development companies or lobby groups, however does contain a some grain of truth – improve supply to keep up with demand. Simple? The reality is a little more complicated.
This would involve, in some states and territories, an overhaul of planning and the development approval process. Rezoning may need to occur. Cheap housing supply benchmarks may need to be set, and there would have to be consensus on what "type" of housing should be built.
Even if we did reach this point, it's unclear whether the increased supply would actually have an effect.
A recent article, which looked closely at supply and demand, argued that houses are not the same as bananas or other commodities when it comes to supply. ]
The argument<a href="/expert-insights/investing/its-bananas-increasing-supply-isnt-enough-to-satisfy-hunger-for-affordable-housing">, from academics Nicole Gurran and Peter Phibbs</a>, is that prices for housing are set by the total market, not just the new builds. When prices go up consumption does not decrease, as it might with bananas, and that rises in prices are often accompanied by a decrease in interest rates.
Even if improving supply is the solution, there are locals to also deal with. The McKell Institute's Peter Bentley previously wrote that dealing <a href="/expert-insights/investing/government-should-ignore-the-self-interested-nimbys-and-fix-sydneys-affordability-crisis-peter-bentley">with a NIMBY attitude will be an issue</a>.
3. Allow first time buyers to access their superannuation
A hugely contentious suggestion, and one that has been played out in other countries: Is superannuation the silver bullet for new buyers?
The Housing Industry Association (HIA) is keen, with their executive director Graham Wolfe noting that <a href="/expert-insights/buying/time-to-allow-first-home-buyers-access-to-superannuation-hia">it would assist with their deposit</a>.
“Accessing superannuation for a home deposit would provide temporary access to their personal savings. Provided it was repaid to their superannuation accounts over a period of time, similar to university HECS repayments, their retirement savings would be assured,” he said.
“HIA urges all stakeholders to support measures aimed at improving access to home ownership for first home buyers, including assistance in breaching the deposit gap.”
However, a number of experts, including wHeregroup's <a href="/expert-insights/buying/allowing-first-home-buyers-access-to-their-super-isnt-the-answer">T</a>odd Hunter,<a href="/expert-insights/buying/allowing-first-home-buyers-access-to-their-super-isnt-the-answer"> remain opposed to the idea, </a>saying that it would detract from the security and purpose of superannuation.
There is also the issue around what would occur if the property purchased drops in value, and the simple truth that not all young first time buyers have saved much in the way of superannuation. 4. Negative gearing reform
Tax reform, especially pertaining to negative gearing, is discussed every time a new budget comes up. Whether it's grandfathering the tax benefit out of existence, removing it completely, or some other change,<a href="/expert-insights/buying/how-to-fix-australias-affordable-housing-problem"> the proposal always winds people up.</a>
Some suggest that removing negative gearing benefits takes away the incentive for investors to buy into the market. Investors are often described as competing with first time buyers and subsequently driving house prices up.
Abolishing negative gearing may also remove financial advantages for investors who can afford to pay more, knowing it will cost them less to hold.
Others suggest that taking away benefits around negative gearing removes the incentive for investors to buy rental properties, which some argue assist the provision of rental housing stock. For those, an exodus of investors from the market is a bad thing.
You can <a href="/expert-insights/finance/room-for-debate-should-negative-gearing-be-abolished">read both sides of the argument here</a>.
This article continues on the next page. Please click below.
<hr class="system-pagebreak">
5. Alter stamp duty
Stamp duty is also widely considered a tax that stops new buyers, in particular, from getting into the market. Suggestions around replacing it with a broad-based tax have been thrown around, while others just want first home buyers to be given back their stamp duty exemption for purchasing any property.
Removing it completely is often proposed. In fact, BIS Shrapnel's Angie Zigomanis argued earlier this year that stamp duty is almost entirely responsible for l<a href="/news/saving-that-extra-20-000-is-the-drag-causing-first-home-buyer-slump">agging first home buyer numbers</a>.
Others suggest that <a href="/expert-insights/investing/federal-government-calls-for-state-government-stamp-duty-concessions-for-downsizing-seniors">giving older downsizers a relief from stamp duty</a> would help open up larger established properties for upsizers and first home buying families. This is already in place in some areas.
Stamp duty concessions and other property tax cuts, particularly for first home buyers, <a href="/expert-insights/buying/its-time-to-stop-tinkering-with-first-home-buyer-assistance-robert-larocca">seem to garner the most expert support</a>.
6. Macro prudential measures
While macro prudential control is not necessarily on the cards from the Reserve Bank of Australia (RBA), it has been the topic of some debate over whether it could help with not just lending standards but also affordability via the reduction of loan to value ratios (LVR), particularly if aimed towards specific sectors of the market.
Observer Catherine Cashmore recently <a href="/expert-insights/investing/can-housing-really-be-affordable-and-unaffordable-at-the-same-time">reflected on a BIS Shrapnel report </a>which found that while reductions in the maximum LVR can restrain demand, debt service to income ratio measures were assessed to be more substantial.
However, the report noted that “only tax changes affecting the cost of buying a house, which bear directly on the user cost, have any measurable effect on prices” and that  “none of the policies designed to affect either the supply of or the demand for credit has a discernible impact on house prices.”
"The study puts this down to the ‘can buys’ still outnumbering the growing pool of credit constrained ‘can’t buys’ – stressing that the importance of housing supply was not explicitly considered. Therefore if we want to lower house prices or put in place policies to aid affordability, we need to look outside the limited powers of the RBA alone," writes Cashmore.
What macro prudential measures will do, writes Lindsay David, is push new buyers to the sidelines for an immediate period of time and assist them from getting themselves into too much debt.
"[However, it will] negate their fair chance to own a home like their previous generations have– for a much lower cost," he writes, <a href="/expert-insights/finance/fire-the-rba-governor">asking "Where does this leave us?" </a>
7. Changes to foreign investment in Aussie property
The most popular debate around affordability over the past months has been the issue of foreign investors fuelling property prices across the country.
Whether it's <a href="/expert-insights/investing/hitting-foreign-buyers-with-extra-fees-is-an-ineffectual-solution-to-a-mythical-problem">hitting foreign buyers up with an extra fee</a>, increased enforcing of the current rules or an overall abolition of the investment, all manner of things have been suggested.
Unfortunately, it seems experts are split about whether foreign investment is substantially pushing up property prices, despite the<a href="/news/foreign-buyers-at-record-9-5-of-established-property-demand-nabs-alan-oster"> record numbers seen in recent months</a>.
Cameron McEvoy suggests that the affordability issue from foreign investors may be <a href="/expert-insights/buying/investor-saturation-in-suburb-hotspots-will-have-consequences-for-residents-and-investors">contained to specific suburbs and specific types of properties</a>.
 YOU MAY ALSO WANT TO READ
<a href="/expert-insights/buying/eight-housing-affordability-myths-debunked-cis">Eight housing affordability myths debunked: CIS</a>
<a href="/expert-insights/buying/government-needs-to-stem-exodus-of-first-home-buyers-reia">Government needs to stem “exodus of first home buyers”: REIA</a>
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The seven most common suggestions for 'fixing housing affordability'

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Hi Margaret,
My wife and I are considering building a duplex on the Sydney residential block where we currently live in our principal place of residence. The loan on the home is in my wife's name only and the balance of the mortgage is held in cash in the offset facility.
Our plan is to borrow to build the duplex, live in one and use the rental income from the other to pay down the loan and keep them both. We would both like to be signatories on the new loan. From a gearing perspective my wife is most likely to be the highest salary earner over the life of the loan.
My question then is what would be the best way to refinance/restructure the loan to minimise our tax liabilities? Alternatively, who would be the best person to approach for advice on this matter? Our accountant? Taxation specialist? Mortgage broker?
Margaret Lomas' answer is on the next page. Please click below.
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You will need to check with your accountant for your own individual circumstances, but I would suggest that he or she will most likely advise you that, for tax purposes, the land owner ( your wife) is treated as the recipient of all income / deductions including interest.
You have not specified if she is the only one of the two of you on the certificate of title - if so then only your wife gets the deductions. If you are both on title, but the loan is only in your wife's name, you need to check on her deductibility status, as I would suggest that the entire loan may not be deductible if only half the property is hers.
The name on any loans is irrelevant - except in regards to providing the security for the debt - as it is treated for tax as "on lent". I always tell people to be very careful when they structure their loans as the bank may not be giving the correct advice, or any advice at all in regards to structure. 
The bank will notoriously protect themselves by seeking commitment from both parties (where there is more than one) even where both parties may not be on the title, and this can really play around with your ultimate deductibility. 
I would have to say that when a new client comes to my company, Destiny, eight times out of 10 they have the wrong structure in place.  At times this can be fixed, but at others it cannot, and the best we can do is ensure that going forward, all is correct!
With regard to the new loan for the duplex, you must have your accountant correctly establish the relationship between the current debt in your wife's name and the present property, which is your Principal Place of Residence (PPOR). This is because the portion of the end debt which relates to the PPOR will not carry any deductions, while any portion of the debt relating to the new part of the build will be if it is income producing.
In relation to obtaining that new debt for the build, I am not sure why, if your wife will be the higher income earner, you wish to have this new loan in both names.
The highest income earner brings the highest deductions, and therefore the property and loan is best placed in that person's name, as long as you expect this situation to continue. In any event, even if you do use both names on any new debt, this won't change the fact that the title is in her name and so the deductions are hers.
You can only change this if, prior to undertaking the project, you essentially buy half of the property off your wife. You will pay stamp duty on half of the market value of the whole property, even if she sells it to you for a nominal amount.
I am not sure where you live, but in some states (such as Victoria) you can make a transfer of title by way of 'love and affection' and avoid this stamp duty - so check with the office of state revenue in your state.
When you do rent out the new property, be careful how you manage the rental income to pay off your personal debt.  he tax office does not like you to capitalise interest on an investment debt, and it will be critical for you to get proper tax advice appropriate to your personal circumstances before undertaking any rapid mortgage reduction strategy.
At the end of the day, always check with your accountant before making any move at all. 
Well-meaning mortgage brokers and banks are not usually able to provide you with the right kind of guidance in this very complex area. 
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mlomas-KC9MUPZ6Ca

Ask Margaret: How can I restructure my loan to minimise my tax liabilities?

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There are 1,043 auctions scheduled this week in Melbourne compared to 1,124 for the same time last year.
The highest volume of auctions is in St Kilda with 23 expected, followed by Reservoir with 22 and Kew with 19.
In the auction market the increased volume has shifted the market in favour of buyers with a lower clearance rate resulting from the almost 2,000 auctions held over the past fortnight.
In the private sale market however sellers are seeing a peak in demand with lower days on market and reduced discounting prevalent.
On a city wide basis, the time on market results for houses sold at private sale tightened from 40 days to 37 days over the last week whilst vendor discounting fell from -5.1% to -4.9%.
Key data
•       Clearance rate week ending 12 October: 70%
•       Melbourne auctions expected week ending 19 October: 1,043
•       Melbourne private sales time on market week ending 12 October: 37 days (houses)
•       Melbourne vendor discounting market week ending 12 October: -4.9% (houses)
•       Listings being prepared for market are 4.3 per cent higher in month ending 12 October (seasonally adjusted)
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