High-profile apartment defect cases have changed the way many NSW buyers approach purchasing, putting greater scrutiny on building quality, strata records and the parties behind a development before a contract is signed.

The industry buyers are assessing today, however, is also different from the one in which cases such as Opal Tower and Mascot Towers emerged.

NSW has introduced a series of regulatory measures aimed at strengthening oversight of apartment construction, including Building Commission NSW, the Residential Apartment Buildings Act 2020 and the Strata Building Bond and Inspections Scheme. Under the latter, developers are required to lodge a bond, with independent inspections forming part of the process for identifying defects in new strata developments.

Those changes provide another layer of protection, but they haven't removed the importance of buyer due diligence.

[smartcode_project:default project_id=5743 project_image_fid=372394]

For purchasers considering an apartment, that means looking beyond the residence itself. Building and strata history, strata reports, the track record of the builder and developer, the condition of common property and any known or planned expenditure by the owners corporation can all form part of assessing a building before purchase.

Whether the development is already complete can also materially change what can be assessed.

An off-the-plan purchaser is necessarily buying before the finished product exists. A completed apartment, by comparison, can be walked through before contracts are signed, allowing the purchaser to see the finishes, common areas and broader building as they have actually been delivered rather than relying solely on plans and renders.

It also removes exposure to some of the uncertainties that exist between an off-the-plan purchase and completion, including construction delays, cost pressures and builder insolvency during the delivery period.

[smartcode_project:default project_id=5743 project_image_fid=927]

<a href="https://www.apartments.com.au/project-marketer/equitifund-group">Projects by Equitifund</a> National Sales Director Ben Hamblett said that greater focus on tangible evidence is increasingly evident among apartment purchasers.

“The biggest shift we're seeing is buyers wanting proof, not promises,” Hamblett said.

“That's exactly why we deal in completed stock - you can inspect the building before you commit - and why we've backed every purchase with a cash bond against special levies.”

At <a href="https://www.apartments.com.au/buildings/the-lennox-parramatta-12-phillip-street-parramatta-nsw-2150">The Lennox</a> in Parramatta, that emphasis on a completed, inspectable product is already in place.

The 413-apartment, 46-level tower at 12 Phillip Street is being marketed by Projects by Equitifund, allowing prospective purchasers to inspect the residences, common areas and resident facilities before committing.

[smartcode_project:default project_id=5743 project_image_fid=375255]

The Lennox also introduces another layer to the due-diligence conversation through Strata Surety.

The vendor-funded arrangement provides purchasers with a cash-backed bond held in their own solicitor's trust account from settlement. According to Equitifund, the bond covers any special levy raised during the applicable cover period and is provided at no cost to the purchaser.

Special levies can create an unexpected cost for apartment owners where an owners corporation needs funding beyond its existing strata contributions. Under NSW strata law, a special levy requires approval by owners at a general meeting.

Equitifund Executive Chairman Greg Huxley said Strata Surety was designed to provide something more concrete than reassurance about that potential exposure.

“Buyers have every right to ask hard questions about strata risk - the industry has given them plenty of reasons to,” Huxley said.

“Our answer isn't a reassurance, it's a bond. Strata Surety puts real money behind that confidence, held by the buyer's own solicitor, not by us.”

[smartcode_project:default project_id=5743 project_image_fid=375281]

For The Lennox, its completed status also means purchasers can assess not only the apartment itself, but a building that has already been occupied and operating for several years.

Completed in 2021, the $300 million development, designed by <a href="https://www.apartments.com.au/architects/marchese-partners">Marchese Partners</a>, comprises one, two, three and four-bedroom apartments, with open-plan living areas extending to private balconies. Interiors incorporate engineered timber flooring, stone benchtops and integrated appliances, while many upper-level residences have views across the river and surrounding district.

Its established amenity can similarly be inspected in operation. Resident facilities include the Watermark precinct with a 20-metre pool, outdoor terrace, barbecue areas, gym, fitness studio and conference room, while ground-floor retail addresses the river walk and surrounding public space.

The Lennox is also home to the Southern Hemisphere's first fully robotic residential car park, which has now operated for several years. Its nine-level basement combines three conventional parking levels with six automated levels, accommodating 327 vehicles using technology from German firm Lödige Industries.

[smartcode_project:default project_id=5743 project_image_fid=925]

The riverfront address puts The Lennox close to much of central <a href="https://www.apartments.com.au/developments/parramatta-nsw-2150">Parramatta</a>'s existing infrastructure, including Parramatta Station, Westfield Parramatta, Parramatta Park, and the Church Street dining precinct.

The remaining apartments form part of a limited release secured by Equitifund, following the sale of the majority of residences before and shortly after completion.

The regulatory environment around NSW apartment construction has changed considerably since the defect cases that reshaped public discussion around the sector. For purchasers, however, regulation is only one part of the equation. The ability to investigate a building's history, review its strata position and, where possible, inspect what has actually been delivered remains central to making an informed apartment purchase.

At The Lennox, its completed status provides that opportunity before contracts are signed, while Strata Surety adds a financial backstop against special levies beyond the protections already provided under NSW strata law.

[smartcode_project_cta:default project_id=5743]

Joel Robinson

Buying with confidence: What NSW apartment buyers should check beyond the defect headlines

Too often, heritage buildings become the podium for a contemporary tower. At <a href="https://www.apartments.com.au/new-apartments/623-collins-607-623-collins-street-melbourne-vic-3000">623 Collins</a>, <a>Sterling Global</a> challenged its design team to reverse that process.

The brief to <a href="https://www.apartments.com.au/architects/plus-studio">Plus Studio</a> was deliberately simple: "Don't design around the heritage. Design from it." It became the philosophy behind a project that draws inspiration not only from two landmark heritage buildings, but from Collins Street itself, a street layered with architectural history and civic significance.

That philosophy has shaped one of <a href="https://www.apartments.com.au/developments/melbourne-vic-3000">Melbourne</a> CBD's most considered residential projects, where the 1924 State Savings Bank and neighbouring Batman's Hill Hotel have become the architectural foundation for 623 Collins rather than remnants preserved beneath a new development.

[smartcode_project:default project_id=145324 project_image_fid=372749]

Rather than approaching the site as a blank canvas, <a href="https://www.apartments.com.au/developers/sterling-global">Sterling Global</a> saw the existing buildings as the beginning of the story.

"Sites like this rarely become available," the developer said.

"623 Collins wasn't simply an opportunity to develop a prominent CBD site. It was an opportunity to restore and reimagine one of Melbourne's important heritage landmarks while contributing to the continued evolution of Collins Street. For us, the existing buildings weren't constraints. They were the beginning of the story."

Instead of mimicking the ornate heritage architecture, Plus Studio studied the proportions, rhythm and craftsmanship of the original buildings before translating those characteristics into a contemporary 42-storey tower.

[smartcode_project:default project_id=145324 project_image_fid=372748]

"The brief challenged us to create a contemporary landmark that respected Melbourne's architectural history without becoming nostalgic," Plus Studio said.

"Rather than mimicking heritage, we sought to understand its proportions, rhythm and material language before translating those qualities into a distinctly contemporary architectural expression."

The practice says the State Savings Bank and Batman's Hill Hotel became the project's primary source of inspiration, allowing the heritage buildings and contemporary architecture to exist "in conversation rather than contrast." Generous planted terraces further soften the transition between old and new, creating elevated green spaces while reinforcing the dialogue between the restored podium and the contemporary tower.

That dialogue continues throughout the interiors, where Melbourne designer Fiona Lynch developed a material palette inspired by the idea of alchemy, balancing contrasting materials that reference both the Neo-Grec detailing of the original bank and contemporary urban living. The result is a series of spaces that feel timeless rather than trend-driven.

[smartcode_project:default project_id=145324 project_image_fid=354343]

The project will deliver 316 residences across four collections, Heirloom, Signature, Reserve and the Penthouse Collection, with each responding differently to its position within the building, from the restored heritage podium through to the upper levels of the tower. The Heirloom Residences retain defining heritage elements including original heritage windows, generous proportions and high ceilings, while the tower introduces contemporary homes with expansive layouts and elevated views.

Amenities have likewise been designed to support long-term city living rather than short-stay convenience. Residents will have access to concierge services, wellness facilities including a pool, cold plunge, sauna, steam room and gym, alongside private lounges, entertaining spaces and dedicated resident clubs.

Sterling Global says that approach is resonating with buyers seeking permanence rather than novelty.

[smartcode_project:default project_id=145324 project_image_fid=354347]

According to the sales team, purchasers are looking for enduring architecture, generous floorplans, heritage character and long-term value, with many commenting that 623 Collins "doesn't feel like another apartment development" because of the way the architecture has been curated around the site's history.

Situated on the prominent corner of Collins and Spencer streets, the project occupies one of Melbourne's most recognisable gateway sites, marking the western entrance to the city's best-known street. For Sterling Global, it also reflects a broader shift in city-making.

"Rather than maximising development yield, the project embraces adaptive reuse as a design philosophy, allowing heritage to inform architecture, interiors and the overall resident experience," the developer said.

"The result is a building that feels uniquely connected to Melbourne."

[smartcode_project_cta:default project_id=145324]

How Sterling Global designed 623 Collins from Melbourne's history

Avant Townhomes is adding to Ivanhoe’s family-sized housing options with <a href="https://www.apartments.com.au/new-townhouses/three-82-ivanhoe-382-upper-heidelberg-road-ivanhoe-vic-3079">Three 82</a>, a collection of just 16 four-bedroom townhomes on Upper Heidelberg Road.

The <a href="https://www.apartments.com.au/developers/intrapac-property">Intrapac Property</a> townhome division has taken a contemporary approach to the traditional family home, pairing larger floorplans with the lower-maintenance format of a townhouse.

[smartcode_project:default project_id=152069 project_image_fid=374394]

Designed by <a href="https://www.apartments.com.au/architects/arcadia-studio">Arcadia</a>, with landscaping by Landsite, the homes feature generous open-plan living and dining areas that connect directly to outdoor spaces, with layouts also designed to maximise natural light and privacy.

Natural stone is used throughout the interiors, including in kitchens that pair stone surfaces with bespoke cabinetry, considered storage and SMEG appliances.

The four-bedroom layouts include built-in wardrobes and a main bedroom with its own ensuite, while family bathrooms service the additional bedrooms. Each home also includes a lock-up double garage and intercom entry.

[smartcode_project:default project_id=152069 project_image_fid=374399]

Energy efficiency has been incorporated into the design through solar panels, double glazing and reverse-cycle heating and cooling, with the homes targeting 7-star energy ratings.

Rather than incorporating extensive communal facilities, Three 82 has been conceived around private residential amenity, with the 16-home scale keeping the focus on individual homes and their own indoor and outdoor spaces.

The development is located at 382 Upper Heidelberg Road, around one kilometre from Ivanhoe Village's cafés and retail and a short drive from Eaglemont Station and Ivanhoe Station.

[smartcode_project:default project_id=152069 project_image_fid=374393]

Several of Ivanhoe's established schools are also nearby, including Ivanhoe Girls' Grammar and Ivanhoe Grammar School. The address also provides access to the suburb's parklands and the wider Yarra River corridor.

<a href="https://www.apartments.com.au/project-marketer/nelson-alexander">Nelson Alexander</a> has been appointed to handle sales.

Construction is underway and progressing well, with Three 82 currently tracking toward completion in Q2 2027.

[smartcode_project_cta:default project_id=152069]

Three 82 brings boutique four-bedroom townhome collection to Ivanhoe

Builder-developer&nbsp;<a href="https://www.apartments.com.au/developers/graya">Graya</a> has secured a prime Newstead site from fellow developer Fraser, subsequently lodging plans for The Silo, a major mixed-use residential project in Newstead designed around a new public laneway linking the James Street precinct with the wider Gasworks and Newstead neighbourhood.

Proposed for the corner of Chester and Morse streets, the <a href="https://www.apartments.com.au/architects/bureauproberts">Bureau^Proberts</a>-designed project places its strongest emphasis at ground level, where retail, landscaping and a new cobblestone pedestrian connection would open the site to the surrounding neighbourhood. The design team describes The Silo as “more than a residential building”, positioning the development as an extension of Newstead’s public realm rather than a standalone apartment tower.

“A new cobblestone laneway and landscaped connection between James Street and Gasworks unlock a missing pedestrian link, improving walkability and stitching together two of Brisbane’s significant urban destinations,” Bureau Proberts said in its Urban Design Report.

<img alt="First look: Graya plans The Silo as new pedestrian link between James Street and Gasworks" data-entity-type="file" data-entity-uuid="0ea1b06a-75f5-40a5-b2c5-33c97bc86052" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/silo%20bldg.png?VersionId=KmjsAtNePu57_B31EM_DJ5T6KPJHtcmo" />

The Silo is planned as a mixed-use development incorporating apartments alongside a bar and centre activities including food and drink outlets, indoor sport and recreation, office and retail uses.

Architecturally, Bureau Proberts has conceived the building as a collection of vertically expressed, stepping forms rather than a single uniform tower. The composition rises from an articulated podium before being broken by a triple-height landscaped recreation level, with the upper section becoming more compact before terminating in a landscaped rooftop garden.

The project's name and architectural language draw directly from Newstead's industrial history. Patterned off-form concrete is proposed as the principal façade material, complemented by slender metal rod balustrades and extensive planting. The cylindrical and vertically ribbed elements give the building its silo-like expression, while curved balconies and planted edges introduce a softer subtropical layer.

“The Silo reinterprets its robust forms, scale and materiality through a contemporary subtropical architectural expression, creating a building that acknowledges its industrial legacy, while responding to the way the precinct is occupied today,” Bureau^Proberts said.

The recreation level is one of the defining breaks in the tower. Plans include a lap pool, mature subtropical planting and shared resident facilities within an elevated communal garden. Landscaping continues through the podium and onto the rooftop, where a further garden forms what the architects describe as a “subtropical crown” to the building.

<img alt="First look: Graya plans The Silo as new pedestrian link between James Street and Gasworks" data-entity-type="file" data-entity-uuid="f8451036-35a4-49a9-8d88-2ef4438eba3d" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Silo%20Lane.png?VersionId=h8N31_rYmCEqoNrpt4kbYVQhJGZn60LH" />

At street level, the development has been designed to establish a more permeable block. Retail and hospitality tenancies address the public realm, while landscaped pedestrian spaces lead into the new laneway connection. Renders in the design report show the proposed “Silo Lane” as a substantial opening through the podium, framed by cylindrical concrete forms with cascading planting above.

The Silo continues Graya's move into larger apartment developments after building its reputation across high-end residential projects in Brisbane and the Gold Coast.

Graya buys Frasers Newstead site, plans The Silo between James Street and Gasworks precincts

<a href="https://www.apartments.com.au/developers/wickton">Wickton</a>’s completed Linacre Rise development in Hampton is giving Bayside downsizers the opportunity to move into a spacious apartment near the beach, with the developer covering stamp duty for a limited time.

The 27-residence development has been designed for buyers who want to simplify their living arrangements without giving up the space, warmth and quality associated with a long-term family home. Most apartments have already been secured by Bayside locals, leaving a select collection of two and three-bedroom residences and penthouses available.

Two-bedroom apartments are priced from $1.275 million, three-bedroom residences from $2.25 million and penthouses from $3.375 million, with the completed homes available to inspect and move into now.

[smartcode_project:default project_id=95289 project_image_fid=366760]

<a href="https://www.apartments.com.au/buildings/linacre-rise-hampton-8-10-linacre-road-hampton-vic-3188">Linacre Rise</a> occupies an elevated position on one of <a href="https://www.apartments.com.au/developments/hampton-vic-3188">Hampton</a>’s quiet, tree-lined streets, around 250 metres from the bay and 500 metres from Hampton’s village centre. Its setting gives residents access to the beach, local cafés, shops and Hampton Train Station while retaining the feel of an established residential neighbourhood.

Architecture and interiors by <a href="https://www.apartments.com.au/architects/ewert-leaf">Ewert Leaf</a> draw on the warmth and permanence of traditional brickwork, with the building integrated into terraced landscaping by <a href="https://www.apartments.com.au/landscape-architect/john-patrick-landscape-architects">John Patrick</a>. Ground-floor apartments are elevated above the street and include private garden courtyards, while several upper-level residences have generous balconies and outlooks toward the bay.

Inside, the residences favour natural materials and generous proportions. Herringbone-pattern European oak flooring, natural stone benchtops, premium joinery and Swiss V-ZUG appliances are among the key inclusions, while integrated storage has been incorporated across kitchens, bathrooms, studies and living areas.

The kitchens have been planned as practical spaces for both everyday use and entertaining, with substantial island benches, detailed cabinetry and adjoining dining and living zones. Full-height wardrobes, plush bedroom carpeting and carefully considered lighting reinforce the residential character Wickton sought to retain for buyers moving from larger homes.

[smartcode_project:default project_id=95289 project_image_fid=366769]

A Linacre Rise purchaser said the completed apartment had delivered the space, outlook and construction quality they had been seeking.

“The unit is very light, has views to die for over the bay, all construction materials and fittings are premium quality, we have secure parking for three cars, EV charging at very competitive rates, the neighbours are friendly and there is just a lovely ambiance about the place,” the purchaser said.

Environmental features include solar panels, shared electric vehicle charging stations, rainwater harvesting for toilet flushing and landscape irrigation, double-glazed windows and water-efficient fixtures and appliances.

[smartcode_project:default project_id=95289 project_image_fid=366762]

The development was built by Balmain &amp; Co, with Wickton managing the broader development process through its in-house team.

For downsizers, the project’s completed status removes much of the uncertainty associated with buying off the plan. Purchasers can inspect the finished apartments, understand their outlook and proportions, and move in without waiting for construction to conclude.

The remaining selection includes north-oriented balconies, corner configurations and penthouses with elevated bay views. The developer-paid stamp duty initiative is available for a limited time, with potential savings of up to $200,000 depending on the residence purchased.

[smartcode_project_cta:default project_id=95289]

Limited-time stamp duty offer at completed Linacre Rise apartments in Hampton

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?

For most Australians, buying an apartment is one of the biggest financial decisions they'll ever make

The location, floorplan and price are often the first considerations, but in recent years another question has become increasingly important: who is actually delivering the project?

A series of high-profile builder collapses, construction delays and defect concerns have fundamentally changed how many Victorians approach buying off the plan. The collapse of Porter Davis in 2023, which reportedly left around 1,700 homes unfinished, became one of the most visible examples of the risks that can emerge when a construction company fails. <a href="https://www.equifax.com.au/sites/default/files/lpassets/pdf/Final-Business-Market-Pulse-June-Sector-Deep-Dive-Report-2.pdf">Similar challenges across the broader construction sector</a> have left buyers asking more questions before signing a contract.

As Victoria continues encouraging higher-density housing to address supply shortages, transparency is becoming just as important as location or price.

One tool increasingly entering the conversation is the <a href="https://icirt.com/">Independent Construction Industry Rating Tool (iCIRT)</a>, an independent assessment framework designed to help buyers better understand the developer or builder behind a project. Originally developed by Equifax in consultation with government and industry as part of NSW's Construct NSW reforms, the system has since expanded nationally.

<h2 data-end="1519" data-section-id="7nmx3" data-start="1492">What is an iCIRT rating?</h2>

Most Australians are familiar with independent ratings in everyday life.

We compare ANCAP safety ratings before buying a car. We look at Health Star Ratings in supermarkets. Banks rely on credit assessments when lending money.

Until recently, however, there has been very little independent information available to help apartment buyers assess the business responsible for delivering a residential project.

That gap is what iCIRT was designed to address.

Builders, developers and other construction professionals with an iCIRT rating have demonstrated high-trust characteristics through an independent, evidence-based assessment across six criteria: Character, Capability, Conduct, Capacity, Capital and Counterparties. This involves a rigorous review of financial health, past project track record, and ethical conduct. Crucially, an iCIRT rating could help provide property buyers with confidence that they are working with a professional who has demonstrated the capability, capacity, and willingness to return and rectify issues.

Importantly, iCIRT is not a recommendation to purchase a particular property, nor is it a traditional credit rating. It is an independent assessment framework designed to provide objective information about a construction business using a <a href="https://icirt.com/sites/default/files/2025-08/iCIRT-Methodology-Issue1-May-2021.pdf">published methodology</a>.

The system has been widely adopted in New South Wales, where more than one-third of medium and large residential builders and developers now hold an iCIRT rating, representing over two-thirds of the state's residential building market by value as of 2025/26.

<h2 data-end="3126" data-section-id="h6ohtj" data-start="3084">Why buyers are doing more due diligence</h2>

For many buyers, particularly those purchasing off the plan, the biggest risk isn't whether they'll like the kitchen finishes.

It's whether the project will be delivered on time, to the expected quality, and by a company capable of completing the development.

<a href="https://icirt.com/sites/default/files/2026-07/iCIRT%202025%20Consumer%20Survey%20Report%20v05.pdf">Consumer research commissioned by iCIRT</a> found more than half of respondents believed current protections do not adequately safeguard buyers from builder insolvencies or defective projects. Other research found 88 per cent of prospective buyers would seek independent ratings or due diligence before purchasing, while 90 per cent said trust in construction professionals is essential.

That doesn't mean buyers should rely on a single rating alone.

Independent legal advice, understanding the contract, and seeking financial advice all remain important parts of the due diligence process.

However, an independent assessment can provide another source of information alongside those traditional checks.

<h2 data-end="4138" data-section-id="pquzxc" data-start="4094">Trust is becoming a competitive advantage</h2>

The conversation isn't only changing for buyers.

Developers are also recognising that trust has become an increasingly important part of the sales process.

Five years ago, purchasers typically asked about floorplans, finishes and settlement dates.

Today, sales teams are increasingly being asked about the developer's experience, financial stability, previous projects and construction partners.

For companies with strong governance and established delivery records, an independent iCIRT rating provides another way to demonstrate those credentials before buyers even visit a display suite.

According to Equifax, the assessment can also help businesses drive sales and <a href="https://icirt.com/resources-for-business/icirt-rating-helps-scion-secure-high-value-projects">secure high-value projects</a>, as well as identify operational improvements and <a href="https://icirt.com/resources-for-business/mirvac-reinforces-brand-trust-and-quality-independent-icirt-rating">attract top talent</a>.

<h2 data-end="4962" data-section-id="1j54ng5" data-start="4912">Beyond buyers: lenders are paying attention too</h2>

The influence of independent construction ratings is also extending beyond consumers.

According to Stamford Capital's Real Estate Debt Capital Markets Survey, an increasing number of lenders now incorporate iCIRT ratings into their due diligence processes when assessing residential development finance applications.

The survey found lender adoption has continued to rise, with many respondents saying independent assessments provide additional insight into governance, counterparties and delivery capability beyond traditional financial analysis. Some lenders also reported declining funding applications where businesses had poor or no ratings.

As construction costs remain elevated and access to development finance becomes more selective, demonstrating credibility is becoming increasingly valuable.

<h2 data-end="5801" data-section-id="1qazuxs" data-start="5772">What it means for Victoria</h2>

Victoria's apartment market is entering a new phase.

The state is seeking to accelerate higher-density housing while simultaneously introducing reforms aimed at improving confidence in residential construction.

For buyers, that means there are more tools available than ever before to research the businesses behind a project.

For developers, it signals that transparency is becoming another point of differentiation in an increasingly competitive market.

Buyers are asking more questions than ever before and increasingly expecting independent information, not just marketing material, before making one of the biggest financial commitments of their lives.

Find out how to get iCIRT rated <a href="https://www.icirt.com/sites/default/files/2025-08/iCIRT-Infographic-Assessment-Process-Final.pdf">here</a>.

<hr data-end="6469" data-start="6466" />
The information contained in this article is general in nature and does not constitute personal, financial, legal or tax advice. It does not take into account your personal objectives, financial situation or needs. Therefore, you should consider whether the information is appropriate to your circumstances before acting on it and, where appropriate, seek independent professional advice.

This article contains links to third-party websites. These links are provided for convenience only. Equifax Australia does not control and is not responsible for the content, accuracy or privacy practices of external sites.

Copyright © 2026 Equifax Australia Information Services and Solutions Pty Ltd. All rights reserved.

Buying off-the-plan in Melbourne? How independent iCIRT ratings are set to change Victorian property

<html><body>
The recent Australian Bureau of Statistics’ demographic information release has been picking up by the Housing Institute of Australia (HIA), who explained that it pointed to a strong and ongoing demand for housing.
With Australia’s population ticking upwards, by 100,000 people in the September quarter of 2013, cites HIA economist Geordan Murray, the new total is 23.24 million. “The result provides annual growth of a relatively strong 1.8 per cent,” said Murray.
In the year lead up to September, the birth minus death rate, also referred to as the natural population increase, increased the population by more than 164,000 people, to the tune of 2.9% growth and a 0.7% overall annual population growth addition.
“We have a situation where the importance of migration in securing the nation's future economic prosperity is widely, and appropriately, acknowledged. It is vital that the implications of stronger population growth for housing demand are reflected in a clear and strategic focus on housing supply policy from all levels of government,” he continued.
Net overseas migration also increased by 1% in the year to September 2013.
Population growth and the relationship with housing is a keenly discussed factor in Australia’s future. Observer <a href="/expert-insights/investing/long-term-population-growth-forecast-makes-australia-a-sensible-investment">Pete Wargent recently pointed to this aspect as the reason why Australian property is attractive to invest in</a>.
“It's often said that where a population does not grow then GDP growth may likely stall, in part because Australia, like many developed nations, has an ageing population,” he explains of the dynamic.
Criticism has also been levelled at government bodies in the past for not planning ahead for population growth, and the <a href="/expert-insights/investing/our-politicians-are-ignoring-the-realities-of-population-growth">HIA’s comments have been cited by Robert Simeon in regards to this</a> back in December
The Urban Development Institute of Australia is <a href="/news/better-planning-critical-for-projected-population-growth-udia">suggesting more land releases and a closer look at policy</a>.
</body></html>

jduke-EHk3XBmHkn

Demographic statistics from the ABS point to housing demand: HIA

<html><body>
GUEST OBSERVATION
As a property investor there’s one key skill you will need for every transaction you make – the art of negotiation.
Nailing this skill is almost compulsory in your success at making a profit on every property that you buy, and ensuring that the purchases you make are never pointless ones.
Introductory tips on negotiating like a pro
First and foremost you need to determine the market you’re buying in. Try and purchase at the end/or during a spell of bad consumer sentiment, when the optimists are no longer running wild.
Remember, no one has become wealthy doing what everyone else does, so your challenge is to think for yourself and ask: “why will this time be any different from the last?”
Once you’ve found a property: Let the games begin
You must start your negotiation from a position of strength, so you need to do your research.
Learn the market and assess the value of the property, remembering that the profitability comes from the land component. Before you pick up the phone to the agent, come to grips fully with the price. Seeing over 2000 transactions in my office over the past decade has given me a radar that can get within 1-2% of a property’s value, but you can get this with your own with various tools - including databases, auction attendances and seeing properties first hand.
Walking Away
If the property seems way too expensive it probably is, so walk away.  As few properties as there currently are on the market there will always be another and, most importantly, it will be for the right price.
Don’t attend auctions
For investors, if the property is going up for auction then don’t attend. There isn’t a deal to be done in an auction environment that doesn’t have the vendor popping champagne! The definition of buying a property at auction is ‘paying what the vendor wants on the day’.  I have attended and bought significantly reduced price property at auctions, but these times are few and far between and certainly not while we live in a world of record low interest rates. So take my advice and keep clear!
Negotiation starts when you pick up the phone
Once you’ve found a property in a good location that is not overpriced and not up for auction, it’s time to pick up the phone! When you first reach out to a sales agent always tell them you’re an investor, not a home buyer.
The reason for this is simple – by telling them you’re an investor they’re more likely to sell you the property because you might use them for rental management, providing more business.
It also shows that you are only interested in buying it for a price and they don’t have to entice you into falling in love with the home!
Act nonchalant
Always act nonchalant. You want them to think you’re not that bothered if you get the property – then ask them for a discount upfront.
You want them to know you’re only interested in the property at a certain price - after all, you are an investor! Why waste time you could be spending doing more research if you can’t even afford it?
Low-balling is a terrible tactic in bull markets
When negotiating avoid the logic ‘always offer 15% under the asking price’. Don’t follow this as a rule. If it was that simple, agents would just ask for 20% higher and still be 5% in front!
Keep in mind agents are experts at selling property not experts in investing – but you are an expert in investing.
Ask for the contract
Ask the agent for the contract up front before the viewing. Firstly, it won’t pique the interest of other potential buyers if you ask for it in front of them, and secondly, it can allow you to compare better sales data and analysis on the value of the home - including easements, potential for pools, and the all important neighbouring properties.
Once you’ve completed the viewing and are happy with what you see, the real negotiating can begin…
Make the offer
One of the best tactics I’ve learnt for negotiating like a pro is to simply put an offer on the table straight away.
You have the contract already, so then and there write down your offer and hand it to the agent. You’re in a position of power now, the agent knows that this is the only price you’re going to pay and has to go to their vendor to ask them to consider it.
Timing is very important in this. In general, earlier is better and I have won many properties by forcing the hand of an agent on a Saturday after inspection.   
Just remember, practice makes perfect – so test it out on some dud properties you’re not interested in first and then try it for real. Just keep thinking the line the entire time, ‘I am happy to walk away from this property’. It is a great position to be in.
Gavin McPherson is the CEO of Oasis Property and author of  Value Investing in Property: What would Warren Buffet do if he was investing in property in Australia? 
</body></html>

gmcpherson-YBEWnRLxLK

The subtle art of negotiation

<html><body>
Escaping to a rural retreat is the dream of many city slickers yearning for a blissfully buccolic existence on a lifestyle weekend property with a pony paddock, veggie garden and chook house. 
This week our property contrarians Jonathan Chancellor and Margie Blok discuss two luxury properties coincidently both near Mount Macedon (64 kilometres north-west of Melbourne) where the piece de résistance is a designer chicken coop suited to the fussiest of fowls. 
<ol>
<li>
Cluckingham Palace is a grandly named state-of-the-art chook house at Hammet, the Macedon luxury weekender of Transfield Services CEO Graeme Hunt and his wife Karen, which is <a href="https://www.jelliscraig.com.au/property/MACEDON-19-Hammet-Place/6770457/#.UzT5zaiSx8E" target="_blank">listed for April 5 auction through Jellis Craig agents</a>, Tom May and Paul Keane, in conjunction with Nicolette van Wijngaarden of Unique Estates. <img src="/images/2014/03/28/macedon%20march%2028%20one.jpg" alt=""> The Hunts purchased the four-acre property in 2008, and since it has been extensively developed, with Karen co-ordinating the landscaping designed by garden guru, Paul Bangay, and other design concepts conceived by the late interior designer, Stuart Rattle. While the equine pursuits of Karen and her daughter, Madison, were a motivating factor for the Hunts’ purchase of Hammet, they also wanted somewhere for the children to experience open space, farm fresh produce and self-sufficient living – a place with free-range egg producing hens and gardens abundant with vegetables and fruit. <img src="/images/2014/03/28/macedon%20march%2028%20four.jpg" alt=""> These aims led to the development of Hammet’s vegie gardens, orchard, 125 tree olive grove and Cluckingham Palace, the Stuart Rattle designed luxury hen house with its traditional four-sided cupola and cock-a-doodle-doo weathervane on the roof. Set privately behind bespoke entry gates and approached by a tree-lined driveway, Hammet’s beautifully appointed four-bedroom residence has uninterrupted views of Mount Macedon and the surrounding countryside. In the grounds are magnificent formal garden rooms, rolling lawns, a floodlit tennis court, children’s playground and lake. <img src="/images/2014/03/28/macedon%20march%2028%20three.jpg" alt=""> Macedon’s four seasons appeal to the Hunts whose home has glorious winter views of oft-Not quite snow-capped Mount Macedon. Originally the family owned one pony, but given their stable size increased, they’re now looking for a larger property to accommodate the horses. With their love of the local community and Macedon’s easy access to the city (45 minutes drive), they intend staying in the region, which for Graeme provides a quiet and relaxing retreat from his high stress, fast paced, executive life. 
</li>
<li>
Not quite as grand, but a cupola and weathervane also adorn the roof of the chook house at Glenbroch, a magnificent 16-hectare lifestyle property at Woodend in the foothills of Mount Macedon. This property also <a href="https://www.glenbroch.com.au/home" target="_blank">is for sale through </a><a href="https://www.glenbroch.com.au/home" target="_blank">Jellis Craig agents</a>, Tom May and Paul Keane. At the end of an oak lined driveway, the two-storey sandstone gabled residence stands in magnificent gardens with numerous garden rooms, an ornamental parterre, extensive hedges, topiaries, lawns, English trees, maple groves, a crabapple walk, orchard and a kitchen garden. Also in the grounds are an entertaining deck, swimming pond and a leafy 'secret garden' leading to a playground and cottage cubby. <img src="/images/2014/03/28/Woodend%20march%2028%20one.jpg" alt=""> Located at 73 Reid Road, and with direct access to Mount Macedon Regional Park, the property has superior equestrian facilities including a stables, tack and feed rooms, a hot internal horse wash and a manège (a rectangular arena for horse training and dressage). Other features include secure post and rail paddocks with electric fencing, quality stockyards, a cattle crush, four dams, seven water tanks and drinking quality bore water for the garden and livestock. From a distance it is as if it was an original stone homestead from the early days of settlement, but the two-storey house was built a little more than 20 years ago by its original owners, the Reids, for whom the road is named. Liz and Milton Collins bought the property five years ago - country people with Milton Collins from country Victoria and Liz Collins from Tasmania, and for many years had run Woodend's grand old Campaspe House. They lived in the former barn before they built their dream home - and its now has been turned into a tack room, washroom and feed room for the horses. The garden has been re-created as a sculptured formal garden, in the style of Sissinghurst Castle in England.
</li>
</ol>
<h5>HE SAID:<img src="/images/2014/03/28/jc-silhouette-7.jpg" alt="" style="float: right;"> </h5>
I’m all for chooks being housed in the lap of luxury, but I draw the line at them perching on chandeliers.
I have a soft spot for chooks and where they live having gleefully collected the hen's eggs in my childhood holidays at Merrijig.
Hens are social, intelligent, funny and inquisitive animals, and I say “Bravo” to the Animals Australia recent video campaign commercial featuring five famous comedians (Peter Rowsthorn, Mick Molloy, Anthony "Lehmo" Lehmann, Arj Barker and Carl Barron) who profess their love for the “ladies” and bring to attention the ugly conditions of battery caged chooks, by declaring, “That ain’t no way to treat a lady”.
<h5>SHE SAID:<img src="/images/2014/03/28/mb-silhouette-6.jpg" width="100" height="150" style="float: left;"></h5>
I adore palatial poultry palaces that keep hens safe and warm come rain or shine, especially at Mount Macedon which often has all four seasons in a day.
As well as keeping “the girls” comfortable and happy, a designer hen house adds a striking feature to the garden.
My favourite is a white-washed coop <a href="https://www.thefancyfarmgirl.com/heres-the-coop/" target="_blank">featured on the Fancy Farm Girl blog</a>. As well as requisite feed bins, this astonishingly neat and tidy chookery has a crystal chandelier and comfortable armchair – just the spot to perch and chat with your feathered friends.
Any decent Australian version of course must have a Leslie Wilkinson/Hardy Wilson style cupola atop any coop.
I maintain that especially during the Australian winter, chickens often need extra light to lay eggs, so putting in a chandelier into the coop is not only pretty, but functional.
</body></html>

jchancellor-FAypfDUnLy

Designer chicken coops for the fussiest of fowls: He Said/She Said 

<html><body>
Vision by Halcyon, developed by over-50s lifestyle community developer Halcyon, is a $60 million approach to take advantage of the market that saw the Halcyon Waters development sell out.
Located at Hope Island this new project will include a 52-berth marina and a number of waterfront dwellings with eight-star energy ratings.
<a href="https://www.lifebeginsathalcyon.com.au/halcyon-vision/" target="_blank">Vision by Halcyon</a> will include a lifestyle and aquatic precinct that will feature health and well-being facilities including a leisure club, fitness centre, pool, spa, yoga room, media and massage room, kitchen, dining facilities, lounge area, a floating boat house with boat storage and multiple other spaces.
Bevan Geissmann, the joint managing director for Halcyon, and business partner Paul Melville, launched the site following the completion of Halcyon Waters – a 227 site development.
“The success of Halcyon Waters has proved that we have a sought after product in a wonderful location that meets the increasingly sophisticated needs of the over 50s buyer,” said Geissmann.
“Halcyon Waters final home was the flagship Paragon residence which sold off the plan for more than $1.1 million.”
The local council have expressed their approval, with Hope Island Councilor and city planning chair Cameron Caldwell referring to the developers as “great visionaries”. “It’s certainly a market that needs to be addressed as our population ages, and we wish them well,” Caldwell said.
This month will see the first of four stages begin construction. Interest is expected initially from locals and downsizers, however he does believe that 40% of the buyers will be from other areas in Queensland and from interstate locations.
The first release will be 21 properties, including waterfront and non-waterfront, and single, double and split-level layout offerings.
Properties start at $555,000 and climb to $1.25 million. Upon purchase, a fixed weekly fee indexed to CPI is charged covering all running and management costs as well as water/rate charges. They are advertised with no rentals, no stamp duty and no exit fees.
For the latest development listings, brought to you by Property Observer and partners, see our <a href="https://showcase.propertyobserver.com.au/" rel="nofollow">INVESTOR SHOWCASE</a>. 
</body></html>

Gold Coast's $60 million Vision by Halcyon targeting over-50 downsizers

<html><body>
A two-bedroom house with a rear studio made out of recycled tin has broken Redfern's house price record, selling for $2.73 million.
A crowd of 100 gathered at 105 Marriott Street, to watch less than a handful of bidders push the price $230,000 above the $2.5 million reserve for the 265 square metre property.
It sold to an inner-west family though Charles Touma of Belle Property Glebe by the Byron Bay bound vendor film producer Jane Smith, who grew up on a farm in Cootamundra and thinks tin sheds are great. There had been $2.25 million plus pre-auction hopes by Jane Smith who first moved to Redfern 15 years ago.
The property had previously sold in 2010 at $1.65 million, and in 2007 at $1,275,000 and at $701,000 in 2001.
The previous Redfern record was set in 2013 when the 27 Chelsea Street home of late artist Brenda Humble sold for $2.58 million. The four-bedroom home on 400 square metres sold for $330,000 over its reserve.
Redfern's weekend offering was a double fronted three bedroom freestanding home plus freestanding rear corner tin shed building. The historic 1940s tin shed had undergone a designer transformation into two self-contained spaces.
The rear tin shed - credited to architect Raffaello Rosselli - is set up as a work from home space with kitchenettes. It had also been available on Airbnb.
The shed in its prior state was structurally unsound so the original shed was disassembled in 2011 and set aside for the erection of a new timber frame.
Layers of corrugated iron accumulated over generations of adhoc repair were then reassembled on three facades with Corten steel window boxes opening up the once windowless space.
 The front and rear dwellings are connected by a grassed yard with timber decking.
The median house price for <a href="/news">Redfern</a> sits at $921,500, an 11% jump from the previous 12 months, according to RP Data.
It was among the many record prices set across Sydney suburbs so far this year.
This list of records set in eight known suburbs, according to APM figures, includes consecutive records set at Matraville.
Warren Ball Avenue, Newtown: undisclosed but $3.5 million plus (previous $3.2 million in 2010)
Water Street, Wahroonga: $9.2 million ($7.5 million in 2013)
Llandilo Avenue, Strathfield: $6.8 million ($5.75 million in 2007) through Joseph Georges &amp; Co
Larose Avenue, Matraville: $2.04 million ($1.93 million in 2014)
Trevilyan Avenue, Rosebery: $2.17 million ($2.02 million in 2013)
Belmore Road, Peakhurst: $1.64 million ($1.48 million in 2013)
Montpellier Ridge, Bella Vista: $2.24 million ($2.08 million in 2013)
Georges River Crescent, Oyster Bay: $3.45 million ($2.9 million in 2007)
(Source APM)
</body></html>

Corrugated iron 1940s tin shed $2.73 million Redfern record after Raffaello Rosselli repurposing

<html><body>
After writing my article a few weeks ago on <a href="/expert-insights/buying/how-to-accurately-calculate-the-cost-of-your-development-project">how to accurately calculate the cost of your development project</a>, I was chatting to Bob - one of our quantity surveyors (QS).
Bob a director of <a href="https://quanto.com.au/" target="_blank">Quanto</a>, our preferred QS, is the cost plan man and Glenn another director looks after our depreciation reports; both are very talented guys. 
So Bob estimates the building cost of a development and prepares trade based cost plans. During our chat, I asked if he’d be willing to run a cost plan for one of our completed projects as I wanted to conduct an experiment. 
Bob was up for it.  I wanted to see just how accurate the cost plan would be against the actual build costs.
I emailed Bob the plans for a dual occupancy project we had recently completed.  It consisted of two freestanding three bedroom, two bathroom, single lock-up garage villas situated on a corner site.
Not long afterwards, I received the cost plan. I opened the plan along side of the final builder’s account and was very happy with what I saw.
The actual build cost had come in a few thousand dollars less than the cost plan. This confirmed one thing that I did already know, that our builder is very good value. Not just because of saving but because we don’t use standard fittings in Property Bloom developments. We have upgraded tap ware, wall hung vanities, robe doors and appliances, the cost plan allowed for basic builder’s range.
The cost plan is 10 pages long and as I read through it I found it extremely interesting to see the detailed breakdown of every item, for every trade, for everything from bricks to letterboxes.  This information is invaluable and we can now use it to really investigate areas of our construction where there are a high proportion of costs and see what we can do to reduce them.
For example, I could see that the timber roof trusses cost for the dual occ was around $15,000.  I wondered if we could shave any costs from this area with a simpler roof design. 
I could see the slabs (two) cost came in around $28,000. Again, could we reduce this cost perhaps with a more effective slab design?  In fact when looking at the total for substructure, which includes piering, concrete footing beams, waffle pod reinforced concrete slabs, driveways, paths and water tank slabs, driveway cross over to street (on council land) and timber retaining walls, I worked out there was 13% of the total build cost in this area. If we can be a little more efficient here, we could see a good savings.
I plan to share and discuss the cost plan with our builder and use it as a tool to examine the different areas of the cost to see where we can make savings that won’t impact on the quality or street appeal of the dwellings. 
To this meeting I’ll invite the builder’s construction manager as he’s the man on the ground with years of building experience. He has in the past looked at plans and made a suggestion that has reduced costs. We’ll ask the builder’s drafts people and the builder’s estimators to be present and of course the sales manager who is our invaluable day to day contact who happens to also be an experienced developer herself.  
We already know we are passing on good value and a highly experienced builder to our clients, which helps to reduce some of the risk associated with property developing. We have refined our project management process over the years to make it more efficient and we are completing projects faster than ever.  This experiment and having access to a cost plan has made me look at our project costs from a different angle, that’s always a good thing.
<a href="https://www.propertybloom.com.au/" target="_blank">www.propertybloom.com.au</a>
</body></html>

jochivers-wq5Bp59R5a

Our cost plan v actual build cost experiment

<html><body>
The pre-Easter auction rush gathers pace this weekend with 790 homes set to go under the hammer, the highest number of Saturday auctions this year.
The following two weekends’s each have in excess of 900 homes.
The prestige market continues to improve with last Saturday recording 20 sales of properties above $2 million, according to Australian Property Monitors.
Prestige buyers were active in the lower north last weekend with a stunning clearance rate of 92.5%. Next best was the city and east with 89.7% followed by the inner west with 86.8%.
Andrew Wilson, the senior economist for Australian Property Monitors, says this weekend the inner west will again provide the most number of auctions at 128 followed by the south with 107 and the city and east with 103.
Ashfield in the inner west is the most popular suburb for auctions this weekend with 12 listed. This is followed by <a href="/news">Paddington</a> in the city and east with 10 and number of suburbs with nine auctions scheduled including <a href="/news">Epping</a>, <a href="/news">Earlwood</a>, <a href="/news">Bexley</a> and <a href="/news">Chatswood</a>.
Last weekend a <a href="/expert-insights/buying/corrugated-iron-1940s-tin-shed-2-73-million-redfern-record-after-raffaello-rosselli-repurposing">Redfern offering set a record price</a> for the suburb. 
Recently a <a href="/news/lavish-strathfield-offering-sells-for-record-6-8-million-as-inner-west-prestige-gathers-pace">Strathfield</a><a href="/news/lavish-strathfield-offering-sells-for-record-6-8-million-as-inner-west-prestige-gathers-pace"> offering set a suburb record</a> (featured picture above) at $6.8 million through Joseph Georges, of George Ellis &amp; Co for a house with over 1,000 square metres internally, with garaging for seven cars, a pool and tennis court.
APM has listed some seven other recent record sales from <a href="/news">Bella Vista</a> in the north to <a href="/news">Oyster Bay</a> in the south.
"The Sydney market continues to meet every challenge over autumn and remains on record breaking pace for the number of listings, the number of sales and naturally the value of property sold at autumn auctions," Wilson said,
Last weekend produced another strong result for the local market with a clearance rate of 81.5% – the eighth consecutive weekend rate at or above 80% this year on they initial rests, although the revised figures after more results have settled around 77%.
"The average (initial) weekend rate this year at 82.5% is clearly higher than the 78.6% averaged over the final eight weeks of the last year’s spring-summer market and unsurprisingly well ahead of the 71.1% averaged over the same eight weekends a year ago," Wilson said.
</body></html>

Some 790 weekend auctions, then the pre-Easter fortnight of 900 plus Sydney auction offerings

<html><body>
Recently news filtered through that Sydney-based <a href="http://www.ashemorgan.com.au/">AsheMorgan</a> had <a href="http://www.theaustralian.com.au/business/property/docklands-sale-citys-biggest-in-seven-years/story-fn9656lz-1226857431660#">acquired Harbour Town and the Medibank Ice House Ice complex</a> within Waterfront City from <a href="http://www.ingrealestate.com.au/">ING Real Estate</a>. The $150m sale of the 40,000sqm centre follows the disposal of the Melbourne Star observation wheel to its Japanese builders and the sale of Waterfront City's only water fronted parcel to <a href="http://www.mab.com.au/">MAB</a> who are developing <a href="http://www.newquaypromenade.com.au/home">NewQuay Promenade</a>.

These asset disposals seem a clear sign that ING Real Estate are looking to slowly but surely exit the precinct and absolve themselves of any further responsibility within the area. They currently retain ownership (for the time being at least) of the the Costco building, the multi-level car park and an adjacent undeveloped tract of land. The question which must now be posed is - "where to now for the trouble plagued precinct?"

From the moment of its conception, Waterfront City has struggled with an identity crisis of sorts; it's part entertainment precinct and part shopping precinct with no real unifying theme. Bearing that in mind today's piece constitutes the first part of a series of articles looking at ways of improving the look and usability of the precinct.

<h2>Rebranding/Change of name</h2>

With the single stretch of water frontage now controlled by MAB (see render below) it would appear an opportune time to reconsider the precinct's name and branding strategy in addition to erasing the negativity associated with the precinct.

<a class="colorbox colorbox-insert-image" href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/NewQuay%20Promenade.jpg" rel="gallery-all" title="NewQuay Promenade. © MAB"><img alt="" class="image-article-full-width-580px" height="327" src="/sites/urbanmelbourne.info/files/styles/article_full_width_580px/public/pictures/article-images/NewQuay%20Promenade.jpg?itok=V-VRoDDs" title="NewQuay Promenade. © MAB" width="580"></a>

Now this is probably best left to the marketing types but let's just go with something like North Dock. I'll be honest I didn't expend a whole lot of mental power in conceiving the name but I think it's not half bad. Feel free to suggest your own.

<a class="colorbox colorbox-insert-image" href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/northdock.jpg" rel="gallery-all" title="North Dock."><img alt="" class="image-article-full-width-580px" height="171" src="/sites/urbanmelbourne.info/files/styles/article_full_width_580px/public/pictures/article-images/northdock.jpg?itok=2fnpsA8C" title="North Dock." width="580"></a>

<h2>Improving the first impression</h2>

When entering Harbour Town either after disembarking from a tram or crossing Docklands Drive, visitors to the precinct are confronted with a bland and sterile entry point defined by cheap finishes over what should be a gateway building. Introducing a green wall to soften the harshness of the facade and employing an operable timber screen both for resident privacy and visual interest would do wonders for a comparatively small outlay.

Signage identifying the precinct awaits within the central median strip, with new greenery also helping to remould first impressions for visitors crossing Docklands Drive from NewQuay Promenade.

<a class="colorbox colorbox-insert-image" href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/WFC%20Gateway_EDIT_0.jpg" rel="gallery-all" title="Refurbished entry to Harbour Town © Laurence Dragomir"><img alt="" class="image-article-full-width-580px" height="347" src="/sites/urbanmelbourne.info/files/styles/article_full_width_580px/public/pictures/article-images/WFC%20Gateway_EDIT_0.jpg?itok=pyn9W4Xx" title="Refurbished entry to Harbour Town © Laurence Dragomir" width="580"></a>

<h2>Taking a cue from Merchant Street</h2>

Over at Victoria Harbour Lend Lease are in the process of <a href="http://www.victoriaharbour.com.au/news-and-events/news-and-events/news-degrees-of-change" target="_blank">upgrading Merchant Street</a> and have enlisted the help of renowned hospitality architects Six Degrees.

<blockquote>
"Changing things up is also part of Six Degrees’ approach to the project more broadly. Its aim is to achieve the mixture of venues and shopfronts you would see in any high street in Melbourne or, indeed, in any high street anywhere in the world. “In your usual high street … you’ve got evolution of 100 years – you’ve got all sorts of canopies, verandas, free-standing cantilevers and so on,” says Healy.

“We want to bring in that idea of variety and diversity. This is important at the level of scale. We needed to introduce a finer grain, so we decided to ‘chop’ and make tenancies into two and three … but we are trying to make it somewhat architecturally consistent per tenancy.”
</blockquote>

<a class="colorbox colorbox-insert-image" href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/MerchantStreetOverview.jpg" rel="gallery-all" title="Merchant Street revamp. © Six Degrees"><img alt="" class="image-article-full-width-580px" height="191" src="/sites/urbanmelbourne.info/files/styles/article_full_width_580px/public/pictures/article-images/MerchantStreetOverview.jpg?itok=wLqVDh6M" title="Merchant Street revamp. © Six Degrees" width="580"></a>

While Merchant Street presents a much smaller challenge than any overhaul of Harbour Town, a similar strategy could be employed incrementally with a variety of architects and designers chosen. The focus on a greater mixture of uses, architecture styles and in particular activating the upper level concourse should be at the forefront when trying to lift/design the current venue out of the doldrums.

The introduction of maritime materials and architecture on the remaining undeveloped roof tops is a possibility - topped with gabled roofs perhaps mimicking the existing Central Pier sheds and similar to what is proposed at Wharf Precinct within Victoria Harbour

<h2>(Car) Park²</h2>

Visible from the Melbourne Star and once proposed to house the Docklands Ice Centre atop, the Waterfront City multi-level car park is presently a wasted site. With previous proposals for an apartment complex along it's western elevation yet to see the light of day, I believe it's worth considering some alternative uses for the site, in particular the expansive rooftop.

A perfect place for a park, maybe? And why not throw in a community 'greenhouse' on top as well?

<a class="colorbox colorbox-insert-image" href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/waterfront%20city%20park.jpg" rel="gallery-all" title="Rejuvenated Car Park and park with 'greenhouse' on top. © Laurence Dragomir"><img alt="" class="image-article-full-width-580px" height="299" src="/sites/urbanmelbourne.info/files/styles/article_full_width_580px/public/pictures/article-images/waterfront%20city%20park.jpg?itok=SwAru233" title="Rejuvenated Car Park and park with 'greenhouse' on top. © Laurence Dragomir" width="580"></a>

<a class="colorbox colorbox-insert-image" href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/waterfront%20city%20park%20%2B%20greenhouse.jpg" rel="gallery-all" title="Car Park rooftop. © Laurence Dragomir"><img alt="" class="image-article-full-width-580px" height="387" src="/sites/urbanmelbourne.info/files/styles/article_full_width_580px/public/pictures/article-images/waterfront%20city%20park%20%2B%20greenhouse.jpg?itok=EQ_aaHD5" title="Car Park rooftop. © Laurence Dragomir" width="580"></a>

What do you think should be done to improve Waterfront City? Or what would you like to see?

Leave your comments below and stay tuned for part two focusing on the Medibank Ice House and Costco, to follow soon.
</body></html>

Laurence Dragomir

What to do with Waterfront City? (Part One)

<html><body>
Whether or not there is any, erm, value, in the concept of daily property values, RP Data's Daily Home Value Index undeniably creates a great deal of opportunity for nerds to play around with charts, and I, for one, am grateful for that.
Until just a couple of days ago the RP Data index was showing national property price gains for March of a staggering 2.3% which, if it were to be sustained, would represent the greatest monthly gain on record for RP Data in Australian capital cities, representing further validation that monetary policy works on dwelling prices.
Over the past year, the home values by city, have increased by 10.51%.
<div class="separator"><img src="/images/2014/03/27/wargent%20march%2027%20one.jpg" alt=""></div>
<div class="separator"> </div>
<div class="separator">This is probably easier to see in a bar chart of year-on-year price growth by city.</div>
<div class="separator"> </div>
<div class="separator"><img src="/images/2014/03/27/wargent%20march%2027%20two.jpg" alt=""></div>
Brisbane and Adelaide are now showing some gains in 2014 but, perhaps unsurprisingly, it is Sydney and Melbourne that are really driving values higher.
From what I've heard from Queenslanders who are in the market it appears likely that Brisbane will begin to show some decent gains in the near future.
For 2014 year to date, Sydney prices are up by 3.74% and up by 2.13% in March so far alone.
<img src="/images/2014/03/27/wargent%20march%2027%20three.jpg" alt="">
Meanwhile Melbourne's chart finally seems to have moderated a little, but even so, prices are up by an outlandish 5.67% in 2014 and are still up by some 2.54% in the month of March so far.
<div class="separator"><img src="/images/2014/03/27/wargent%20march%2027%20four.jpg" alt="" style="line-height: 1.3em;"></div>
Viewpoint?
Is this all important? 
Well, I'm not a huge believer in the idea of daily home values due to the obvious limitations on capturing and processing data, but these figures are certainly important in one sense.
If nothing else, the headlines that record or near-record monthly price gains will  doubtless generate and which will be reported next week can themselves fuel a herd mentality.
Moreover, history has shown that where asset markets get away from central banks they can take on something of a life of their own.
The Reserve Bank will be watching all this with great care, of course.
Indeed, the RBA talked a lot about housing today, it's confidence instrumental in sending the dollar all the way up to a four month high of 92 cents.
Article continues on next page. Please click below.
<hr class="system-pagebreak">
RBA sees financial stability<a href="https://petewargent.blogspot.com.au/2014/03/rba-sees-financial-stability"></a>
I've made the point a few times that when it comes to monetary policy and other regulatory actions it matters rather less what people say on chat forums and rather more what the Reserve Bank of Australia (RBA) and APRA say, since ultimately they are the bodies tasked with making the key decisions.
While plenty of people disagree with the RBA, a couple of hours spent reading yesterday's <a href="https://www.rba.gov.au/publications/fsr/2014/mar/pdf/0314.pdf" target="_blank">Financial Stability review</a> should tell you how comprehensively the central bank assesses risk.
Fortunately, I spent the two hours so you don't have to.
The four points you're probably most interested in:
1- Banking sector
The Australian banking industry emerged from the financial crisis relatively unscathed, but events elsewhere showed that if ever there was a time to bolster capital requirements and shore up risk, it is surely now. The RBA reported that the banking sector got stronger in 2013 - asset performance is improving and bad and doubtful debt charges declined. Having increased from essentially nil in 2003, bank's non-performing loans are now declining as households enjoy very low interest rates. Businesses too, are finding the terrain a little easier than they were during the financial crisis, and bank loan books look much healthier for that. 
<div class="separator"><img src="https://4.bp.blogspot.com/-GwA78rGVzU8/UzNDqjKiPEI/AAAAAAAAMGs/ipFt4p2e95s/s1600/1+NPL.jpg" width="320" height="280"></div>
 
<div class="separator"><img src="https://1.bp.blogspot.com/-eW-JgsQCkFs/UzNDqsbQtZI/AAAAAAAAMGo/3uKq9bWVyIw/s1600/1+banks+npa.jpg" width="315" height="320"></div>
 
<div class="separator"><img src="https://3.bp.blogspot.com/-TsOy3JEZudo/UzNDqx36pBI/AAAAAAAAMG4/DTVMR1T0ZEk/s1600/1+NPloans.jpg" width="320" height="276"></div>
The non-performing share of banks’ domestic housing loan portfolios fell over the six months to December 2013, to 0.6% down from a peak of 0.9% in mid 2011, helped by low interest rates and tighter mortgage lending since 2008. 
The ratio of impaired housing loans has fallen recent quarters with rising dwelling prices helping banks to deal with their troubled assets and being able to report a reduction in mortgages-in-possession. Those are the bare numbers, but a bit of context here might be helpful:
<img src="https://3.bp.blogspot.com/-D9C8xPMieYY/UzND31yNDdI/AAAAAAAAMHA/bDZZZI42R-g/s1600/Loans+world.jpg" width="320" height="283">
We have just been through the greatest financial crisis since the Great Depression, so non-performing loans of 0.6% is a very sound result.
2 - Lending standards and bank balance sheets
Low-doc lending continues to represent less than 1% of loan approvals, while the share of loan approvals with loan-to-valuation ratios (LVRs) greater than or equal to 90% has been fairly steady since 2011 at around 13%.
The share of banks’ funding sourced from domestic deposits has increased from about 40% in 2008  to around 57% currently. That's a good thing. Australia's major banks (classified by APRA as "D-SIBS) have bolstered their capital and funding structures since the financial crisis and are in fact already well-placed to meet APRA's more stringent Basel III capital requirements which will kick in in 2016.
<img src="https://2.bp.blogspot.com/-e9_mJwMYvKk/UzNIDRDNhWI/AAAAAAAAMH0/wYD9Pu_9Qks/s1600/1+Banks+teir+capital.jpg" width="320" height="290">
A key point here: Banks are generating imperiously strong, comfortably double-digit returns on equity (ROE) and colossal net profits after tax (e.g. even after tax Commbank cleared a net profit of $7.8 billion in their 2013 financial year - before tax the figure was closer to $11 billion). Surely then, herein lies a golden opportunity to enforce the strengthening of capital ratios further through earnings retention, reducing dividend payments or scaling back share market purchases in order to offer dividend reinvestment plans (DRPs).
Of course, bank execs will want to continue chasing the golden egg of 15% ROEs through reinvestment and greater expansion of their loan books, but if our major lenders are to receive an implicit government guarantee then, stuff it, make them shore up their capital ratios, I say. It would be better for everyone over the long-term.
<div>3 - Household finances</div>
The overall financial position of the household sector was little changed in 2013 and indicators of financial stress remain low, reported the RBA.
Households continued to manage their finances with greater prudence than a decade ago, household wealth continued to increase, the saving ratio was within its range of recent years and, importantly, households continued to pay down mortgages much more quickly than required.
The household saving ratio remained within its range of recent years, at about 10%.
<img src="https://2.bp.blogspot.com/-UQvmR-p1Z10/UzNEEnQ07NI/AAAAAAAAMHI/gLk6L3O6T0w/s1600/2+Financial+stress.jpg" width="320" height="262"> 
<div class="separator"><img src="https://4.bp.blogspot.com/-fjYcTDIgY4Y/UzNEE7TBr9I/AAAAAAAAMHM/-ZYfXIBv9dc/s1600/2+indebtedness.jpg" width="320" height="275"></div>
The proportion of disposable income required to meet interest payments on household debt has now stabilised over the past six months, having previously declined in line with the fall in mortgage interest rates in recent years. 
<div>The good news is that households have used lower interest rates to continue paying down their mortgages much more quickly than required.</div>
<div> </div>
<div>Remarkably, the aggregate mortgage buffer has risen to almost 15% of outstanding balances, which is equivalent to two full years of total scheduled repayments at current interest rates. </div>
<div> </div>
<div>The RBA notes that therefore households have considerable scope to continue to meet their debt obligations even in the event of temporary unemployment. </div>
<div> </div>
<div>Overall, aggregate indicators of financial stress remain low.</div>
4 - Housing market
As for the housing market, the RBA noted that lending to self-managed super funds (SMSFs) is now being tightened up and remains only a small part of the market, as do purchases by non-residents.
<div>Housing loan approvals are picking up across Australia, but are really firing in New South Wales (read Sydney).<img src="https://3.bp.blogspot.com/-seh8bfGiY6s/UzNEPiGkQZI/AAAAAAAAMHk/Uf0h69Oz_4E/s1600/3+loans+approved.jpg" width="275" height="320"> <div><img src="https://2.bp.blogspot.com/-Vp3RfCTGdA4/UzNEPmuESqI/AAAAAAAAMHg/7kfG7WD0kDs/s1600/3+SYDMLB.jpg" width="320" height="264"></div>
 <div><img src="https://1.bp.blogspot.com/-1Z35t1qQdiI/UzNEE_oxS_I/AAAAAAAAMHc/9ld1-R-BiWc/s1600/2+Savings.jpg"></div>
The financial crisis seems to have scared households away from the share markets and towards housing according to surveys. Note how sentiment towards equities hit lows just when share market valuations became cheap and more attractive!</div>
The RBA noted that "the pick-up in investor activity in the housing market does not appear to pose near-term risks to financial stability" but "developments will continue to be monitored closely for signs of excessive speculation and riskier lending practices". The Reserve Bank is very keen to ensure that lending standards in Australia remain high.
Summary
There is much more besides which you can read <a href="https://www.rba.gov.au/publications/fsr/2014/mar/pdf/0314.pdf" target="_blank">here</a>, but that is the flavour of the report.
Lending standards will be monitored but on the face of it the RBA appears to be more focused on aggregate loan impairments and indicators of financial stress than dwelling prices. 
</body></html>

pwargent-M4siyDbqQY

Is March the biggest month in Australian property history?

<html><body>
This week RP Data is expecting 1,320 auctions in Melbourne. This weekend last year was during Easter so does not provide a useful comparison.
This is the third week in a row with over 1,000 auctions and that is unprecedented in Melbourne. The highest volume of auctions is in <a href="/news">Reservoir</a> with 26 followed by <a href="/news">St Kilda</a> with 23 and <a href="/news">Armadale</a> with 21.
All current indicators show signs of a market that is picking up strength with volumes increasing, days on market falling and vendor discounting reducing.
Over the last week the measure of days on market for a house to sell at private sale has dropped from 37 to 35 days in Melbourne. Strengthening demand also leads to vendors at private sale discounting from their advertised price to a lessor degree – this has dropped from -5.5 to -5.4% over the last week.
These market indicators can prove to be volatile on a weekly basis but the trend is clear and is likely to be confirmed in increased values when the RP Data home price index is released in the next week.
Key data
<ul>
<li>Clearance rate week ending 23 March: 69.4%</li>
<li>Melbourne auctions expected week ending 30 March: 1,320</li>
<li>Melbourne private sales time on market week ending 23 March: 35 days (houses)</li>
<li>Melbourne vendor discounting market week ending 23 March: -5.4% (houses)</li>
<li>Listings being prepared for market are 13.1% higher in month ending 23 March</li>
</ul>
</body></html>

Latest Expert Insights

Buying off-the-plan in Melbourne? How independent iCIRT ratings are set to change Victorian property

Guides

Editor's Picks

Guides

Developments

New apartments

New townhouses

News

Latest Expert Insights

Buying off-the-plan in Melbourne? How independent iCIRT ratings are set to change Victorian property

Guides

Editor's Picks

Receive the latest news stories to your inbox

Guides

Developments

New apartments

New townhouses

News