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.

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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.

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<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.

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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.”

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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.

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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.

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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.

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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.

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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.

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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.

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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.

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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.

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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.

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<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.

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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.

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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

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This week I’m drilling into the first of <a href="https://www.propertyobserver.com.au/office/the-seven-forces-that-are-transforming-your-office/2014021867634" target="_blank">seven key forces</a> influencing contemporary workplaces. The shadow still looming over corporate Australia and many other countries is what we call the "new world economic order."
Following the global financial crisis (GFC), organisations are more conscious about their costs and cautious about their spending, while many individuals may be a little more tolerant about working conditions in order to safeguard their employment. This is translating to a lot of property consolidation as organisations compact themselves into a smaller footprint and release or sublease excess office space.
I've looked previously at the <a href="https://www.colliers.com.au/sitecore/content/Global/News/2013/September/How_to_cut_accommodation_costs_by_20_per_cent.aspx" target="_blank">ways organisations use less space</a>, through space intensification and more recently hot desking strategies.
We've seen many organisations trying to combine efficiency with a more effective workplace - increasing the variety of work settings and implementing flexible mobile technologies. Our research looks at the adoption of flexible working as a workplace strategy and found that one in three organisations had already deployed it (to at least part of their workforce) or had firm plans to do so. We think this level of interest was clearly driven by the impacts of the GFC and wonder if the catalyst of a certain investment bank's celebrated activity-based working implementation in Sydney (occupied in 2009) would have had the same level of impact on market trends if it had been rolled out in, say, 2006 when the economy was still riding high. At the other end of the spectrum we're also seeing many organisations defer refurbishments or relocations, preferring to sweat their accommodation assets rather than sink capital into a new fit out. Our research shows 15% of tenants are more likely to renew and stay put with a further 30% focusing on cost savings. In cases where the existing workplace is not aligned with the organisation's employment brand or is impeding productivity or restricting opportunities for collaboration, this could be a case of robbing Peter to pay Paul.
The latest ME Bank Household Financial Comfort Report shows job insecurity is in the top three money concerns noted by respondents. As such, employees may be more accepting of older fit outs, lower quality buildings, fringe locations or desk sharing arrangements. There's a realisation too, that spending on a flash office fit out has a direct and long lasting impact on a firm's bottom line. Workplace projects that achieve a balance between cost savings versus staff amenity and other benefits may be viewed more favourably by current and prospective employees.  Conversely, while there's no evidence that people leave organisations primarily because of physical workplace arrangements (it's more likely to do with relationships with colleagues, pay, or the work itself), it can be an influencing factor in some cases.
In the various top employer rankings there are many examples of high ranking organisations where the workplace arrangements are cited as a significant strategic factor. In times where many organisations are tightening the purse strings on accommodation, those that do invest in workplace arrangements that appeal to employees may derive some advantage in the so-called war for talent.
But it's important to understand what will appeal to the employees you want to retain - those with the right cultural and productive fit - as opposed to those you don't. For instance, if many of your competitors have introduced desk sharing, perhaps the retention of assigned seating could be a point of difference.
David McEwen is a management consultant working at the intersection of workplace strategy, sustainability and technology with <a rel="nofollow" target="_parent" href="https://www.colliers.com.au/%E2%80%8E">Colliers International</a>.
You can connect with David on <a target="_blank" href="https://www.linkedin.com/profile/view?id=9321351&amp;locale=en_US&amp;trk=tyah&amp;trkInfo=tas%3Adavid">LinkedIn</a>.
This article first appeared on <a href="https://www.colliers.com.au/News.aspx" target="_blank">Colliers International News</a>.
                               
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A flash new office? I'm worrying about my job!

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The conflict in Ukraine has escalated with Russia sending in 6,000 troops and naval forces to the Crimean peninsula on Sunday, triggering a standoff between Russia and the West.
The action by Russia sent waves of caution through investors globally, with stock markets worldwide falling on the news.
Last month Ukraine President Viktor Yanukovych was overthrown by the Parliament, following bloody anti-government protests in the nation’s capital of Kiev.
The protests were triggered when Yanukovych rejected an accord with the European Union in November 2013 and instead formed stronger ties with Russia, angering locals who had long pushed for greater integration with Europe.
The protests started peacefully, but escalated when the authorities became involved, with student protestors beaten and opposition activists supposedly abducted.
On February 20, 77 people were killed and nearly 600 wounded in a 48-hour period.
As diplomatic tensions in the region rise, we takes a look at how the instability could influence the Australian and global economies.
So Russia has sent 6,000 troops to the Crimean peninsula in Ukraine and the West disapproves. Is this having an impact on global markets?
In short, yes. The impact globally is varied, but there’s no doubt investors are wary and this is being translated into falls on sharemarkets around the world.
JPMorgan chief economist Stephen Walters said the financial markets “are watching”.
“In Europe markets fells 2-3% yesterday. Germany was down almost 3.5%, the UK fell 1.5% and France lost 2.5%. Generally there were greater losses depending on the closeness to the regions,” he says.
“In the US the Dow Jones lost 1%, so it’s watching. The US involvement here is distant, but clearly it has been involved in diplomatic conversations.”
In Russia the stock market was down 11.5%, as the rouble has fallen to near record lows against the US dollar and the euro. Russia has also raised interest rates by 1.5 percentage points.
So the conflict is making investors more wary globally, but has this impacted Australia?
Ukraine’s direct impact on Australia is relatively small, as we don’t trade with the region in a significant way. However, our sharemarket regularly takes its lead from global markets.
Yesterday the S&amp;P/ASX200 benchmark closed 20.50 points lower, down 0.38%. The loss was minimal compared to other markets, but Walters says today might be a different story.
“We could see a greater impact today following the losses on global markets yesterday,” he says.
Walters says the impact of the conflict in the coming weeks is unknown.
“If the situation is diffused and diplomacy wins, everything could return to normal, but if it escalates, so could the economic impact,” he says.
Evidently stock markets have fallen here and around the world, but what’s happening with commodities?
Oil and natural gas prices have been pushed higher, as Ukraine is home to one of Europe’s major gas pipelines, with the gas controlled by Russia.
Brent crude (a major benchmark price for the purchase of oil worldwide) rose by 2.1% yesterday to $111.38 a barrel on the ICE Futures Europe exchange.
The West Texas Intermediate also jumped yesterday to a 23-week high on the back of the crisis.
“There have been quite significant developments already,” Walters says.
“If oil prices keep going up, this will result in energy and petrol price increases.”
Walters says the crisis is having an impact on oil prices because Ukraine is a “strategic region”.
“We also saw this take place in Bahrain last year. However, if there’s an issue somewhere else, you don’t necessarily see this kind of impact. For this region, the response of oil prices is typical.”
Oil and gas prices are on the rise, but what about gold?
As investors are more cautious of risky investments, many turned to gold yesterday, sending prices higher.
“Gold is a safe haven flow,” Walters says. “You buy gold when there are global tensions, or natural disasters like what happened with Fukushima in Japan.”
Obviously there are some pretty significant economic impacts of the crisis, but what does the Australian government think about all this?
Ukrainian Prime Minister Arseniy Yatsenyuk said yesterday Russia and Ukraine are on the brink of war and the Western governments have criticised Russia for invading Crimea.
Prime Minister Tony Abbott told Parliament yesterday a trip to Moscow by Trade Minister Andrew Robb had been cancelled in light of the action, as was a visit to Australia by Russia’s National Security Advisor Nikolai Patrushev.
“It should withdraw its forces from the Ukraine and the people of the Ukraine ought to be able to determine their future for themselves,” Abbott told Parliament.
“The situation in the Ukraine is fluid and it’s threatening; all Australians are rightly concerned about that.”
This article first appeared on <a href="https://www.SmartCompany.com.au" target="_blank">SmartCompany</a>.
      
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yredrup-o4Anfe78KF

What does the conflict in Ukraine mean for the Australian economy?

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Glenn Stevens' statement from the March Reserve Bank meeting:
"At its meeting today, the Board decided to leave the cash rate unchanged at 2.5 per cent.
Growth in the global economy was a bit below trend in 2013, but there are reasonable prospects of a pick-up this year. The United States economy, while affected by adverse weather, continues its expansion and the euro area has begun a recovery from recession, albeit a fragile one. Japan has recorded a significant pick-up in growth, while China's growth remains in line with policymakers' objectives. Commodity prices have declined from their peaks but in historical terms remain high.
Financial conditions overall remain very accommodative. Long-term interest rates and most risk spreads remain low. Equity and credit markets are well placed to provide adequate funding, though for some emerging market countries conditions are considerably more challenging than they were a year ago.
In Australia, recent information suggests slightly firmer consumer demand and foreshadows a solid expansion in housing construction. Some indicators of business conditions and confidence have shown improvement and exports are rising. At the same time, resources sector investment spending is set to decline significantly and, at this stage, signs of improvement in investment intentions in other sectors are only tentative. Public spending is scheduled to be subdued.
The demand for labour has remained weak and, as a result, the rate of unemployment has continued to edge higher. Growth in wages has declined noticeably. If domestic costs remain contained, some moderation in the growth of prices for non-traded goods could be expected over time, which should keep inflation consistent with the target, even with lower levels of the exchange rate.
Monetary policy remains accommodative. Interest rates are very low and savers continue to look for higher returns in response to low rates on safe instruments. Credit growth remains low overall but is picking up gradually for households. Dwelling prices have increased significantly over the past year. The decline in the exchange rate seen to date will assist in achieving balanced growth in the economy, though the exchange rate remains high by historical standards.
Looking ahead, the Bank expects unemployment to rise further before it peaks. Over time, growth is expected to strengthen, helped by continued low interest rates and the lower exchange rate. Inflation is expected to be consistent with the 2–3 per cent target over the next two years.
In the Board's judgement, monetary policy is appropriately configured to foster sustainable growth in demand and inflation outcomes consistent with the target. On present indications, the most prudent course is likely to be a period of stability in interest rates."
<a href="mailto:news@propertyobserver.com.au" target="_blank">news@propertyobserver.com.au</a>
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po-LsXgBTHBmX

Solid expansion in housing construction forecasted: Glenn Stevens

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The Reserve Bank of Australia has kept rates on hold at 2.5% today, for the sixth meeting in a row.
Last month Glenn Stevens said that since the last meeting of 2013, there had been <a href="https://www.propertyobserver.com.au/news/reserve-bank-keeps-rates-on-hold-in-first-meeting-of-the-year/2014020467523" target="_blank">information on the global economy consistent with the growth having been a bit below trend</a>, but with an expectation of a pickup this year.
The experts were <a href="/news">unanimous in predicting rates to stay on hold last month</a>, and this month there was also very little talk of any rate change.
Deputy chairman of LJ Hooker, Janusz L Hooker, said that this maintaining of rates should help push the market into autumn, with rising unemployment and concerns about inflation failing to dent homebuyer enthusiasm.
He is not surprised by the RBA’s move to keep rates on hold and does not expect them to lift until the end of the year.
“February has just delivered one of the best starts to the real estate year ever recorded and we have not seen any signs of it slowing down despite some murmurs about a property bubble,’’ Hooker said. He did, however, pointed to the struggling Adelaide and Hobart markets that would see a boost in confidence from a period of stable rates.
Hooker pointed to the unemployment rate as a key factor that will dictate when the rate increases will commence.
Buyers shying from fixed loans
Michelle Hutchison from Finder.com.au said that with borrowers shying away from fixing their home loans for almost a year, they shouldn’t actually be waiting around for an increase in rates to opt for a fixed rate.
They are seeing more borrowers looking for variable rate loans at present.
“Western Australian borrowers are the least concerned about rising interest rates, with the lowest proportion of borrowers fixing their home loans (averaging 13.48% in 2013) than any other state. On the other hand, we found Queensland borrowers were the most cautious, with over one in five borrowers (21.09%) fixing their home loans on average last year,” she said.
She also said that it’s likely fixed home loans will start rising before the official cash rate does, which may provide a useful barometer for those trying to estimate the next movement.
Meanwhile, RP Data’s national research director Tim Lawless said that the Reserve Bank would be seeing the strong market conditions as a positive scenario, driving investment in dwelling construction and providing a healthy multiplier effect for the domestic economy.
“More housing market activity has translated to greater developer confidence and a consistent upwards trend in new building approvals,” said Lawless.
“RP Data’s February results showed flat capital city dwelling values which will probably reassure policy makers such as the RBA that the unsustainably high rate of capital gain that has been evident since June last year may be winding down.”
He pointed to strong buyer demand across the housing market, with consistently high auction clearance rates and mortgage demand, as measured by their valuation platforms, at record daily averages during February.
“As long as mortgage rates remain low we would expect housing market conditions to remain in positive growth territory, at least in trend terms,” he said.
Impact of steady rates on the commercial market
Simon Fenn, the NSW managing director for Savills, said that investment in the commercial market across the state will remain buoyant with stable interest rates, attracting offshire and local investors. This is largely due to the “positive spread between yields and the cost of borrowing money.”
“In 2013 national commercial sales hit a record $22.2 billion, up 63% on 2012 and we believe this trend will continue through 2014 as owners take advantage of these conditions and trade assets previously not earmarked for sale or take profits.  The RBA’s decision to keep interest rates on hold and focus on stimulating the economy is driving the investment market,” said Fenn.
Meanwhile, Clinton Baxter, head of division, city sales and investments Victoria for Savills, said that the stable interest rates would also do positive things for the state of Victoria as well, as it reinforces the relative stability of Australia's economy. Baxter also mentioned the value that commercial assets offer compared to major cities in the Asian region. “Following record investment into Australian commercial property in 2013, the platform is well set for another record year in 2014.  A long term, stable interest rate environment has the added benefit of engendering confidence in small and medium-sized businesses, leading to acquisition of commercial properties for owner-occupation and self-managed superannuation funds,” he said.
You might be interested in reading <a href="/news">this analysis on what the cash rate means for home values</a>.
As for what the next movement might be it’s a little uncertain; however, Westpac believes <a href="https://www.propertyobserver.com.au/finance/rate-cuts-still-more-likely-than-rate-hikes-westpac/2014021967884" target="_blank">we’re likely to see rate cuts more than rate hikes</a>. Hooker expects there may be a lift towards the end of 2014.
“Our monthly Reserve Bank survey of leading economists expect interest rates to start rising within the next year. If variable rates move back up to the historical normal level of 7%, that will cost borrowers with the average $300,000 mortgage an extra $313 every month in repayments,” said Hutchison.
<a href="mailto:jduke@propertyobserver.com.au">jduke@propertyobserver.com.au</a>
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No surprises as RBA keeps rates on hold

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NAB is now offering a two year fixed rate loan at 4.84%, and its three year fixed rate loan at 5.06% interest per annum as part of  its package deal.
The bank, which cut rates on its standard fixed loans to record lows in January, has dropped the interest rates on its packaged home loan products by five basis points for two year fixed rate loans and seven basis points for three year fixed rate loans, as reported by the Sydney Morning Herald. NAB has been contacted for confirmation.
Rates for its standard non-packaged loans at NAB are currently at 4.94% and 5.16% for two and three year fixed rate loans respectively.
None of Australia's other major banks have made a change to their interest rates this month ahead of the Reserve Bank of Australia's March cash rate decision.
Westpac is offering an interest rate of 5.04% per annum for its two year fixed rate loan, and 5.29% for its three year fixed rate loan. It also <a target="_blank" href="https://www.propertyobserver.com.au/finance/westpac-cuts-fixed-rates-for-two-and-three-year-loans/2014022467985">cut rates</a> for its "premium advantage package" fixed rate home loans (where the loan value exceeds $150,000) last month. For those eligible for the package, two year fixed rate loans are offered at 4.84% interest per annum and three year loans are offered at 5.09%.
ANZ is currently offering two year fixed rate loans with its "breakfree package" at 4.89% interest per annum and 5.04% per annum for its pacakged three year fixed rate loans. Unpackaged standard  loans are offered by the bank at 5.04% and 5.28% for its two and three year fixed rate loans respectively.
The Commonwealth  Bank's packaged loans are offered with 4.84% interest for its two year fixed rate loan, the same rate now offered by Westpac. Its packaged three year fixed rate loan is currently offering an interest rate of 5.09% per annum The bank's two year standard fixed rate loan is at 4.99% per annum, while its standard non-packaged three year fixed rate loan is at 5.24%. 
<a target="_blank" href="mailto:jrichardson@propertyobserver.com.au">jrichardson@propertyobserver.com.au</a>
                          
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NAB cuts rates on fixed rate home loans

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If you thought glamour was only to be found in sprawling estates or full floor penthouses, think again. Here are five townhouses which prove that there’s something to be said for staying attached.
<a href="https://www.realestate.com.au/property-townhouse-qld-main+beach-107058326" target="_blank">94 Seaworld Drive, Main Beach, Queensland</a>
{yoogallery src=[images/stories/2014/03/04/main]}
This three bathroom, three bedroom townhouse on Seaworld Drive in Queensland’s Main Beach is part of the Palazzo Versace, the former home of <a href="https://www.propertyobserver.com.au/news/geoffrey-and-byrnne-edelsten-s-palazzo-versace-gold-coast-apartment-set-for-auction/2014011367174" target="_blank">Geoffrey and Brynn Edelsten</a>.
The property’s interior takes decadence to the extreme, with timber parquetry floors and more marble than most people could handle. A new resident would enjoy 24 hour security, a concierge service, marina views and a 60 foot berth for the yacht.
Article continues on next page. Please click below.
                                  
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<a href="https://www.realestate.com.au/property-townhouse-nsw-kirribilli-112871591" target="_blank">1/51-55 Upper Pitt Street, Kirribilli, New South Wales</a>
{yoogallery src=[images/stories/2014/03/04/kir]}
The next property on our list is somewhat more demure.
The unfurnished three bedroom, two bathroom townhouse at Kirribilli has spacious rooms, with high ceilings and marble floors.  But its real drawcard is its location – the two storey townhouse is situated less than a hundred metres from Kirribilli House, and has the best views of the Sydney Opera House and the Harbour Bridge we’ve seen in a while.
Agent Jim Yang of Keith Soames Real Estate is advertising the property at $4.5 million.
Article continues on next page. Please click below.
                     
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<a href="https://www.realestate.com.au/property-townhouse-vic-toorak-115063251" target="_blank">27A Balmerino Avenue, Toorak, Victoria</a>
{yoogallery src=[images/stories/2014/03/04/too2]}
When most of us hear “townhouse”, we usually assume that living space will be at a premium. Not so for this Toorak home.
With basement parking and lift access, the Balmerino Avenue townhouse has two above ground levels that house four bedrooms and two bathrooms.
The home also includes expansive living and dining areas on the ground floor, and a home theatre and laundry in the basement.
The house has a 5 star energy rating.
Article continues on next page. Please click below.
                             
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<a href="https://www.realestate.com.au/property-townhouse-nsw-woollahra-116232083" target="_blank">6/89 Ocean Street, Woolahra, New South Wales</a>
{yoogallery src=[images/stories/2014/03/04/woo]}
This Woolhara townhouse once existed as the rear wing of a 1890s mansion, which has now been converted into six strata residences.
Located in one of Sydney’s premier suburbs, the home has four bedrooms and three bathrooms.
The living areas of the townhouse are where the home really comes into its own – the house includes a triple height foyer, an expansive open plan living room with Italian marble credenza and a fireplace, and a large private outdoor terrace. The living areas also have Italian volcanic stone heated floors.
The house is selling through Sotheby’s International Realty.
Article continues on next page. Please click below.
                                
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<a href="https://www.realestate.com.au/property-townhouse-vic-brighton-116098119" target="_blank">1/13a Dendy Street, Brighton, Victoria</a>
{yoogallery src=[images/stories/2014/03/04/bri]}
One of three townhouses set on a single block of land on Brighton’s Dendy Street, this property is on the market for $2 - $2.2 million through Buxton.
The English coach style home was inspired by architectural drawings from the 1800s. The home’s basement is dedicated to a large home theatre, while the ground floor includes an open plan living area and dining area with a gas log fireplace, with French doors opening onto a paved courtyard.
Upstairs, there is a marbled bathroom and the home’s three bedrooms, including a master bedroom with sea views.
<a href="mailto:jrichardson@propertyobserver.com.au" target="_blank">jrichardson@propertyobserver.com.au</a>
                             
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The five most beautiful townhouses on the market

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While Andrew Demetriou was doing his best to steal the limelight at a press conference at AFL House, the movers and shakers of Melbourne’s architecture scene were gathered at the other end of town for the <a target="_blank" href="https://www.propertyobserver.com.au/victoria/quentin-bryce-officially-opens-victorias-new-home-of-architecture-41-exhibition-street/2014030268113?utm_source=po&amp;utm_medium=aida&amp;utm_campaign=newsplus">opening of 41X</a>.
The new commercial tower at 41 Exhibition Street in Melbourne was developed by the Australian Institute of Architects, who began proposals for the site eight years ago. Yesterday, the organisation was joined by strata owners, tenants and friends of the institute like former premier Ted Baillieu to launch the building with Governor-General Quentin Bryce and the institute’s president, Paul Berkemeier.
<img src="/images/stories/2014/03/04/bryce-march-4-one.jpg" width="470" height="247" alt="bryce-march-4-one">
Photo: Governor-General Quentin Bryce speaking at the opening of 41X, supplied. 
Bryce, an architect’s wife herself, spoke of the importance of good architecture to the community and its role in improving overall quality of life. To her mind, with the development of 41X, the Australian Institute of Architects has lived up to its mission statement, “making the world a better place through architecture”.
The 21 storey 41X will be home to 15 tenants, with the Australian Institute of Architects national president Paul Berkemeier noting that many had signed on early in the development process. Sotheby’s Australia will occupy two floors, with one devoted to its gallery and another for its offices. Other occupants include law firm Anzarut &amp; Partners and Lion Capital, along with the Australian Institute of Architecture’s Melbourne offices which occupy five floors. The building is strata-titled, with insurance firm Planned Cover owning three floors. The floor’s first level will be a dedicated “design haven”, with a café and a comprehensive design and architecture bookstore.
Set on a narrow footprint, the building was designed by Lyons Architects after a two-stage design competition, with the internal fit outs of the institute’s levels by HASSELL. The tower was designed with sustainability in mind, and the institute is targeting carbon neutrality over its 30 year operating lifespan – the first building in Melbourne to do so. According to Berkemeier, this target will account for embodied energy, base building operational energy, transport and waste, and will be using both operational strategies to ensure its low carbon output as well as offsetting emissions off site. The $31 million building has a Five Star Green Star design rating.
On the 21st floor of the new 41X, overlooking the Yarra River, Birrarung Marr and Treasury Gardens, there were murmurs among architects that it had been a slow year so far for the industry. But those murmurs were quickly drowned out by the buzz for Australia’s new home of architecture.
<a href="mailto:jrichardson@propertyobserver.com.au" target="_blank">jrichardson@propertyobserver.com.au</a>
                      
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Industry gathers to celebrate Australia's new home of architecture, 41X

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With the Reserve Bank expected to, once again, keep the official cash rate on hold today, it comes as little surprise that borrowers are looking towards variable rather than fixed home loans.
Finder.com.au said that of 10 economists they surveyed there was a unanimous prediction of no rate change today. This is consistent with Property Observer’s own recent panel survey, which saw experts unanimously predict 'no change' for February and to <a target="_blank" href="/news">suggest that any changes would be a way into the future</a>.
Money expert for Finder, Michelle Hutchison, said that this was causing borrowers to ride out the low variable rate wave. However, she urged that fixing your home loan may save you money over the long term.
“With every economist in our survey expecting that the Reserve Bank will leave the cash rate at 2.50% next week, and home loan interest rates at record lows, it's no wonder we're seeing borrowers sticking with variable rates,” said Hutchison.
She pointed to the proportion of fixed rate home loans being at its lowest levels in the past year, at 16.8% in December 2013, based on Australian Bureau of Statistics’ Housing Finance data.
“There has been a decline in the number of fixed loans financed, with a drop of 17% since its peak in May 2013, when the number of fixed loans financed reached a five-year high of 10,631,” she said.
Higher demand is also being seen across their site for variable home loans, with traffic to these products up 15% since July 2013.
“The biggest concern is that fixed rates are starting to rise and borrowers may miss out on securing a low rate if they want to fix their home loan later,” she said.
The average three-year fixed rate has increased by 0.16% to 5.11% since September 2013, remaining lower than variable rates which, on average, sit at 5.39%.
“For a $300,000 home loan, borrowers could potentially save almost $2,000 in three years by fixing at the average rate of 5.11% compared to the average variable rate of 5.39%,” she said.
In a Property Observer panel of experts, borrowers were <a target="_blank" href="/news">urged by the majority to consider fixed rates</a>.
No change is also expected by AMP Capital's Shane Oliver, as he expects rates to be on hold for the sixth meeting in a row.
"The RBA has clearly indicated that with growth remaining low but tentative signs of improvement in some indicators, a period of stability in interest rates is appropriate. Since not enough has really changed since the last meeting, this remains the case. Soft jobs news and the poor business investment outlook do suggest though that our expectation for rate hikes to commence later this year may be premature with the risk being that they won't occur till next year.
"Governor Steven’s Parliamentary testimony (Friday) will be watched closely for his views on the jobs and investment front," he wrote in his most recent market roundup.
jduke@propertyobserver.com.au
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Fixed rate loans at year low, despite rates creeping up: Finder

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If you are confused with what’s presently happening within the Australian economy you’re not alone. Already in 2014 we have seen the announcements that motor vehicle manufacturing in Australia is closing down and this week Qantas announced that a further 5,000 jobs will be cut by the carrier. It’s abundantly clear that since the global financial crisis (GFC) Australian businesses are adopting a new mandate: Do something. Either lead, follow, or get out of the way!
Last week we saw another shock announcement with <a target="_blank" href="https://www.businessspectator.com.au/news/2014/2/27/australian-news/capex-drops-dec-quarter" title="CAPEX drops in December quarter">CAPEX dropping in the December quarter</a> which in all probability confirms that Australian businesses are more than cautious in 2014 – which certainly contravenes previous speculation that the markets were upbeat about what 2014 will bring. Whilst this does not spell the end of the world this significantly highlights that consumer sentiment is wavering, which is consistent with what we saw during and since the GFC.
Like most progressive businesses we had a session yesterday with our real estate coach <a target="_blank" href="https://www.activategrowth.com.au/index" title="Daniel Spencer ">Daniel Spencer </a>where the Australian economy was summed up with just the one sentence: “The greatest fear is the unknown”. If you cast your mind back to the GFC businesses’ engagement all but came to a standstill given consumers were distracted looking for answers and signs. What we are seeing today are economic machinations busily at work in stark contrast to <a target="_blank" href="https://www.propertyobserver.com.au/economy/home-prices-are-rising-and-so-is-unemployment-that-s-a-first/2014021867838">what we have seen before</a>.
I have no idea how mainstream media missed an announcement this week that <a target="_blank" href="https://article.wn.com/view/2014/02/25/Kuringgai_Council_to_discuss_the_future_of_Gordon_Golf_Cours/" title="Ku – ring – gai Council resolves to investigate the future of the Gordon Golf Club site ">Ku–ring–gai Council resolves to investigate the future of the Gordon Golf Club site </a>for the purpose of looking at possible future uses. Now this is a big story which in all probability will lead to plenty more councils reviewing their assets with a view to selling out to cashed–up property developers. Ku–ring–gai Council made the announcement last Tuesday that they are looking at a new sporting facility, including options for the first indoor sports centre in Ku–ring–gai (they sort of hid this as second point), a range of residential housing, small neighbourhood shops, local park and other community facilities. The council have another public golf course and rest assured that too will end up on the planning board as councils across the country look to cashing in on community assets.
I hate to say I told you so, however back on April 9, 2010 I wrote: <a target="_blank" href="https://www.rwm.com.au/2010/04/09/record-population-growth-and-possibly-an-even-scarier-outcome/" title="Record population growth – and (possibly) an even scarier outcome.">Record population growth – and (possibly) an even scarier outcome.</a> “So what can we expect? The greatest sell–off of (open space) land for residential development and Mosman (given its abundance of foreshore land) would become a major revenue raiser for funding sustainability. The ‘posh’ will utter, gosh! A strong possibility that Mosman sea scapes could resemble those from Whale Beach to Palm Beach. Of course governments will say ‘it is all in the name of economic progress’. Simply put – we may believe we are the custodians of open space and even though we don’t have title to this lifestyle privilege, money talks and many areas that are untouched could lose their virginity.”
“We now find that one in four NSW councils is on the brink of being unable to pay for essential services. We are already hearing murmurs that some councils are looking at selling off public golf courses and replacing them with housing estates.”
So there you have it – watch this proposal very carefully as it in all probability will open Pandora’s Box.
<img alt="simeon-march-3-one" height="385" width="470" src="/images/stories/2014/03/03/simeon-march-3-one.gif">
<img alt="simeon-march-3-two" height="409" width="470" src="/images/stories/2014/03/03/simeon-march-3-two.gif">
It is succinct and very clear why the Australian economy is experiencing behavioural problems when one closely examines these graphs. So based on this data one should not expect any rebounds anytime soon.
Robert Simeon is a director of <a rel="nofollow" target="_blank" href="https://www.rwm.com.au/" title="RWM" style="font-size: 14px;">Richardson  Wrench Mosman and Neutral Bay </a>and has been selling residential real estate in Sydney since 1985. 
He has also been writing real estate blog <a rel="nofollow" target="_blank" href="https://www.rwm.com.au/news/" title="Virtual Realty News">Virtual Realty News</a> since 2000. 
The RWM real estate model has sold in excess of $1 billion in database sales globally.
                                       
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robertsimeon-hRNTwJyXkQ

The start of the public land sell-off?

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For as long as auctions have existed in Australia, agents have been rorting the system.
For the past 15 years, state and territory governments have been passing laws to curtail auction excesses like dummy bidding and underquoting on price guides. But agencies keep sidestepping the rules and so governments keep passing new laws that cause agents to scream from the rooftops.
We’re seeing that playing out now with Queensland plans to ban price guides on auction properties. Agents and their representative bodies are squealing loudly and urging consumers to lobby politicians to stop it. The level of angst from real estate “professionals” is amazing to observe.
I have several messages for those protesting the changes.
One, you have only yourselves to blame. If you were competent and honest in their dealings around auctions, law changes would not be needed.
Two, you’re distorting reality when you claim your protest is motivated by concern for consumers. The motivation is self-interest, pure and simple. Nobody does self-interest like a real estate agent.
Three, real estate consumers are unlikely to protest about a ban on price guides because there’s no downside for buyers and sellers. The average buyer in particular will benefit from the ban.
The bottom line is that price guides are worthless. Agents commonly under-quote in their price guides to try to attract interest in the sale property. This means potential buyers waste their time and money on pursuing properties that were never in their price range.
It’s hugely frustrating for people who think they have a chance on a home, but discover on auction day that the reserve price was always higher than the top of the price range advertised. Buyers would be better off doing their own research than relying on the rubbery figures in price guides.
Whenever media or consumer affairs personnel have surveyed price guides and eventual sale prices, they have found that most price guides are fictitious. It’s a form of advertising fraud and governments are right to take action on it.
Strangely, the loudest noise is coming from interstate agents. The Real Estate Institute of New South Wales, for example, claims the ban will harm consumers. It says the move will reduce “transparency” at auctions. John McGrath, a Sydney-based agent, has claimed that “Queensland is facing a dire situation” and that the move is “insanity”.
Transparency at auctions? The typical auction is the antithesis of transparency.
A dire situation? Because agents will be prevented from misleading consumers with their “price guides”?  Someone needs to take a cold shower and some valium and have a wee lie down.
In one of his many media statements on this issue, McGrath says: “Every buyer I have ever met in 32 years wants price guides.”
No, they don’t. They want accurate and honest price guides. Given that the industry seems incapable of providing them, the best course is to ban them altogether.
Terry Ryder is the founder of <a rel="nofollow" href="https://www.hotspotting.com.au/" target="_blank">hotspotting.com.au</a>.
You can contact Terry via <a target="_blank" href="https://mailto:%20ryder@hotspotting.com.au">email</a> or on <a rel="nofollow" target="_blank" href="https://twitter.com/hotspotting">Twitter</a>.
                           
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