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 executive chairman of Aussie, John Symond expects investors will continue to dominate property purchases into 2014.
He sees this as "a long term fundamental shift" in the property market.
It comes as first home buyers typically failed to compete against investors in what Symond called the many hot property pockets of many capital cities during the spring selling season.
First home buyers are absenting themselves from the market at a time when the conditions are actually rather favourable for them given interest rates are at historic 50 year lows and mortgage repayments as a proportion of average disposable incomes are lower than for much of the last two decades. John Symond reckons the current potential first home buyers are preferring to invest in shares and rent in apartments nearer their workplaces or CBDs.
Symond sees part of the solution for the Federal government to look at creating tax incentives for first home buyers to save for a deposit.
There is the existing first home buyer saving accounts scheme introduced by Prime Minister Kevin Rudd, which after plenty of patience offers a terrific honey pot, but just doesn't seem to have gathered much traction.
Yes the required home buying deposit has risen considerably as prices rose faster than incomes - from around 2.5 times the average disposable household income in 1985 to around 4.5 times now - but maybe there are other life priorities that has triggered this apparent baulking at the requisite deposit hurdle.
It's a little early to judge an entire generation on one overly-zealous selling season, but home ownership rates have been in decline since the mid-1990s with the most substantive drop being among households in the 25-44 age bracket.
Any such demographic shift will be a fillip to investors who not doubt have some anxiety over issues of supply and demand especially in the apartment rental market. they'd be watching the recent rather contradictory rental vacancy statistics with for instance SQM having Sydney rental vacancies increasing while the REINSW had them reducing.
It's also a little exaggerated to suggest as Robert Gottliebsen, the Business Spectator columnist did, that the home ownership dream was fading, at least in the inner city,  "increasingly replaced with a tenant relationship with Chinese landlords." Lastly John Symond warns that first home buyers, who now make up about 13% of all loans written, should avoid the temptation of going after very low deposit loans as they can lead to financial stress.
<a target="_blank" href="mailto:news@propertyobserver.com.au">news@propertyobserver.com.au</a>
</body></html>

jchancellor-FAypfDUnLy

A first home buyer generation with other priorities? 

<html><body>
As we start to reflect upon 2013 and the last six months in particular, there are signs that 2014 will be another busy year, partly because in NSW changes to strata law and planning legislation will impact the residential market and apartment projects and buyers in particular.
While there will also be some big-picture economic hurdles I would like to briefly update these two important reforms. After extensive consultation NSW Fair Trading has now released its position paper on strata title law reform and a final bill is due to be introduced in early 2014.
As might be expected for such a complex topic there are approximately 70 proposed reforms.  It is of interest that most are consumer driven, designed to benefit all occupiers of strata schemes, owners and tenants. The reforms also aim for greater transparency and accountability in the management of strata schemes impacting committee members, how proxies are used; and the disclosure of third party interests and connections.
However for future developments the reforms seek to impose major and significant obligations on developers, giving owners greater rights, but also they will impose additional costs and liabilities on developers.
One big change will be a requirement for a developer to commission an independent defects report between 12 and 18 months after the occupation certificate for the building has issued. Another much talked about change will see developers of high rise strata buildings (more than three storeys) required to pay a bond or provide a bank guarantee equal to 2% of the contract amount for the construction of the building. This obligation for developers is a significant new obligation with cost consequences for developers. It is not yet clear if this obligation will apply to existing projects that have already commenced construction.
Generally maintenance is a core concern and all developers will be required to prepare a maintenance schedule aimed to help an owners corporation understand how to best maintain the building. Owners corporations will have the right to take action over unrealistic strata levies during the initial period where under some circumstances an order to pay compensation could be awarded against the developer. Future project planning and financials will need to allow for these new costs.
The collective sale and extinguishment of strata schemes
As greater numbers of older strata buildings become ripe for re-development the extinguishment of those schemes has become an issue. There are some areas where less than perfect projects were built in the 1960s and 1970s and these areas need to be updated. The position paper now provides the detail on how this is to be facilitated for the termination of strata schemes.
It is interesting to note that since 1961 only 826 strata schemes have been terminated out of a total of 72,000.  To help avoid excessive costs and delays the proposal is to legislate for a new and simpler process, which an owners corporation can follow with disputes under the Land and Environment Court. Apart from these few key items the reforms are far reaching and will affect much of the property industry and the apartment market will be impacted.
No smooth sailing for planning reforms
After widespread dissatisfaction and negative community feedback the NSW government will undertake further consultation before the NSW Parliament reconsiders the new planning bill in 2014. Debate on the bill was deferred by the NSW Legislative Assembly on 28 November 2013, until next year.
While the NSW government is committed to delivering a new and modern planning system that also allows quicker decisions to be made and hopefully provides more housing, the legislation remains ‘stuck’ after more than two years of policy development.
Given the importance of creating more housing in NSW and the big impact that will have on the local economy, it still looks like mid-2014 before these important issues are resolved, creating doubt for both the development industry and the wider community.
In NSW these are two issues we need to keep a keen eye on, while at a federal level the government’s review of the tax system in 2014 may well throw up some other, possibly bigger issues that could soon be impacting development and investment, with the promise that no areas will be ‘off limits’ to the review.
 
<hr>
 Peter Chittenden is managing director for residential of <a target="_blank" rel="nofollow" href="https://www.colliers.com.au/Colliers%20Corporate/Residential.aspx">Colliers International.</a>
 
 
</body></html>

pchittenden-eLqUUC8TWW

Strata law changes will have a big impact on the residential market in 2014

<html><body>
Last week’s announcement by Holden to shut down operations in Australia in 2017, although I suspect they will move on well before this date, should not come as a great surprise. Back in the 1960’s the manufacturing industry in Australia employed 26% of the workforce and today it sits at just 8% and getting smaller. Ford and Mitsubishi have already announced previously that they too would be leaving our shore which now leaves Toyota as the sole motor vehicle manufacturer in Australia. Over the years I have read many speeches where a common theme is that by 2020 Australia will cease to have a manufacturing industry.
When I look at the 2012 Australian Securities and Investment Commission’s Annual Report the number of businesses registered reached 1.9 million, which happens to be a new Australian record, but the number of businesses entering external administration is also at the highest level since the Global Financial Crisis. The federal government was never expected to provide financial assistance for these ailing companies so why annually prop up the ailing motor vehicle industry? It no longer makes sense – it’s time to move on. Hence: <a title="The failing auto industry gets a final reality check." href="https://www.businessspectator.com.au/article/2013/12/11/automotive/failing-auto-industry-gets-final-reality-check" target="_blank">The failing auto industry gets a final reality check.</a>
Putting all the politics aside history shows with Australian motor vehicle closures: 1992 – Nissan – Keating, 2008 – Mitsubishi – Rudd, 2013 – Ford – Gillard and 2013 – Holden – Abbott.
<a title="Labour pains add to the RBA’s challenges" href="https://www.businessspectator.com.au/article/2013/12/12/economy/labour-pains-add-rbas-challenges" target="_blank">Labour pains add to the RBA’s challenges</a> with the Australian Bureau of Statistics (ABS) announcing yesterday that the unemployment rate rose to 5.8% in November, from 5.7% in October. The man with the toughest assignment is none other than Glenn Stevens our head teller at the Reserve Bank of Australia (RBA) who warned <a title="Stevens warns against hubris " href="https://online.wsj.com/news/articles/SB10001424052702303330204579245372909974900" target="_blank">against hubris; </a>“We are building up this myth of 22 years uninterrupted growth. We shouldn’t do that – sooner or later we’ll have another downturn.”
What remains to be seen is exactly what lessons have been learnt from the GFC.
As 2013 comes to a close it’s always interesting to look back in reflection and let’s look at interest rates which I might add Macquarie Bank called it nearly right saying they would get to 2.00% at the beginning of the year. I predicted they would actually go up so I was completely wrong although Macquarie Bank did predict 2.00% so they were half right. In 2014, at some stage I predict the cash rate will fall to 2.00% as the RBA tries to get its monetary policy back firmly on the front foot.
<img class="aligncenter size-full wp-image-8372" alt="4-12-2013 12-58-17 PM" src="https://www.rwm.com.au/files/2013/12/4-12-2013-12-58-17-PM.jpg" width="470" height="345" style="margin-top: 0px; margin-bottom: 0px; padding: 0px; outline-width: 0px; font-weight: inherit; font-style: inherit; font-family: inherit; max-width: 100%;">
At RWM our December quarter turned out to be an all-time record which has us clearly of the opinion that the local real estate market will kick-off very strongly in February 2014. Again, the market is easily measured by the number of properties on the market which for the better part of 2013 saw record low numbers of properties on the market.
Interesting observation in 2013 was that we really started to see the Chinese buyers making serious inroads into the Mosman markets especially in the house sector. <a title="Chinese buyers tower over Australian real estate" href="https://www.businessspectator.com.au/article/2013/12/6/china/chinese-buyers-tower-over-australian-real-estate" target="_blank">Chinese buyers tower over Australian real estate</a> – Where China spends its vast US$3.7 trillion foreign reserves is going to dominate asset prices and developments around the world. Right now apartments in Sydney and Melbourne are in favour with the Chinese.
The number of houses keeps diminishing with just 88 houses for sale in Mosman, Cremorne and Neutral Bay which in itself would be another record.
Wishing you a Merry Christmas and a safe and prosperous New Year.
 
<hr>
Robert Simeon is a director of <a style="font-size: 14px;" title="RWM" href="https://www.rwm.com.au/" target="_blank" rel="nofollow">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 title="Virtual Realty News" href="https://www.rwm.com.au/news/" target="_blank" rel="nofollow">Virtual Realty News</a> since 2000. 
The RWM real estate model has sold in excess of $1 billion in database sales globally.
</body></html>

robertsimeon-hRNTwJyXkQ

The Sydney market will kick-off very strongly in early 2014

<html><body>
The Coalition looks set to abandon its target to return the federal budget to surplus within four years, as it hits 100 days in power.
Tomorrow, the federal government will release its Mid-Year Economic and Fiscal Outlook, ahead of which Prime Minister Tony Abbott has suggested to media that achieving budget surplus by 2017 will be unrealistic.
Despite pre-election talk of returning the budget to surplus, Abbott appeared to back-pedal on timeframes, as reported in The Australian Financial Review.
“We said we would return the budget back to surplus at least as quickly as Labor had proposed. What we are discovering the more we dive deeply into the budget is the extent of Labor’s fiscal disaster,” he said.
The forecast deficit could hit more than $40 billion, The Age reported.
He told radio that tomorrow’s fiscal outlook would reflect the management of the previous Labor budget.
"Next year's budget will put us back on a path [towards] a sustainable surplus," Abbott said.
''We are purposefully, carefully and methodically putting in place policies to help families by reducing their cost-of-living pressures, improving job security, encouraging small business and delivering better services,'' Abbott said, as reported in The Age.
Council of Small Business of Australia chief executive Peter Strong told SmartCompany he was not concerned about a surplus delay as it was the “sensible and proper thing to do”.
“Internationally we don’t have the same debt as other countries, and we dealt well with the GFC, so we don’t want to achieve a surplus for the sake of it,” he says.
“It is important to keep the balance and to keep up the standard of government services.”
Strong was more disappointed about cuts to the <a target="_blank" href="https://www.smartcompany.com.au/legal/33371-coalition-to-scrap-instant-asset-tax-write-off-and-loss-carry-back-measures">loss carry-back tax</a> and the instant asset tax write off, which he says will have a greater impact on small business.
He says the government should find alternative ways to fill the financial hole, such as taxing digital purchases online including music and eBooks, and ensuring that major businesses do not dodge taxes.
A spokesperson for the Business Council of Australia said they would not speculate on tomorrow’s findings, but would comment after the official release.

<hr>
This article first appeared on <a target="_blank" href="https://www.SmartCompany.com.au">SmartCompany.</a>
 
</body></html>

moliver-7qYWqnHmyR

100 days in, Abbott’s about face on budget surplus stirs up industry groups

<html><body>
Apartment building approvals in South Brisbane increased three-fold over the past year as it pushed ahead as the fastest growing suburbs in Brisbane following intense urban renewal investment.
Residential building approvals increased from 151 in 2010/11 financial year to 744 in 2012/13,1 according to research firm Urbis.
Its projected growth rate is 5.6% with almost 10,000 people predicted to move in by 2031.
The suburb has been the site of massive public spending with $4.1 billion of infrastructure spending over the past years, including the Southbank Activity Precinct, the Queensland Cultural Centre, the Southbank Institute of Technology, the Queensland Children’s Hospital, the Brisbane Convention and Exhibition Centre and an expanding Business and Office Precinct.
There is another $1.2 billion planned for the near future.
Urbis says loose planning controls have contributed to the explosion in apartment building.
“The Brisbane City Council recognised the area’s unique attributes and introduced a Neighbourhood Plan in 2011 that loosened the previously restrictive planning controls and in doing so gave industry what it requires for major investment decisions – an increased yield potential and certainty through code assessable development that is quarantined from competitor or public appeals,” Urbis director Stephen Buhmann writes.
He says the population growth forecasts suggest the building boom will continue in the 2020s.
“This implies that the recent burst in approvals is not just a one-off.  Rather, it is the start of a continuing phase of development that is expected to run for well over a decade.”
Aria Property Group is one of the developers taking advantage of the building explosion with the June completion of its Russell apartment building which just achieved full rental occupancy.
The 56-unit development sold mostly to local investors and local owner-occupiers, three weeks after coming to market.
{yoogallery src=[images/stories/2013/12/16/south]}
The Rothelowman White designed building won the Urban Development Institute of Australia Queensland’s 2013 prize in the urban renewal category.
“Urban renewal is important because it reduces the need for urban sprawl and cleans up parts of the city which have previously been used for industrial and commercial activities,” says Aria’s Michael Hurley.
“It is vital that these projects are designed to be complimentary to surrounding environments, to be consistent with existing infrastructure and to still be relevant in 10 or 15 years time.”
“When we started on Vine, South Brisbane had not seen any significant residential development from 2008 to 2012. There had been 10,000 office workers that moved into South Brisbane during that five year period.
“And with little or no residential units having been delivered in that same time period, an undersupply of housing occurred. Vacancy rates were the lowest in Brisbane at 1.4%, which was driving rental yields up. Well located, quality residential units have been long overdue in the market.”
<a target="_blank" href="mailto:awalsh@propertyobserver.com.au">awalsh@propertyobserver.com.au</a>
</body></html>

awalsh-7Ub9EypybQ

South Brisbane's apartment explosion comes with urban renewal

<html><body>
If there was any residual doubt about whether low interest rates would push more investors into Australia's housing markets, well, there isn't now.
I'm not sure I understand all of the reasons why everyday Australians are more inclined to invest in residential property than, say, our counterparts in the US, but regular readers will recall that I was confident that this would be the outcome of lower interest rates (in the face of a chorus of articles and commentators suggesting in no uncertain terms that the housing markets would not respond to monetary policy, and that buyers should 'sit it out' and wait for an inevitable price correction).
It seems to be part of the Australian psyche, as well as a reflection of our tax system. Investors with surplus capital have seemingly been spooked by the share market crash rather than welcoming the wonderful buying opportunities, and instead turn to the property markets to seek returns in the low interest rate environment ("I've always done well in property").
In my opinion, and in that of others, the long-run outcome of this will be iniquitous "cones of wealth" surrounding our major capital city centres - in particular Sydney and Melbourne - just as we have seen unfolding in London and elsewhere over the past few decades. I don't expect that outer suburbs and regional centres, where the percentage of investors is much lower, will be impacted all that much.
Finance data
The Housing Finance data for October from the Australian Bureau of Statistics (ABS) showed a very substantial 4.1% seasonally adjusted increase in total dwellings housing finance.
<a imageanchor="1" href="https://1.bp.blogspot.com/--O0y9m6RS0w/Uqd_bs-p0ZI/AAAAAAAALEE/rc-Pe742TYw/s1600/ABS+housing+finance.jpg" style="text-decoration: none; color: #7f7f7f; margin-left: 1em; margin-right: 1em;"><img style="border: 1px solid #ebebeb; position: relative; padding: 5px; box-shadow: rgba(0, 0, 0, 0.0980392) 1px 1px 5px;" width="450" src="https://1.bp.blogspot.com/--O0y9m6RS0w/Uqd_bs-p0ZI/AAAAAAAALEE/rc-Pe742TYw/s400/ABS+housing+finance.jpg" height="135"></a>
Source: ABS
As you can see above, owner occupied housing finance increased by 1% through October, seasonally adjusted, and the recent data has sent the total number of owner occupied dwelling commitments well above their long run averages.
<img style="padding: 5px; border: 1px solid #ebebeb; box-shadow: rgba(0, 0, 0, 0.0980392) 1px 1px 5px; display: block; margin-left: auto; margin-right: auto;" src="https://www.abs.gov.au/ausstats/abs@.nsf/a866861f12e106e0ca256a38002791fa/05dbce56402ec566ca25723d000f2999/Body/0.29FC!OpenElement&amp;FieldElemFormat=gif" alt="Graph: No. of dwelling commitments, Owner occupied housing">
Source: ABS
The total value of dwelling commitments is in a roaring uptrend, the most recent sector of the chart almost vertical.
<img style="padding: 5px; border: 1px solid #ebebeb; box-shadow: rgba(0, 0, 0, 0.0980392) 1px 1px 5px; display: block; margin-left: auto; margin-right: auto;" src="https://www.abs.gov.au/ausstats/abs@.nsf/a866861f12e106e0ca256a38002791fa/05dbce56402ec566ca25723d000f2999/Body/0.1FEE!OpenElement&amp;FieldElemFormat=gif" alt="Graph: Value of dwelling commitments, Total dwellings">
Source: ABS
 
The real driver and the real story of this release is the level of investor activity, which has increased massively over the month of October (+8%) and over the past year (+29%).
Note that this is easily the highest level of investor activity ever recorded in Australia.
<img style="padding: 5px; border: 1px solid #ebebeb; box-shadow: rgba(0, 0, 0, 0.0980392) 1px 1px 5px; display: block; margin-left: auto; margin-right: auto;" src="https://www.abs.gov.au/ausstats/abs@.nsf/be4aa82cd8cf7f07ca2570d60018da27/d672cf4ebe195f15ca256e910077d9c2/Body/0.A0E!OpenElement&amp;FieldElemFormat=gif" alt="Graph: INVESTMENT HOUSING - TOTAL">
Source: ABS
 
Combined with other data which shows that New South Wales is leading the levels of financing activity, this clearly suggests to me that the types of property which will 'outperform' the national averages will be those favoured by investors, in particular those located in the inner/middle ring suburbs in Sydney.
Meanwhile, there was positive news for the new dwellings sector, with he number of commitments for new dwellings strong.
<img style="padding: 5px; border: 1px solid #ebebeb; box-shadow: rgba(0, 0, 0, 0.0980392) 1px 1px 5px; display: block; margin-left: auto; margin-right: auto;" src="https://www.abs.gov.au/ausstats/abs@.nsf/be4aa82cd8cf7f07ca2570d60018da27/d672cf4ebe195f15ca256e910077d9c2/Body/0.3C46!OpenElement&amp;FieldElemFormat=gif" alt="Graph: Purchase of new dwellings">
Source: ABS
 
First home buyer activity
There is little point in analysing first home buyer activity in great detail. We know that the numbers are low, but, in NSW at least, we also know that the numbers are incomplete.
I missed out on a property myself to a first home buyer a fortnight ago, but I'm doubtful that he was recorded as such. Notably, he was somewhat older than first home buyers from generations gone by, a trend we might expect to see continuing.
New dwellings construction
And finally, finance for the construction of new dwellings is definitely moving strongly in the right direction with 11 consecutive monthly increases, but it would be fair to say that there is still a good deal of heavy lifting for low interest rates to do before it could be called a construction boom.
In particular, much of the activity has been in NSW and Western Australia to date, so other states have some way to go.
According to the ABS: "The number of finance commitments for the construction of dwellings for owner occupation (trend) rose 0.7% in October 2013, following a rise of 0.6% in September 2013.
 
"This is the eleventh consecutive rise since December 2012. The seasonally adjusted series rose 1.0% in October 2013, following a rise of 1.7% in September 2013."
<img width="450" style="padding: 5px; border: 1px solid #ebebeb; box-shadow: rgba(0, 0, 0, 0.0980392) 1px 1px 5px;" src="https://www.abs.gov.au/ausstats/abs@.nsf/be4aa82cd8cf7f07ca2570d60018da27/d672cf4ebe195f15ca256e910077d9c2/Body/0.317E!OpenElement&amp;FieldElemFormat=gif" alt="Graph: Construction of dwellings">
Source: ABS
Summary 
Housing finance is a useful indicator as to what is coming in the future, and the indicators suggest more of the same in 2014 while interest rates remain low.
Over the past 12 months, Sydney has recorded 14% growth, Perth around 10.5%, and Melbourne 7.5%. Even Adelaide, which was is my least favoured capital city suggestion due to there being a weaker supply/demand dynamic, has scraped together a tiny amount of capital growth, although the city's dwelling prices have comfortably underperformed inflation for years and years now.
<a imageanchor="1" href="https://2.bp.blogspot.com/-1eWOm-EVNXE/UqekuSqMLEI/AAAAAAAALEU/QTI74rZkIz0/s1600/RPD.jpg" style="color: #253fff; margin-left: 1em; margin-right: 1em;"><img style="border: 1px solid #ebebeb; position: relative; padding: 5px; box-shadow: rgba(0, 0, 0, 0.0980392) 1px 1px 5px; float: left;" width="450" src="https://2.bp.blogspot.com/-1eWOm-EVNXE/UqekuSqMLEI/AAAAAAAALEU/QTI74rZkIz0/s320/RPD.jpg" height="291"></a>
Source: RP Data
In summary, we are heading into a giant and unprecedented investor-led property boom in Sydney. But if you've been a long-term reader of my books (and my blog), you already knew that...years ago.
 
<hr>
Pete Wargent is the co-founder of <a rel="nofollow" target="_blank" href="https://allenwargent.com/">AllenWargent</a> property buyers (London, Sydney) and a best-selling author and <a rel="nofollow" target="_blank" href="https://petewargent.blogspot.com/">blogger</a>.
His new book '<a rel="nofollow" target="_blank" href="https://www.bigskypublishing.com.au/Books/General-Interest/Four-Green-Houses--and-a-Red-Hotel/1015/productview.aspx">Four Green Houses and a Red Hotel</a>' is out now.
</body></html>

pwargent-M4siyDbqQY

Sydney is heading into a giant and unprecedented investor-led property boom

<html><body>
In the final hours of Federal Parliament for 2013, Labor Senator Jan McLucas succeeded in establishing an inquiry by the Economics References Committee, in addressing Australia’s growing housing affordability crisis, stating:  
“Pressures on affordability of housing in Australia have continued to intensify, especially in capital cities and mining communities.”
 
This appears to be good news and something that a growing ground swell of home buyers and renters, limited by budget and feasible supply, have been hoping for.  
The inquiry is set to investigate the role of all levels of government in facilitating affordable home ownership and private rental, social, and public accommodation.  
Importantly, it will also look into policies designed to increase the supply of housing – perhaps the most critical and well proven factor in the potential long-term effectiveness of any sustainable solution.  
As welcome as any inquiry into housing affordability is, I question why we are using taxpayer dollars to produce a repeat version of the investigation undertaken by the Rudd administration back in June 2008?  
The 2008 report entitled <a href="https://www.propertyoz.com.au/library/A%20good%20house%20is%20hard%20to%20find%20report%20JUNE%202008.pdf">“A good house is hard to find: Housing affordability in Australia”</a> was detailed in its content, drawing on evidence from organisations such as the housing section in the Department of Families, the Master Builders’ Association, the Planning Institute, the Urban Development Institute, the Housing Industry Association, NATSEM and the Treasury.  
It addressed Australia’s tax policies, such as capital gains tax and negative gearing, which under the current structure are widely recognised as having a negative impact on affordability and market activity. It included an assessment of the construction industry's future skilled labour workforce – a job to be undertaken by the National Housing Supply Council, which has subsequently been abolished by the Abbot government, thus giving a very clear indication where their priorities lie (not with housing).  It also covered rental accommodation, and social housing policy.  
The report correctly stated “the need for greater responsiveness of land release and housing supply to market demand.” Stressing, “Efforts to this end should occur in a variety of contexts.”  
Some of the highlights included:  
<ul>
<li>
Recognition that state and local governments' planning processes are too complex and often involve long delays and high costs.
</li>
<li>
Housing supply not adequately facilitated with community infrastructure.
</li>
<li>
Developer infrastructure charges being too excessive and further restricting supply and inflating purchasing costs.
</li>
<li>
The negative impacts of the 'urban growth boundaries' implemented by the Victorian and South Australian governments, resulting in land banking and increased prices.
</li>
<li>
The type and quality of housing being constructed – i.e. not appealing to elderly downsizers or single parent buyers.
</li>
<li>
And notably, a critical assessment of New South Wales, with the suggestion it had probably done more than any other state in Australia to restrict the opportunities for urban growth on fringe land.
</li>
</ul>
  The 238 page document contains many submissions; including this one, by the New South Wales Division of UDIA (Urban Development Institute of Australia),
in which Mr Blancato recommends the Commonwealth government expedite the release, rezoning and servicing of Commonwealth land with critical lead infrastructure to support the supply of new dwellings to the market;  
“We are proposing that there should be an amount of land—a forward train of land of maybe 20 years—that is released and serviced.  
“The word ‘released’ is something that is very difficult to get a handle on. You will have successive governments release the same patch of land five times but not a dollar will be spent on infrastructure…  
“The government used to invest in it—20 years ago you would go out to a release like Blacktown and the main sewer carriers were in and the sewage treatment plant was built. You would go out there and you could develop this five-acre parcel or that five-acre parcel. You might do a little bit of a lead-in, connecting infrastructure, but it was affordable.”  
Whilst I wouldn’t advocate all the recommendations concluded in the paper, it’s five years later and we seem to be no further forward.  
Prices continue to rise from a bull run on established property in our most populated states – and first home buyers are barely treading water against a speculative investment sector.  
Urban boundaries and a propensity towards land banking, hefty tax overlays and poor infrastructure development, ensure land on the outskirts continues to be priced at a level that doesn’t incentivise buyers to correctly evaluate the trade-off between price and time. Therefore demand remains marginal, with a downward slide in the number of new dwellings completed per annum.  
There is no forward thinking on infrastructure financing, or a full understanding that people don’t purchase houses as much as they buy into communities.  
Additionally, there is little diversity on the type of housing built in greenfield developments to enable newly created suburbs to market to a broad socioeconomic mix of residents, who do not just want McMansions built to the edges of a 400-500 square metres blocks of land.  
Rents continue to rise, with vacancy rates in areas such as Sydney, close to 1%.
Crowded houses – with three or more families sharing accommodation, has increased nationally by 64% to 48,499 according to the ABS.  
The ACT is abolishing stamp duty over a slow transitional <a target="_blank" href="https://www.canberraconnect.act.gov.au/app/answers/detail/a_id/1397/~/tax-reform">20 year</a> period and reverting to a land tax system, and some states have reduced stamp duty payments for first home buyers, however there has been no action federally on recommendations in the Henry Tax review on negative gearing, capital gains tax, or the rapid rise of residential investment and gearing in SMSFs.  
So what happened?  
In one respect it’s the deluded thinking perpetuated by policy makers, who theorise urban sprawl to be essentially bad, imagining it’s possible to develop affordable housing on expensive land in inner urban localities. This is a picture of a bright future where residents live a handbreadth apart, compacted in small apartments around existing infrastructure hubs within computable distance to the CBD – questioning ‘isn’t this where everybody wants to be anyway?’  
As if to prove their point - when fringe land is released and an additional abundance of ‘roof space’ is built, it fails to lure a diverse range of home buyers, because - as the 2008 report correctly highlighted - the housing lacks diversity, the cost of raw land remains too high, and the developments are burdened with hefty taxes transferred onto the buyer.  
More importantly, the surrounds are not adequately facilitated with infrastructure such as schools, transport, medical and recreational facilities to cater for an individual and family’s personal needs.  
Therefore, our outer suburbs tend to be black listed as low socio economic hubs, populated by those who are deemed to sit at the bottom of the housing ladder.  
I listened to an auctioneer’s preamble a few days ago, which summed it up perfectly.  After he elucidated the various attributes of the modest two-bedroom home, he threw his hands up and with a flourish, exclaimed: “And let me tell you what you get for free!” And proceeded to point out the local school, shopping strip and park.  
Accordingly, if a buyer is able to travel to work, the supermarket and any other amenity on the priority list within a 30-40 minute period, the distance from the CBD is not an imposing factor. The decider is in the time it takes to drop the kids off to school in one direction and travel to work in the other.  
Furthermore, an acknowledgement that the value of land and the capital gains achieved by its owner lays in the facilitated connections around it, forms the argument for broad based land value tax, as I explained <a href="https://www.macrobusiness.com.au/2013/11/land-tax-must-kill-negative-gearing-stamp-duty/">here</a>.  
The <a href="https://www.demographia.com/dhi.pdf" target="_blank">Annual Demographia International Housing Affordability Survey</a> has aptly demonstrated, in cities where supply is not artificially constrained by poor policy and planning, which fails to cater for community needs, house prices remain affordable and relatively stable.  
Realistically, a well developed city, which has policies flexible enough to meet the demands of its home buying demographic, should see price rises track only the rate of inflation, with growth in household incomes somewhat influential in those areas in which there is greater demand.  
Not the well spruiked figures of 7% plus median growth per annum we experienced in some suburbs prior to the GFC, – or figures outpacing both wage growth and inflation.  
Across Australia, every state faces its own intrinsic economic and geographical challenges, for which housing policies need to be flexible enough to adhere, local resident voices need to be heard, and councils need to have the freedom to respond.  
However, if the only options we offer first home buyers are candy style incentives in a low interest rate environment, which must stay at rock bottom levels in order to support the inflated levels of debt it encourages. Then, over the longer term, our real estate obsession from which so many feed, will become a noose around the neck, provoking broader concerns.  
It’s very important we correctly understand where our policy makers have let us down in the delivery of affordable housing stock. A worrying trend is starting to emerge, which was highlighted in a recent news report showing footage of Julia Gillard's Altona house auction.  
In the post auction interview, the sales agent said that the Chinese purchaser wanted her to express to everyone that 'she is an Australian citizen.'
The comment speaks volumes - emphasising how important it is to stop blaming current high prices solely on 'foreign buyers' whilst at the same time, singling out a unique demographic - a large proportion of which are Australian citizens, work and pay their taxes and have a right to purchase residential real estate.
One of the most powerful tools for the regulation of any market is transparency. Without it, speculation ensues and leads to undesirable assumptions - such as the belief that every Asian face seen at an auction is 'foreign'.
The reason real estate prices are high in Australia is due to years of poor government policy and planning - and this is where the blame should be placed and this is where the pressure should be directed.
 
<hr>
Catherine Cashmore is a market analyst with extensive experience in all aspects relating to property acquisition.
 
 
</body></html>

catherinecashmore-6LXia3pPQj

Another senate housing affordability inquiry – but what’s happened since the last?

<html><body>
Victoria saw around 1,560 auctions in 327 suburbs this past Saturday, making 2013 the hottest year for auctions with nine Super Saturdays on record, according to the Real Estate Institute of Victoria (REIV).
Prior to this year, 2010 comes in a close second with seven Super Saturdays on record.
Richmond was set to have the highest volume of auctions with 27 auctions, followed by Bentleigh East with 23 auctions, Brighton with 20 auctions, Reservoir with 19 auctions, and St Kilda with 19 auctions as well.
The weekend before last's auction clearance rate stood at 64%, which was the lowest since April.
REIV chief executive Enzo Raimondo believes this reflects the very high number of auctions, noting of last weekend that it will be the last for the year, bringing the grand total to nine. This compares to just two in 2012.
</body></html>

dleow-BGaNPbHWyK

2013 had nine Super Saturdays, highest on record: REIV

<html><body>
If you’re a first home buyer, you’re usually going in blind when it comes to getting a home loan application approved. Sure, your parents might be able to give you some ‘hot’ tips but things have changed a lot since they first applied for a home loan.
Some bank staff will not tell you all of the options available for your loan but a good mortgage broker will.
Here are three things a broker knows that you don’t.
The LMI factor
Lenders mortgage insurance (LMI) is a premium paid by the borrower that protects the lender against loss incurred by a mortgage default. LMI is usually around 1-4% of the loan amount and is applicable if you borrow over 80% of the property value (80% LVR).
Banks have different LMI premiums, however nobody tells the borrower!
If you purchased a property for $600,000 and borrowed 95%, one of the major lenders would charge you $29,226 for LMI premium while another would charge you $18,453.
We all like to shop around for a good interest rate but have you tried getting the best deal for your LMI? You can’t. Why? Because lenders don’t publish it!
A good broker will take LMI into account when helping you to choose the right home loan. In some cases, LMI can even be waived if you’re a professional such as a doctor, accountant, lawyer or engineer.
If your mum or dad agree to act as a guarantor for your loan you can possibly avoid LMI entirely. Unfortunately some brokers never tell you about this option and you end up paying thousands in LMI unnecessarily.
Brokers know the (credit) score
When a bank assesses your loan application they’ll combine all the data in your application with your credit history and get what is known as a ‘credit score’. Credit scoring has been gaining traction and now most banks use it – but each lender views risk very differently!
Before your application is even looked at by a human, you’re run through the bank’s scorecard. Apart from your credit history, they’ll gather other information like your asset position, job stability and even whether you saved a deposit or if it was a gift!
One lender may not like someone who has changed jobs recently but for another it doesn’t factor into their credit score at all.
If you don’t pass the credit score, you shall not pass! Brokers know how banks score and can help you select the right lender for your situation.
Do something with that extra cash!
If you’re on a professional package, making extra repayments can make a massive difference over the term of the loan.
We all know that right? Well what you didn’t know is just how big a difference extra repayments can make!
For a $570,000 loan over 30 years with an interest rate of 4.99%, you pay $3,056.40 per month.
Just paying $1 extra a day ($30.42/month) will save you $13,950.36 over 30 years. That’s a pretty decent Christmas holiday.
Albert Einstein once declared compound interest to be ‘the most powerful force in the universe’ and it works both ways!
It’s up to you to get in touch with an expert who knows the tips to save you money.
Otto Dargan is the two time winner of Australia’s Brightest Mortgage Broker and the founder of specialist mortgage broker the <a href="https://www.homeloanexperts.com.au/">Home Loan Experts</a>.
 
</body></html>

odargan-kWwwv8Bi6h

The three things your home loan broker knows that you don't

<html><body>
Villa Igiea, best remembered as the long-time Vaucluse home of the late TNT transport tycoon Sir Peter Abeles and his late widow, Lady (Kitty) Abeles, was the surprise choice as the Sydney base of Hollywood star Angelina Jolie and her six children, with Brad Pitt also flying in to spend time with the family. Jolie is here in Australia to shoot the World War II drama Unbroken over three or so months.
Our commentators Jonathan Chancellor and Margie Blok differ on whether the Jolie-Pitts were correct in selecting Vaucluse's Villa Igiea as their Sydney base?
HE SAID: YES<img src="/images/stories/2013/09/06/jc-silhouette-5.jpg" alt="jc-silhouette-5" width="150" height="225" style="float: right;">
Indeed Angelina was quite right, for she gets a magnificent European style villa with picture perfect postcard views gunbarreling across the harbour to the Harbour Bridge and Opera House. It is one of the most delightful family homes I've been inside.
Inspired by a grand 1908 villa in Palermo, Sicily, Villa Igiea dates back to the 1920s when it was built by the retailing Grace family to a design by Neville Hampson, the architect who designed Boomerang, the grand Spanish Mission style harbourfront mansion at Elizabeth Bay.
But Villa Igiea was built with its then Vaucluse Road, Vaucluse address in the Riviera Liberty style, featuring strong Italianate art nouveau influences before getting a quick refreshing update during the McWilliam family’s ownership during the early 2000s and then under the current Burt family ownership a total contemporary refurbishment worthy of a Vogue spread. (pictured below).
{yoogallery src=[images/stories/2013/12/17/vau]}
The imposing mansion was bought in 1970 by Sir Peter Abeles who paid $450,000 for the Queens Avenue property. It was known then as the Aegean Villa, sold by meat exporter and onetime Hellenic Club president, Steve Varvaressos, and described by my early 1980s SMH property editor predecessor John Rich as among the best houses in Sydney.
And during the next three decades, the five-bedroom, three storey white-washed sandstone residence, with its panoramic Harbour Bridge views, was often host to royalty and prime ministers.
After Sir Peter Abeles died in mid-1999, his widow, Lady (Kitty) Abeles, put a $20 million asking price on the property, which I recall briefly attracted potential buying interest from then Hollywood royalty, the actors Tom Cruise and Nicole Kidman, before their separation.
Rightly billed as one of Australia's most impressive properties, Villa Igiea stands in 2,160 square metre grounds high above Hermit Bay. There's also the additional adjacent 800 square metres holding.
All set behind remote-controlled gates on the Queens Avenue cul-de-sac, the house is surrounded by balustraded terraces and sprawling manicured gardens with pool, along with underground garaging installed during its recent works project.
It was Vaucluse’s priciest sale when in 2005 Villa Igiea sold to Wayne Burt, a London-based entrepreneurial expat, for close to $17.3 million. Burt, who spent $4.9 million on the neighbouring house in 2009, has extensive international experiences in investment banking in Sydney, London and Monaco including some years at Macquarie Bank, Deutsche Bank and Bain Capital.
The price well and truly beat the previous suburb record of a Coolong Road waterfront mansion sold by retired bookmaker Bob Bland for $14,725,000 in 2002 to the Walton clan who engaged Luigi Rosselli to design a new house which was briefly rented by Leonardo di Caprio when he was filming the Great Gastby in 2012.
People like Vaucluse for its harbourfront beaches and parklands at Nielsen Park and Parsley Bay. It also has easy access to the harbour and the walking tracks on The Hermitage or near Macquarie Lighthouse.
A prestigious suburb with large houses, many with striking harbour views, Vaucluse attracts families for its leafy environs, relaxed lifestyle and close proximity to private schools. Easy access to parks, playgrounds and beaches suited to small children are the motivating factors for families moving to the area – including the Jolie-Pitts.
Of course Point Piper's Altona ruled the rental roost until its $52 million sale earlier this year. With Villa Igiea new to the prestige executive rental pool, its rental price remains undisclosed, disallowing any price comparison.
 
<img src="/images/stories/2013/09/06/mb-silhouette-4.jpg" alt="mb-silhouette-4" width="150" height="225" style="float: left;">SHE SAID: NO
I think Barford, the seven-bedroom Georgian style mansion at Bellevue Hill (pictured below) would have been a better choice for the Hollywood power couple for it is exceptionally private estate which could be especially handy for celebrity renters when pesky paparazzi are stalking.
As well as being hidden from street view, Barford has two entrances (one on Victoria Road and another on Rupertswood Avenue), so comings and goings in cars with dark-tinted windows would ensure a degree of privacy as well as safety.
In my view, celebrity renters are better off choosing Bellevue Hill over Vaucluse, for Bellevue Hill is just four kilometres from the city, as well as being very close to Double Bay, Bondi Junction and the harbour.
{yoogallery src=[images/stories/2013/12/11/bell]}
Sydneysiders would be aware that Vaucluse property tends to go in and out of fashion, although expats may not understand that Vaucluse’s travel distance puts the suburb out of favour with many locals.
One of Bellevue Hill’s most prestigious properties, the Barford estate, was promoted for lease only this week at a weekly rental of $25,000 through Run Property agent, Kyara Coakes for its Hawaiian-based owner, Ian Joye.
But Barford has long been a preferred rental property for celebrities seeking a luxury mansion with privacy.
In 2001 actor Will Smith led the march to lease Barford. He reportedly paid $4,000 a week during the time he was here to support his wife Jada Pinkett-Smith who was in Sydney to work on the movie, Matrix 2.
Altona was his harbourfront preference, but the pop star Bono has been among the more recent renters – in 2010 he reputedly paid the advertised price of $40,000 a week for the Bellevue Hill property.
Run Property’s internet advertisements claim Barford “as one of the country's most significant private holdings and one of the finest homes in Australia”.
The ads state Barford is "the best Sydney has to offer in location and timeless design. It offers sweeping views across Rose Bay, Sydney Harbour and beyond the Heads of Manly, yet affords total privacy. There is no opportunity for paparazzi to moor outside Barford.”
Named after a village beside the River Leam in Warwickshire, England, Barford was built in 1931 for media tycoon Sir Warwick Fairfax who resided there until the late 1960s when he sold it to former Melbourne car salesman, Emmanuel Margolin.
In 1980 Margolin sold Barford for around $1.5 million to property traders, Maurice Bernhardt (a former Double Bay estate agent) and Max Franks.
Not long after Bernhardt and Franks sold Barford to Barry and Wendy Loiterton who operated the tourist-marketing business, Leisuremark.
Of course, in 1985, Barford’s magnificent garden was the setting for a French champagne and lobster feast attended by a 500-strong glitterari set to celebrate the wedding of socialite Glen-Marie North to Liberal Party stalwart Bob Frost.
I recall Barford’s last sale in late 1986 for $9,875,000 to the entrepreneurial accountant Ian Joye. This deal was headline news for it was near enough Sydney’s first $10 million sale with Jonathan breaking the story in January 1987 in his much remembered back page Today's People, SMH column.
Ian Joye certainly knows select properties.
Properties on the northern side of Sydney rarely attract celebrity renters or command high prices – with the exception of Palm Beach’s Kalua, a 5,500 square metre landmark beachfront estate which Ian Joye sold for $22 million in 2012.
Only popular during the summer season, Kalua was rented over the years by the likes of Elle Macpherson, Nicole Kidman, John Cleese and Rupert Murdoch reputedly at $25,000 or so a week, although Palm Beach rentals tend to ebb like high and low tides.
Elsewhere across Sydney I recall then record rentals including $16,000 a week for Musgrave House in Mosman rented by Diana Ross during her 1989 tour and $25,000 a week paid by singer Paul McCartney in 1993 for a Mosman, waterfront on Wyargine Point.
</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