Brisbane-based developer <a href="https://www.apartments.com.au/developers/trk-property-group">TRK Property Group</a>&nbsp;has enlisted renowned architecture firm Koichi Takada Architects to design its latest new apartment development.

The new 34-storey tower at <a href="https://www.apartments.com.au/new-apartments/57-berwick-street-fortitude-valley-qld-4006">57 Berwick Street, Fortitude Valley</a>,&nbsp;will have 189 apartments, complete with interiors by <a href="https://www.apartments.com.au/architects/byculprit">byCULPRIT</a>. The upper levels&nbsp;capturing views across the Story Bridge, city skyline, ranges, bay and river.

Residents will have access to a rooftop amenity floor with facilities including a pool, spa, sauna, hot and cold treatment, meditation garden, gym, yoga studio, private dining, BBQ, games lounge, wine display wall, work library, meeting rooms and outdoor work areas.

<a href="https://www.apartments.com.au/developers/trk-property-group">TRK</a> Founder and Managing Director, Arpan Kohli, said it will be a project "Brisbane hasn't seen before."

&nbsp;

"To deliver a project of this calibre, you need the right people involved," Kohli said.

"Koichi Takada Architects and byCULPRIT set the benchmarks for design excellence, and this project reflects that - a building of genuine architectural significance in one of Brisbane's most coveted locations, sitting between Howard Smith Wharves and the James Street precinct."

TRK recently launched <a href="https://www.apartments.com.au/new-townhouses/laya-residences-taigum-203-beams-road-taigum-qld-4018">LAYA Residences in Taigum</a>, 88 three-bedroom townhouses starting from $1,495,000. They have another apartment site in Indooroopilly, at <a href="https://www.apartments.com.au/new-apartments/140-central-avenue-indooroopilly-qld-4068">140 Central Avenue</a>. That will have 131 apartments.&nbsp;

&nbsp;

Joel Robinson

TRK proposes Koichi Takada-designed apartment development in Fortitude Valley

Perth development giant Finbar Group has completed its acquisition of the prominent 236 Railway Parade site in West Leederville, a year after first flagging plans for the transit-oriented development that will become its next major apartment project in Perth's inner west.

The ASX-listed apartment developer has secured the 4,997 sqm mixed use-zoned landholding opposite West Leederville Train Station for around $15 million, paving the way for the proposed Rosslyn Quarter development. The project is expected to deliver <a href="https://www.apartments.com.au/new-apartments/236-railway-parade-west-leederville-wa-6007">around 240 apartments across two towers</a>, alongside ground-floor commercial space.

The acquisition effectively concludes a process that began in mid-2025 when Finbar announced it had entered into a contract to purchase the site, subject to development approval and the finalisation of planning settings under the West Leederville Precinct Structure Plan. At that time, the company outlined plans for a pair of 18-storey towers with an estimated end value of around $200 million.

The site sits within the emerging Rosslyn Quarter precinct, approximately two kilometres from the Perth CBD and directly opposite the West Leederville Train Station. The location also places future residents within walking distance of the West Leederville Shopping Centre, Leederville's hospitality strip, and the neighbouring Subiaco activity centre.

Finbar CEO Ronald Chan said the acquisition builds on the developer's previous experience in the suburb, where it delivered the Motive Apartments project in 2017.

"We have previously enjoyed great success in developing in the West Leederville area given its excellent existing amenity and close proximity to the CBD, Leederville, Subiaco, and the West Leederville train station," Chan said.

He said the scale of the site would allow Finbar to deliver a well-located apartment project while strengthening its long-term development pipeline.

"The substantial scale of this site, with proposed potential for two eighteen-storey towers, will allow the Company to obtain scale benefits which will underpin the delivery of a medium-cost, well-located project," Chan said. "Importantly, this acquisition diversifies and strengthens our long-term development pipeline across metropolitan Perth, enabling us to time our product delivery strategically in line with market conditions."

According to Sterling Property, which brokered the transaction, the site was one of the most significant development opportunities to come to market in Perth's western suburbs in recent years.

Sterling Property Managing Director Brian Neo said opportunities of this scale in established inner-city locations remain tightly held.

"Sites of this scale and calibre, directly opposite a train station and within two kilometres of the CBD, are rarely offered to the market. When they are, they attract serious capital," Neo said.

The acquisition comes as Perth's apartment market continues to contend with limited development-ready sites in established suburbs, particularly those benefiting from both existing transport infrastructure and supportive planning frameworks.

With the West Leederville Precinct Structure Plan now adopted, Finbar can move forward with design development and the development approval process for what is expected to become one of the largest new apartment projects proposed in the suburb.

Finbar completes West Leederville site acquisition for Rosslyn Quarter project

The Gold Coast economy has grown by 25 per cent since 2020/21 to surpass $55 billion, but perhaps the more significant story is what sits behind the headline number.

For decades, the Gold Coast has been viewed through the lens of tourism, lifestyle and population growth. The latest State of the City Report suggests that perception is increasingly out of step with reality.

Released by Invest Gold Coast, the report ranks the Gold Coast as Australia's largest non-capital city economy and, perhaps more notably, second nationally behind Sydney for Economic Complexity, a measure that assesses the diversity and sophistication of an economy.

It's a result that places the Gold Coast ahead of Melbourne, Brisbane, Perth and Adelaide, highlighting the extent to which the city's economic base has broadened beyond its traditional industries.

Today, the Gold Coast supports more than 350,000 jobs, is home to over 83,000 businesses and generates $19 billion in annual exports. Manufacturing now accounts for 62 per cent of international export growth, while sectors including health, education, advanced manufacturing, technology and professional services are becoming increasingly important contributors to the local economy.

[smartcode_project:default project_id=150017 project_image_fid=372547]

Gold Coast Mayor Tom Tate said the report confirmed the city's evolution into one of Australia's most significant economies.

"The Gold Coast economy continues to grow at an incredible pace. This is no surprise to those of us who have watched the evolution up close," Mayor Tate said.

"As one of the most entrepreneurial, investment driven and opportunity focused economies in the country our ambition has been realised and possibilities are endless.

"The Gold Coast has built a reputation as the city that says yes. We say yes to investment, yes to opportunity and yes to people who want to build something.

"It's this mindset helping us drive major growth across health, advanced manufacturing, screen production, marine, technology and the knowledge economy."

[smartcode_project:default project_id=149670 project_image_fid=360975]

While population growth has been one of the defining stories of the past decade, the report points to a broader economic transformation taking place.

The city's knowledge economy now contributes $7.9 billion annually and supports around 31,000 jobs, while the health and wellbeing sector contributes $5.2 billion and employs more than 42,000 people. Together, the six priority sectors identified in the report account for almost $24 billion in economic output and more than 145,000 jobs.

One of the strongest examples is the Gold Coast Health and Knowledge Precinct at Southport. The 200-hectare precinct now contains more than $5 billion worth of health, education, research and innovation infrastructure and supports over 16,000 jobs.

The report also highlights the growing role of advanced manufacturing, particularly in aerospace, defence and modular construction.

Gold Coast-based Gilmour Space Technologies recently became the first Australian commercial company to attempt an orbital launch, while companies including Modscape and ModnPods are helping establish the Yatala-Stapylton corridor as one of Australia's fastest-growing advanced manufacturing hubs.

The city's entrepreneurial culture is also translating into business growth.

Since 2019/20, the number of businesses operating on the Gold Coast has increased by 22 per cent, while firms employing more than 200 people have grown by 80 per cent. The report suggests the next challenge is converting more local start-ups and medium-sized businesses into nationally significant companies.

Development activity remains another key indicator of confidence.

There are currently more than $23 billion worth of major projects underway across the Gold Coast, supported by a record 75 active cranes, a figure that now exceeds Brisbane and represents a 150 per cent increase since 2016.

[smartcode_project:default project_id=112024 project_image_fid=343235]

Importantly, the report notes the next phase of investment will need to extend beyond residential development.

While 93 per cent of crane activity is currently tied to housing, Invest Gold Coast argues future investment will increasingly need to focus on cultural, civic, infrastructure and industry-enabling projects that strengthen the city's long-term economic resilience.

Invest Gold Coast Chair Will Hodgman said the city was now benefiting from years of economic diversification.

"What is happening on the Gold Coast is the result of the city's economic base broadening, fuelled by industries with long-term, high-growth potential," Mr Hodgman said.

"This is no longer a secondary Australian economy, the Gold Coast is becoming a globally connected city with deeper capability across health, knowledge and creative industries, advanced manufacturing, technology and exports."

[smartcode_project:default project_id=108274 project_image_fid=365786]

Looking ahead, the Gold Coast's population is projected to exceed one million residents by 2046.

For a city that was once largely defined by tourism and lifestyle, the latest figures suggest the Gold Coast is becoming something more significant, one of Australia's most diverse and economically sophisticated urban economies, and increasingly one that national and international investors can no longer afford to overlook.

75 cranes, $23 billion pipeline and a $55 billion economy: Inside the Gold Coast economic boom

Ron Bakir's Homecorp has sold more than 75 per cent of the apartments in its wellness-driven Florence Residences in Surfers Paradise following its first weekend release.

The <a href="https://www.apartments.com.au/new-apartments/florence-residences-24-monte-carlo-avenue-surfers-paradise-qld-4217">26-storey project on Monte Carlo Avenue</a>, which commenced construction earlier this year, has seen a flurry of buyers secure their slice of the Gold Coast's latest wellbeing-focused offering in one of the nation's most competitive property markets.

Since the pandemic, the Gold Coast's population has grown by more than 11 per cent, a rate approximately four times faster than Sydney's, driven largely by lifestyle changes and interstate migration. While buyer activity has moderated in some markets nationally, demand for newly built dwellings on the Gold Coast continues to gain momentum as purchasers increasingly prioritise lifestyle, amenity, wellbeing, liveability and long-term investment potential.

&nbsp;

[smartcode_project:default project_id=150414 project_image_fid=372743]

Homecorp CEO Ron Bakir says buyers today are looking for more than just a home.

"What we are seeing is a shift in how people define value in property," Bakir says.

"What attracts residents to new developments is a desire for more than just a residence. They are looking for a place that complements their lifestyle, supports their wellbeing and reflects the way they want to live into the future.

"Lifestyle, longevity, proactive health, wellbeing, connection and a sense of community are increasingly shaping purchasing decisions, particularly on the Gold Coast, where these factors continue to be a major drawcard."

[smartcode_project:default project_id=150414 project_image_fid=372744]

Bakir says Homecorp is responding to this shift through an approach that places greater emphasis on design, amenity and experience working together to create places that feel considered, connected and enduring in value.

Inspired by Eastern European design, Florence Residences will comprise 120 apartments alongside a private residents-only wellness club featuring a resort-style rooftop pool, hot and cold plunge pools, a spa retreat, contemporary gymnasium, and a spacious yoga and Pilates studio.

The development will also feature a residents-only lounge with private dining facilities and a rooftop bar, premium outdoor entertaining areas, a hotel-style lobby lounge, generous bike parking, and pet-friendly amenities including a heated dog wash.

[smartcode_project:default project_id=150414 project_image_fid=372742]

A limited number of apartments remain available, with an exclusive collection of four-bedroom sub-penthouses set to be released in the coming months.

Florence is one of the latest additions to Homecorp's expanding multi-billion-dollar property portfolio, which also includes plans for a <a href="https://www.apartments.com.au/news/qld/homecorp-lodges-plans-for-260-million-moroccan-bathhouse-inspired-tower-in-budds-beach">$260 million development in Budds Beach</a> tailored to the growing wellness market.

A development application has been lodged for a 27-storey, 156-residence tower at 8–10 Acacia Avenue and 25–27 Oak Avenue, featuring a residents-only Moroccan spa-inspired sanctuary.

Apartments at Florence Residences are priced from $1,249,000, with construction expected to be completed by late 2027.

[smartcode_project_cta:default project_id=150414]

Buyers rush to Homecorp's Florence Residences as Gold Coast wellness trend gains momentum

The NSW Government has expanded its $1 billion Pre-sale Finance Guarantee program, broadening access for affordable housing providers and smaller residential developments as it seeks to accelerate housing delivery across the state.

The Minns Government says the program has already helped bring forward more than 600 homes across Sydney and regional NSW since launching in September 2025, with similar models now adopted in South Australia and Western Australia.

The latest changes, announced by Treasurer Daniel Mookhey and Minister for Planning and Public Spaces Paul Scully, are designed to improve access to finance for projects that have planning approval but are struggling to secure funding.

Among the key changes is an expansion of support for community housing providers. The program will now support up to 100 per cent affordable housing projects valued at up to $30 million when delivered by not-for-profit providers, while support for larger affordable housing developments will increase for projects worth up to $80 million.

The government says the changes will help accelerate the delivery of housing for low-income workers, older people, people living with disability, and those at risk of homelessness, while reducing reliance on direct grants or subsidised loans to bridge funding gaps.

The eligibility criteria for smaller residential developments have also been broadened. The previous $5 million minimum project value threshold has been removed and replaced with a requirement that projects deliver at least four homes.

Support has also increased for projects delivering fewer than 20 homes, with the guarantee now able to cover up to 75 per cent of dwellings in a development, capped at $30 million per project.

The changes are expected to particularly benefit smaller-scale and regional developments, which often face greater challenges meeting pre-sale requirements imposed by lenders.

Treasurer Daniel Mookhey said the scheme demonstrates how government can use its balance sheet to stimulate housing supply without relying solely on taxpayer-funded grants.

"The Pre-sale Finance Guarantee shows how this Government is using its balance sheet to reduce risk and unlock private investment, enabling new homes to move from design to construction faster," Mookhey said.

"This landmark reform allows us to deliver homes for working families at a lower cost to taxpayers, while also maintaining strong financial discipline."

Planning Minister Paul Scully said the program had already proven effective in bringing stalled projects to market.

"The Pre-sale Finance Guarantee has already proven it can unlock stalled projects and accelerate housing delivery by giving lenders the confidence they need to back good developments," Scully said.

"These changes will allow more affordable housing and smaller developments to access support so more homes can be built faster where communities need them most."

Housing Minister Rose Jackson said the expansion would help community housing providers overcome financing barriers that often delay projects.

"We know community housing providers are ready to build more homes, too often they're held back by barriers to finance," Jackson said.

"Expanding the Pre-sale Finance Guarantee helps remove those barriers so more affordable homes can get off the ground sooner."

The announcement was welcomed by the Property Council of Australia, which has long advocated for measures aimed at improving project feasibility and access to finance.

Property Council NSW Executive Director Katie Stevenson described the expansion as a practical intervention that addresses one of the most immediate constraints on housing delivery.

"This is exactly the kind of practical intervention we need right now, focused on getting projects out of the ground, not just approved," Stevenson said.

"It builds on a model the Property Council has worked closely with government to develop following calls for such a scheme ahead of last year's NSW Budget, so it's great to see it being expanded."

Stevenson said the reforms would help unlock projects that are ready to proceed but have been delayed by financing challenges. However, she noted that broader feasibility issues remain a significant barrier to increasing housing supply.

"The biggest challenge in NSW housing today is delivery. Too many projects have planning approval but are simply not financially viable to proceed under current settings," she said.

Speaking at the Property Council's NSW Housing Summit, Housing Minister Rose Jackson acknowledged that feasibility and financing pressures continue to constrain housing delivery, while reaffirming the government's commitment to work with industry on solutions.

Stevenson said the government's recognition of those challenges was encouraging ahead of next week's state budget.

"It's positive to see the government clearly recognising that feasibility pressures are now a binding constraint on supply," she said.

"With the Budget just days away, the focus must be on backing delivery, making sure projects stack up, finance can flow, and more homes can move from approval to construction."

The expanded Pre-sale Finance Guarantee forms part of the NSW Government's broader housing agenda, which also includes planning reforms, the NSW Housing Pattern Book, and a series of rezonings intended to increase housing capacity across the state.

NSW expands Pre-sale Finance Guarantee to unlock more affordable and regional housing

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>

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Ellen Walker

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

Are mortgage holders set to get a reprieve from the RBA in 2026?

Big Four bank NAB believes so. They are now expecting the next move from the RBA to be a cut, rather than a hike, which they had pencilled in for August. They are unsure of the timing of the cut however, they note in their latest&nbsp;NAB Economics RBA Watch.

NAB Chief Economist, Dr Sally Auld, said recent data suggests the economy has lost momentum and the outlook for rates has shifted, noting that the broader economic backdrop has changed since earlier in the year.

“The next move in the cash rate is likely to be down, but the timing is uncertain," Dr Auld said.

"In February, growth was above trend, the economy was operating above capacity and there was uncertainty over the restrictiveness of rates. None of these conditions exist today,” she outlined.

Dr Auld said recent data pointed to softer momentum across the economy while acknowledging that at the same time, uncertainty remains a key feature of the outlook.

“Both Q1 GDP data and the NAB business survey suggest momentum in the economy has slowed, meaning that growth has likely peaked for the cycle. That said, we are cognisant there is still considerable uncertainty around the outlook, both with respect to activity and inflation.”

Dr Auld said inflation risks and labour market outcomes would be important to watch.

“On the prices side, we are still forecasting above target core inflation through to mid-2027. Margins will compress and weaker labour market outcomes are a risk.”

She said tighter financial conditions are expected to weigh on housing and activity.

“Tighter financial conditions will be reflected in a slowing in house price growth and housing credit growth. In summary, we have greater conviction that the next move in rates is down, but less conviction on the timing.”

Mortgage relief? NAB forecasts RBA rate cut, not hike, after softer economic conditions

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A Strathfield South mortgagee property, that comprises two separate houses, has been sold for $1.8 million after spending 36 days on the market.
Located at 2 William Street (and subdivided as 2 and 2A), the brick homes sit on a 653 square metre block.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2020/7/29/strathfield%20south%202.jpg" alt="">
The separately fenced areas share an access gate, and both have 3 bedrooms, 2 bathrooms, and lock-up garage.
The residence facing Water Street has been recently renovated.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2020/7/29/strathfield%20south%203.jpg" alt="">
Strathfield South’s median house price is $1.31 million.
Peter Tsekenis and Elia Economou, from Ray White Brighton-Le-Sands and Ramsgate Beach, had the listing.
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j.ballantyne1990-6AQqhLzZaK

Strathfield South mortgagee double block sells for $1.8 million

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A mortgagee property in Elizabeth North has come onto the market with a price guide of $110,000.
Located at 22 Knighton Road, the worse-for-wear residence is semi-detached and sits on a 616 square metre block.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2020/7/29/elizabeth%20north%202.jpg" alt="">
It features three bedrooms, one bathroom, and a lock up shed.
Built in 1960, the home last sold in 2009 for $180,000.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2020/7/29/elizabeth%20north%203.jpg" alt="">
The median house price in Elizabeth North is $159,000.
Ken Loft, from Harcourts Playford, has the listing.
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Elizabeth North mortgagee home listed with $110,000 price guide

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A badly deteriorated mortgagee property in Duncraig has come onto the market.
Located at 5 Dauntless Way, the home has three bedrooms, one bathroom, and a single car garage.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2020/7/29/Duncraig%202.jpg" alt="" style="font-size: 12.16px;">
The block comprises 757 square metres, with 132 square metres on internal floorspace.
The large outdoor space is predominantly paved, with unkept astroturf laid in some areas.
It also features an in-ground fibreglass pool, however, according to the listing, this has been decommissioned.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2020/7/29/Duncraig%203.jpg" alt="">
The bathroom and laundry have been partially gutted and are not in working order.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2020/7/29/Duncraig%204.jpg" alt="">
Built in 1983, the home last sold in 2003 for $270,000.
The median house price in Duncraig is $684,000.
Ian Masterson, from Realmark North Coastal Duncraig, has the listing.
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Duncraig mortgagee home listed in deteriorated condition

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Further property price falls ahead: Shane Oliver

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EXPERT OBSERVER
Aussie home prices continued to ease in July with the CoreLogic Daily Home Value index of five capital cities down by 2.3 per cent after peaking on April 22. In July, broader national dwelling prices fell by 0.6 per cent, capital city home prices were down 0.8 per cent, but regional home prices were broadly flat.
Attention will focus on the property downturn in Australia’s two most populous cities – Sydney and Melbourne – with virus lockdowns and outbreaks weighing on sentiment and activity. While price declines are broadening across capital cities, regional dwelling prices held up in July, led by gains in regional South Australia (up 1 per cent), Northern Territory (up 0.7 per cent) and New South Wales (up 0.5 per cent). Of course, regional home prices may continue to outperform capital cities in the near-to-medium term as Aussies work remotely and seek lifestyle locations in rural and beachside towns during the pandemic.
And Canberra’s property market appears to be benefiting from the prominent role of the Federal Government and growing public service policy response to the economic downturn. In fact, home prices rose by 0.6 per cent in the nation’s capital in July – the seventh successive month of price increases. REA Group recently reported, “Buyer search activity has more than doubled compared to last year and has seen the biggest increase in search since the first COVID-19 lockdown in March. Rent search activity is up 75 per cent compared to last year, and first home buyer enquiry has tripled compared to the same time last year.”
The Melbourne virus lockdown - with property sales and auctions now being conducted online – had a notable impact on home prices, which fell by 1.2 per cent in July –the biggest decline since January 2019. Melbourne home prices are down by 3.7 per cent since recent peaks on April 6, weighing on national home prices.
With the Victorian Government declaring a ‘state of disaster’ – including the imposition of curfews limiting movements for a further six weeks – it is likely that Melbourne auction clearance rates could return to levels seen in April of around 20 per cent or lower. Data from Domain already shows that just 285 Melbourne homes were listed for sale last week, down 46 per cent from the previous week, with a preliminary auction clearance rate of 58 per cent.
What do the figures show?
Home prices - July
The CoreLogic Home Value Index of national home prices fell by 0.6 per cent in July. But home prices were still 7.1 per cent higher over the year.
In capital cities, prices fell by 0.8 per cent, but prices were still up 7.9 per cent over the year. House prices also fell by 0.8 per cent in July and apartment prices eased by 0.6 per cent. House prices were still up 8.1 per cent on a year ago and prices of apartments increased by 7.5 per cent.
In regional areas, home prices were flat in July with house prices unchanged, but apartment prices rose by 0.1 per cent. Regional home prices were up 3.9 per cent on the year to July.
The average Australian capital city house price (median price) in July was $673,072 and the average unit price was $570,862.
Home prices were lower in six of the eight capital cities in July. Home prices fell by the most in Melbourne (down 1.2 per cent), followed by Sydney (down 0.9 per cent), Perth (down 0.6 per cent), Brisbane (down 0.4 per cent), Darwin (down 0.3 per cent) and Hobart (down 0.2 per cent). But prices rose in Canberra (up 0.6 per cent) and Adelaide (up 0.1 per cent).
Home prices were higher than a year ago in six of the eight capital cities in July. Prices rose the most in Sydney (up 12.1 per cent), followed by Melbourne (up 8.7 per cent), Canberra (up 7.2 per cent), Hobart (up 5.9 per cent), Brisbane (up 3.8 per cent) and Adelaide (up 2.4 per cent). But prices were down in Perth (down 2.5 per cent) and Darwin (down 2.2 per cent).
Total returns on national dwellings rose by 10.9 per cent in the year to July with houses up by 10.7 per cent on a year earlier and units up by 11.4 per cent. In contrast, the S&amp;P/ASX All Ordinaries Accumulation Index fell by 8.4 per cent over the year to July.
Manufacturing Purchasing Managers’ indexes - July
The AiGroup’s Performance of Manufacturing Index rose by 2 points to 53.5 in July. Any reading above 50 indicates an expansion in activity.
The improvement in factory activity was broad-based, including production (up 4.1 points to 56.4), employment (up 3.8 to 53.4 points), supplier deliveries (up 4.2 to 51.8), and finished stocks (up 5.3 to 51.8). But new orders (down 3 points to 52.7), exports (down 5.8 points to 41.4) and sales (down 3.9 points to 52.2) all eased.
The AiGroup said, “There was a further stabilisation in manufacturing conditions in July. Food &amp; beverage manufacturers noted stabilising demand after months of volatility, while the instant asset tax write-off increased sales for many machinery &amp; equipment manufacturers. Other respondents in this sector noted an increase in demand from the transport and agricultural machinery &amp; equipment. Respondents across all manufacturing sectors noted increased interest in locally made manufactured goods.”
And, “The improvement in manufacturing conditions in July was driven by only two sectors: food &amp; beverages and machinery &amp; equipment. Metal products; chemicals; building materials, wood, furniture &amp; other manufacturing remained firmly in contraction in July. Manufacturers in these sectors reported a lack of sales from customers due to COVID-19. Some respondents noted that they have completed previous orders but had few new orders coming in.”
The ‘final’ CBA/IHS Markit Manufacturing Purchasing Managers' Index rose from 51.2 in June to 54 in July. Any reading above 50 indicates an expansion in activity.
According to CBA/IHS Markit, “The recovery in the Australian manufacturing sector gathered pace in July, according to the latest PMI data, with output and new orders both returning to growth. Survey data also showed that firms stepped up their purchasing activity and business confidence remained positive. However, employment continued to be reduced despite a rise in backlogs of work. Prices meanwhile signalled weakened inflationary pressures, with input prices and output charges increasing at slower rates.”
What are the implications for interest rates and investors?
While CoreLogic’s national home value index is heavily skewed towards to the two big cities, the resilience displayed so far by regional property markets serves to highlight the nationwide variances in performances across capital cities and regional towns. The ACT, in particular, appears set to benefit from rising government employment as services are increasingly rolled out to assist Aussie households and businesses during the pandemic.
The pandemic also appears to be resulting in a change of mindset for some big city urban dwellers. In July, home prices in the Blue Mountains and Central Coast were up modestly. The allure of more affordable housing, remote working arrangements and superior lifestyle choices are already showing up in relatively stable home prices and lower rental vacancies in both regions of New South Wales.
Record low interest rates and mortgage relief from the banks have provided support to the property market. But virus uncertainty, less appetite to take on more mortgage debt, rising unemployment, lower household incomes, lower inbound migration, elevated rental vacancies and the eventual removal of policy support could weigh on property prices over coming months. That said, governments have rolled out a variety of measures, including stamp duty and land tax concessions, along with new residential homebuilding grants to stimulate the market.
The expansion in Aussie manufacturing activity continued into July in a pleasing development for policymakers. Importantly, the improvement in the AiGroup gauge was driven by higher production and employment, but an easing in new orders and falling exports will need to be closely monitored.
Commonwealth Bank Group economists also noted that, “Business expectations remained positive as firms look towards the economy returning to normality in the coming months. Policy stimulus and increased infrastructure work were also factors behind the optimism.” But given Melbourne’s importance as a manufacturing hub, the tightening of restrictions are likely to weigh on demand and confidence in August.
RYAN FELSMAN is a Senior Economist at CommSec
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Regional home prices have remained resilient: CommSec's Ryan Felsman

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Despite a backdrop of political unrest and uncertainty driven by COVID-19, the Asia-Pacific flexible office market has remained strong over the past 12 months. According to <a href="https://www.instantoffices.com/blog/instant-offices-news/apac-flexible-office-market-summary-2020/" target="_blank">Instant’s latest report</a>, the industry is in a good position to benefit as companies across the region adjust their office strategies.
The flexible office market remained strong in the Asia-Pacific region over the past 12 months despite a tumultuous backdrop of political unrest and social uncertainty driven by COVID-19. And the industry appears well placed to benefit from the changes to office strategy from companies across the region. 
The resilience of client demand in the face of these issues points to a bright future for the Asia-Pacific Flexible office solution and suggests that the broader approach to the procurement and operation of offices has changed for the long-term.  The data comes from The Instant Group, the global specialist in flexible workspace, with more than 20 years’ experience in the market.  
Supply of flexible workspace – consisting of coworking, serviced offices and spaceasaservice– grew by 19 per cent over the past 12 months in the region, the third successive year of high growth. 
There are now nearly 10,000 centres for flexible workspace in the region, meaning that it is fast catching the more established markets of Europe and the US, despite its relative immaturity.  Seven of the ten fastest growing markets for flexible workspace are now in Asia.  
“The impact of COVID-19, the first Black Swan event to be seen in a generation, has been severely felt across the industry and is not something that we can ignore. The trends that we expect to see during 2020 will no doubt be very different to what the industry has seen in the past, but the long term future still looks very healthy,” explained Sean Lynch, Managing Director of the Instant Group in Asia-Pacific.  
“A trend that started with younger workers looking for short-term, flexible space has become a key tool for businesses of all sizes and is a trend that we predict will only grow in momentum across the Asia-Pacific region in the coming months as those companies that have expiring leases look at ways to futureproof their workplace strategy.”
The flexible office market in Asia-Pacific is growing at a rapid pace. Of the top 20 cities across the region, 60 per cent witnessed double digit growth in supply throughout 2019. Growth in Hong Kong has slowed compared to previous years, with Sydney, Kuala Lumpur, Singapore and Jakarta overtaking in 2019. 
Several Indian markets, including Hyderabad and Pune are currently among the fastest growing markets in the Asia-Pacific region. More mature markets have witnessed slower growth, mainly due to the lack of vacant office space available.
The impacts of Covid-19 are expected to be wide ranging in the short term with both supply and demand for flexible workspace impacted. The appetite we had seen for the flexible workspace market that we had seen throughout 2019 is thought to still exist but, as indicated in our forecast this does not mean the industry is exempt from short term pain. In the short time since “Lockdown” began to alleviate, we have already seen customer demand for flexible workspace return to pre-COVID-19 levels.
While the region had experienced several bumps in the road throughout 2019 many operators had still be looking to expand their operations throughout 2020. We are unlikely to see the previously expected levels of new investment as providers look to solidify their existing operations and there is no doubt that certain providers will not be able to weather the storm. These two factors mean that for 2020 at least the growth in supply is likely to be cut right back to single digit levels of just 6%. A far cry from the levels seen over the last 5 years.
“We have seen across APAC a number of operators grow and bring great variety to the market. This shows that for those with a strong understanding of flex, who know the local market, and are willing to evolve with it, it will continue to be an exciting industry,” said Sean Lynch.  
“As businesses we face challenges that are outside of our control, but with the fierce competition growing across the region, this can only give more options to our clients and push us all to evolve.”
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Asia-Pacific leads with seven fastest-growing flexible workspace markets

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The early August Melbourne weekend auction results saw a bounce back to 57 percent on low volumes.
Melbourne’s preliminary clearance rate was 57.6 per cent, from 165 reported results. This is primarily a result of the market reaching equilibrium in the number of auctions pulled following the second COVID-19 lockdown wave.
 
There were 285 properties scheduled for auction, 71 of which were withdrawn.
The same weekend last year, according to Domain, had 470 listings.
Sydney’s preliminary auction clearance rate sat at 65.5 per cent, from 286 reported results. 
There were 508 auctions scheduled, with 76 properties withdrawn from auction on Saturday.
On the same Saturday last year had 316 auctions.
The nation's top sale was 41 Highgate Street, Strathfield for $4,641,000, $141,000 above reserve.
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Melbourne's weekend auction clearance rates bounced back into the 50's

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Mirvac is planning the launch of the next stage of its $1 billion Waterfront Newstead community in Brisbane early next year, after receiving Development Approval for its new Sky Precinct from Brisbane City Council.
Located alongside the Brisbane River in Newstead, it has been designed as a 'park within a park'.
The 25-level building was envisioned by the award-winning Mirvac Design team and will feature 143 one, two, three and four bedroom apartments.
Located at 57 Skyring Terrace in Newstead, it will also include a suite of exclusive resident lifestyle amenities, retail and a ground-level tropical oasis featuring pools of water, shaded enclaves and grassed areas, designed in conjunction with landscape architects RPS, which will connect to - and expand - Waterfront Park.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2020/8/3/Sky%20precint%202.jpg" alt="" width="860" height="1148">
Mirvac started developing its vision for the Waterfront Newstead masterplan in 2001 and has delivered the first three stages - Pier, Park and Unison, with development approval in place for another future stage, the Shore Precinct.
Mirvac Head of Residential Stuart Penklis said Mirvac was planning to push the button on the Sky Precinct as the next stage, due to strong interest from potential purchasers..
"Resident amenities will include a ground level wellness centre with gymnasium and yoga studio that look out to water features and tropical landscaping and a resident's lounge and private dining room on level 19, with spectacular views of the New Farm reach of Brisbane River."
"The jewel in the crown will be the roof-top 25 metre infinity edge pool, spa and barbeque terrace, with views over the Brisbane river," he said
Mr Penklis said Mirvac was planning a boutique retail precinct at the base of the Sky Precinct.
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Mirvac receives approval for $1 billion Waterfront Newstead community in Brisbane

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Many investors are wondering whether now is a good time to invest in an off-the-plan property, given we’re in the middle of a recession. While the current economic conditions can be daunting, they can also offer the savvy investor opportunities. 

Here’s what investors should consider about investing in an off-the-plan property in today’s climate. 

Interest rates are at record lows 

During the recession in the early 1990s, interest rates reached a staggering 17.5%. Compare that to today when interest rates are at a record low 0.25% and you can see that not all recessions are alike. 

Low interest rates make investing in property much more affordable, which is a great opportunity for investors. 

Take the example of a family with a household income of $150,000 per year and $80,000 saved for a property. They could purchase a <a href="/guides/how-to-invest-in-property-in-2020-the-ultimate-guide">$550,000 investment property</a>. With an interest only rate of 3% and a 4.5% rental yield, this property is likely to cost around $40 per week before tax. 

However, when we consider the potential tax benefits and the total deductions, the after-tax cash flow of this property is likely to be positive, at almost $88 per week. To put this into perspective, two years ago when interest rates were around 4.5% for investment properties, that same property would have cost you $8 per week after tax. 

Given the cash rate is so low and will take a while to rise significantly, investors can have confidence that holding an investment property will remain affordable for some time. 

Property prices are unlikely to fall substantially

The current recession has been met with a record level of government spending to keep people employed and stimulate the economy. So far the government stimulus has managed to prevent those who are unemployed from being forced to sell their homes which could lead to an oversupply and steep price falls. 

In many markets across Australia, a lack of supply combined with low interest rates, has led to plenty of sales activity. As a result, we’re yet to see significant drops. According to CoreLogic, in June property prices nationally only fell by 0.7%. <a href="/new-apartments">Property prices actually grew</a> slightly in Darwin, Canberra and Hobart in the same period.

As government stimulus is gradually lifted we may see more supply hit the market and therefore dips in prices in the short to medium term which will give investors an opportunity for a discount. However, we’re not likely to see prices plunge. Low supply and low interest rates are likely to prevent steep falls. Investors may be able to secure a discount while retaining confidence that their investment will hold its value, especially over the long-term. 

There are many areas of undersupply

Many areas across the country still have an undersupply of properties. In some cases this has been further exacerbated by would-be sellers postponing their plans to sell due to the current conditions. 

An undersupply can have a big impact on how that market performs. A good example is the <a href="/new-apartments/zetland-nsw-2017">Zetland apartment market</a> compared to the Maroubra apartment market in Sydney. Over the last few years, Zetland has dealt with far higher levels of new property supply. This has significantly impacted the performance of that market by diluting potential growth. In contrast, the Maroubra apartment market has seen lower levels of supply brought to market resulting in the suburb outperforming Sydney’s average during the growth cycle and remaining stable throughout weakened market conditions.

But it’s important to remember not every market is experiencing an undersupply. The unique conditions caused by the pandemic have led to oversupply in some areas. Any areas that typically attract students, foreign investors or tourists may need to be avoided as they are likely to be experiencing an increase in supply, higher vacancy rates and decreases in rental prices. 

Investors should look to those areas with an undersupply, low vacancies and high demand from local purchasers. 

Owner occupier grade stock will continue to perform well

When selecting an off-the-plan investment, it’s important to be very selective and do your research. It’s best to look for developments targeted at owner occupiers. These will tend to be higher quality with better finishes, larger floor plans, and will be more attractive to tenants and any future purchasers. They are also less likely to be located in areas with an oversupply. 

Avoid developments solely geared towards investors. You don’t want to invest in an area where it is difficult to secure a tenant or where rental yields have been seriously impacted. 

Now is a good time to secure favourable terms

In the current environment, buyers are in a strong position to negotiate favourable terms in an off-the-plan contract. Work with the developer or your buyers agent to see if you can negotiate flexible terms which will reduce any risk to you such as the ability to exit your investment without penalty if your job situation changes in the future, a reduced deposit (for example 5% instead of 10%) or a 12-24 month rental guarantee. So long as these terms aren’t accompanied by an inflated selling price, the investor can really benefit.
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Nick Dante

Is it wise to buy an off-the-plan investment property during a recession?

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With all the grants and concessions available to first home buyers, now could be a great time to <a href="/guides/how-to-buy-a-house-in-2021-a-guide-for-first-time-home-buyers">secure your first home</a>. First, you’ve got to decide whether you want to search for a new home or an existing property, as well as how much you want to spend. 

While cheaper houses may look financially appealing, the long-term cost of renovations can skyrocket substantially. Television shows such as The Block make it look easy. However you need to account for the fact that you will be required to:

<ul>
<li>Organise tradespeople</li>
	<li>Pay for an architect or draftsman if significant work is required</li>
	<li>Source materials</li>
	<li>Factor in the cost of renovation and property purchase price</li>
	<li>Be flexible with the renovation time frame</li>
</ul>
With mortgage repayments and living costs at a premium, some <a href="/guides/2019/06/17/urbans-first-home-buyer-guide">first home buyers</a> find it more cost-effective to buy a new home.  
Buying a new property means you don’t need to go through the stress of a total renovation. You can select your dream home that suits your style, and if you buy off-the-plan you may have the option to customise your home too. <a href="/new-apartments">Off-the-plan properties</a> often require less maintenance and upkeep, as opposed to older homes. 

What to consider when buying off the plan apartment:

<ul>
<li>Is it close to amenities and public transport?</li>
	<li>Is there planned infrastructure and talk of future growth?</li>
	<li>What are the views like?</li>
	<li>How close is the home to your workplace?</li>
	<li>What is the reputation like of the developer, architect and builder?</li>
	<li>When is construction likely to be completed?</li>
</ul>
If you choose to buy from a developer with an excellent track record, you will know you’re in safe hands and the banks love it as they can lend with more certainty.
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