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.

Joel Robinson

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

Luxury apartment buyers have long prioritised design, space and finishes, but increasingly they're placing equal importance on something less tangible: how easily they can live without relying on a car.

At <a>Richmond Square</a>, <a href="https://www.apartments.com.au/developers/fortis">Fortis</a> believes that convenience begins beyond the apartment itself, with the mixed-use precinct earning a near-perfect Walk Score of 99.

The development has been planned around the idea that some of the most valuable amenities aren't contained within a building, they're the restaurants, cafés, parks, transport connections and daily conveniences that can all be reached on foot.

Located just behind Swan Street and Church Street, <a href="https://www.apartments.com.au/new-apartments/richmond-square-1-wiltshire-street-richmond-vic-3121">Richmond Square</a> places residents within one of Melbo​u​rne's most established lifestyle precincts while offering a quieter residential setting removed from the busiest thoroughfares. East Richmond Station is moments away, trams run along both Swan and Church Streets, and the MCG, Melb​​ourne Park, Yarra River trails and the CBD are all within walking distance. At the same time, the precinct itself will introduce a curated mix of dining, retail, hospitality and wellness offerings, creating a destination that extends well beyond its residential buildings.

[smartcode_project:default project_id=13181 project_image_fid=348530]

For Fortis, that combination of location and scale was what made the site unique.

"<a href="https://www.apartments.com.au/developments/richmond-vic-3121">Richmond</a> is one of Melb​o​urne's most established and distinctive inner-city neighbourhoods, with a rare combination of dining, culture, recreation, public transport and proximity to the CBD," the developer said.

"The opportunity at Wiltshire Street was particularly compelling because the site sits slightly removed from the activity of Swan and Church Streets while remaining only moments from everything that makes the area desirable."

Rather than developing a standalone apartment building, Fortis consolidated 15 individual properties to create one of the larger development parcels assembled on Mel​b​ourne's city fringe in recent years. That allowed the team to deliver a genuine mixed-use precinct comprising 107 residences across Wiltshire House and Carmine House, premium office space, hospitality venues, retail, wellness offerings and a future 57-room hotel.

"The scale of the site allowed Fortis to think beyond a standalone apartment building," the developer said.

"Richmond Square could be planned as a complete lifestyle precinct, bringing homes, workplaces, dining, retail, hospitality and wellness together around a series of activated public spaces. The aim was to create a destination that feels connected to Richmond rather than separate from it."

[smartcode_project:default project_id=13181 project_image_fid=348533]

The emphasis on walkability has also resonated with buyers.

Interest has been strongest from established owner-occupiers, particularly downsizers from Richmond and Melb​ourne's inner east who want to remain close to familiar restaurants, workplaces, family and social networks while moving into a more secure, lower-maintenance home. The project is also attracting Mornington Peninsula and interstate buyers seeking a Melb​ourne residence they can lock up and leave between visits.

Many are looking for generous living spaces, room to entertain, quality finishes and confidence in the project team, but location remains one of the biggest deciding factors.

"For many buyers, Richmond Square provides a way to simplify the practical side of home ownership without reducing the quality of their lifestyle," the sales team said.

"Location is also a major driver of interest. Buyers can remain connected to the CBD, major sporting events, the arts centres, local restaurants, cafes and bars and their family while living in a private and secure residence that is easy to lock up and leave for weekends or longer periods away."

[smartcode_project:default project_id=13181 project_image_fid=348549]

The residences themselves have been designed with that buyer in mind. Award-winning architecture practice SJB and interior designers Hecker Guthrie have created spacious two and three-bedroom apartments and penthouses that prioritise generous living areas, natural light, bespoke joinery and private terraces. Above, a rooftop sanctuary by Acre includes landscaped lawns, bookable dining rooms, barbecue facilities, wellness spaces and panoramic views across the CBD, the MCG and Port Phillip Bay.

Fortis believes Richmond Square reflects a broader evolution in apartment living, where the surrounding neighbourhood becomes just as important as the residence itself.

"Richmond Square introduces a different proposition: generously proportioned residences within a genuinely mixed-use, hospitality-led destination," the developer said.

"The project's location and Walk Score of 99 further support a lifestyle where residents can complete many everyday journeys without relying on a car."

Fortis has assembled an experienced team that includes <a href="https://www.apartments.com.au/architects/sjb-architects">SJB</a>, <a href="https://www.apartments.com.au/interior-designers/hecker-guthrie">Hecker Guthrie</a>, <a href="https://www.apartments.com.au/landscape-architect/acre">Acre</a> and builder <a href="https://www.apartments.com.au/builders/hacer-group">Hacer Group</a>, reflecting the developer's commitment to creating projects with enduring design quality and meaningful connections to the communities in which they sit.&nbsp;

Richmond Square is an expression of that philosophy, bringing together homes, workplaces, hospitality and wellness within one of Me​lb​ourne's most walkable neighbourhoods.&nbsp;

Construction is now almost complete, providing purchasers with growing confidence ahead of its expected September 2026 completion.

[smartcode_project_cta:default project_id=13181]

Walk Score of 99 places Richmond Square at the heart of Melbourne's most connected lifestyle

<h3 data-end="19" data-section-id="1dvgwoe" data-start="0">Summary</h3>

<ul data-end="634" data-start="21">
	<li data-end="170" data-section-id="1o77v31" data-start="21">Walker Corporation has lodged plans for a second major residential development in the Maroochydore City Centre, a 29-storey tower known as Celeste.</li>
	<li data-end="327" data-section-id="1lb0y6t" data-start="171">The Plus Studio-designed proposal at Lot 30 Sunshine Coast Parade would deliver 208 apartments, including four four-bedroom sub-penthouses and penthouses.</li>
	<li data-end="487" data-section-id="za720" data-start="328">The application comes as Walker doubles down on Maroochydore following the strong sales campaign at SOL by Walker, where the first tower is nearing sell-out.</li>
	<li data-end="634" data-section-id="5sovec" data-start="488">Walker is a key partner in the transformation of the Maroochydore City Centre, which is expected to ultimately deliver at least 4,000 new homes.</li>
</ul>

Walker Corporation is doubling down on Maroochydore following the successful sales campaign at its first residential project in the emerging CBD.

The national developer has filed plans for <a href="https://www.apartments.com.au/new-apartments/celeste-30-sunshine-coast-parade-maroochydore-qld-4558">Celeste</a>, a new 29-storey apartment tower at Lot 30 Sunshine Coast Parade, just metres from its under-construction SOL by Walker development.

The plans, prepared by Plus Studio, would see 208 apartments delivered across a 100-metre tower on the 2,376 sqm site, which fronts Sunshine Coast Parade, First Avenue and Future Way within the Maroochydore Priority Development Area.

<img alt="Walker" data-entity-type="file" data-entity-uuid="17038209-6fea-4ed2-855d-fd4df65b3d02" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-10%20at%2010.24.16%E2%80%AFAM.png?VersionId=iZD.oVXcQn.aLpUytDAW.CWjxP4puWMy" />

The proposed apartment mix comprises 36 one-bedroom apartments, 48 two-bedroom apartments, 72 two-bedroom apartments with an additional multipurpose space, and 48 three-bedroom apartments.

The upper levels would be capped by two four-bedroom sub-penthouses and two four-bedroom penthouses, taking the total apartment count to 208. The preliminary yield study also provides 262 car spaces, 114 resident bicycle spaces and storage for each apartment.

It represents Walker's next major residential move in the new Maroochydore CBD after the success of SOL by Walker, its $220 million two-tower project nearby.

SOL launched to market in early 2025 and has since seen strong demand, particularly from local owner-occupiers. By February this year, Walker said the first SOL tower was nearing sell-out, with a strong waitlist also emerging for its recently released penthouse collection.

Construction is already underway on SOL, with the first tower expected to be completed in late 2027 and the second to follow in early 2028.

[smartcode_project:default project_id=147777 project_image_fid=319846]

<h2 data-end="2518" data-section-id="1b2dyo5" data-start="2459">Celeste to rise 100 metres over Maroochydore City Centre</h2>

Celeste would take a different form to the twin 19-storey buildings at SOL.

Plus Studio has designed a single 100-metre tower above an activated podium, with the architecture responding to the site's prominent position and three street frontages.

The podium would incorporate commercial tenancies and public art, with sweeping façade elements wrapping the street edges. The scalloped concrete podium has been inspired by the patterns created in sand at low tide, while extensive landscaping would continue vertically through the tower.

The ground level plans show three commercial tenancies addressing Sunshine Coast Parade alongside the residential lobby and landscaped public realm. The podium would then accommodate several levels of car parking before the residential tower rises above.

<img alt="Celeste" data-entity-type="file" data-entity-uuid="121f77b1-71c5-46d7-9b36-0a7d474211ca" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-10%20at%2010.24.47%E2%80%AFAM.png?VersionId=MGrg9Hb7HgzLN0Lelq_xrXNAruVl77ia" />

Plus Studio said the tower had been designed to maximise views from each apartment, taking in the Maroochy River, Sunshine Coast hinterland, Cotton Tree and Maroochydore Beach and ocean.

Those views have also shaped one of the project's key features, with Walker proposing to put the primary resident amenity on Level 29 rather than lower within the building.

The rooftop would feature a 284.9 sqm pool area with an infinity edge, along with a cold pool, spa, sauna, 93.2 sqm gym, sunset lounge, BBQ and dining areas, pool deck and private dining space. Cabanas and day beds are also shown across the recreation level.

The two penthouses would extend across the upper levels and each feature private terraces and plunge pools.

<h2 data-end="4202" data-section-id="v5f4ix" data-start="4160">Walker's growing Maroochydore footprint</h2>

Celeste further reinforces Walker's commitment to the transformation of Maroochydore City Centre.

Walker is one of the key partners delivering the new CBD alongside Sunshine Coast Council and SunCentral Maroochydore, with the broader 62-hectare Priority Development Area occupying the former Horton Park Golf Course and surrounding land.

The precinct is ultimately expected to accommodate at least 4,000 new homes as Maroochydore evolves into the Sunshine Coast's principal commercial and residential centre.

When SOL secured approval in February 2025, Walker Managing Director and CEO David Gallant described it as the "first of many residential projects" the company planned for the Maroochydore City Centre.

Celeste now provides the clearest indication yet of what comes next.

The site sits immediately within the new CBD, with the design report identifying Sunshine Plaza and surrounding parkland within walking distance and Maroochydore Beach around a five-minute drive away.

For Walker, the timing of the application comes as its first residential bet on the new CBD appears to have been vindicated.

SOL has progressed from planning approval to construction while its first release has approached sell-out, giving Walker confidence to push ahead with another 208 apartments and take its residential pipeline in the Maroochydore City Centre to around 450 dwellings across the two projects.

Celeste remains subject to planning approval, with the architectural material describing the scheme as a preliminary yield study that may change through the assessment process.

Walker doubles down on Maroochydore with 29-storey Celeste apartment tower

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

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?

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While everyone seems to agree that the residential market is currently moving sideways, investors often find it difficult to gauge how direct investment into commercial property is really travelling.
Perhaps the best gauge is to take a look at what the sharemarket thinks about A-REITs (Australian Real Estate Investment Trusts).
Generally, these yields tend to operate at about 1.5% to 2% below direct investment into property. Nonetheless, they can be a great indicator of where the present trend is heading.
With debt now under control, the A-REITs have put in a solid performance over the 12 months to June this year.
As you can see from the charts, this trend has been consistently upwards when compared to:
<ul>
<li>10-year bonds</li>
<li>The RBA cash rate</li>
<li>Most other types of equities</li>
</ul>
In fact, since January 2011, A-REITs have returned 11.2% in total, as opposed to equities at -9.3%.
 
Looking forward
With consolidations, the number of A-REITs has dropped from 24 to 19. And investors also have the comfort of knowing they are buying at a discount to current asset backing.
Those A-REITs focusing primarily upon office and industrial property would appear to be performing the best. That is consistent with what we're currently seeing with direct investment into commercial property.
The bottom line
As you're probably aware, the sharemarket tends to price in forward trends, generally giving you a six-month lead-time on what is likely to occur.
As such, you now have yet another source confirming the underlying strength of the commercial property market. This should give you some added comfort to secure a property now, in your own right.
Chris Lang is an advisor to commercial property investors and gives keynote speeches and regular seminars on the best way to invest in commercial property. He maintains a blog, <a href="https://bitly.com/IFf40C">his-best.biz</a>, which he updates regularly about the best way to get the most out of your commercial property investment.
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Why commercial property is trending up

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A second influential economic think tank believes the mining boom will start to fade in the medium-term, replaced by growth in other parts of the economy. including investment in new residential property.
Coming on the back of the <a href="https://www.propertyobserver.com.au/hotspots/tourism-helps-broken-hill-shed-its-one-horse-mining-town-investment-status-as-deloitte-s-questions-mining-boom-longevity/2012072255635">Deloitte Access Economics business outlook report</a>, which says the mining boom may be over in just two years, BIS Shrapnel expects mining investment to continue to grow over the next two years, but at a moderate pace.
In its Long Term Forecasts 2012-2027 report BIS Shrapnel expects the mining investment slack to be taken up by non-mining sectors of the economy, including a pick-up in investment in the residential property sector.
“Residential investment, triggered by recent interest rate falls, should start growing from late this year, driven by the dwellings shortage that has developed,” says Tim Hampton, senior economist at BIS Shrapnel.
“And non-mining business investment, currently below levels required to underwrite even moderate demand, will recover as interest rate reductions over the past year support demand and capacity constraints emerge." 
According to BIS Shrapnel, solid population growth underwritten by a rebound in immigration, combined with around average employment and wages growth, will continue to support growth in household expenditure.
However, due to persistently high household debt, BIS Shrapnel believes that expenditure growth will “not approach the giddy heights that it did during the debt-fuelled spending spree of the early-to-mid-2000s”.
BIS Shrapnel expects GDP growth to remain around its current rate of just above 3% for the next five years.
It warns that the biggest risks to the Australian economy – and a likley rebound for housing and non-mining sectors – remains the potential for the European economic crisis to have a larger-than-forecast negative impact on Australia
“We expect the European situation will get worse before it gets better, and will drag on for many years,” says Hampton.
“Irrespective of how their significant issues are resolved (eg. Euro break-up, further debt write-offs), the main channels of influence for Australia will be through reduced consumer and business confidence, lower commodity prices and tighter funding conditions."
“This would likely further delay the recovery in dwelling and non-mining business investment.”
The report identifies a marked slowdown in mining investment over the next two years.
It says that new private engineering construction, which after increasing by 50% over the past year, is expected to grow by 16% over the next year and just 8% the following year.
“At the same time, public sector investment – having been boosted by post-GFC stimulus packages – is now falling sharply as those packages wind down and all levels of government try to get their finances in order,” says BIS Shrapnel.
Hampton expects the recovery in residential property, combined with a revival in the non-mining sectors of the economy, to be strong enough to prevent the economy from stalling as it transitions to a more broadly-stronger footing.
Currently, Hampton says the economic picture is one “out of balance, undergoing significant structural change, with offsetting cycles averaging to a moderate outcome” driven by the high Australian dollar, which is impacting on competitiveness, thereby creating enormous pressure and resulting in job losses in trade-exposed industries like manufacturing, tourism, education and business services.
“Meanwhile, around 60% to 75% of the economy is sheltered from the impact of the high dollar. Those with economic power are doing well – the banks, the major supermarkets, utilities,” says Hampton.
“But SME businesses with little economic power and those that rely on servicing non-mining investment are largely languishing, with weak growth and profitability, particularly those whose gearing makes them vulnerable. Hence the continuing threat of insolvencies.”
These sheltered industries are the ones that will benefit most from lower interest rates and the forecast increase in non-mining private investment.
However, the outlook for non-mining trade-exposed industries remains poor, which BIS Shrapnel says will continue to suffer under the weight of the high Australian dollar and an uncertain global economy.
A more enduring risk, Hampton warns, is that the significant under-investment in the non-mining industries and infrastructure gradually erodes the medium-term growth potential of the economy, and leaves the Australian economy increasingly sensitive to large fluctuations in world commodity prices. Businesses will also need to make further gains in terms of energy efficiency, with energy prices expected to continue to rise strongly for the foreseeable future.
Finally, there is a risk of a collapse in minerals prices and investment as the cycle turns down. In that regard, BIS Shrapnel believes that increased supply, rather than lack of demand, poses the greatest downside risk to world commodity prices. However, a fall in world demand would initiate a much larger shock.
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lschlesinger-FZcF9M3vE6

New housing investment to pick up this year as mining influence expected to fade over next two years: BIS Shrapnel 

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Buyers are most keen on low-rise development close to capital city CBDs, according to the June NAB Residential Property Survey.
This was the only sector of the property market where demand was "good" (as opposed to "fair") in June.
Click to enlarge
<a rel="shadowbox" href="/images/stories/2012/07/nabjuly126.gif" title="Click to enlarge"><img src="/images/stories/2012/07/nabjuly126thumb.gif"></a>
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cknowlton-QnEa6ntUYP

Buyer demand strongest for low-rise inner-city apartments: NAB Residential Property Survey

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On Saturday I attended Australia’s biggest property investment convention – the annual Home Buyer &amp; Property Investor Show. And, what a day it was! Crowds were in high attendance on Saturday, and I’d even argue there were more people in attendance than last year’s event.
Today I thought I’d cover off some highlights of the event by expanding on some trends I noticed while roaming around the Sydney Convention &amp; Exhibition Centre. US property investment, while always present at this expo, easily had the greatest presence I’ve seen, in terms of the number of exhibitors in attendance. I counted at least six different exhibitor stands of companies with American investment products and offerings. There were a variety of offerings from these companies; some offering completely integrated finance and property sales solutions; others offering only the property purchase process in itself, but across many different US cities/markets. There was even one company, Select American Homes, that offered property only (no finance) to exclusively one market – Atlanta, Georgia. I sat in on a seminar from them and was quite impressed as to the scope of their offering. This company had an integrated Australian and American team who, while not offering or assisting with finance, charge one lump sum fee that covers off the entire acquisition, renovation, LLC company structure (for finance), and ongoing tenant property management. Their degree of due diligence on their focus city was second to none. The sophistication of US property investment options on offer at the show is, in my mind, an indication of the degree of maturity that American property investment has reached in the Australian marketplace. A few years ago we’d have been lucky enough to hear from perhaps one or two such companies, with a “take it or leave it” approach to their offering. Fast-forward to today and the degree of sophistication and product offerings in the US market is clearly apparent. Some, including myself, would argue that the jury is still out when it comes to success in this type of investment, but judging by the crowds flocking to the stands in droves, clearly interest is at an all-time high.
<img src="/images/stories/2012/show-2.gif" alt="show-2" height="300" width="400">
(photo taken Sunday 5pm suggesting sales tally after three days spruiking)  source Jonathan Chancellor 
There was also an increase in non-US offshore property investment options. Luxury high-end villa developments in Bali, resort-style beachfront developments in Thailand, and also one company focusing entirely on New Zealand were all present. The New Zealand market has had substantial growth in the last two years (compared to flatter growth in the two years previous to this), and does offer some interesting incentives, such as zero capital gains tax. Another trend I observed was the offerings from the finance exhibitors. While seeing many traditional bank and non-traditional lender exhibitor stands present was nothing new, seeing their primary product offerings all together did highlight a common theme. The interesting trend I noticed was that most banks and non-traditional lenders present were offering incentivised loan products. Most of these were some sort of cash back or gift voucher promotion (UBank, ING Direct and RAMS Home Loans were all offering vouchers or gift cards to the value of $500-$1,000), which may seem like one of the oldest tricks in the book, but with today’s low-rate environment giving way to highly competitive product offerings from lenders, vouchers and cash-back schemes must be an easy way for these finance providers to get noticed. Also on finance, I noted an increase in the presence of superannuation financiers for investment property specifically. Three exhibitors I spoke to were all offering finance, leveraging the initial deposit of a superannuation fund to become a self managed super fund investment property. One of these even operated exclusively in using one’s SMSF to purchase, yes, you guessed it, US properties with it. This could be a real game changer. <a href="https://www.propertyobserver.com.au/residential/why-buying-property-with-super-is-hard-for-young-and-low-income-investors-cameron-mcevoy/2012042254378">I wrote not too long ago</a> about the challenges of drawing from one’s superannuation fund to finance a deposit for an Australian investment property. The biggest challenge was that with Australian investment property, you’d struggle to find any property for less than, say $200,000, that offered great scope for growth. This means that to “unlock” enough superannuation for an initial deposit, you’d need to reach a seriously big “critical mass” of super before you could act on it. For most Australians, this means you’d have to wait for your super fund to grow a big enough balance (either organically, or by contributing additional funds other than that of your employers’ in to it). However, with US properties one can enter the market for as little as $30,000 or so, meaning a much smaller initial deposit from one’s superannuation fund. It will be interesting to see where and how this trend develops.
<img src="/images/stories/2012/show-1.gif" alt="show-1" height="300" width="400"> So what was new and trending well in the Australian property market then?
Granny-flat developer exhibitors had more presence than last year. Interestingly, I also observed several granny-flat specialist exhibitors at the Sydney Home Show (another show that is more geared towards home owners and home renovators versus property investors, however there is a degree of crossover between both of these). Again, it was not about the volume of exhibitors specialising in granny-flat offerings, but the variety and sophistication of the products and solutions they were selling. Some of them offered purely the kit homes; others offered end-to-end planning, design, construction, fencing, water main splitting and driveway allocation all as part of one offering. There were also a couple of exhibitors focusing on property management, more so towards “portfolio management” as opposed to singular investment property management. Some providers were offering 4% flat rates for the greater Sydney area, with others offering from 5% across any state and territory in one’s portfolio. Another way to observe the popular topics and ideas trending well was by looking at the seminar calendar and the topics covered within. One big shift this year compared to previous years is the volume of seminars geared towards knowing which markets are currently in the best position to start an investment career in, along with superannuation in general (buying property leveraging your superannuation, and also thinking about “superannuation-gearing” versus “negative-gearing”). All in all, an excellent and busy few days, with a great deal of information on offer and some industry “juggernaut” voices providing great integrity and wisdom. Bring on the <a href="https://www.homebuyershow.com.au/melbourne/">https://www.homebuyershow.com.au/melbourne/</a> next show!
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cmcevoy-Go82SmsJA9

Investor eyes on the USA by Sydney Home Buyer & Property Investor Show attendees: The wrap up

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Buildings in Melbourne will fling their doors open to the public in the fifth annual Open House Melbourne event.
This year 100 buildings with otherwise restrictive access will be open for public tours over July 28 and 29.
Open buildings include underground substations, council buildings, office buildings, architectural curiosities, university and hospital research labs, churches, museums, theatres and other places of historical, architectural, technological or sustainable interest.
Spokesperson Robert Larocca says some highlights this year include Gate Lodge at the Melbourne General Cemetery, the Port of Melbourne Boat Tours and the Portable Iron Houses.
“Many Melburnians are familiar with the Gate Lodge at the Melbourne General Cemetery but have never had the chance to go inside. The Lodge is classified by the National Trust and will be open on both days,” Larocca says.
“For the first time Open House features a tour of a working port. On the free tour visitors will learn how the Coode Canal, built in 1886, opened up the port and see the Victoria Dock, which was constructed in 1892. While not part of this tour, Princes Pier is also part of the program.”
“The three portable iron houses in South Melbourne are a unique remnant of a former time when innovative ways had to be found to house the new city’s population,” says Larocca. “First built in around 1850 the portable houses enabled the colony to provide good quality housing entirely sourced overseas.” Larocca says over five years Open House Melbourne has become a major winter event in the city, with last year’s event attracting 106,000 visits to 75 buildings. One highly anticipated location this year is the supposedly haunted St Kilda Esplanade Vaults, originally built in 1891 as arch supports for raised tram tracks.
Larocca says the most popular buildings from 2011 are back and new additions include the new Royal Children's Hospital, the Hamer Hall redevelopment and a host of residential buildings.
<cite><a href="https://www.openhousemelbourne.org.">For more information visit the Open House Melbourne website</a>. </cite><cite></cite>
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jchancellor-FAypfDUnLy

Open House Melbourne will see buildings citywide fling open their doors

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"Statistics are like a bikini. What they reveal is suggestive, but what they conceal is vital." – Aaron Levenstein, associate professor emeritus of business, Baruch College.
Statistics – don’t you love them? Or perhaps I should rephrase and ask – do you understand them? Don’t feel the need to grope in the dark for an ad hoc explanation of the data – even “experts” fight over the publicised and regularly conflicting reports that solidly “claim” we’re both in a rising and falling market.
In fact, Oxford Mathematician Peter Donnelly produced a wonderful <a href="https://www.ted.com/talks/peter_donnelly_shows_how_stats_fool_juries">Ted Ed lecture</a> on the subject, which demonstrates rather succinctly how a simple and common misreading of statistics can have serious repercussions on an individual’s life. He paints the story of Sally Clark, a British lawyer who was imprisoned for the murder of her two sons who tragically died of sudden infant death syndrome.
The chances of sudden infant death syndrome occurring in a professional “non-smoking” family unit are around one in 8,500 – therefore the “distinguished” paediatrician who testified against Sally at her trial, “logically” squared the formula and calculated the chances of two children dying of the same condition was around one in 73 million. In effect, it put the jury in no doubt of her guilt.
Of course, the paediatrician was absurdly incorrect in his “assumption”. In truth, the chances of a second child dying from the same condition could be influenced by a number of external factors – both genetic and environmental – of which a microscopic view of basic statistics won’t take into consideration. Therefore, without going into too much detail, two deaths flag the need to consider the overall picture from a broader angle, eventually proving it was “more” not “less” probable for the second death to occur. Thankfully, the conviction for Sally was overturned and consequently, two other mothers convicted for similar crimes were also released. However, it clearly demonstrates how frequently statistics are misinterpreted by seemingly well-respected and educated individuals.
As for property prices – going into intricate detail on how monthly and quarterly data is collected, collated and interpreted is a science in itself. The reasons for the discrepancy can be broadly explained by the method, duration and specific grouping of data which differs between each agency provider. However, for those interested, it’s worth browsing through the ABS publication – it’s written in such a way, that if you’re not presently confused or averse to reading heavy educational research documents – you soon will be! Therefore, before you feel tempted, take note of the following ABS statement which sums up their purpose perfectly: <a href="https://www.abs.gov.au/ausstats/abs@.nsf/Latestproducts/6416.0Main%20Features4Mar%202012?opendocument&amp;tabname=Summary&amp;prodno=6416.0&amp;issue=Mar%202012&amp;num=&amp;view=">“They are published primarily for use in Government economic analysis.” </a>
As a case in point, over the past few weeks we’ve seen RP Data-Rismark, Residex, and the REIV all produce differing interpretations of the state of Melbourne’s market for the both the month of June and June quarter. RP Data were first off the bat, recording a rise of 1% in Melbourne’s median house price over the month of June to $480,000. The REIV were slightly more “bullish”, recording a rise of 2.9% in the June quarter taking the median to $520,000 (although they did specify that the gains were no more than a correction of previous drops in Melbourne’s median data). As for Residex, they have collated their own figures and recorded a drop in both the month of June and the June quarter by -0.49% and -1.31% respectfully. They record Melbourne’s current median house price at $555,000. So who do you believe?
All of the above is irresistible fodder for industry professionals who can “pick and choose” which data to reference (or ignore) based on their own reference point. However, I often wonder if any actually take the time to weigh up the information or research the methodology behind their findings?
The dialogue that has been published and subsequently scrutinised based on these conflicting results has consequently split the “bulls” and “bears” directly down the middle. According to random groups of commentators we’re both “recovering” and “falling”. Furthermore, how does the average home buyer or investor cope with such conflicting information circulating through various social media outlets or out of the mouths of “respected” industry professionals?
Does a vendor add or subtract a percentage or two to their asking price or reserve prior to an auction?
Do investors and buyers make hard and fast choices whether to sell, buy or hold based on the information?
I know from my own experience, purchasers who read media commentary will often be shaken one way or the other – depending on the report. However, considering how commonly the statistics are “skewed” it’s a somewhat foolish path to adopt.
Having said this, you can understand why various realtors jump on any glass half full opportunity to pump the market. In an industry reliant on turnover, a lack of confidence in the investment sector – the demographic particularity sensitive to statistical commentary – can be extremely detrimental. Investors are all but worshiped by realtors; well known for their non-emotional and often speedy approach to the buying/selling process.
However, as I cited above regarding the falsely convicted lawyer Sally Clarke, it’s important to understand a broader set of influences other than median data if you really want to grasp the statistics and draw a line where conflicts arise. For example, assuming a rise in median prices signals a broad based “recovery” the housing market becomes rather shaky when you take into account (as I pointed out last week) “overall” year to date turnover is lower than it has been over the previous four years – particularly so in Melbourne.
Other statistics indicate a large amount of stock lingering on the market. Nationally there are over 300,000 homes for sale and the previous norm has been closer to 200,000. Once again, this is specifically pronounced Melbourne – and therefore any assumption we have entered an extended period of growth, goes against the well known premise that more supply equals lower values.
Furthermore, the clearance rate of late has been jumping around like a yoyo. Melbourne’s clearance rate last week came in at 61% based on a similar number of auctions to the previous week, during which it came in at 52%. Clearance rates don’t generally move nine percentage points in one week, however, once again, industry commentators can take their pick which to “believe” or reference, all depending on their glass half empty or glass half full viewpoint.
The other layer of complexity that needs to be considered, is even with a stratified index which segregates property into different types based on number of bedrooms and so forth, it’s impossible to draw a hard and fast conclusion on a commodity which is purchased – in many cases – solely on a buyers individual tastes and needs. Unless we’re looking at a row of identical terraces with little to no differentiation between them, a home can mean one thing to one buyer and something completely different to another. Therefore, any reading of statistical data – especially when turnover is low – is no doubt down to the particular composition of properties selling rather than an indication of market recovery.
Take for example the tale of two houses recently auctioned on the same street in the attractive bay side suburb of Hampton in Melbourne. Both are four-bedroom detached dwellings situated on ample land sizes with north facing rears. One block featured a rather dated 1990s dwelling, “liveable”, but in need of work over the long-term. The other featured a property that had been updated with an element of “wow”, complete with an in-ground swimming pool in the back yard.
At the beginning of June this year, the 1990s dwelling was auctioned, attracting a large crowd of interested participants and no less than four bidders. The sale price exceeded both expectation and reserve, selling under the hammer for $1,695,000. It was a boom price and trended directly against the doom and gloom reports recently circulating in the media. No doubt the owner of the second property was rubbing their hands together in gleeful expectation.
Three weeks later and the second home was auctioned, however this time, the event only attracted a small crowd of neighbours. With no evident interest from the crowd, the home passed in on a vendor bid for $1,625,000 and remains on the market today.
This tale is far more relevant to property buyers than the frequently referenced statistics. There is no fast and hard rule to what will attract one buyer to pay above current assessed value or a second to turn their nose up at the same property – as the well known saying goes: “Beauty is in the eye of the house buyer” – and ever more so in a market atmosphere where turnover is arching back to that of the late 1990s.
However, the number that will feed into the median statistics is the boom result – thereby inflating the median data. Considering the above story is a common function of a sluggish market, where only the “best” homes attract healthy demand – a rise in the median indicates precisely this – and is not necessarily an emerging trend of market recovery.
The same applies to the two properties in Hampton. I could give you a number of reasons why the first property attracted four bidders and sold for a boom price in a dwindling market atmosphere – however I won’t be assessing the stats. I’ll be looking at the property, location, buyer interest, historical performance, suburb profile and potential for future development.
As for the average home buyer, well the statistics may indicate whether it’s a buyer or vendor market, however they’ll give little clue to the current value of a property aside perhaps an inkling of overall sentiment. Similarly, a valuer will give statistics just a passing thought when completing a sworn valuation – assessing recent comparable sales is obviously a better property specific indication.
Until overall turnover markedly improves and the clearance rate – which broadly indicates the heat in the market – rises and stabilises consistently week to week you may as well give microscopic monthly, or for that matter quarterly, statistics little more than a cursory glance.
Over the past few weeks there have only been around 350 properties auctioned in Melbourne – approximately half the usual numbers we experience. Therefore, a relatively low number of “extra” sales occurring from one Saturday to the next obviously affects the clearance rate percentage to a greater degree than it would had there been 600 properties auctioned.
So does a jump in one week’s clearance indicate market recovery? No. Rather, it represents the particular composition of “good” properties available from one week to the next. Similarly, a rise or fall in the median house price in any one month when turnover is so terribly low, indicates little more than a monthly blip on the radar. As you can see from the Hampton example cited above it is possible to achieve growth in a flat market. However, it simply reiterates the rule, you have to buy well, to sell well.
Market research is important, however it never accounts for individual circumstance and neither is it sight for the blind. There are always risks associated with any investment, however property isn’t an item to be traded like stocks and shares. It’s a vital commodity essential to our very survival. Therefore, prior to any purchase put aside the market commentary and weigh up the risks carefully.
Catherine Cashmore is a market analyst with extensive experience in all aspects relating to property acquisition. She is Channel Ten’s property expert on <a href="https://ten.com.au/the-circle.htm" style="outline-style: none; outline-width: initial; outline-color: initial; text-decoration: underline; color: #6888b1;">The Circle</a>.
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Property statistics: What they reveal and what they conceal

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Sydney achieved an auction clearance rate of 63.6% over the weekend of July 21, according to Australian Property Monitors (APM).
APM has released a list of results from auctions in Sydney for the weekend of July 21. 
<a href="https://domainmastheads.homepriceguide.com.au/saturday_auction_results/Sydney.pdf" target="_blank">Click here</a> for the auction results, and click on each street address to see the property's marketing.
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Sydney achieves 63.6% clearance rate: Weekend auction results

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{yoogallery src=[images/stories/2012/07//julylittlebay]}
Sydney auction vendors had their best Saturday result for two years, as limited supply and good demand boosted the clearance rate to 63.6%.
There were sales totalling $99 million, according to Australian Property Monitors.
It represented a jump on the 56.6% of the prior weekend and the 62.9% of the same weekend last year.
The top Sydney sale was an incomplete $2.5 million four-bedroom Little Bay house that sold through Mint 360 Property agent David Gray.
There were four bidders after 12 contracts were issued. The top bidder increased their offer to secure the offering.
It was estimated at least $600,000 needed to be spent having been unfinished for over two years ago. 
It was a mortgagee in possession sale, the then 525 sqm  building block having last sold in 2006 at $2,325,000. Neighbouring blocks of 625 sq m had fetched as high as $3 million.  
The virtual beachfront reserve house was in the Landcom developed estate within the master-planned coastal enclave Prince Henry development site.
It had been listed in October last year with hopes of reaching $3.2 million.
It was described then as an "unfinished masterpiece at $2 million below cost" when marketed through Michael Caspers of Geoff Speers Ltd.
Sydney’s median house price on the weekend was $817,500 and $592,250 for units.
Melbourne’s median house price was $634,000 and $451,500 for units, according to the Real Estate Institute of Victoria.
Melbourne agents secured a clearance rate of 62% from its 360 weekend listings compared to 59% on the prior weekend and 57% on the same weekend last year, according to the REIV.
“The auction market has clearly returned to trend with the past fortnight's results being in line with the year-to-date clearance rate,” said the REIV chief Enzo Raimondo.
Brighton recorded the weekend's dearest sale which was $2.75 million. It was a newly built two-storey house designed by architect Jon Friedrich with four bedrooms and four bathrooms. It came with a cinema, a 500-bottle wine-tasting room and a gymnasium and pool. It was sold by Nick Johnstone Real Estate.
Next weekend the REIV expects around 500 auctions.
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Little Bay mortgagee sale headlines Sydney's best weekend auction rate for two years

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Economists appear to be coming to the conclusion that the Reserve Bank may leave the cash rate on hold at its next meeting on August 7.
Fifteen out of 25 economists polled by Bloomberg on July 20 – following the release of a more bullish July 3 monetary policy statement on July 19 – now expect the Reserve Bank to leave the cash rate unchanged at 3.5% in August.
This is up from 13 out of 24 economists who said the RBA would leave the cash rate unchanged when polled by Bloomberg on July 13.
Of the major banks, only the Commonwealth Bank is tipping the RBA to cut rates on August 7.
Noticeably, Westpac has pushed back its forecasting timetable of rate cuts by three months, with chief economist Bill Evans anticipating the next rate cut in October, having earlier forecast one in August.
Looking ahead to the end of the year, 12 out of 25 economists expect the cash rate to fall by 25 basis points to 3.25% with other forecasts ranging from 2.5% (Credit Suisse) to 3.5% (Barclays Capital).
In ANZ’s latest economics weekly wrap, ANZ’s head of Australian economics and property research, Ivan Colhoun, says the RBA Board’s July Minutes showed that the Bank saw growth momentum in the Australian economy to have been a little stronger than it had previously thought.
“This primarily reflected the surprisingly strong first quarter GDP data, which was released a day after its June policy meeting.
“The Minutes showed that the RBA felt that growth had slowed to around trend in the second quarter, while inflation pressures were said to remain contained."
“In light of a 'material' easing in monetary policy since late 2011, which has led to a lowering in lending rates to 50 to 75 basis points below their medium-term average, the RBA appears to want to see how the economy responds to this loosening in monetary conditions.
“Hence, the RBA appears likely to sit on the sidelines for at least the next couple of months, assuming that the situation in Europe doesn’t deteriorate markedly in the meantime," he says.
On Wednesday the second quarter CPI data (to June 2012) will be released by the ABS, and Colhoun says this will be “closely watched”.
“But we think even a low underlying inflation result, by itself, will probably not be enough to spur the RBA to lower the cash rate in August."
“That said, it would increase the probability of further rate cuts down the track, and we still consider that further modest easing of 50 basis points will be forthcoming by the end of the year,” he says.
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Economists more confident of RBA keeping rates on hold in August: Bloomberg	

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The strongest capital growth prospects for the next 12 months are for houses under $250,000, according to the latest NAB Residential Property Survey.
Capital growth is expected to be "good" for property under $500,000 and under $250,000, according to the survey of 300 property market participants. The higher the property price, the lower the expected capital growth, according to those who participated in the survey.
Click to enlarge
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