Builder-developer <a href="https://www.apartments.com.au/developers/mcnab-developments">McNab</a> has wasted little time reshaping one of South Brisbane's most significant undeveloped apartment sites after acquiring the property earlier this year.&nbsp;

McNab has lodged plans to scrap an existing approval for two 30-storey towers and instead deliver a single 28-storey residential building, preserving part of the site for a future development opportunity.

The proposal, lodged over <a href="https://www.apartments.com.au/new-apartments/64-peel-street-south-brisbane-qld-4101">64 Peel Street and 9 Cordelia Street</a>, is for a residential-led mixed-use development comprising 124 apartments above a landscaped podium, alongside a boundary realignment that preserves part of the land for a future residential project.

<img alt="First look: McNab resets decade-old South Brisbane approval with 124-apartment tower" data-entity-type="file" data-entity-uuid="743bf564-3f8f-45fc-b8d3-bbf18f5b628f" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/mcnab%20Peel%20st%20podium.png?VersionId=EhCxGrVn_VFH3qTbKnI4WppGwaMnOn0t" />

Designed by <a href="https://www.apartments.com.au/architects/hayball">Hayball</a>, the development will deliver 119 two-bedroom and five three-bedroom apartments across 23 residential levels. A five-level podium will accommodate 135 car spaces, while the ground floor will include a 66 sqm commercial tenancy, an activated residential lobby with work-from-home spaces, and a publicly accessible landscaped plaza linking Cordelia and Peel streets.&nbsp;

Communal amenities will span Level 6 and the rooftop, including indoor and outdoor recreation spaces, a swimming pool, barbecue facilities, kitchen and dining areas, lawn space, sauna, steam room and yoga facilities.

The application also proposes a boundary realignment to create a standalone 1,290 sqm development lot while retaining an adjacent parcel for future redevelopment, allowing the balance of the site to contribute additional housing over time.

Hayball said the architecture has been shaped by the site's elevated corner position at the intersection of Peel and Cordelia streets and Brisbane's subtropical climate.

The design incorporates generous landscaped setbacks, a masonry podium wrapped with planting, large north-facing balconies, and a slender tower profile intended to maximise natural light, cross ventilation and long-range views. The rooftop has been conceived as a wellness-focused retreat overlooking Brisbane, with amenities positioned to capture views towards Mount Coot-tha and the CBD.

<img alt="First look: McNab resets decade-old South Brisbane approval with 124-apartment tower" data-entity-type="file" data-entity-uuid="c5f99e84-6ad8-4a87-82d1-869685b754d2" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/mcnab%20tower%20perspective.png?VersionId=Gw0IuJaSAlk.tvGBxInhZOcQAdIB..2b" />

The planning submission positions the proposal as a response to both changing market conditions and Brisbane's Kurilpa Sustainable Growth Precinct planning reforms.

McNab acquired the site after the previous approval was granted, with the existing scheme no longer reflecting current residential market demands, economic conditions, construction challenges, construction efficiencies or the quality of development outcome now being pursued, the planning report noted.

McNab continues to expand its residential development pipeline across Brisbane and the Gold Coast. The developer recently launched The Tannery in West End, securing more than 60 per cent of apartments before the project's public release. It is also delivering Elements Budds Beach in Surfers Paradise and Lucia Highgate Hill, an eight-apartment boutique development overlooking the Brisbane River.

Joel Robinson

McNab resets decade-old South Brisbane approval with 124-apartment tower

A steeply sloping Bellevue Hill site is set to accommodate a new mid-rise apartment development, with plans lodged for 20 homes that respond to the site's dramatic topography.

The proposal for the consolidated land at <a href="https://www.apartments.com.au/new-apartments/138a-140-bellevue-road-bellevue-hill-nsw-2023">138A-140 Bellevue Road</a> has been designed by Sydney architecture practice Common Office, which has used the site’s substantial fall to distribute the building’s scale and unlock 20 apartments without presenting the full height to the street.&nbsp;

“The unique design strategy leverages the site’s substantial topographical fall to facilitate increased density, presenting a seven-storey profile to Bellevue Road while rising to 10 storeys at the rear,” Common Office said in its architectural design report.

The apartment mix spans one, two, three- and four-bedroom residences. Four two-bedroom apartments are designated as affordable housing, while the plans also include two adaptable dwellings. The mix is majority three-beds, with the typical three-bed apartment offering around 144 sqm internally, with balconies of around 15 sqm.

The affordable housing component represents 15 per cent of the residential floor area and allows the project to access additional height and floor space under the NSW Government’s in-fill affordable housing provisions. The site also falls within the inner area of the Low and Mid-Rise Housing Policy because it is within 400 metres walking distance of Double Bay Town Centre.

<img alt="First Look: Plans lodged for topography-led affordable housing project in Bellevue Hill" data-entity-type="file" data-entity-uuid="b1230d0f-3bfa-4a11-abaf-0928c66ef345" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Bellevue%20da.png?VersionId=dZeMK3P.OutGjN8ycjsxm8uNsj_QFWQv" />

Common Office has arranged the building around a masonry podium and a lighter upper volume, drawing on two recurring elements of Bellevue Hill’s established architecture: sandstone bases and the vertical proportions of local Inter-war Art Deco apartment buildings.

“The proposal is governed by a holistic design language that reconciles the solid horizontal masonry of the neighbourhood’s podiums with the elegant verticality of its Art Deco heritage,” the architect said.

“The building maintains a consistent rhythmic logic utilising deep recesses and a sophisticated material transition to break down the 10-storey scale into a series of articulated, human-scale volumes.”

<img alt="First Look: Plans lodged for topography-led affordable housing project in Bellevue Hill" data-entity-type="file" data-entity-uuid="0147f503-1af1-4d51-97fb-c2f1cba63a9d" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Bellevue%20bldg.png?VersionId=GoW7q3NlK67OpnePXhk7zvklrlKb72Qc" />

Large-format sandstone tiles will define the lower levels, establishing a robust base that negotiates the change in elevation from Bellevue Road. Above, red-tinted precast concrete frames, recessed balconies, anodised aluminium screens and expanded metal details will create a more vertically expressed façade. Integrated planter beds will introduce greenery across balcony edges and recessed sections of the building.

The elongated northern façade has been divided into three recessed vertical masses to reduce its perceived length. Triangular window elements and metal privacy screens reference the geometry of nearby Art Deco buildings while controlling overlooking toward surrounding homes. The southern elevation will incorporate further privacy screening, landscaped edges and deep balconies to maintain light and ventilation.

<img alt="First Look: Plans lodged for topography-led affordable housing project in Bellevue Hill" data-entity-type="file" data-entity-uuid="e8679cf1-18bc-4447-8a0f-0052b94ab83c" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Bellevue%20da%20rooftop.png?VersionId=5SQqQqRFf76rvE2p1TbxJSweMN70AIbc" />

Private and communal landscaping is distributed throughout the development. A landscaped garden apartment is positioned within the lower portion of the site, while a communal terrace on Level 5 will include a central timber deck, barbecue facilities, resident planting plots and areas for outdoor dining and informal gatherings.

Common Office described the terrace as an elevated sanctuary designed to capture district views and sunlight. Its planting strategy incorporates endemic species associated with the Eastern Suburbs Banksia Scrub, extending the landscape vertically through the building and providing habitat for local flora and fauna.

A second communal outdoor area is proposed at roof level, with built-in seating, paved gathering areas and perimeter planting.

Bellevue Hill is enjoying renewed momentum in the new apartment market, with several boutique developments recently launched and currently under construction. Positive Investment Enterprise is delivering the 16-apartment Kew Palm House on Birriga Road, while Chanine Developments is also under construction at Florian, a 36-apartment project on Banksia Road.

&nbsp;

Bellevue Hill is enjoying renewed momentum in the new apartment market, with several boutique developments recently launched and currently under construction.

First Look: Apartment development pitched for Bellevue Hill, Double Bay fringe

South Brisbane's apartment pipeline continues to build momentum, with <a href="https://www.apartments.com.au/developers/trk-property-group">TRK Property Group</a> lodging plans for a 161-apartment tower on Montague Road as developers accelerate investment across the Kurilpa Sustainable Growth Precinct.

The proposal for 176–186 Montague Road would replace an existing office building with a 20-storey residential tower designed by <a href="https://www.apartments.com.au/architects/cox-architecture">COX Architecture</a>, adding to a growing pipeline of high-density projects reshaping one of Brisbane's fastest-evolving inner-city precincts.

The project has been conceived as a "living building", featuring a flowing tower form, extensive vertical landscaping, and generous communal spaces that respond to the evolving Kurilpa Sustainable Growth Precinct.

TRK Property Group Development Director Matt Kan said the project reflected the confidence developers have in South Brisbane's long-term future.

"South Brisbane is entering an incredibly exciting period, and we see Montague Road sitting right at the heart of that evolution," Kan said.

"With the former Visy site directly opposite us and significant investment planned throughout the broader Kurilpa precinct, there is a real sense of momentum around this part of the city and what it will become over the coming years.

"For TRK, this is an opportunity to be part of that next chapter and deliver a project that responds to where the precinct is heading, while contributing to the continued evolution of Brisbane's river edge."

<img alt="First look: TRK Property joins South Brisbane apartment surge with Montague Road tower plans" data-entity-type="file" data-entity-uuid="590fe1ad-f892-4446-a679-80e33a16d029" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/TRK%20tower%20facade.png?VersionId=uOJStrcKpyHFcPE1w6_9SMAFzVMCcZll" />

The scheme includes a mix of one, two, three and four-bedroom apartments, incorporating multi-purpose rooms in selected residences to provide additional flexibility for home offices or expanded living areas. The proposed mix comprises 15 one-bedroom, 13 one-bedroom plus MPR, 73 two-bedroom, 26 two-bedroom plus MPR, 30 three-bedroom, and four four-bedroom apartments.

Rather than adopting a conventional rectilinear tower, COX Architecture has developed a sculpted form inspired by the movement of the Brisbane River.

"The proposal has been designed by COX Architecture as a 'living building' that responds to the site's riverine setting, floodplain history and evolving urban context within the Kurilpa Sustainable Growth Precinct," the planning report states.

"The architectural form draws from the fluid nature of the Brisbane River, with a curved and undulating tower form that creates a varied architectural edge and avoids a conventional rectilinear tower expression."

The podium has also been designed as an architectural feature rather than a conventional parking structure, with cascading planting, screening and natural-toned materials softening its appearance. Resident parking is elevated above ground level to address the site's flood constraints, while habitable apartments sit above flood planning levels. Upper-level communal facilities are designed to accommodate shelter-in-place arrangements during major flood events.

<img alt="First look: TRK Property joins South Brisbane apartment surge with Montague Road tower plans" data-entity-type="file" data-entity-uuid="01fa15d0-90df-46c7-9555-7941fc45373c" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/TRK%20podium.png?VersionId=mHyua.w1pHGBt9qEdWzrlsv.leztUCwO" />

Communal amenity is a major focus of the proposal. Around 1,815 sqm of shared resident space is proposed across the ground floor, level 19 and the rooftop, including co-working areas, indoor and outdoor recreation spaces, wellness facilities, dining and gathering areas, lawn spaces, a rooftop pool and spa, and extensive landscaping. At street level, a landscaped forecourt and approximately 345 sqm of publicly accessible open space along Montague Road are intended to improve the pedestrian experience while activating the building's frontage.

The development will provide 163 car spaces, including 152 resident bays and 11 visitor spaces, together with 144 bicycle spaces incorporating resident storage, visitor parking, bicycle maintenance facilities and e-mobility charging infrastructure.

The site sits within one of Brisbane's fastest-changing inner-city precincts, less than two kilometres from the CBD and within easy reach of South Bank, West End, the Queensland Cultural Centre and extensive public transport connections. The Kurilpa Sustainable Growth Precinct planning framework is encouraging higher-density residential development to help meet Brisbane's housing supply targets while supporting walkable, transit-oriented neighbourhoods.

TRK Property joins South Brisbane apartment surge with Montague Road tower plans

Article summary

<ul data-end="785" data-start="311">
	<li data-end="459" data-section-id="5hbcyr" data-start="311">Pikos Group has released the five-penthouse collection at Skye Kangaroo Point, headlined by a two-storey sky home spanning more than 1,000 sqm.</li>
	<li data-end="561" data-section-id="1p7lq8n" data-start="460">Early buyer interest suggests the residences could set a new Queensland apartment price record.</li>
	<li data-end="667" data-section-id="1y70z0l" data-start="562">The collection includes four move-in ready penthouses and the highly customised Skye One residence.</li>
	<li data-end="785" data-section-id="yvm0y1" data-start="668">The release caps one of Bri​sbane's most ambitious luxury apartment developments overlooking the Brisbane River.</li>
</ul>

<hr data-end="790" data-start="787" />
Pikos Group has released the five-penthouse collection at its <a href="https://www.apartments.com.au/buildings/skye-residences-by-pikos-kangaroo-point-8-river-terrace-kangaroo-point-qld-4169">Skye by Pikos</a> development in Kangaroo Point, with early buyer interest indicating the flagship residences could eclipse every apartment sale previously recorded in Queensland.

The collection crowns the luxury riverfront development with five residences, including four completed penthouses and Skye One, a two-level sky home spanning more than 1,000 sqm that will be tailored to its eventual owner.

[smartcode_project:default project_id=90059 project_image_fid=374075]

Wanting to offer a fully customisable home, Pikos is offering Skye One as a blank canvas, allowing the buyer to work alongside the developer's design team to customise the home's layout, finishes and internal spaces.

The residence will feature a 247 sqm private rooftop terrace with its own swimming pool, sauna, steam room, outdoor kitchen and multiple entertaining areas overlooking the Brisbane River and CBD skyline.

The remaining four penthouses have been completed and are ready for immediate occupation, each offering four bedrooms, expansive open-plan living areas, soaring ceilings and private lift access.

[smartcode_project:default project_id=90059 project_image_fid=374059]

One of the defining features throughout the project is its use of Roman Classic Travertine, with more than 20,000 sqm of the natural stone imported from Italy after being personally selected by Pikos Group Founder and Executive Director Pedro Pikos, interior designer Julie Williamson and third-generation stone specialist Mario Caucci.

Pikos said the penthouse collection represented the culmination of the company's long-term vision for Skye.

"True legacy isn't measured by what we build today, but by what endures tomorrow," Pikos said.

"Our ambition is to create places that become more valuable with time, enrich the lives of generations, and stand as timeless landmarks long after we've stepped away."

[smartcode_project:default project_id=90059 project_image_fid=374060]

Williamson said the interiors were inspired by the natural character of Kangaroo Point and the Brisbane River rather than international design trends.

"Materiality tells the story of a place," Williamson said.

"We looked to the movement of the Brisbane River, the texture of the cliff face and the warmth of the surrounding landscape to create interiors that feel understated, enduring and unmistakably Brisbane."

Positioned above the Kangaroo Point cliffs, Skye places residents within walking distance of Howard Smith Wharves, South Bank and James Street while offering uninterrupted river and city views.

[smartcode_project_cta:default project_id=90059]

Brisbane's next apartment price record? Pikos unveils Skye's exclusive penthouse collection

Article summary

<ul data-end="888" data-start="289">
	<li data-end="442" data-section-id="8tsh6o" data-start="289">DVB Projects is preparing to launch its second Gold Coast apartment development, with demolition now underway at 137 Old Burleigh Road, Broadbeach.</li>
	<li data-end="573" data-section-id="1nyxl3e" data-start="443">The 34-level tower will comprise just 49 ultra-luxury residences, including half-floor, full-floor and penthouse apartments.</li>
	<li data-end="717" data-section-id="oiyimj" data-start="574">The launch follows strong demand at DVB's nearby Sea Glass project, which is more than 50 per cent sold and currently under construction.</li>
	<li data-end="888" data-section-id="epk9o9" data-start="718">The development adds to the transformation of Old Burleigh Road, with premium beachfront apartment projects continuing to reshape the tightly held Broadbeach strip.</li>
</ul>

<a href="https://www.apartments.com.au/developers/dvb-projects">DVB Projects</a> is preparing to launch its second Gold Coast apartment development, with demolition now underway on the Broadbeach site as the Sydney developer moves closer to bringing the ultra-luxury project to market.

The 34-level tower at <a href="https://www.apartments.com.au/new-apartments/137-old-burleigh-road-broadbeach-qld-4218">137 Old Burleigh Road</a> will comprise just 49 residences, ranging from half-floor apartments through to full-floor homes and a penthouse. The launch follows the strong sales performance of DVB's nearby Sea Glass development. More than half of the apartments at Sea Glass, on the other side of Broadbeach, have been snapped up, well ahead of its late 2027 completion

<img alt="DVB Projects to commence demolition on $320m Broadbeach luxury tower" data-entity-type="file" data-entity-uuid="2944b4be-c84e-4b54-8dc1-c712e76704c0" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/E02_Exterior_Street%20Level%20Entrance.jpg?VersionId=YoNig7pRdrE3HCue7sUj78LzJteeQf3H" />

The start of demolition at 137 Old Burleigh Road signals DVB Projects’ underlying confidence in the Gold Coast’s luxury beachside apartment sector.

“We see the Gold Coast as one of the most compelling lifestyle markets in Australia, particularly at the premium end where demand continues to deepen,” said Dean Brown, Managing Director of DVB.&nbsp;

“This project has been carefully designed to respond to that demand - delivering large-format residences with a level of quality, privacy and amenity that is still relatively rare in the apartment market on the beachside."

Brown says the site itself is "exceptional."

"Old Burleigh Road is one of the most tightly held beachfront strips, and opportunities to deliver a project of this scale and calibre in this location are extremely limited.”

<img alt="DVB Projects to commence demolition on $320m Broadbeach luxury tower" data-entity-type="file" data-entity-uuid="398f377a-c037-455e-9250-0c5e0d84c35b" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/I12_FF%20Balcony.jpg?VersionId=NwOiRWGMubR1c8wthuEfggklcja7al9." />

The project will comprise 40 half-floor residences of approximately 260 sqm, alongside eight full-floor residences spanning around 524 sqm.

A single penthouse will crown the building, featuring a private pool, barbecue area, indoor gym and dedicated entertaining spaces.

Residents will have access to a resort-style suite of amenities, including a 20-metre pool with daybeds, a gymnasium, hot and cold plunge pools, a sauna, and private residents’ lounge and dining facilities.

<img alt="DVB Projects to commence demolition on $320m Broadbeach luxury tower" data-entity-type="file" data-entity-uuid="d1642bb0-9a66-4427-a022-dfc0988c6287" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/A02_Pool%20to%20View.jpg?VersionId=c0IXPyn_Gp_Kn3XCwzMrqIVkAdCEwVXP" />

Sales agent Todd Matheson, of <a href="https://www.apartments.com.au/project-marketer/pezet-matheson">Pezet Matheson</a>, which is marketing both 137 Old Burleigh Road and Sea Glass, said 137 Old Burleigh Road would address a clear gap in the market for genuine luxury products.

“There are very few opportunities on the Gold Coast where buyers can secure a residence of this size and quality in a new building,” Matheson said.

“What we’re seeing is a growing cohort of downsizers and interstate buyers who still want space - they’re not willing to compromise on living area, entertaining or finishes.

“This project has been designed with that buyer in mind. It offers the scale of a home, combined with the convenience and security of apartment living, in one of the coast’s most desirable positions.”

<img alt="DVB Projects to commence demolition on $320m Broadbeach luxury tower" data-entity-type="file" data-entity-uuid="59aae0ca-5639-4320-8aca-d0bf60f48e43" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/E01_Exterior%20Hero.jpg?VersionId=DS8Zfy2WtgUEtdfe0TEUuf1W1GfcZq8S" />

Located on a 1,156 sqm site one block from the beachfront, the development will replace an ageing walk-up building and is expected to contribute to the ongoing transformation of the Old Burleigh Road strip into one of the Gold Coast’s most prestigious residential corridors.

With the development moving into the delivery phase, 137 Old Burleigh Road is slated to hit the market later this year.

[smartcode_project_cta:default project_id=145141]

DVB Projects to launch second Broadbeach apartment tower as demolition commences

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?

When buying an apartment, most people compare the big-ticket items first. Floorplans. Kitchens. Balcony size. Natural light. The view.

But there's one everyday consideration that often doesn't come up until after moving in: how parcels are delivered.

As online shopping has become part of everyday life, parcel deliveries have shifted from an occasional event to a regular occurrence. Australians spent a record $82.6 billion shopping online in 2025, with almost one in every four retail dollars now spent digitally.

For apartment residents, that can present a challenge.

If nobody is home to accept a delivery, parcels may be redirected to a nearby Post Office, left in a building lobby or common area, or require building management to step in. In higher-density buildings, where dozens or even hundreds of residents may receive deliveries each day, parcel management has become an increasingly important part of everyday living.

That can create a range of frustrations. A missed delivery often means making time to collect a parcel elsewhere, while packages left unattended in foyers or mail areas can create clutter and increase the risk of theft. What seems like a minor inconvenience can quickly become a recurring issue for residents who shop online regularly.

It's one of those details that rarely features in a display suite but can have a noticeable impact once residents move in.

As a result, buyers are beginning to look beyond traditional apartment features and consider how a building supports day-to-day convenience, including whether there are secure options for receiving deliveries.

Australia Post's Parcel Lockers provide one solution.

<iframe allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" allowfullscreen="" frameborder="0" height="315" referrerpolicy="strict-origin-when-cross-origin" src="https://www.youtube.com/embed/CkF2oKmlACg?si=C50sDaoUUn2nuLmq" title="YouTube video player" width="560"></iframe>

Rather than having a parcel delivered directly to an apartment, eligible deliveries can be sent to a nominated Parcel Locker. Once the parcel arrives, residents receive a notification through the AusPost app or SMS and can collect it using a QR code or one-time PIN at a time that suits them.

The Parcel Locker network now includes more than 1,500 locations nationwide, with installations at Post Offices, shopping centres, transport hubs and an increasing number of residential developments. By providing a secure collection point, Parcel Lockers help reduce missed deliveries and avoid parcels being left unattended in common areas.

For developers, parcel infrastructure is becoming another way to improve the resident experience. Rather than relying on concierge staff or leaving parcels in communal spaces, secure collection points help streamline deliveries while preserving the presentation and functionality of shared areas.

For buyers, it's a reminder that the best apartment features aren't always the most obvious.

A generous floorplan or quality finishes might help narrow the shortlist, but the conveniences that simplify everyday life, whether that's EV charging, secure bike storage or reliable parcel delivery, often become the features residents appreciate most once they're living there.

The apartment feature many buyers don't think about, until their first missed delivery

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It's almost impossible to accurately estimate the number of homeless in Australia. According to the 2006 census there were 105,000 – that's 5,100 more than recorded in the in the 2001 census, which counted 99,900 without a permanent abode.  Of course there are many reasons individuals find themselves without shelter.  Some come from abusive families, many being women and children, and some are what are commonly known as “couch surfers” – sleeping a night here and there.
However, as the price of housing increases, not to mention the shortage of affordable rental accommodation, we can expect an increasing number to join the queue. It's inevitable, because although housing affordability has improved slightly throughout 2011 with marginal falls across our capital cities, subsequent interest rate cuts, with more predicted later this year, will slowly swing the balance of power back into the hands of the vendor as part of the typical cyclical nature of the “property clock”.
The primary reason we have such a shortage of affordable housing is down to limited supply in the places people want and more importantly, need to live – the city.  More than 65% of Australia's population lives in and around our major capitals. Australia is a mere teenager compared with Europe, which has evolved with a network of smaller towns and cities to soak up a comparatively even spread of businesses and thus job opportunities. Due to a consistent underestimate of our growing population from those who plan for growth, we haven't prepared effectively for the population surge.
For example, unlike in other countries, most of the job centres are centralised in and around the capitals. On the outskirts of the city where land is in abundance, the cost of housing is pushed up by limited land releases and hefty development overlays, which are designed to compensate for the current lack of facilities such as schools, shops, parks, and transport – which are needed to create a much-needed sense of community for those moving into the new estates. As a consequence housing in the areas stretching beyond the train lines fails to attract the demand needed to produce an adequate turnover of stock or attract the surplus of buyers.
Consequently inner-city areas are growing in density with a dramatic increase in high-rise accommodation often going against complaints from councils and residents who protest in vain as their once leafy suburban localities start to evolve into something akin to Manhattan – they no longer have a choice.
Those that commute daily into the CBDs have to leave extra time to battle traffic, or accept standing room only on the local train/tram network.  Many home buyers have accepted the traditional Aussie house with a backyard for games of cricket and a family barbecue has been replaced with either a flat or small subdivision and courtyard at most. For those who want a larger property the compromise is usually a move into an outer-suburban estate and accept being far from friends, family, and work – plus slower capital growth. Most first-home buyers stuck on the rental ladder are only able to afford to enter the housing market if they have either help from family/friends to raise a deposit, or meet someone with whom to combine wages and savings.
Rents have increased more than 4% this year in some areas, and it's unlikely that this will ease as the trend towards saving rather than spending continues to place a strain on affordability. And furthermore, it's been predicted that by 2020 we'll have a shortfall of 105,000 much-needed social housing homes – homes to house the neediest in our society.
Therefore it may surprise some to hear of the massive numbers of vacant residential stock we have in <country-region><place>Australia</place></country-region>. In the 2006 census about 10% of the current housing stock was recorded as vacant. Due to difficulties in collecting the data, such as assessing which properties are “reserved” as holiday homes, temporary rental accommodation or are simply in the process of renovation, it's hard to correctly assess the numbers – however it’s fair to assess a significant minority have been abandoned altogether and are therefore magnets for vandalism and short term squatters – most residents can point to at least one vacant property in their streets.
Considering the stresses caused by a shortage of available accommodation outlined above, I doubt anyone would argue that wherever possible, vacant accommodation should always be used to house those who need it most.
 
<hr class="system-pagebreak">
 
Neither is the problem limited to Australia. In the UK there are 930,000 empty homes, 350,000 of which have been vacant for six months or more.  Therefore, there's been a massive innovation to bring derelict homes that have been inherited, or acquired – but due to financial constraints sit vacant and unused – back to liveable condition.  In some cases where families are unable or unwilling to renovate, grants have been offered by various government schemes to assist the process, and in some circumstances, properties have been re-acquired for the purpose of social housing.
More concerning however is a growing trend – particularly among Chinese investors – to acquire housing as a safe place to bank funds with no intention of ever marketing for tenancy. It's a practice common in <country-region><place>China</place></country-region> where the population have been used to a lengthy housing boom, and until recently, no taxes on property.  For these investors, there’s little benefit in struggling to find a good tenant, it’s more important to keep the property in tip-top condition for when they decide to sell. Neither do they limit their acquisitions to China, the trend is also popular in the US and Australia, where flats and luxury houses sit vacant for extended periods of time. Australian houses are “affordable” in comparison to those in the major Chinese capitals.  In China property rights don’t allow ownership of the actual land, and therefore owning a genuine piece of Aussie dirt where their money can be safely stored away from government hands is an attractive investment model.
It’s true we have strict rules regarding foreign ownership of established residential property – however it’s also sadly true that loopholes in the system are easy to navigate and the number of foreign investors entering the market is a mystery to all who attempt to find out – an issue aptly highlighted in Chris Vedelago’s recent <a target="_blank" href="https://bit.ly/ymAXTG">article</a>. Furthermore, there are few restrictions on purchasing new homes and many are just happy to soak up the abundance of freshly built high-rise accommodation that is commonly sold with promises of rental guarantees and above-market rates regardless of whether the unit sits vacant during or even after the guarantee has expired.
We should encourage investment in residential property, providing the consequence is an increase in available rental supply that can keep vacancy levels more in balance with affordability.  However, too many investors are using our precious limited housing supply merely as a bank account with no intention of navigating the difficulties associated with finding an appropriate long-term occupant.  There should be restrictions on this practice and also more energy focused on initiatives to make use of disused or neglected homes.
Identifying where the derelict homes are would be the first step – thereafter perhaps government initiatives could be proposed to set a plan in place to encourage practical moves toward getting the home occupied. After all, it’s far more cost-effective (and environmentally friendly) than building from scratch. I would go so far as to suggest there should be a named person on every council working on the issues. Property can be an excellent investment, however its primary purpose should never be neglected and therefore there should be a requirement on every home owner, wherever possible, to ensure the houses do not remain vacant without valid reason, for extended periods of time.
Yes, we have a homeless issue in Australia; however, we have arguably enough empty properties to provide housing for all. Let’s start making use of the thousands of homes that are left empty and abandoned and make 2012 a year of new positive initiatives for housing.
Catherine Cashmore is senior buyer advocate for <a target="_blank" href="https://www.elitebuyeradvocates.com.au/">Elite Buyer Advocates</a>. With extensive experience in all matters regarding real estate, Elite Buyer Advocates purchases and negotiates more than $100 million worth of property each year for its clients.
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Empty homes should house those who need accommodation: Catherine Cashmore

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There is likely to be little respite for residential builders in 2012, with the Housing Industry Association forecasting further declines in new housing starts – possibly to levels last seen in the wake of the GFC.
The bleak outlook comes despite a<a href="https://www.propertyobserver.com.au/residential/new-home-sales-rise-6.8-in-november-as-interest-rates-decline-but-experts-warn-still-more-work-to-do-in-2012/2012010952984"> 6.8% i</a><a href="https://www.propertyobserver.com.au/residential/new-home-sales-rise-6.8-in-november-as-interest-rates-decline-but-experts-warn-still-more-work-to-do-in-2012/2012010952984">ncrease in new home sales in November</a> driven by interest rate cuts - and likely to offer only a short term respite.


In its January 2012 note on new housing conditions, the industry body expects housing starts to decline by 10.4% for the 2011-12 financial year (ending June 2012) to a level of 141,159, before recovering by 5.6% to a level of 149,007 in 2012-13. 



Detached house starts are forecast to fall by 6.6% to 90,488 in 2011-12 before growing by 5.6% in 2012-13 to 95,535. 



Starts for “other dwellings” are forecast to drop by 16.4% in 2011-12 to 50,671 before increasing by 5.5% to a level of 53,472 in 2012-13.
<img src="/images/stories/hiajan9.gif">
Source: HIA
 
These forecasts follow a September 2011 quarter where seasonally adjusted housing starts fell by 6.8% to 35,672, the lowest level in two years. On annualised basis, housing starts were running at an annualised level of just under 142,690 in September 2011, a level only 4,000 above the 138,690 dwelling starts recorded in 2009. 
On the back of these forecasts and recent performance, the HIA paints a bleak picture and renews its call for the government to implement short-term stimulus measures. 
“Since the release of the Spring edition of the HIA’s National Outlook at the end of September 2011 and the summer edition released on December 19 2011, residential land sales appeared to have bottomed at a woefully low level, as did new home sales volumes, while local government building approvals experienced accelerated weakness, which took them back toward GFC levels,” the HIA says. 
“New housing finance had, encouragingly, tracked sideways for some months, but remained 2.5% down on the equivalent levels in 2010.” 
“This is not an auspicious start for the new home building sector amidst the heightened weakness and uncertainty that the European debacle has assumed since mid-2011.” 
According to the HIA, what is needed is “direct, short-term stimulus to new home building within an over-arching, renewed focus on structural reform to reduce the disproportionately high, inefficient and inequitable cost base of new homes throughout Australia”. 
“Housing is shelter, it is a necessity of life. Australia doesn't provide enough of it, in an affordable fashion, for renters or owners. 
“So, kill three birds with one stone. Stimulate the new home sector to ensure the short term provision of a larger amount of a necessity good. Create a positive multiplier impact to the wider domestic economy during a time of fragility and uncertainty. Engender a medium/long term level of new home building more commensurate with the requirements of Australia's population which will create efficiency gains and inter-generational equity improvements in the Australian economy. It seems so simple. 
“Nothing is simple, of course, but neither should the housing policies Australia so desperately needs be as difficult to enact as recent inertia implies they are.” 
According to the most recent ABS figures, building approvals slumped by 10.7% nationwide in October led by a 19.5% drop in building approvals in Queensland.
There were also big falls in approvals in Victoria (18%), Tasmania (12.9%) a modest decline in South Australia (3.3%) and flat growth NSW (0.4%) and the ACT (0%). The only state to register an increase was Western Australia, where approvals were up 2.1%.
 
 
  
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lschlesinger-FZcF9M3vE6

New housing outlook bleak for 2012: HIA

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Prime holiday times like January can present opportunities for those looking to buy a house, which can translate to lower prices and more flexible conditions for a better buy. 
Holiday periods are definitely slower times in the market cycle, when many people are tied up with vacations and families. 
Fewer buyers mean less competition and the added benefit for buyers to shop around for what suits them best. 
What you also find at this time of year is that many people who have bought in December are more likely to be under pressure to sell in January. 
With fewer people in the marketplace looking, there are more opportunities for astute buyers to get out there and pick up a bargain. 
It doesn’t mean a property will definitely sell for a ridiculously low price, but it can certainly work to your advantage. 
It is particularly important at this time for buyers to understand the market in order to buy at the right price. 
It makes sound financial sense to consult an expert when making what is for many people the most costly investment decision they are ever likely to make. 
Buyers’ agents know the property market better than anyone. 
They have the ability to research the data needed to know what is the right value for the property and to determine what is a bargain and what is not. 
Warwick Brookes is the president of the <a title="Real Estate Buyers Association of Australia" target="_blank" href="https://www.rebaa.com.au/">Real Estate Buyers' Association of Australia</a>
 
 
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Why January can be a good month to buy property

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Sydney has ranked as the seventh most attractive city for offshore investors to buy commercial real estate, according to a survey carried out by the US-based Association of Foreign Investors in Real Estate (AFIRE).
Australia’s biggest city ranked above Asian rivals Hong Kong, Shanghai and Singapore and just behind Paris and San Francisco in the annual survey, which is based on votes cast by  the 200 investment groups that comprise AFIRE membership (from 21 countries).
Click to enlarge
<a href="/images/stories/citieschart.gif" rel="shadowbox" title="Click to enlarge"><img src="/images/stories/citieschartthumb.gif"></a>
Globally, New York remains the top city for foreign investors to buy real estate, with London second and Washington DC third.
The biggest jump was Sao Paulo, Brazil, which improved from 26th place to fourth in the space of a year.
Australia’s global property credentials were also reinforced in the survey, with the country ranking as the fourth best for capital appreciation and also fourth in the rankings of the best places to buy a stable and secure investment.
The survey also reveals the diminishing appeal of UK real estate for offshore buyers and the growing attractiveness of Brazil (in line with the performance of its largest city, Sao Paolo) as a place for capital appreciation.
Click to enlarge
<a href="/images/stories/citieschart2.gif" rel="shadowbox" title="Click to enlarge"><img src="/images/stories/citieschart2thumb.gif"></a>
<a href="/images/stories/citieschart3.gif" rel="shadowbox" title="Click to enlarge"><img src="/images/stories/citieschart3thumb.gif"></a>
 
China ranked as the second best emerging market behind Brazil followed by Turkey, India and Vietnam.
“Cross-border investors still regard North America and Europe as being the most stable and secure markets,” says Barbara Knoflach, chief executive of SEB Asset Management and AFIRE’s newly elected chairwoman.
“But with foreign investors having a diminished confidence in the recovery, interest is broadening and emerging markets are attracting more notice.”
 
 
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Sydney seventh best city for commercial property investment: Survey

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Self-made millionaire John Symond wants to boost broker numbers, pick up more assets and build a financial advice service at Aussie Group, the home loan group he flogged to Commonwealth Bank during the global financial crisis.
Symond has told the Australian Financial Review that Aussie Group "has to diversity our revenue stream. Nearly all of new loans are being written by the four major banks or their subsidiaries."
"We have to write more mortgages but also have to generate a lot more non-mortgage revenue by leveraging the Aussie consumer brand."
The comments come as Aussie Group reports a 39% increase in net profit to $52 million, with a loan book of more than $40 billion.
Despite predicting the housing market faces another weak year, Symond's expansion plans include boosting broker numbers to more than 1,000 by the end of 2012, and recruiting dozens of wealth managers, the paper reports.
The Aussie Home Loans founder now serves as executive chairman of the mortgage broker and financial services group Aussie Group, after selling a 33% stake of the business to the Commonwealth Bank of Australia in 2008.
East &amp; Partners principal analyst Paul Dowling says Aussie isn't alone in casting a wide net for growth.
"Intermediaries like Aussie have got to start adding value," Dowling says.
"Their pitch, 'We'll save you money by shopping around', that's where it's started and stopped."
He adds that with flat mortgage demand, and small pricing variants between the dominant majors, it's likely to be another difficult year for mortgage brokers.
The mortgage broker market – dominated by Aussie Group, Mortgage Choice and AFG – is tipped by IBISWorld to grow by 0.5% in the year to June.
Dowling adds that Commonwealth Bank of Australia would be gunning for Aussie to become another wealth management channel.
"Symond has always been precious about the relationship with CommBank, but that's they're going to want their pound of flesh."
Just as Aussie Home Loans stole market share by focusing on the lower end of the market, the report says the financial advice business will also focus on the majority of Australians who do not seek financial advice.
Symond has also made headlines this week by tipping that the Government will bring back the first home buyers boost to stimulate the property market ahead of next year's election.
"Probably my cynical self says six to 12 months ahead of the next election, it would not surprise me that the government might stimulate housing by helping first home buyers and they may possibly introduce a bonus or a boost to the first home owner's grant," Symond said.
Symond added that for first home buyers, "all the ducks [are] lining up – lower price values, lower interest rates, makes it easier to save and easier to get into home ownership."
This article originally appeared on <a target="_blank" href="https://www.smartcompany.com.au/index.php">SmartCompany</a>.
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cknowlton-QnEa6ntUYP

John Symond's Aussie Group eyes more brokers after posting 40% profit jump

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Pauline Hanson has bought former hotel premises on the main street in the NSW Hunter town of Maitland.
The One Nation party founder has bought the former Exchange Hotel property in partnership with a business partner. It sold late last year through Rhonda Nyquist at PRD Nationwide for about $449,000.
While <a href="https://www.realcommercial.com.au/property-retail-nsw-maitland-500082991" target="_blank">the 1940s P&amp;O-style premises</a> has no liquor licence and there is ‘‘no intention’’ to seek one, Hanson says she'd briefly considered the premises for returning to her days flinging fish and chips in Ipswich.
‘‘I’ve got to say the thought crossed my mind,’’ she says.
‘‘There’s always room for a good takeaway, and I can’t believe the price of a piece of fish now.’’
But neither will she completely rule it out.
At this stage Hanson says the downstairs part of the old pub willbe leased out commercially.
Located on the southern end of the mall, the 300-square-metre ground-floor premises with 70-square-metre cellar are listed for lease at $28,000 a year through PRD Nationwide Hunter Valley. There is a current antique shop occupant for some of the premises.
“Let’s see what happens down there first,” Hanson told The Maitland Mercury.
“It would need a lot of work done. At the moment, no, I have got a lot of other things on my plate.”
She says the business partners have plans to renovate the building and lease the upper level as residences.
The former 1940s Tooths hotel dates back to 1866 and closed in the early 1990s.
Hanson says she invested in Maitland because she believes it is a growing city.
“I think that end of town, although it was dying in the past, I think in time it will come good slowly,” she says. “I think it has a lot of potential.”
Hanson said yesterday that the pair had already started advertising for a commercial tenant to lease the building’s ground floor, which sits on the corner of Lee and High streets.
Maitland mayor Peter Blackmore welcomed Hanson’s investment in the city’s centre.
Hanson says she chose the former hotel after a search ‘‘over the years’’ and based her decision it on Maitland’s growth and the potential to add units to the site.
She says she also considered selling her bayside home for the Coalfields.
‘‘I’m enjoying it [in Port Stephens] but I have come from the land – I have had 500 hectares around me – and I’d like to go back to that,’’ Hanson says.
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jchancellor-FAypfDUnLy

Pauline Hanson buys former Maitland pub premises - and won't completely rule out her return to fish and chips

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Meriton boss Harry Triguboff has kicked off 2012 by demanding that the banks pass on future rate cuts quickly. 
Triguboff describes  the argument banks put forward by the major banks (following the December rate cut delay debacle) that they may not be able to pass on future rate cuts in full as “nonsense”. 
“Our interest rates have dropped, not risen. So the banks are better off again when they borrow,” Triguboff writes on Business Spectator. 
His attack follows a promise made last year that he would find out why “our famous banks” aren't passing on all of the RBA rate cuts (after NAB passing on only 20 out of the 25 basis points in November’s rate cut). 
"I don't completely understand why at the moment, but I will find out the answers and then we will see what I do,” he said at the time. 
According to Triguboff banks are shooting themselves in the foot by being slow to pass on rate cuts. 
“The banks should reduce interest rates quicker than the Reserve Bank, not drag the chain,” he says. 
“Being slow in reducing rates is bad for the banks themselves. There are many people who owe more than their properties are worth and they will only be able to service their loans comfortably and pay them back when the market starts rising again and repayments drop. 
“People then will not be able to waste money on high interest and still spend money on other items,” he says. 
“And that is why the economy requires the banks to borrow overseas. For some unknown reason our 10-year government bonds are 3.74% and America’s are 2.01%, Japan’s are 0.97%, Britain’s are 2.04% and Germany’s are 1.94%. Are the American and British economies so much better?” 
The Meriton boss (and <country-region><place>Australia</place></country-region>’s seventh-richest man) also questioned the offshore buying habits of Australian banks and says they would be “wise to borrow in currencies with cheaper interest rates. And that would allow them to charge less”. 
Triguboff also continues where he (and other property developers) left off last year by again criticising the role local councils play in hampering property developers. 
“One of the reasons that people overseas say our housing is overpriced is because of the high repayments which are caused by inefficient councils and high interest rates. 
“Our councils are still under the delusion that people are against apartments. How come people flock to our apartments and are disinterested in outer cottages? 
“This trend towards inner city apartments is worldwide. And it won’t change in a hurry. So councils must make codes which are economically feasible. And they must give certainty of floor space and speedy processing. 
“This trend has already begun, but unfortunately it is uneven. 
“Even though <state><place>Queensland</place></state> has more efficient councils, the Chinese don’t buy there. In <city>Sydney</city>, we are only now awakening slowly, so developers run to <state><place>Queensland</place></state>, where they get approvals. <state>Queensland</state> will have too many units approved, and <state>Queensland</state> does not have the demand of <city><place>Sydney</place></city>. So by being slow in <city>Sydney</city> we will create a glut in the <place><placename>Sunshine</placename><placetype>State</placetype></place>.”
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Harry Triguboff calls on banks to pass on rate cuts swiftly and in full

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It’s that time again.  We are all inevitably turning our minds to what may materialise over the 2012 horizon. The market for predictions is – nay, has always been – characterised by very high demand. And countless so-called "experts" seek to supply it.
Forecasting the future is, however, an exceedingly difficult game, and, in some respects, far more challenging than making money. I explained why <a href="https://www.businessspectator.com.au/bs.nsf/Article/markets-economists-traders-interest-rates-invest-pd20111117-NNVW4?OpenDocument&amp;src=sph" target="_blank">here</a>. The Reserve Bank has such little faith in its forecasting ability that it prefers to spend more time engaged in what Glenn Stevens’ recently described as "nowcasting". That is, forget the future – let’s try to work out what is actually happening in the present. I find that it’s useful to reflect on the past. Who got it right. Who got it wrong. And why… The best calls of 2011 – Anyone who anticipated the extraordinary increase in eurozone sovereign yields, the spectre of the collapse of the eurozone itself and the dire knock-on effects across global debt markets, including <country-region><place>Australia</place></country-region>’s. Judging from the dismal performance of global macro hedge funds, which recruit the best and brightest geopolitical minds but were, on average, down 3.65% in 2011, few really got this one right. – Anyone who expected the equally remarkable rise in the value of Australian government bonds to record levels as global central banks diversified away from the traditional reserve currencies – such as the US dollar, Swiss franc, and yen – in order to get access to one of the least risky, yet highest yielding, AAA credits (ie, Australia). – The four major banks, which convinced Standard &amp; Poor’s that their taxpayer-backed, ‘too big to fail’ status warranted a credit rating that was two notches higher than it would otherwise be, because they are able to rely on a ‘lender of last resort’ (ie, taxpayers) during an emergency. Fannie Mae or Freddie Mac, anyone? To<a target="_blank" href="https://christopherjoye.blogspot.com/2011/12/standard-poors-major-banks-have-lower"> quote</a> Standard &amp; Poor’s, “Our counterparty credit rating on Commonwealth Bank is two notches higher than the [stand-alone credit rating], reflecting our view of a high likelihood of extraordinary government support in a crisis. This reflects our view of CBA's high systemic importance in <country-region><place>Australia</place></country-region>, and our assessment of the Australian government as highly supportive of institutions core to the national economy.” But bad luck if you are a smaller regional bank, like the Bank of Queensland, which Standard &amp; Poor’s assumed (incorrectly in my mind) would not receive the same taxpayer support. Recent history suggests otherwise. – Fairfax’s new chief executive, Greg Hywood, who finally bit the bullet, and embraced my manifesto – published by the ABC in this<a target="_blank" href="https://www.propertyobserver.com.au/https://www.abc.net.au/unleashed/43774"> op-ed</a> – on how to revitalise the chronically underperforming Australian Financial Review. A critical part of this plan was the appointment of a new leadership team in the form of young whippersnapper, Brett Clegg, and the leviathan of the hard right, Michael Stutchbury. – Anyone who went long ‘volatility’. In December 2010 I wrote a column claiming that our ‘new normal’ would be one characterised by far less predictable monetary policy. Specifically, I<a target="_blank" href="https://christopherjoye.blogspot.com/2010/12/volatility-is-good-thing"> argued</a>, “Australia’s economic destiny over the next 10-20 years is likely to be much more uncertain and volatile than it has been in the last two decades… One consequence of Australia’s heightened uncertainty will be that the two major levers of economic management, monetary and fiscal policy, will become more complex to set, and thus more difficult for investors to anticipate. Such uncertainty also engenders opportunity. Investors will probably face a wider distribution of potential outcomes, and thus more chances to make or lose money depending on their ability to divine our economic destiny.” And so it proved true. At the start of 2011 no Australian economist was forecasting that the RBA would cut rates twice. Ironically, some of the most hawkish economists this time last year are amongst the most vocally dovish today.  – The private European banks that persuaded the ECB to give them a new three-year term funding facility at a low 1% interest rate. As soon as the facility was available, European banks immediately borrowed €489 billion from the ECB. In effect, European taxpayers are stepping into the breach left by private capital markets and directly funding their own wobbly banks via magic money (ie, the ECB’s printing press). The genius behind the ECB initiative is that it opens up a near riskless ‘carry trade’ to European banks, whereby they can borrow for up to three years at 1% and immediately reinvest that money in eurozone government bonds yielding between 2-6% per annum. This satisfies both the banks’ ‘liquid asset’ requirements under Basel III and European governments’ desire to stimulate demand for their liabilities. – Again, credit must go to Australia’s four major banks, which, having astutely retained the services of one former RBA governor and two former Treasury Secretaries (and RBA board members), managed to convince APRA, the RBA, and Treasury to lobby furiously on their behalf for exemption from holding the extra capital required of the world’s 30 largest banks, which Australia’s majors all rank amongst, under Basel III. The only explanation local regulators could offer their overseas contemporaries was that they were not systematically important global institutions because they have no significant overseas exposures (with a wink and a nudge to Mike Smith and ANZ’s pan-Asian expansion plans). – Kudos also to the four majors, for persuading APRA, the Treasury and the RBA to permit them to be exempted from the standard ‘liquid asset’ test that will apply to all other global banks under Basel III. Instead, <country-region><place>Australia</place></country-region>’s banks will have the unique benefit of a direct ‘line-of-credit’ from taxpayers, which they can tap during any emergency. Specifically, the RBA is supplying them with a new ‘Committed Liquidity Facility’ (instead of the standard Basel III requirement of holding sovereign debt), which for a tiny cost of 0.15% per annum local banks will be able draw on if they face a funding crisis. – Of course Westpac’s Bill Evans, who pulled off the forecasting coup of the year. On the July 15, Evans turned 180 degrees from projecting further RBA rate hikes to a total of four cuts, commencing in December. It is one indication of how difficult forecasting really is that while Evan’s switch is universally hailed as highly prescient, the timing and magnitude of the forecast itself were wide of the mark. (In the article <a target="_blank" href="https://www.businessspectator.com.au/bs.nsf/Article/markets-economists-traders-interest-rates-invest-pd20111117-NNVW4?OpenDocument">Fighting a false forecasting war</a>, published November 17, I explained the poorly understood differences between forecasting and investing.<a href="https://www.businessspectator.com.au/bs.nsf/Article/markets-economists-traders-interest-rates-invest-pd20111117-NNVW4?OpenDocument&amp;src=sph"></a>) Immediately after Evans’ radical change of tune, which was triggered by an overseas trip, the second quarter inflation numbers printed at a stonkingly high 0.9% (after a similarly high first quarter result). Were it not for the <country-region><place>US</place></country-region> debt ceiling crisis, the RBA would have hiked rates in August. Instead, the RBA ended up lowering rates in November and December. The first cut was rationalised by the RBA’s willingness to shift monetary policy back to ‘neutral’ on the basis of the one (anomalously low) third-quarter CPI print. The December cut, which tipped policy into stimulatory territory, was justified not by a weak domestic economy, which the RBA repeatedly claimed was tracking ‘at trend’, but rather by the desire to give financial markets some insurance against a deterioration in the European situation.  – Anyone who had the foresight to express concerns about the durability of the ‘independent’ central banking and inflation-targeting models that had prevailed for 15-20 years prior to the GFC, and, more particularly, voice apprehension about the likelihood that sovereign states would seek to politicise (or ‘fiscalise’) their central banks by compelling them to monetise government debts. The RBA is, for the time being, one of the last remaining examples of a nearly extinct species.  – Anyone who acted on Rismark's now fashionable yet long-standing portfolio construction advice of reducing exposures to listed Australian and global equities, and increasing portfolio weights to Australian government bonds and cash. Over 2011 the Australian sharemarket, including the reinvestment of dividends, declined by about 15%. In comparison, the UBS Composite Bond Index, which proxies for the broad Australian fixed-income market, rose by a stunning 11% while bank bills returned over 5%. – Those economists who held firm on their optimistic economic and household income growth forecasts in the face of numerous 2011 storms. In the second and third quarters of 2011, real GDP growth has averaged a way-above-trend 4.8% (annualised). And the flood-affected fourth quarter of 2010 has been consistently revised up, with real GDP growth now estimated to have been a trend-like 0.8% even with a 0.5% drag attributed by Treasury to natural disasters. Real per capita disposable income has been similar impressive, expanding at an 8.8% annualised pace over the six months to September. – Anyone who rejected the relentless lobbying by vested commercial interests and those pushing doomsday scenarios about the so-called ‘retail recession’ and weak consumer spending. It turns out that Australian consumer spending has been rising at a healthy rate. Based on the latest ABS national accounts data, consumer spending averaged 4.4% over the half-year to September, and 3.7% over the past 12 months. The RBA has noted that consumer spending, which is the single largest driver of economic growth, has merely substituted towards services and away from traditional retail goods. The chart below shows the quarterly pace of Australian consumer spending in real terms, which is currently expanding at a rate well-above its long-term average since the end of 1989.
<img src="/images/stories/joyeabs.gif">
– Rismark’s September 2010 forecast for ‘modest’ declines in Australian house prices if the RBA lifted rates – we got a double hike in November 2010 – combined with ‘de facto’ hikes in 2011 care of extreme consumer hawkishness (documented in numerous surveys) with the average family budgeting for two to three rate increases. Over the first 11 months of 2011, Australian capital city dwelling prices only fell by 2.8% (in actual raw terms), and by 3.7% on a seasonally-adjusted basis. The November house price data released on December 30 shows the first actual rise in both capital city and regional dwelling prices since December 2010. – The pioneering use of animated cartoons to spoof the decision-making of the RBA and <country-region><place>Australia</place></country-region>’s major bank oligopoly. To date, there have been over 5,500 unique views of these cartoons, which average over five minutes each. By far the most popular has been <a href="https://www.xtranormal.com/watch/12784379/leaked-secret-video-of-two-major-bank-ceos-chat">this skit</a> of a dialogue between Westpac’s Gail Kelly and NAB’s Cameron Clyne.
Next page: The worst calls of 2011
 
<hr class="system-pagebreak">
 The worst calls of 2011 – Wayne Swan’s unprecedented decision to break with 20 plus years of convention and take the pay-setting powers away from the RBA’s independent board members, led by the highly-respected Jillian Broadbent, and put them under the government’s control. Prior to doing this, Broadbent wrote to Swan, <a href="https://christopherjoye.blogspot.com/2011/09/knee-capping-aussie-central-banks">arguing</a> "[C]hanging current responsibilities on remuneration would jeopardise the calibre of the Reserve Bank officers and the bank's high standing...The board believes that the current remuneration framework for the bank is crucial to the bank's continuing capacity to carry out its duties to the standards required, and would see any move to unwind it as undermining the capacity of the Bank to do so." Swan’s complaint was that Glenn Stevens gets paid too much – that is, one-fifth what the average top 12 executives at a major bank receives. – Muammar Gaddafi’s decision to knock back the opportunity to go into exile in Venezuala, Zimbabwe, Angola, Burkina Faso, Chad, or Equatorial Guinea. Likewise, the decision of Egyptian president Hosni Mubarak to resist his Arab Spring. The smarty-pants in the Middle East looks to have been <country-region>Tunisia</country-region>’s former president, Zine El Abidine Ben Ali, who simply relocated to <country-region><place>Saudi Arabia</place></country-region>. – The chorus of commentators and analysts who claimed the major banks would not be able to pass on the RBA’s December rate cut in full because of higher funding costs. – The consensus economist projection at the start of 2011, which yours truly subscribed to, that the RBA would raise rates several times over the year on the back of high core inflation. We got the high core inflation in the first six months, but a conflictingly low print in the third quarter. The RBA showed us that it finds lifting rates into restrictive territory hard work, while cutting them on the back of more mixed evidence seems to be an easier decision. This could be related to the fact that the RBA board is dominated, unusually, by six political appointees from the private sector plus a government representative in the form of the Treasury Secretary. Read about how the RBA’s decision-making process really works <a href="https://www.businessspectator.com.au/bs.nsf/Article/Dont-expect-the-unexpected-from-this-RBA-pd20111207-PAU9M?OpenDocument&amp;emcontent_spectators">here</a>. – Doomsayers who confidently claimed that the eurozone was certain to collapse. (This may yet prove true!) – News Ltd’s Terry McCrann, who called a certain hike in August 2011, and the AFR’s Alan Mitchell, who argued the RBA would not cut in December unless there was a demonstrable deterioration in European conditions. – Bill Gross’s decision to sell PIMCO’s holdings of US Treasuries on the basis that money printing by the Federal Reserve (hit) would stimulate inflation pressures (hit) and a decline in the perceived creditworthiness of the US sovereign (hit with Standard &amp; Poor’s dutifully downgrading the US to a AA rating), and the resulting surge in US yields (miss) forcing a decline in the value of US bonds (miss). Gross arguably underestimated the power of risk-aversion. – The Commonwealth Treasury’s 2011-12 budget deficit forecast, which after only six or seven months had to be revised up by another $14.5 billion (between the May budget and the November MYEFO). – Steve Keen’s mid 2010 prediction of ‘accelerating’ declines in Australian house prices, which have fallen by less than 3% and look to be decelerating based on today’s data. – The droves of sharemarket spruikers who once again forecast stunning gains for Australian equities. While they are too many in number to list here, representative examples include AMP and UBS’s calls for the ASX 200 to rise to 5,500 and 5,600 points, respectively, by end 2011 (ie, gains of circa 20% before accounting for dividends). Today the bourse is sitting near 4,000 points. – Finally, the oft-quoted interest rate futures market, which at various times during the year has predicted more than one RBA hike and five RBA cuts. Of course, we got neither. As I explained in<a href="https://christopherjoye.blogspot.com/2011/10/financial-markets-pricing-of-rba-rate" target="_blank"> this column</a>, market pricing for future RBA rate changes is both highly volatile, and biased by various influences. While economists get panned for changing their views, the truth is that market is far more temperamental.
 
Click to enlarge
<a href="/images/stories/joyedec6.gif" rel="shadowbox" title="Click to enlarge"><img src="/images/stories/joyedec6thumb.gif"></a>
Christopher Joye is a leading financial economist and a director of Rismark International and Yellow Brick Road Funds Management. The above article is not investment advice.
This article originally appeared on <a target="_blank" href="https://www.businessspectator.com.au/">Business Spectator</a>. 
 
 
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chrisjoye-JYhJsTrNRC

Best and worst calls for 2011: Christopher Joye

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The November and December interest rate cuts did nothing to dampen borrower enthusiasm for fixed-rate mortgages, which surged to nearly a quarter (24%) of all mortgages approved by Mortgage Choice brokers in December. 
The December figure is 3% higher than fixed-rate loan approvals recorded in November and the seventh consecutive month (since June 2011) that fixed rates have grown in popularity. 
Demand for fixed-rate mortgages is now at a three-and-a-half-year high, with customer demand for variable rate loans falling from 79% to 76% over the month. 
Demand for fixed-rate mortgages is also well above both the 12-month average (15%) and the six-month average (18%). 
The growing appetite for fixed-rate loans comes despite the pace of fixed-rate cuts dropping off ahead of the Christmas break and mortgage market analysts forecasting demand for the products to fall as the RBA enters a rate loosening phase. 
Westpac brands the Bank of Melbourne and St George cut their fixed rate mortgages on December 22.
<img src="/images/stories/mcjan6.gif">
Source: Mortgage Choice
According to Mortgage Choice spokeswoman Belinda Williamson cheap rates and the repayment certainty are two factors that may convince borrowers to choose a fixed-rate product. 
“Consecutive cash rate cuts in November and December 2011 have not swayed Australian borrowers’ desire for fixed-rate loans,” she says. 
“It is possible borrowers’ need for certainty around their home loan repayments, coupled with the affordability of fixed-rate loans, are the driving forces behind demand for this loan type. 
“During December fixed rates were significantly lower than variable rates, in some cases the difference was one percentage point or more.” 
According to Mortgage Choice data, demand for ongoing discount mortgages – where the rate is discounted over the life of loan – dropped from 44% to 41%, but this type of mortgage still remains the most popular product offering and its popularity remains above a 12-month average of 35% of all mortgages.
 
 
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A quarter of borrowers now choosing fixed-rate loans: Mortgage Choice

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The government could bring back the first-home owner’s boost scheme as early as this year to help stimulate the property market and win 2013 election votes, according to Aussie Home Loans founder John Symond.
Symond says it is generally true that “in any run-up to an election the government throws money around”.
“Probably my cynical self says six to 12 months ahead of the next election, it would not surprise me that the government might stimulate housing by helping first-home buyers and they may possibly introduce a bonus or a boost to the first-home owner’s grant,” he says.
The earliest date for the next federal election is August 3, 2013 (unless the government calls an early election) and an election must be held by November 30, 2013, meaning if Symond’s prediction proves accurate the boost to the first-home owner’s scheme could return in the latter half of the year.
The original scheme ran from October 2008 to December 2009 with the aim of “cushion[ing] the Australian economy from the worst impacts” of the GFC.
Up until September 30, 2009, it provided first-time buyers with an extra $7,000 to purchase an existing home and $14,000 if they purchased a newly constructed home or built a new home. The scheme operated in tandem with the $7,000 on offer as part of the first-home owner’s grant, which is still in effect.
Between October 2009 and December 2009, the first-home owner’s booost was halved, with $3,500 available for the purchase of established homes and $7,000 for the purchase of new homes.
Symond says while no one can be certain of the boost returning, he tips that “come federal election time there might be some handout for first-home buyers”.
Regardless of that, he says the market is looking good for first-home buyers, with “all the ducks lining up – lower price values, lower interest rates, makes it easier to save and easier to get into home ownership”.
“The environment for first home owners going forward is looking pretty good,” Symond says.
Symond plans to grow broker numbers by 25% in 2012 to more than 1,000 after posting strong 2011 results with profits soaring to $52 million.
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