ASX-listed developer <a href="https://www.apartments.com.au/developers/stockland">Stockland</a>&nbsp;is continuing its push back into the new apartment market, filing plans for a prominent gateway site between Collingwood and East Melbourne.

The development giant, which moved back into the new apartment space when it announced Stanton Place in Sydney's Rosebery and have since filed plans for a 50-storey tower, are jumping into the off the plan Melbourne market.

They are hoping to create a mixed-use neighbourhood precinct for <a href="https://www.apartments.com.au/new-apartments/79-81-victoria-parade-collingwood-vic-3066">79-81 Victoria Parade</a>, replacing an existing commercial building with a scheme by <a href="https://www.apartments.com.au/architects/john-wardle-architects">Wardle</a>&nbsp;for 478 apartments,&nbsp;ground-floor retail, new public open spaces and a publicly accessible pedestrian laneway.

<img alt="First look: Stockland plans new mixed-use neighbourhood precinct for Collingwood gateway site" data-entity-type="file" data-entity-uuid="72dbbca9-3918-4073-afad-a0c0c35be8e7" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/stockland%20pers.png?VersionId=bzMVUKKxvwuNK1m0v_td126Rgct32uk_" />

The design report identifies the public realm as a central driver of the proposal.

"Collingwood has limited access to high-quality parks and public open space, and the proposal delivers valuable new areas for respite, social interaction and fine-grain retail activity."

The development would deliver a diverse mix of housing, including studio, one, two and three-bedroom apartments alongside townhouse-style residences. Two basement levels are proposed beneath the development, providing resident and retail parking as well as extensive bicycle facilities.

Wardle's design draws heavily on Collingwood's industrial character, using articulated building forms, brickwork and robust materials inspired by the suburb's warehouse and manufacturing heritage. The built form has been broken into a series of smaller volumes to better respond to the surrounding streetscape while extensive communal gardens, rooftop amenities and shared resident spaces are integrated throughout the project.

<img alt="First look: Stockland plans new mixed-use neighbourhood precinct for Collingwood gateway site" data-entity-type="file" data-entity-uuid="7b2135ed-65df-4253-ad53-f216f06bd467" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/stockland%20podium.png?VersionId=l1B6Hqn8zs772VxH6L1fDPg0KHshan9v" />

The planning documents describe the existing office building as offering little engagement with the public realm, with the redevelopment intended to create a more permeable and active neighbourhood destination.

"The proposed scheme presents a significant opportunity to deliver a vibrant retail plaza and a local neighbourhood hub serving both existing and future Collingwood residents."

The 79–81 Victoria Parade site occupies a strategic location about 1.5 kilometres east of Melbourne's CBD, at the threshold between Collingwood and East Melbourne. It is well served by tram services along Victoria Parade and sits within walking distance of St Vincent's Hospital, Fitzroy Gardens, the Fitzroy activity centre and a broad range of employment, retail and hospitality destinations.

Joel Robinson

Stockland plans new mixed-use neighbourhood precinct for Collingwood gateway site

An 1880s timber cottage that has survived Kangaroo Point's transformation from riverside suburb to high-density apartment precinct is set to become the centrepiece of <a href="https://www.apartments.com.au/developers/zephyr">Zephyr Group</a>'s proposed Banksia development.

Rather than see the locally heritage-listed Alpha Cottage as an obstacle to navigate, plans integrate the landmark home into a new 18-storey residential tower, giving one of the suburb's oldest surviving residences a new role as the project's communal hub.

The development application covers a 1,177 sqm amalgamated site at 127-133 Lambert Street and 30 Shafston Avenue, where Zephyr Group plans to deliver 64 apartments above three basement levels. Designed by <a href="https://www.apartments.com.au/architects/joe-adsett-architects">Joe Adsett Architects</a>, the proposal carefully weaves the retained heritage cottage into a contemporary residential scheme, with the tower elevated above the historic building to preserve its presence within the Lambert Street streetscape.

<img alt="First look: Zephyr Group's Banksia to wrap new Kangaroo Point tower around 1880s Alpha Cottage" data-entity-type="file" data-entity-uuid="f9dc5bdb-d691-4c60-bf2b-c3ed405a3e75" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Banksia.png?VersionId=Jh4bjlewU.o8HXWt0V4KaFA_lPcF7KWM" />

Named after the native Australian Banksia flower, the project draws inspiration from its distinctive form through curved balconies, sculpted planter boxes and cascading subtropical landscaping that soften the building's profile.

As the design report explains: "The tower's identity is defined by its feature facade, drawing direct inspiration from the Banksia wildflower. The building departs from traditional rigidity through the use of elegant, GRC-moulded planter boxes that appear as if shaped by the breeze."

Plans propose 64 apartments, comprising 32 two-bedroom and 32 three-bedroom residences, across an 18-storey tower. Residents would have access to rooftop amenities including a swimming pool, spa, gym, sauna, private cinema, dining spaces and landscaped recreation areas, while more than half the site is dedicated to planting and open space.

<img alt="First look: Zephyr Group's Banksia to wrap new Kangaroo Point tower around 1880s Alpha Cottage" data-entity-type="file" data-entity-uuid="16041b5f-033e-47fa-8fbe-9886e072c1f2" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/pool.png?VersionId=kpx5w4EbLx0_TdWfDoD1vrSs0_cZ5Ao1" />

The heritage component is the defining feature of the proposal. Constructed in the early 1880s and occupied from at least 1883, Alpha Cottage is recognised by Brisbane City Council as an important surviving example of Kangaroo Point's nineteenth-century residential development and as a representative transverse-gable timber cottage. Despite extensive redevelopment across the peninsula, the building has retained a high degree of its original form and internal fabric.

As part of the redevelopment, the cottage will be carefully relocated a short distance within its original allotment to facilitate construction before being returned to a prominent position along Lambert Street. Original verandah elements will be dismantled, catalogued and reinstated, while significant internal features, including timber flooring, wall linings, joinery, doors, windows and hardware, will be retained. Later additions, including the enclosed rear verandah, will be removed to better reveal the building's original form.

Once restored, Alpha Cottage will accommodate the building manager's office, mail room and parcel facilities, providing an active everyday use that supports its long-term conservation rather than preserving it as a static display. The heritage strategy also maintains landscaped space around the building, allowing it to remain visually distinct beneath the new tower.

<img alt="First look: Zephyr Group's Banksia to wrap new Kangaroo Point tower around 1880s Alpha Cottage" data-entity-type="file" data-entity-uuid="43b027e1-576e-4624-a66c-7cc54ea8b7be" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/banksia%20tower.png?VersionId=2W6E2yfkj2AQlWlLeV986grA5zB9f817" />

The Heritage Impact Assessment concludes that "the proposal secures the ongoing occupation, maintenance and conservation of Alpha Cottage," finding the development would result in "no more than a minor impact on the cultural heritage significance" of the building while ensuring its long-term future.

Joe Adsett Architects have designed the tower to sit above the heritage building rather than overwhelm it, creating a clear visual separation between old and new. The development's flowing balconies, integrated planting and organic façade respond to Brisbane's subtropical climate while complementing the restored cottage below.

Banksia occupies a prominent corner in Kangaroo Point within walking distance of the Kangaroo Point Bridge, Brisbane River, ferry services, QUT, the CBD and the Woolloongabba precinct. The site also benefits from direct access to active transport infrastructure and sits within an area earmarked for continued higher-density residential growth.

Zephyr Group's Banksia to wrap new Kangaroo Point tower around 1880s Alpha Cottage

Buying into a masterplanned community often means committing to a vision still years from taking shape. At <a href="https://www.apartments.com.au/new-apartments/kew-tallawong-23-27-schofields-road-tallawong-nsw-2762">Kew Tallawong</a>, that vision is already visible.

Residents have moved into the completed first stage, landscaped spaces are established, and the next chapter is now underway. Stage 1 has been completed and settled, with Stage 2 now selling off-the-plan.

Designed by <a href="https://www.apartments.com.au/architects/pbd-architects">PBD Architects</a>, <a href="https://www.apartments.com.au/new-apartments/kew-tallawong-23-27-schofields-road-tallawong-nsw-2762">Kew Tallawong</a> combines attainable apartment living with sustainability initiatives rarely seen at this price point, including rooftop solar, battery storage and a resident EV-sharing program.

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Located on Schofi​elds Road, just moments from Tal​lawong Metro Station and Schof​ields Train Station, <a href="https://www.apartments.com.au/new-apartments/kew-tallawong-23-27-schofields-road-tallawong-nsw-2762">Kew Tallawong</a> has been designed to appeal to a broad mix of buyers, from first-home purchasers looking for a foothold in Sy​dney's property market to downsizers seeking a connected, low-maintenance lifestyle.

<a href="https://www.apartments.com.au/new-apartments/kew-tallawong-23-27-schofields-road-tallawong-nsw-2762">Kew Tallawong</a> has been conceived as a thoughtfully planned masterplanned community that will evolve over multiple stages, with buyers now able to secure one, two and three-bedroom apartments within a neighbourhood that is already beginning to establish its identity.

One of the project's defining features is its focus on sustainability. Solar energy systems, battery storage and future EV charging infrastructure have been incorporated throughout the development, reflecting a long-term approach to both environmental performance and everyday convenience.

Sustainability sits at the centre of the development's vision, with solar energy systems, battery storage and future EV charging infrastructure integrated throughout the community.

That emphasis on future-ready living extends beyond the technology. Landscaped communal gardens, outdoor gathering spaces and plans for a future retail precinct aim to create a neighbourhood where residents can access daily conveniences without travelling far from home.

[smartcode_project:default project_id=149637 project_image_fid=351027]

The apartments themselves have been designed with liveability front of mind. Rather than chasing maximum density, the focus has been placed on creating practical homes with generous natural light, usable layouts and strong connections to outdoor space.

Importantly, these design principles have been applied consistently across the one, two and three-bedroom apartment offerings.

The appeal of <a href="https://www.apartments.com.au/new-apartments/kew-tallawong-23-27-schofields-road-tallawong-nsw-2762">Kew Tallawong</a> is also closely linked to its location within Syd​ney's rapidly evolving north-west growth corridor. Over the past decade, major infrastructure investment has transformed the area, with new transport links, business precincts and community facilities reshaping suburbs like Talla​wong and Schofiel​ds.

The agent says buyers are increasingly recognising the area's long-term potential.

"Typical buyers that we're finding across <a href="https://www.apartments.com.au/new-apartments/kew-tallawong-23-27-schofields-road-tallawong-nsw-2762">Kew Tallawong</a> especially are your first-home buyers, your investors, your upsizers as well as your downsizers," Hawes says.

Connectivity remains one of the project's strongest drawcards. Residents have access to both Tallaw​ong Metro Station and Schofi​elds Train Station, providing links to the Sydn​ey CBD, Norw​est Business Park, Macquari​e Park and other major employment hubs. Retail centres including Rous​e Hill Town Centre and Sch​ofields Village are also nearby, alongside schools, parks and future healthcare infrastructure.

[smartcode_project:default project_id=149637 project_image_fid=351031]

For Stage 1 resident Roji, it is the balance between convenience and comfort that has defined the experience of living at Kew.

"For me, it's a balance of quality and convenience," she says. "Everything I need is right here."

"If I wanted to catch the train, Scho​fields Station is just around the corner. Tallaw​ong Metro connects me to the city."

More importantly, she says, the development has delivered something that cannot be measured in floorplans or specifications.

"<a href="https://www.apartments.com.au/new-apartments/kew-tallawong-23-27-schofields-road-tallawong-nsw-2762">Kew Tallawong</a> feels like home."

[smartcode_project:default project_id=149637 project_image_fid=351024]

As Stage 2 enters the market, that lived experience may be one of the project's strongest selling points. Buyers are not purchasing into an untested concept or a future promise. They are joining a community that is already taking shape.

Ongoing investment in transport, retail, healthcare and public open space continues to strengthen the appeal of Syd​ney's north-west growth corridor, while <a href="https://www.apartments.com.au/new-apartments/kew-tallawong-23-27-schofields-road-tallawong-nsw-2762">Kew Tallawong</a>'s established first stage provides buyers with a tangible sense of the community's future direction.

For a limited time, buyer can secure a new home at <a href="https://www.apartments.com.au/new-apartments/kew-tallawong-23-27-schofields-road-tallawong-nsw-2762">Kew Tallawong</a> with just a $10,000.

[smartcode_project_cta:default project_id=149637]

Kew Tallawong: A growing community taking shape in Sydney's north-west

<a href="https://www.apartments.com.au/developers/freecity">Freecity</a> has received development approval for its 51-storey mixed-use tower at 153-157 Walker Street, North Sydney, set to be one of the tallest mixed-use residential-led buildings in one of Sydney’s most sought-after commercial and residential addresses.

Lodged as a State Significant Development Application (SSDA) through the Housing Delivery Authority (HDA) pathway and approved by the NSW Department of Planning, Housing and Infrastructure following a comprehensive public exhibition and submissions process, <a href="https://www.apartments.com.au/new-apartments/153-walker-street-north-sydney-nsw-2060">the project</a> will deliver 296 apartments, alongside a 170-room, luxury hotel, activated retail and significant public domain improvements.

Situated just 200 metres from Victoria Cross Metro Station, on one of the largest developable sites in North Sydney, the development will rise to 234 metres, making it one of the tallest buildings in the suburb. With an end value of approximately $1.5 billion, the project responds directly to the NSW Government’s mandate to accelerate housing delivery in well-located, transit-connected areas.

<img alt="Freecity gets green light for mixed-use residential and hotel tower in North Sydney" data-entity-type="file" data-entity-uuid="192ec455-94bf-4e01-83ef-922b1b269d67" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Freecity%20-%20Walker%20Street%20North%20Sydney%201%20RESIZED%20.jpg?VersionId=Bzqp0SBHCDvLAHjA4QXkjuGoOEIh73Jl" />

The apartment mix will cater to a broad range of buyers, with 65 studio and one-bedroom apartments, 139 two-bedroom residences, 35 three-bedroom apartments, 48 four-bedroom homes, and nine penthouses. Residents will have access to a dedicated amenity level on Level 33, featuring a swimming pool with views towards the Harbour Bridge, Sydney Opera House and North Sydney CBD, as well as a gym, library, shared kitchen, lounge and outdoor entertaining areas.

The hotel will occupy the lower six levels of the building and include meeting and function spaces, a wellness centre with gym, yoga studio, swimming pool and sauna, further strengthening North Sydney's growing hospitality offering.

At ground level, the development has been designed to improve pedestrian connections through the precinct. More than 700 sqm of retail space will activate the street frontage, while a landscaped through-site link connecting Walker Street, Little Walker Street and Doris Fitton Park will provide new public open space with seating, paving and extensive native landscaping.

Freecity Group Co-Founder and Joint CEO Tony Sun said the project represents one of the most significant development opportunities currently available in North Sydney.

"This is one of the most significant development sites in North Sydney and it comes at a pivotal moment for the precinct," Sun said.

"North Sydney is undergoing a genuine transformation, and this project will contribute housing the city urgently needs while creating a landmark destination."

Executive Director of Development Michael Romano said demand for both residential and hotel accommodation would continue to strengthen as the Metro precinct matures.

"The structural demand for high-quality housing and hotel accommodation in North Sydney is compelling, and will only grow as the precinct continues to evolve around the new Metro station," Romano said.

Architectus has designed the tower, orientating the apartments to maximise views towards Sydney Harbour while introducing a sculpted façade intended to respond to light, wind and the surrounding skyline.

Architectus Principal Marko Damic said the design sought to create a tower that contributes to the public realm as much as the skyline.

"We wanted to design a tower that doesn't just sit in the skyline but actively participates and contributes to city life," Damic said.

First look: Freecity gets green light for mixed-use apartment and hotel tower in North Sydney

<a href="https://www.apartments.com.au/developers/abadeen">Abadeen</a> and <a href="https://www.apartments.com.au/developers/perifa">PERIFA</a> have celebrated the topping out of <a href="https://www.apartments.com.au/new-apartments/putney-wharf-harbourfront-precinct-20-waterview-street-putney-nsw-2112">Putney Wharf,</a> marking a significant milestone in the delivery of one of Syd​ney's most anticipated waterfront communities.

Located on Sydney's harbourfront at <a href="https://www.apartments.com.au/developments/putney-nsw-2112">Putney</a>, the project has now reached its highest structural point, with construction progressing strongly towards completion in 2027. 
&nbsp; 
The milestone was celebrated on-site with project partners Phoenix Property Investors, Mitsubishi Estate Asia, Versatile Construction, <a href="https://www.apartments.com.au/architects/sjb-architects">SJB</a>, consultants and stakeholders, to recognise the collective effort behind the transformation of the historic waterfront site into a vibrant new residential, marina and lifestyle destination.

[smartcode_project:default project_id=13962 project_image_fid=362240] 
&nbsp; 
<a href="https://www.apartments.com.au/new-apartments/putney-wharf-harbourfront-precinct-20-waterview-street-putney-nsw-2112">Putney Wharf</a> will deliver a mix of waterfront residences and terraces, complemented by a private 36-berth marina, waterfront dining opportunities and a revitalised foreshore designed to reconnect the community with the river's edge. 
&nbsp; 
Abadeen Executive Chairman and Founder Justin Brown said the project represented a rare opportunity to create the next chapter in Sydn​ey's long history of successful waterfront precincts. 
&nbsp; 
"Throughout Sydney, some of the city's most sought-after addresses have emerged from carefully considered waterfront precincts such as Woolloom​ooloo Wharf, Walsh Bay and Breakfast Point," Brown said.

[smartcode_project:default project_id=13962 project_image_fid=362566] 
&nbsp; 
"What makes these places so successful is that they become much more than residential developments," Brown said.

"They bring together homes, hospitality, marina facilities, public spaces and a strong sense of community in locations where future supply is incredibly limited."

Brown has long described absolute waterfront land in Sy​dney as "finite."

"Once these opportunities are developed, they are rarely replicated. That's why Syd​ney's waterfront precincts have consistently demonstrated strong demand and long-term value growth over many decades. 
&nbsp; 
"<a href="https://www.apartments.com.au/new-apartments/putney-wharf-harbourfront-precinct-20-waterview-street-putney-nsw-2112">Putney Wharf</a> is one of the few remaining opportunities to secure a residence within a masterplanned waterfront community that combines direct water access, marina ownership opportunities and a genuine village lifestyle just moments from the Sy​dney CBD."

[smartcode_project:default project_id=13962 project_image_fid=362564] 
&nbsp; 
PERIFA Founder and Managing Director Fabrizio Perilli said the project reflected a shared commitment to delivering exceptional places that create long-term value for residents and the broader community. 
&nbsp; 
"The topping out milestone is a significant achievement for the Versatile Group and a testament to the collaboration between all project partners, consultants and contractors involved," Perilli said. 
&nbsp; 
"Beyond the residences themselves, <a href="https://www.apartments.com.au/new-apartments/putney-wharf-harbourfront-precinct-20-waterview-street-putney-nsw-2112">Putney Wharf</a> will establish a new waterfront destination that celebrates the history, character and lifestyle of this unique location while creating a lasting legacy for future generations."

[smartcode_project:default project_id=13962 project_image_fid=291195] 
&nbsp; 
Construction is being delivered by <a href="https://www.apartments.com.au/builders/versatile">Versatile Construction</a>, with structural works now substantially complete across the precinct. Attention will progressively shift to the construction of the waterview terraces, apartment façades, services and interior fit-out works over the coming months. 
&nbsp; 
With limited residences and marina berths remaining, <a href="https://www.apartments.com.au/new-apartments/putney-wharf-harbourfront-precinct-20-waterview-street-putney-nsw-2112">Putney Wharf</a> continues to attract strong interest from owner occupiers and downsizers seeking a premium waterfront lifestyle within close proximity to Putne​y Village, Rh​odes, Top Ry​de and the Syd​ney CBD. 
&nbsp; 
As one of the last opportunities to secure a residence within a new masterplanned waterfront community on Sy​dney Harbour, <a href="https://www.apartments.com.au/new-apartments/putney-wharf-harbourfront-precinct-20-waterview-street-putney-nsw-2112">Putney Wharf</a> is expected to remain a highly sought-after address for years to come.

[smartcode_project_cta:default project_id=13962]

Abadeen, PERIFA, top out Putney Wharf harbourfront precinct

Sydney’s property market is known for high prices, competitive bidding, and mounting pressure on first home buyers. But change is on the horizon.

From late 2025, eligible first home buyers in New South Wales will have access to a new federal government initiative aimed at addressing affordability: the Help to Buy Scheme.&nbsp;

<h2>What is the Help to Buy Scheme?</h2>

The program introduces a shared equity model intended to reduce the upfront cost of entering the property market, particularly in high-demand urban areas such as Sydney.

The scheme operates under a shared ownership structure in which the federal government takes an equity stake of up to 40 per cent for new homes, or 30 per cent for existing dwellings. This arrangement allows eligible buyers to significantly reduce their loan size and avoid the added cost of Lenders Mortgage Insurance (LMI).

Under this model, purchasers can enter the property market with as little as a two per cent deposit, well below the traditional 10 to 20 per cent usually required. The government’s contribution is not a loan but a co-ownership stake in the property. As such, there is no interest or rent charged on its portion.

Because the government’s equity combined with the buyer’s deposit typically meets or exceeds the 20 per cent threshold, LMI does not apply. The remaining balance, generally between 60 and 70 per cent of the property’s value, is financed through a standard home loan with a participating lender.

The government's equity in the property remains in place until the buyer chooses to repay it voluntarily or until the property is sold. Buyers can buy back the government’s share over time, in increments of at least five per cent, depending on their financial situation.

There is no fixed repayment timeline, but the amount to be repaid will be based on the property's market value at the time of repayment, not the original purchase price.

<h2>How do you qualify for the&nbsp;Help to Buy Scheme?</h2>

To qualify for the Help to Buy Scheme, applicants must meet the following conditions:

<ul>
	<li>Be an Australian citizen at least 18 years of age.</li>
	<li>Be a first-home buyer who does not currently own property.</li>
	<li>Intend to live in the property as their primary residence.</li>
	<li>Earn less than $100,000 per year for individuals, or $160,000 for couples.</li>
	<li>Purchase a property within the regional price caps, currently $950,000 in Sydney, though this is expected to rise to approximately $1.3 million ahead of the program’s launch.</li>
</ul>

While the Help to Buy Scheme does not solve affordability challenges across the board, it does offer a more accessible pathway for a defined segment of the market, particularly younger buyers with moderate incomes who have been priced out of traditional lending routes.

The scheme is expected to commence in NSW in late 2025, as part of a national rollout.

Under the new model, purchasers can enter the property market with as little as a two per cent deposit, well below the traditional 10 to 20 per cent usually required

Help to Buy Scheme: What first home buyers in NSW need to know

The First Home Owners Grant (FHOG) is a government initiative designed to help eligible first-time home buyers by offering financial assistance towards the purchase or construction of a new home.

While the FHOG is a nationwide program, it is administered separately by each state and territory, meaning the eligibility criteria, grant amounts, and property requirements can vary depending on your location. This means that the amount available and the conditions attached to the grant will differ, so it is important to check the specific guidelines for your state or territory.

It’s important to note that the FHOG is just one of several incentives available to first home buyers. In most states and territories, the grant is not linked to stamp duty exemptions or concessions, with the exception of the Australian Capital Territory (ACT). The FHOG is typically a one-off payment, reducing the overall cost of purchasing or building a new home before any stamp duty concessions are applied.

Below, we provide a breakdown of the First Home Owner Grants available across Australia, outlining the specific details for each state and territory.

<h2>New South Wales First Home Owner Grant</h2>

First Home Owner Grant: Offers a $10,000 grant for new homes valued up to $600,000. For land purchases and owner-builders, the threshold extends to $750,000.

Stamp Duty Benefits: Provides full stamp duty exemption for homes valued up to $800,000, with concessions available for properties up to $1 million.

<h2>Victoria South Wales First Home Owner Grant</h2>

First Home Owner Grant: Provides a $10,000 grant for first-home buyers purchasing or building new homes valued up to $750,000.

Stamp Duty Benefits: Offers full stamp duty exemption for properties up to $600,000, with concessions available up to $750,000.

<h2>Queensland First Home Owner Grant</h2>

First Home Owner Grant: Offers $30,000 for contracts signed between 20 November 2023 and 30 June 2025. The FHOG applies to new homes valued up to $750,000.

Stamp Duty Concessions: Provides additional concessions for properties valued up to $800,000.

<h2>Western Australia First Home Owner Grant</h2>

&nbsp;

First Home Owner Grant: Offers a $10,000 grant for new homes valued up to $750,000 in the southern regions and up to $1 million in the northern regions.

Stamp Duty Concessions: Available for homes valued up to $600,000 for transactions entered into on or after 9 May 2024.

<h2>Australian Capital Territory First Home Owner Grant</h2>

First Home Owner Grant: Replaced by the Home Buyer Concession Scheme, offering full stamp duty concessions for eligible buyers.

<h2>South Australia First Home Owner Grant</h2>

First Home Owner Grant: Provides up to $15,000 for new homes, including houses, apartments, and townhouses. As of 6 June 2024, there is no property value cap for eligibility.

Stamp Duty Relief: Available for new homes and vacant land purchases.

<h2>Tasmania First Home Owner Grant</h2>

First Home Owner Grant: Offers a $10,000 grant for new homes and off the plan purchases.

Stamp Duty Exemption: Between 18 February 2024 and 30 June 2026, first home buyers of established homes valued up to $750,000 receive a full exemption on property transfer duty.

<h2>Northern Territory First Home Owner Grant</h2>

First Home Owner Grant: The Northern Territory provides a $10,000 grant for new homes only. Additional government grants and concessions are available for first home buyers.

Stamp Duty Exemption: The only stamp duty exemption available to property buyers is the House and Land Package Exemption (HLPE).

Eligibility criteria and application processes differ across states. Prospective buyers should refer to their respective state revenue offices for full details on grant availability, conditions, and additional concessions.

Every First Home Owner Grant for new property by state

In the ever-evolving landscape of sustainable architecture and environmentally conscious design, systems and ratings in place can help determine the energy efficiency of residential buildings in Australia.

Australia has multiple building rating systems that evaluate energy efficiency and sustainability in existing and new building designs.

Some systems assess individual building components, while others provide an overall rating for the entire structure.

A rating system ensures that homes are comfortable and energy-efficient, whether you are buying, renovating, or building.

NatHERS (Nationwide House Energy Rating Scheme) is a common way for new homes to meet energy efficiency requirements.

As new developments continue to shape the urban environment, understanding NatHERS ratings becomes essential for developers and homeowners. This article delves into the concept of NatHERS ratings, their significance, and how they contribute to creating energy-efficient homes.

<h2>What is NatHERS?</h2>

NatHERS is a national initiative implemented by the Australian government to promote energy efficiency in residential buildings. The scheme aims to provide a standardised method for assessing the thermal performance of homes, considering factors such as insulation, orientation, ventilation, and building materials.&nbsp;

NatHERS ratings are the most common way new homes meet the National Construction Code's (NCC's) minimum energy efficiency requirements.&nbsp;

NatHERS assessments provide thermal and whole-home ratings for new homes, townhouses, and apartments.

The rating helps evaluate the energy performance of buildings, guides homeowners and developers to make informed decisions about the energy efficiency of their properties, and encourages the construction of more sustainable, comfortable, and cost-effective homes.

<h2>How NatHERS Ratings Work</h2>

NatHERS ratings are determined through four accredited software tools (AccuRate, BERS Pro, FirstRate5, HERO) using a calculation engine CSIRO developed to predict building temperature based on various factors.

The tools can model complex effects of building mass, insulation, window size, and other elements.

The outcome is a star rating that reflects the building's overall thermal efficiency, indicating how well it can maintain a comfortable indoor temperature without excessive reliance on heating or cooling systems.

The star rating scale ranges from 0 to 10, with a 6-star rating being the minimum requirement for compliance with the National Construction Code (NCC).&nbsp;

Achieving a higher star rating demonstrates a commitment to energy efficiency and sustainability, as the building is better equipped to minimise its environmental impact and reduce long-term energy costs.

Anyone can use NatHERS tools, but accredited assessors can provide certified ratings and professional advice.

<h2>Benefits of Higher NatHERS Ratings</h2>

Energy Efficiency: Buildings with higher NatHERS ratings are more energy-efficient, requiring less heating and cooling energy. This reduces the structure's carbon footprint and lowers occupants' energy bills.

Cost Savings: Homes with higher NatHERS ratings are generally more energy-efficient, resulting in reduced energy consumption for heating and cooling. This translates to lower energy bills for homeowners, making sustainable living environmentally friendly and economically viable in the long run.

Environmental Impact: Lower energy consumption directly translates to a reduced environmental impact. Buildings with higher NatHERS ratings contribute to the overall goal of mitigating climate change by lowering greenhouse gas emissions associated with heating and cooling systems.

Improved Comfort: Buildings with high NatHERS ratings offer better thermal comfort to occupants. Proper insulation, well-designed ventilation, and optimal orientation maintain a consistent and comfortable indoor temperature, providing occupants with a more enjoyable and healthier space.

Market Value and Desirability: Higher NatHERS ratings can enhance the market value of a property. As energy efficiency becomes a more significant consideration for homebuyers, a well-rated building may attract a premium price and stand out in the real estate market.

Compliance with Building Codes: NatHERS ratings are a vital component of the National Construction Code (NCC), and compliance with these ratings is often a mandatory requirement for new developments. Local councils and planning authorities may set minimum energy efficiency standards that must be met to obtain development approval.

The Nationwide House Energy Rating Scheme (NatHERS) is a crucial initiative shaping the future of energy-efficient, resilient, and cost-effective homes. With its recent upgrades, NatHERS has evolved into a world-leading tool for the building sector, supporting the global commitment to achieving net-zero emissions by 2050.

Staff Writer

What is a NatHERS rating in new off the plan apartment developments?

Mixed-use developments have gained significant popularity across Australia in recent years due to their unique blend of residential, commercial, and recreational spaces.

Unlike traditional single-purpose developments, mixed-use projects offer a harmonious integration of various functions within a single locale.

Residential units seamlessly coexist with commercial establishments, retail outlets, dining venues, entertainment hubs, and recreational facilities, with the combination not only enhances convenience but also fosters a vibrant lifestyle and a sense of community.

<h3>Convenience and accessibility</h3>

Mixed-use developments are designed with convenience in mind. They often integrate residential units with commercial spaces, retail outlets, restaurants, and recreational facilities, creating a self-contained community.

[smartcode_project:default project_id=114215 project_image_fid=204874]

The proximity allows residents to enjoy the convenience of having essential amenities and services within walking distance. Whether it's grabbing a cup of coffee, going grocery shopping, or accessing healthcare services, everything is conveniently located, saving residents time and effort.

<h3>Vibrant lifestyle and community</h3>

One of the major advantages of mixed-use developments is the vibrant lifestyle they offer. With a diverse range of amenities and communal spaces, residents have ample opportunities to interact, socialise, and build a sense of community.

[smartcode_project:default project_id=107714 project_image_fid=214122]

The presence of parks, community centres, and shared spaces fosters a lively atmosphere, encouraging residents to engage in various activities and events. The vibrant lifestyle within these developments creates a unique sense of belonging and camaraderie among the residents.

<h3>Potential for higher rental yields and property value appreciation</h3>

Mixed-use developments tend to attract a broad range of tenants and buyers due to their versatile nature. This high demand can result in higher rental yields for investors and potentially lead to property value appreciation over time.

[smartcode_project:default project_id=139989 project_image_fid=212887]

The integration of commercial and retail spaces attracts businesses, which can provide a stable rental income stream. Additionally, the popularity of mixed-use developments often drives up property values, making them a potentially lucrative investment in the long term.

<h3>Enhanced security and maintenance</h3>

Mixed-use developments typically have comprehensive security measures in place. With controlled access points, CCTV surveillance, and professional security staff, residents can enjoy enhanced safety and peace of mind.

[smartcode_project:default project_id=108019 project_image_fid=212658]

Additionally, these developments often have dedicated maintenance teams responsible for the upkeep of common areas, landscaping, and infrastructure. This ensures that the overall appearance and functionality of the development are well-maintained, creating a pleasant living environment for residents.

<h3>Live-work-play balance</h3>

One of the key attractions of mixed-use developments is the ability to achieve a desirable live-work-play balance. The integration of residential and commercial spaces allows residents to live closer to their workplaces, reducing commuting time and improving work-life balance.

The proximity to various amenities and recreational facilities encourages an active and healthy lifestyle. Residents can easily access fitness centres, parks, restaurants, and entertainment options, all within the same development, leading to a more fulfilling and convenient way of life.

alisonwarters@gmail.com

The top five reasons to buy in a mixed-use development

When buying a property, everyone needs to be aware of the additional costs that come as part of the buying process.

Often the largest outlay, after the deposit which goes to the bank, is stamp duty.

<h2 style="line-height: 1.38;">What is Stamp Duty?</h2>

Stamp duty is an extra tax to pay the government when you buy land, a property, and other certain assets.

It happens when the legal ownership is transferred. It can also be known as property transfer duty or transfer duty.

<iframe allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="415" src="https://www.youtube.com/embed/C32BWkB5--c" title="YouTube video player" width="660"></iframe>

<h2>Who pays Stamp Duty?</h2>

In some circumstances, you may get an exemption. For some states, you won’t have to pay for stamp duty if you are a first home buyer or a pensioner for houses under a particular price. There are also stamp duty concessions, where you may be entitled to a discount.

<h2>How much does Stamp Duty cost?</h2>

Each state has different rules which affect how much you need to pay. These rules can affect the rate you pay, and the timeframe you will need to pay in. Before you buy land or a property, make sure you check the up-to-date information for your state’s stamp duty.

You can use a free stamp duty calculator online to see approximately how much you’ll need to pay. Find out if you’re eligible for an exemption by enquiring on a project via Urban!

Overall, the stamp duty you need to pay will depend on:

<ul>
	<li aria-level="1">How much your land/property is worth</li>
	<li aria-level="1">Where your land/property is located</li>
	<li aria-level="1">What type of land/property it is</li>
</ul>

Want to find out more? <a href="https://www.youtube.com/@UrbanAustralia?utm_source=YouTube&amp;utm_medium=Video&amp;utm_campaign=Subscribe&amp;utm_id=Subscribe">Subscribe to our YouTube channel</a> for more property videos.

Ellen Walker

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

For the first time in a long time, Australia's inflation story is starting to look more like a landing than a fight.

The latest Consumer Price Index figures from the Australian Bureau of Statistics showed annual inflation eased to four per cent in May, down from 4.2 per cent in April. On the surface, that might not seem like a major move. Inflation remains above the Reserve Bank's target range and some categories continue to record stubborn price growth.

But the significance of this result lies less in where inflation sits today and more in what it means for where interest rates are likely heading next.

The biggest takeaway is that inflation continues to move in the right direction.

Markets had been bracing for another sticky result after a period where progress appeared to stall. Instead, headline inflation came in softer than expected, helped by falling fuel prices and easing transport costs. Annual transport inflation halved from 6.6 per cent in April to 3.3 per cent in May, while automotive fuel prices fell 11.9 per cent during the month following lower oil prices and the impact of reduced fuel excise measures.

While petrol prices don't solve Australia's affordability challenges, they are one of the most visible and immediate costs for consumers. Falling fuel costs feed through the economy quickly, helping ease pressure on household budgets and business operating expenses.

The ABS data also showed headline inflation is now sitting at its lowest annual level in several months, reinforcing the broader trend that price growth is gradually moderating.

That trend is important because it aligns with what many economists and lenders have been saying for the last month.

Prior to this week's inflation data, ANZ, NAB and Commonwealth Bank had all shifted their forecasts, now believing the Reserve Bank had likely reached the peak of the interest rate cycle. Following the May inflation release, ANZ reaffirmed that view.

In its latest economic update, ANZ said it expects quarterly trimmed mean inflation to come in at 3.7 per cent for the June quarter, slightly below the Reserve Bank's forecast of 3.8 per cent. Importantly, the bank said that outcome, when combined with slowing economic activity, "supports our view that the cash rate has peaked".

The Reserve Bank has spent the better part of three years attempting to bring inflation under control through higher interest rates. If Australia's major banks are correct and rates have now peaked, the conversation shifts from how much higher rates could go to when they might begin coming down.

Westpac's caution comes from underlying inflation. The trimmed mean, the measure most closely watched by the Reserve Bank, increased from 3.4 per cent to 3.6 per cent annually. Housing inflation remains elevated at 6.5 per cent, reflecting ongoing increases in rents, electricity costs and new dwelling construction.

Electricity prices remain particularly problematic, rising 21.1 per cent over the past year following the removal of government rebates.

Housing construction costs are also showing signs of renewed pressure. ANZ noted new dwelling costs rose 0.9 per cent in May and are now running at an annualised pace of 8.6 per cent over the past three months. Builders continue to face higher labour, fuel and material costs, a reminder that inflationary pressures have not completely disappeared.

Housing affordability has deteriorated largely because of higher interest rates rather than higher property prices alone. Even modest reductions in mortgage rates would improve borrowing capacity, increase buyer confidence and reduce repayment pressure on existing homeowners.

While August is far from a certainty, the latest inflation result has strengthened the view that the next move in rates is more likely to be down than up. For borrowers, buyers and the development sector, that alone represents a significant shift from the conversation that dominated much of the past two years.

The inflation result the property market was waiting for

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A retail property on Bay Street, Brighton has sold under the hammer.
The property was the former premises of Wild Holly Cakes, a local institution that opened back in 1937.
The property at 389-391 Bay Street has two adjoining buildings over two titles with a combined 444 square metres of lettable area, on a 371 square metres site.
Mark Talbot and James Lockwood of Fitzroys sold the property on behalf of the oweners, the O’Callaghan family.
Lockwood said four bidders competed for the property, with the end sale price $400,000 above reserve.
“Despite being offered with vacant possession, more than 60 enquiries were received from local investors, owner occupiers and developers looking to secure a presence in this rapidly developing part of Bay Street, east of North Brighton train station,” Lockwood said.
Talbot said investors and owner occupiers have targeted Brighton retail offerings recently.
He noted recent sales,including 167 Martin Street for $1.55 million at a 2.2% yield; the $1.45 million off-market sale of 165 Martin Street at a 1.6% yield; and a dwelling freehold at 83 Church Street for $3.08 million at a yield of 1.9%.
“The superb fundamentals of an affluent and growing immediate catchment have made a notable impact on one of Melbourne’s most highly regarded locations,” Talbot said.
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j.ballantyne1990-6AQqhLzZaK

Brighton’s Wild Holly Cakes premises sold

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GUEST OBSERVATION
Imagine planning a public transport system for a large city by providing one bus at a time on one route that might serve a few dozen people (but nobody knows how many). That is what planning for housing affordability looks like in most Australian capital cities: innovative projects take years to develop and never get scaled up into a system.
Who can we learn from? In July, the lead author returned to three cities comparable to Melbourne that she visited in 2015 – Vancouver, Portland and Toronto – to re-interview key housing actors and review investment and policy changes over the past three years. All have big housing affordability problems, caused by a strong economy and 30 years of largely unregulated speculative housing. A lack of federal government involvement has exacerbated these problems.
But these four cities have recently developed very different approaches to housing systems planning, with increasingly divergent results. Toronto has gone backwards. Vancouver and Portland, though, are reaping the rewards of good metropolitan policy, from which we have drawn ten lessons for Melbourne.
Before we discuss these, let’s take stock of the affordable housing challenge in Melbourne.
Who needs affordable housing, and how much of it?
The Victorian state government has recently defined <a href="https://www.planning.vic.gov.au/policy-and-strategy/affordable-housing" target="_blank">affordable housing incomes and price points</a> for both Greater Melbourne and regional Victoria for households on very low (0-50% of median income), low (50-80%) and moderate (80-120%) incomes. It has enshrined “affordable housing” as an explicit aim in the Planning and Environment Act. <a href="https://engage.vic.gov.au/fairersaferhousing" target="_blank">Better protection for renters</a> has also been developed.
These are great steps, but we need to go further in the next term of government.
The Australian government estimated that <a href="https://www.pc.gov.au/research/ongoing/report-on-government-services/2018/housing-and-homelessness/rogs-2018-partg-sectorg-attachment.pdf" target="_blank">142,685 lower-income</a> renter households in Victoria were in housing stress in 2015-16. Over 30% and in many cases over 50% of their income was going to rent or mortgage payments.
Our research team at Transforming Housing has more recently calculated a deficit of <a href="https://theconversation.com/put-unused-and-lazy-land-to-work-to-ease-the-affordable-housing-crisis-102720" target="_blank">164,000</a> affordable housing dwellings. Over 90% of the deficit is in Greater Melbourne.
A simplified version of the price points necessary for households to avoid housing stress (one that leaves out household size and <a href="https://theconversation.com/affordable-housing-is-not-just-about-the-purchase-price-75859" target="_blank">additional costs and risks of poorly located housing</a> on the city fringe) looks like this:
<a href="https://images.theconversation.com/files/237830/original/file-20180925-85785-al4fz6.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=1000&amp;fit=clip"><img src="https://images.theconversation.com/files/237830/original/file-20180925-85785-al4fz6.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;fit=clip" alt=""></a>
<a class="source" href="/news" target="_blank">Palm, Raynor &amp; Whitzman (2018)</a>, Author provided
Affordable home ownership bears no resemblance to the current market in which the median unit price is well over <a href="https://www.propertyobserver.com.au/http://www.abc.net.au/news/2018-05-01/sydney-melbourne-housing-property-market-royal-commission/9713738" target="_blank">$700,000</a>. Median rents are affordable to many moderate-income households, at about $<a href="https://dhhs.vic.gov.au/publications/rental-report" target="_blank">420</a> a week. Whether such housing is available, with a vacancy rate of less than 1%, is another issue, <a href="https://www.sgsep.com.au/news/latest-news/rental-affordability-index-may-2018-results-available-now" target="_blank">particularly for very low-income households</a>.
The Victorian government has a <a href="https://www.planmelbourne.vic.gov.au/" target="_blank">metropolitan planning strategy</a> that states the need for 1.6 million new dwellings between 2017 and 2050. That’s almost 50,000 new homes a year. Using the new definitions, we can calculate ideal ten-year new housing supply targets to meet the needs of all residents of Greater Melbourne.
<a href="https://images.theconversation.com/files/237834/original/file-20180925-82029-1hcrqn1.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=1000&amp;fit=clip"><img src="https://images.theconversation.com/files/237834/original/file-20180925-82029-1hcrqn1.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;fit=clip" alt=""></a>
Author provided
The biggest problem is not overall supply. In the six months from February to July 2018, there were <a href="http://stat.data.abs.gov.au/Index.aspx?DataSetCode=BA_GCCSA" target="_blank">28,602</a> dwelling unit approvals in Greater Melbourne. At that rate there would be 572,040 new units by 2028, which is more than the total need projected by Plan Melbourne.
The problem is that the price points of these dwellings are beyond the means of 64% of households – 456,295 would need to be affordable, appropriately sized and located to meet most people’s needs. <a href="https://www.theage.com.au/national/victoria/pretty-vacant-20000-properties-empty-across-inner-melbourne-20171109-gzi55w" target="_blank">All too many</a> will be bought as investments and remain vacant.
Plan Melbourne doesn’t provide targets for affordability, size or location. This is left to six subregions, each with four to eight local governments, which have not produced these reports in the 18 months since the plan was released.
Affordable housing targets that exist in state documents are woefully inadequate. <a href="https://www.vic.gov.au/system/user_files/Documents/housing/FINAL%20PDF%20DTF046_Q_housing01.pdf" target="_blank">Homes for Victorians</a> has an overall target of 4,700 new or renovated social housing units over the five-year period 2017-22.
An <a href="https://www.vic.gov.au/affordablehousing/housing-supply-and-planning/inclusionary-housing" target="_blank">inclusionary zoning</a> pilot on government-owned land might yield “as many as” 100 social housing units in five years. <a href="https://dhhs.vic.gov.au/public-housing-renewal-program" target="_blank">Public housing renewal</a> on nine sites is expected to yield at least a 10% uplift, or 110 extra social housing units, in return for sale of government land to private developers. This is certainly not maximizing social benefit.
What can we learn from Vancouver and Portland?
Although <a href="https://vancouver.ca/files/cov/2018-housing-vancouver-annual-progress-report-and-data-book.pdf" target="_blank">Vancouver</a> has huge housing affordability issues, it has been able to scale up housing delivery for very low-income households – about 15 times as much social and affordable housing as Melbourne over the past three years. Both <a href="https://vancouver.ca/files/cov/rental-incentive-guidelines.pdf" target="_blank">Vancouver</a> and <a href="https://www.pdx.edu/sba/sites/www.pdx.edu.sba/files/01-Missing-Condos-Seidman.pdf" target="_blank">Portland</a> have ambitious private sector <a href="https://theconversation.com/build-to-rent-could-be-the-missing-piece-of-the-affordable-housing-puzzle-82320" target="_blank">build-to-rent</a> programs, with thousands of new affordable rental dwellings near transport lines.
Both cities have influenced senior governments. Canada is investing C$40 billion (A$42.6b) over the next ten years in its <a href="https://www.placetocallhome.ca/pdfs/Canada-National-Housing-Strategy.pdf" target="_blank">National Housing Strategy</a>.
In contrast, Toronto has had a net loss of hundreds of units of social housing. This is due to disastrous lack of leadership at local and state (provincial) levels.
Our new report highlights 10 lessons for the Victorian government:
<ol>
<li>
Establish a clear and shared definition of “affordable housing”. Enabling its provision should be stated as a goal of planning. This has been done.
</li>
<li>
Calculate housing need. We have up-to-date calculations, broken down by singles, couples and other households, as well as income groups, in this report
</li>
<li>
Set housing targets. Ideally, you would want a target of 456,295 new units affordable to households on very low, low and moderate incomes. Both <a href="http://www.infrastructurevictoria.com.au/30-year-strategy" target="_blank">Infrastructure Victoria</a> and the <a href="http://everybodyshome.com.au/" target="_blank">Everybody’s Home</a> campaign have suggested a more attainable ten-year target: 30,000 affordable homes for very low and low-income people over the next decade. This would allow systems and partnerships between state and local government, investors and non-profit and private housing developers to begin to scale up to meet need.
</li>
<li>
Set local targets. The state government, which is responsible for metropolitan planning, should be setting local government housing targets, based on infrastructure capacity, and then helping to meet these targets (and improve infrastructure in areas where homes increase). We have developed a simple tool we call <a href="https://www.arcgis.com/home/webmap/viewer?webmap=98830487b4d348de8bd81bba1669a0c2&amp;extent=144.8533,-37.8711,145.1062,-37.7585" target="_blank">HART: Housing Access Rating Tool</a>. It scores every land parcel in Greater Melbourne according to access to services: public transport, schools, bulk-billing health centres, etc.
</li>
<li>
Identify available sites. We have mapped over 250 government-owned sites, not including public housing estates, that could accommodate well over 30,000 well-located affordable homes, with a goal of at least 40% available to very low-income households. Aside from leasing government land for a peppercorn rent, which could cut construction costs by up to 30%, a number of other mechanisms could quickly release affordable housing. Launch Housing, the state government and Maribyrnong council recently developed <a href="https://theconversation.com/portable-units-and-temporary-leases-free-up-vacant-land-for-urgent-housing-needs-86753" target="_blank">57 units of modular housing</a> on vacant government land, linked to services for homeless people. The City of Vancouver and the British Columbia provincial government recently scaled up a similar pilot project to <a href="https://vancouver.ca/people-programs/temporary-modular-housing.aspx" target="_blank">600 dwellings built over six months</a>.
</li>
<li>
Create more market rental housing. <a href="https://vancouver.ca/people-programs/creating-new-market-rental-housing.aspx" target="_blank">Vancouver</a> has enabled over 7,000 well-located moderately affordable private rental apartments near transport lines in the past five years, using revenue-neutral mechanisms. <a href="https://www.pdx.edu/sba/sites/www.pdx.edu.sba/files/01-Missing-Condos-Seidman.pdf">Portland</a> developers have almost entirely moved from speculative condominium development to more affordable build-to-rent in recent years.
</li>
<li>
Mandate inclusionary zoning. This approach, presently being piloted, could be scaled up to cover all well-located new developments. <a href="https://www.propertyobserver.com.au/https://www.portlandoregon.gov/bps/71274" target="_blank">Portland</a> recently introduced mandatory provision of 20% of new housing developments affordable to low-income households or 10% to very low-income households. If applied in Melbourne, this measure alone could meet the 30,000 target (but not the current 164,000 deficit or 456,295 projected need).
</li>
<li>
Dampen speculation at the high end of the market. This would help deal with the oversupply of <a href="https://www.economy.com/dismal/analysis/datapoints/292072/A-Tax-on-Luxury-Homes/" target="_blank">luxury housing</a>. <a href="https://www.theglobeandmail.com/opinion/article-new-bc-tax-on-high-value-homes-goes-largely-unnoticed/" target="_blank">Taxes on luxury homes, vacant properties and foreign ownership</a> could help fund affordable housing.
</li>
<li>
Have one agency to drive these changes. The impact of an agency like the <a href="http://vaha.ca/" target="_blank">Vancouver Affordable Housing Agency</a> is perhaps the most important lesson. The Victorian government has over a dozen departments and agencies engaged in some aspect of affordable housing delivery. We suggest repurposing the <a href="https://vpa.vic.gov.au/" target="_blank">Victorian Planning Authority</a> with an explicit mandate to develop and deliver housing affordability, size diversity and locational targets set by the next state government.
</li>
<li>
A systems approach is essential to build capacity. It will take time, coordination and political will for local governments to meet targets, non-profit housing providers to scale up delivery and management of social housing, private developers and investors to take advantage of affordability opportunities, and state government to plan for affordable housing. Eradicating homelessness and delivering affordable housing for all Victorians is possible. But it needs a systems approach.<img src="https://counter.theconversation.com/content/102852/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important; text-shadow: none !important;">
</li>
</ol>
Carolyn Whitzman, Professor of Urban Planning, University of Melbourne
Katrina Raynor, Postdoctoral Research Fellow, Transforming Housing Project, University of Melbourne
Matthew Palm, Postdoctoral Research Fellow, Transforming Housing Research Network, University of Melbourne
This article is republished from <a href="http://theconversation.com">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/ten-lessons-from-cities-that-have-risen-to-the-affordable-housing-challenge-102852" target="_blank">original article</a>.
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Lessons from cities that have risen to the affordable housing challenge

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GUEST OBSERVATION
The Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry is set to deliver its interim report no later than September 30.
There have already been plenty of consequences for industry participants from the proceedings thus far. But the ugly facts that have been uncovered obscure the larger, and in many ways more important, picture. What will be the inquiry’s long-term economic impact?
Any royal commission has two faces. In one way it’s like a coronial inquest; the facts of the case need to be established – perhaps in gruesome detail. In another way it’s an exercise in public catharsis, shedding light on hard truths so society can collectively move forward.
If ever there was a case study in how these two aspects can conflict, it’s this royal commission. At this point we can only speculate about the precise contents of the interim report. Based on what we’ve learned from the proceedings, however, it will cover charging fees to dead people, breaches of anti-money-laundering obligations, and the relentless pushing of unsuitable financial products on unsuspecting consumers.
Let’s be clear: that is all very bad, and there’s no excuse for it.
Furthermore, I’ve been consistently critical about less sensational but probably more damaging behaviours, such as imprudent lending practices. The massive amount of interest-only loans, which require borrowers to only repay the interest, risk detonating the Australian financial system the way sub-prime loans what’s this? did in the US a decade ago.
If all the royal commission achieved was to stop the financial services sector doing these unacceptable and unwise things, it would serve a useful purpose.
The danger of scaring bankers too straight
But it’s likely to do much more than that. It will causes bankers to pull back from public view like frightened turtles.
Why risk making a loan that could possibly go bad, even if on balance it’s a good idea for both borrower and lender? Why risk offering a financial product to someone who may not fully understand the implications? In short, why take much risk at all?
Now it may be that banks have taken too much risk in certain instances, but overall their job is to take risk. A bank that never makes a bad loan is not lending enough. The supply of credit in the economy depends on financial institutions being willing to balance the upsides and downsides of risk.
The royal commission has every chance of causing a big overreaction, with banks and other financial institutions being far too cautious in its wake.
The people who will lose from this excess caution are not the wealthy and financially sophisticated. They will still be prized customers - perhaps even more so. The people who will lose are the “marginal” borrowers - the young, the less affluent, the less educated, those with insecure employment, those newly arrived in Australia.
These folks face being functionally excluded from the modern economy for half a generation or more - pressed up against the glass, looking in on the benefits that accrue to those banks deem worthy credit risks in the post-commission environment.
It’s also worth reflecting on what the commission might not do.
So far the boards and directors presiding over incentive schemes both facilitating and encouraging all kinds of bad, even illegal, behaviour have escaped relatively unscathed.
What about the regulators?
The royal commission is not set up to deal with such matters. The corporate and prudential regulators are. At least in principle. Yet the commission has barely touched on their failings.
This is the commission’s big omission. The Australian Securities and Investments Commission and the Australian Prudential Regulatory Authority have been, to put it politely, asleep at the switch. All this bad stuff happened on their watch. Worse still, it was entirely predictable. And one can only presume that neither side of politics took it seriously because neither, when in government, chose to put serious people in charge of these organisations, nor resource them properly.
The US Supreme Court justice Louis Brandies once famously observed that sunlight is the best disinfectant.
Quite so. But too much sunlight gives you skin cancer. The most enduring legacy of the banking royal commission might be the cancer of caution it will engender in the financial services industry.<img src="https://counter.theconversation.com/content/103943/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important; text-shadow: none !important;">
Richard Holden, Professor of Economics and PLuS Alliance Fellow, UNSW
This article is republished from <a href="http://theconversation.com" target="_blank">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/vital-signs-for-all-its-worth-the-banking-royal-commission-could-hurt-a-generation-of-battlers-103943" target="_blank">original article</a>.
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For all its worth, the banking royal commission could hurt a generation of battlers: Richard Holden

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GUEST OBSERVATION
ABC’s Four Corners coverage showing mistreatment of residents in Australia’s aged care facilities has led to much discussion about ideas to improve care. One proposal is to introduce ratings, which would provide a score reflecting the quality of residential aged care services.
Ratings have come up before in reports about aged care in Australia – in the 2004 “Hogan Review”, the Productivity Commission’s 2011 Caring for Older Australians inquiry and, most recently, in the 2017 Carnell-Paterson Review, which led to the government establishing a new Aged Care Quality and Safety Commission. These reports all refer to the ratings system used in England.
In Australia, aged care homes are expected to meet 44 accreditation standards, receiving either a pass or fail for each one. These standards will be replaced in 2019 with new aged care quality standards, but homes will still only be expected to pass or fail each standard.
In the past, virtually all providers passed accreditation. This means it has been impossible to tell the difference between providers that excel and those that just scrape through.
England has had two attempts at using ratings since 2004. The current system was introduced in 2014 by the Care Quality Commission (CQC) – the body responsible for inspecting care in nursing homes. During CQC inspections, each home is given a rating against five questions: is it safe, is it effective, is it responsive, it is caring and is it well led?
The four ratings are: outstanding, good, requires improvement, or inadequate. At the end of the inspection, the home is given an overall rating. Homes are legally required to display their ratings, both at the home’s location and on its website.
Recent research shows these ratings are a good indicator of how residents feel about their quality of life in the home. Unsurprisingly, homes with lower rates of staff turnover and fewer staff vacancies also tend to perform better.
So, what are the lessons for Australia?
1. Ratings rarely affect consumer choice; they improve provider quality
Consumers don’t usually use ratings to find care. Choosing an aged care home is not like choosing a hotel or restaurant.
People looking for care are often in the middle of a crisis, such as the death of a partner or an unexpected stay in hospital. The older person is too unwell to make the decision themselves. All too often, families simply choose the closest home or settle for any home that has a place.
Ratings work mostly because they change the behaviour of care providers. When a previous system of ratings in England was abandoned in 2008, providers that had been sceptical of the ratings beforehand argued for their re-introduction.
People I interviewed for my research said this was because homes with the best ratings could negotiate better rates for care, and care home companies could use the ratings to set goals and targets for their staff.
2. Quality is subjective, but only for the little things
Discussions about quality in aged care often come back to the issue that everyone has personal preferences and it is difficult to agree on one definition of quality. The sort of example that comes up is whether a resident would be more interested if a home had Foxtel or Sky or if wine was served with meals.
These are not the sorts of questions that need ratings. Older people, or more frequently their families, can answer these questions themselves by visiting homes, trying the food, seeing the quality of accommodation and asking questions about, for instance, en-suite bathrooms and menu options.
What people need help with is understanding what they cannot easily judge for themselves. Such as:
<ul>
<li>does the home have enough staff and the right mix of skills?</li>
<li>does the home support its staff to form meaningful and supportive relationships, not only with the residents but also with families and with each other?</li>
<li>does the home use good practice in supporting people living with dementia, or in caring for people at the end of their lives?</li>
</ul>
This is where the right sorts of ratings can help shed light on the parts of care that are difficult to assess. Most importantly, it gives providers a good steer on where to focus their efforts.
3. Be prepared to publicise poor care
An important feature of the system in England is that the CQC regularly draws attention to poor care. It does this not just through the ratings but also through other reports it produces about care in England, such as the annual State of Care report. The CQC also provides reports on specific issues – for instance, the difficulties older people with dementia face when they move between care homes and hospitals.
In the first three years of the current ratings scheme, while most homes were rated “good”, 21% of providers received “inadequate” or “requires improvement” ratings, something highlighted in the State of Care report. While about a fifth of the homes rated “inadequate” stayed the same at re-inspection, the CQC found 82% had improved their overall rating. Of the homes rated “requires improvement”, 58% improved at the next inspection.
Such transparency is currently impossible in Australia as the Aged Care Act 1997 restricts what can be made public about poor care in the first place.
4. Ratings are part of a package
While not perfect, the ratings system in England has helped to communicate what good care looks like and given providers something to aim for. This is demonstrated by the popularity of practice guidance on how to get an “outstanding” rating.
But Australian policymakers need to assess other differences with England’s system. The CQC has considerable enforcement and legislative powers when compared to the Aged Care Quality Agency in Australia. The CQC can shut down providers and even bring criminal charges. Australia’s Quality Agency has to refer providers to the Health Department for action.
The UK also has a raft of rights-based legislation to protect vulnerable residents, such as the Mental Capacity Act 2005 and the Deprivation of Liberty Safeguards. In Australia, reports into human rights and elder abuse have highlighted the gaps in the legislation to protect the rights of older people.
There are also more organisations involved in care in England and the CQC’s activity is supplemented with safeguarding and quality monitoring by local councils, which organise care.
Ratings may be useful for improving quality in Australia, but should be seen as only one part of a very large and complex puzzle.<img src="https://counter.theconversation.com/content/103688/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important; text-shadow: none !important;">
Lisa Trigg, Research Associate, London School of Economics and Political Science
This article is republished from <a href="http://theconversation.com" target="_blank">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/four-lessons-for-australia-from-englands-system-of-rating-its-aged-care-homes-103688" target="_blank">original article</a>.
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Four lessons for Australia from England’s system of rating its aged care homes

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The wider Melbourne retail leasing market continues to see varied results, according to the latest Herron Todd White (HTW) commercial report.
The valuation firm took a look at the changing face of the retail sector across the nation. 
It suggests Melbourne CBD and inner suburban retail strips have continued to evolve throughout 2018, underpinned by population growth, changes in consumer behaviour and varied consumer confidence.
While some segments of the market continue to experience strong results, likely a reflection of the limited quality stock available, other areas have seen declining rents and tenant demand.
There are a number of factors driving the current trends and changes within the CBD’s retail leasing market.
HTW noted Melbourne City Council has forecast that the population of the CBD will grow by over 50% in the next 10 years, driven predominantly by overseas migration.
"The implementation of vertical suburbs, incorporating ground floor and podium retail uses and upper level residential apartments, is becoming more popular as developers seek to maximise site utilisation and amenity for residents," the report said.
National and international retails are taking advantage of population growth and the centralisation of retailers through the establishment of flagship stores in prime locations, it noted.
Luxury retailers such as Longines, Fendi and Brooks Brothers opened new flagship stores within the CBD in 2018 and Apple’s plans for a global flagship store within Federation Square continue to take shape.
"These retailers appear to be opting for a more centralised model of retailing appealing to consumers demanding a more convenient and interactive shopping experience," HTW advised.
"For larger national and international retailers, this new approach does appear to be working."
It noted demand for retail space within regional and super regional shopping centres has strengthened throughout 2018.
Conversely, smaller retailers unable to sustain the higher rental rates demanded by these centres have struggled with these effects, compounded by the vacating anchor tenants along older retail strips unable to provide the convenient experience modern consumers demand.
"Retail strips such as Chapel Street, South Yarra and Bridge Road, Richmond are continuing to experience a shift away from traditional retailing such as clothing towards service and food based uses," HTW noted. 
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2018/10/3/SMAK.jpg" alt="">
Indicative of this shift towards food based services is 6c Daly Street, South Yarra.
The SMÄK Food House (pictured above) only opened in 2016 and joined several other cafe's on Daly Street including Little Frankie's and Fancy Nance.
This is due to numerous factors including retailers now preferring to be located within the Melbourne CBD and major shopping centres such as Chadstone together with increased online shopping for fashion items which reduces the need for a physical store presence.
With the ongoing increase in population due to numerous apartment projects there will likely still be demand for retail space within these precincts for various types of uses, particularly food and service based, on a longer term basis.
"We have been advised by local leasing agents that tenant demand within these precincts has declined in recent years for various reasons. For example, in previous years Bridge Road incorporated a large number of discount clothing and footwear outlets, however many tenants have now relocated to enclosed discount outlet centres such as Direct Factory Outlets (DFO) in South Wharf and Essendon, " the HTW report said. 
Landlords have continued to seek increasing rentals and these have generally become unaffordable for tenants. Retail rents have declined substantially over the last few years and in some instances by over 40%.
Local leasing agents have advised that quantum of money and affordability are major considerations for tenants within these strips, particularly local retail operators.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2018/10/2/south%20yarra.jpg" alt="">
A South Yarra corner property with dual street frontage is now on the rental market with the price of $60,000 per annum. 
Located at<a href="https://www.realcommercial.com.au/property-retail-vic-south+yarra-502961782" target="_blank"> 448 Chapel Street</a> (pictured above) it features 163 square metre floor area and rear access from Elllis Street.
<img src="https://www.urban.com.au/images/2018/10/3/Chapel%20hunt.JPG" alt="">
Another example on the Chapel Street strip is 352 Chapel Street, South Yarra.
Set on 320 sqm it is a fully fitted cafe/restaurant ready for a new tenant.
The two floor rental listing is held by James Spencer of Fitzroys and was previously tenanted by the restaurant Chinacy.
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Melbourne retail leasing market sees varied results: HTW

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A planning application has been lodged for a proposed $85 million student accommodation tower in the Adelaide CBD, set to become the tallest purpose-built student-only accommodation building in the world.
The application for the 124.2 metre tall tower has been lodged by developer Hines Property on a site it owns at 29 Twin Street between Grenfell Street and Rundle Mall adjacent the Ibis Adelaide Hotel (also developed and owned by Hines Property).
The world’s tallest student accommodation building is currently the Student One Wharf Street tower in Brisbane at 122 metres tall.
Hines Property has planned the 38-storey solely student-use development with architecture firm Woods Bagot.
The building will include a range of accommodation options from single studio rooms through to five and six-bedroom apartments, incorporating a total of 510 beds.
In addition to the ground floor lobby and cafe, the tower will include a communal mezzanine lounge, cinema and events space, study and dining area, garden retreat and rooftop lawn, gym, wellness and yoga space. 
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2018/9/27/Twin%20hero%202.jpg" alt="">
Construction of the 29 Twin Street project is anticipated to commence next year and take 18 months to complete.
James Hines, Managing Director of Hines Property said:
"There are already over 10,000 international and interstate students enrolled at the city-based universities and they provide a significant economic benefit to the state.
"This development will undoubtedly be the drawcard accommodation option for students considering Adelaide as a destination to undertake their studies."
Established in 2003, Hines Property is a privately-owned property development and investment group focusing on high-rise residential, office, hotel and mixed-use development projects.
Hines Property is also the largest owner of hotel accommodation in Adelaide, with more than 600 hotel rooms in its portfolio, including the Pullman Adelaide Hotel and the Ibis Adelaide Hotel.
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World's tallest student-only accommodation tower proposed in Adelaide

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Landlords in New South Wales will be limited to seeking rent renewal increases once a year under proposed state government legislation.
There will be no rental hike price restriction, just a 12 month period before any rent increase can be sought from existing occupants, as part of what Matt Kean, the Better Regulation Minister, heralded as "sweeping reform for tenants' rights".
Less frequent rent increases will certainly help tenants plan for their cost of living pressures.
But there will be some ramifications.
The restrictive new law, which is yet to be passed by parliament, could see some investors sell up and exit the market.
Others maybe be tempted to try the short-term accommodation market.
At a microeconomic level, some landlords will now insist on six month rental agreements, with the possibility of tenant turnover potentially allowing a higher rent.
Ofcourse, it is one thing for the investor landlord to seek rent increases, the other is the economic circumstances to be able to get it, and without losing weeks in an empty property.
On the macroeconomic front, prospective investors who will be calculating revised potential yields, are not going to spend as much to initially buy their investment property.
The cap on the timing of rental increases mimics the policy implemented by the Labor Government in Victoria, whose aim in a much broader reform package was to reposition investors as housing providers with responsibilities.
The historic primary aim of property investors has been wealth creation through finding and holding a property for the long term, without undue interference from government intervention.
With capital growth on investment property currently slowing across Sydney, the Berejiklian government proposal comes at a time when investors are sharply focused on their rental return.
And landlords don't need to be reminded they aren't that flash.
From rentvestors to experienced property investors, it was easy to overlook the significance of rental yields when Sydney property were rising with annualised 15% growth.
Rental markets remain relatively subdued across Sydney, partly due to an increase in rental supply accompanying the surge in apartment construction.
It is also because there has been a reduction in demand as first home buyer numbers have risen.
CoreLogic recently noted Sydney rents were down 0.9% over the past 12 months.
CoreLogic expect rental yields will continue to be sluggish.
The Sydney gross rental yield is tracking at 3.2%. 
It is 3.8% for apartments, and just 3% for houses. 
The national gross rental yield is tracking at 3.73%, lower than the decade average of 4.27%. Nationally it is 4.2% for apartments, and 3.6% for houses.
Slowing price growth, the conversion from interest only loans to principal and interest, and the prospect of interest rate rises could see tolerance from investors wear thin.
And the Sydney rental market vacancy rate is rising, according to the Real Estate Institute of New South Wales.
The vacancy rates across the Sydney metropolitan sits at 2.8%, up from 2% this time last year, with inner Sydney at 2.7%, middle Sydney at 2.9% and outer Sydney at 2.7%. 
Tim Lawless at CoreLogic says the recovery in rental yields is likely to be drawn out.
This article first appeared in The Daily Telegraph. 
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With capital growth evaporating across Australia, now is the time to focus on rental return

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EXPERT OBSERVATION 
Job vacancies surged to record highs in both New South Wales (82,400) and Victoria (72,000) last month as those states get set to enjoy an extraordinary hiring boom.
There were broad-based gains across a raft of industries, including professional and technical services, financial and insurance services, healthcare and social assistance, mining, construction, accommodation and food, transport, postal and warehousing, arts and recreational, administrative and support roles, education, and more. 
The ongoing resurgence in the mining sector helped to lift job vacancies in Western Australia (27,600) to the highest level in half a decade, while Queensland (35,100) and South Australia (11,900) have improved significantly over the past couple of years. 
<a href="https://1.bp.blogspot.com/-6geqbjFj3UA/W6yM3FQR4AI/AAAAAAAAsGE/54OOUZjxE14_ja7T2vU30Z1_XN4AB1z4wCLcBGAs/s1600/A2.jpg"><img src="https://1.bp.blogspot.com/-6geqbjFj3UA/W6yM3FQR4AI/AAAAAAAAsGE/54OOUZjxE14_ja7T2vU30Z1_XN4AB1z4wCLcBGAs/s640/A2.jpg" width="640" height="372" data-original-height="804" data-original-width="1376"></a>
The Tasmanian economy is also firing, with the Northern Territory potentially the one serious laggard. 
The trend in private sector vacancies scorched more than 20% higher over the year, while the trend annual increase in all sectors was 19.3%, taking the total number of vacancies to the highest ever level at 240,900. Goodness!
<a href="https://4.bp.blogspot.com/-gdCGqYzu_-I/W6yM3BmmiBI/AAAAAAAAsGI/dMb4fYx8X9srOOEhSXW_JYIocugEDvWIACEwYBhgL/s1600/A1.jpg"><img src="https://4.bp.blogspot.com/-gdCGqYzu_-I/W6yM3BmmiBI/AAAAAAAAsGI/dMb4fYx8X9srOOEhSXW_JYIocugEDvWIACEwYBhgL/s640/A1.jpg" width="640" height="376" data-original-height="801" data-original-width="1357"></a>
More hiring ahead
There will be some half-hearted attempts to talk down the result by the Opposition, but the facts don't lie: at under 3% the number of unemployed persons per job vacancy now has a two-handle for the first time since the mining boom...which is surely great to see.
<a href="https://1.bp.blogspot.com/-56f7SXAgf4Q/W6yP0fiWpbI/AAAAAAAAsGY/8jK0R-zOCSkuox3KTC6QpuiIIm_IkvujACLcBGAs/s1600/A4.jpg"><img src="https://1.bp.blogspot.com/-56f7SXAgf4Q/W6yP0fiWpbI/AAAAAAAAsGY/8jK0R-zOCSkuox3KTC6QpuiIIm_IkvujACLcBGAs/s640/A4.jpg" width="640" height="384" data-original-height="805" data-original-width="1341"></a>
Of course, the labour force has expanded significantly too as discouraged workers come back into the fold alongside record high female participation (the rise in dual income households being an under-appreciated boon for housing markets).
But even accounting for this the figures point to an ongoing decline in the unemployment rate towards 5%, and lower still for New South Wales and Victoria.
<a href="https://1.bp.blogspot.com/-RrYk-jXZNc0/W6yM3I7DnPI/AAAAAAAAsGA/aKvYfIpUEkIpVVyiFjZtw7Wub3DVim-DgCLcBGAs/s1600/A3.jpg"><img src="https://1.bp.blogspot.com/-RrYk-jXZNc0/W6yM3I7DnPI/AAAAAAAAsGA/aKvYfIpUEkIpVVyiFjZtw7Wub3DVim-DgCLcBGAs/s640/A3.jpg" width="640" height="370" data-original-height="801" data-original-width="1384"></a>
Hirin' now!
Overall, this release was very positive news, with the economy continuing to improve in the two most populated states, and the resources states generally now on the up too.
All this means that Australia has never had as many jobs to be filled as it does right now.
Good stuff.
<hr>
The Hometrack UK 20 Cities House Price Index increased by a further 3.9% over the year to August 2018. 
It's been a wild week of bickering for Australian housing market commentary thanks to yet another (now-traditional) 60 Minutes beat-up. But in the background the fundamentals of the economy quietly continue to improve: exports, tourism, government revenues and the Budget balance, hiring, engineering construction, and so on (resulting in a risk rating upgrade to AAA neutral). 
One of the neat things about our mortgage broker liaison is that since brokers take 'snapshots' in time, we can take a mortgage application from today and re-run it against the lending standards of yesteryear.
While the results do vary quite a bit, typically a home buyer applicant might see their borrowing capacity cut by about 10% from where things were a year ago due to tightened lending standards, while for some portfolio investors the equivalent figure can be much greater. In fact, many portfolio investors simply won't be able to borrow at all in the present environment. 
On its own this probably won't have as big an impact on the housing market as some people think (cf. the United Kingdom, where tighter mortgage lending criteria have failed to stop house prices from rising to fresh highs in nominal terms).
Firstly, that's because home buyers don't always borrow the maximum amount permissible.
And secondly, it's because most investors don't own more than one or two properties - thus portfolio investors are only one small part of the pie, albeit an important one at the margin. In fact, the average loan size is still being written at or around record highs, but in lower volumes now.
ANZ updated its somewhat more sober house price forecasts today, expecting prices to decline by just 2% in 2019 - a mere 20-fold improvement on the lame 60 Minutes offering - with a market peak-to-trough fall for Sydney and Melbourne expected of no more than 10%. 
ANZ also noted that it was more upbeat for the housing market prospects of Brisbane, Adelaide, and Canberra, as well as many of Australia's regional housing markets. 
Looking forward, the sheer strength of the hiring figures makes it hard to disagree with that assessment. 
PETE WARGENT is the co-founder of AllenWargent property buyers (London, Sydney) and a best-selling author and <a href="https://petewargent.blogspot.com/" target="_blank">blogger</a>.
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Expect an ongoing decline in the unemployment rate: Pete Wargent

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EXPERT OBSERVER
Yet again, this month’s RBA Board meeting provided no surprises – with the RBA on hold for the 24rd meeting in a row. 
It’s getting hard to come up with anything new to say on this! But that’s as it should be as raising rates just to get rates back to more “normal levels”, or so as to be able to cut them later if needed, would make no sense and would be bad for the economy. A premature hike would be akin to shooting yourself in the foot to be able to practice going to the hospital. (Sorry I know I have used that one before but couldn’t resist using it again!)
And don’t forget that official interest rates in Japan have been around zero for nearly 10 years, they have been around zero for around four years in Europe and they were stuck near zero for seven years from the GFC in the US. So just over two years at 1.5% in Australia is a non-event in terms of global comparisons.
On the one hand, the RBA can point to the continuing global expansion, above trend Australian GDP growth over the last year, an increase in the terms of trade and an improving labour market. But against this uncertainty remains high regarding consumer spending, underemployment remains very high, the drought will have a negative impact, house prices are continuing to fall in Sydney and Melbourne, “credit conditions are tighter than they have been for some time” and wages growth and inflation remain very weak. 
Given all these cross currents it remains appropriate for the RBA to leave rates on hold. And there remains nothing in the RBA’s latest post meeting Statement suggesting an imminent change in monetary policy.
Our view remains that the RBA will keep rates on hold out to 2020 at least and the next move in rates could still turn out to be a rate cut given the risks around house prices and consumer spending, albeit this would not occur for at least another six months.
<a href="https://www.propertyobserver.com.au/https://plus.google.com/110172465327488162875?rel=author">SHANE OLIVER</a> is head of investment strategy and economics and chief economist at <a href="https://www.ampcapital.com.au/home">AMP Capital</a> and is responsible for AMP Capital's diversified investment funds.
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soliver-smf6LQXgW9

Nothing to suggest imminent change in rates: Shane Oliver

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EXPERT OBSERVER
The Reserve Bank Board decided to leave the cash rate at 1.50%.
The cash rate has now been on hold since August 2016.
Of course, we were not expecting any change today, but are always interested in the Governor’s Statement.
There were two issues that we thought might change in this Statement, particularly if the Governor had decided to be more upbeat in his commentary.
The first one was whether he would continue to describe the outlook for household consumption as “a continuing source of uncertainty”. This description was used in the September Statement but was dropped from the Minutes of that meeting. However, the comment has been repeated in today’s Statement. Secondly, we remain perplexed as to why the Bank can be optimistic about a lift in wages growth when it is only forecasting that the unemployment rate will fall from the current 5.3% to 5.0% by mid-2020. It was possible that, particularly following the upbeat employment report for August, the Governor may choose to indicate a lower target for the unemployment rate than the 5.0% that has been used in recent Statements. This was not the case and the 5.0% forecast has been retained. Of course, it remains a possibility that this forecast will be lowered in November with the release of the next Statement on Monetary Policy.
In terms of the actual changes in the Statement, we find two areas of interest.
Firstly, the inflation forecast for 2018 has been qualified. In September, a specific 1 ¾ per cent was nominated, whereas in today’s Statement, it is described as “one-off declines in some administered prices in the September quarter are expected to result in inflation in 2018 being a little lower than otherwise”. That probably refers to the recent lift in petrol prices which will affect the December quarter, adding upside risk to the forecast for headline inflation. No doubt, higher oil prices have been considered given the commentary around global inflation.
The second area where we have seen change has been around interest rates and credit. In September, following the out-of-cycle rate rise by one major bank, the Statement noted that the average mortgage rate paid is lower than a year ago. That strong comment is no longer used and it is merely pointed out that while lenders have increased their standard variable mortgage rates by small amounts, they have been reducing mortgage rates for some new loans.
Commentary around credit growth has changed. Whereas in September, housing credit growth was noted as declining, in this Statement, the Governor prefers to point out that “growth in credit extended to owner-occupiers remains robust”. Whilst at an annual rate of 7.4%, this is certainly true, the profile is slowing when we consider that the value of new lending to owner-occupiers (ex re-financing) is now down 5% for the year. Certainly, the new lending statistics support the second point “demand by investors has slowed noticeably”, with our estimate of the value of new lending to investors being a 27% fall (ex re-financing) for the year.
Secondly, in September, the Governor referred to “lending standards are also tighter than they were a few years ago”. This has been replaced with “credit conditions are tighter than they have been for some time”. Arguably, that is a stronger assessment of current credit conditions.
Conclusion
The final paragraph in the Governor’s Statement is identical to the Statement in September, emphasising that progress in reducing unemployment and returning inflation to the target is likely to be gradual.
While markets appear to be pricing in around a 40% probability of a rate hike by end 2019, we remain comfortable with our forecast that rates will remain on hold through 2019 and 2020.
BILL EVANS is chief economist of <a href="https://www.westpac.com.au/" target="_blank">Westpac</a>. 
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