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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Australia posted a 16k increase in employment in January 2018 which records the longest streak of job gains with a 16th consecutive positive print. The month’s increase was very close to the market and Westpac’s expectation for a 15k rise.
However, the composition of employment changes was quite stark with full-time employment down 49.8k and part-time employment up 65.9k. That comes after a strong 2017 for full-time employment growth and the annual growth rate is still an elevated 3.6%.
In the month, hours worked fell 1.4%. The annual rate of change moderated to +0.5% from +3.2% but the series is volatile and this month’s movements were largely due to base effects. If hours worked holds steady in February, the annual pace will lift to +2.1%.
<img src="https://westpaciq.westpac.com.au/wibiqauthoring/_uploads/image/bulletin/SimonImages/Labour1.jpg" alt="">
 
By state, Queensland posted the highest jobs growth, up 19.7k, maintaining solid momentum but January's lift was driven by gains in part-time employment. On the other hand, a soft month was recorded in NSW (-21.1k) and WA (-8.9k), both coming after some solid gains in December.
<img src="https://westpaciq.westpac.com.au/wibiqauthoring/_uploads/image/bulletin/SimonImages/Labour3.jpg" alt="">
 
Annually, jobs growth strength has been fairly broad-based across the states, with the mining states recovering and the south-east expanding. Yet, we will watch the pace of jobs growth in Victoria closely with total employment flattening out over recent months after a very strong run up.
<img src="https://westpaciq.westpac.com.au/wibiqauthoring/_uploads/image/bulletin/SimonImages/StatesTotal.jpg" alt="">
 
Annual employment growth held steady at a brisk pace of 3.3%. Our Westpac Jobs index is still at a high level but the change in the index has moderated in recent months. Our outlook for employment growth in 2018 is positive with a forecast 2.2% annual rate an above trend pace albeit slower than 2017’s very strong performance. 
<img src="https://westpaciq.westpac.com.au/wibiqauthoring/_uploads/image/bulletin/SimonImages/Index.jpg" alt="">
Overall, while January’s update continues the run of positive employment numbers, key questions remain for the labour market.
Firstly, there is uncertainty on how the unemployment rate will change given our solid jobs growth forecast.
<img src="https://westpaciq.westpac.com.au/wibiqauthoring/_uploads/image/bulletin/SimonImages/LabourImage1.jpg" alt="">
In January, the unemployment rate fell slightly to 5.5% from 5.6% in December (revised up from 5.5%). This came with a decline in the participation rate to 65.6% from 65.7%.  Looking back over the past year, while the unemployment rate did fall from a peak of 5.9% in February 2017 to the current 5.5%, the drop was more muted than the gain in employment due to a rising participation rate. To examine how far the unemployment rate could continue to fall, we need to assess how far the participation rate could rise.
The first thing to note is that the uplift in the participation rate has been driven mainly by females joining, re-joining, or remaining for longer in the labour force. However it should be noted that this spike occurred alongside a rising male participation rate which had otherwise been in a downtrend. That compares to 2015’s spike in female participation, where the male participation rate held its level rather than increasing. This suggests that the most recent lift in participation rate has a cyclical aspect to it with stronger employment generally attracting more people to the labour force. In addition, subdued wages growth, high household debt and high house prices may be necessitating dual-income households. However, given the outsized gain in female’s participation there is also likely a structural gender dynamic occurring as well.
<img src="https://westpaciq.westpac.com.au/wibiqauthoring/_uploads/image/bulletin/SimonImages/GenderST.jpg" alt="">
Converging male and female participation rates have been a long-term trend due to the large social change in women joining the workforce. Yet, the rate of convergence had been flattening out as the generational shift filtered its way through the labour market over time. Between the periods of 2009 and 2014, the female participation rate had remained relatively unchanged at around 58-59%. Perhaps this means that in aggregate, the recent increase in female participation is due to structural reasons outside of the generational shift in behaviour. A look at the type of jobs created over the past year suggests a changing composition of employment may have been a significant factor.
<img src="https://westpaciq.westpac.com.au/wibiqauthoring/_uploads/image/bulletin/SimonImages/GenderLong.jpg" alt="">
 
The graphs below show the annual jobs increase in the year to November 2017 (lhs) across different economic sectors broken down by gender. It is ordered by the female share of employment in the individual sector (rhs) with the top graph showing the sectors with the highest proportion of female employees, and the bottom graph the lowest. 
<img src="https://westpaciq.westpac.com.au/wibiqauthoring/_uploads/image/bulletin/SimonImages/Sector1.jpg" alt="">
 
<img src="https://westpaciq.westpac.com.au/wibiqauthoring/_uploads/image/bulletin/SimonImages/Sector2.jpg" alt="">
 
The striking aspect about the top chart is that the four sectors with the largest proportion of female jobs (health care, education, accommodation &amp; food and retail trade) accounted for 242k of the total 387k jobs created over the year to November 2017 and 202k of those new employees in the sectors were female. That contrasts with the bottom chart where the only standout sector is the construction industry which has a very large male proportion and men accounted for 109k of the net 101k increase. This suggests that the rise in female participation is a reaction to strong employment growth in sectors that typically have a higher proportion of female employment. These service sectors have been key to the transitioning economy and therefore strength is likely to continue. On the other hand, the construction sector accounted for 109k of the total 178k annual increase in male jobs. While the level of homebuilding remains at a high level, supply-demand factors look more balanced and slowing house price growth should restrain housing investment. The uncertainty here is whether similar jobs with transferrable skills will be created in other sectors. Given the large transitional shift in the types of jobs created, we will likely see tightness in the labour market in some pockets before others. That leads onto the second question surrounding the unemployment rate in regards to where the NAIRU sits – the rate that we start to see wage pressures come through.
 
<img src="https://westpaciq.westpac.com.au/wibiqauthoring/_uploads/image/bulletin/SimonImages/Labour4.jpg" alt="">
The RBA’s estimate of the NAIRU is around 5%. Yet, even though the unemployment rate has been approaching 5% over the past year, we are yet to see a reaction in wages. In a speech on Tuesday at the ABE Forecasting Conference, Assistant Governor Economic Ellis mentioned that “we are mindful that, as we approach that figure, there's a risk we find there is more room to come down before wage growth picks up in earnest”.
A possible reason for a lower NAIRU is that there is more slack in the labour market than that indicated by the unemployment rate alone. Indeed, the underemployment rate has held a high level with the last seasonally adjusted estimate at 8.3% in November. <img src="https://westpaciq.westpac.com.au/wibiqauthoring/_uploads/image/bulletin/SimonImages/VolumeUnder.jpg" alt="">
 
It is difficult to draw a conclusion on what a high underemployment rate means for overall slack in the labour market. The ABS provides quarterly non-seasonally adjusted data on volume measures of unemployment and underemployment based on the hours of available labour. The data is consistent with the previous headcount measures in terms of directional movement. In terms of quantity, as at November, it shows underemployment at 3.1% and therefore a sizable proportion of the combined 7.2% of underutilised hours. But the readiness of the underemployed pool of labour to be drawn upon is uncertain given that it may require changing jobs rather than going from not employed to employed.
As such, finding the level of NAIRU may only be possible in hindsight - after we start to see wage pressures emerge. With that in mind, next Wednesday’s Wage Price Index data is all the more critical.
 
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jrobinson-rf4aSBido9

January employment increase makes new Australia record

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EXPERT OBSERVATION
The continued appreciation of the yuan could put pressure on the Chinese Government to ease the capital outflow restrictions which have impacted investment in Australian commercial property.
The issue for China is that the yuan is up massively over the last 12 months and that has been driven by the new capital control regulations which have been very effective in turning around the outflow of capital.
However that appreciation could see Chinese goods becoming less competitive and that is not what the Chinese will want to see.
If that is the case then it seems clear that some tinkering with those new capital outflow regulations, and among them those pertaining to real estate transactions, will occur and that will help to both stabilise the yuan at a level that is acceptable to China, and of course benefit Australian commercial property.
According to a report from London based Pictet Wealth Management, China’s total capital outflow was estimated at US$166 billion in 2017, down 78% from US$761 billion in 2015 and 67% from US$500 billion in 2016 as a result of the new regulations.
China’s initial tightening of capital outflow rules in 2016 followed a fall of nearly 7% in the value of the yuan against the USD which had been the largest depreciation since 1994.
The foreign exchange turnaround, he said, had seen the yuan appreciate 10.4% against the USD over the 12 months to December.  
But more importantly if we look at the movement over the last two months from December when  1 USD bought 6.62 yuan and then last week when 1 USD bought 6.29 yuan we see an appreciation of 5.2% in just six weeks.
That is a huge appreciation of the yuan on top of the significant rise over the last 12 months, and, if it continues, then it must be troubling for at least some sectors of the Chinese manufacturing industry which of course is a hugely significant contributor to capital inflow.
The sheer weight of Chinese capital seeking offshore property investment remains very significant with Australia still the number two destination in the world behind the US for Chinese investors.
We need to keep in mind that while investment outflows from China have been curbed, Chinese investors are adjusting to the new rules and fine tuning their investment strategies.
To date in the new year we have seen little change in interest from Chinese investors, if anything, what may have restricted sales volumes, has been as much about the lack of quality stock in increasingly tightly held markets.
That has been particularly the case in the retail sector, while falling vacancy and incentive levels have been very encouraging for office market landlords.
A further factor driving continued Chinese investor interest in Australian property were regulations aimed at curbing Chinese domestic real estate activity in restricting developers’ ability to raise finance for their projects.
On the one hand we have the regulations restricting developers from seeking off-shore opportunities and on the other hand also being restricted in their activities at home.
It is a difficult time for property developers on the domestic front, who, under the centralised banking system, already face limited options for funding new projects.
It is not inconceivable then that the further restrictions on their ability to raise finance through debt and equity, may have them looking offshore where finance for their projects may prove easier to come by.
Mark Wizel is a Melbourne-based CBRE national director.
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mwizel-Mt6xbQordU

The factors driving continued Chinese investor interest in Australian property: Mark Wizel

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The Australian Prudential Regulatory Authority has released a proposal that will require banks to differentiate risk weightings for residential mortgages.
It could potentially increase the cost of writing higher-risk loans.
The proposal seeks changes to the risk weightings banks should apply to owner-occupier, investor, interest-only and non-standard loans.
The paper noted APRA's view that there are "potential systemic vulnerabilities" to the financial system created from high levels of residential mortgages lending for investment purposes.
The Australian Broker news website reported ANZ and Westpac Group had introduced confidential changes to their assessment and approval of borrowers.
ANZ was adjusting the discretion available for its frontline mortgage assessors.
A spokesman for ANZ said the bank recently added "a higher level of approval for some discretions" used in its home loan policy for assessing serviceability.
Mortgage brokers claim banks seem to be showing less flexibility in interpreting guidelines on such matters as irregular income when assessing loan applications, BrokerNews advised after a report in the AFR.
The report also said that Westpac recently introduced strict tests of residential property borrowers' current and future capacities to repay their loans.
The change is said to be intended to identify scenarios that might affect borrowers' capacity to pay back their loans. These include having dependents with special needs that might require borrowers to spend on long-term care and treatment.
When asked for comment, a Westpac spokesperson told Australian Broker that the AFR report was based on a note the bank sent to brokers on Monday (12 February).
Earlier this month, Westpac amended its borrowing terms, including allowing the use of desktop valuations only for a maximum LVR of 90%.
A Westpac spokesperson told Australian Broker that the bank has also updated its household expenditure measure in line with the benchmark published by the Melbourne Institute for Social and Economic Research.
This followed Westpac's announcement in December that it would require home loan borrowers to disclose what they owe on short-term buy-now, pay-later loans on digital credit platforms like AfterPay and ZipPay. 
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j.ballantyne1990-6AQqhLzZaK

High risk home loans targeted by APRA

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An Elizabeth Vale three bedroom house has been sold by mortgagees for $200,000.
There had been a price guide of $205,000.
<a href="https://www.realestate.com.au/sold/property-house-sa-elizabeth+vale-127253130" target="_blank">The South Australian</a> home, with freestanding sleepout, was sold by agent Ken Loft from Harcourts.
It had last sold at $175,500 in 2015.
The 28 John Rice Avenue house came with three bedrooms, a carport and separate W.C. and laundry. 
According to CoreLogic, the suburb's median house price is $240,000. It is 27 kilometres north of the Adelaide CBD.
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Elizabeth Vale, SA home sold by mortgagee

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GUEST OBSERVER
Urban experts gathered at the ninth World Urban Forum in Kuala Lumpur over the past week to discuss progress on a global commitment to sustainable urban development. UN member states adopted the New Urban Agenda 15 months ago to guide the implementation in cities of the 2030 Agenda for Sustainable Development. And health is central to the New Urban Agenda – health is its “pulse”, as the World Health Organisation puts it.
Health must be at the heart of decisions about how to equitably house, feed, mobilise and economically support growing urban populations. Health is not just a desirable outcome but a fundamental driver of sustainable development.
Sustainable development and health are linked
Many sustainable development actions also have health benefits. The New Urban Agenda recognises that decent housing and access to health care, water and sanitation are the basic building blocks of health.
To add to the challenges of achieving these goals, the world’s cities are expected to gain 2.5 billion inhabitants by 2050. This reinforces the urgent need to provide equitable access to infrastructure and to upgrade informal settlements worldwide.
<img src="https://images.theconversation.com/files/205632/original/file-20180209-180836-o0co5e.jpg?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;fit=clip" alt="">
 There is an urgent need to reduce inequities in access to decent housing, health care, water and sanitation worldwide. Hesam Kamalipour. Author provided.
The agenda has a focus on social inclusion and civic engagement in city planning. Such participation can improve mental well-being and empower communities to overcome urban health inequities. This is important for all urban residents, but particularly for disadvantaged communities.
The agenda proposes compact urban development which prioritises walking and cycling over private car use. Multiple health benefits flow from more physical activity and less air pollution.
Walking and cycling can also help mitigate climate change, which is predicted to contribute to an extra 250,000 deaths between 2030 and 2050 alone. Cycling, for example, can reduce an individual’s transportation carbon footprint by 58% compared to driving a car.
The natural environment is a vital health determinant, as it underpins all human life. The agenda promotes reducing cities’ environmental impact, building resilience to natural disasters, and preserving nature within cities.
Again, this has many implications for health. Greenery can reduce urban heat islands to protect against heat stress. Contact with nature improves mental health. Attractive green spaces encourage recreational physical activity.
The agenda emphasises the need to provide decent and productive work, end poverty and reduce income inequalities. This could minimise the social gradient in health – people with less income have poorer health.
Uncontrolled growth is unhealthy
Attaining these sustainability and health benefits will depend on how the New Urban Agenda is implemented. The World Urban Forum showcased many sustainable development achievements by governments and civil society. But we still have a long way to go to realise the NUA vision.
As the world urbanises and cities promote development and innovation, we must take care to balance economic growth with environmental preservation. Only then will we achieve truly sustainable health improvements.
Most countries have a bad track record of pursuing social and economic development at the expense of the natural environment. While the New Urban Agenda does recognise the need to balance environmental and health goals with economic development, it does not acknowledge the ecological limits to growth.
Currently, the top-ranked nations on the Sustainable Development Goal Index and the Human Development Index, such as Sweden and Denmark, have high ecological footprints per person. If everyone in the world lived like them, we would need more than three planets. This is clearly unsustainable.
As research by Wilkinson and Pickett shows, after a certain point, continued natural resource depletion for economic growth is not necessary to achieve good population health.
<img src="https://images.theconversation.com/files/206114/original/file-20180213-44654-g0k0sd.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;fit=clip" alt="">
After a certain point, higher emissions do not increase life expectancy, as Wilkinson and Pickett demonstrated. The Spirit Level: Why More Equal Societies Almost Always Do Better, R. Wilkinson and K. Pickett
Agenda relies on inclusive, integrated planning
While the New Urban Agenda encourages consideration of health in urban policies, it does not detail the specific actions required.
Urban planning interventions must be consistent with the evidence on how to create healthy and less resource-intensive cities. A recent Australian study found that many urban policies are not evidence-based and are often not fully implemented.
Countries across the globe are looking at indicators to help monitor policy implementation. This includes spatial indicators that highlight inequities in access to infrastructure and amenities within and between cities.
It is widely recognised that implementing the New Urban Agenda will require the involvement of many sectors, including housing, transport, urban design, energy, employment and open space. National governments adopted the agenda, but city planning is often a responsibility of sub-national governments. The private sector and communities also have important contributions to make. 
In all cities, there is a need to clarify responsibilities and balance national government leadership with local government and community action. Integration between policy areas requires supportive legislative frameworks, political commitment, leadership, strong governance arrangements and personnel trained in collaboration.
Low- and middle-income countries are further behind on urban health, so have much to gain from implementing the agenda. Nevertheless, all countries, including Australia, have room for improvement. Australian cities continue to face issues with car dependence and inequities in access to public transport, jobs, services and amenities.
<img src="https://counter.theconversation.com/content/91009/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1">All urban actors have a role to play in pursuing the New Urban Agenda’s vision of a sustainable and healthy urban future. As we hurtle towards doubling our population with rapid city growth, now is the time for action.
Melanie Lowe, Lecturer in Public Health, Australian Catholic University 
Alexei Trundle, PhD Candidate, Australian-German Climate &amp; Energy College, University of Melbourne 
André Stephan, Lecturer in Architectural Engineering, University of Melbourne 
Billie Giles-Corti, Director, Urban Futures Enabling Capability Platform and Director, Healthy Liveable Cities Group, RMIT University 
Hayley Henderson, PhD Candidate in Urban Planning, University of Melbourne 
Hesam Kamalipour, Research Fellow at Monash Art, Design and Architecture, Monash University
This article was originally published on <a href="http://theconversation.com" target="_blank">The Conversation</a>. Read the <a href="https://theconversation.com/this-is-why-health-has-to-be-at-the-heart-of-the-new-urban-agenda-91009" target="_blank">original article</a>.
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Why health has to be at the heart of the New Urban Agenda

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GUEST OBSERVER
As Cape Town counts down to “day zero” and the prospect of its taps being turned off, there have inevitably been questions about whether the same fate might befall a major Australian city. The most striking parallels have been drawn with Perth – unsurprisingly, given its drying climate, rising evaporation rates (which increase consumption and reduce water yields) and growing population.
So is Perth really running out of water? The answer depends on what type of water is being considered, and what constitutes “running out”.
When faced with this question most people think of drinking water, which is of course essential for household use.
It often ignores non-potable groundwater that is heavily relied upon in Perth to irrigate gardens, lawns, ovals, golf courses and market gardens. This water is also used by light and heavy industry, as well as being crucial to the health of wetlands and vegetation across the coastal plain.
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Lake Jualbup in Perth’s western suburbs showing periods of low and high water level. Photos by Geoffrey Dean. saveourjewel.org, Author provided
Perth’s drinking water supplies are largely safe, thanks to early investment in the use of groundwater and in technologies such as desalination. But somewhat ironically, as this recent book chapter explains, the future supply of lower-quality water for irrigation and to support ecosystems looks far less assured.
A drying climate
Perth’s annual rainfall has been declining by about 3mm per year on average, while the number of months receiving at least 200mm of rain has halved. Meanwhile, the annual mean temperature anomaly has increased by 1℃ in southwest Western Australia in the past 40 years and possibly by more in Perth, given the urban heat island effect.
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Perth’s rainfall trend, as measured at Perth Airport’s rain gauge. Bureau of Meteorology
The overall effect is that soils and vegetation are often dry, meaning that rainfall will be lost to evapotranspiration rather than running off into rivers and dams, or recharging underground aquifers.
At the same time, Perth has made major changes to its drinking water supply. The city now relies chiefly on groundwater and desalination rather than dams. For a variety of reasons, drinking water use per person has declined, most notably since the early 2000s when sprinkler restrictions were introduced. Some have switched to self-supply sources such as backyard bores, so for them total water use may even have increased.
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Perth’s trends in runoff, population, and water supply. Water Corporation
The reduction in per capita use of drinking water is just as well, because inflows into Perth dams have fallen from 300 billion litres a year to less than 50 billion. This disproportionate drop in stream flows, even against the backdrop of declining rainfall, means that evaporation from reservoirs can exceed inflows in very dry years.
Since the late 1970s, Perth has increasingly used groundwater rather than dam water. Seawater desalination has also grown to almost half of total supply. Even more recently Perth began trialling a groundwater replenishment scheme to recharge aquifers with treated wastewater.
With the declines in rainfall and streamflow predicted to continue, water security will continue to be an important policy issue over the next few decades. Although both are much more expensive than dam water, desalination and groundwater replenishment look set to secure Perth’s drinking supply, because seawater is virtually unlimited, and wastewater availability increases in line with the city’s growth.
Why are non-drinking water supplies less secure?
Boosting drinking water supplies with desalination or groundwater replenishment is unlikely to resolve the pressures on non-potable supplies. To understand why, it is necessary to understand Perth’s unusual hydrology.
Most of Perth is built on permeable sand dunes, which can soak up even the heaviest rainfall. This allows runoff from roofs and roads to be directed into nearby soak wells and absorption basins.
As well as cheap disposal of stormwater, the sands provide Perth with a place to store excess water from winter rains, which is then relied upon for summer irrigation. As a result, local governments have been able to provide many irrigated parks and sports ovals, and more than a quarter of Perth households use a private bore to water their gardens.
This arrangement isn’t as sustainable as it once was. Groundwater levels are falling under many parts of Perth, forcing the state government to reduce allocations and to introduce a range of water-saving measures such as winter sprinkler bans.
Unlike dam inflows, we don’t yet know the full scale of the reduction in natural groundwater recharge rates. But the question still remains: what can we do to halt the decline of this important water store, particularly as Perth’s population is expected to grow to 3.5 million by 2050?
About 70% of local road runoff and half of roof runoff already recharges the shallow unconfined aquifer, because it is the cheapest way to dispose of excess water in areas with sandy soils. As well as reducing discharge costs, this practice helps to ensure that bores do not run dry in summer.
Perth also has large main drains that are designed to lower groundwater levels in swampy areas and prevent inundation. Some of these waters could be redirected into the aquifer where there is a suitable site.
Don’t waste wastewater
About 140 billion litres of treated wastewater are discharged into the ocean every year in the Perth-Peel region. A further 7 billion litres are infiltrated into the sands as a means of disposal where there isn’t an option for ocean outfall. Recent investigations of these land disposal sites have shown them to be effective in protecting wetlands from drying and providing water for public and private irrigation.
Investigations have also shown that the quality of treated wastewater can be greatly improved when infiltrated through the yellow sands into the limestone aquifer in the western part of Perth. It is suitable for irrigation after a few weeks’ residence within the aquifer.
Without these kinds of measures, local governments will struggle to water parks and sports ovals, to protect Perth’s remaining wetlands, and to safeguard the trees that help keep us cool.
<img src="https://counter.theconversation.com/content/90857/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1">So while drinking water supplies for an affluent city like Perth are reasonably secure, our vital non-drinking water supplies need to be augmented using some of the water we currently discharge into the ocean. As Perth gets even hotter and drier, and green spaces and wetlands are needed to provide much-needed cooling, we can no longer afford to let any water go to waste.
Don McFarlane, Adjunct professor, University of Western Australia
This article was originally published on <a href="http://theconversation.com" target="_blank">The Conversation</a>. Read the <a href="https://theconversation.com/is-perth-really-running-out-of-water-well-yes-and-no-90857" target="_blank">original article</a>.
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Is Perth really running out of water? Well, yes and no: Don McFarlane

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Sydney's apartment market has challenges emerging as new supply increasingly comes on line and banks continue to tighten funding to investors.
There was little potential for further unit price growth, according to BIS Oxford Economics.
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Apartment development has increasingly moved from inner Sydney suburbs to the city’s middle ring, it noted.
After accounting for around 29% of total apartment building approvals in 2010/11, middle ring Sydney suburbs comprised 40% of apartment building approvals in 2016/17.
Two bedroom apartments account for most of the Sydney stock.
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Suburbs report, which covers the Local Government Areas of Sydney (below), and profiles indicators relating to demand, supply, rents and prices. 
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STOCK DEFICIENCY 
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Underlying demand for dwellings increased over the four years to June 2017 on the back of strong population growth. Low interest rates have allowed pent up demand to be released into the market.
Underlying demand rose to an estimated peak of 42,500 dwellings over 2016/17, well above the average of 32,600 dwellings pa over the previous five years.
However, dwelling completions surged far ahead of underlying demand. Annual completions doubled from 23,100 starts in 2012/13 to an estimated 47,200 starts in 2016/17.
This has seen the underlying dwelling deficiency slowly eroded since 2014/15.
Over 2017/18, completions are forecast to remain strong while underlying demand is expected to ease as net interstate outflows rise. This will lead to a further decline in the level of stock deficiency 
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APARTMENT OCCUPIERS 
Two bedroom apartments account for the majority of the Sydney apartment stock, at 56% of occupied apartments at the 2016 Census. Moreover, studios and one bedroom apartments account for another 29% of Sydney’s occupied apartment stock, with the remaining 15% containing three or more bedrooms. 
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The households occupying apartments are reflective of the composition of the apartment stock. Studio and one bedroom apartments are dominated by lone person households (who accounted for 55% of total studio and one bedroom apartments), while two bedroom apartments have a more even split of lone person, couple without children and family with children households, at around 25-30% each. 
In comparison, family with children households were the most prevalent household type in three bedroom apartments (40% of households). 
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Studio and one bedroom apartments are dominated by rental tenants, who account for 76% of households. In contrast, only 12% were fully owned suggesting that studio and one bedroom apartments are not attracting downsizers. Around 74% of two bedroom apartments were renting. Households with a mortgage accounted for the larger share at 18%. In contrast, a high share of three bedroom apartments were owner occupied (43%), with a high percentage (18%) being fully owned. This suggests that many owner occupiers in three bedroom apartments are downsizers and are buying with full equity. 
APARTMENT SUPPLY 
The high density sector has benefited most in this upturn in the Sydney market. High density building approvals more than doubled from 13,500 approvals in 2012/13 to 30,100 approvals in 2016/17. While there has also been a moderate upswing in house approvals, the medium density sector has remained flat. Inner Sydney has traditionally attracted the greatest amount of high density activity, although the middle ring has begun to account for a greater share of high density dwelling approvals. The deterioration of affordability in Sydney has encouraged a shift towards both apartments over houses, and also activity from inner to middle regions.
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RENTS, PRICES AND YIELDS 
As the market picked up, median price growth for units averaged 9.1% per annum between 2012 and 2017. This price growth was fairly even geographically across the Inner and Middle regions of Sydney, ranging from 10.8% per annum in Eastern Suburbs to 7.3% in the Middle West.
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The result has been that indicative unit yields have now fallen below their previous lows of 2005, to be 3.6% in June 2017. This would suggest little potential for further unit price growth (and eventually the possibility of price declines), as occurred during the mid-2000s. A smaller dwelling deficiency and tightening restrictions on investor activity will also add drag to market sentiment. 
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Little potential for further Sydney unit price growth: BIS 

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A Baynton four bedroom house has been sold by mortgagees for $590,000.
The<a href="https://www.realestate.com.au/sold/property-house-wa-baynton-126048282" target="_blank"> Western Australia</a> home was sold by agent Coral Howe from Ray White. 
It had last sold at $205,000 in 2009 before its 2012 construction.
The modern Brushtail Street house came with four bedrooms, open living area and a games room. 
Baynton West Primary School, parks and the Pam Buchanan centre are within walking distance. 
According to CoreLogic, the suburb's median house price sits on $405,000. 
 
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Baynton, WA house sold by mortgagees

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Luxury brand Hermes is set to take the lease at Sydney's Trust Building.
The building at 155-159 King Street is on the corner of Castlereagh Street.
Dior's flagship store sits across the road, as do the Chanel and Bulgari stores.
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The Australian Financial Review writes Hermes has pipped another luxury brand, Valentino, for the multiple-floor space
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The potential deal would see Hermes expand its retail footprint beyond its current single-floor space a block away at the corner of Castlereagh and Pitt streets.
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<div class="cq-article-content-media section">Another diagonal corner is occupied by the MLC Centre escalators which are set to be replaced with retail space.</div>
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Hermes eyes Trust Building move

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GUEST OBSERVER
If Australia has an Achille’s heal it’s the high and still rising level of household debt that has gone hand in hand with the surge in house prices relative to incomes.
Whereas several comparable countries have seen their household debt to income ratios pull back a bit since the Global Financial Crisis (GFC), this has not been the case in Australia.
Some worry Australians are unsustainably stretched, and it is only a matter of time before it blows up, bringing the economy down at the same time. Particularly now that global interest rates are starting to rise. This note looks at the main issues. 
Australia - from the bottom to the top in debt stakes 
The chart below shows the level of household debt (mortgage, credit card and personal debt) relative to annual household disposable income for major countries. 
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While rising household debt has been a global phenomenon, debt levels in Australia have gone from the bottom of the pack to near the top.
In 1990, there was on average $70 of household debt for every $100 of average household income after tax. Today, it is nearly $200 of debt (not allowing for offset accounts) for every $100 of after tax income. 
Why has debt gone up so much in Australia? 
The increase in debt reflects both economic and attitudinal changes. Memories of wars and economic depression have faded and with the last recession ending nearly 27 years ago, debt seems less risky. Furthermore, modern society encourages instant gratification as opposed to saving for what you want.
Lower interest rates have made debt seem more affordable and increased competition amongst financial providers has made it more available. So, each successive generation since the Baby Boomers through to Millennials have been progressively more relaxed about taking on debt than earlier generations. 
It’s not quite as bad as it looks 
There are several reasons why the rise in household debt may not be quite as bad as it looks: 
<ul>
<li>Firstly, higher debt partly reflects a rational adjustment to lower rates and greater credit availability via competition. </li>
<li>Secondly, household debt has been rising since credit was first invented. It is unclear what a “safe” level is. This is complicated because income is a flow and debt is a stock which is arguably best measured against the stock of assets or wealth. </li>
<li>The rise in the stock of debt levels has been matched by a rise in total household wealth in Australia. Thanks to a surge in the value of houses and a rise in financial wealth, we are far richer. Wealth rose 9.5% last year to a new record. The value of average household wealth has gone from five times average annual after tax household income in 1990 to 9.5 times today. <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/2018/2/14/HOUSEHOLD%202.jpg" alt="" style="font-size: 12.16px;">
</li>
</ul>
So, while the average level of household debt for each man, woman and child in Australia has increased from $11,837 in 1990 to $93,943 now, this has been swamped by an increase in average wealth per person from $86,376 to $475,569. 
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As a result, Australians’ household balance sheets, as measured by net wealth (assets less debt), are healthy.
Despite a fall in net wealth relative to income through and after the GFC as shares and home prices fell, net wealth has increased substantially over the last 30 years and is in the middle of the pack relative to comparable countries.
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<li>Fourthly, Australians are not having major problems servicing their loans. According to the Reserve Bankís Financial Stability Review non-performing loans are low and Census and Household Expenditure Survey data shows that mortgage stress has been falling. Of course, this may reflect low mortgage rates with interest costs as a share of income running a third below its 2008 high. </li>
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<li>Fifthly, debt is concentrated in higher income households who have a higher capacity to service it. This is particularly the case for investment property loans.</li>
<li>Sixthly, a disproportionate share of the rise in housing debt over the last 20 years owes to investment property loans. As servicing investment loans is helped by tax breaks the debt burden is not even as onerous.</li>
<li>Finally, lending standards have not deteriorated to the same degree in Australia as they did in the US prior to the GFC where loans were given to NINJAs borrowers with no income, no job and no assets. </li>
</ul>
What are the risks? 
None of this is to say the rise in household debt is without risk. Not only has household debt relative to income in Australia risen to the top end of comparable countries but so too has the level gearing (ie the ratio of debt to wealth or assets). 
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It certainly increases households’ vulnerability to changing economic conditions. There are several threats:
<ol>
<li>Higher interest rates – the rise in debt means moves in interest rates are three times as potent compared to say 25 years ago. Just a 2% rise in interest rates will take interest payments as a share of household income back to where they were just prior to the GFC (and which led to a fall in consumer spending). However, the RBA is well aware of the rise in sensitivities flowing from higher debt and so knows that when the time comes to eventually start raising rates (maybe later this year) it simply won’t have to raise rates anywhere near as much as in the past to have a given impact in say controlling spending and inflation. And so, it’s likely to be very cautious in raising rates (and is very unlikely to need to raise rates by anything like 2%). 
</li>
<li>Rising unemployment – high debt levels add to the risk that if the economy falls into recession, rising unemployment will create debt-servicing problems. However, it is hard to see unemployment rising sharply anytime soon.  
</li>
<li>Deflation – high debt levels could become a problem if the global and local economies slip into deflation. Falling prices increase the real value of debt, which could cause debtors to cut back spending and sell assets, risking a vicious spiral. However, the risk of deflation has been receding.  
</li>
<li>A sharp collapse in home prices – by undermining the collateral for much household debt – could cause severe damage. Fortunately, it is hard to see the trigger for a major collapse in house prices, ie, much higher interest rates or unemployment. And full recourse loans provide a disincentive to just walk away from the home and mortgage unlike in parts of the US during the GFC.  
</li>
<li>A change in attitudes against debt – households could take fright at their high debt levels (maybe after a bout of weakness in home prices or when rates start to rise) and seek to cut them by cutting their spending. Of course, if lots of people do this at same time it will just result in slower economic growth. At present the risk is low but its worth keeping an eye on with Sydney and Melbourne property prices now falling. But high household debt levels are likely to be a constraint on consumer spending. </li>
</ol>
Conclusion 
While the surge in household debt has left Australian households vulnerable to anything which threatens their ability to service their debts or significantly undermines the value of houses, the trigger for major problems remains hard to see. However, household discomfort at their high debt levels poses a degree of uncertainty over the outlook for consumer spending should households decide to reduce their debt levels. 
<a href="https://www.propertyobserver.com.au/https://plus.google.com/110172465327488162875?rel=author" target="_blank">SHANE OLIVER</a> is head of investment strategy and economics and chief economist at <a href="https://www.ampcapital.com.au/home" target="_blank">AMP Capital</a> and is responsible for AMP Capital's diversified investment funds.
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