Abadeen has released the whole-floor penthouse crowning its recently completed <a href="https://www.apartments.com.au/buildings/park-residences-cremorne-2-sutherland-street-cremorne-nsw-2090">Park Residences</a> development in Cremorne, bringing the near-300 sqm residence to market for the first time.

Occupying the entire top floor of the boutique Lower North Shore development, the penthouse includes 221 sqm of internal living and a 74 sqm wraparound terrace, with a prized north-facing aspect taking in views across Middle Harbour.

The residence has been completed and fully furnished following a collaboration between Abadeen Executive Chairman Justin Brown and internationally recognised interior designer Jack Freeman, Founder and Managing Director of FREEMAN &amp; CO.

<a href="https://www.apartments.com.au/developers/abadeen">Abadeen</a> and Freeman approached the penthouse as a finished home, sourcing furniture, artwork, lighting and objects from Australia and overseas.

[smartcode_project:default project_id=114246 project_image_fid=378718]

Pieces from Parisian design house Pierre Augustin Rose sit alongside contemporary artworks and bespoke lighting, with Freeman drawing on recent visits to PAD Paris and Salone del Mobile Milano for the final collection.

Brown said the aim was to create a penthouse that felt more like a large-scale private home than a traditional apartment.

"The experience begins the moment the lift doors open. You're welcomed into an elegant dining room before the home opens into an extraordinary living space framed by sun-drenched harbour views.

"Every time someone walks through the front door they pause. It's not just the view, it's the incredible sense of space, the warmth created by the northern sunlight that fills the interiors, and the way every room connects so effortlessly.

"It has all the proportions of a luxury home, while delivering the effortless lifestyle and personalised experience of living in a world-class six-star hotel, combined with the simplicity and convenience of apartment living."

[smartcode_project:default project_id=114246 project_image_fid=378713]

A secure lift provides exclusive access to the penthouse level, opening to a dedicated arrival foyer and dining area before the residence expands into its main living and entertaining spaces.

Floor-to-ceiling glazing runs across the northern side of the home, connecting the interiors with the terrace and Middle Harbour outlook.

The penthouse also features a fireplace and substantial chef's kitchen, while the wraparound terrace has been designed to accommodate both everyday outdoor living and larger-scale entertaining.

[smartcode_project:default project_id=114246 project_image_fid=378720]

Freeman said the interiors had been deliberately kept restrained to complement the scale, natural light and outlook already established by the architecture.

"The penthouse is a serene study in quiet luxury," Freeman said.

"The interior pairs soft, sculptural forms with warm timber, pale stone and a restrained neutral palette. Curated artwork and metallic accents add depth, while abundant natural light creates a calm, effortlessly refined atmosphere. In my world, less is always more."

Freeman said the approach was centred around collecting individual pieces rather than simply decorating the apartment.

"Every material, every object and every piece of furniture has been curated with intention. I am a true believer in collecting versus decorating.

"The architecture already provided extraordinary natural light, remarkable volume and an uninterrupted connection to Middle Harbour. Our role was to complement those qualities with unique one-of-a-kind pieces of fine art and collectible design sourced from recent travels around the world."

[smartcode_project:default project_id=114246 project_image_fid=378694]

Among the collection are solid bronze sculptures by Lorenzo Quinn, alongside a curated crystalware collection and pieces sourced from international design fairs.

Park Residences sits opposite Cammeray Golf Club, Cammeray Croquet Club and Grand Slam Tennis Cammeray, around 300 metres from Neutral Bay Village and its established collection of restaurants, cafés and retail.

Brown said the combination of a whole-floor floorplan, northern aspect and proximity to Neutral Bay was becoming increasingly difficult to find on the Lower North Shore.

"Completed whole-floor penthouses with a sun-drenched north-facing aspect and sweeping Middle Harbour views are exceptionally rare," Brown said.

"Add a quiet position opposite golf, croquet and tennis facilities, a level walk to Neutral Bay Village and only minutes to the CBD, and you have a lifestyle that's incredibly difficult to replicate.

"This is a home that offers the privacy and generosity of a luxury residence together with the convenience of one of Sydney's best-connected harbourside locations."

The penthouse will be exclusively marketed by SRM Residential.

[smartcode_project_cta:default project_id=114246]

Joel Robinson

Abadeen unveils penthouse at Park Residences in Cremorne

New Brisbane developer Dalcott has unveiled Marrone, the first of three residential projects it is planning in and around Browning Street in South Brisbane.

<a href="https://www.apartments.com.au/new-apartments/marrone-south-brisbane-39-browning-street-south-brisbane-qld-4101">Marrone</a> will comprise 97 predominantly two- and three-bedroom apartments, with larger residences aimed squarely at the owner-occupier market.

The project will sit in a quiet pocket of South Brisbane between South Bank and West End, close to the restaurants, cultural attractions and riverfront amenity that have driven the suburb's continued transformation.

Dalcott is targeting buyers looking for more space and amenity than has traditionally been offered in the inner-city apartment market, particularly downsizers and professionals wanting to remain close to the city.

[smartcode_project:default project_id=149951 project_image_fid=377072]

Resident facilities will be concentrated around an extensive rooftop amenity offering, including a swimming pool, spa, infrared sauna, warm and cold magnesium plunge pools, private lounge, dining room and outdoor entertaining areas.

Dalcott Managing Director Lachlan Cottee said South Brisbane's combination of lifestyle, connectivity and established character had been central to the approach to Marrone.

“South Brisbane offers a combination of lifestyle, connectivity and character that’s difficult to replicate elsewhere in Brisbane,” Cottee said.

“Our focus has been on creating homes that feel connected to that environment while providing the level of design, functionality and quality that today's owner-occupiers expect.”

The residences will feature an expressive material palette. Italian Calacatta Viola marble, known for its deep burgundy veining, will be paired with aged brass tapware, Chestnut engineered timber flooring and Tuscan Oak joinery.

<img alt="Marrone" data-entity-type="file" data-entity-uuid="b8d833da-3b30-496a-ae30-07bdff371b50" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-25%20at%2010.52.35%E2%80%AFAM.png?VersionId=P6DAgOfaQzIXljKKK5j3e5NhWtrHIu9G" />

Bathrooms will feature Nara Japanese ceramics and glass bricks, while clay, walnut and brass lighting will be used throughout the apartments.

Dalcott has appointed Realm Projects, led by Managing Director Shane Foley, to handle sales and marketing following previous sold-out collaborations between the groups.

Foley said the Brisbane apartment buyer had become increasingly focused on the quality of the home itself rather than simply securing an inner-city address.

“We expect to see strong demand from buyers who still want all the advantages of inner-city living but aren’t prepared to compromise on the quality of their home,” Foley said.

“Many will be downsizers looking to leave behind the maintenance of a traditional family home without giving up the space they enjoy, while others are likely to be professionals wanting a residence that reflects the way they live today.”

“Marrone responds directly to that demand, with generous floorplans, exceptional resident amenity and a location that places some of Brisbane’s best dining, entertainment and cultural attractions within walking distance.”

<img alt="Marrone" data-entity-type="file" data-entity-uuid="61f7b22f-899e-4c0f-940a-7d3ab1bfb93a" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-25%20at%2010.52.44%E2%80%AFAM.png?VersionId=PvN1JYxBgUpyCB7efKo52WGdSDs9nmim" />

Marrone will be the first project delivered as part of Dalcott's broader investment in the precinct.

It will be followed by La Terra, a boutique project comprising penthouse-style, single-level apartments on a northeast corner site with extensive resident amenity and city views.

Cottee said Marrone represented the first stage of the group's longer-term plans for the area.

Dalcott was established in 2025 by Lachlan Cottee and Ben Dalgliesh, combining development and construction capability under an integrated model and focusing on architecturally considered residential projects.

Marrone will initially be offered through a pre-release registration campaign ahead of its broader public launch.

Dalcott targets owner-occupiers with South Brisbane debut Marrone

Parnell Developments is the latest to seek significant uplift through the NSW Government's Housing Delivery Authority on a Strathfield site previously approved for a much smaller apartment development.

Parnell has sought approval for a 32-storey mixed use tower across&nbsp;<a href="https://www.apartments.com.au/new-apartments/7-lyons-street-strathfield-nsw-2135">3-7 Lyons Street and 18 Parnell Street</a>, a&nbsp;1,857 sqm site around 400 metres from Strathfield Station. The building would yield 160 apartments, 15 per cent of which will be dedicated affordable as per the government mandate for buildings seeking additional uplift.

Approved previously was a nine-storey building back in 2022 with just over 30 apartments. That approval came prior to the project being&nbsp;progressively reconsidered as planning policy shifted toward greater density around transport hubs.

<img alt="Strathfield" data-entity-type="file" data-entity-uuid="c5af5281-a643-4eb2-b8c4-0081b59c04c7" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-25%20at%209.16.48%E2%80%AFAM.png?VersionId=37bd3mI7rHNpThOV_75VO8xsGFwWOi1u" />

Turner has designed the latest building that would replace&nbsp;existing detached homes across the four lots.

The apartment mix comprises 22 one-bedroom apartments, 107 two-bedroom and two-bedroom-plus configurations, and 31 apartments with three or more bedrooms. The scheme also includes 203 car spaces across six basement levels and 58 bicycle spaces.

The proposal has been designed around a three-storey podium addressing Lyons Street, with the tower rising above and stepping toward its upper levels.

Turner said the podium was deliberately scaled to respond to the existing street, while the taller element has been designed as part of the emerging skyline anticipated around Strathfield Town Centre and the wider Homebush transport-oriented development precinct.

The Lyons Street frontage would have a more active, pedestrian-focused character, incorporating the commercial tenancy, landscaping and a brick-framed podium with an awning.

<img alt="Strathfield" data-entity-type="file" data-entity-uuid="14b20874-b8c3-4ac7-bc03-92be9a69fb78" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-25%20at%209.17.48%E2%80%AFAM.png?VersionId=av.9TxtqIRTC6v3PkSuu1rL9rreWoe2h" />

Parnell Street, which faces the railway corridor, has been given a different architectural treatment, with double-height breeze blocks, landscaping and communal areas used to soften the interface with the rail infrastructure.

The tower itself uses curved and recessed facade elements, with wave-like indentations across the northern elevation breaking the building into three vertical forms.

A palette of grey concrete, brick and breeze blocks is complemented by clay and terracotta accents, while the upper tower adopts a lighter expression through articulated slab edges, vertical fins and recessed glazing.

Residents would have access to 467 sqm of communal open space spread across three levels. The ground floor would accommodate the more active resident areas, including barbecue and group gathering spaces and an internal communal room capable of being used for working from home.

A more passive viewing deck is proposed at level three, overlooking the ground-level landscaping and neighbouring tennis courts, while a rooftop "sunset deck" at level 30 would provide another social and relaxation space.

<img alt="Parnell" data-entity-type="file" data-entity-uuid="c3dce401-a80f-4682-8471-4caa01180880" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-25%20at%209.17.34%E2%80%AFAM.png?VersionId=Xyo8JVqbOhSJXNy6Ih.1cHL.O6i0bGR." />

&nbsp;

&nbsp;

&nbsp;

Strathfield has been earmarked for substantial change through the Strathfield Town Centre planning work and the nearby Homebush TOD precinct.

Turner's report says the project has been designed to act as a transition between the existing low and mid-rise development surrounding the site and the taller built form expected to emerge across the town centre.

The proposal is being assessed as State Significant Development under the HDA pathway, alongside the concurrent request to amend the Burwood Local Environmental Plan.

First look: New apartment tower pitched for Strathfield Town Centre precinct

An $18 million penthouse has hit the market in Main Beach as construction tops out on La Mer, the $155 million apartment development rising just metres from the beach.

Spanning around 600 sqm across the top two levels of the 29-storey tower on Main Beach Parade, the four-bedroom penthouse is one of the latest eight-figure residences to test the upper end of the Gold Coast apartment market.

Its launch comes amid continued activity at the very top of the market, following the $30 million off-the-plan sale of a Burleigh Heads penthouse earlier this year, which surpassed the Gold Coast's previous $24 million apartment record set in 2023.

The <a href="https://www.apartments.com.au/new-apartments/la-mer-main-beach-3580-main-beach-parade-main-beach-qld-4217">La Mer penthouse</a> has been designed as a private residence in the sky, with 360-degree views spanning the ocean, Broadwater, hinterland and Gold Coast skyline.

[smartcode_project:default project_id=95606 project_image_fid=378731]

All four bedrooms have ensuites, while the ocean-facing master retreat occupies around half of the upper level and includes its own lounge, private balcony, two walk-in wardrobes and an oversized ensuite with a freestanding stone bath positioned to take in the views.

The residence also features a kitchen designed to accommodate a private chef, a 3.6-metre island bench, expansive butler's pantry, wine cellar and integrated bar.

[smartcode_project:default project_id=95606 project_image_fid=378732]

A rooftop pool and substantial outdoor entertaining area with its own kitchen sit above the residence, while a grand staircase connects the two internal levels. The penthouse also has its own express lift.

OTP Group Director James Elliott, who is marketing La Mer, said the penthouse was expected to appeal to high-net-worth buyers seeking either a permanent Main Beach residence or Gold Coast holiday home.

“The La Mer penthouse represents exceptional value, considering its quality design, size, privacy and location, not to mention the 360-degree views capturing the beach and Gold Coast Broadwater,” Elliott said.

“We’re anticipating interest from high-net-worth individuals and couples seeking a residence or holiday home in the sought-after village enclave of Main Beach, taking advantage of the unprecedented growth underway in the area and neighbouring The Spit.”

[smartcode_project:default project_id=95606 project_image_fid=378736]

La Mer is being developed by developer-builder ODUS and Nazero, in partnership with funder Metrics Credit Partners.

ODUS Director Byron Sakha said topping out the tower had provided the opportunity to release the project's most significant residence.

“We’ve worked with internationally-recognised studio Sici Design on the penthouse interiors, with a focus on ensuring it isn’t luxury for luxury’s sake. Every element has been thoughtfully designed to enhance quality of life for those who call it home,” Sakha said.

“The views are the hero of virtually every space, but we’ve given equal attention to the fittings and finishes, so every detail exudes elegance and refinement.”

Sici Design Founder and Director Maria Papadopoulos said the extensive views became an integral part of the interior design rather than simply something the residence was designed around.

“The views weren't something we designed around, they became part of the design itself, with the true luxury of La Mer in its feeling of peace, calm and wellbeing,” Papadopoulos said.

“Luxury isn't defined by how something looks, but how it makes you feel, and we believe a luxurious home should be beautiful to live in, not stressful to maintain.”

The interiors combine Austral Dream Dolomite natural stone and travertine with timber flooring and a restrained coastal palette.

[smartcode_project:default project_id=95606 project_image_fid=378734]

Designed by Plus Studio, La Mer is one of the more boutique additions to the rapidly changing Main Beach apartment market.

The tower comprises just 24 full-floor, three-bedroom plus multipurpose room apartments below the two-level penthouse, giving the project a considerably lower density than many of the larger towers being developed across the Gold Coast.

Residents will have access to a pool and spa, gym, sauna, barbecue facilities, private sun lounges, yoga lawn and outdoor beach shower.

The penthouse has been released as part of the final collection of residences at La Mer, with remaining apartments priced from $4.3 million.

Construction is expected to complete later this year, with a fully furnished display apartment now open on level four.

[smartcode_project_cta:default project_id=95606]

ODUS releases $18 million penthouse crowning La Mer Main Beach

<a href="https://www.apartments.com.au/developers/far-east-consortium">Far East Consortium</a> is preparing to commence construction on <a href="https://www.apartments.com.au/new-apartments/640-bourke-street-melbourne-640-bourke-street-melbourne-vic-3000">640 Bourke Street</a> this October, marking the next milestone for the Melbourne CBD development and its higher-end Eliza Collection.

Spanning levels 44 to 68 of the 68-storey <a href="https://www.apartments.com.au/architects/rothelowman">Rothelowman</a>-designed tower, the Eliza Collection has been conceived as a lower-density offering within the broader development, with only five apartments on each floor, dedicated lift access and a collection of resident spaces reserved exclusively for Eliza Collection residents.

The Eliza Collection forms part of Far East Consortium's broader move toward larger-format residences at 640 Bourke Street, where the number of apartments was reduced from earlier plans as apartment sizes increased.

[smartcode_project:default project_id=509 project_image_fid=365685]

"What it's meant for 640 Bourke is we've actually reduced the number of apartments. We've increased the overall size of the apartments. We don't have any studios in here, and what that does for a project is it elevates it," Far East Consortium Director of Sales and Marketing Lauren Sheldon said.

Rothelowman Associate Jun Chang said the design process provided an opportunity to create more generous floorplans.

"We were given the opportunity to be more generous. The apartments became bigger and squarer than any other apartments which had been designed in the CBD before that."

[smartcode_project:default project_id=509 project_image_fid=368869]

That thinking carries through to the Eliza Collection, where the residences have been designed around the space and functionality associated with a larger home, but positioned high above the centre of Melbourne.

Kitchens are equipped with Gaggenau appliances, a butler's pantry, temperature-controlled wine cabinet and sculptural pendant lighting, while engineered timber flooring, stone and porcelain finishes and custom cabinetry feature throughout the broader interiors.

Privacy and security are another point of distinction. Eliza Collection residents have dedicated lift access, while 640 Bourke Street will provide concierge services and secure resident parking. Short-stay accommodation, including Airbnb, will not be permitted within the development.

[smartcode_project:default project_id=509 project_image_fid=365689]

Eliza Collection residents will also have exclusive access to selected amenity spaces across levels one and three of the restored Eliza Tinsley building. These include the Salon with grand piano, an art therapy room, private dining rooms and treatment rooms.

They sit within more than 3,000 sqm of amenity planned across 640 Bourke Street, alongside facilities including a pool, gym, whisky lounge and further social and wellness spaces.

The Eliza Tinsley building itself is central to the wider project's identity. Rather than treating the existing Eliza Tinsley façade as a separate element, Rothelowman used it as a starting point for the architecture of the new tower, with the historic building to accommodate the project's gallery and lobby.

"It's a significant asset and wants to be celebrated and experienced by all residents every single time they go in and out of the building," Rothelowman Principal Stuart Marsland said.

[smartcode_project:default project_id=509 project_image_fid=368872]

The tower will rise behind the retained heritage building at 640 Bourke Street, placing residents within walking distance of Southern Cross Station, Flagstaff Gardens, Queen Victoria Market and the Docklands waterfront.

With construction scheduled to begin in October, Far East Consortium has established an onsite display gallery at 640 Bourke Street, including fully built apartments that allow the project's layouts, materials and finishes to be inspected at full scale.

A fully built Eliza Collection apartment is also available to view at the display suite by appointment ahead of the planned October construction commencement.

Eligible purchasers who buy before construction commences can secure the full available off-the-plan stamp duty savings, subject to eligibility and applicable conditions.

[smartcode_project_cta:default project_id=509]

Far East Consortium brings Eliza Collection to 640 Bourke Street ahead of October construction start

National Australia Bank (NAB) has brought forward the timing of the first RBA cash rate cut by three months.

NAB is now expecting a cut in February, in line with ANZ and Westpac, having initially thought a cut wouldn't come until May.

Commonwealth Bank, the nation's largest lender, still thinks the first cut will come in December.

NAB changed its call following the August monthly inflation figures that were released at the end of September, showing it had dropped to 2.7 per cent.

"The risk has been skewed to a first cut earlier in 2025, and today’s change acknowledges the balance of risks has likely shifted sufficiently for the RBA to feel comfortable cutting a little sooner than we earlier expected," NAB noted in its latest update.

They added that the cadence of the cuts may be faster than its central profile.

"Domestic inflation pressures are cooling, but only gradually, and we continue to expect the conditions for a cut will not be in place this year.

NAB believes the easing cycle will end at 3.1 per cent by early 2026, which is five cuts from the current 4.35 per cent cash rate.&nbsp;

CBA also thinks 3.1 per cent will mark the end of the cutting cycle, while Westpac is forecasting 3.35 per cent, and ANZ is the most pessimistic at 3.6 per cent, which would be just three interest rate cuts.

<h2>What would a rate cut in February look like for borrowers?</h2>

According to&nbsp;<a data-saferedirecturl="https://www.google.com/url?q=https://link.mediaoutreach.meltwater.com/ls/click?upn%3Du001.IVvjJ-2BPT0A8C3VxtqKc6e3bj5hBuw27WFEYqovsYs7kPsgFulYrdOzeP8gI7CybJOya3_RgrM7qq-2BfK-2FtAHeRBLv5Qrb-2Bii5fzjLeKcP4w-2FkNgJPXygpiRhVUan3WV3QEggcf617UC8Z60RjQJZAqx7PiO7FtVJQSn0D46Zc3iTVP0kAhTTzG51cPpa5hrqz1OkSA-2BiXAxUajQ686MTtiseWBIdMdknd83aB7cOVgXlVTeHCGf3-2BcMHwfvI8TYlkUovqEhn4dj0KXf2eJGpb9-2BBv20hPXdLlPP9yD7DvFFDBM5yrTqxvcCiMfAsW1onD-2FcriL628eYdhNQE7bwzYrxcOYnmaYfRhGl-2FEHQ6eK2uQcLxs6Cbu6Dx0bYvpi5A6enmxMWU5TkcRYrP6Z8GbXZYtc5qSoKu6eWFBQR9K7fsjXwHMmby3D3X6Yx-2BxcDcdRruTG&amp;source=gmail&amp;ust=1727774368149000&amp;usg=AOvVaw2vK2ujS77CHs9VRvSSXzLC" href="https://link.mediaoutreach.meltwater.com/ls/click?upn=u001.IVvjJ-2BPT0A8C3VxtqKc6e3bj5hBuw27WFEYqovsYs7kPsgFulYrdOzeP8gI7CybJOya3_RgrM7qq-2BfK-2FtAHeRBLv5Qrb-2Bii5fzjLeKcP4w-2FkNgJPXygpiRhVUan3WV3QEggcf617UC8Z60RjQJZAqx7PiO7FtVJQSn0D46Zc3iTVP0kAhTTzG51cPpa5hrqz1OkSA-2BiXAxUajQ686MTtiseWBIdMdknd83aB7cOVgXlVTeHCGf3-2BcMHwfvI8TYlkUovqEhn4dj0KXf2eJGpb9-2BBv20hPXdLlPP9yD7DvFFDBM5yrTqxvcCiMfAsW1onD-2FcriL628eYdhNQE7bwzYrxcOYnmaYfRhGl-2FEHQ6eK2uQcLxs6Cbu6Dx0bYvpi5A6enmxMWU5TkcRYrP6Z8GbXZYtc5qSoKu6eWFBQR9K7fsjXwHMmby3D3X6Yx-2BxcDcdRruTG" target="_blank">Canstar</a>, if there is a cut in February, a borrower with a $600,000 loan today and 25 years remaining would see their monthly repayments drop by $92.&nbsp;

<table border="1" cellpadding="0" cellspacing="0">
	<tbody>
		<tr>
			<td colspan="3">
			Impact of 0.25% pt cut in February 2025
			</td>
		</tr>
		<tr>
			<td>
			Current loan size
			</td>
			<td>
			Drop in monthly repayment
			</td>
			<td>
			New monthly repayment
			</td>
		</tr>
		<tr>
			<td>
			$600,000
			</td>
			<td>
			-$92
			</td>
			<td>
			$3,907
			</td>
		</tr>
		<tr>
			<td>
			$750,000
			</td>
			<td>
			-$114
			</td>
			<td>
			$4,884
			</td>
		</tr>
		<tr>
			<td>
			$1M
			</td>
			<td>
			-$153
			</td>
			<td>
			$6,512
			</td>
		</tr>
		<tr>
			<td colspan="3">
			Source:&nbsp;<a data-saferedirecturl="https://www.google.com/url?q=https://link.mediaoutreach.meltwater.com/ls/click?upn%3Du001.xWMOP9hChsvn-2BC9O-2FebBihXIZ4cEzbiuENdxm-2Bx3-2FYEEgYMhZlKWNj5Zzy1YZ56RuASD_RgrM7qq-2BfK-2FtAHeRBLv5Qrb-2Bii5fzjLeKcP4w-2FkNgJPXygpiRhVUan3WV3QEggcf617UC8Z60RjQJZAqx7PiO7FtVJQSn0D46Zc3iTVP0kAhTTzG51cPpa5hrqz1OkSA-2BiXAxUajQ686MTtiseWBIdMdknd83aB7cOVgXlVTeHCGf3-2BcMHwfvI8TYlkUovqEhn4dj0KXf2eJGpb9-2BBv20v2akwr6-2BqLyRrlEgkJ4J-2BCCyY0x189xEHZA4Ylf8c7ChBqNIkhmftZzoFuZKFn43pw3oJVg2o1gumrpdA-2B7MB-2FBtmL2rFCI-2FXORATQHySCLVOMg7Vywv-2BqnnQUAtDz6XkvpwxdHFXh70VwKazzhJsICilEYOvP4ju0sIfi5g6TL&amp;source=gmail&amp;ust=1727774368149000&amp;usg=AOvVaw2qVnp6oqATgqDUi2Frm22q" href="https://link.mediaoutreach.meltwater.com/ls/click?upn=u001.xWMOP9hChsvn-2BC9O-2FebBihXIZ4cEzbiuENdxm-2Bx3-2FYEEgYMhZlKWNj5Zzy1YZ56RuASD_RgrM7qq-2BfK-2FtAHeRBLv5Qrb-2Bii5fzjLeKcP4w-2FkNgJPXygpiRhVUan3WV3QEggcf617UC8Z60RjQJZAqx7PiO7FtVJQSn0D46Zc3iTVP0kAhTTzG51cPpa5hrqz1OkSA-2BiXAxUajQ686MTtiseWBIdMdknd83aB7cOVgXlVTeHCGf3-2BcMHwfvI8TYlkUovqEhn4dj0KXf2eJGpb9-2BBv20v2akwr6-2BqLyRrlEgkJ4J-2BCCyY0x189xEHZA4Ylf8c7ChBqNIkhmftZzoFuZKFn43pw3oJVg2o1gumrpdA-2B7MB-2FBtmL2rFCI-2FXORATQHySCLVOMg7Vywv-2BqnnQUAtDz6XkvpwxdHFXh70VwKazzhJsICilEYOvP4ju0sIfi5g6TL" target="_blank">www.canstar.com.au</a>. Starting rate is the RBA existing average owner-occupier variable rate of 6.36%. Assumes banks pass the cash rate cut on in full the month after the meeting.
			</td>
		</tr>
	</tbody>
</table>

Canstar Data Insights Director, Sally Tindall, says if core inflation continues to track in the right direction, or unemployment starts to accelerate significantly, we could well see a cash rate cut as early as February of next year.

“All four big banks now believe the RBA will be ready to cut the cash rate in just over four months’ time, if not before, in the case of CBA.

“However, the outlook for both inflation and unemployment is still highly uncertain. A couple of wobbly sets of inflation data could see the RBA holding for longer, particularly if unemployment remains relatively steady."

&nbsp;

Commonwealth Bank, the nation's largest lender, still thinks the first cut will come in December.

NAB bring forward first RBA cut to February 2025

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GUEST OBSERVATION
Conveyancing is the process of transferring ownership of land from one person to another, under the terms of a contract for the sale of that land.
That's it!
Every Australian state has different law, forms, regulations, fees, time requirements, protections, jargon and government departments as part of the conveyancing process.
But basically each state follows the same steps - just the details changes.
Whether you are buying or selling, there is a contract that sets out the terms of the sale. The buyer and seller have obligations and rights under the contract. The conveyancer's job is to make sure you do what you are supposed to do when you are supposed to do it.
Queensland and ACT
Unlike the other Australian states and territories where there are conveyancing companies owned and run by licensed conveyancers, it is illegal in Queensland and the ACT to have conveyancing companies owned by licensed conveyancers. All paid conveyancing work in QLD and the ACT must be done by a law firm. That is the law!
Many law firms in Queensland and the ACT have set up conveyancing companies that are in fact law firms and are treated as law firms. These companies must therefore comply with the rules and regulations of a Legal Profession Act which is administered by the relevant law society. Licensed conveyancers and para-legals can be employed in these law firms run as conveyancing companies, but all work must be supervised by a solicitor.
The bottom line is that in Queensland and the ACT it doesn’t matter at all if you go with a conveyancing company or a law firm, because there is no difference between them. The solicitor/law firm must hold a current practising certificate as well as having professional indemnity insurance.
All Other States and Territories 
In NSW, Victoria, South Australia, Western Australia, Northern Territory and Tasmania, entities that provide a conveyancing service may be law firms or licensed conveyancers.
Like law firms, licensed conveyancers are able to prepare your documents and offer advice within the scope of the laws regarding conveyancing. They will provide you the services necessary to complete your property transaction including title searches, liaison with financial institutions, contract advice, preparing legal documents, stamping, calculating rates and taxes as well as preparing for and attending settlements.
Licensed conveyancers cannot give legal advice outside the area of conveyancing.
The <a href="https://www.aicnational.com.au/">Australian Institute of Conveyancers</a> (AIC) has divisions in all of these states and territories. They are the peak body representing conveyancing in Australia. Conveyancing entities may apply to become a certified practising conveyancer recognised by the AIC. Certified practising conveyancers would work to the best practice standards as governed by the AIC.
How to Pick Your Legal Advisor
You have the right to do your own conveyancing. However, you won’t have a legal practitioner’s or conveyancer’s professional indemnity insurance to protect you if you do something wrong. And you won’t know if something is about to go wrong if you don’t have the knowledge to foresee any issues that may arise and which you should have protected yourself against.
While only Queensland and ACT require a solicitor/law firm to do paid conveyancing, you still have the choice of using a solicitor to complete your conveyance in all other states and territories.
All law firms must comply with the minimum professional standards of their state and territory law society and every licensed conveyancing company will have their own standards. Each must comply with their own rules and recommendations and any legislative regulations. The ethical standards of law firms are higher than those of conveyancers, and the penalties for non-compliance are greater.
Some things to take in consideration…
<ul>
<li>Business people don’t give away anything that is valuable, especially their time. Be wary of anyone who works for nothing. Would you work for nothing?</li>
<li>The best legal advisor will charge reasonable prices because they know how valuable their time and experience is. Experience is earned the hard way and valued. Generally the inexperienced need to provide an inducement to attract business.</li>
<li>Be careful of giveaways that are being used to lure you in, especially if the company is the cheapest to start with or promise to undercut the rest. Quality will always beat quantity.</li>
<li>Beware of businesses that offer a low cost first and foremost. These tend to have a high turnover of clients to compensate for their low fees and that means you won’t get as much service as a company that isn’t doing a high turnover and promotes service over cost. Look for service at a reasonable cost. Reasonable means in relation to the experience being offered.</li>
<li>Conveyancing is a service industry and this is what you are paying for. There will be times in the conveyancing process where you will want immediate service and that’s a guarantee, but can you be sure you will get it when you want it on your terms, given the conveyancer may be snowed under with a high turnover of files?</li>
<li>If you're paying a low fee don’t expect as much personalised service. Often you get the bare necessities. More often than not you won’t get answers to questions or explanations and they will probably not want to meet with you as this will take up their time. Essentially, they will try to spend the least amount of time on your conveyancing transaction as possible because time is money and the more transactions they can do, the more money they can make.</li>
</ul>
Don’t be taken in by ads for conveyancing companies when they:
<ul>
<li>Say they are your saviour from chaos.</li>
<li>Try and convince you that conveyancing is complicated, confusing, intricate, involved and carrying huge financial and time risks if the slightest thing goes wrong.</li>
<li>Claim to be good guys.</li>
<li>Are giving away something not usually given away and then try and make it sound like those who don’t follow their lead are the bad guys.</li>
<li>Put down their competition by calling them dishonest, or accuse them of cutting corners. Truthful advertising talks about positives in self, not negatives in others.</li>
<li>Tell you it’s all a bit dramatic and frightening and intend to scare you into using them – these tactics are aimed at first home buyers especially.</li>
<li>Leave you feeling afraid or intimidated by the unknown because you don’t know anything, or very little, about conveyancing.</li>
</ul>
Article continues on next page. Please click below. 
<hr class="system-pagebreak">
Should I use a Lawyer or Conveyancer?
Conveyancers and lawyers are doing the same job - are they the same? No.
Conveyancers often charge less than lawyers because they are offering a lower service, e.g. they aren't qualified to give advice other than on conveyancing.
Lawyers provide full legal services at a comparable cost with conveyancers - therefore their service is generally better value for money.
A bigger business isn’t necessarily a better one
Low cost conveyancers will likely have substantially more files and clients than the more expensive ones. And they will need more clients turning over to keep the business open. As a result, the attention to detail is reduced as will be the time that they can devote to your case and to you.
A lawyer relies on his reputation which is based on his broad legal experience. They will have fewer clients and can give a more personalised service.
Qualifications
A conveyancer will have completed a conveyancing course and can do conveyancing work only.
Lawyers have university law degrees and are trained in conveyancing, property law, contract law, tax law, equity law, trade practices law, consumer law, local government law, family law, company law, the law of who gets your land after you die and other areas of law. These areas may be relevant to your conveyance, e.g. if the house you're selling is part of a deceased estate, the lawyer can advise on the will and tax implications.
Access to greater advice
Conveyancers aren't property law experts. They can't give you legal advice on consumer law protection, tax advice, and family law implications on how to buy the land so that you and your family are most protected or to have the best advantage.
A lawyer can give you more comprehensive advice.
Duty to refer
Conveyancer should refer you to a lawyer where legal advice is required e.g. the legal issues are too complex for a conveyancer.
Lawyers have access to their Law Society for advice or barristers or fellow lawyers in their own business or the profession generally. Usually, lawyers already have the information because of their qualifications.
Professional Indemnity Insurance
Conveyancing entities must have this insurance in place to become registered but you should always ask if their insurance is current.A conveyancer carries insurance for doing "conveyancing work", not anything else they do.
Do you know where conveyancing work starts and finishes and if the conveyancer is giving you legal advice they aren't allowed to? This means that you may have no claim where something goes wrong and you won’t know that until after your claim has been declined, or you've paid a lawyer to investigate what went wrong.
It is compulsory for a lawyer to have this insurance. It covers everything they do. lawyers cannot be issued their annual practicing certificates unless they have this insurance.
Professional standards
Conveyancers are only required to work within the law. There is no requirement to work to any standard - legal or management wise.
All lawyers must work within the law. They must also work to the compulsory levels dictated by the Legal Profession Act, the Regulations of the Law Society and their Professional Indemnity Insurers who create protocols of behaviour, management, service and accountability, so their standard of work and accountability is higher. Failing to work to the standard can lead to being disqualified by a supervisory body set up by Parliament. Consumer recourse against a lawyer is stronger and more regulated .
Conveyancer v lawyer - Which one should you use?
Use a conveyancer if:
<ul>
<li>You are a first home buyer with limited funds and the transaction is low risk.</li>
<li>If a house sale looks to be a relatively simple, conveyancers may be cheaper, and service should be the main consideration over expertise in the legal field. The question is how do you know if the selling your property will be simple?</li>
<li>If you are on a tight budget and don’t expect personalised service.</li>
</ul>
Use a lawyer when:
<ul>
<li>The property is of ‘high value’ as there is more risk.</li>
<li>In very large real estate deals, or in complicated sales, it could be safer to go with a Lawyer as their legal experience, depth and breadth of knowledge delves into other applicable legal realms you may find yourself in need of help with.</li>
</ul>
If you want more one-on-one attention and the transaction is expected to be a difficult one.
Stephen Jensen is a senior solicitor with <a href="https://www.monkeyconveyancing.com.au/">Monkey Conveyancing</a>.
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jake-cSmGT7VXVf

What's the difference between a conveyancer and a lawyer, and do I really need one?

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HSBC Bank cut its two year fixed rate home loan to 4.58% for all new borrowings over $50,000 last week.
The rate cut makes HSBC’s two year fixed rate home loan the lowest fixed rate mortgage offered by any retail bank in Australia, according to Canstar ratings as of 16 May.
HSBC Bank Australia’s head of mortgages Alice Del Vecchio says that a drop in the cost of funds has allowed HSBC to cut rates.
Customers will need to have loan applications in to HSBC before 18 July and settle by 19 September to take advantage of the 4.58% rate. After the two year period, the fixed rate will revert to HSBC’s standard variable rate. Customers will be able to make extra payments of up to $10,000 per annum.
“The ability to make additional payments is attractive as it offers the security of a fixed rate but also the flexibility for additional repayments if extra money becomes available. We also know our customers prefer a combined loan approach and so we are offering competitive variable rate pricing to complement the headline fixed rate,” said Del Vecchio.
The two year fixed rate loan has a comparison rate of 5.19% based on a secured loan of $150,000 over a 25 year term.
The bank also offers a range of one, three, four and five year fixed rate loans.
Two year fixed rate loans from the big four banks:
<ul>
<li>Commonwealth Bank: 4.84% per annum (5.73% comparison rate)</li>
<li>ANZ: 4.99% per annum (5.77% comparison rate)</li>
<li>NAB: 4.94% per annum (5.79% comparison rate)</li>
<li>Westpac: 5.04% per annum (5.93% comparison rate)</li>
</ul>
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jrichardson-uRX5hFdKfN

HSBC lowers two year fixed rate home loan

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The number of investment property loans in Australia has grown by 37% in the past four years against an increase of only 4% in the number of owner occupied loans, according to Roy Morgan Research.
The Roy Morgan Research Consumer Single Source surveys approximately 50,000 people per year. The survey has found that in 2010, 954,000 Australians aged over 18 had an investment property loan. In 2014, an estimated 1.31 million Australians held a loan for an investment property. Over the same period of time, the number of Australians with an owner-occupied loan increased just 4%, from 4.66 million to 4.83 million.
Australians aged between 35 and 64 were the key drivers of the increase in investment property loans, accounting for 78% of the increase. According to Roy Morgan Research, 11.9% of Australians between the ages of 50 and 64 now hold an investment property loan, while 11.3% of 35 to 49 year olds have a loan out for their investment property.
Over the past four years, there has also been an increase in the number of Australians aged 50 and over who have a loan out on their home. The proportion of Australians between 50 and 64 years old who hold a home loan on their primary residence increased from 31.6% to 34% from 2010 to 2014. The number of under-35s with an owner-occupier home loan decreased over the same time period.
According to Norman Morris, industry communications director of Roy Morgan Research, government policy and the economy will be major factors in people’s decision to invest or take out a home loan.
“Older Australians will face the prospect of cuts to pensions, and with the proposal for the pension age being increased to 70, this could impact the investment property market,” he says.
“Younger Australians may continue to find it difficult to enter the property market either for investment or owner-occupied because for both types they are competing with more cashed-up older property buyers.
“The future of negative gearing, increased property investment by self-managed super funds and interest rates are some of the factors likely to play an important role in the attractiveness of borrowing for investment property in the future.” 
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Number of investment property loans jumps by 37% since 2010: Roy Morgan

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First Home Saver Accounts are being phased out, with no new accounts being accepted and contributions to dwindle.
After this time, they will become regular accounts with the institution they were taken out with.
It wasn't a hugely popular product with our Big Four and across all those providing this product, 46,000 total accounts were recorded in December 2013, with $521.5 million held in the accounts collectively.
ME Bank's First Home Saver Account, one of the most popular, saw 24,000 take it up. With an average of $15,000 in these accounts, general manager asset products Luke Easton said that they were not involved in any discussions with the government around the product.
In fact, it appeared that those who had taken out First Home Savers Account with ME Bank had been largely positive about it.
Easton said that he's disappointed that discussions around how to improve these accounts did not occur, before the decision was made to get rid of it entirely.
"We've been happy supporting first home buyers," said Easton, noting the scheme worked well for those involved. "None of the majors picked up on the product, and we've found it a great opportunity."
One of the benefits that ME Bank account holders found with the product was the inability to touch the funds for the four year dutation - in effect, forcing them to keep it saved away from temptation - and the subsequent requirement that it be spent for the initial purpose, to buy a home.
Many of the account holders were said to be influenced by their parents, who had been made aware of them by their accountants. In turn, they had then helped their children to set up the accounts meaning that "by the time they're 23 or so, they are sitting on a nice nest egg," he said.
In fact, he told Property Observer that they've been considering creating a replacement product for these prospective first time buyers.
However, he said that it's early days and they're looking for feedback first before coming up with any finer details.
Currently, the ME Bank website notes that they're investigating the impact of the announced changes on customers and the pending applications.
It notes that applications received prior to 7.30pm on May 13, 2014, will still be honoured, and that the government will make 17% co-contribution on deposits for this financial year.
Due to the changes, they can no longer offer the account.
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ME Bank looks for an answer to scrapping of First Home Saver Accounts

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Depreciation is a paper-cost that investors are increasingly savvy about, however like any industry, not every depreciation schedule is made equal and some quantity surveyors are more thorough than others. This may mean that your deductions are no where near where they should be, explains BMT Tax Depreciation managing director Bradley Beer.
In a recent conversation with Property Observer, Beer explained that a quantity surveyor’s ability to spot renovation that may have been done before an investor purchased, or knowledge of when something looks out of place, can quickly help push up the claimable items.
Those who self-assess without the knowledge or property diligence, or estimate costs on their own judgement, may be missing out.
He also recently said that two types of deductions are regularly missed – capital works deductions and plant and equipment depreciation.
Beer pointed to the recent ATO stats, where 2.5 million of Australia’s property investors claimed deductions over 2011/2012. Just one million received an average capital works deduction of $2,029, which 1.7 million claimed an average plant and equipment depreciation deduction of $1,139.
“A total depreciation claim of $3,168 on average is well below the typical claim found for residential investors who request a BMT Tax Depreciation Schedule. Data collected from tens of thousands of depreciation schedules prepared by BMT Tax Depreciation suggests the average claim should be around $10,100 in the first full financial year and $7,350 per year on average over the first ten years of owning a property,” said Beer.
While not all can claim capital works deductions due to restrictions reliant on construction commencement date, plant and equipment deductions can be claimed regardless of the age.
“We’re continuing to see a trend that suggests the owners of older properties don’t claim the maximum capital works deductions available. Older properties have often had renovations completed. Even work completed by a previous owner of the property can be claimed as a capital works deduction by the current owner,” he said.
Observer Terry Ryder wrote today that depreciation is "<a href="/expert-insights/the-single-biggest-missed-opportunity-by-property-investors-depreciation">probably the single biggest missed opportunity by property investors</a>".
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How much should your depreciation deduction come to? Perhaps more than you think

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The country’s housing market remains a source of economic strength, according to the Reserve Bank of Australia’s (RBA) May board meeting minutes.
Indicating strong growth in housing investment in the first half of 2014, dwelling approvals and commencements remain at high levels despite a recent decline. The RBA noted that housing price inflation had eased in past months from its recent “rapid pace”, citing softening auction clearance rates and stabilising housing loan approval numbers.
Demand for both established and new housing remains strong according to other indicators, including turnover, first home owner grants and loan approvals.
The board noted a lower than expected inflation outcome for the March quarter. This followed on from a “surprisingly high” quarterly inflation figure for December of 0.8%. Underlying inflation in the March quarter was around 2.5-2.75% in year-end terms. The board's forecast for underlying inflation remained consistent.
According to the RBA, the price increase for tradable goods was consistent with the depreciation of the exchange rate over the past year. Price inflation for non-tradables had softened to 3% in year-ended terms, markedly down from the 4% average of the past decade. The board cited declining wage growth over the preceding two years as a key factor in the decline.
Following late 2013’s pick-up in economic activity, indicators for labour market conditions showed some improvement. The unemployment rate was down for March, though it is unclear whether this is due to monthly volatility. However the board also noted strengthening employment growth and an apparently stabilising participation rate over the past few months.
Driven by strong export growth, economic activity increased over the previous six months. Economic growth is unlikely to continue at the same pace over the next few quarters, given that export growth is not expected to remain at the same high levels.
Growth in retail sales seems to have stabilised following strong increases at the beginning of the year. Household consumption remains supported by low interest rates and rising housing prices, with consumer sentiment staying around long-run average levels.
According to a number of surveys, business sentiment remains at average levels after climbing from mid-2013 lows. The board noted that business investment in construction could pick up, despite declines in non-residential building approvals in recent months.
Gross Domestic Product (GDP) growth over 2014-2015 is expected to be slightly below trend, given the decline in mining investment and planned budgetary tightening. However, economic growth is expected to “pick up to an above-trend pace” in 2015-16 due to the contributions of non-mining business investment and liquefied natural gas exports.
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RBA notes strong housing market in May board minutes

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Shares of Genworth Mortgage Insurance Australia closed at a 13% premium after Australia’s biggest lenders mortgage insurer (LMI) made its public debut on the Australian Securities Exchange on Tuesday.
Genworth shares were priced at $2.65 but quicky rose to be at $2.96 in the first half-hour of trade yesterday.
Genworth’s $496 million float was the second-largest listing by value since 1 January, trailing last month’s $657 million Genesis Energy initial public offering.
Its prospectus reported Genworth Australia had been profitable for 46 of the past 48 years. 
The company is chaired by Richard Grellman.
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Genworth floats with 13% premium

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The federal government should offer a firm commitment to tackle key issues on tax reform in order to strengthen venture capital in Australia, according to Australian Private Equity and Venture Capital Association chief executive Yasser El-Ansary.
Specifically, El-Ansary says reforms are needed to the Venture Capital Limited Partnership regime, which is currently producing outcomes for domestic investors inconsistent with those of non-resident investors.
Such changes were set to be introduced by the previous Labor government and <a href="https://fsi.gov.au/files/2014/04/AVCAL2.pdf" target="_blank" rel="nofollow">endorsed by the Board of Taxation.</a>
“As of about 12 months ago, or even longer than that, there was across the VC industry and understanding that the government at that time was committed to making these changes,” El-Ansary says.
“Then there was a decision in late 2013 to abandon this change.
“It’s a very obvious change that should be put in place as a matter of priority.
“It’s been talked about for so long now that arguments for and against have been made, the technical analysis of the shortcomings have been worked through, not just by those that stand to realise the benefits, but also by the government’s own independent tax review authority.
“There’s many in the industry frustrated by the amount of time it’s taking to convert discussion, debate and analysis into meaningful change.
“I think ultimately it would lead to an upswing of venture capital funding here in Australia.”
Further, El-Ansary says it’s a move that would have very little impact on the government’s budget.
“Our analysis of this issue confirms for us that there is not very significant cost to the government, instead it would be a net benefit for the government because it would generate greater level of activity but does not involve a significant cost to budget bottom line,’’ he says.
Another area El-Ansary would like to see tax reform is employee share schemes. Starfish Venture’s co-founder John Dyson agrees.
“I think improving the tax regime around employee share options, to me that’s a specific issue around tax reform that would be really beneficial," he says.
“Will it mean more competitive companies get funded? Maybe. But it gives the existing companies the best chance of success.”
Dyson criticised the government’s decision to axe the Innovation Investment Fund and is concerned the Entrepreneurship Infrastructure Program, which there is currently very little detail about, will be focused on offering entrepreneurs advice and mentorship.
A statement from Minister for Industry Ian Macfarlane says the new program will bring research and business together to develop and commercialise home-grown ideas and equip small to medium enterprises and the management and business skills to lead and change expansion.
“I think the Innovation Investment Fund program in theory, is a really good program, they had some challenges in the implementation of that program, but the Australian economy is much better off than not having that,’’ Dyson says.
“I see that as a huge disappointment that it’s been axed.
“My view is we have a weakness in the market in Australia when companies are going to raise between $1 million and $5 million.
“I don’t think entrepreneurs want $200,000 and want to have to call up advisers and ask that they think about their app.”
Those concerns are shared by AngelCube co-founder Adrian Stone.
“What we know is that the Commercialisation Australia grants program is gone,’’ he says.
“Replacing that with advice and guidance is a huge step in the wrong direction.
“What startups don’t need is more advice, more consultants, more people telling startups what to do.”
Macfarlane <a href="https://www.brw.com.au/p/investing/industry_minister_full_macfarlane_LGuW2U7RL2dtkJmZyaIW1M" target="_blank" rel="nofollow">told The Australian Financial Review</a> the startup community should hold their fire on the government’s innovation strategy until the results of national competitiveness and tax reviews are in.
The Industry Investment and Competiveness Agenda will examine the issues raised by venture capital and startup groups, which Macfarlane says is not expected to be completed until after July.
This article first appeared on <a href="https://www.startupsmart.com.au/" target="_blank" rel="nofollow">StartupSmart</a>.
Photo courtesy of <a href="https://lendingmemo.com/" target="_blank" rel="nofollow" data-rapid_p="22">Lendingmemo.com</a>.
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Investors demand tax reform in budget’s aftermath

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The term ‘sunset clause’ is more easily thought about as a ‘time limit’ that can be put into property contracts. In this article, we’ll be discussing sunset clauses and off the plan purchases. We will cover sunset clauses and established property next week.
Whenever there is a sunset clause you should speak through the implications with your conveyancer.
Essentially, a sunset clause notes that if the project is not completed by a certain time then the contract is void. The buyers deposit will be refunded and they are free to look elsewhere.
Sunset clauses can help buyers by providing an expected completion date, and also as a safety net for if the developer delays for far longer than the buyer may be happy with.
A seller can also use the sunset clause to ensure they are paid in full as promptly as possible, explains the Queensland Office of Fair Trading.
However, warnings around sunset clauses have certainly been heard.
The sunset clause has seen some developers run over the time limit, refund the deposit, and then look to sell the blocks on at a higher price. This is especially the case if the market has been hot – meaning the buyer will also miss out on capital growth during this time. This leaves them losing out on other opportunities while their deposit is tied up in the development.
While Queensland’s Office of Fair Trading describes <a href="https://www.fairtrading.qld.gov.au/real-story-property-contract.htm" target="_blank">a real life example of this situation happening</a> it’s unclear just how common this practice is, however it’s worthwhile for investors and home buyers to ensure that the length of the sunset clause is appropriate for them and the worst case scenario. 
Delays can happen with construction and developments, so it’s worthwhile building in some ‘fat’ to the sunset clause and to have a clear understanding as to where the project is in its development (and whether lengthy uncertain parts of the process, such as obtaining planning approvals, have already occurred).
Background checking the developer can also be helpful, as can ensuring that progress is demonstrated regularly. You will want to be informed early of any delays and any issues these may cause.
The Western Australia Department of Commerce recommends these three considerations to determine whether a sunset clause's length is appropriate:
<ol>
<li>Whether the developer has obtained all the necessary approvals to commence and, if not, what still needs to be approved. 
</li>
<li>Whether the developer is required to secure a minimum number or proportion of unconditional contracts before they can obtain funding to allow the project to proceed and, if so, how many contracts have already been secured. 
</li>
<li>The extent of progress of the development made to date (to check on progress, a proposed buyer could ask their solicitor, the developer or the developers representative whether the milestones are being met within the necessary time frames under the contract).</li>
</ol>
It's also worth noting that if a development runs over the length noted by the sunset clause, the developer and the buyer can organise to have the contract written up again if both are still happy with the price and terms previously agreed upon.
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What is a ‘sunset clause’? Off the plan investment terms explained

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Mortgage insurer Genworth is set to list tomorrow on the Australian stock exchange after strong local and international equity interest, the second biggest initial public offering for the year to date. There was a $2.65 per share institutional price.
Genworth plans to list with a market capitalisation of around $1.72 billion. It has a 45% share of the lenders’ mortgage insurance (LMI) market in Australia, in an oligopoly as Genworth and the other main player, QBE LMI, have a combined share of around 78%.
Goldman Sachs and CBA Equities, Macquarie and UBS launched a book build last week following the decision of the US parent to sell down a 34% stake in its Australian subsidiary.
Genworth will raise about $750 million from the float, which was delayed two years ago, following heavy losses in the local LMI arm.
LMI covers lenders when borrowers default on their home loans. LMI is typically required by banks as a result of pressure from the Australian Prudential Regulation Authority and their own boards for risk mitigation when a borrower has less than 20% of the purchase price as a deposit.
Mortgage insurance covers the lender – usually banks – with Genworth the largest Australian provider, with more than 60% of its business coming from loans written by CBA, Westpac Banking Corporation and National Australia Bank.
Genworth said it expected to post a net profit of US$231 million ($248 million) for the year to 31 December, up from US$179 million in 2013.
But CLSA analyst Jan van der Schalk told the AFR the company produces an 11% return on equity, which is a “desperately poor return for a feast or famine business”.
Goldman Sachs has estimated a property price correction of 10% would have a pre-tax impact of $870 million over a two to three year period.
A hard landing for property prices – a fall of 30% – would have a pre-tax impact of $2.2 billion over two to three years.
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