Apartment buyers in New South Wales are set to gain a decade of insurance-backed protection against major building defects, after the NSW Parliament passed the Fair Trading and Building Legislation Amendment Bill 2026.&nbsp;

The Bill establishes decennial defect insurance, known in the market as Latent Defects Insurance (LDI), as an alternative to the existing two-year strata building bond. It cleared the Legislative Council with amendments on Tuesday evening (August 4, 2026), with the Legislative Assembly agreeing to those amendments shortly after.

Under the reform, eligible developers can satisfy their statutory bond obligation by taking out an approved decennial-style policy that gives owners 10 years of cover for major structural defects from completion, claimable directly, without first having to pursue developers or builders through costly legal action.&nbsp;

The change forms the final tranche of amendments arising from the 2021 statutory review of the Strata Schemes Management Act 2015 and related legislation.

Resilience Insurance, which originated the cover in Australia and has delivered it in NSW since 2022, welcomed the passage and credited the NSW Government for delivering it.

“This is protection apartment buyers have needed for a long time, and the credit for delivering it belongs to the NSW Government,”&nbsp;said Corey Nugent, CEO of Resilience Insurance.

“Minister Chanthivong and his team have shown real leadership in replacing an outdated two-year bond with cover that matches the lifespan of the buildings people are buying into. Reform like this is what good, evidence-based regulation looks like.”

Resilience has delivered LDI in NSW since 2022, protecting thousands of apartments, giving the State, and now the country, real-world evidence of how decade-long, no-fault protection works in practice.

The reform also places NSW within a wider national shift.

NSW is the third jurisdiction to put decennial cover into law. The ACT legislated for it in 2024, with the scheme taking effect in late 2025, and Victoria passed its own framework on 17 June. Between them, the three cover the majority of Australia's apartment market.

The reform commences once the legislation is proclaimed, which is expected in the coming weeks. From that point, developers of Class 2 residential apartment buildings can meet their statutory obligation with an approved decennial policy in place of the bond.

Buyers who purchased into projects that took out the cover early are among the first in the country to take keys to apartments carrying decade-long structural protection.

“With the legislation passed, the focus now turns to making it work for buyers,”&nbsp;Nugent said.

“There are already thousands of apartments in NSW covered by this insurance, bought by developers who moved early. The question every buyer should be asking in a display suite is a simple one: does this building come with 10-year defect cover, and who stands behind it?&nbsp;

“We look forward to working with the Government and the Building Commission in coming weeks as the framework moves to implementation, and to sharing what we have learned over the past four years so the protection reaches owners as smoothly and quickly as possible.”

Other states are working through their own reform programs. Western Australia has indicated that decennial cover is within consideration a later stage of its reform sequence, and Queensland has been examining the settings as it looks at the development pipeline ahead of the 2032 Olympics.

Resilience Insurance acknowledges the NSW Government’s continued focus on strengthening consumer protection while supporting housing delivery across the State.

Fast Facts: What the reform means

<ul style="color:#222222; font-family:Arial, Helvetica, sans-serif; font-size:small; font-style:normal; font-variant-ligatures:normal; font-weight:400; text-align:start; white-space:normal; background-color:#ffffff; text-decoration-thickness:initial; text-decoration-style:initial; text-decoration-color:initial">
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Proven at scale:&nbsp;Decennial cover has operated in NSW since 2022, protecting thousand of apartments.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">10 years of cover:&nbsp;Protection for major structural defects runs for a decade from completion, claimable directly and with no legal action required.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">An alternative to the bond:&nbsp;Eligible developers can meet their statutory obligation with an approved decennial-style policy in place of the 2% strata building bond.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Part of a national shift:&nbsp;The ACT has had decennial provisions in force since 2025 and Victoria passed its framework in June. NSW now joins them.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">No-fault, first resort:&nbsp;Owners corporations claim directly from the insurer without first having to establish who is liable for the defect.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Cost-competitive:&nbsp;At approximately 1.8% of build cost, LDI is typically priced below the 2% bond while offering broader, longer protection.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Market position:&nbsp;Resilience originated LDI in Australia and has delivered it in NSW since 2022.</li>
</ul>

Fast Facts: What is Resilience LDI?

<ul style="color:#222222; font-family:Arial, Helvetica, sans-serif; font-size:small; font-style:normal; font-variant-ligatures:normal; font-weight:400; text-align:start; white-space:normal; background-color:#ffffff; text-decoration-thickness:initial; text-decoration-style:initial; text-decoration-color:initial">
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Resilience Latent Defects Insurance (LDI):&nbsp;Covers major structural defects for 10 years from completion.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Consumer-first:&nbsp;Direct claim access, no need for lengthy legal action.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Cost advantage:&nbsp;At approximately 1.8% of build cost, LDI is typically priced below the traditional 2% Strata Bond while offering broader protection.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Market leader:&nbsp;&nbsp;Resilience Insurance originated LDI in Australia and is the national market leader.</li>
</ul>

Joel Robinson

NSW parliament passes 10-year defect insurance laws for new apartment buyers

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

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

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

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

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

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

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

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

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

Prominent New Zealand apartment and hotel operator, <a href="/developers/safari-group">Safari Group</a>, is offering up a prime investment opportunity for Australians to purchase off the plan in one of the world’s most popular ski destinations.

They recently took to market Mountain Oak Queenstown Apartments, in the growing precinct of Remarkables Park in Frankton, near the airport and at the foot of The Remarkables - the mountain range the locals like to call “The Remarks”.&nbsp;

Sydney investors have shown interest in the one, two and three-bedroom apartments that secure high-season occupancy six months over the year, primarily over summer and winter months.

They average 90 per cent occupancy across their portfolio over January, February, March, August, November and December, while shoulder season months of April, July, September and October are still occupied 70 per cent of the time, with the growing appeal of Queenstown becoming not just a hotspot for the snow, but a lifestyle destination.

Even in the low seasons of May and June, occupancy levels reach around 40 per cent.

<img alt="Safari Group’s Mountain Oak Apartments brings new investment potential to Queenstown" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/f_auto,c_limit,w_1440,q_auto/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/field/image/Ext_Cam15_Sunny.jpg?VersionId=SJAROUM_1s.Tr5ciMk4EEj5oAt_Vewmv" />

Safari’s Safari Hotels arm can also manage the holiday letting for an investor, from the listing on holiday accommodation websites such as Airbnb and Booking.com to the cleaning and maintenance of the investment. They’ve been in the short stay management business for 15 years and offer 24/7 support for investors, an important convenience benefit for any overseas investor

Another major drawcard for Australians is that New Zealand doesn’t have a stamp duty policy - so the entry price of NZ$639,000 (AU$586,000), is all that is payable on completion.

<img alt="Safari Group’s Mountain Oak Apartments brings new investment potential to Queenstown" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,dpr_2.0,q_auto:good/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/313_Livingv2_WEB.jpg?VersionId=nV229fM0ZeYpoxOrX372HyGjfwY_LR8c" />

Safari is starting construction of the 141 apartments in Q2 this year, with a two-year build estimated to complete in mid-to-late 2027.<img alt="" data-entity-type="" data-entity-uuid="" height="15" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXczFpFAb7WuA6f4f9TtKWcqXyNwR8qqtakWv352ERkpqNlP3KwIo8YKxw67jZNHfpjEGIZGv5MQTbnvLZwNt8iu9IVdOrswOjCvBZ4zhSoOOLrpt6etVEZTN1gkBho0r_R72zdHNA?key=yq3daOanqHSb88QFd8jGYKdb" title="Click and drag to move" width="15" />​

The apartments will feature modern amenities and contemporary designs with expansive windows capturing sweeping views of The Remarkables mountain range.&nbsp;

Interiors are equipped with modern finishes, premium appliances, and secure electronic key-locked doors, ensuring a comfortable living experience for residents and guests alike.

With its strategic location near Coronet Peak and Cardrona Alpine Resort, as well as key retail and dining precincts such as Market Street, Five Mile Shopping Centre, and Remarkables Market, Mountain Oak offers a strong proposition for investors seeking high rental yields and capital appreciation in one of New Zealand’s most sought-after locations.&nbsp;

Queenstown’s sustained demand for visitor accommodation and rental properties is underpinned by a shortage of housing options, attracting both local and international buyers.

Safari Group offers low-touch investment proposition in Queenstown’s popular ski fields district

<html><body>
EB Private Equity has withdrawn its $1.65 billion bid for David Jones, citing recent publicity around its proposal for scuttling the plan, which was interpreted by some observers as a property play.
David Jones said it had received a letter from EB Private Equity withdrawing its bid on Monday morning.
“The EBPE letter states that recent publicity around its proposal has made it difficult to proceed,” David Jones told the Australian Securities Exchange.
David Jones' share price fell 10% to $2.33 today.
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jchancellor-FAypfDUnLy

UK-Luxembourg property group EB Private Equity withdraws David Jones bid

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The megaphone should be taken away from “narrow-minded, self-interested individuals” who oppose the building of new homes in their Sydney suburbs, says think-tank the McKell Institute.
In a paper submitted to the NSW government, the institute supports Planning Minister Brad Hazzard’s vision of a return to terrace housing in Sydney.
The institute says there are 41 suburbs that are “ripe for a terrace revolution” and could incorporate terraces into their communities effectively.
The list of 41 suburbs includes million-dollar locations like Neutral Bay, Cremorne and Mosman on the north shore and Bondi and Bronte in the eastern suburbs.
Sydney suburbs that should return to the terrace
Click to enlarge
<a rel="shadowbox" href="/images/stories/2012/07/sydneyterra.gif" title="Click to enlarge"><img src="/images/stories/2012/07/sydneyterrathumb.gif"></a>
But the not-for-profit institute warns that “vested interests” are standing in the way of much-needed new housing projects in these Sydney suburbs.
“The era of militant Not in My Backyard (NIMBY) resistance to new housing must come to an end,” write authors of the McKell submission Tim Williams, Sean Macken and Peter Bentley.
“The current planning system has placed too much emphasis on mitigating the local impacts of new housing development and less on the state and regional importance of providing homes for people,” they say. 
“These vested interest groups have been given a megaphone through our planning system while the hundreds of thousands of Sydney residents struggling to enter the housing market or simply meet their rental payments are denied a voice. 
“This is unacceptable.” 
“Whether it is north shore residents in Ku-ring-gai opposing new housing along their railway corridor or inner-west residents in Balmain seeking to stop 300 new homes proposed on a major arterial road, the battle cry of ‘Not in My Backyard’ can be heard echoing throughout Sydney’s town halls, community centres and local cafes,” the McKell Institute goes onto say. 
The institute concedes that some proposed new housing in Sydney is opposed based on “genuine environmental concerns” but says objections “often have far less to do with protecting the local environment then they do with protecting a cloistered group of residents’ property prices or views”. 
“Residents’ action groups in Sydney have reached levels of previously unseen coordination and efficiency in recent years. Their ability to quickly mobilise a crowd to heckle from the gallery at a council meeting or blanket a suburb with erroneous claims of a neighbourhood’s demise if a new housing proposal goes ahead is impressive, but disastrous for sensible housing policy,” says the institute. 
In its submission it claims that while greenfield developments face the challenges of building and funding new infrastructure including water, sewerage, electricity, gas, roads, transport links, community infrastructure and amenities, on top of planning and rezoning challenges, infill developments only face planning and rezoning challenges. 
It also notes that there is already a move towards more terrace housing living as found in the 2011 census, with terraces and townhouses making up 12.8% of housing stock and the percentage of detached houses falling from 60.9% to 58.9% since 2006. 
It claims that the “seemingly endless opposition to infill development” is one of the key drivers in Sydney failing to build the number of homes we need in existing suburbs. At a macro level this drives up the price of homes and rental costs and denies the next generation of Sydneysiders the ability to own their own home. 
The report notes that areas like the inner north and Sydney City have failed to come even close to meeting their modest targets for infill development.
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“This is in small part due to local councils and local residents in these regions opposing and delaying infill development,” says the McKell report. 
The institute says “drastic action” must be taken to fix Sydney’s housing crisis. 
“For the past three decades NSW has lacked a coherent housing policy and what policies it has had to support housing has been inconsistent and contradictory. 
“Bad housing policy is bad social policy, as Sydney residents are forced to pay higher prices to either rent a home or own their own home. 
“Sydney’s average house price is now $641,000 compared to Melbourne’s average price of $529,000,” says the McKell report. 
The McKell Institute believes 35,000 new homes must be built each year within the Sydney region in order to meet demand – compared to the annual target of 23,000 agreed to in 2010 in the NSW government metropolitan srategy for 2036.
The NSW government discussion paper <a target="_blank" href="https://www.planning.nsw.gov.au/sydney-over-the-next-20-years">Sydney over the next 20 years</a> forecasts that Sydney will have 1.4 million more people by 2036 and will need 570,000 more homes than are currently standing.
For more on <a target="_blank" href="http://propertyobserver.com.au/ebooks/free-ebook-sydney-embracing-the-world-of-tomorrow">Sydney's present and future download our free eBook.</a>
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‘Militant NIMBYism’ from Mosman to Bondi ruining development of Sydney housing market: McKell Institute's 41-suburb hit list

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Lower interest rates helped Australia’s eight capital cities record a 1% gain in dwelling prices over June to a median of $460,000, according to the latest RP Data?Rismark June Hedonic Daily Home Value Index.
The three biggest markets – Sydney, Melbourne and Brisbane – all recorded dwelling price gains of 1% over June.
Perth was the standout market, with a 2% gain to a median of $460,000, with Perth dwelling prices now down just 1.4% over the previous 12 months.
Perth also had the strongest house price gain over June, with house prices up 2.4% to a median of $475,000.
The combined Brisbane-Gold Coast market was the strongest unit market over June, with a gain of 2% to a median of $355,000.
For the 12 months to the end of June Sydney dwelling prices are down 2% to a median of $541,000.
Melbourne remains the weakest housing market, with dwelling values down 6.6% for the year to June to a median of $480,000. The Brisbane market is down 4.7% to a median of $415,000.
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RP Data research director Tim Lawless says the catalyst for the improvement in market conditions “is likely to have been the 55-basis-point reduction in the average discounted home loan rate over May and June as well as the subtle improvement in consumer sentiment readings that have been reported”. 
“The increase in capital city dwelling values is an encouraging sign that the market appears to be responding to improved housing affordability and lower interest rates,” Lawless says. 
Lawless notes that capital city dwelling values have simultaneously risen over three months and fallen over three months – but the end result is that the market is still down 1.2% over the first six months of 2012. 
“Regardless, while discounted variable mortgage rates are as low as 5.6%, Australian households remain understandably cautious about the economy given the global uncertainty. 
“This is likely to weigh down on consumer demand for high commitment purchases,” he says. 
Rismark CEO Ben Skilbeck described the Melbourne rebound as “perhaps the most significant insight from the daily index”. 
“Between January 2009 and December 2010 Melbourne dwelling values rose by a remarkable 35%. 
“Since that time they have corrected by just over 8%. After reaching a trough on 11 June, Melbourne dwelling values have now recovered by an impressive 1.7%. But they are still off about 4.1% in 2012,” Skilbeck says. 
Skilbeck also notes the impact of lower interest rates on house prices. 
“The rebound in capital city home values during June indicates that the RBA’s relaxed monetary policy stance may have reached the point of inflating asset prices despite households remaining cautious about the economy,” says Skilbeck. 
He says housing market fundamentals are increasingly solid, with asset prices likely to respond to further monetary policy stimulus. 
The only major capital city to record a fall was Adelaide, with dwelling prices down 1.1% to a median of $370,000.
Among the smaller capital city markets, Canberra dwellings rose 2% to a median of $485,000 and Hobart up 2.7% to a median of $342,000.
Darwin dwelling prices fell 0.7% in June to a median value of $468,000 – but it remains the only capital city market alongside Canberra to be up over the past 12 months.
The highest rental yields are Darwin houses and units. Both have a gross rental yield of 6.1%. 
The lowest rental yields are Melbourne houses at 3.7% and Melbourne units at 4.5%.
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Rate cuts help housing market recover in June with 1% rise in capital city dwelling prices: RP Data?Rismark

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Guess what? Contrary to the silly claims of some, Australian house prices are not falling through the floor. In fact, Aussie dwelling prices surged back by a surprisingly strong 1% in the month of June assisted by a tail-wind in the form of the RBA’s generous rate cuts over the preceding 60 days. And these gains (not losses) were experienced by around 90% of the nation’s capital city owners. 
Over the entire month of June, RP Data-Rismark’s “daily” hedonic index, which RBA remarks imply is its preferred benchmark, documented healthy capital growth in Sydney (+1%), Melbourne (+1%), Brisbane and the Gold Coast (+1%), Perth (+2%), Hobart (+2.7%), and Canberra (+2%). Only Adelaide (-1.1%) and Darwin (-0.7%) suffered losses. 
The first chart below illustrates the change in the value of homes situated in the major east coast cities while the second includes the remaining conurbations. As I correctly anticipated in <a target="_blank" href="https://www.businessspectator.com.au/bs.nsf/Article/house-prices-interest-rates-RBA-property-housing-m-pd20120622-VH4AZ?OpenDocument&amp;emcontent_spectators">this column</a> two weeks ago, it would appear that the RBA’s 75 basis points worth of rate cuts over May and June, which have translated into about 55 basis points worth of variable lending rate reductions, has had a rapid impact on housing conditions. Indeed, the commonality in the recovery in home values across most cities since the end of May is arresting.
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Whereas at the end of May the year-to-date change in Australian dwelling values was estimated to be -2.2%, this has now fallen to just -1.2% as at June 30. It is entirely conceivable that the Australian housing market could end the year in the black. 
Rismark’s quantitative forecasting models, which are used by banks, insurers and various government agencies, imply that national dwelling values will be flat over the next 12 months, which would be a materially better outcome than the 3.8% nominal loss experienced in 2011 (according to RP Data-Rismark’s eight capital city index). 
One of the most significant insights from the June data release was the exceedingly sharp improvement in Melbourne conditions. Melbourne home values have jumped 1.7% since June 11 alone (refer to the back line in the first chart above).  Regular readers will recall that Melbourne dwelling values appreciated by a remarkable 35% between January 2009 and December 2010. Yet the indigestion caused by this boom – and Melbourne’s unusually low rental yields – arguably contributed to a circa 8% correction in the period since. 
The June data offer the first preliminary signs that the RBA’s preparedness to slash rates may have helped break the back of Melbourne’s housing malaise. And the sensational auction results garnered by Channel 9’s The Block show last night do nothing to dispel this possibility. 
RP Data-Rismark’s June findings are also impressive because their daily index numbers represent actual changes in dwelling values; that is to say, there has been no “seasonal adjustment”. We know that the winter months of May through August, and June and July especially, are typically very weak. So in “seasonally adjusted” terms, the capital gains recorded in June would have been larger again. 
Dispassionate analysis reveals that Australian housing market’s fundamentals look increasingly benign. The national dwelling price-to-income ratio is at its lowest level since March 2003. (In fact, applying Rismark’s hedonic adjustments, disposable household incomes have grown more quickly than house prices for the past nine years.) As the RBA’s Dr Guy Debelle <a target="_blank" href="https://boardroom-pc.streamguys.us/files/RBA/RBA20120626_GD/">pointed out last week</a>, mortgage arrears remain low, and there is no evidence of overbuilding. Indeed, most credible experts, such as the government’s independent <a target="_blank" href="https://www.nhsc.org.au/">National Housing Supply Council</a>, have concluded that there is a structural housing shortage. The labour market is purportedly close to being fully employed, while wages have been expanding at a healthy clip. Finally, all-important mortgage rates are way below their long-term averages. <a target="_blank" href="https://www.ubank.com.au/ub/web/home">Banks are offering</a> discounted variable rates and three-year fixed rates today as low as 5.62% and 5.75% per annum, respectively. 
It will be fascinating to see how the Sydney and Melbourne broadsheets cover the June house price results given their predilection for peddling gloom in favour of more sober analysis. This persistent bias in popular reporting has led RBA governor Glenn Stevens and other senior media commentators, such as Ross Gittins, to argue that some in the media are misleading the community as to the true state of our economy. This may help explain why many confidence surveys depart so dramatically from the real economic data.
Christopher Joye is a leading financial economist and a director of <a target="_blank" href="https://www.ybr.com.au/savings/index.cfm">Yellow Brick Road Funds Management</a> and Rismark. The author may have an economic interest in any of the items discussed in this article. These are the author’s personal views and do not represent the opinions of any other individual or institution. This material is not intended to provide, and should not be relied upon for, investment advice or recommendations.
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Recovering house prices across most Australian capitals buck the typically weak June trend: Christopher Joye

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The Thirroul motel where famed Australian artist Brett Whiteley died from a heroin overdose in 1992 is set for listing after receivers were appointed in January.
The Thirroul Beach Motel closed last month under instructions of the insolvency firm Jamieson Louttit &amp; Associates.
Partner Jamieson Louttit told the Illawarra Mercury that the owners George and Kosta Dimitrovski defaulted on the mortgage provided by Australian Executor Trustees Limited.
A nearby retail shop and residence on 1,650 metres – formerly Jims Fish Café – has been sold under instructions.
The site, zoned R2 Low Density Residential, was listed through Bob Houston and Travis Machan of MMJ Wollongong, who sold the property pre-auction last month.
The Dimitrovskis are also directors of Thirroul Property Holdings, the owners of Austinmer's Headlands Hotel site, with a much-anticipated redevelopment prospect.
Thirroul Property Holdings went into receivership in June 2011.
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Thirroul motel set for receivership sale

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When property owners are receiving their council rate notices, not only are they interested in the rates bill but also the value of the property.
It is important to know, however, that the value determined to your home by the council is not always the same amount you will receive if you were to sell your home tomorrow.
The primary purpose of a council valuation is to provide a basis for determining the property owner’s contribution to the council’s consolidated revenue. The valuation is determined every two years on January 1 by qualified valuers engaged by your council.
The council valuation will provide a guide as to the price you may achieve if you are intending to sell.   However, you should also undertake a number of other steps to determine the value of your property.
You can ask an REIV member to undertake a market appraisal.  This will provide you with the opportunity to discuss with them the factors that impact property values.
When your property goes on to the market it is important to remember that prospective buyers often look at a range of homes within the same location. As such, it is wise to make an effort to understand the local market. You can do that by checking the sales results each Saturday night at <a target="_blank" href="https://www.reiv.com.au/">www.reiv.com.au</a> or in the Sunday newspapers. There are also a range of websites that will provide you with information about how much properties in your area have sold for over the last few weeks, months or years.
Finally, when you actually sell, remember that the demand for your home will be influenced by what other properties are for sale in your area and the number of buyers looking.  This means that the marketing and preparation of the home will also influence the sale price.
Enzo Raimondo is CEO of the <a href="https://www.reiv.com.au/" target="_blank">Real Estate Institute of Victoria</a>.
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The price your home would sell for is not always the same as the council-determined value

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The property market in New South Wales is overcrowded with real estate agents struggling to get a piece of the pie, and they are squeezing each other out of business.
Figures from the Department of Fair Trading (Real Estate Section) in Sydney for the end of May 2012 show there are 17,364 current licensed real estate agents in NSW.
When the property market is practically stagnant as it is at the moment and real estate agents are suffering you have to ask the question “How on earth do they survive?”
Perhaps more to the point “How do they survive in the downturns?” and live to see another day?
In 2012 so far the evidence of trials and tribulations for real estate agents is there to see all over Sydney with mounting mergers and acquisitions to share debt or overheads in businesses’ valiant efforts to avoid going under. This is particularly true of Sydney’s eastern suburbs, where agents have always enjoyed astronomical commissions on residential sales in wealthy suburbs like Darling Point, Point Piper and Vaucluse.
Of course you could argue that recent sales of multi-squillion-dollar waterfront homes have fallen back from $50 million plus to $30 million because of the GFC, the strong Aussie dollar, the European economic crisis and the simple fact that everyone is scared to death about what will happen in future.
So where does all this leave NSW real estate agents? Their best efforts to make even a reasonable living are mostly stranded now like whales on a sad beach. Their songs of past success floundered by an apathetic property market where people don’t know whether to buy or to sell.
When whales are stranded on that lonely beach there is a way for them to survive through help from others.
Here is that help if you want it and are prepared to listen:
<ul>
<li>Stand out in the crowd. Don’t sit back and wait for business to come to you. You have to draw attention to your company, your brand or yourself as an individual.</li>
<li>Do anything you can that differentiates you from your competitors. It doesn’t matter what it is; the point is to do it. It may be red balloons outside your agency window, a snake-charmer in the front yard of your open inspections; or just give a red rose to every lady you meet during your business day (this works wonders).</li>
</ul>
I can’t quote names or places, but I am going to tell you how I once did it with the help of others.
Some years ago I met a senior property executive for a coffee to have a talk about the real estate industry, which was in bad straights at the time but moving up from 8am on the property clock heat meter.
We discussed how to differentiate a new brand. By our second cappuccino we had agreed on how to make the new business really stand out in the market, but there were huge risks involved.
This is what we did:
<ul>
<li>We agreed to concentrate on a single niche market (do what you know best and don’t offer a wide range of options). </li>
<li>We decided to specialise in the sale of prime waterfront homes in Sydney’s eastern suburbs (you can’t be any expert on everything).</li>
</ul>
How did we do it?
<ul>
<li>A lot of courage, and financially a big risk.</li>
<li>The first thing we did was to re-name a 10-metre cabin cruiser that already belonged to the company, and we called it “Waterfront”.  It was berthed nearby our new office and hosted up to 12 guests. </li>
</ul>
Then we invited prospective waterfront property buyers to see their dream properties from the water on Sydney’s glittering harbour and disembark for guided inspections of the homes we were selling. I should not say this, but “Boomerang” comes to mind.
<ul>
<li>We convinced the local municipal council at the time to put all their property records for the area into a digitised format that we could use for direct marketing campaigns to waterfront owners. It was the first time ever in Australia that this was done, from old ledgers to the new digital era. Then we transferred this data onto a PC and used the information.</li>
<li>We engaged a well-known aerial photographer who was a specialist in waterfront homes in Sydney’s eastern suburbs, and together we published a high quality book showing these properties from the air. This had never been done before.</li>
<li>We distributed the hard-cover book personally by hand to every single waterfront home that was included in it for free. Of course we had branded it with our business name, but it was not directly about us. In fact we didn’t even include a contact telephone number in it, just our logo.</li>
</ul>
Publishing the book alone cost about $30,000 in those days. We recovered the investment in six months and established our brand forever in premium residential property. This brand is now one of the best-known in the world today.
The glossy book that we gave away (which was my baby and for which I nearly lost my job then because of the cost) has been much loved by thousands of people over the years.
We didn’t need to knock on the doors of some of the greatest homes in Australia to list them for sale. We were already inside sitting proudly on their coffee table, and we are still there today. 
Summary:
<ul>
<li>Concentrate on just one speciality.</li>
<li>Think outside the box.</li>
<li>Don’t do what everyone else does. </li>
</ul>
“The one who follows the crowd will usually never get any further than the crowd.”
~ Albert Einstein
Tim Mansfield is a 30-year global  veteran in the real estate industry and Founder and CEO of Sydney-based buyers’ agents <a href="https://www.primepropertybuyer.com" target="_blank">PrimePropertyBuyer</a>. You can follow Tim on Twitter by clicking <a href="https://twitter.com/#!/tim_mansfield">here</a>.
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How real estate agents can survive downturns and stagnant property markets

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It was Bank of America Merrill Lynch analysts who suggested in April that prospective suitors might want to look past the lax retailing environment and focus on David Jones’s potential as a property play.
This afternoon the UK-Luxembourg firm EB Private Equity has offered to buy the retailer in a $1.65 billion takeover deal.
<a href="https://www.ebpe.net/">EB Private Equity's website</a> describes the group as a Luxembourg and UK real estate investor and developer.
"EB Private Equity has developed an expertise in real estate investments that ranges from investments in commercial (office and retail), leisure and alternative asset class investments,'' the group's website says.
David Jones's share price had surged nearly 14% to $2.59 at today, after chairman Robert Savage said the company had received an unsolicited takeover offer.
After Friday’s big jump in the value of David Jones shares, the company’s market capitalization sat at just $1.4 billion.
Merrill Lynch in April said its Melbourne and Sydney CBD sites could be worth anywhere between A$500 million and A$1 billion, providing a potential cash injection to acquirers if they were sold off.
Some market watchers have done quick research into the EBPE company website <a href="https://www.ebpe.net/" target="_blank">(www.ebpe.net) </a>noting its carries little substantial information except some feel-good quotes from JPMorgan and John D. Rockefeller.
The AFR note some of the text looks like it has been copied from the website of another UK real estate investor named Moorfield.
The company’s URL is registered to a mailbox address in the UK with a July 27 expiry and lists Yahoo! addresses as contacts.
Data collector Dealogic says it has no record of EB Private Equity.
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Little known UK-Luxembourg group EB Private Equity makes property play for embattled retailer David Jones

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Another day, another report on our growing housing supply crisis.

Today the COAG Reform Council, headed by Paul McClintock, released its <a target="_blank" href="https://www.coagreformcouncil.gov.au/reports/housing.cfm">third annual report</a> on performance against COAG's 2009 National Affordable Housing Agreement, covering 2010-11.

The report's conclusions are disheartening. It finds that rental affordability got worse between 2007 and 2010: more than 40% of low-income households are now in "rental stress" (defined as rent higher than 30% of gross household income), up from 37% in 2007. Some 60% of people in the lowest 10% of incomes face rental stress, up from just under 50%. And the problem is worst in NSW, which has been identified in other reports by the <a target="_blank" href="https://www.crikey.com.au/2011/12/22/national-housing-supply-council-report/">National Housing Supply Council</a> and from <a target="_blank" href="https://www.crikey.com.au/2012/06/22/census-reveals-the-consequences-of-a-national-housing-myopia/">the census</a> as the worst state for housing supply.

The Reform Council's report also concluded that housing had become less affordable through the period, though primarily as a consequence of interest rate rises. The problem was particularly acute in capital cities, and Queensland was the worst state for affordable housing for low-income earners. But the overall level of mortgage stress for low income households remained the same over the period.

The report also concluded that the gap between the level of housing supply and demand had more than doubled to nearly 187,000 since 2008. The numbers are a little more conservative than the most recent National Housing Supply Council <a target="_blank" href="https://www.nhsc.org.au/content/publications/housing_supply_affordability/exec_summary">update</a>, which revised its estimates of the dwelling gap to 200,000 in 2010. Both reports agree, however, the NSW was the worst state, with a dwelling gap of about 73,000-74,000, but Queensland was getting worse.

The COAG report is separate from the process initiated in April 2010 -- Kevin Rudd's last COAG meeting -- where COAG agreed <a target="_blank" href="https://www.coag.gov.au/coag_meeting_outcomes/2010-04-19/docs/Communique_20_April_2010.pdf">"a housing supply and affordability reform agenda"</a> with a tight timeframe for a comprehensive series of reports and reviews examining housing supply and government policies that acted as impediments to the delivery of more housing stock. All of the activity associated with the agenda was scheduled to be completed by the end of 2010, except for one project that was given until mid-2011.

Since then the agenda has disappeared without trace, as if it was all a figment of Rudd's imagination. According to the National Housing Supply Council, from the time COAG announced the agenda to the end of 2011, the dwelling gap blew out by another 28,000 to 228,000.

The COAG report noted that it was having difficulty reporting on the relevant partnerships between state and Commonwealth governments that contribute to the housing agreement, because it "cannot link the activity reported to the outcomes and objectives in the National Agreement. Reports on national partnerships generally provide information on activity without evidence of the effect the activity has on outcomes ... We cannot clearly mark progress against commitments or analyse them comparatively."

That is, the states are good at saying what they're doing but not so good at saying whether they're meeting outcomes or making progress in a way that enables the council to compare across states.

We're thus left with only a limited number of indicators, and chiefly that ever-growing dwelling gap, to illustrate government failure.

As the history of the COAG housing agenda shows, this was briefly a priority for federal Labor, but the Gillard government appears to have lost interest in it. Low-income earners across Australia will continue to suffer the consequences.
This article originally appeared on <a href="https://www.crikey.com.au/" target="_blank">Crikey</a>.
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Housing affordability fell between 2006 and 2010: COAG

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“Trust not their presents, nor admit the horse.”
Nope, it’s not about the legend of the Trojan horse.   In this case – and it is my blog after all – we’re talking about government incentives.
For the most part, the theory behind home-buyer incentives (and these include concessions for stamp duty or transfer duty as it is now known) is commendable.
But in practice, as we have seen, most government handouts can be misguided and misdirected – sometimes amounting to little more than political nonsense.
Ultimately, as we wrote here, grants like the first-home buyer grants, for example, have the propensity to be detrimental to first-home owners; being inflationary in nature, and resulting in upward movement of prices.
In short, <a target="_blank" href="https://matusikmissive.wordpress.com/2010/02/24/beggars-belief/">I don’t like politically inspired property incentives</a>.
But that’s not to say that they are all bad, all the time, and I will concede just a tad that some grants and concessions may provide positive impact.
On the eve of a new financial year, here are some of the changes that we can anticipate in home-buyer incentives and transfer duty:
Queensland will say hello to new transfer duty rates from July 1st.  This is a reinstatement of the principal place of residence exemption and applies to the first $350,000 value in a home.  Further concessions will remain for first-home buyers – a $10,000 grant will be available between August and January.
In terms of transfer duty relief, numbers here are enticing – a $300,000 property purchase, for example, that previously incurred $8,325 in duties will now require just $3,000.  And a $500,000 purchase that previously incurred a transfer duty of $15,525 for example, will now require $8,750.
New South Wales will get a new home grant scheme – purchasing or building a new home will provide $5,000 to buyers for homes valued up to $650,000 and land valued at up to $450,000.
The state will shelve its previous bonus scheme which provided a full exemption on transfer duty for new homes up to $600,000 and land up to $400,000.
Victoria – From July 1, two first-home buyer schemes will be dropped – the $13,500 first-home bonus scheme and the $6,500 regional bonus scheme.
First home buyers will receive an increase in transfer duty reductions from 20% to 30% on the January 1, 2013; from 30% to 40% the following January, topping out at a 50% reduction effective September 2014.
South Australia – transfer duty will be scrapped for off-the-plan apartments –<a target="_blank" href="https://www.propertyobserver.com.au/residential/reducing-stamp-duty-not-boosting-building-the-key-to-solving-housing-crisis-michael-matusik/2011110852260"> here’s what we think about paying duty on off-the-plan purchases</a> –  in Adelaide City and North Adelaide. 
Elsewhere, a full concession will be capped for off-the-plan apartments valued up to $500,000 up to 30th June 2014.
From July 1 the first-home bonus grant will be halved, with up to $4,000 available for eligible buyers who qualify for the federal $7,000 first-home owner grant, and the grant will be abolished entirely from July 2013.
Schemes come and go; some hold promise and may deliver; too many fizzle and are quietly put to bed.
While the introduction of a new grant, or the ending of a current one, often brings forth a flurry of activity, more often than not, the activity is not sustained.  As we wrote here, there’s a lot that we can do, and a lot that we need to undo to boost our ailing property industry.  But building grants and the like are not always the answer.
Michael Matusik is the director of independent property advisory Matusik Property Insights. Michael is a 25-year veteran in the industry and his firm has helped over 550 new residential developments come to fruition. Michael has launched a new initiative, called<a href="https://www.matusik.com.au/" target="_blank"> Think Matusik</a>. Think Matusik brings together expert opinion and select property opportunities.
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