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“Minister Chanthivong and his team have shown real leadership in replacing an outdated two-year bond with cover that matches the lifespan of the buildings people are buying into.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>
There are 24 Perth suburbs with median house prices of $1 million or more according to Real Estate Institute of Western Australia statistics. Peppermint Grove eclipsed the other suburbs, nearly doubling the median price of number two suburb, Dalkeith. The data comes from sales in 2011.
<table width="388" cellpadding="0" cellspacing="0" border="0"><tbody>
<tr>
<td valign="bottom" nowrap width="144">
Suburb
</td>
<td valign="bottom" nowrap width="244">
Median House Price (December 2011)
</td>
</tr>
<tr>
<td valign="bottom" nowrap width="144">
<a target="_blank" href="/news">Peppermint Grove</a>
</td>
<td valign="bottom" nowrap width="244">
$4,680,000
</td>
</tr>
<tr>
<td valign="bottom" nowrap width="144">
Dalkeith
</td>
<td valign="bottom" nowrap width="244">
$2,410,000
</td>
</tr>
<tr>
<td valign="bottom" nowrap width="144">
<a target="_blank" href="/news">Cottesloe</a>
</td>
<td valign="bottom" nowrap width="244">
$1,775,000
</td>
</tr>
<tr>
<td valign="bottom" nowrap width="144">
<a target="_blank" href="/news">City Beach</a>
</td>
<td valign="bottom" nowrap width="244">
$1,750,000
</td>
</tr>
<tr>
<td valign="bottom" nowrap width="144">
<a target="_blank" href="/news">Nedlands</a>
</td>
<td valign="bottom" nowrap width="244">
$1,535,000
</td>
</tr>
<tr>
<td valign="bottom" nowrap width="144">
<a target="_blank" href="/news">Swanbourne</a>
</td>
<td valign="bottom" nowrap width="244">
$1,495,000
</td>
</tr>
<tr>
<td valign="bottom" nowrap width="144">
<a target="_blank" href="/news">Henderson</a>
</td>
<td valign="bottom" nowrap width="244">
$1,380,000
</td>
</tr>
<tr>
<td valign="bottom" nowrap width="144">
<a target="_blank" href="/news">Applecross</a>
</td>
<td valign="bottom" nowrap width="244">
$1,340,000
</td>
</tr>
<tr>
<td valign="bottom" nowrap width="144">
<a target="_blank" href="/news">Subiaco</a>
</td>
<td valign="bottom" nowrap width="244">
$1,300,000
</td>
</tr>
<tr>
<td valign="bottom" nowrap width="144">
<a target="_blank" href="/news">Claremont</a>
</td>
<td valign="bottom" nowrap width="244">
$1,250,000
</td>
</tr>
<tr>
<td valign="bottom" nowrap width="144">
<a target="_blank" href="/news">Mosman Park</a>
</td>
<td valign="bottom" nowrap width="244">
$1,250,000
</td>
</tr>
<tr>
<td valign="bottom" nowrap width="144">
<a target="_blank" href="/news">North Coogee</a>
</td>
<td valign="bottom" nowrap width="244">
$1,230,000
</td>
</tr>
<tr>
<td valign="bottom" nowrap width="144">
<a target="_blank" href="/news">Mount Claremont</a>
</td>
<td valign="bottom" nowrap width="244">
$1,177,500
</td>
</tr>
<tr>
<td valign="bottom" nowrap width="144">
<a target="_blank" href="/news">Churchlands</a>
</td>
<td valign="bottom" nowrap width="244">
$1,150,000
</td>
</tr>
<tr>
<td valign="bottom" nowrap width="144">
<a target="_blank" href="/news">South Perth</a>
</td>
<td valign="bottom" nowrap width="244">
$1,150,000
</td>
</tr>
<tr>
<td valign="bottom" nowrap width="144">
<a target="_blank" href="/news">Floreat</a>
</td>
<td valign="bottom" nowrap width="244">
$1,100,000
</td>
</tr>
<tr>
<td valign="bottom" nowrap width="144">
<a target="_blank" href="/news">Shenton Park</a>
</td>
<td valign="bottom" nowrap width="244">
$1,085,000
</td>
</tr>
<tr>
<td valign="bottom" nowrap width="144">
<a target="_blank" href="/news">Watermans Bay</a>
</td>
<td valign="bottom" nowrap width="244">
$1,080,000
</td>
</tr>
<tr>
<td valign="bottom" nowrap width="144">
<a target="_blank" href="/news">East Fremantle</a>
</td>
<td valign="bottom" nowrap width="244">
$1,050,000
</td>
</tr>
<tr>
<td valign="bottom" nowrap width="144">
<a target="_blank" href="/news">Piesse Brook</a>
</td>
<td valign="bottom" nowrap width="244">
$1,030,000
</td>
</tr>
<tr>
<td valign="bottom" nowrap width="144">
<a target="_blank" href="/news">Salter Point</a>
</td>
<td valign="bottom" nowrap width="244">
$1,026,000
</td>
</tr>
<tr>
<td valign="bottom" nowrap width="144">
<a target="_blank" href="/news">North Beach</a>
</td>
<td valign="bottom" nowrap width="244">
$1,023,000
</td>
</tr>
<tr>
<td valign="bottom" nowrap width="144">
<a target="_blank" href="/news">Attadale</a>
</td>
<td valign="bottom" nowrap width="244">
$1,000,000
</td>
</tr>
<tr>
<td valign="bottom" nowrap width="144">
<a target="_blank" href="/news">Northbridge</a>
</td>
<td valign="bottom" nowrap width="244">
$1,000,000
</td>
</tr>
</tbody></table>
Source: REIWA
 
 
 
</body></html>

awalsh-7Ub9EypybQ

The 24 million-dollar Perth suburbs

<html><body>
The cash rate will fall tomorrow and most likely by 0.25%.  The yield curve strongly suggests such.  As at the middle of last week – I do write these in advance – the 10-year government bond rate was 3.76%, while the official cash rate was 4.25%, and the somewhat wide difference suggests that the cash rate should fall.  This indicator is right about half of the time, while the average economist gets interest rate calls right just once every seven times.  So, it’s the yield curve for me, Sunny Jim.
Now, what does this mean for Australian housing?  Well, in the past it meant quite a lot, especially after a succession of interest rate falls.  Historically, house sales improved, new housing starts picked up, and end prices stabilised – and more often than not, rose.  And I still have the charts to prove it.
But over the last decade or so the connection between cheaper money and house market improvement has been broken.  And unless action is taken, then this circuit might be broken for good.
In short, residential property, and especially new stock, is taxed way too much and there have been far too many government-induced grants and incentives, such as building boosts and first-home buyer grants.  These have distorted the more normal property cycle, inflated demand and prices and have made the housing market far more cyclical than it used to be.
Despite mortgage rates falling by close to 1.5% over the past two or so years, new housing starts have continued to decline.
Sure there is at present a flurry of activity in several quarters<a target="_blank" href="https://www.propertyobserver.com.au/resources/government-property-grants-and-stamp-duty-concessions-the-expiry-dates-you-need-to-know/2012041054208"> as a variety of building incentives are about to close around the country</a>.  But all this has done is brought demand forward.  There will a “hole” in these markets for the next three to six months, maybe longer.  Sadly, many in the development industry will call for another quick fix, including further drops in interest rates, an increase in the first-home buyers’ grant or an extension of a building boost – you get the drift.
Only two things will lift new housing starts Down Under:
<ul>
<li>Increasing population growth.  While another drop in interest rates might temporarily boost new housing starts, the only real reason why housing starts would need to rise – under current conditions – would be to cater for higher levels of population growth. We need more migrants.</li>
<li>Changing the current conditions.  Increase the supply of raw land across urban Australia.  Reduce the time taken to get an approval.  Reduce the amount of unnecessary compliance needed to get a new residential development off the ground.  Allow the market to dictate demand, not urban boosters (or whatever they are being branded as at present). Have new property valuations based on rental return, and not on mostly second-hand and dubious comparisons.</li>
</ul>
And importantly, reduce taxation on new property – the residential building industry is being weighed down by excessive and ineffective taxes.
Work by the HIA shows that the total tax-take from new housing can be as much as 40% of the final price of a new home.  New housing is the second most heavily taxed business sector in Australia, and yet it still contributes almost $40 billion in tax revenue each year.  And regrettably, it’s the new home buyer who pays.
And here is the real sticking point – this $40 billion every year makes up one-eighth of the government’s revenue.  They are all hooked on the cash injection.
If you really want more new starts across the country, lift migration remove GST on new construction remove stamp duties on off-the-plan sales and reduce – dramatically please – the size of all levels of Australian government.
Now, let me turn my attention to the established resale market.
The biggest problem facing this market is choice.  There is just way too much.  There are close to 400,000 resales on the market across the country.  A more healthy supply would be about half this volume.  A 0.25% or even 0.5% drop isn’t going to magically make these properties enticing enough to buy.  Heck, I could argue that dropping the cash rate by 1% wouldn’t do too much.
Far too many of them are overpriced, have been for sale way too long, and too many of the vendors trying to sell them just haven’t got a clue.  Given how tight the vacancy rate is at present (1.7%), what many of these vendors should do is renegotiate their finance, take their property off the market, lock into a low fixed-interest rate for a couple of years and rent the property out.
Now if people really want or need to sell, then they should do the following things:
Understand what their dwelling is worth and accept its value.  In other words, meet the market.  Rip the bandage off once and move on.
Assign one good agent.  One, not two or three, just one.  Multi-listing is sales death in a buyer’s market.
Assign your agent a short time frame to sell the property.  I am talking about 30 days.  And get them to bring you signed contracts – not verbal offers.  You want to see paperwork.
You must present the property well.  If you were selling your car, you would have it detailed.  The same applies to your home or investment property.  Minimum budget is 1% of the sales price.  If you cannot afford this, don’t bother trying to sell it.
Ditto goes for promoting it.  Again, a 1% minimum spend and make sure you get your money’s worth.  Do not accept crappy photos via an agent’s iPhone (not that Apple does anything crappy!) or being stuck on page 12 on a realestate.com.au’s property search for your area or price range.  And you must put an asking price on the property!
For the month your place is for sale, your job is to make it look the best that it can and to promote it wisely to the appropriate audience. 
Just because the average home loan might be about $50 cheaper per month from tomorrow – and remember, interest rates cycle like nearly everything else in life – it does not mean that the Aussie housing market will be automatically better off.  That used to be the case, but not really anymore.  We have interfered way too much for such simple things to have much influence any longer.
Of course, nearly every talking head will disagree with what I have just written.  Real action is needed – not shifting deck chairs on the Titanic.
If you are in the property industry or trying to sell a property, don’t expect too much from a small drop in interest rates.  You are likely to be disappointed.
Fight for bigger and more permanent change.
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.
</body></html>

michaelmatusik-49YzLvdmNv

Government taxes and grants have distorted the property cycle, and an interest rate cut might not help: Michael Matusik

<html><body>
Recently, Larry Schlesinger provided <a target="_blank" href="https://www.propertyobserver.com.au/residential/house-prices-to-bottom-out-in-2012-and-start-rising-from-2013-nab/2012041354255">commentary on the property market trending towards a “bottoming out” in 2012 and a “modest rise” in 2013 onwards</a>, based on a 300 respondent-strong survey commissioned by the NAB Bank.
Following this, I conducted my own survey of market sentiment in regards to 2012 through to 2013. I was able to collect 50 responses, and the outcomes were quite revealing.
The respondents include a variety of industry experts (estate agents, mortgage brokers, advisors, professional investors), along with non-investors (those interested but yet to take the plunge, and those who may not be interested in property investment but are renters or landlords themselves). There were just seven questions asked, with multiple answer choices for selection, as well as the option to answer with their own comments.
1) How would you describe the outlook for the remainder of 2012?
- 50% felt the market was 'Trending badly, with 41% agreeing it was 'A bit wobbly, but will improve'
- Less than 5% felt it was 'Doom and gloom'. Others responded with their own comments, stating it was a 'buyers’ market' and that it was 'stagnant, but on the way towards upswing'.
2) And what about 2013? 
- 67% agreed the market would 'improve a little bit', with 30% stating it would 'stay about the same as it is now'
3) Some believe the AU market is 'flat'. If so, are some types/sizes of cities more flat than others? 
- 18% felt major metro cities were most flat (i.e., Sydney, Melbourne, Brisbane), with 32% feeling mid-size metro cities were most flat (i.e., Perth, Adelaide, Gold Coast)
- Only 9% felt that 50,000 to 500,000 size cities were most flat (i.e., Canberra, Darwin, Hobart), with 27% feeling regional towns of less than 50,000 were most flat (e.g., Tamworth, Dubbo, Kalgoorlie).
- 22% believed that all markets, regardless how big or how small, were completely flat.
I then asked the audience how they came to these opinions – so, what kind of media or information had they consumed to draw these conclusions? The results were quite interesting and really supported the notion that mass media, trusted colleagues, and specific due diligence were better regarded than specialist media!
1) What outside influences helped to inform your opinion? 
-A whopping 54% said mainstream media (generic news/current affairs, radio, metro newspapers like SMH/Age/West Australian, etc) influenced their opinions about the state of the property market, a frighteningly high statistic!
-29% preferred specialist media sources specific to property investment (specific radio/TV programs to this, specialist magazines and books, specialist published websites)
- A massive 54% relied on the trusted word of informed acquaintances (family members with experience, mortgage brokers/accountants/advisers, academics)
- Just 8% trusted blog-based commentary, and 4% listened to 'untrusted' associates (any comments heard in passing, from any source/stranger)
2) If any of these information sources mentioned the market was 'picking up again' or 'showing signs of improvement', which would you trust most? 
- The response to this was very even; with the biggest group (33%) mentioning news feeds on sites like RealEstate.com.au and Domain.com.au as the most trusted, followed by trusted informed acquaintances (29%), specialist media outlets (29%), and mainstream media outlets (29%)
- 13% also trusted macroeconomic reports in mainstream media (so, the 'economy' improving and positive talk about our 'currency getting stronger'). This is interesting because in my view, the property market runs independently to variables such as these.
- Interestingly, many comments were also added, mentioning wage growth rates, interest rate changes and other economic factors as being the biggest indicators of the real estate market changing.
Lastly I asked some questions regarding the community's interest in purchasing either an investment property or a home to live in, either this year or 2013. Here are the responses to both:
Whether or not you currently own property of any kind; would you consider buying an investment property or a home to live in, this year or next? 
- 'Yes, certainly' - 25% (investment property), 42% (home)
- 'Most likely' - 21% (investment property), 13% (home)
- 'Maybe, maybe not' - 29% (investment property), 13% (home)
- 'Probably not' - 8% (investment property), 25% (home)
- 'Certainly not' - 17% (investment property), 8% (home)
So, what does the community make of all this sentiment?
If I could add my two bits' worth; I'd suggest the market feels that despite flat growth and some areas trending badly, there is still a strong desire to enter the property market, not only as a home owner but also keenly as an investor, this year and moving into 2013. From a media perspective, I'm also concerned at the high volume of respondents placing their reliance in mainstream/generic media sources and not specialist media and the blog community around them.
I'd be keen to hear the thoughts of others regarding these subjects.
Lastly, I was recently a participant in a Swinburne University study recently on <a target="_blank" href="https://www.propertyobserver.com.au/landlords/the-pros-and-cons-of-buying-your-first-property-as-an-investment-and-continuing-to-rent/2012031153777">"renter investors".</a> If you would be interested in participating in a 30-minute interview, please email <a target="_self" href="mailto:4121139@student.swin.edu.au">Ailsa McPherson</a>.
Cameron McEvoy is a property investor and maintains a blog, <a target="_blank" href="https://propertyspectator.blogspot.com.au/">Property Spectator.</a>
 
 
 
 
</body></html>

cmcevoy-Go82SmsJA9

Real estate industry experts say the market is flat but want to get into it anyway

<html><body>
Five out of six Queensland 7-Eleven service stations have sold at auction, continuing the strong appeal of the combination petrol station and retail store assets.
Prices ranged from $1.5 million for a 2,365-square-metre 7-Eleven service station in the north Brisbane coastal suburb of Sandgate to $2.35 million paid for a 3,700-square-metre service station in Springwood, south of Brisbane.
Yields ranged from 5.67% to 7.73%, similar to the 5.75% to 7.7% yields achieved following the recent successful auction of <a target="_blank" href="https://www.propertyobserver.com.au/retail/self-funded-retirees-continue-to-snap-up-nsw-7-elevens-service-stations-drawn-by-high-yields/2012032754031">10 NSW 7-Elevens</a>, where prices ranged from $2.2 million to $3.9 million.
All Queensland properties sold with new 15-year leases with three options of five-year renewals and guaranteed 4% annual rent increases.
The Queensland properties were marketed by Sam Hatcher and Ben McGrath from Jones Lang LaSalle.
Two of the properties – Woodridge and Springwood – sold at below the estimated taxable land value.
McGrath says this means land tax might be a bit high on these two sites due to their large land area. The Woodridge site measures over 5,000 square metres and the Springwood site over 3,700 square metres – the two largest properties among the batch of six.
Figures released by the Queensland Valuer-General show that Logan City (where the Woodridge service station is located) has experienced an 8.9% decline in industrial land values to a median of $380,000 while industrial land values in the Scenic Rim Shire, where the Springwood service station is located, have increased by 11.1% to a median of $250,000.
 
<table style="width: 470px;" cellpadding="0" cellspacing="0" border="1"><tbody>
<tr>
<td width="90" valign="top">
Location
</td>
<td width="94" valign="top">
Address
</td>
<td width="85" valign="top">
Size
</td>
<td width="84" valign="top">
Annual Rent
</td>
<td width="83" valign="top">
Estimated rateable land value
</td>
<td width="101" valign="top">
Sale price
</td>
<td width="69" valign="top">
Yield
</td>
</tr>
<tr>
<td width="90" valign="top">
Woodridge
</td>
<td width="94" valign="top">
1 Kingston Road
</td>
<td width="85" valign="top">
5,072 sqm
</td>
<td width="84" valign="top">
$136,000
</td>
<td width="83" valign="top">
$2 million
</td>
<td width="101" valign="top">
$1.87m
</td>
<td width="69" valign="top">
5.67%
</td>
</tr>
<tr>
<td width="90" valign="top">
Springwood
</td>
<td width="94" valign="top">
53 Springwood Road
</td>
<td width="85" valign="top">
3,702 sqm
</td>
<td width="84" valign="top">
$170,000
</td>
<td width="83" valign="top">
$2.4 million
</td>
<td width="101" valign="top">
$2.35m
</td>
<td width="69" valign="top">
5.70%
</td>
</tr>
<tr>
<td width="90" valign="top">
Marsden
</td>
<td width="94" valign="top">
79 Chambers Flat Road
</td>
<td width="85" valign="top">
3,500sqm
</td>
<td width="84" valign="top">
$170,000
</td>
<td width="83" valign="top">
$1 million
</td>
<td width="101" valign="top">
$2.05
</td>
<td width="69" valign="top">
7.68%
</td>
</tr>
<tr>
<td width="90" valign="top">
Sandgate
</td>
<td width="94" valign="top">
86 Rainbow Street
</td>
<td width="85" valign="top">
1,248sqm
</td>
<td width="84" valign="top">
$120,000
</td>
<td width="83" valign="top">
$640,000
</td>
<td width="101" valign="top">
$1.5m
</td>
<td width="69" valign="top">
7.25%
</td>
</tr>
<tr>
<td width="90" valign="top">
Strathpine
</td>
<td width="94" valign="top">
273 Gympie Road
</td>
<td width="85" valign="top">
2,365sqm
</td>
<td width="84" valign="top">
$175,000
</td>
<td width="83" valign="top">
$920,000
</td>
<td width="101" valign="top">
$2.23m
</td>
<td width="69" valign="top">
7.73%
</td>
</tr>
<tr>
<td width="90" valign="top">
Nambour
</td>
<td width="94" valign="top">
922 Nambour Connection Road
</td>
<td width="85" valign="top">
1,821sqm
</td>
<td width="84" valign="top">
$190,000
</td>
<td width="83" valign="top">
$270,000
</td>
<td width="101" valign="top">
Still available
</td>
<td width="69" valign="top">
--
</td>
</tr>
</tbody></table>
 
Last year about $90 million worth of 7-Elevens were sold in and around Sydney and Melbourne.
Investors paid <a target="_blank" href="https://www.propertyobserver.com.au/retail/sales-of-7-elevens-during-2011-secure-investors-yields-of-between-4.6-and-8.5/2011112752554">between$1.6 million for a 1,900-square-metre service station in Bayswater East in Melbourne up to $4.6 million for a 2,824-square-metre site in Turramurra</a> in 2011.
 
 
</body></html>

lschlesinger-FZcF9M3vE6

Five out of six Queensland-based 7-Eleven service station sell as one further Melbourne store listed with $2.5 million hopes

<html><body>
Buyers and sellers placing belief in free online web valuations when estimating envisaged house price values are more often than not being misdirected – with serious over- and under-estimating being given.
A survey of weekend auction results across Sydney and Melbourne showed value estimates by real estate portal <a href="https://onthehouse.com.au/" target="_blank">OnTheHouse.com.au</a> were askew 67% of the time.
Of the 80 auction results analysed, 54 valuations were incorrect, with some actual sale prices up to 55% off the pre-auction valuation range given by OnTheHouse.com.au.
Just 26 sales actually fell within the wide valuation band.
Valuations are rated by accuracy as “good”, “moderate” or “rough”. There is a 20% difference between highest and lowest limits of “rough” estimates.
Managing director and chief executive officer of OnTheHouse.com.au Michael Fredericks says the valuations should only be used as a starting point.
“We call it a guesstimate, it’s not a valuation service. It’s designed to be a useful tool to be played with and utilised by members of the public and industry to try and get a better informed view on property prices and values. But it is a work in progress,” he told Property Observer.
“What we seek to do is to provide some transparency to the public around real estate prices and values where it’s a largely uninformed audience, unlike other industries like equities.”
The valuation tab on the website encourages users to “use onthehouse's Property Profile Reports to determine the property value for an individual property, or properties in a particular suburb”.
However the fine print underneath reads: “Displayed guesstimates, agent opinions and user-generated guesstimates are not a valuation of a property”.
According to Google Ad Planner, the website is the sixth most visited Australian property portal for unique users. In March figures showed more than 1 million unique visits to the site, a 850% jump between February 2011 and February 2012.
Free property valuations is one of the main services offered by the ASX-listed company, in an increasingly competitive industry offering real estate data to property consumers.
The founder of property commentary website <a target="_blank" href="https://propertyportalwatch.com">propertyportalwatch.com</a>, Simon Baker, looked up his house on the website and was shocked to find it 55% undervalued based on his estimates.
“Either I have massively overpaid for the property and the bank has no idea, or the onthehouse.com.au database is not as accurate as it could be when it comes to my property,” Baker writes.
“If you are going to build a business around property valuations, much as Zillow and Zoopla has done, you have to get it right. Not 100% right, but at least in the right ballpark. You only have one chance to impress a user, and if the information provided is questionable, the chances of them returning are low.
“If you say you have property valuations – make sure they are accurate (or as accurate as possible).”
Fredericks concedes that tool isn’t perfect, but he says it provides a starting point for people to start their valuations.
“It’s a broad challenging task, which is a process that can’t be achieved overnight,” Frederick says.
“It’s a tool using available information to be used by members of the public and property professionals to empower them and provide informed views around values.
“The appropriate behaviour for a buyer looking to form a view on what they should pay for a house is go and talk to real estate professionals.”
“The key point to understand here is, particularly in the Australian market, there are holes in the market. There isn’t sufficient aggregated market data to expect accurate estimates across the whole market.”
In Sydney a survey of 44 auction results shows just 14 sat between the valuations given, while 19 sold for more than the highest valuation and 11 sold for less than the lowest valuation.
The most over-valued Sydney property was 5 Dwyer Avenue in Blakehurst, which sold for $700,000. It was valued between $964,400 and $1,228,400. This is a difference of $264,400 from the lower valuation, or 27% below the sold price. The difference from the higher estimate is 43%.
The most under-valued Sydney property was 44 Womerah Avenue in Darlinghurst, which sold for $1.7 million. It was valued between $1.15 million and $1.22 million. This is a difference of $480,000 from the upper valuation, or 39% higher. The sold price is 42% higher than the lower valuation.
Agent Chris Chung who sold the house says people need to use other sources.
“Buyers need to look at what else has sold in the area and take other things account. But everyone has their own opinion of what a house is worth.”
In Melbourne a survey of 36 auction results showed 12 sat in the valuation range, 12 sold for more than the highest valuation and 12 sold for less than the lowest valuation.
The most under-valued Melbourne property was 26 Grace Street in Malvern, which sold for $1,815,000. It was valued between $1,040,200 and $1,172,200, which is $642,800 or 55% more than the highest valuation. It is 62% higher than the lower end of the valuation range.
The most over-valued Melbourne property was 39 Reed Street in Albert Park, which sold for $940,000. It had been valued between $1,127,400 and $1,197,400, a difference of $187,400  or 17% from the lower valuation. 
OnTheHouse Ltd was listed on the Australian stock exchange in June last year, consolidating the onthehouse.com.au website and software companies PortPlus and Console. After the listing the company purchased a 50% stake in data company Residex.
According to a June 2011 RBS Morgans report available on the website, the site’s “core expertise is the collation, cleansing and linking of data from multiple sources to provide customers with a reliable, convenient and freely accessible means of obtaining extensive property and valuation information”.
“In our view, OTH’s competitive advantage is derived from the size, depth, scope, accuracy and timeliness of its database, which is offered free to consumers.”
Fredericks says the next stage for the website is to encourage more user interaction in the valuation process.
“The next phase is far more engaged tools where property owners and agents can interact and submit content and improve and enhance the guesstimate tool.”
“We’re building windows underneath for owners, estate agents and valuers to provide content from their own view.
“And in the future releases we’re putting education requirements into it with some more explanation around what the product is and how it’s generated.”
 
</body></html>

DIY website property valuations mostly askew

<html><body>
Melbourne’s property market has staged a surprise turnaround in the March quarter, with the median house price up 1.6% to $529,00, while Sydney has met most analysts’ expectations of incremental growth of 1.4% to $641,000, according to the latest house price report from Australian Property Monitors (APM).
The improvement in the Melbourne house price was helped by a revision to the December quarter data from a median of $538,000 to $521,000. Sydney's December median house price was revised down from $637,000 to $632,000
Australia’s two biggest cities were the strongest mainland performers during the quarter as house prices increased nationally by 0.9% on the back of increased buyer and seller confidence at the start of 2012.
There was a small increase in Perth house prices of 0.1% over the quarter to a median of $531,000 following a similar increase in the December quarter.  The Perth December quarter house price was revised up from $522,000 to $530,000.
There were small house price decreases of 0.3% in Brisbane ($433,000) and Adelaide ($437,000), with the Queensland capital remaining the most affordable of the mainland capital cities – registering a median house price below Adelaide for the second successive quarter.
The Brisbane December quarter median house price was revised up from $426,000 to $434,000.
Click to enlarge
<a title="Click to enlarge" rel="shadowbox" href="/images/stories/apmapril27.gif"><img src="/images/stories/apmapril27thumb.gif"></a>
“The Perth, Brisbane and Sydney markets remain the best prospects for growth over 2012, and although Melbourne’s performance has been encouraging so far this year, this may prove to be short-lived if the Victorian economy continues to deteriorate,” says Dr Andrew Wilson, senior economist at APM.
He attributed the improvement in median house prices in most capital cities over the March quarter to “increased buyer activity together with rising auction clearance”.
Wilson says the first three months of data are positive signs for most Australian housing markets, “with the likelihood that buyer and seller confidence will continue to rise in 2012 after a subdued 2011”.
Over the past 12 months, Sydney has been the strongest mainland housing market with prices down 0.9% while Brisbane (4.1%) just shades Adelaide (3.9%) for the weakest performing markets over this period.
Sydney is also benefiting from a return of investor activity.
Wilson says ABS housing finance figures show that NSW is the only state to be tracking higher on investor loan activity than in 2010, “an impressive early result for confidence in that market”.
Among the smaller capital cities Darwin experienced a strong bounce in house prices which rose 6% to $629,000 – only $12,000 less than the median Sydney house price. The Darwin December quarter house price was revised up from $579,000 to $593,000.
House prices rose in Canberra (0.9%) and Hobart (1%) over the quarter.
Unit prices remained virtually flat with just 0.1% growth, with Sydney also the standout performer with prices up 2.5% to $462,000. The Sydney December quarter unit price was revised up from $449,000 to $451,000.
The Brisbane and Adelaide unit markets were particularly weak, with quarterly declines of 5.4% and 5% respectively, dragging down Brisbane’s median unit price to $339,000 and Adelaide’s to $286,000. The Brisbane December quarter unit price was revised up from $354,000 to $358,000. 
Melbourne unit prices continued to fall, with prices down 2.1% to $389,000. Melbourne unit prices are down 5.1% year-on-year. The Melbourne December quarter unit price was revised down from $400,000 to $389,000.
The more volatile Hobart unit market increased by an impressive 11% to $275,000 over the quarter, following no change in prices in the December quarter and a decline in the September quarter.The Hobart December quarter unit price was revised up from $226,000 to $247,000.
Click to enlarge
<a title="Click to enlarge" rel="shadowbox" href="/images/stories/apmapril271.gif"><img src="/images/stories/apmapril271thumb.gif"></a>
The weakest unit market over the past 12 months has been Brisbane, with unit prices down 8.8% followed by Adelaide with a decline of 6.6%.
</body></html>

Sun breaking through property gloom as Melbourne and Sydney markets show signs of revival: APM 

<html><body>
Being within walking distance of trains, buses, shops, schools and restaurants is being promoted as a key feature of new inner-city residential development Bravo in Melbourne at the same time as real estate group Harcourts has begun including walkability maps with all its residential listings. 
<a target="_blank" href="https://www.propertyobserver.com.au/developments/carlton-parkside-project-bravo-sells-24-apartments-in-first-three-weeks/2012042054370">Bravo, a 118-apartment project to be built over 11 levels by Vaughan Construction</a>, achieved a “walk score” of 97 out of 100 based on its location at 103 Pelham Street in Carlton on the northern edge of the Melbourne CBD. 
Bravo achieved its “walker’s paradise” rating on Walk Score, a US-based website that ranks properties and suburbs from zero (car-dependent) to 100 (walker's paradise) based on their walking distances from a diverse set of nearby amenities. 
“Certain categories are weighted more heavily than others to reflect destinations associated with more walking trips. In addition, road connectivity metrics such as intersection density and average block length are factored into the score,” explains Walk Score. 
It doesn’t include the suburb's distance from the city centre in its overall score, only the local neighbourhood. 
Rankings are compiled from a variety of data sources such as <a href="https://www.openstreetmap.org/" target="_blank">Open Street Map</a>, local business listings, and public data sources such as parks and schools. 
The default Australian categories are restaurants, coffee shops, grocery stores, shopping centres, schools, parks, bookstores, pubs, entertainment venues, banks, post offices, hospitals, fitness centres, bike shops and childcare facilities. 
Home buyers can also add their own categories, for example pharmacies, optometrists and golf courses. 
Michael McNamara from valuation firm Herron Todd White say a walkable address could potentially attract a 20% premium to price, and he expects walk scores to be used more in the future.
He says walkability has become a much greater factor because NSW, Queensland and Victorian state governments are not investing in public infrastructure such as new high-speed train lines.
This means that people placing a premium around being close to public transport and to villages where they can go out for a meal or coffee.
“All of our cities are being clogged with excessive traffic… A trip from the northern beaches to the Sydney CBD can take over an hour, and that’s considered a normal commute,” he tells Property Observer.
McNamara says walk scores will have particurlar value to “villages” such the inner west of Sydney, Melbourne’s inner-urban areas and places like Paddington in Brisbane. 
He expects walk scores will be particularly appealing to those marketing projects off the plan to mainland Chinese buyers who won’t know much about the surrounding suburbs. 
But, he says, they do have their limitations. 
“They don’t provide an understanding of the brand of the suburb. 
“Carlton may have a walk score of 97, but it does not tell you that Lygon Street is just up the road or that is has charming period homes. 
“The walk score does not give you the flavour, nor does it tell you that Carlton was once a working-class suburb that has become gentrified.” 
To use the site home buyers simply type in the address of the property they are interest in and the website compiles the ranking and walking distance from amenities and services.
The sought-after inner-city Melbourne suburbs of Prahran and South Yarra have a perfect score of 100, with schools, shops, grocery stories and cafes all within 200 metres.
<img src="/images/stories/walkprahran.jpg">
Typing in 103 Pelham Street, Carlton into Walk Score shows that the proposed Bravo development is a short walk from numerous restaurants and coffee shops; 230 metres from the Forza Italia shopping centre; 330 metres from Melbourne Business School; 420 metres from Deakin University; within half a kilometre of numerous banks and close to parks, bookstores, pubs and hotels.
Australian addresses do not show distances to public transport connections (this is due to a data issue with local public transport providers) though the location of nearby tram and train stations can be clearly seen on the map.
Bravo’s marketing material explains that it is “only a two-minute walk to 10 different tram routes and only a 12-minute walk to Parliament Station”.
<img src="/images/stories/bravowalk.jpg">
“Bravo’s vicinity to the restaurants, cafes and boutiques of Lygon Street creates an opportunity for residents to live effortlessly and luxuriously,” says Ann Lau, associate director at Hayball, the architecture and design firm behind the project.
“Carlton has a strong identity and community spirit therefore it was important to reflect this by democratising the views with communal rooftop gardens. Vegetable patches and barbecues provide an extension of private outdoor space, as well as encouraging sustainable choices and a community-focused lifestyle,” she says.
The Walk Score system is also being used by real estate group Harcourts Australia, which is incorporating Walk Score Neighbourhood Maps with all its listings.
 
The maps don’t provide a Walk Score ranking but show distances to the nearest restaurants, coffee shops, grocery stores, shopping centres and schools.
 
The mapping program also has a feature called “Where do you commute?”, which allows you to type in any address find out the recommended route, distance, approximate driving and walking time from that property.
 
The mapping function has been incorporated into all public, office and sales consultant websites in Australia, New Zealand and the USA.
Gregg Toyama, head of eBusiness for Harcourts International, says buyers are always craving more localized information surrounding a property listing.
“How many times have you heard someone say, ‘How far away is the local school’ when discussing a property?
“Now buyers can see that information along with a range of other points of interest, such as transport hubs, doctors, restaurants and much more all within a property listing,” he says.
According to Ben Rossiter from Victoria Walks, a walking-for-transport health promotion charity, Walk Scores are being used more often in medium-density real estate suburbs.
"It gives people a really good idea of what is close by. The most highly walkable communities have a variety of services and facilities relevant to everyday life, all within walking distance — things like schools, shops, parks, cafes and movie theatres," Rossiter told Fairfax Media last year.
"Walking is becoming increasingly important to people when they're deciding where they want to live. The choice might be more about having high walkability than it is about having a bigger backyard."
Walk Score generates more than 6 million scores each day.
It is a division of Seattle software company Front Seat and launched in July 2007.
Front Seat was founded by Mike Mathieu, former general manager of msn.com, the Microsoft search engine.
 
 
</body></html>

Walkability appeal growing as Carlton apartment project Bravo promotes high ‘walk score’ 

<html><body>
The Town and Country Hotel at St Peter's Sydney, immortalised in the Duncan song by Slim Dusty <a href="https://www.mq.com.au/pol/property/search.asp?f_propertyID=1658313&amp;xsl=4468&amp;f_st=1&amp;f_ct=12&amp;f_ps=2">has been listed for May 24 Manenti Quinlan auction</a>. The hotel is on Unwin's Bridge Road.
Agent Gerry Quinlan expects $2.5 million plus for the property.
It comes with 15 poker machines and potential redevelopment possibilities. The song was actually written by Pat Alexander seven years before it topped the charts in 1981 for two weeks.
Alexander wrote the song had come out of an experience while selling life insurance.
"I love to have a beer with Duncan, I love to have a beer with Dunc. We drink in moderation, and we never, never ever get rolling drunk. We drink at the Town and Country, where the atmosphere is great. I love to have a beer with Duncan 'cause Duncan's me mate."
Alexander sent one of his discs to Slim Dusty's post office box address and it was his wife, Joy McKean, who happened to play Duncan, and liked it.
Soon it was pressed by EMI as a single, and in November 1980, Radio 2UE listeners heard John Laws play it eleven times on the first morning.
 
 
</body></html>

jchancellor-FAypfDUnLy

Town and Country Hotel of Slim Dusty song Duncan fame listed

<html><body>
The reason that many property investors get themselves into financial distress or do not maximise their returns on property investments is that they do not treat their property investment as a business. Three basic rules must be followed: 
Use an expert 
The number-one rule is to use experts in your team. 
Using a property expert to help you buy a superior property can effectivelly get you a “free” property. This is because a superior property growing at an average 10% annually over a cycle will double in value seven years earlier than a property growing at an average of, say, 5 %.

Working with an expert property accountant will advise you on all possible expenses to claim and help you determine whose name the property should be bought in. As an example, using superannuation can allow investors to buy property and claim negative gearing against their income that will later have zero tax on income or capital gains. 
It is surprising how many investors ignore or worse miss out on these opportunities. 
Manufacture equity 
The number two rule is: do not only rely on the market to give your market growth. Manufacture your own equity by buying a property that you can renovate. This will add both capital gains and rental benefits. 
Create a safety net 
The third rule is to create a safety net for the unexpected (interest rate increases, loss of tenant, major repairs, loss of job, etc.) so you do not have to rely on your wages to fund your property expenses. The safety net can come from access to equity to fund the unexpected. 
We call this a buffer, and it must be part of what your finance professional sets up for you.
Ken Raiss is a certified accountant and director of <a title="Chan &amp; Naylor " href="https://www.chan-naylor.com.au/" target="_self">Chan &amp; Naylor</a> national accounting firm. Ken’s experience lies in working with large publically listed multi-national companies, which gives Ken excellent insight into international market trends. Ken specialises in educating “mum and dad” property investors and small business owners with advice on wealth creation, asset protection, taxation, superannuation and compliance.
</body></html>

kenraiss-JsVyb3YKka

Three basic rules to maximise returns on property investment

<html><body>
During times of slower property price growth, let’s be honest, property investors count on rising rents to boost their investment returns. 
The fact is, since the beginning of 2006 rental growth across the combined capital cities has outpaced the growth in home values. 
Rents outpaced capital growth 
The following table from<a href="https://www.rpdata.com.au" target="_blank"> RP Data</a> shows that over the last six years, capital city home values have increased by 34.5% compared with rental rates, which have increased by a total of 46.8%.
Click to enlarge
<a title="Click to enlarge" rel="shadowbox" href="/images/stories/yardneyapril26.gif"><img src="/images/stories/yardneyapril26thumb.gif"></a>
Nationally, rents have grown about 5% over the last year, with vacancy rates generally sitting below 2% due to strong demand from tenants and a limited supply of properties. 
The rental markets are fragmented
 
Currently the Sydney, Perth, Canberra rental markets are particularly strong due to a low level on construction of new accommodation and this is expected to place an upward pressure on rentals. 
On the other hand, while rents are still rising in Melbourne, Adelaide, Hobart and Darwin, the markets are not as tight. 
According to Gerard Haines, department head of Metropole Property Management Sydney, his team in Sydney is experiencing strong demand from tenants, particularly in the inner west, where vacancy rates are less than 1%. 
“This region is gentrifying and there is a strong demand from a wide demographic of tenants who want to live close to the CBD in these up-and-coming lifestyle suburbs.” 
“There is also strong demand and restricted supply in Sydney’s eastern suburbs, and rents are likely to keep rising in these areas,” says Haines. 
Peter O’Brien, head of Metropole Property Management in Melbourne, tells a different story. 
“While the overall vacancy rate in Melbourne as reported by the REIV is around 2.4%, and there is strong demand from tenants for well located properties in Melbourne’s inner and middle ring suburbs, there are some pockets of Melbourne where the vacancy rate is double that and tenants have the upper hand. This is because there is abundant supply following a period of over exuberant construction by developers,” says O’Brien. 
<a href="https://www.sqmresearch.com.au/" target="_blank">SQM Research</a> reports a vacancy rate of around 8% in some western Melbourne suburbs such as Point Cook, Tarneit and Melton. 
The Melbourne CBD is also suffering with an oversupply and the situation is likely to become worse with an estimated 5,000-7,000 apartments coming onto the market in 2103, with many of these in high-rise complexes. 
To make matters worse, according to Charter Keck Kramer, there are currently 17,860 apartments under construction in Melbourne, with another 16,850 apartments still being marketed across Melbourne. 
Competition for tenants from these projects, which have mainly been bought by investors, is likely to put a lid on CBD rental growth. 
Rental growth is slowing
 
The latest figures from <a href="https://www.apm.com.au" target="_blank">Australian Property Monitors</a> show national weekly rents for houses remained steady for the first three months of the year and rents for units fell 1.1%. 
While asking rents dropped in Melbourne and Adelaide, some rental markets are still performing strongly according to APM. 
Year-on-year rent growth was highest in Darwin (+11.8%), Perth (+3.9%), Brisbane (+2.7%) and Sydney (+2%). 
The bottom line
 
We are at that stage of the property cycle when capital growth is slower and rental growth is strong. But the divergent performance of our rental markets just goes to remind us that buying the right property in the right location is, as it always has been, the key to successful investing. 
For your property investment to perform well in the long-term you need to own the type of property that will be in continuously strong demand by a wide range of owner-occupiers (who will push up the price of similar properties in the area) and tenants (who will pay you rent).
Michael Yardney is the director of <a href="https://www.metropole.com.au/">Metropole Property Investment Strategists</a> , a best-selling author and one of Australia's leading experts in wealth creation through property. He also writes the <a href="https://www.propertyupdate.com.au/">Property Investment Update</a> blog.
</body></html>

Latest Investing Insights

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

Editor's Picks

Developments

New apartments

New townhouses

News

Latest Investing Insights

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

Editor's Picks

Receive the latest news stories to your inbox

Developments

New apartments

New townhouses

News