<p><a href="https://www.apartments.com.au/developers/centa-property-group">Centa Property Group</a> has achieved two major milestones at its <a href="https://www.apartments.com.au/new-apartments/bilinga-house-107-golden-four-drive-bilinga-qld-4225">Bilinga House</a> apartment development in the sought-after southern Gold Coast.</p>

<p>They've almost sold 50 per cent of the Golden Four Drive building, while at the same time announcing the commencement of construction through reputable builder Greyburn Construction.</p>

<p>The boutique 10-storey building, with 47 two- and three-bedroom apartments, now has a mid-to-late 2028 completion date.</p>

<p>[smartcode_project:default project_id=150037 project_image_fid=5333]</p>

<p>The <a href="https://www.apartments.com.au/architects/rothelowman">Rothelowman</a>-designed project is positioned just 200 metres from Bilinga Beach and brings a relatively rare apartment offering to a market that has seen limited new supply in recent years.</p>

<p>Residences have been designed to maximise natural light and ventilation, with open-plan interiors, generous glazing, and material palettes that reflect the surrounding coastal landscape.</p>

<p>Interiors incorporate engineered timber flooring, stone benchtops, and custom joinery, with layouts designed to adapt to both permanent living and lock-and-leave use.</p>

<p>[smartcode_project:default project_id=150037 project_image_fid=5336]</p>

<p>Rothelowman Senior Project Leader Matthew Tencate said the design approach centres on liveability and community.</p>

<p>“Providing curated on-site amenities and communal spaces for residents that facilitate a sense of community, liveability, and wellness,” Tencate said.</p>

<p>Residents will have access to a suite of private amenities including a pool, gym, sauna, and communal alfresco areas, alongside practical features such as surfboard storage and bicycle facilities.</p>

<p>[smartcode_project:default project_id=150037 project_image_fid=5336]</p>

<p>Centa Property Group Director Jason Yuen said the project has been designed to appeal to a range of buyers seeking flexibility in how they use their property.</p>

<p>“Bilinga House is designed for those who want the best of both worlds – a modern beachside escape with the flexibility to generate income when you're not there,” Yuen said.</p>

<p>[smartcode_project:default project_id=150037 project_image_fid=5338]</p>

<p>Bilinga remains one of the quieter pockets of the Gold Coast, sitting between the more established hubs of Coolangatta and Palm Beach. Its appeal has strengthened in recent years, supported by proximity to the Gold Coast Airport and the Oceanway coastal path.</p>

<p>[smartcode_project_cta:default project_id=150037]</p>


Joel Robinson

Bilinga House apartments snapped up as Greyburn commences construction

<p>Breaking into the Sydney property market has long felt out of reach for many first home buyers, particularly as median house prices sit above $1.6 million and unit prices push beyond $900,000.</p>

<p>But entry points still exist in pockets of Greater Western Sydney, where pricing, government incentives, and product mix are aligning to make ownership more attainable.</p>

<p>Understanding where those opportunities sit, and how the numbers actually stack up, is becoming increasingly important for buyers weighing up their next move.</p>

<h2>Work out what you can actually afford</h2>

<p>Sydney is expensive, but it isn’t uniformly expensive. The Greater Parramatta region continues to offer comparatively accessible entry points, particularly for buyers open to alternative configurations like studios.</p>

<p>There's an assumption that a first home needs to be a certain size, that anything smaller than a one-bedder is a concession rather than a choice. That assumption doesn't hold up against what well-designed studios in the right location actually offer: immediate liveability, strong urban amenity, and a price point that makes the deposit target realistic rather than theoretical.</p>

<p>At <a href="https://www.apartments.com.au/buildings/mason-main-merrylands-249-259-merrylands-road-merrylands-nsw-2160">Mason &amp; Main</a>, <a href="https://www.apartments.com.au/developers/coronation-property">Coronation Property</a>'s multi-award winning precinct in Merrylands, studio apartments are unlike the typical studio configuration.</p>

<p>Starting from $498,000, the bedroom is fully enclosed, separated from the living area by a cavity sliding door, creating a genuinely private sleeping space that functions more like a one-bedroom apartment than a traditional open-plan studio.</p>

<p>[smartcode_project:default project_id=31751 project_image_fid=359814]</p>

<p>At 42 sqm internally, with an open-plan kitchen, built-in robes, modern bathroom, and separate laundry, the apartments are designed for everyday liveability rather than short-term use.</p>

<p>With a five per cent deposit under the Federal Government's First Home Guarantee, that equates to a deposit of around $24,200, achievable for many first home buyers without the added cost of Lenders Mortgage Insurance.</p>

<h2>Understand the real cost of renting versus buying</h2>

<p>For buyers weighing up the shift from renting to owning, the numbers are closer than many expect.</p>

<p>Here’s how the numbers stack up for a studio at Mason &amp; Main (based on a $498,000 purchase):</p>

<ul>
	<li><strong>Purchase price:</strong> $498,000</li>
	<li><strong>Five per cent deposit (First Home Guarantee):</strong> ~$24,900</li>
	<li><strong>Loan amount:</strong> ~$473,100</li>
	<li><strong>Estimated mortgage repayment (6.29% variable, 30-year term):</strong> ~$675–$695/week*</li>
	<li><strong>Estimated rental return:</strong> $590–$620/week*</li>
</ul>

<p>At this level, the gap between renting and owning is relatively narrow, particularly when factoring in long-term equity, with rental returns also making the apartments a viable option for investors.</p>

<p>The rental range reflects current asking rents for remaining studio stock in the development and, based on prevailing asking prices, equates to an indicative gross rental yield of around 5.8 to 6.2 per cent.</p>

<p>For buyers seeking more internal space, Mason &amp; Main also offers a range of one-bedroom apartments from $629,000, alongside larger one-bedroom plus multipurpose room configurations priced from $680,000 - all priced under $800,000 and eligible for first home buyer incentives.</p>

<ul>
	<li><strong>Purchase price:</strong> $629,000</li>
	<li><strong>20 per cent deposit:</strong> ~$125,800 (5% deposit on exchange: $31,450)</li>
	<li><strong>Loan amount 80%:</strong> ~$503,200</li>
	<li><strong>Estimated mortgage repayment:</strong> ~$720–$740/week*</li>
	<li><strong>Estimated rental return:</strong> $650–$680/week*</li>
</ul>

<p>One-bedroom apartments continue to present a balanced option for both owner-occupiers and investors, supported by steady rental demand across Western Sydney.<span style="font-size:small"><span style="color:#222222"><span style="font-family:Arial, Helvetica, sans-serif"><span style="font-style:normal"><span style="font-variant-ligatures:normal"><span style="font-weight:400"><span style="white-space:normal"><span style="background-color:#ffffff"><span style="text-decoration-thickness:initial"><span style="text-decoration-style:initial"><span style="text-decoration-color:initial">&nbsp;</span></span></span></span></span></span></span></span></span></span></span></p>

<p>[smartcode_project:default project_id=31751 project_image_fid=359812]</p>

<h2>Make sure you're across the government incentives</h2>

<p>Government incentives continue to play a key role in reducing the upfront cost barrier.</p>

<p>At Mason &amp; Main, studio, one, and two-bedroom apartments are priced under $800,000, allowing eligible buyers to access a full stamp duty exemption under the NSW First Home Buyers Assistance Scheme.</p>

<p>On a $498,000 purchase, that represents a saving of roughly $17,900 that would otherwise need to be paid at settlement.</p>

<p>Combined with the First Home Guarantee, which enables purchases with as little as a five per cent deposit, the total capital required to secure a home is significantly reduced compared to traditional lending pathways.</p>

<h2>No waiting, no uncertainty</h2>

<p>For first home buyers who want to move sooner rather than later, Mason &amp; Main removes one of the more common pain points from the purchase process entirely. The development is already complete and move-in ready, meaning buyers can walk through the apartments, inspect the finishes, and have full certainty about what they're purchasing before signing anything.</p>

<p>Coronation brought in renowned architecture firm <a href="https://www.apartments.com.au/architects/woods-bagot">Woods Bagot</a> to design the development.&nbsp;</p>

<p>"The project's design drew inspiration from the area's rich heritage, in particular the nearby brickworks and aqueduct, infusing a contemporary perspective to seamlessly integrate historical influences into the design," Woods Bagot Principal Dom Alvaro says.</p>

<p>[smartcode_project:default project_id=31751 project_image_fid=736]</p>

<h2>Factor in location and lifestyle</h2>

<p>Beyond the apartment itself, the surrounding infrastructure matters, particularly for a first purchase. Merrylands Station sits 350 metres from the development, putting the Parramatta CBD a five-minute drive away and the Sydney CBD roughly 25 minutes via the Western Line. Directly across the road is Stockland <a href="https://www.apartments.com.au/developments/merrylands-nsw-2160">Merrylands</a>, one of Greater Western Sydney's major retail centres.</p>

<p>At street level, Mason &amp; Main's own retail and dining precinct has more than 30 tenants trading, including Iftar, Macelleria, Hayat, San Churro, Yuzu, and Fat Jaks. Residents also have access to a resort-style pool, a Technogym-equipped gym, private dining rooms, and a rooftop terrace with panoramic views across Parramatta, the Sydney CBD, and the Blue Mountains, all exclusive to the building.</p>

<p>Due to the mix of configurations, including studios which are rarely offered in today's new apartment market, first home buyers and investors have driven Mason &amp; Main to over 90 per cent sold.</p>

<p>Coronation Property Managing Director Joe Nahas says the development is driving a revitalisation of Merrylands, setting a high standard for future developments in the area.</p>

<p>Mason &amp; Main is move-in ready and is the latest in a series of award-winning mixed-use developments by Coronation Property.</p>

<p><em>Disclaimer: Mortgage repayment figures are estimates only, based on a 6.29 per cent variable rate over a 30-year term (Canstar, April 2026). Pricing and rental estimates are indicative and based on current listings and project information. Gross yield figures are indicative and derived from asking prices and estimated rental ranges. Stamp duty savings are indicative only. Buyers should seek independent financial and legal advice before proceeding.</em></p>

<p>[smartcode_project_cta:default project_id=31751]</p>


How first home buyers can enter the Sydney property market for under $500k

<p data-end="390" data-start="110">Australia’s housing debate has rarely been more urgent. The National Housing Supply and Affordability Council forecasts the country could fall around 262,000 homes short of housing needs by 2029, underscoring the scale of the challenge facing planners, governments and developers.</p>

<p data-end="514" data-start="392">In response, much of the conversation has centred on high-density towers around transport corridors and strategic centres.</p>

<p data-end="676" data-start="516">Diversified developer Coronation Property, while also focused on well-located, strategic sites, is incorporating an arguably underutilised typology, the terrace.</p>

<p data-end="983" data-start="678">Difficult to integrate into true high-rise developments, terraces have become a defining feature of Coronation’s lower-rise portfolio, including projects in Ashbury and Erskineville. <a href="https://www.apartments.com.au/buildings/ashbury-terraces-165-171-milton-street-ashbury-nsw-2193">Ashbury Terraces</a> places a stronger emphasis on this housing type, forming part of a broader community mix.</p>

<p data-end="1188" data-start="985">At its Erskineville development, <a href="https://www.apartments.com.au/new-apartments/lillian-erskineville-9-metters-street-erskineville-nsw-2043">Lillian</a>, terraces are more limited, with just a handful&nbsp;included within the wider, predominantly apartment-led precinct, one of the first developments to launch in Erskineville in several years.</p>

<p data-end="1188" data-start="985">[smartcode_project:default project_id=135149 project_image_fid=368392]</p>

<p data-end="1524" data-start="1190">Terrace residents at Lillian benefit from many of the same advantages as apartment owners, the lock-up-and-leave lifestyle and access to shared amenities like the rooftop wellness space, but with significantly more space.</p>

<p data-end="1524" data-start="1190">Spanning multiple levels, the terraces also feature front and rear courtyards, providing direct access to the central landscaped gardens within the precinct.</p>

<h3 data-end="212" data-section-id="1n97jye" data-start="191">The terrace model</h3>

<p data-end="464" data-start="214">Terrace housing has long been part of Australia’s urban fabric. From Paddington and Surry Hills to Glebe and Annandale, rows of terrace homes have shaped neighbourhood streets, offering a housing form that sits between detached houses and apartments.</p>

<p data-end="631" data-start="466">The contemporary terrace, however, addresses many of the limitations of older designs, where narrow staircases and constrained layouts often compromised liveability.</p>

<p data-end="703" data-start="633">[smartcode_project:default project_id=135149 project_image_fid=368157]</p>

<p data-end="834" data-start="705">“Terraces represent one of the city’s most intelligent housing models,” says Joe Nahas, Managing Director of Coronation Property.</p>

<p data-end="1085" data-start="836">“They deliver density without losing the human scale that makes neighbourhoods liveable. In many ways, they provide a bridge between the Sydney we know and the Sydney we need to build. If Sydney is going to grow well, it can’t rely on towers alone.”</p>

<hr data-end="1090" data-start="1087" />
<h3 data-end="1124" data-section-id="1a7l0gw" data-start="1092">The evolution of the terrace</h3>

<p data-end="1262" data-start="1126">That thinking has shaped Coronation’s approach at Ashbury Terraces, where the terrace typology has been reinterpreted for modern living.</p>

<p data-end="1459" data-start="1264">Designed by SJB, the project recently received recognition at the 2026 Better Future World Design Awards, acknowledging its architectural clarity and response to the surrounding suburban context.</p>

<p data-end="1564" data-start="1461">SJB Director Adam Haddow says the intent was to evolve a familiar housing form rather than reinvent it.</p>

<p data-end="1723" data-start="1566">“The terrace is one of Sydney’s most familiar housing forms, so our approach at Ashbury was to reinterpret that typology in a contemporary way,” Haddow says.</p>

<p data-end="1888" data-start="1725">“The homes are designed to sit comfortably within the existing neighbourhood while introducing more light, landscape and shared spaces that support modern living.”</p>

<p data-end="2082" data-start="1890">Ashbury Terraces combines terraces, apartments and penthouses across a series of low-rise buildings, integrating contemporary architecture with landscaped communal spaces and resident amenity.</p>

<p data-end="2264" data-start="2084">That same typology is now being carried into Coronation’s Lillian development in Erskineville, where a smaller number of terraces sit within a predominantly apartment-led precinct.</p>

<hr data-end="2269" data-start="2266" />
<h3 data-end="2289" data-section-id="cazuws" data-start="2271">Buyer response</h3>

<p data-end="2486" data-start="2291">Coronation’s decision to include terraces at Lillian was informed by strong buyer feedback from Ashbury Terraces, where purchasers were drawn to the flexibility and scale the housing type offers.</p>

<p data-end="2588" data-start="2488">One resident, Sweta Pursem, purchased a terrace as a single buyer, citing its long-term versatility.</p>

<p data-end="2720" data-start="2590">“As a single buyer, it might seem surprising that I chose a terrace over an apartment, but I was thinking long term,” Pursem says.</p>

<p data-end="2851" data-start="2722">“The terraces are incredibly versatile, catering to a range of lifestyles while still offering the space and privacy of a house.”</p>

<p data-end="2962" data-start="2853">For Pursem, the multi-level layout provides a level of functionality not typically found in apartment living.</p>

<p data-end="3202" data-start="2964">“Having a separate living area from the bedroom and home office makes everyday living feel both functional and comfortable. When friends and family come to visit, the layout gives a sense of privacy while still feeling open and spacious.”</p>

<p data-end="3279" data-start="3204">Her terrace also supports a more connected, lifestyle-driven way of living.</p>

<p data-end="3537" data-start="3281">“I love entertaining, and the courtyard is ideal for relaxed weekend drinks with friends. I tend to use each level differently throughout the day, it creates a natural rhythm between work, downtime and entertaining, which I didn’t have in apartment living.”</p>

<p data-end="3692" data-start="3539">Ashbury Terraces is now complete and ready to move in, while Lillian in Erskineville is under construction and expected to welcome residents in mid-2027.</p>


Coronation champions terraces as a key piece of Sydney’s housing mix

<p data-end="255" data-start="66">Private equity real estate firm Conquest has entered into a $220 million partnership with Woolworths’ development arm, Fabcot, to deliver its long-awaited Waterloo project on Bourke Street.</p>

<p data-end="518" data-start="257">The Bourke Street development was first flagged by Fabcot back in 2021 as part of its push into Sydney’s residential market. However, progress has since stalled, with no activity on site amid a number of design revisions in consultation with the City of Sydney.</p>

<p data-end="677" data-start="520"><a href="https://www.apartments.com.au/developers/conquest">Conquest</a>, which is actively planning more than $6 billion worth of new developments, predominantly mixed-use precincts, is now set to move the project forward.</p>

<p data-end="978" data-start="679">The current plans include between 110 and 120 apartments across two buildings designed by Bates Smart at <a href="https://www.apartments.com.au/new-apartments/923-935-bourke-street-waterloo-nsw-2017">923 Bourke Street</a>. The scheme will incorporate a portion of apartments reserved for key workers, alongside premium commercial space at ground level, including a full-line Woolworths supermarket.</p>

<p data-end="1044" data-start="980">Construction is expected to commence in the second half of 2026.</p>

<p>Michael&nbsp;Akaawi, CEO of Conquest, said the partnership reflects the firm’s commitment to "convenience-led" urban renewal."</p>

<p>"We are preparing to commence construction in the second half of this year," Akaawi says.</p>

<p>"Along with Woolworths, we look forward to delivering the first major supermarket to the growing Waterloo community, integrated with premium new apartments and specialty retail shops. Our focus is on creating a seamless lifestyle hub where essential services are at the doorstep, saving residents time and enhancing their quality of life."&nbsp;</p>

<p><img alt="Conquest" data-entity-type="file" data-entity-uuid="d8beee83-ef9b-446b-a3b3-1e2fe596512b" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-01%20at%2011.08.46%E2%80%AFAM.png?VersionId=raYhGepiLUJfx4InLPRRJduA3ftDJ_kS" /></p>

<p>The news comes just a week after Conquest went to the NSW Government to upsize its plans for Castlecrag's Quadrangle Shopping Centre.</p>

<p data-end="405" data-start="227">Conquest purchased the site for just shy of $70 million last year, with existing plans in place for a mixed-use residential and retail precinct comprising 38 luxury apartments.</p>

<p data-end="812" data-start="407">Those plans have now been significantly expanded, with the developer lodging a State Significant Development Application with the NSW Government’s Housing Delivery Authority for 150 apartments across two 11-storey buildings. The apartments will sit above a four-storey podium, incorporating specialty retail tenancies and five levels of basement car parking, on the 5,166 sqm site at&nbsp;<a href="https://www.apartments.com.au/new-apartments/100-edinburgh-road-castlecrag-nsw-2068">100 Edinburgh Road</a>.</p>

<p>Conquest has been increasingly active in the development space in recent years. The group acquired the&nbsp;<a href="https://www.apartments.com.au/developments/eastlakes-nsw-2018">Eastlakes</a>&nbsp;Shopping Centre redevelopment, where it plans to deliver more than 1,000 apartments above a new retail precinct, and has also lodged a $900 million State Significant Development Application for a&nbsp;<a href="https://www.apartments.com.au/news/nsw/conquest-unveils-900m-stanmore-village-vision-for-landmark-inner-west-site">mixed-use precinct in Stanmore</a>.</p>


Conquest partners with Woolworths to deliver mixed-use Waterloo project

<p data-end="319" data-start="100">A shift away from Sydney’s industrial past has left parts of the inner south defined by contrast, brick warehouses repurposed into dining precincts, former factory streets softened by landscaping and pedestrian activity.</p>

<p data-end="547" data-start="321">Rosebery is one of those suburbs. Over the past decade, it has undergone significant gentrification, anchored by The Cannery, which has helped reposition the area as one of the inner city’s most sought-after lifestyle pockets.</p>

<p data-end="832" data-start="549">What hasn’t kept pace with that transformation is new residential supply, which has remained relatively limited. Builder-developer Deicorp identified that gap early, securing a site in 2019 and delivering what is now one of the suburb’s most architecturally distinctive developments.</p>

<p data-end="980" data-start="834">To realise the vision, Deicorp engaged Candalepas Associates to design The Rothschild, a project that is immediately recognisable from the street.</p>

<p data-end="1440" data-start="982">Completed in 2025, The Rothschild comprises two buildings across Rothschild and Mentmore Avenues, delivering 176 apartments. The development replaces a former industrial site, retaining a material and structural dialogue with its past while introducing a more resolved residential framework. The scale is deliberate but not monolithic, broken into forms that engage both street frontages, with retail at ground level and two levels of basement parking below.</p>

<p data-end="1512" data-start="1442">[smartcode_project:default project_id=106843 project_image_fid=221665]</p>

<p data-end="2148" data-start="1514">From the street, the architectural intent is clear. Off-form concrete columns run through the façade, establishing a repeated structural rhythm that gives the building its visual weight. These are paired with deep-set arches and sections of exposed brickwork, creating a layered elevation that reads less like a typical apartment block and more like a reinterpretation of industrial architecture.</p>

<p data-end="2148" data-start="1514">The material palette is intentionally restrained, with concrete left exposed and brick used to define mass rather than decoration. The result is a building that stands out through proportion and repetition, rather than height or glazing.</p>

<p data-end="2647" data-start="2150">This approach continues internally. A central landscaped courtyard sits between the two buildings, anchored by an olive grove that acts as both a visual and spatial focal point. Rather than functioning as residual space, the courtyard is designed as a shared ground plane, where circulation paths, seating areas and planting come together to create a usable communal environment. Its positioning allows natural light to penetrate deep into the site while maintaining separation between residences.</p>

<p data-end="2719" data-start="2649">[smartcode_project:default project_id=106843 project_image_fid=221666]</p>

<p data-end="3056" data-start="2721">Within the apartments, the planning follows a clear and functional logic. Entry points lead directly into open-plan living areas, with kitchens positioned as central elements alongside dining and lounge spaces. These zones extend to balconies or external openings, maintaining a visual connection to either the courtyard or the street.</p>

<p data-end="3559" data-start="3058">Kitchens prioritise practicality, with generous bench space, ample storage and European appliances configured for everyday use. Bedrooms are typically set back from the main living areas, creating quieter zones within each residence, with separation achieved through layout rather than material change. Bathrooms are compact but efficient, incorporating mirrored cabinetry and integrated storage to maximise space. Across all residences, the emphasis is on clarity of movement and functional planning.</p>

<p data-end="3631" data-start="3561">[smartcode_project:default project_id=106843 project_image_fid=221669]</p>

<p data-end="4053" data-start="3633">At ground level, retail and hospitality uses extend the building’s presence beyond its residential function. A café or restaurant space, alongside communal amenities such as a music room and rooftop areas, positions the development as part of a broader urban network rather than a standalone project. These shared spaces reinforce a lifestyle where the building operates as an extension of the surrounding neighbourhood.</p>

<p data-end="4408" data-start="4055">Rosebery’s proximity to Green Square, The Cannery and nearby parklands supports this model of living, where much of daily life is within walking distance. The Rothschild sits comfortably within that network, contributing to the streetscape through its distinctive architecture, while internally organising space around light, structure and communal use.</p>

<p data-end="4497" data-start="4410">The Rothschild is now complete and ready to move in, with limited residences remaining.</p>

<p data-end="4548" data-start="4499">[smartcode_project_cta:default project_id=106843]</p>


The Rothschild reinterprets Rosebery’s industrial DNA into residential form

<p>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.</p>

<p>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;</p>

<p>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.</p>

<p>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.</p>

<p>Even in the low seasons of May and June, occupancy levels reach around 40 per cent.</p>

<p><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" /></p>

<p>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</p>

<p>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.</p>

<p><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" /></p>

<p>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.<span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><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" /></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span><span><span><span><span><span><span>​</span></span></span></span></span></span></p>

<p>The apartments will feature modern amenities and contemporary designs with expansive windows capturing sweeping views of The Remarkables mountain range.&nbsp;</p>

<p>Interiors are equipped with modern finishes, premium appliances, and secure electronic key-locked doors, ensuring a comfortable living experience for residents and guests alike.</p>

<p>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;</p>

<p>Queenstown’s sustained demand for visitor accommodation and rental properties is underpinned by a shortage of housing options, attracting both local and international buyers.</p>


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

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<p><span>For the last week of winter, the preliminary auction clearance rate was 75.4 per cent, with 2,583 auctions held across Australia’s capital cities. So far, 2,109 results have been reported to CoreLogic RP Data. </span></p>
<p><span>This week’s preliminary clearance rate is higher than last week’s result of 72.9 per cent and is likely to revise as additional results are reported. One year ago, the final auction clearance rate was also recorded at 72.9 per cent and there were 2,034 residential auctions held across the capital cities. It is expected that auction activity will continue to ramp up as we enter the spring selling season.</span></p>
<p><a href="/images/2015/08/31/20150831-Capital-City.jpg" target="_blank"><span>Click to enlarge</span></a></p>
<p><span><img src="/images/2015/08/31/20150831-Capital-City.jpg" alt="" width="760" height="564"></span></p>
<p> </p>
<p><span>This week, 1,024 </span><strong>Melbourne</strong><span> auctions have been reported, with a preliminary auction clearance of 77.0 per cent. This week’s result is an improvement from last week, when Melbourne recorded its lowest clearance rate since February (74.3 per cent). At the same time last year, Melbourne’s clearance rate was 73.5 per cent. In terms of the number of homes being taken to auction, this week (1,158) saw more auctions held than both last week (964) and last year (901). This week, the Inner sub-region was the busiest for auctions across Melbourne, with 253 homes going under the hammer. Preliminary results show that 68.0 per cent of the 219 reported results were successful.</span></p>
<p><a href="/images/2015/08/31/20150831-Melbourne.jpg" target="_blank"><span>Click to enlarge</span></a></p>
<p><span><img src="/images/2015/08/31/20150831-Melbourne.jpg" alt="" width="765" height="513"></span></p>
<p> </p>
<p><strong>Sydney’s</strong><span> preliminary auction clearance rate was 78.1 per cent this week, increasing from 76.2 per cent last week, however for the first time this year, the clearance rate is lower than the comparable week last year (79.9 per cent). This week, 1,080 Sydney auctions were held, compared to 930 last week and a lower 810 one year ago. There were 6 Sydney sub-regions that recorded an individual clearance rate higher than the city as a whole this week. Eastern Suburbs (87.6 per cent), North Sydney and Hornsby (86.3 per cent) and the Inner West (85.1 per cent) had the highest clearance rates, followed by Blacktown (84.6 per cent), City and Inner South (82.8 per cent) and Northern Beaches (81.5 per cent).</span></p>
<p><a href="/images/2015/08/31/20150831-Sydney.jpg" target="_blank"><span>Click to enlarge</span></a></p>
<p><span><img src="/images/2015/08/31/20150831-Sydney.jpg" alt="" width="746" height="506"></span></p>
<p> </p>
<p><span>Across </span><strong>Brisbane</strong><span> the preliminary clearance rate was 58.2 per cent this week. There have been 110 auctions reported to CoreLogic RP Data, with a total of 158 held across the city. This week’s result was higher than last week (54.5 per cent). For the </span><strong>Gold</strong><span> </span><strong>Coast</strong><span>, 44 results have been reported with a success rate of 61.3 per cent.</span></p>
<p><a href="/images/2015/08/31/20150831-Brisbane.jpg" target="_blank"><span>Click to enlarge</span></a></p>
<p><span><img src="/images/2015/08/31/20150831-Brisbane.jpg" alt="" width="741" height="500"></span></p>
<p> </p>
<p><span>There were 100 </span><strong>Adelaide</strong><span> auctions this week, compared to 90 last week and 88 at the same time last year, showing volumes increased across the city. The cities preliminary clearance rate this week was 64.8 per cent, down from 72.7 per cent last week and 64.9 per cent one year ago.</span></p>
<p><span>Click to enlarge</span></p>
<p><span><img src="/images/2015/08/31/20150831-Adelaide.jpg" alt="" width="780" height="524"></span></p>
<p>This week’s preliminary result for <strong>Perth</strong> was 66.7 per cent, compared to 29.7 per cent last week and 48.0 per cent one year ago.</p>
<p>61.9 per cent of the reported auction results for <strong>Canberra</strong> were sold this week, down from 71.2 per cent last week and 74.3 per cent at the same time last year.</p>
<p>There were 4 <strong>Tasmanian</strong> auctions reported to CoreLogic RP Data this week, with 3 sales.</p>
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Final week of winter returns high auction volumes: Corelogic RP Data's Shana Miller

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<div><span style="line-height: 1.3em;">I'm in the midst of what will ultimately be my most comprehensive research project to date, and henceforth will aim to share a few high level viewpoints and findings on this blog page along the way.</span></div>
<div> </div>
<div>There are of course a multitide of factors which impact and drive housing markets ranging from macroeconomic drivers to monetary policy, and from consumption patterns to construction rates. </div>
<div> </div>
<div>But for today let's look briefly and specifically at Australia's demographics.</div>
<div> </div>
<div><strong><span style="text-decoration: underline;">Population pyramid</span></strong></div>
<div> </div>
<div>Looking below at an Australian population pyramid - which for the purposes of this blog post I have flipped on its side - representing the estimated resident population as at 2014, we can immediately observe a couple of salient points.</div>
<div> </div>
<div>Firstly, although Australia does have an ageing population, in part thanks to our immigration program the demographic profile of Australia is markedly different to those found in some other developed countries, and considerably less "top heavy".<br><br>With skilled migration in particular often having favoured those in the 21-30 age bracket, there is presently a relative dearth of people in my age bracket, that being the 31 to 38 year old cohort (see Point A on the below chart).</div>
<div> </div>
<div><a href="/images/2015/08/31/PP1.jpg" target="_blank">Click to enlarge</a></div>
<div><img src="/images/2015/08/31/PP1.jpg" alt=""></div>
<div> </div>
<div>
<div>Depending upon your preferred information source the average or "typical" age of first homebuyers in Australia now ranges anywhere from 31 to 34 years of age, and that figure could potentially levitate further due to a combination of lifestyle factors and increasingly stretched deposit gaps in the two major capital cities.<br><br>Of course, an "average" covers a wide range of ages and strains of buyer, but recent data has suggested that a comfortable majority of first homebuyers are now in their 30s or 40s.<br><br><strong><span style="text-decoration: underline;">Investors in the ascendancy...for now</span></strong><br><br>
</div>
<div>The shape of the first chart above may therefore go some of the way to explaining the comparatively low volumes of homebuyers in the market through this cycle, with investors dominant to an an unprecedented degree, particularly in the largest capital city markets.<br><br>Naturally other factors have played a role here, particularly looser monetary policy which has encouraged those with existing equity generated through housing market ownership to redeploy it in a faithful manner.<br><br>Not only is there a relative paucity of 31 to 38 year olds where we might expect to find the bulk of first homebuyers, there is also an evident weak spot in the traditional "big spender" cohort.<br><br>Which is to say, there is a proportionate lull in the number of executives, senior managers and business owners commonly aged from around 45 to 55 (refer to Point B on the above chart).</div>
<br><div>While the wave of first homebuyers predominantly impacts dwelling prices at the entry level, it is those in these middle working years that are the heaviest spenders in the housing market, making their most material dwelling purchases at that stage in life.</div>
<div> </div>
<div>As you can see in the graphic above, the demographic pyramid does not present too kindly in respect of either cohort at the current time...and nor is it likely to do so for some years.</div>
<div> </div>
<div><strong><span style="text-decoration: underline;">Looking swell (2021-2027)</span></strong></div>
<div> </div>
<div>In fact, rolling the chart packs forward by calendar year we find that it is not until around around 2021 that the number of potential first homebuyers reaches a critical mass which might be considered compelling, with the number of 31 to 38 year olds in particular mushrooming to a total of more than 3.1 million (from around only 2.6 million in 2014).<br><br>In the period through to 2027, that number is projected to have expanded further still to more than 3.3 million. </div>
<div>
<br>As this effective "spending wave" passes through 2021, therefore, the demographic factors for Australian housing market growth look to be particularly favourable from that year until around 2027 inclusive.<br><br>As you can see in the second chart below, not only will the total population of Australia have swelled significantly by 2021 to around 26.5 million, the clamour of potential purchasers in the 31 to 38 year old age bracket (Point A below) really begins to amplify.<br><br>Furthermore there will be a coinciding wave of Australians approaching the latter half of their fourth decade (Point B below), the time of life at which they are likely to make their most consequential home purchases. </div>
<div> </div>
<div><a href="/images/2015/08/31/PP2.jpg" target="_blank">Click to enlarge</a></div>
<div><img src="/images/2015/08/31/PP2.jpg" alt=""></div>
<div> </div>
<div>
<div>This isn't to suggest here that the demographics for homebuyer activity then deteriorate after 2027 as such, rather that the projected figures then plateau for a period of time and thereby stop improving so impressively.<br><br><strong><span style="text-decoration: underline;">City winners and losers</span></strong><br><br>Drilling down to the next statistical level, it can be found that from around 2021 the demographic waves will become very favourable for Sydney, Melbourne, Brisbane and and <span style="text-decoration: underline;">particularly</span> Perth (assuming the superfluity of mining boom migrants opts to stay put, and interstate migration away from Western Australia doesn't begin to bite).<br><br>Hampered by an interstate migration "brain drain" these demographic waves do not suggest a favourable environment for the Adelaide housing market, with barely any improvement discernible over the same time horizon.<br><br>Meanwhile the latest projections suggest that Tasmania's housing market demographics could potentially worsen quite appreciably in the years leading up to 2035, although such longer term projections by their very nature tend to be less than reliable.<br><br><strong><span style="text-decoration: underline;">Dwelling starts</span></strong>
</div>
<div>
<br>While this is a blog post predominantly concerned with demographics, it's worth considering for a moment how the above findings tie in with the dwelling construction cycle.<br><br>Two of the "X-factors" which have impacted this housing market cycle have been an explosion in the volume of Asian capital invested in the Australian market and a hitherto unseen shift towards multi-unit construction.<br><br>Although 2015 will likely prove to be the market peak for dwelling starts, dwelling <em>completions</em> will remain elevated for the next few years.<br><br>In combination with a slowing rate of population growth, this will be one of the factors together with an erosion of yields which will eventually bring the current growth cycle to its end.</div>
<div> </div>
<div><a href="/images/2015/08/31/HIA.jpg" target="_blank">Click to enlarge</a></div>
<div><img src="/images/2015/08/31/HIA.jpg" alt=""></div>
<div> </div>
<div><span>Since natural population growth and net overseas migration will take some time to absorb the excess dwelling stock, this also points broadly towards 2021-2027 as a likely period for housing market growth.</span></div>
<div><span> </span></div>
<div><a href="/images/2015/08/31/AW1.jpg" target="_blank"><span>Click to enlarge</span></a></div>
<div><span><img src="/images/2015/08/31/AW1.jpg" alt=""></span></div>
<div> </div>
<div>
<div><strong><span style="text-decoration: underline;">Long run demographics are healthy</span></strong></div>
<div> </div>
<div>While the latest data suggests that over the short term Australia's populaton growth is likely to continue to slow, over the very long run the demographics of Australia are exceptionally compelling, with the population potentially set to almost double by over the next half century.<br><br>Also note that immigration is projected to keep the headcount in the potential homebuyer age brackets expanding to heights that agents and other industry participants can only dream of today.</div>
<div> </div>
<div><a href="/images/2015/08/31/PP3.jpg" target="_blank">Click to enlarge</a></div>
<div><img src="/images/2015/08/31/PP3.jpg" alt=""></div>
</div>
<div> </div>
<div>
<div>
<strong><span style="text-decoration: underline;">The wrap</span></strong><br><br>With life expectancies increasing there will evidently be a greater number of residents living well beyond the traditional retirement date in the decades ahead, although in time we might expect to see more folk working beyond the traditional retirement age too.</div>
<div> </div>
<div>The chart above implies that with the demand for capital city property likely to approximately double over the very long run, the likelihood of capital city land values in the landlocked inner- and middle-ring suburbs remaining anything less than singularly expensive appears quite remote.<br><br>Of course, it isn't possible to forecast or time markets so accurately, but over the near term there could easily be a relatively weak period ahead for housing markets as dwelling completions overtake demand, before a potentially strong rebound running broadly between 2021 and 2027. </div>
<div> </div>
<div>The most interesting and useful findings are those which incorporate the shifting composition of net migration at the suburb level, though I don't post detailed suburb research on my blog. </div>
<div> </div>
<div>
<p><span><em>PETE WARGENT is the co-founder of <a href="https://allenwargent.com/" target="_blank" rel="nofollow">AllenWargent</a> property buyers (London, Sydney) and a best-selling author and <a href="https://petewargent.blogspot.com/" target="_blank" rel="nofollow">blogger</a>.</em><br></span></p>
<p><em>His latest book is <a href="https://www.bigskypublishing.com.au/Books/General-Interest/Four-Green-Houses--and-a-Red-Hotel/1015/productview.aspx" target="_blank" rel="nofollow">Four Green Houses and a Red Hotel</a>.</em></p>
</div>
<div> </div>
</div>
</div>
</div>
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Making waves in the Aussie housing market: Pete Wargent

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<p><em>Hi Margaret,</em></p>
<p><em>My husband and I currently own a house in Macarthur (ACT) and are in negotiations with our neighbor to buy their house next door, before they move to Tasmania next year. The houses are side-by-side and at the end of a cul-de-sac.  </em></p>
<p><em>I'm just wondering what our first step would be if we decided to merge the two blocks of land and sell to a developer for them to build multiple dwellings. We don't want to manage or build ourselves, we just want to sell them as a package.</em></p>
<p><em>How do I know if this allowed in our suburb? Is there a website I can look at or someone I can contact?</em></p>
<p><em style="line-height: 1.3em;">Kind Regards,</em></p>
<p><em>Lisa </em></p>
<p><em> </em></p>
<p><em>Hi Lisa,</em></p>
<p><span>Your first port of call will be to the local council who manages subdivisions in your area. You will need to talk to their town  planning department.  The council will have a town plan in place which will be governed by the territory’s planning scheme. They will be able to tell you about the rules and regulations surrounding subdivisions, or in your case, land boundary changes in your area.</span></p>
<p><span>The reason it is important to start here is because you want to know exactly what you would be left with in the event that such a boundary change (that is the combining of two lots) is allowable. You need to know how many subsequent blocks a developer can achieve from this boundary change.  If they can only achieve the two blocks which you originally had, then there is no benefit to the boundary change and your blocks would be just as easily sold separately as they would combined as one.</span></p>
<p><span>Once you know these details you then have a choice: You can either simply offer your two blocks together for sale as a package, leaving the responsibility for a boundary change up to the potential developer, or you can effect the boundary change yourself, which may make the two blocks more valuable.  </span></p>
<p><span>You should consult an independent town planner, one who works in private practice, to quote you on the potential costs of having the two blocks combined, including his fees and all government charges, and also consult with a local real estate agent to establish whether or not spending this money would result in a suitably increased sale price.</span><span style="line-height: 1.3em;"> </span></p>
<p><span>If you wanted to go all the way you could then do the subdivision into the allowable number of blocks, but as you have seen, past advice I have given in this column has outlined all the potential risks and costs of doing that, and you have said you don’t wish to incur those.</span></p>
<p><span>I will point out to you that one of the difficulties you face is in working out who should get what. If you offer them for sale together, with a condition that both must be purchased, but you price them separately, it’s easy to see how much each person should get. But if you price them as a package, then it’s harder to work out whose property should get the most unless they are identical properties of identical size. In addition to this, you would both have to agree on what you get as a final price, and also on the strategy you would follow in the event that one of you had an offer for their house alone that they want to take.  </span></p>
<p><span>Under these circumstances, tempers can flare and relationships can break down. These are all the kinds of issues you must think about before entering such an agreement, and it’s a good policy to think about all the potential problems, write them down and agree on a solution before they arise.</span></p>
<p><em>Have a property question?        <a href="mailto:askmargaret@propertyobserver.com.au" target="_blank">Ask Margaret!</a></em></p>
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Ask Margaret: Merging blocks to create multiple dwellings

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<p>The combined capital city weighted average clearance rate increased to 73.4% last week, from 72.9% the previous week, while auction volumes increased from 2,248 to 2,654 which is the highest volumes have been since the last week of May (2,792).</p>
<p>This week, CoreLogic RP Data is tracking 2,335 auctions, higher than the comparable week last year when 1,897 auctions were held across the capital cities.</p>
<p>Below is a brief wrap up of each capital city auction market over the winter months. Despite Sydney’s auction clearance rate beginning to trend lower over recent weeks, the city was still the strongest performer over the three month period, followed closely by Melbourne.</p>
<p><a href="/images/2015/09/03/WinterClearance.jpg" target="_blank">Click to enlarge</a></p>
<p><img src="/images/2015/09/03/WinterClearance.jpg" alt="" width="815" height="136"></p>
<p><span>Across <strong>Melbourne</strong> this week, 1,007 auctions are scheduled. Melbourne’s clearance rate last week was 76.7% across 1,188 auctions, having increased from 74.3% across 964 auctions the previous week. At the same time last year, 73.5 % of the 901 auctions held were successful.</span></p>
<p><span>Auction volumes are set to fall across <strong>Sydney</strong> this week, with 1,030 homes scheduled for auction. Last week, 1,106 Sydney homes were taken to auction. Sydney recorded its lowest clearance rate for the year last week, with just 75.1% of auctions successful.</span></p>
<p><span>Across <strong>Brisbane</strong>, 139 auctions are scheduled this week, compared to 169 last week and 143 the previous week. Last week Brisbane’s clearance rate fell slightly from 54.5% the previous week to 54.2%.</span></p>
<p><span>There are 68 <strong>Adelaide</strong> homes being taken to auction this week, much lower than the number held last week (102). Last week, 58.1% of Adelaide auctions were successful which, given recent performance, is a weak result for the city.</span></p>
<p><span>In <strong>Canberra</strong>, CoreLogic RP Data is currently tracking 53 auctions, similar to last week when 47 Canberra auctions were held, but lower than at the same time last year (69).</span></p>
<p><span>There are currently 29 <strong>Perth</strong> auctions scheduled this week, down from 34 auctions last week.</span></p>
<p><span>St Kilda in Victoria has the highest volume of auctions scheduled for any one individual suburb this week, with 18 properties set to go under the hammer, followed by South Yarra, also in Victoria, with 17 auctions scheduled.</span></p>
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Volumes stay high for first week of spring: CoreLogic RP Data's Shana Miller

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<p>Cities are ever changing environments that are continuously evolving and they reflect the varied and always developing needs of the population.</p>
<p>The complexity of the population is naturally reflected in the make-up of the housing market and while fashions change, our underlying housing preferences appear to be somewhat more rigid than might be expected. And so the question will always be – are we matching demand and how we market to this audience<em>? </em></p>
<p>It appears that at times we have a disconnection between where we live and where we would like to live. Work, family, finances and lifestyle balance all play their part, alongside our national, still very dominant desire to have our own homes. This area is still driven by emotion and aspiration. There’s a lot of emotion in almost all parts of the housing market and the desire for homeownership is also closely tied to a feeling of achievement, personal growth and self-worth.</p>
<p>In almost any casual conversation we are often asked, where do you live? And where do you work and what do you do? Where we live in particular is very much seen as part of who we are, and so the character of the housing market is a constant source of fascination.</p>
<p><strong>A Large House Near The City</strong></p>
<p>In research published by the Grattan Institute, a large house near the city was seen as the most desirable goal for many people, but the actual structure of our housing market is somewhat different.</p>
<p>Homeownership is falling, and the numbers of people renting is on the rise. Both trends were evident. When measured in the last census in 2011, homeowners (either owned or with a mortgage) was around 67%, and rental accommodation sat around 29.6%, but the falling trend among homeowners has been constant and was closer to 75% in the 1960’s.</p>
<p>At the same time rents and mortgage repayments have been on the constant increase, and one particular measure remains on an upward trend and that’s the number of households where rent or mortgage payments are taking more than 30% of incomes, with rents at 10.4% and mortgage loan repayments at 9.9%. It’s a trend that the 2016 census is bound to see continue as house prices have increased over recent years.</p>
<p>There’s also a link between the size of families and their incomes and the ability to buy a home. Couples and sole parents with children account for 60.5% of households with both parents being employed either full or part-time making up 25.4%, with only 15.7% being households with just one parent working full-time, and even less with one parent in part-time employment at just 5.4% supporting the household.</p>
<p><strong>Most of Us Still Live in Detached Homes</strong></p>
<p>Where we live and the impact that has on household size and the importance of location also shows some related trends. As the figures above might help reinforce, families are more concerned about the size of a home.</p>
<p>The split is currently 75.6% living in detached homes, but that figure is gradually falling, 9.9% then live in semi-detached and 13.6% in apartments, with both are on an upward trend. The fall in the numbers of people living in detached homes is shown by the fact that in 1976 the figure stood at 78%, and while the decline is not huge, it’s now a constant trend and may well be more marked with recent trends towards the popularity of apartments.</p>
<p>What is somewhat a surprise is that evidence points to the popularity and demand for medium density housing, in reality the supply of semi-detached homes and townhouses has been falling way behind demand. Medium density sits somewhere between high-rise apartment living and the larger more traditional detached home and this would help explain, not surprisingly why these homes are so popular. And when it comes to size, we see that 3-bedroom and 4-bedroom homes together account for 73.9% of housing stock, with the demand for 4-bedroom homes on the increase.</p>
<p><strong>When Location Is Key</strong></p>
<p>While for families home size and the number of bedrooms are the most important factors, location is much more important as we get older and it’s also the same for singles.</p>
<p>While families are concerned about house size, as we get older we look for closer connections to work, being closer to family and facilities like transport, and the same goes for singles as they look for wider community connections. For these groups a central or CBD location and all that it entails is driving demand and pushing prices as sites are absorbed.</p>
<p>Then we also find that across all groups affordability always comes into the picture. This will then influence size, condition, access to transport and the key suburbs people are most attracted to. Our housing preferences are well-established but changing.</p>
<p>However as is clearly demonstrated by some of the shortages being experienced in Sydney, meeting all aspects of household demand isn’t easy. There are many layers that add time, cost and complexity to meeting demand. Finding suitable sites in very popular areas, the time to deliver the finished projects, planning delays and the costs involved will explain why in some markets demand is not being met.</p>
<p>Demand is being seen from the inner-city to major new growth regions on the city fringe. Then some housing preferences, like the demand for more mid-range medium density housing may be falling short. There’s a fine balance between location, cost and size that all buyers have to navigate when making a choice of where to live, and prices are reflecting the key areas of demand.</p>
<p><em>Peter Chittenden is managing director for residential of Colliers International. He can be contacted <a href="https://www.projectagenda.com.au/" target="_blank">here</a>.</em></p>
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Where we like to live: Peter Chittenden

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<div>Total housing finance came in at a seasonally adjusted $32.8 billion in July, which represented a 1.5% increase on the June result - following on from a 3.6% increase in June - but remained slightly below the record high of $33.1 billion seen in April this year.</div>
<div> </div>
<div>On a trend basis total housing finance ticked up to a new high of $32.6 billion to be 15% higher than one year ago.</div>
<p><a href="/images/2015/09/10/HF1.jpg" target="_blank">Click to enlarge</a></p>
<p><img src="/images/2015/09/10/HF1.jpg" alt=""></p>
<div>Investment loans increased moderately to $13.6 billion in July, but this was also slightly below the April high of $14 billion, suggesting that APRA's cooling measures are beginning to take hold.</div>
<div> </div>
<div>On a rolling annual basis investment loans have continued to shoot the lights out through an unprecedented surge, with investors accounting for more than half of loans written excluding refinancing.</div>
<div> </div>
<div>Although this is inevitably forcing prices higher in some cities, we are now increasingly seeing more landlords than prospective renters in some locations, and rents in these locations will stagnate or fall.</div>
<div> </div>
<div><a href="/images/2015/09/10/HF2.jpg" target="_blank">Click to enlarge</a></div>
<div> </div>
<div class="separator"><img src="/images/2015/09/10/HF2.jpg" alt=""></div>
<p> </p>
<div><strong><span style="text-decoration: underline;">State versus state</span></strong></div>
<div> </div>
<div>At the state level there were increases in owner-occupier commitments in most states and territories in seasonally adjusted terms in July, but declines were seen in the Northern Territory and the ACT.</div>
<div> </div>
<div>Driven by a fear of missing out, Sydney homebuyers are thrusting New South Wales loan values off the top of the chart with more than $73 billion of lending over the past year. A huge boom.<br><br>With APRA measures dialling back riskier investment lending as sure as night follows day lenders will be targeting homebuyers, with home loan products now available from interest rates of around just 4%. </div>
<div> </div>
<div><a href="/images/2015/09/10/HF3.jpg" target="_blank">Click to enlarge</a></div>
<div> </div>
<div class="separator"><img src="/images/2015/09/10/HF3.jpg" alt=""></div>
<p><span style="line-height: 1.3em;">Brisbane's owner-occupier commitments have continued their studious recovery, with loan values at the state level ticking up to their highest level since March 2010 on a 12mMA basis, although mining and resources regions are continuing to weigh heavy acting as a drag on the state data. </span></p>
<p><a href="/images/2015/09/10/hf4.jpg" target="_blank">Click to enlarge</a></p>
<p><img src="/images/2015/09/10/hf4.jpg" alt=""> </p>
<div>As for New South Wales in July, at $7.5 billion of owner-occupier commitments in July there has never another month like it it any state or territory, with commitnents accelerating to be tracking an enormous 28% higher than one year go.</div>
<p><a href="/images/2015/09/10/HF5.jpg" target="_blank">Click to enlarge</a></p>
<div class="separator"><img src="/images/2015/09/10/HF5.jpg" alt=""></div>
<div class="separator"> </div>
<div>The incredible Sydney property boom evidently has some steam left in it yet.<br><br>
</div>
<div>Despite this apparently indefatigable Sydney largesse, with inflation and now total housing finance apparently both under control in recent months, any further increase in the unemployment rate is likely to be met with calls for further rate cuts.</div>
<div> </div>
<div>
<p><span><em>PETE WARGENT is the co-founder of <a href="https://allenwargent.com/" target="_blank" rel="nofollow">AllenWargent</a> property buyers (London, Sydney) and a best-selling author and <a href="https://petewargent.blogspot.com/" target="_blank" rel="nofollow">blogger</a>.</em><br></span></p>
<p><em>His latest book is <a href="https://www.bigskypublishing.com.au/Books/General-Interest/Four-Green-Houses--and-a-Red-Hotel/1015/productview.aspx" target="_blank" rel="nofollow">Four Green Houses and a Red Hotel</a>.</em></p>
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The incredible Sydney property boom has steam left in it: Pete Wargent

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<div>
<em>CoreLogic-RP Data</em> reported a preliminary auction clearance rate of 75.1% for Sydney on Saturday with more than 1,000 auctions held over the week.</div>
<div> </div>
<div>APRA's cooling measures will hit lower socio-demographic areas first as lower income earners struggle with the deposit hurdle.</div>
<div> </div>
<div>The first region to go in Sydney will be the south west, and to a lesser extent the west.</div>
<div> </div>
<div>On the other hand the traditionally wealthier suburbs of the lower north shore, the eastern suburbs, and the inner west are poised to hold up much better. </div>
<div> </div>
<div>Unsurprisingly further research from the Domain Group showed that auction clearance rates held up to track at exceptionally high levels in the inner west (82.8 per cent), the lower north shore (82.3%), the northern beaches (79.6%) and the city &amp; east region (77.9%).</div>
<div> </div>
<div>On the other hand over the past two weeks auction clearance rates have tanked in the west (from 76.9% to just 66.3%), and particularly in the south west (from 69.8% to just 54.9%.</div>
<div> </div>
<div><a href="/images/2015/09/14/Auctions.jpg" target="_blank">Click to enlarge</a></div>
<div> </div>
<div><img src="/images/2015/09/14/Auctions.jpg" alt=""></div>
<div> </div>
<div>
<p><span><em>PETE WARGENT is the co-founder of <a href="https://allenwargent.com/" target="_blank" rel="nofollow">AllenWargent</a> property buyers (London, Sydney) and a best-selling author and <a href="https://petewargent.blogspot.com/" target="_blank" rel="nofollow">blogger</a>.</em><br></span></p>
<p><em>His latest book is <a href="https://www.bigskypublishing.com.au/Books/General-Interest/Four-Green-Houses--and-a-Red-Hotel/1015/productview.aspx" target="_blank" rel="nofollow">Four Green Houses and a Red Hotel</a>.</em></p>
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APRA measures to hit lower income suburbs: Pete Wargent

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<div>Auction clearance rates are still booming along in Sydney's eastern suburbs, with a preliminary clearance rate of 84.3% recorded, with the inner west also on fire at 83.8%, according to <em>CoreLogic-RP Data</em>.</div>
<div> </div>
<div>Cameron Kusher of <em>CoreLogic-RP Data</em> has pointed out that every sub-region of Sydney has recorded auction clearance rates of above 80% at some point this year.</div>
<div> </div>
<div>How then has the city-wide clearance rate slipped all the way back to 64.4%?</div>
<div> </div>
<div><a href="/images/2015/10/26/RP1.jpg" target="_blank">Click to enlarge</a></div>
<div><img src="/images/2015/10/26/RP1.jpg" alt=""></div>
<div> </div>
<div>
<div>The unfortunate truth is that those suckered in to buying late in the cycle in outer western (30 per cent) and south-western Sydney (52.8 per cent) may well soon be sitting on a pile of negative equity, while home loan arrears have tended to be more elevated too.<br><br>No real surprises here. </div>
<div> </div>
<div>Soft preliminary clearance rates were also recorded for the Central Coast (30%), Baulkham Hills &amp; Hawkesbury (38.5%), Blacktown (42.1%), and Parramatta (39.7%), while the outer south-west may fail to record a single auction sale.</div>
<div> </div>
<div>Of course, not all properties are sold at auction, and preliminary clearance rates by sub-region are essentially only an indicator of market sentiment. </div>
<div>
<br>Deutsche Bank has put out a research note which indicates that historically Sydney auction clearance rates have needed to decline to around 45% in order to be accompanied by year-on-year price declines.<br><br>While certain inner suburban clearance rates remain very high as noted above, the above figures represent further evidence that in many areas away from the inner suburbs the investor market has been knocked for six by increased deposit requirements, and stock on market is now rising.<br><br>Sydney will have some big auction weekends to muddle through before the Christmas break, in the meantime watch out for any handover to owner-occupier mortgage lending.</div>
<div> </div>
<div>
<p><span><em>PETE WARGENT is the co-founder of <a href="https://allenwargent.com/" target="_blank" rel="nofollow">AllenWargent</a> property buyers (London, Sydney) and a best-selling author and <a href="https://petewargent.blogspot.com/" target="_blank" rel="nofollow">blogger</a>.</em><br></span></p>
<p><em>His latest book is <a href="https://www.bigskypublishing.com.au/Books/General-Interest/Four-Green-Houses--and-a-Red-Hotel/1015/productview.aspx" target="_blank" rel="nofollow">Four Green Houses and a Red Hotel</a>.</em></p>
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Auctions fading to black in Sydney outer: Pete Wargent

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<div>Earlier this year I wrote about the extent to which Chinese investment in Australian real estate has mushroomed over the past few years.</div>
<div> </div>
<div>Unfortunately the Foreign Investment Review Board is not due to release its 2015 Annual Report for some time, and furthermore not all states release full disclosure of foreign land ownership.</div>
<div> </div>
<div>One state which does so is Queensland, and indeed its Annual Report for the 2015 financial year was released only this week.</div>
<div> </div>
<div>The Foreign Ownership of Land Register (which requires disclose of the ownership of freehold or leasehold land) provided further evidence that Chinese investment in Queensland has absolutely exploded, with the value of annual acqusitions soaring by more than 170 per cent in the space of only two financial years from $323 million to $873 million. </div>
<div> </div>
<div>This accounted for a greater value of investment than all five of the other major countries disclosed combined.</div>
<div> </div>
<div><a href="/images/2015/11/QLD.jpg" target="_blank">Click to enlarge</a></div>
<div> </div>
<div><img src="/images/2015/11/QLD.jpg" alt=""></div>
<div> </div>
<div>
<div><strong><span style="text-decoration: underline;">Urban focus</span></strong></div>
<div> </div>
<div>The data shows that while British interests continue to own the greatest land <em><strong>area</strong></em> in Queensland, Chinese investors have been very much focussed on the acquisition of urban land, in particular locations in Brisbane and on the Gold Coast.</div>
<div> </div>
<div>Indeed, Chinese investors accounted for a thunderous 63 per cent of foreign interest land acquisitions on the Gold Coast in 2014-15.</div>
<div> </div>
<div>Meanwhile, foreign interest land acquisitions in Brisbane for the financial year were overwhelmingly mopped up by investors from China (37 per cent), Singapore (33 per cent), and Hong Kong (8 per cent).</div>
<div> </div>
<div>The value of foreign land acquisitions in the financial year away from Brisbane and the Gold Coast was considerably lower.</div>
<div> </div>
<div><a href="/images/2015/11/QLD2.jpg" target="_blank">Click enlarge</a></div>
<div> </div>
<div><img src="/images/2015/11/QLD2.jpg" alt=""></div>
<div> </div>
<div><span>The interest of Chinese investors in Australian property is set to scale unprecedented heights in 2016, but the impacts of this are not always well understood.</span></div>
<div><span> </span></div>
<div>
<p><span><em>PETE WARGENT is the co-founder of <a href="https://allenwargent.com/" target="_blank" rel="nofollow">AllenWargent</a> property buyers (London, Sydney) and a best-selling author and <a href="https://petewargent.blogspot.com/" target="_blank" rel="nofollow">blogger</a>.</em><br></span></p>
<p><em>His latest book is <a href="https://www.bigskypublishing.com.au/Books/General-Interest/Four-Green-Houses--and-a-Red-Hotel/1015/productview.aspx" target="_blank" rel="nofollow">Four Green Houses and a Red Hotel</a>.</em></p>
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Chinese investment in Queensland explodes: Pete Wargent

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<p>It’s only a matter of time before Melbourne overtakes Sydney as the price growth leader in capital city Australia.</p>
<p>Pretty much everyone now accepts that Sydney is subsiding, as every available statistic confirms what Hotspotting research has been telling us all year – that Sydney activity peaked late in 2014 and has been on a slow fade right throughout 2015.</p>
<p>Melbourne, however, continues to rise.</p>
<p>In the latest price data from CoreLogic, up to the end of October, the annual price growth gap between Sydney and Melbourne has closed considerably. In the past three months, Melbourne’s home value index has increased 3.1%, easily the biggest among the capital cities, while Sydney’s rose only 1.5%.</p>
<p>In annual terms, Sydney is up 15.6% and Melbourne 12.8%. In a month or two, those positions will be reversed.</p>
<p>The reason Sydney is still above Melbourne at the moment, despite Sydney fading while Melbourne is rising, is that the price data is many months behind the game.<span style="line-height: 1.3em;"> </span></p>
<p>On ABC TV yesterday business commentator Alan Kohler displayed a graph which suggested a correlation between auction clearance rates and median price movements, but with a time lag of several months in the reaction of prices.</p>
<p>(Kohler, incidentally, made the mistake of placing great emphasis on the monthly movement in the city price indexes – he should know that month-to-month changes in statistics are often meaningless aberrations. Many of the monthly movements are contradicted by the quarterly changes, which are far more significant.)</p>
<p>It’s taken quite a long time for Sydney prices to respond to the slowdown in activity, but history shows this is quite normal. It also shows that median prices are rather a blunt instrument for measuring the state of markets. Sales volumes are far more revealing and can put you ahead of the game in terms of likely price movements.</p>
<p>The latest sales data shows that Melbourne has been rising steadily throughout this calendar year, quite the opposite to Sydney.<span style="line-height: 1.3em;"> </span></p>
<p>Each quarter has shown an uptick in sales activity, with the greatest momentum occurring away from the millionaire suburbs close to the CBD. This may explain why Melbourne clearance rates are dropping at a time when overall sales activity is rising and the overall city median is rising – the busiest markets are those less likely to use auctions.</p>
<p>There are still plenty of strong middle market areas – notably the municipalities of Whitehorse (Box Hill, Nunuwading, Blackburn), Monash (Oakleigh, Mt Waverley, Clayton) and Knox (Wantirna, Boronia, Bayswater) – but the greatest momentum is now the outer ring precincts. Locations likely to attract first time buyers and others on smaller budgets are really pumping in Melbourne.<span style="line-height: 1.3em;"> </span></p>
<p>The LGAs of Whittlesea (Epping, Thomastown, Mill Park) and Hume (Sunbury, Roxborough Park, Gladstone Park) in the north of the metropolitan area are among the market leaders on activity.</p>
<p>In the far south-east, the Casey LGA (Cranbourne, Doveton, Endeavour Hills) has numerous strong markets, while Brimbank (Sunshine, Deer Park, Cairnlea) in the western suburbs is being greatly boosted by infrastructure spending and urban renewal projects.</p>
<p>Wyndham City LGA in the south-west has surged. In Point Cook, for example, sales numbers in the past six quarters have been 289, 313, 350, 396, 395 and 420. Other suburbs in this LGA, such as Werribee, Hoppers Crossing and Wyndham Vale, have similar patterns.</p>
<p>When sales volumes surge like that, prices follow – with a time lag.</p>
<p> </p>
<p><em>Terry Ryder is the founder of <a href="https://www.hotspotting.com.au/" target="_blank">hotspotting.com.au</a>. You can <a href="https://mailto:ryder@hotspotting.com.au" target="_blank">email him</a> or follow him on <a href="https://twitter.com/hotspotting" target="_blank">Twitter.</a></em></p>
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