<p><a href="https://www.apartments.com.au/developments/broadbeach-qld-4218">Broadbeach</a> offers plenty of reasons to live vertically, but moving from a substantial family home into an apartment can expose the compromises of high-density living. Privacy, room for guests and usable living space tend to matter more when an apartment is intended as a permanent home rather than an occasional coastal base.</p>

<p>A typical residential floor at <a href="https://www.apartments.com.au/new-apartments/the-eveleigh-broadbeach-7-9-surf-parade-broadbeach-qld-4218">The Eveleigh</a>, on Surf Parade,&nbsp;contains just four apartments. The 94-residence development by <a href="https://www.apartments.com.au/developers/hirsch-faigen">Hirsch &amp; Faigen</a> is predominantly made up of expansive three-bedroom homes, with a limited collection of half-floor penthouses above.</p>

<p>Across the apartment floors, <a href="https://www.apartments.com.au/architects/rothelowman">Rothelowman</a> has used the relatively limited number of residences to give each home greater access to natural light and outlook. Living spaces extend towards full-height glazing, while a series of bay windows frame selected views across the Pacific Ocean, city and hinterland rather than treating the building edge as a continuous wall of glass.</p>

<p>&nbsp;</p>

<p>[smartcode_project:default project_id=149670 project_image_fid=360965]</p>

<p>“The apartment floors deliver a collection of homes that embrace controlled outlook via a series of bay windows deliberately framing moments of view,” Rothelowman Director Kim Lowman said.</p>

<p>From outside, those projecting forms contribute to the tower’s faceted profile. Strong horizontal and vertical elements establish its proportions, while the changing position of the sun alters the light, shadow and reflection across the façade throughout the day.</p>

<p>The same attention moves inside the apartments, where the material palette combines warm timber, natural stone, metallic detailing and softer curved forms. Kitchens sit within the main living zone, with stone island benches, integrated joinery and European appliances, before the living areas extend towards the glazing and the outlook.</p>

<p>&nbsp;</p>

<p>[smartcode_project:default project_id=149670 project_image_fid=360981]</p>

<p>Three genuine bedrooms provide room to accommodate family and guests, while two secure car spaces and storage address some of the practical considerations that can become more noticeable when moving from a larger home. Feedback from the display suite has centred on the warmth and restraint of the interiors, with buyers commenting that the residences feel like homes rather than conventional coastal apartments.</p>

<p>A limited collection of half-floor penthouses occupies the upper levels, increasing the scale of the living spaces and adding private balconies and elevated finishes. From this position, the outlook extends between the ocean and hinterland.</p>

<p>Outside the private residences, The Eveleigh separates its shared spaces between the podium and rooftop. The podium is centred on wellness, with subtropical landscaping surrounding a swimming pool and pool terrace, yoga garden, private gymnasium, sauna and hot and cold plunge facilities. Landscaped retreats and pavilions provide additional places to sit away from the main recreation areas.</p>

<p>&nbsp;</p>

<p>[smartcode_project:default project_id=149670 project_image_fid=360966]</p>

<p>Higher in the building, a rooftop pavilion and private dining suite sit alongside resident lounge, barbecue and outdoor dining areas, opening towards panoramic views across the ocean, city and hinterland.</p>

<p>“Buyers are no longer just looking for an apartment, but a lifestyle where they can relax, reset, and enjoy a balanced way of living,” Hirsch &amp; Faigen Director of Sales Matt George said.</p>

<p>Interest to date has come from established owner-occupiers and interstate lifestyle purchasers, including buyers planning a future move to the Gold Coast. Many are coming from larger homes and want to reduce ongoing maintenance without giving up space for family and guests, privacy, two car spaces or the ability to entertain at home.</p>

<p>&nbsp;</p>

<p>[smartcode_project:default project_id=149670 project_image_fid=360969]</p>

<p>Much of that daily life can also take place beyond the building without requiring a drive. Kurrawa Beach and Pratten Park are an easy walk from Surf Parade, while Pacific Fair, Oracle Boulevard, The Oasis, restaurants, cafés, entertainment and public transport are also within walking distance.</p>

<p data-end="8307" data-start="8063">The Eveleigh is Hirsch &amp; Faigen's fourth Gold Coast development since entering the market in 2021, following The Hemingway at Palm Beach, The Emerson at Kirra and Yves at Mermaid Beach. Each of the preceding projects sold out before completion.</p>

<p data-end="8543" data-start="8312">“Broadbeach had been on our radar throughout our time operating on the Gold Coast,” the developer said. “Following our projects in Palm Beach, Kirra and Mermaid Beach, Broadbeach represented the natural next step for the business.”</p>

<p data-end="8915" data-start="8548">The Surf Parade site brought together proximity to the beach, protected coastal outlooks and walkability to dining, shopping and recreation. Hirsch &amp; Faigen also identified the street as an emerging premium residential address, with enough separation from Broadbeach's busier destinations to retain a quieter environment at home.</p>

<p>The Eveleigh is now under construction by Maxcon, with completion forecast for mid-2028. Three-bedroom residences are currently available from $2.87 million.</p>

<p>[smartcode_project_cta:default project_id=149670]</p>


Joel Robinson

The Eveleigh brings house-like apartments to Broadbeach

<p>A long-stalled Campbelltown development site is back in play, with new plans for 139 apartments set to supersede a mixed-use scheme approved almost a decade ago but never built.</p>

<p>The new proposal for 28 Cordeaux Street would deliver 116 market and 23 affordable apartments in a part 14-storey building, bringing a substantial new project into a Campbelltown market where new apartment supply remains limited.</p>

<p>Plans have been filed over the 3,092 sqm corner site at Moore-Oxley Street, around 600 metres from Campbelltown Railway Station and the city-centre retail core.</p>

<p>The site already carries a mixed-use residential approval dating to 2016. Doroch Architects has now been engaged on a larger replacement scheme, which is progressing as a State Significant Development Application following a Housing Delivery Authority determination in August 2025.</p>

<p>The apartment mix comprises 39 one-bedroom, 72 two-bedroom and 28 three-bedroom residences. Two-bedroom apartments make up just over half of the project, while three-bedroom homes account for 20 per cent.</p>

<p><img alt="First look: New 139-apartment plans revive long-stalled Campbelltown city centre site" data-entity-type="file" data-entity-uuid="136dd5b9-3791-4da6-9e31-76f533f5b4de" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Campbelltown%20da2.png?VersionId=LgOSy9nwf5u.MGswBBwaGGxuX8QpHSl_" /></p>

<p>Of the 139 apartments, 23 will be delivered as affordable housing under the in-fill affordable housing provisions of the Housing SEPP. The affordable component represents 15 per cent of the residential gross floor area and will be managed by a registered Community Housing Provider.</p>

<p>Doroch has sought to break the scale of the building into two distinct elements, with a masonry podium of around four storeys establishing the street edge before the residential tower steps back above.</p>

<p>The corner position has shaped that approach. Cordeaux Street faces toward the commercial and civic centre, while Moore-Oxley Street leads into the lower-scale residential neighbourhood to the south, and the design verification report describes the site as "bridging the commercial core to the north and established residential areas to the south."</p>

<p>The podium will be expressed predominantly in face brick, while the upper levels shift to brushed and grooved concrete cladding with darker metal detailing. Recessed sections, deep balcony edges and landscaping break down the upper form, with an approximately 11.8-metre setback to the northern boundary addressing the adjoining St Peters Anglican School.</p>

<p><img alt="First look: New 139-apartment plans revive long-stalled Campbelltown city centre site" data-entity-type="file" data-entity-uuid="c8b3d2d3-c561-4bfc-a5d9-a68c0c10dac1" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Campbelltown%20da1.png?VersionId=AeAEyJU02Gk2k5noUj2StziCvdQ7fW4B" /></p>

<p>Campbelltown has been starved of new residential developments in the last decade.</p>

<p>The only other notable development set to come to market this year is ALAND's Queen Square, a mixed-use precinct on over two hectares that will comprise apartments above a vibrant ground-level retail and hospitality dining precinct.</p>


First look: New 139-apartment plans revive long-stalled Campbelltown city centre site

<p>
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</style>
</p>

<p>A 60-apartment building nine storeys tall would be a rarity almost anywhere along this stretch of Moreton Bay, but that's exactly what's been lodged for a modest Deception Bay street better known for its single-storey weatherboard homes.</p>

<p><a href="https://www.apartments.com.au/developers/sherlock-construction-homes">Sherlock Construction Homes</a> is seeking to push Deception Bay’s emerging medium-density housing profile higher, lodging plans for a nine-storey apartment building near the suburb’s shopping centre and foreshore.</p>

<p>Dubbed Grosvenor Apartments, the proposal at 14-20 Grosvenor Terrace would replace two detached homes with a new building designed by&nbsp;<a href="https://www.apartments.com.au/architects/mode">Mode Design</a>&nbsp;which would&nbsp;reach nearly 30 metres, well above the site’s mapped 21-metre building height.</p>

<p><img alt="First Look: Sherlock Construction pitches 9-storey tower for low-rise Deception Bay" data-entity-type="file" data-entity-uuid="86c21a25-5a97-4ca7-a361-80757137ea5b" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Deception%20da%20front.png?VersionId=aXIujfvEhH33sLHOEjHFv9Ii6qxSvAF4" /></p>

<p>The apartment mix is weighted toward larger homes, with 14 three-bedroom apartments, 31 two-bedroom apartments and 15 one-bedroom apartments. Six apartment types are spread across the floors, ranging from 66 sqm one-bedroom units through to three-bedroom apartments of 116 sqm, most with private balconies or terraces.</p>

<p>Levels one through seven follow a consistent layout of six to eight apartments per floor arranged around a central lift and stair core, with the top floor, level eight, trading one apartment for a landscaped community breakout space rather than repeating the standard layout below.</p>

<p>Ground floor is dedicated to arrival and services, with a lobby, mailroom and manager's office, alongside 91 car spaces.</p>

<p><img alt="First Look: Sherlock Construction pitches 9-storey tower for low-rise Deception Bay" data-entity-type="file" data-entity-uuid="b098bde0-5fe1-4e6c-9601-e5446612e5fc" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Deception%20podium.png?VersionId=A0hfENMNxSxkfh9Jl6D4WJ9XIraeOukA" /></p>

<p>Mode Design's brief describes a "serene coastal-inspired design blending soft curves, natural textures and light-filled spaces to reflect the relaxed Deception Bay lifestyle."&nbsp;</p>

<p>The material palette leans on white and grey render, timber-look aluminium screening and stacked-brick-look finishes, with hanging greenery and vine planting proposed across balcony edges and ground-level walls.&nbsp;</p>

<p>Balconies feature asymmetrical geometries intended to vary the building's rhythm rather than repeat a single module up the tower, while lush planting is concentrated over the entry and level one balconies to soften the building's base.</p>

<p><img alt="First Look: Sherlock Construction pitches 9-storey tower for low-rise Deception Bay" data-entity-type="file" data-entity-uuid="c05c5693-3e00-42d0-b075-55c36094f4db" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Deception%20da%201.png?VersionId=cMKJgBsBaaVCd2dA5O22SOT38OT_.BPA" /></p>

<p>The design evolved following an April 2025 prelodgement meeting with council. At that stage, the project was conceived as a seven-storey building containing 45 apartments. The subsequently lodged scheme increases the development to nine storeys and 60 apartments while introducing one-bedroom residences to the mix.</p>

<p>Zone Planning argues the additional scale reflects the site's position within an area earmarked for increased residential intensity. The planning report points to the North Lakes-Redcliffe-Moreton Bay Rail corridor strategy, which identifies Deception Bay as a district-level activity centre and supports greater housing choice within urban neighbourhoods.</p>

<p>Market Square Deception Bay, Deception Bay Sports Centre, Deception Bay State School, public transport, community facilities and the Moreton Bay foreshore are all identified within approximately one kilometre of the site, while the property falls within a 400-metre walking catchment of Market Square.</p>

First Look: Sherlock Construction pitches apartments for low-rise Deception Bay

<p data-end="587" data-start="368">Queensland builder-developer MAYD has revealed the first look at its major North Kirra beachfront development, lodging amended plans that reduce the number of apartments and increase the proportion of larger residences.</p>

<p data-end="778" data-start="589">The project is planned across a substantial 4,742 sqm amalgamated site spanning seven lots at <a href="https://www.apartments.com.au/new-apartments/2-6-pacific-parade-bilinga-qld-4225">2-6 Pacific Parade</a> and 27-33 Golden Four Drive in Bilin​ga, directly opposite Nor​th Kirra Beach.</p>

<p data-end="907" data-start="780"><a href="https://www.apartments.com.au/developers/mayd-group">MAYD</a> secured the site for $32.5 million in 2025, in what was one of the Gold Coast's largest property transactions of the year.</p>

<p data-end="1052" data-start="909">The development will be delivered across two stages, with the first stage carrying an estimated gross realisation value of around $360 million.</p>

<p data-end="1311" data-start="1054">The latest amendments seek to reduce the overall apartment count and shift the project further toward the owner-occupier market, with larger residences designed for buyers wanting considerably more space than traditionally offered in a beachfront apartment.</p>

<p data-end="1451" data-start="1313">The residential mix will include townhomes, oversized two-bedroom apartments, substantial three-bedroom residences and four-bedroom homes.</p>

<p data-end="1676" data-start="1453">MAYD has appointed Cera Stribley to lead the architecture and interiors, with the Melbourne-based design practice drawing on the beachfront setting through a series of ocean-facing terraces and heavily landscaped balconies.</p>

<p data-end="1908" data-start="1678">Strong horizontal forms and curved balconies will define the exterior, with subtropical landscaping integrated throughout the building to soften the built form and increase the connection between the residences and the beachfront.</p>

<p data-end="2142" data-start="1910">The project will also include an extensive collection of resident wellness and lifestyle facilities, continuing the broader shift across the Gold Coast's luxury apartment market toward larger homes supported by resort-style amenity.</p>

<p data-end="2142" data-start="1910"><img alt="MAYD" data-entity-type="file" data-entity-uuid="d1bcbb05-e659-4b47-8bd4-1e595315e2ad" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-27%20at%202.05.03%E2%80%AFPM.png?VersionId=jj0XEud1X1DuLt7_KyElhjMdZGOXmLHP" /></p>

<p data-end="2308" data-start="2144">MAYD Founder Todd Mould said North Kirra was increasingly appealing to buyers attracted to the more established, lower-density character of the southern Gold Coast.</p>

<p data-end="2648" data-start="2310">"North Kirra presents one of the most compelling luxury residential opportunities currently emerging in Australia, combining absolute beachfront with the character and authenticity that buyers are increasingly seeking, and the same sense of tight-knit community that defined Burleigh and Currumbin perhaps 10 or 15 years ago," Mould said.</p>

<p data-end="2797" data-start="2650">"With Gold Coast Airport on its doorstep, it also offers a level of accessibility that broadens its appeal across almost every market demographic."</p>

<p data-end="2938" data-start="2799">The project comes as the southern Gold Coast continues to attract an increasing share of high-end apartment development and buyer activity.</p>

<p data-end="3216" data-start="2940">Kirra in particular has emerged as one of the region's more tightly held beachfront markets, with its relatively low-density character, established surf and hospitality scene and proximity to Gold Coast Airport differentiating it from the higher-density markets further north.</p>

<p data-end="3325" data-start="3218">Mould said those characteristics had informed the approach MAYD and Cera Stribley had taken to the project.</p>

<p data-end="3442" data-start="3327">"We've worked closely with Cera Stribley to create a vision that is deeply connected to its surroundings," he said.</p>

<p data-end="3662" data-start="3444">"Inspired by the coastline itself, the architecture has been shaped around space, privacy and resort-style living, creating a collection of homes that reflects the next generation of luxury on the southern Gold Coast."</p>

<p data-end="3818" data-start="3664">MOTIV Managing Director Carly Cottam, who has been appointed to market the project, said buyer attention had continued to move south along the Gold Coast.</p>

<p data-end="4076" data-start="3820">"Purchasers who may once have defaulted to Broadbeach, Main Beach or Surfers Paradise are increasingly recognising the value of a genuine beachfront location that offers lower density, strong amenity and a more established sense of community," Cottam said.</p>

<p data-end="4375" data-start="4078">"Kirra has a powerful combination of growing demand and genuine scarcity. Beachfront supply is inherently constrained, the area remains relatively low density, and buyers are increasingly placing a premium on locations that feel established, uncrowded and authentic rather than heavily developed."</p>

<p data-end="4503" data-start="4377">Cottam said the proximity to Gold Coast Airport was also proving increasingly important for interstate and second-home buyers.</p>

<p data-end="4741" data-start="4505">"Being minutes from Gold Coast Airport makes it particularly compelling for interstate buyers, frequent travellers and second-home purchasers who can access an authentic coastal lifestyle almost immediately after stepping off a flight."</p>

<p data-end="4910" data-start="4743">The acquisition takes MAYD's active development portfolio to more than $500 million, with the North Kirra project representing one of its largest undertakings to date.</p>

<p data-end="4951" data-start="4912">MAYD is targeting an early 2027 launch.</p>


First look at MAYD's North Kirra mixed-use precinct

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<p data-end="600" data-start="394">Castle Hill, the longtime hub of the Hills District, has been one of the major beneficiaries of Sydney's Metro expansion, with improved connectivity helping drive continued population growth, development and buyer demand across the Hills District.</p>

<p data-end="733" data-start="602">But despite that growth, the suburb has seen relatively few major new apartment projects brought to market over the past 18 months.</p>

<p data-end="970" data-start="735">Hills District developer Reve Group is looking to fill that gap with <a href="https://www.apartments.com.au/new-apartments/nova-r-ve-castle-hill-2-garthowen-crescent-castle-hill-nsw-2154">Nova Rêve</a>, a major new mixed-use precinct on the corner of Garthowen Crescent and Old Castle Hill Road, a short walk from Castle Hill Metro Station and Castle Towers.</p>

<p data-end="970" data-start="735">[smartcode_project:default project_id=152737 project_image_fid=377679]</p>

<p data-end="1159" data-start="972">The project will comprise three residential towers alongside a hotel, restaurants, cafes and a skybar, more than 1,600 sqm of ground-floor retail and almost an acre of landscaped gardens.</p>

<p data-end="1357" data-start="1161">It represents the largest project undertaken by Reve Group, the development arm of the Kassis family, which has been building across the Hills District for more than 30 years through Kassis Homes.</p>

<p data-end="3400" data-start="3216">[smartcode_project:default project_id=152737 project_image_fid=377675]</p>

<p data-end="3400" data-start="3216">Nova Rêve also represents a significant step up from the family's first apartment development, Grand Rêve, which was delivered nearby on Garthowen Crescent.</p>

<p data-end="1664" data-start="1517">Grand Rêve introduced larger, house-like apartment layouts and premium inclusions including Wolf and Sub-Zero appliances to the Castle Hill market.</p>

<p data-end="1826" data-start="1666">Nova Rêve takes that approach to a precinct scale, combining the residential component with hospitality, retail and substantial public and resident landscaping.</p>

<p data-end="1826" data-start="1666">[smartcode_project:default project_id=152737 project_image_fid=377685]</p>

<p data-end="2045" data-start="1828">Reve Group Managing Director Sam Kassis said the project reflected the family's three decades of building in the Hills, which has evolved from trophy homes on quarter-acre blocks to larger-scale apartment development.</p>

<p data-end="2269" data-start="2047">"Grand Rêve was our first apartment project here and it showed us what this pocket of Castle Hill could be. Nova Rêve is the refinement of that idea: not just apartments, but a place the whole suburb can use," Kassis said.</p>

<p data-end="2430" data-start="2271">A key part of that approach is the hotel, which has been designed to operate as an amenity for the wider Castle Hill community rather than solely hotel guests.</p>

<p data-end="2606" data-start="2432">It will include restaurants, cafes, skybars and all-day dining, alongside conference and event facilities catering to business functions, community groups and private events.</p>

<p data-end="2724" data-start="2608">At ground level, more than 1,600 sqm of shops and cafes will open onto the surrounding streets and landscaped areas.</p>

<p data-end="2892" data-start="2726">Almost an acre of gardens designed by Land and Form Studios will run through the precinct, incorporating pathways, seating, barbecue areas and children's play spaces.</p>

<p data-end="2892" data-start="2726">[smartcode_project:default project_id=152737 project_image_fid=377680]</p>

<p data-end="3004" data-start="2894">Reve Group's Romio Georges said creating an active ground plane had been central to the planning of Nova Rêve.</p>

<p data-end="3214" data-start="3006">"There are gardens with pathways, barbecues, seating and play areas, shops and cafes opening onto the street, and a hotel with restaurants and a skybar that anyone in Castle Hill can walk into," Georges said.</p>

<p data-end="3400" data-start="3216">The project's elevated position on one of Sydney's highest ridgelines will also provide apartments with outlooks toward the Sydney skyline, surrounding parkland and the Blue Mountains.</p>

<p data-end="3400" data-start="3216">More than 80 per cent of the apartments will occupy corner positions, with Turner responsible for both the architecture and interiors.</p>

<p data-end="3670" data-start="3538">&nbsp;</p>

<p data-end="3670" data-start="3538">[smartcode_project_cta:default project_id=152737]</p>

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Nova Rêve arrives as Reve Group bets on Castle Hill's next growth phase

<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>EXPERT OBSERVATION</p>
<p>The yield trap refers to how stocks with high dividend yields can often be, erm, a trap, since the high yield is often reflective of weak share price performance or an unsustainable dividend.</p>
<p>It's tempting to gun for the apparent promise of a high dividend, but often misguided.</p>
<p>Yield is a spot figure calculated at any given point in time; but it's not the same thing as income over the life of an investment.</p>
<p><strong>Rental yield &amp; risk</strong></p>
<p>The same holds true for most asset classes, not least real estate.</p>
<p>Recall the 15-20% high-yielding mining town 'investments' of 2012 being spruiked by opportunists (Gladstone, Port Hedland, South Hedland, Moranbah etc). </p>
<p>The dividend or rental income wasn't sustainable as supply responded, and these markets utterly imploded. </p>
<p>In a similar vein, let's take a look at apparently everyone's favourite topic du jour, Sydney housing.</p>
<p>Rewind to the day I was allegedly born, and a three-bedroom cottage in Paddo would have set you back about $40,000.</p>
<p><img src="https://4.bp.blogspot.com/-J2hzZl_ACLs/WuUzyayRQ6I/AAAAAAAAps4/pGnAE3F2grcM1gkxhNkKxNckOxvutToaACLcBGAs/s640/VG%2B1977.jpg" width="640" height="482" data-original-height="661" data-original-width="876"></p>
<p>Higher-yielding investments were always available in the form of two-bedroom apartments, for a purchase price set about 20% lower. </p>
<p>The higher yield partly reflected that units were often more modern - as well as the cheaper purchase price - but also less scarcity value.</p>
<p><img src="https://1.bp.blogspot.com/-RDOjGlliDuE/WuUzyOqUuzI/AAAAAAAApsw/DHuVNNd8E2gcios92ISREitC723aY8sHACLcBGAs/s640/VG%2B1977%2BUnits.jpg" width="640" height="320" data-original-height="433" data-original-width="861"></p>
<p>It's no secret that land and house prices have always appreciated fastest in Sydney's inner ring, ahead of apartment prices and blocks on the outer - the Valuer General dutifully reported as such in typed font for years in its famed 'Blue Book' annual compendium.<br><br> AHURI and the Reserve Bank of Australia periodically note the same thing.</p>
<p><img src="https://4.bp.blogspot.com/-hZvdb6l7SI8/WuUzyAogqTI/AAAAAAAAps0/BkooOqmvggItSNsBpq34ORuePX3Y197KgCLcBGAs/s640/1981%2BValues.jpg" width="640" height="616" data-original-height="782" data-original-width="810"></p>
<p>Roll forward to today and with a bit of a refurb your three-bedroom cottage in Paddo rents for about $1750/week ($91,000 per annum) while the two-bed unit would be doing pretty well if it generated just 40% of that amount. </p>
<p>Meanwhile the cottage costs at least double what the apartment does, probably more, so house prices have continued to outperform too.</p>
<p><strong>Immutable laws of supply &amp; demand</strong></p>
<p>Conventional housing market economics suggests that as prices increase supply should respond, but in the case of inner Sydney land this obviously cannot be so, at least until some brainbox decides to build out on to the harbour. </p>
<p>In fact, the Census figures appeared to show that the number of houses in Sydney's inner ring is actually in decline as they make way for more and more, and more...and more apartments (in some areas more than others, 'tis true).</p>
<p><img src="https://2.bp.blogspot.com/-OEXHdEjPlXo/WuVA0ScpMJI/AAAAAAAAptY/B_3sZ8Ap7asnJhRMnHoVxQa26wuWoGWMgCLcBGAs/s640/units.jpg" width="640" height="388" data-original-height="817" data-original-width="1342"></p>
<p>Yield is important for serviceability, but it's by no means the same thing as income over the life of an investment. </p>
<p>Inner city apartments still generate a higher percentage yield in Sydney than houses. Maybe they always will. </p>
<p>And don't get me wrong, my portfolio has several apartments in inner ring Sydney.<br><br> But still I know what I'd rather own! </p>
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pwargent-M4siyDbqQY

Don't get caught in the yield trap: Pete Wargent

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<p>EXPERT OBSERVATION</p>
<p>Stamp duty has remained unchanged in NSW for 32 years despite median house prices rising by 1181%.</p>
<p>When the current NSW Transfer Duty brackets were put into place in 1986 the median dwelling price, according to statistics from CoreLogic, was $80,675 compared to the current median house price of $1,033,892.</p>
<p>The government’s unwillingness to act on this is outrageous.</p>
<p>The numbers speak for themselves.</p>
<p>Median unit prices have also seen a similar increase with a rise of 841.80% from $80,331 to $756,557.</p>
<p>Consumers should be angry about this huge injustice and the government needs to start listening.</p>
<p>A full review must be undertaken and it must be undertaken now.</p>
<p><span lang="EN-US">It was time for the NSW government to correct</span> the punishing effects of Stamp Duty bracket creep. </p>
<p>However, to date, Government has chosen to ignore the damage these outdated tax rates are causing.</p>
<p><span lang="EN-US">The Government’s conduct in regard to this issue is nothing less than unconscionable. </span></p>
<p><span lang="EN-US">The current NSW Transfer Duty brackets (other than the top bracket for residential land over $3 million) have been in place for more than 30 years. <br></span></p>
<p><span lang="EN-US">The Second Reading to the 1986 Bill which on enactment increased NSW Transfer Duty rates and introduced the current base thresholds included the following statement: </span></p>
<p><span lang="EN-US">The increased rates for conveyances only affect properties worth more than $300,000 and thus will not affect the average home purchaser. </span></p>
<p><em><strong>Leanne Pilkington</strong> is the Real Estate Institute of New South Wales president.</em></p>
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jrobinson-rf4aSBido9

Government's failure to correct stamp duty is unconscionable: REINSW

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<p><span>CoreLogic undertook analysis of the recent March 2018 quarter consumer price index (CPI) data which confirmed that in inflation adjusted terms, dwelling values are now lower in most capital cities.</span></p>
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<p><span>(Note: consumer price index (CPI), which measures inflation, increased by 0.4% over the March 2018 quarter to be 1.9% higher year-on-year. With the release of this data, it is also possible to look at inflation-adjusted or real changes in dwelling values across the capital cities. When looking at these figures, the inflation adjustment means that value growth is lower).</span></p>
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<p><span>The results showed that national dwelling values fell by -1.0% and </span>were -0.7% lower over the past 12 months, however, Hobart was the only capital city where real values increased over the quarter (+3.0%) with Sydney recording the largest quarterly fall (-2.2%).</p>
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<p><span>Over the past twelve months, only Melbourne (+3.4%), Hobart (+10.9%) and Canberra (+1.0%) have seen dwelling values outpace inflation. The largest decline over the year was recorded in Darwin (-9.3%) followed by Perth (-4.3%) and Sydney (-4.0%).</span></p>
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<p><span>Over the past decade, only Sydney (+43.3%) Melbourne (+38.7%) </span><span>and Hobart (+6.4%) have recorded ‘real’ growth in dwelling values.</span></p>
<p><a href="https://www.propertyobserver.com.au/images/2018/4/26/corelogic%20expert%20obs%201.jpg" target="_blank">Click here</a> to enlarge</p>
<p><span><img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2018/4/26/corelogic%20expert%20obs%201.jpg" alt=""></span></p>
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<p><span>These latest figures really highlight just how </span><span>narrow value growth has been in the national housing market over the past decade. It also highlights that low mortgage rates alone have not been the key driver of value growth - mortgage rates are </span>the same in Sydney as they are in Perth yet the former has recorded real growth of 43.3% while the latter has seen values fall by -25.0%.</p>
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<p><span>With dwelling values dropping over recent months, all capital cities, except Hobart, now have real values which sit below their previous peak. Nationally, values are -2.0% lower than their June 2017 peak and across the combined capital cities values are a slightly greater -</span><span>2.5% lower. Let’s take a look at how dwelling</span><span>values have tracked in inflation adjusted terms across each capital city.</span></p>
<p><a href="https://www.propertyobserver.com.au/images/2018/4/26/corelogic%20expert%20obs%202.jpg" target="_blank">Click here</a> to enlarge</p>
<p><img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2018/4/26/corelogic%20expert%20obs%202.jpg" alt=""></p>
<p><span>Sydney </span><span>– </span><span>values are 5.3% lower than their June 2017 peak.</span></p>
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<p><span>Melbourne </span><span>– </span><span>after peaking in December 2017, values are currently -0.9% lower.</span></p>
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<p><span>Brisbane </span><span>– </span><span>values peaked back in March 2008 and are currently - 12.5% lower.</span></p>
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<p><span>Adelaide </span><span>– </span><span>values currently sit -7.4% below their June 2010 peak.</span></p>
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<p><span>Perth </span><span>– </span><span>the city has seen values fall by -28.5% from their peak in December 2006. dwelling </span><span>values.”</span></p>
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<p><span>Hobart </span><span>– </span><span>with values increasing a further 10.9% over the past year, it is the only city where real dwelling values are currently at their peak.</span></p>
<p><span>Darwin </span><span>– </span><span>real dwelling values peaked in March 2013 and have since fallen by -28.2%.</span></p>
<p><span>Canberra </span><span>– </span><span>dwelling values are -6.8% lower than their June 2010 peak.</span></p>
<p><span>Although the rate of inflation is quite slow and remains below the Reserve </span><span>Bank’s </span><span>target range of 2% to 3% annually, value growth is now broadly slower and is expected to remain that way over the coming quarters.</span></p>
<p><span>As </span><span>a result, when looking at inflation-adjusted dwelling values the expectation is that they will continue to fall over the coming quarters which means that as the cost of other items increase and inflation rises, relatively speaking, the cost of housing will reduce. </span><span>We’ve </span><span>seen this result occurring in most capital cities for a number of years but is a relatively recent development in Sydney and Melbourne.</span><span>”</span></p>
<p><span>The </span><span>flow-on effect of value falls remains to be seen, however, it may result in less expenditure elsewhere across the economy, particularly in Sydney and Melbourne which have had strong retail demand over recent years due to the wealth-effect of increasing dwelling values.</span><span>”</span></p>
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<p><span><em><span>CAMERON KUSHER</span> is head of research for CoreLogic. You can contact him <a href="https://blog.corelogic.com.au/about/"><span class="s2">here</span></a>.</em></span></p>
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ckusher-ujnxiKuFQs

Hobart the only capital city where real dwelling values sit at their peak

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<p>A renovation to the food court at Australia Fair shopping centre in Southport, which started in January, has been completed.</p>
<p>The renovation to the central food court area, which not been renovated since 1995, was stage one of its $25 million-dollar revitalisation project.</p>
<p>The cafeteria-style layout has a new floor plan featuring a mix of lounge style bench seating, high bars, upgraded amenities and pendant lighting.</p>
<p>Australia Fair general manager Ramon Otten said works to the were the most recent in a major phase of the centre’s redevelopment project, which also includes a revitalised Scarborough Street entrance, ground floor concourse and new-look Coles.</p>
<p>“Following on from the successful redevelopment of Coles, together with the Scarborough Street entrance and ground floor concourse, we are excited to unveil the next stage of Australia Fair’s revitalisation, being the new-look central food court,” Otten said.</p>
<p>“The transformation will see customers enjoy a selection of international dining options, from fresh salads, sushi and Vietnamese, as well as new furniture and facilities, as the iconic Broadwater facing food court becomes a modern dining precinct that exudes a strong coastal ambience with a contemporary new-look.”</p>
<p><img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2018/4/27/DSC05563.jpg" alt=""> </p>
<p>Otten said a variety of bench seating and phone charging stations have been installed as part of the revitalised food court’s new offerings, in addition to Free Wi-Fi, now available throughout the precinct, and four large televisions, set to air Foxtel.</p>
<p>The ceilings of the food court have been replaced with new plasterboard and feature battens, while the amenities have also received a cosmetic refurbishment including new tiling, partitions and fixtures.</p>
<p>Otten said feedback from shoppers on the new Scarborough Street frontage, Coles Australia Fair and the ground floor concourse had been ‘extremely positive’, following its official unveiling in November last year.</p>
<p>“Stage one of the revitalisation project has already been extremely well-received by our shoppers, who have provided positive feedback on the new look and feel to this part of the Centre,” he said.</p>
<p>“We have carried on the same vibe through to the new-look food court, which will also complement our popular alfresco dining precinct, Australia Fair Metro.</p>
<p>“This is in line with our commitment to improving the Centre’s overall customer experience.”</p>
<p>Other new food tenancies that have recently joined include Vintage Grind, Uncle Bills, Stellar Vietnamese Street Food and U Grill.</p>
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j.ballantyne1990-6AQqhLzZaK

Australia Fair completes stage one of $25 million revitalisation

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<p>EXPERT OBSERVATION</p>
<p>Headline inflation increased by only +0.4% in the March quarter.</p>
<p>Tradables inflation was negative year-on-year for a third consecutive quarter.</p>
<p>There has been some consumer price inflation, mainly in areas influenced by government, as articulated by Shane Oliver of AMP: utilities, healthcare, education. </p>
<p>There's also been the obligatory excise on tobacco and booze. </p>
<p>But generally CPI in the private sector has been extraordinarily weak. </p>
<p><img src="https://3.bp.blogspot.com/-EMLo6TRQV-Y/Wt6vpkNhOFI/AAAAAAAApkA/vfRefQ0p_Yoe9s-SyoeO1sWrSC6Tb_W_ACEwYBhgL/s640/A3.jpg" width="640" height="394" data-original-height="831" data-original-width="1347"></p>
<p>Prices actually fell for clothing, household equipment, furnishings, and recreation. </p>
<p>Underlying inflation over the year did increase to +1.98%, though a stronger print will soon drop off the annual figure, and in any event this is still below the 2 to 3% target. </p>
<p><img src="https://4.bp.blogspot.com/-Fodx4jaDI8c/Wt6vrKVfYVI/AAAAAAAApkM/F6hgLqbWIp07Ofis_BQsWj9w6e59fFcNgCEwYBhgL/s640/B3.jpg" width="640" height="384" data-original-height="821" data-original-width="1365"></p>
<p>Ongoing weakness, it must be said, with the Australian economy appearing to be firmly entrenched in a low inflation environment. </p>
<p><strong>Rents off the mat</strong></p>
<p>Nationally rental price growth was off the mat, with rents up in Sydney (+2.4%) and Melbourne (+2.2%), but marginally down in Brisbane (-0.5%), and still negative year-on-year in Perth and Darwin, though the respective lows for these two resources capitals now appear to have passed.<br><br> Canberra's rental price growth has done a donut from significantly negative -2.5% to +2.7% over the past 11 quarters, and rents are accelerating fast.</p>
<p><img src="https://1.bp.blogspot.com/-chSZtq4Yk1k/Wt6vqOFeBNI/AAAAAAAApkI/55F714zQs6Uk4FJCTu4-K04ApY6LtV-SgCLcBGAs/s640/A1.jpg" width="640" height="376" data-original-height="823" data-original-width="1400"></p>
<p>Sydney rents continued to outpace all groups CPI by a significant margin, as they have tended to across the past 11 years.</p>
<p><img src="https://4.bp.blogspot.com/-GnXIXQ_L90E/Wt6vpxyt7VI/AAAAAAAApkE/Z7CZpTlFC6oLJ4wCHaZuDR6r83NU_YY-ACLcBGAs/s640/A2.jpg" width="640" height="356" data-original-height="831" data-original-width="1487"></p>
<p><strong>The wrap</strong> </p>
<p>Overall, seemingly no significant implications for interest rate moves in the near-term, with underlying inflation still below target (and missing expectations), as it has been for quarter after quarter after quarter.</p>
<p>Of course, +1.98% is getting pretty close to the target.</p>
<p>Wages growth may begin to pick up - following on from news of better earnings growth - but some of the key leading indicators such as broad money growth and building permits have weakened over the past year. </p>
<p>Hard to see any change in interest rates over the remainder of 2018 (and probably 2019) in my head, but nobody ever agrees with me on the world wide interweb.</p>
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National rental price growth rises off the mat: Pete Wargent

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<p class="p1"><span class="s1">I’ve been trying to convince people, without much success, that Adelaide is an economy and property market worthy of serious attention.</span></p>
<p class="p3"><span class="s1">There’s rising potential in the South Australian economy, based on its status as the Australian capital for high-tech innovation and alternative energy, and great value-for-money in the Adelaide real estate market.</span></p>
<p class="p3"><span class="s1">This week there was some support for my position from Deloitte Access Economics. In its latest assessment of the state and territory economies, it says that South Australia is poised to become the nation’s fastest-growing economy this financial year, as it achieves its best growth since before the GFC.</span></p>
<p class="p4"><span class="s1">“South Australia continues to sprint ... so much so that it may wrest the title of ‘fastest growth in the nation’ this year from the ACT,” the Deloitte Access Economics’ Outlook for March says. “The news will come as a surprise to many …”</span></p>
<p class="p5"><span class="s1">Yes, many would be surprised, but South Australia and Adelaide tend to be largely ignored in a media that’s obsessed with Sydney and Melbourne.</span></p>
<p class="p5"><span class="s1">The tendency to report city real estate markets in terms of a single growth figure gives the impression that not a lot is happening in Adelaide.</span></p>
<p class="p5"><span class="s1">It’s easy to be misled by generalised price data, which distils all the market activity in a major city into a single figure describing what prices are allegedly doing.</span></p>
<p class="p5"><span class="s1">As one stark example, there are over 700 suburbs in the Sydney metropolitan area but it’s deemed sensible and meaningful to describe this vast urban area as a single market with one figure claiming that “Sydney house prices” have fallen 3.8% in the past year (according to one source).</span></p>
<p class="p5"><span class="s1">But a breakdown of individual market precincts show that some are still rising, others are stagnating, still others are falling a little and one or two are declining rather a lot (mostly the near-city areas like the inner western suburbs and the inner south).</span></p>
<p class="p5"><span class="s1">So it’s easy to be turned off Adelaide, because the generalised data suggests that “Adelaide house prices” have risen only 2 or 3 percent in the past year. Not much growth there, it seems.</span></p>
<p class="p5"><span class="s1">But individual suburbs and sub-markets are doing considerably better. The secret to success for buyers is to find the out-performers, which exist in most situations.</span></p>
<p class="p5"><span class="s2">It’s noteworthy that several millionaire suburbs have recorded major growth in their median house prices in the past 12 months.<span class="Apple-converted-space"> </span></span></p>
<p class="p5"><span class="s2">Uplift in the premium market is often an early signal of a strong market up-cycle (we’ve seen this also in the recovering Perth market).</span></p>
<p class="p5"><span class="s2">Glenelg South, Gilberton, Hawthorn, Kensington Gardens, Rosslyn Park and Hazelwood Park all have median prices above $1 million and all have recorded median price growth above 20% in the past year.<span class="Apple-converted-space"> </span></span></p>
<p class="p5"><span class="s2">Other million-dollar suburbs like Glenunga, Toorak Gardens and Unley have had growth above 10%.</span></p>
<p class="p5"><span class="s2">Other up-market suburbs with median prices above $800,000 have had double-digit growth, including Glenelg East, Linden Park, Lower Mitcham, Parkside and Stoneyfell. Mitcham’s median is up 25%.</span></p>
<p class="p5"><span class="s2">The above-average growth is not all confined to the top end: there are suburbs with median price growth between 10% and 20% spread across all price ranges.<span class="Apple-converted-space"> </span></span></p>
<p class="p5"><span class="s2">This reinforces the reality that out-performing locations can be found even when the overall market appears to be moderate.</span></p>
<p class="p6"><span class="s2">Lower-end markets with strong median price growth in the past 12 months include Elizabeth (up 16% to $250,000), Parafield Gardens (up 11% to $335,000), and Salisbury (up 13% to $330,000).</span></p>
<p class="p3"><span class="s1">I’m expecting more strong growth in Adelaide because, as I have observed previously, there is momentum in the state economy and this will give impetus to the capital city property market.</span></p>
<p class="p3"><span class="s1">This week’s assessment by Deloitte Access Economics tends to support that view.</span></p>
<p class="p1"><span class="s1">T<em>erry Ryder is the founder of hotspotting.com.au</em></span></p>
<p class="p1"><span class="s3"><a href="https://mailto:ryder@hotspotting.com.au"><em>ryder@hotspotting.com.au</em></a></span></p>
<p class="p7"><span class="s1"><em>twitter.com/hotspotting</em></span></p>
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terryryder-YECXbqmri2

Adelaide economy and property market worthy of serious attention

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<p>GUEST OBSERVER</p>
<p>Life has changed significantly for young Australians over the last 40 years. Millennials now delay marriage and childbirth, increase their years of study and have much greater rates of part-time work.</p>
<p>As a result, millennials might be feeling a little hard done by, but Australians aged from 25 to 34 have actually enjoyed increases in their incomes compared to the population average. They have also done better than people the same age in other countries.</p>
<p>These are some of the findings of a report from the Committee for the Economic Development of Australia: How unequal? Insights on inequality. It questions whether young people today are likely to do as well economically as previous generations.</p>
<p>Early millennials, born between 1981 and 1985, experienced household income growth 27% higher than the Australian average up to 2010, while households with a head aged 70 to 74 enjoyed growth only 2% higher than the national average.</p>
<p>Although incomes might be higher, the picture of household wealth is different. The wealth of older Australians has increased much more rapidly than that of younger generations, due to both increasing superannuation wealth and increasing property wealth.</p>
<p><strong>Incomes are better for Gen Y in Australia</strong></p>
<p>Work by the Luxembourg Income Study found that in the United Kingdom, households with a head aged 25 to 29 years saw income growth 2% less than the overall national average in the three decades up to 2010. They also found households with a head aged 65 years and over enjoyed income growth more than 60% higher than average.</p>
<p>In brief, in the UK older households became much better-off and younger households became slightly worse off than the population as a whole. Similarly young Americans experienced income growth 9% less than the national average, those in Spain 12% less and in Italy 19% less. In all these and other countries, older households have done better than the national average, although none as well as in the UK.</p>
<p>In contrast, younger Australians did better than the national average in income terms, and better than older Australians.</p>
<p>ABS data show that in 2016, Generation Y Australians had higher incomes between the ages of 25 to 34 than the preceding two generations – about 18% higher than those born a decade earlier. However, the real increase appears to have slowed compared to the previous decade, that cohort had incomes 65% higher than those a decade earlier (due to the mining boom).</p>
<p>Older Australians, born between 1941 and 1950 (including the first “baby boomers”), show an increase in average incomes between 1995-96 and 2005-06, and then a decline as they enter retirement. Middle baby boomers, born between 1951 and 1960, show a marked increase in real incomes between the age of 35-44 years and 45 to 54 years (from A$1,370 per week to A$2,200 per week). But they only experienced a very small increase in the next decade, because some of them retired before the age of 65.</p>
<p>\Baby boomers born between 1961 and 1970 show substantially higher incomes than those born a decade earlier – more than 20% higher in real terms at the age of 45 to 54 years. Generation X born between 1971 and 1980 show large increases in real incomes – nearly 45% - across the last decade and are about 34% better off than the preceding cohort were at the same age.</p>
<p><strong>What has happened to wealth</strong></p>
<p>Households with people under 35 years of age were actually slightly worse off in wealth terms in 2015-16, than a decade earlier, with their net worth falling by around 8%, according to Australian Bureau of Statistics data. But for those aged 65 and over, there were increases closer to 40% in real net worth.</p>
<p>The value of owner-occupied housing fell for Australia’s youngest age group, but older households enjoyed large increases in the value of their homes and large increases in the value of other property they own.</p>
<p>Overall, all age groups saw real increases in the value of their total assets, including the youngest age group. This means that falls in wealth are due to an increase in their debts.</p>
<p>ABS data also shows that at all ages there has been a fall in the share of outright home owners, and also in the share of the youngest age group with a mortgage. For younger age groups an increasing share are private renters. This was a significant increase from 43 to 53% for those aged 25 to 34 years and from 26 to 31% for those aged 35 to 44 years.</p>
<p>For those 65 years and over, there has been little change - around 85% of households aged 65 years and over were owners or purchasers in both 2005-06 and 2015-16.</p>
<p>Younger households have seen both declining rates of home purchasing and higher overall indebtedness. Rental costs have also increased faster than the costs of home ownership, and this may have increased the barriers that younger generations face in establishing themselves in home ownership.</p>
<p><img src="https://counter.theconversation.com/content/94501/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1">But when it comes to incomes, millennials in Australia have continued to progress.</p>
<p><em><strong>Peter Whiteford</strong>, Professor, Crawford School of Public Policy, Australian National University</em></p>
<p><em>This article was originally published on <a href="http://theconversation.com">The Conversation</a>. Read the <a href="https://theconversation.com/australian-millennials-incomes-have-grown-more-than-baby-boomers-and-millennials-in-other-countries-94501">original article</a>.</em></p>
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Australian millennials' incomes have grown well compared to other countries: Peter Whiteford

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<div>There are two very interesting data releases due out on Tuesday.</div>
<div> </div>
<div>Firstly the regional population growth figures, which shed more light on where people have been migrating from and to in Australia, which is always very informative. </div>
<div> </div>
<div>And then there is the big one: <strong><span style="text-decoration: underline;">inflation!</span></strong><br><strong><span style="text-decoration: underline;"><br></span></strong>I <a href="http://petewargent.blogspot.com.au/2018/01/rate-hikes-are-not-on-cards" target="_blank">looked here</a> at the last round of inflation numbers, released in January. </div>
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<div>This is clearly going to be a vital data series because it shows whether the Reserve Bank of Australia (RBA) is on target to get inflation back up to its mandated target. </div>
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<div>With housing market activity now easing, it will be very interesting to see whether inflation is still on course to rise towards the target over the next couple of years, or whether there will be further downward pressure on interest rates. </div>
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<div>The rhetoric from the RBA has been very clear: it doesn't want to cut rates further under any circumstances, unless it absolutely has to. </div>
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<div>Over the year to December, underlying inflation rose +1.87 per cent, which was yet again under the 2 to 3 per cent target range.<br><br>Very soft inflation has been a feature of the economy since the end of 2015.<br><br>There doesn't seem to be a whole lot of pressure on rents at the moment, which is one contributory factor.<br><br>Some of the sources of the inflation that has been in evidence have been in fuel costs, energy, education, and 'sin taxes' on alcohol and tobacco.<br><br><strong><span style="text-decoration: underline;">Market forecasts</span></strong><br><br>
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<div>Bloomberg released its survey of 20 economists for the March 2018 quarter.</div>
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<div>It showed a market median consensus for a quarterly result of +0.5 per cent, which would put annual underlying inflation at about the same level at +1.85 per cent.</div>
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<div>However, some forecasts see a bit of downside risk, most notably AMP.</div>
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<div class="separator"><a href="https://2.bp.blogspot.com/-VdEOo5MB2xY/WtnSxc0xgmI/AAAAAAAApf0/evOQx1tXAzYuYi-6vdRTInHVX4jeP3uvgCLcBGAs/s1600/ABS%2BCPI.jpg"><img src="https://2.bp.blogspot.com/-VdEOo5MB2xY/WtnSxc0xgmI/AAAAAAAApf0/evOQx1tXAzYuYi-6vdRTInHVX4jeP3uvgCLcBGAs/s640/ABS%2BCPI.jpg" width="640" height="378" data-original-height="408" data-original-width="689"></a></div>
<div>Stay tuned for that, and more analysis here on this blog, from 11.30am on Tuesday.</div>
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<div>If you like investment property or continued low mortgage rates, say to yourself a silent prayer for a benign print!</div>
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Inflation data will shape future interest rate direction: Pete Wargent

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<p><span>EXPERT OBSERVER</span></p>
<p><span>Housing finance data from The Australian Bureau of Statistics (ABS) on first home buyer activity has generally shown that this segment of the market has been tracking at below average levels over recent years. </span></p>
<p><span>However, w</span><span>ith </span><span>each state and territory offering some level of incentive to first home buyers including grants and tax concessions, this segment is moving along quite nicely.</span><span><br></span></p>
<p><span>Nationally, there were 8,782 housing finance commitments in February 2018. Although the volume of loans was down on levels in late 2017, it was 33.1% higher than the previous February.</span></p>
<p>Click here <a href="https://www.propertyobserver.com.au/images/2018/4/19/national.jpg" target="_blank">to enlarge.</a></p>
<p><span><img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2018/4/19/national.jpg" alt=""></span></p>
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<p><span>As </span><span>a share of all owner occupier commitments, first home buyers accounted for 17.9% in February 2018 compared to 13.3% the previous year.</span><span><br></span></p>
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<p><span>Across </span><span>the individual states and territories, </span><span>we’re </span><span>seeing </span>several varying trends emerge – all likely due to activity across other buyer types in the market and how recently certain incentives have become available.</p>
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<p><span>Performance around the States:</span></p>
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<p><span>NSW: February 2018 saw 2,246 first home buyer housing finance commitments compared to 1,105 the previous year which is an increase of 103.3%. Since the end of June 2017, stamp duty concessions have become available and over the 8 months there have been 18,400 commitments compared to </span><span>10,857 over the previous 8 months. First home buyers now account for 15.1% of owner occupier finance commitments up </span><span>from 7.5% a year earlier. </span>The 15.1% is the greatest share 3,000 since October 2012.</p>
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<p>Click here <a href="https://www.propertyobserver.com.au/images/2018/4/19/nsw.jpg" target="_blank">to enlarge.</a></p>
<p><span><img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2018/4/19/nsw.jpg" alt=""></span></p>
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<p><span>Vic: 2,619 finance commitments to first home buyers in </span>February 2018. The number of commitments was 38.6% higher than a year earlier. Vic also saw stamp duty exemptions go live on July 1 last year. From the end of June there have been 23,996 first home buyer commitments compared to 17,522 over the previous 8 months. First home buyers accounted for 18.3% of commitments compared to 13.9% a year earlier.</p>
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<p>Click here <a href="https://www.propertyobserver.com.au/images/2018/4/19/vic.jpg" target="_blank">to enlarge.</a></p>
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<p><span>Qld: Over the month there were 1,839 first home buyer housing finance commitments. The number of commitments was only marginally higher from a year ago (+3.8%). First home buyers have been much more active over recent years than in NSW and Vic although, it should be noted investors have been much less active in the Qld market. First home buyers accounted for 19.3% of the market in February 2018 compared to 17.6% a year earlier. </span></p>
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<p>Click here <a href="https://www.propertyobserver.com.au/images/2018/4/19/qld.jpg" target="_blank">to enlarge.</a></p>
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<p><span>SA: In February 2018 there were 443 first home buyer housing finance commitments. Although the number was lower than those recorded late last year, it was 17.8% higher than the previous February. Despite house values being the lowest of any mainland capital city, SA has the lowest share of first home buyer activity of any state or territory with 13.0% of owner occupier commitments going to first home buyers, a year ago they accounted for a 10.5% share so they have risen a little. </span></p>
<p>Click here <a href="https://www.propertyobserver.com.au/images/2018/4/19/SA.jpg" target="_blank">to enlarge.</a></p>
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<p><span><img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2018/4/19/SA.jpg" alt=""></span></p>
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<p><span>WA: There were 1,185 first home buyer finance commitments in February 2018 which was -0.1% fewer than the volume in</span><span> </span><span>FHB No. (LHS) </span><span>February 2017. WA is the only state or territory in which there </span><span>were fewer commitments to first home buyers than a year ago. </span><span>Despite the fall in volumes, first home buyers account for </span><span>25.0% of all owner occupier housing finance commitments </span><span>compared to 22.2% a year ago.</span></p>
<p>Click here <a href="https://www.propertyobserver.com.au/images/2018/4/19/WA.jpg" target="_blank">to enlarge.</a></p>
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<p><span>Tas: Over the month of February 2017 there were 137 first home buyer housing finance commitments which was 2.2% higher than the previous February. As a share of all owner occupier housing finance commitments, first home buyers account for 13.9%, up marginally from 13.8% a year ago. A common commentary is that a lot of younger people are moving to TAS to buy a home because they </span><span>can’t </span><span>afford one on the mainland. Although the number of first home buyers </span><span>rose over the year, they remain very low which suggests, at </span><span>least at this stage, first home buyers in TAS are not particularly </span><span>active. </span></p>
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<p>Click here <a href="https://www.propertyobserver.com.au/images/2018/4/19/TAS.jpg" target="_blank">to enlarge.</a></p>
<p><a href="https://www.propertyobserver.com.au/images/2018/4/19/TAS.jpg" target="_blank"><span><img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2018/4/19/TAS.jpg" alt=""></span></a></p>
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<p><span>NT: While 52 first home buyer commitments in February 2018 is quite a low number, it is 26.8% higher than the previous year despite a sharp monthly fall. As a share of all owner occupier commitments, first home buyers account for 19.4% compared to 14.7% a year earlier however, the share is currently trending lower. </span></p>
<p>Click here <a href="https://www.propertyobserver.com.au/images/2018/4/19/NT.jpg" target="_blank">to enlarge.</a></p>
<p><img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2018/4/19/NT.jpg" alt=""></p>
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<p><span>ACT: The 261 first home buyer housing finance commitments </span>in February 2018 was a 177.7% increase in the number from the previous year. As a share of all owner occupier commitments, first home buyers accounted for 25.6% in February 2018 which was the highest share since October 2009.</p>
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<p>Click here <a href="https://www.propertyobserver.com.au/images/2018/4/19/ACT.jpg" target="_blank">to enlarge.</a></p>
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<p><span>The latest trends in first home buyer activity highlights the </span>sensitivities of this important market segment to both affordability constraints as well as market incentives such as first home buyer grants and stamp duty concessions.</p>
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<p>Despite overall slowing conditions in Sydney and Melbourne, the CoreLogic home value indices results show that the more affordable end of the housing markets in these cities as still seeing values rise and likely generated by first home buyer activity.</p>
<p>In other cities where affordability constraints are less severe, in the absence of any changes to first home buyer incentives, first time buyers generally remain more active relative to Sydney and Melbourne.</p>
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<p><span>With </span><span>demand from the investment segment expected to continue to be weaker than it has over recent years, this may afford more opportunities for first home buyers to enter the market.</span><span><br></span></p>
<p><span>Outside </span><span>of the two largest cities, first home buyer volumes </span><span>may lift over the coming months due to ongoing low mortgage rates and relative affordability compared to Sydney and</span><span> </span><span>Melbourne. In fact, the outflow of people from NSW to other states and territories is continuing to rise which may result in </span><span>increases in first home buyers elsewhere.</span><span><br></span></p>
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<p><span><em><span>CAMERON KUSHER</span> is head of research for CoreLogic. You can contact him <a href="https://blog.corelogic.com.au/about/"><span class="s2">here</span></a>.</em></span></p>
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First home buyer levels tracking below average levels for years

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<p>GUEST OBSERVER</p>
<p>Most recent estimates show the Higher Education Loan Program (HELP) debt owing is nearly A$52 billion in 2017-18. It’s forecast to increase to A$75 billion by 2020-21 and up to 25% of those loans are unlikely to be paid.</p>
<p>Legislation to lower the initial HELP repayment threshold from A$55,000 to A$45,000 (with a rate of 1%) is likely to pass the senate after passing the lower house on March 27th. This legislation includes linking indexing to inflation instead of average weekly earnings, which will slightly increase the rate of debt accumulated (20 year average for inflation is around 2.6%, compared to 1.8% for average weekly earnings).</p>
<p>Increasing repayments on HELP debt by lowering the initial threshold is an easy target. Why? Because people who owe money don’t pay much attention to their HELP balances, let alone the parameters that determine repayment and accumulation.</p>
<p>Since the ATO stopped posting statements in 2013, people owing HELP debt are left to their own devices and to check their balances on the ATO site. General financial advice points to giving HELP debts low levels of attention and paying down high-interest loans first.</p>
<p>Proposed changes, like replacing the annual average weekly earnings indexation with the 10-year government bond rate, abolishing the deceased-estate write-off for estates exceeding A$100,000, and lowering the initial threshold to A$42,000 have drawn media attention over the years, but have not been met with outrage by those potentially most affected.</p>
<p>But there are softer tactics that could nudge debtors into increasingly making repayments voluntarily.</p>
<p><strong>Students need a financial toolkit</strong></p>
<p>First, equip students with a financial toolkit. It would involve legislating education providers to deliver financial literacy programs that include information about the HELP scheme and their obligation.</p>
<p>Such a program should include making students aware of the parameters, repayment projections under various scenarios, and potential changes to the scheme as proposed by political parties or commentators. If the provider (university or vocational educator) offers HELP then surely they have a moral obligation to provide this service.</p>
<p>Offering financial literacy programs through tertiary education providers also fills a gap in the National Financial Literacy Strategy. ASIC’s MoneySmart would be an ideal curriculum consultant.</p>
<p>Such programs are already implemented in the US. Due to the large scale of privatised student debt issues, 53% of universities offer financial education program to students.</p>
<p>Studies on the efficacy of these programs demonstrate increased financial knowledge, reductions in financial at-risk behaviours (like delinquencies, excessive credit and over-spending), and increases in responsible behaviours (including improving regular savings and planning).</p>
<p>While the settings in the US differ to Australia (commercial interest rates, not extinguished by death), privatisation has been previously explored.</p>
<p><span style="font-size: 12.16px;">Australian debtors don’t “default” like US debtors because most student loans are like a commercial loan in the US. In Australia, graduates only do not pay if they don’t reach the repayment threshold, or die.</span></p>
<p><strong>Bring back discounts</strong></p>
<p>Second, bring back discounts on voluntary payments over A$500, abolished by the Liberal government in 2017 . Previously, discounts were 15% up until 2005, then 10% until 2014, then 5%. What, then, incentivises people to pay lump sums?</p>
<p><strong>Communication is everything</strong></p>
<p>Third, the ATO needs to communicate with HELP debtors on a regular basis to overcome laziness and put HELP debts as first priority in personal financial decisions.</p>
<p>Text messaging is effective in influencing behaviour. Text messages prior to indexation have encouraged balance checks and lump sum payments (particularly at tax rebate time) and may be effective in increasing voluntary repayments. These strategies work by subtly reframing the way messages are conveyed, and regular presentation of messages, to positively impact behaviour.</p>
<p>A positive aspect of the legislation under consideration is that lowering the initial repayment threshold means HELP debt repayments will appear on payslips. Because of this, early on in a debtor’s working life they will be able to increase their awareness of HELP debt owing.</p>
<p>The threshold reduction needs to be compatible with the original intention of the income contingent loan scheme to provide equitable access. Lowering the initial repayment threshold will put increased financial pressure on relatively low paid workers, many of whom are women. Under the new changes, a person earning A$46,000 will repay nearly A$9 a week. While this doesn’t sound like much, a single mother may strongly disagree.</p>
<p><img src="https://counter.theconversation.com/content/94910/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1">The government should consider pursuing other, more gentle and effective behavioural tactics to reduce the national HECS debt in the lead-up to the budget, rather than one that has the potential to hurt low paid workers.</p>
<p><em><strong>Tracey West</strong>, Lecturer in Behavioural Finance, Griffith University</em></p>
<p><em>This article was originally published on <a href="http://theconversation.com" target="_blank">The Conversation</a>. Read the <a href="https://theconversation.com/lowering-the-help-repayment-threshold-is-an-easy-target-but-not-the-one-we-should-aim-for-94910" target="_blank">original article</a>.</em></p>
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