<a href="https://www.apartments.com.au/developers/s-p-setia">SP Setia</a> has lodged plans for a $750 million, three-tower mixed-use precinct that would complete the long-running redevelopment of Carlton's former Carlton United Breweries site.

The proposal at <a href="https://www.apartments.com.au/new-apartments/185-195-queensberry-street-carlton-vic-3053">46-78 Bouverie Street and 185-195 Queensberry Street</a> spans a 6,468 sqm site, the last remaining undeveloped parcels within the former brewery's 2007 masterplan.

Designed by <a href="https://www.apartments.com.au/architects/cox-architecture">COX Architecture</a>, the development will comprise two purpose-built student accommodation towers and a third build-to-sell apartment tower above a shared commercial podium and basement.

Across the three towers, SP Setia is proposing 606 build-to-sell apartments and 1,499 student accommodation units containing 2,009 beds.

The apartments will sit in the tallest tower, which will rise nearly 200m and 55 storeys. It will become&nbsp;one of the more substantial new build-to-sell apartment projects at the northern edge of Melbourne's CBD.

The apartment mix is weighted toward smaller inner-city product, with 188 studios, 206 one-bedroom apartments, 192 two-bedroom apartments and 20 three-bedroom apartments

<img alt="First look: SP Setia plans three-tower finale for Carlton’s former CUB precinct" data-entity-type="file" data-entity-uuid="8271bc87-1b0a-41b7-ac73-a425ee375261" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/3_2.png?VersionId=G4lw23o90B1boX4k4dj7rdz2ZEajS9wy" />

Part of the precinct will be a large-scale&nbsp;3,684 sqm supermarket and a further 2,198 sqm of speciality retail, creating close to 5,900 sqm of new commercial space within the precinct.

But one of the biggest components of the proposal is what sits between the buildings.

Around 4,650 sqm, or roughly 72 per cent of the site, will be publicly accessible open space, incorporating plazas, pedestrian connections, landscaped laneways and retail spill-out areas.

The ground plane is intended to finally complete pedestrian connections envisaged when the CUB masterplan was first approved nearly two decades ago, stitching together Victoria Street, Queensberry Street, Bouverie Street and Swanston Street through the former brewery precinct.

Urbis said the development would "complete the CUB precinct", with the public realm providing important north-south and east-west connections through what is currently the final undeveloped portion of the masterplanned site.

SP Setia is also exploring a new linear park within the Bouverie Street road reserve, with the concept to be developed further with the City of Melbourne through the planning process.

The proposal is being pursued through the Victorian Government's Development Facilitation Program under Clause 53.23 for significant residential development with affordable housing.

The planning report acknowledges the proposed heights exceed those contemplated under the original Comprehensive Development Plan and masterplan, but argues the built-form context has changed considerably over the past two decades.

Urbis said the three towers would instead create a stepped transition between Carlton and the Hoddle Grid, rising progressively from the 94.1-metre Tower One along the Queensberry Street edge to the 199.44-metre Tower Three closer to the established CBD-scale buildings to the south.

<img alt="SP Setia" data-entity-type="file" data-entity-uuid="e885a07a-592c-40fc-bf82-e6dbaf32da54" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-21%20at%208.52.24%E2%80%AFAM.png?VersionId=7s_ErUkSKAdY1mAWp3GRZgMNCGtwhk5m" />

SP Setia plans to deliver the development across three stages.

Stage One would deliver the basement, podium and retail areas for the entire precinct alongside the first student tower. Tower Two would follow in Stage Two, before the 606-apartment Tower Three is delivered as the final stage.

If approved and delivered, the project would close out a redevelopment process that has been underway since the former brewery masterplan was approved in 2007, adding more than 2,600 student beds and apartments to a precinct already home to Swanston Central, the Barak Building, RMIT Design Hub and several large student accommodation developments.

&nbsp;

&nbsp;

Joel Robinson

SP Setia plans three-tower finale for Carlton’s former CUB precinct

Melbourne developer Lowe Living is seeking to add to its growing bayside apartment pipeline, filing plans for a boutique eight-residence development in tightly held Middle Park.

Lowe Living, which has built much of its development portfolio across Melbourne's affluent bayside and south-east suburbs, is behind the plans for the 730 sqm site at <a href="https://www.apartments.com.au/new-apartments/123-125-erskine-street-middle-park-vic-3206">123-125 Erskine Street</a>, just off Armstrong Street and within the Armstrong Street Neighbourhood Activity Centre.

The developer is seeking approval for a five-storey residential building above two basement levels, with just eight large-format apartments and 18 car spaces.

“This is a deliberately very different proposition for us,"&nbsp;Tim Lowe, Co-Founder of Lowe Living, said.

"Eight residences is exceptionally boutique, but that's precisely what this site calls for.

“There is a strong community in Middle Park and the surrounding suburbs who have spent decades building a life here. They no longer want the maintenance of a large period home, but they aren't prepared to compromise on space, quality or location. We think there is a real opportunity to capture that hyper local market. A site like this rarely comes to market.”

<img alt="Lowe " data-entity-type="file" data-entity-uuid="875fe572-0f14-4d90-9e11-55b28dd07731" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-21%20at%208.42.49%E2%80%AFAM.png?VersionId=GDNQRv9BfpR9r1zkZ5UDyUM4ZvpIksut" />

The low-density proposal has been designed by Cera Stribley and is being progressed through the Victorian Government's Great Design Fast Track pathway, having already secured eligibility from the Minister for Planning.

The Office of the Victorian Government Architect supported its eligibility after finding the proposal demonstrated consistency with the program's seven design principles, while the project's financial feasibility has also been independently confirmed by Invest Victoria.

The project is targeting the downsizer market, with the planning documents describing the homes as larger-format residences and noting the two penthouses could otherwise have been configured as four separate apartments.

<img alt="Lowe 2" data-entity-type="file" data-entity-uuid="60ab0987-2da6-4175-adac-315dcf6053c6" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-21%20at%208.43.15%E2%80%AFAM.png?VersionId=bOCPH0B2MFwlmaRW.TTCF9TzyifgVoQI" />

The site has dual frontage to Erskine Street and Canterbury Place and currently comprises a collection of commercial buildings used as offices, including a former heritage bakehouse, a former stable, a later gabled addition and a central courtyard.

It sits within the Commercial 1 Zone and the Armstrong Street Commercial Precinct heritage overlay, with the existing property classified as a contributory heritage place.

Heritage has subsequently played a significant role in Cera Stribley's design.

The front section of the former bakehouse facing Erskine Street will be retained, including its return walls, street-facing hipped roof and chimneys, while the Erskine Street façade and part of the western return wall of the former stable will also be incorporated into the new development.

Levels four and five will be set back five metres from the retained stable façade, while bricks removed through demolition are proposed to be salvaged and reused within the new building where possible.

<img alt="Lowe 3" data-entity-type="file" data-entity-uuid="e97927a9-a2de-4a0f-83b6-65451238abfa" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-21%20at%208.43.06%E2%80%AFAM.png?VersionId=VR44AChLrX9q1XPB9GvVQV.ALXXbe4gC" />

Rather than presenting as a single five-storey building to Erskine Street, Cera Stribley has broken the development into a series of distinct forms.

A three-storey infill element will sit between the retained bakehouse and stable façades, with the upper levels recessed behind the heritage fabric. Canterbury Place will similarly feature two three-storey podium forms, separated by a central pedestrian accessway, before the upper two levels step back from the street.

A pedestrian through-link will run through the centre of the project between Erskine Street and Canterbury Place, creating entrances from both sides of the site and introducing landscaping and communal areas through the ground plane.

Landscape architect Acre has designed planting across the ground level, private terraces and upper levels, including a feature canopy tree at level three and integrated planting and arbours across the level four terraces. Five existing Erskine Street trees are proposed to be retained.

Sustainability is also a significant component of the Great Design Fast Track application. The apartments are targeting an average eight-star NatHERS rating, with no residence below 6.5 stars, while the project has achieved a 75 per cent BESS score. Seven of the eight apartments are designed for cross-ventilation, with the remaining residence using mechanically assisted natural ventilation.

The plans also incorporate an 8kWp rooftop solar system, a 5,000-litre rainwater tank and infrastructure allowing future electric vehicle charging for every residence.

Lowe has a strong portfolio across Melbourne's blue-chip suburbs. They recently launched <a href="https://www.apartments.com.au/new-apartments/jardin-house-by-lowe-living-camberwell-335-camberwell-road-camberwell-vic-3124">Jardin House by Lowe Living</a> in Camberwell, their first development in the Stonnington LGA.

Lowe Living unveils Middle Park apartment development

Article summary

<ul data-end="888" data-start="289">
	<li data-end="442" data-section-id="8tsh6o" data-start="289">DVB Projects is preparing to launch its second Gold Coast apartment development, with demolition now underway at 137 Old Burleigh Road, Broadbeach.</li>
	<li data-end="573" data-section-id="1nyxl3e" data-start="443">The 34-level tower will comprise just 49 ultra-luxury residences, including half-floor, full-floor and penthouse apartments.</li>
	<li data-end="717" data-section-id="oiyimj" data-start="574">The launch follows strong demand at DVB's nearby Sea Glass project, which is more than 50 per cent sold and currently under construction.</li>
	<li data-end="888" data-section-id="epk9o9" data-start="718">The development adds to the transformation of Old Burleigh Road, with premium beachfront apartment projects continuing to reshape the tightly held Broadbeach strip.</li>
</ul>

<a href="https://www.apartments.com.au/developers/dvb-projects">DVB Projects</a> is preparing to launch its second Gold Coast apartment development, with demolition now underway on the Broadbeach site as the Sydney developer moves closer to bringing the ultra-luxury project to market.

The 34-level tower at <a href="https://www.apartments.com.au/new-apartments/137-old-burleigh-road-broadbeach-qld-4218">137 Old Burleigh Road</a> will comprise just 49 residences, ranging from half-floor apartments through to full-floor homes and a penthouse. The launch follows the strong sales performance of DVB's nearby Sea Glass development. More than half of the apartments at Sea Glass, on the other side of Broadbeach, have been snapped up, well ahead of its late 2027 completion

<img alt="DVB Projects to commence demolition on $320m Broadbeach luxury tower" data-entity-type="file" data-entity-uuid="2944b4be-c84e-4b54-8dc1-c712e76704c0" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/E02_Exterior_Street%20Level%20Entrance.jpg?VersionId=YoNig7pRdrE3HCue7sUj78LzJteeQf3H" />

The start of demolition at 137 Old Burleigh Road signals DVB Projects’ underlying confidence in the Gold Coast’s luxury beachside apartment sector.

“We see the Gold Coast as one of the most compelling lifestyle markets in Australia, particularly at the premium end where demand continues to deepen,” said Dean Brown, Managing Director of DVB.&nbsp;

“This project has been carefully designed to respond to that demand - delivering large-format residences with a level of quality, privacy and amenity that is still relatively rare in the apartment market on the beachside."

Brown says the site itself is "exceptional."

"Old Burleigh Road is one of the most tightly held beachfront strips, and opportunities to deliver a project of this scale and calibre in this location are extremely limited.”

<img alt="DVB Projects to commence demolition on $320m Broadbeach luxury tower" data-entity-type="file" data-entity-uuid="398f377a-c037-455e-9250-0c5e0d84c35b" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/I12_FF%20Balcony.jpg?VersionId=NwOiRWGMubR1c8wthuEfggklcja7al9." />

The project will comprise 40 half-floor residences of approximately 260 sqm, alongside eight full-floor residences spanning around 524 sqm.

A single penthouse will crown the building, featuring a private pool, barbecue area, indoor gym and dedicated entertaining spaces.

Residents will have access to a resort-style suite of amenities, including a 20-metre pool with daybeds, a gymnasium, hot and cold plunge pools, a sauna, and private residents’ lounge and dining facilities.

<img alt="DVB Projects to commence demolition on $320m Broadbeach luxury tower" data-entity-type="file" data-entity-uuid="d1642bb0-9a66-4427-a022-dfc0988c6287" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/A02_Pool%20to%20View.jpg?VersionId=c0IXPyn_Gp_Kn3XCwzMrqIVkAdCEwVXP" />

Sales agent Todd Matheson, of <a href="https://www.apartments.com.au/project-marketer/pezet-matheson">Pezet Matheson</a>, which is marketing both 137 Old Burleigh Road and Sea Glass, said 137 Old Burleigh Road would address a clear gap in the market for genuine luxury products.

“There are very few opportunities on the Gold Coast where buyers can secure a residence of this size and quality in a new building,” Matheson said.

“What we’re seeing is a growing cohort of downsizers and interstate buyers who still want space - they’re not willing to compromise on living area, entertaining or finishes.

“This project has been designed with that buyer in mind. It offers the scale of a home, combined with the convenience and security of apartment living, in one of the coast’s most desirable positions.”

<img alt="DVB Projects to commence demolition on $320m Broadbeach luxury tower" data-entity-type="file" data-entity-uuid="59aae0ca-5639-4320-8aca-d0bf60f48e43" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/E01_Exterior%20Hero.jpg?VersionId=DS8Zfy2WtgUEtdfe0TEUuf1W1GfcZq8S" />

Located on a 1,156 sqm site one block from the beachfront, the development will replace an ageing walk-up building and is expected to contribute to the ongoing transformation of the Old Burleigh Road strip into one of the Gold Coast’s most prestigious residential corridors.

With the development moving into the delivery phase, 137 Old Burleigh Road is slated to hit the market later this year.

[smartcode_project_cta:default project_id=145141]

DVB Projects to launch second Broadbeach apartment tower as demolition commences

<a data-end="327" data-is-only-node="" data-start="250" href="https://www.apartments.com.au/developers/norus-projects" rel="noopener" target="_new">Norus Developments</a> has lodged plans for a new apartment development in Clayton that would add further momentum to the suburb's emerging Green Street corridor.

Plans have been lodged for the consolidated site at <a href="https://www.apartments.com.au/new-apartments/1359-1365-centre-road-clayton-vic-3168">1359-1365 Centre Road</a>, where Norus is seeking approval for 218 apartments across a 12-storey apartment building designed by <a href="https://www.apartments.com.au/architects/life-architecture-and-urban-design">Life Architecture</a>.

The proposal sits within the Clayton Major Activity Centre at the threshold of the planned Green Street corridor, a landscaped pedestrian connection intended to improve links through the precinct towards Clayton Railway Station.

The development would replace the site's existing collection of low-scale residential and commercial buildings with a single consolidated building, introducing significantly greater housing density to this part of Centre Road.

A retail tenancy is proposed at ground level to activate the Centre Road frontage, accompanied by transparent street interfaces and landscaping intended to create a more pedestrian-focused edge to the development.

<img alt="First look: Norus Developments plans landscape-led apartment project for Clayton’s emerging Green Street" data-entity-type="file" data-entity-uuid="0a5a763a-d9e9-4253-af2f-88008de27ebf" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Clayton%20a.png?VersionId=S2WJJbat1XVkZwB9SnYtygirXgWHiklX" />

The building has been designed with stepped massing and upper-level setbacks to manage its transition towards surrounding residential properties. The planning report describes the approach as one that integrates the building into the landscape rather than treating landscaping as a secondary element.

"A strong landscape and public realm strategy underpins the proposal," Urbis states in the planning report.

"Public benefits include an affordable housing contribution, a new pocket park, generous landscaped setbacks, deep soil planting and integrated Water Sensitive Urban Design."

The report adds that these elements are intended to create "a permeable, pedestrian-focused ground plane that enhances walkability, supports urban cooling and reinforces the emerging Green Street character."

Biophilic and passive design principles extend through the residential levels, with planting, daylight, natural ventilation and views towards landscaped areas forming part of the amenity strategy.

Parking would be concentrated away from the public realm, with 145 car spaces proposed from the rear laneway rather than dominating the Centre Road frontage.

The proposal follows an extensive pre-application process with the City of Monash. Three formal meetings were held between the project team and Council from December 2025 to March 2026, with the scheme evolving through several concept iterations before the current design was lodged.

The project arrives as Clayton prepares for substantial change around its established activity centre and the wider Suburban Rail Loop precinct. Its position on Centre Road places the development within an existing concentration of shops, services and public transport, while the Green Street connection is intended to strengthen pedestrian access towards Clayton Railway Station.

First look: Norus plans landscape-led apartment project for Clayton’s emerging Green Street

<a href="https://www.apartments.com.au/developers/gardner-vaughan-group">Gardner Vaughan Group</a> has officially commenced construction on Bronze on Chevron, celebrating the sod turning of its first-ever Gold Coast development and marking a significant milestone in the company's continued expansion across South East Queensland.&nbsp;

Following the successful delivery of premium residential developments throughout Brisbane and the Sunshine Coast, <a href="https://www.apartments.com.au/new-apartments/bronze-on-chevron-8-mawarra-street-chevron-island-qld-4217">Bronze on Chevron</a> represents Gardner Vaughan Group's entry into the Gold Coast market. Bronze will deliver 119 one, two, three and four-bedroom apartments above two ground-level retail tenancies.

[smartcode_project:default project_id=107520 project_image_fid=367193]

The recent sod turning ceremony was attended by Deputy Mayor Mark Hammel, President of the Surfers Paradise Surf Life Saving Club, Cassandra Sedgman, project consultants, purchasers, project partners and invited guests to celebrate the commencement of construction.&nbsp;

Gardner Vaughan Group Chief Executive Officer Simon Betteridge said Bronze on Chevron represented an exciting new chapter for the business.&nbsp;

"We've spent almost four decades building homes that respond to the way people want to live, and we're excited to bring that experience to <a href="https://www.apartments.com.au/developments/chevron-island-qld-4217">Chevron Island</a>," Betteridge said.

"Bronze on Chevron is particularly significant because it marks Gardner Vaughan Group's first development on the Gold Coast following many successful projects across Brisbane and the Sunshine Coast."

[smartcode_project:default project_id=107520 project_image_fid=367183]

Betteridge said the ground breaking is a proud moment for the&nbsp;team and their purchasers, who can now see their future homes beginning to take shape.&nbsp;

"As both developer and builder, we're able to oversee every aspect of the project from design through to construction, ensuring the quality and attention to detail Gardner Vaughan Group has become renowned for."&nbsp;

Designed by acclaimed architectural practice <a href="https://www.apartments.com.au/architects/cottee-parker-architects">Cottee Parker</a>, Bronze on Chevron has been thoughtfully designed to complement Chevron Island's evolving streetscape while embracing its relaxed coastal lifestyle.

The development will offer generous residences with refined interiors, premium finishes and resort-style amenities, with completion anticipated in early 2029.&nbsp;

[smartcode_project_cta:default project_id=107520]

The development will offer generous residences with refined interiors, premium finishes and resort-style amenities, with completion anticipated in early 2029

Gardner Vaughan Group breaks ground on first Gold Coast development, Bronze on Chevron

First Home Buyers

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If you are renting a one-bedroom apartment in Carlton, an inner city suburb of Melbourne, it might actually be cheaper for you to buy the property than continue renting, says new REIV data.
Tenants can repay the mortgage on a $215,000 one-bedroom property for just $226 a week - $149 less than the suburb’s median weekly rent of $375, according to the data.
With a median apartment price of $328,000, one-bedroom apartments in Melbourne are also more affordable to buy than rent with weekly mortgage repayments of $345 - $50 less than the weekly median rent of $395.
Even in Noble Park, mortgage on a $185,000 one-bedroom apartment is $195 a week, while the median rent for the same property type is $215 – a $20 weekly difference.
These figures are based on median house prices by bedroom, a 10 per cent deposit and a three-year, fixed interest rate of 4.5 per cent.
REIV CEO Geoff White said first home buyers are taking advantage of low interest rates to enter the market at a price they can afford. 
“One and two-bedroom apartments allow first home buyers to get a foothold on the property ladder for about the same amount they are currently paying in rent,” he said. 
“Savvy buyers should also consider four-bedroom properties in Melton South, where the median house price is $290,000 and mortgage repayments are $15 cheaper per week than the median rent.”
<img src="/images/2016/09/09/Screen%20Shot%202016-09-09%20at%202.11.14%20PM.png" alt="">
Property Observer found a few examples of one-bedroom apartments up for sale on www.realestate.com.au such as the ones cited by REIV.
1. A one bed unit in <a href="https://www.realestate.com.au/property-apartment-vic-carlton-121986834" target="_blank">6219/570 Lygon Street Carlton Vic 3053</a> is up for sale for $229,000
2. A two-bedroom property at 5/28 Toolern Street Melton South Vic 3338, has an asking price range of $229,000 - $239,000.
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jonathanchancellor-7SQnKwU6yx

In some Melbourne suburbs, buying units is cheaper than renting: REIV

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First home buyers waiting to be able to afford what they want are playing a 'hope game' in attempting to get their foot on the property ladder, according to chief executive officer of buyer's agency Cohen Handler, Ben Handler. 
He said this sort of 'hope strategy', where you play the 'hope game' and wait to be able to afford what you want is the wrong way to go about it. 
Natalija Tanevska, who currently heads up Cohen Handler’s new Inner West Sydney office said now more than ever first home buyers struggle to save a substantial deposit so they can jump on the property ladder and sees many first home buyers who have been in the market for over 6 months. 
"Interest rates are at a record low, however banks have tightened up and the government has eliminated many financial incentives to fast track their process," she said.
"It’s hard enough saving 20 percent and obtaining pre-approval, there’s also the added stress of trying to secure a property in this extremely competitive market."
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Some first home buying strategies a 'hope game'

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<div style="text-align: left;" align="center">GUEST OBSERVER</div>
<div style="text-align: left;" align="center">
First time real estate purchasers in Australia are increasingly entering the property market as investors rather than as owner occupiers.
Data has found the number of first time buyer investors has skyrocketed over the past two years.
Since 2014 the number of first home owners who are buying through iBuyNew to invest has increased by 188 percent.
The findings by iBuyNew, which specialises in off-the-plan properties, follows a warning by outgoing Reserve Bank Governor Glenn Stevens that the entry hurdles for first home buyers “may be getting worse”.
Mr Stevens said “almost the only way” first home buyers can enter the property market in real estate hot spots such as Sydney is through parental assistance.
Despite record low interest rates, the first time buyerowner occupier sector has collapsed with many who do choose to buy property now doing so as investors.
Even though property in most cities is very affordable with interest rates set to stay at historical lows, young Australians have been put off entering the market and they prefer to rent.
The reality is that the great Australian dream of owning your own home is fading and the goal of being a home owner is diminishing.
It’s an issue for state and federal governments with the current schemes to entice first home buyers out of the rental market either out of date or ineffective. 
We have also found that stamp duty which can add many thousands of dollars to the cost of a property purchase is also a major deterrent to first home buyers.
 
</div>
<div style="text-align: left;" align="center">Mark Mendel is chief executive officer of iBuyNew and can be contacted <a href="https://www.ibuynew.com.au" target="_blank">here</a>.</div>
<div align="center">
 
</div>
<div> </div>
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jchancellor-FAypfDUnLy

First home buyer investors on the rise

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Sydney median house prices are at $825,000 according to CoreLogic's latest Property Market Indicator Summary, with Melbourne houses at $590,000 and Brisbane $515,000.
The current median price for units is the most expensive in Sydney at $680,000.
Median house prices in Adelaide and Hobert are $420,000 and $300,750 respectively.
<a href="/images/2016/08/09/Screen%20Shot%202016-08-09%20at%202.21.00%20PM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/08/09/Screen%20Shot%202016-08-09%20at%202.21.00%20PM.png" alt="">
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The two capital cities with private treaty median house prices under $500,000: CoreLogic

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Of all the real estate issues regularly mangled by media, probably the most misreported is the one about first-home buyers and affordability.
Reliable information showing good affordability levels (outside of Sydney) are generally ignored in favour of the much-loved “The Great Australian Dream is Dead” storyline.
The numbers of first-home buyers are constantly misreported, despite the ABS warnings about the unreliability of the data and the reasons why FHBs are under-counted. 
More credible information, such as the quarterly surveys by NAB which show strong activity from first-time buyers, are shrugged off because it doesn’t fit the prevailing theme of an affordability crisis.
The growing tendency of first-timers to buy an investment property rather than a home is overlooked as a key factor, because it doesn’t suit that pre-determined headline.
And the whole issue of young adults delaying commitment is ignored as well.
It’s pretty well established that young Australians are making different choices to those of their parents. Their preferences can generally be summarised as a deferral of commitment. Getting married, settling down, having kids and establishing a nest – all that can wait. Priorities these days include lifestyle, career and travel.
There’s lots of research showing this as a major demographic – the young adults who have put off family creation and home ownership until they’ve dealt with the travel bug and indulged other lifestyle priorities.
The latest research on this comes from Westpac, which found that 18 to 35-year-olds — known as Millennials — spent $11.3 billion travelling overseas last year — more than any other age group.
Generation X-ers — aged from 36 to 55 — were the most frugal spending $6.8 billion, followed by Baby Boomers who splashed out $9.8 billion.
Westpac’s Head of Young and Millennial Markets, Ashley Gray, says the decision to prioritise travel over home-buying doesn’t make the age group financially irresponsible.
“They’re very aware of their finances and are prepared to make sacrifices to pursue their passion,” says Gray. “We found that 70 percent of Millennials are saving for eight months before heading overseas on their trip.
“They’re also prepared to make sacrifices while they’re abroad so they’ll walk instead of getting a bus, skip meals and miss out on big tourist attractions.”
Lots of other research in the past couple of years have made similar findings about the different options young Australians are taking, compared to their parents – many of whom were married with kids, a mortgage and a car loan before 30.
But despite that, there’s still a high level of real estate buying activity by first-timers. It’s largely flying under the radar screen because relatively few first-time purchases are newly-built homes (the ones that get counted as first-home buyers by the ABS).
The latest NAB quarterly Residential Property Survey indicates that a third of sales of new properties across Australia, and 27 percent of sales of established properties, are made to first-time buyers (some of which are buying investment properties, rather than a home, as a first purchase).
The 27 percent of buyers of established homes who are first-timers aren’t counted in the ABS figures, because first-home buyers are identified in the lending statistics by their state government grants, which are now available only for newly-built homes.
I think those daily headlines about an affordability crisis, requiring top-level action by political leaders, are inaccurate and misleading. And when you dispassionately examine what the research tells us, comments about a whole generation being priced out of home ownership are rendered ridiculous.
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>
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Strong market activity from first-time buyers: Terry Ryder

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A survey has found affordability and potential for house price growth are the two main concerns for first home buyers.
The survey, commissioned by St George Bank, surveyed 1,000 first home buyers nationwide and found value growth is more important than distance to work (ranked 3rd priority), distance to shops and attractions (4th) and distance to family and friends (5th).
Some 26.4 percent of respondents said they had to make compromises to buy their home, with nearly half (49.8 percent) of those compromising on location, and 45.7 percent compromising on price.
Ross Miller, General Manager for St.George Retail Banking, said the research highlighted that first home buyers are looking beyond lifestyle factors when purchasing property.
“Buying a first home is more than buying a roof over your head. Our home is usually our biggest financial investment and over the last few decades we have seen a sharp increase in the value of the average Australian home.”
“First home buyers are wise to view their purchase as an investment. To assist first home buyers, St.George Bank offers tailored advice and a range of competitive products, helping make the first home dream a reality,” added Ross.
Summary of key findings
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Other than affordability, buying in an up-and-coming area with potential house price growth was the most important priority when buying a first home;
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Distance to work was the third highest priority;
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Distance to shops and attractions was the fourth highest priority;
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Distance to family and friends was the fifth highest priority.
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Evaluating which properties presented good value was ranked the most difficult task during the house hunting process
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Affordability, house price growth top for first home buyers

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The most interesting fact revealed by a St George Bank survey of first-home buyers was buried in the small print of the media statement.
The survey of 1,000 first-home buyers across Australia indicated that 26 percent of respondents said they had to make compromises to buy their first homes. Half of those had to compromise on location while 46 percent had to compromise on price.
I was amazed that only a quarter of FHBs felt they had to make compromises to achieve home ownership. I would have expected it to be close to 100 percent.
When I bought my first home over 30 years ago, I had to make a range of compromises, especially on location and the quality of the house I was buying. But it seems most first-home buyers today don’t feel they had to make concessions on location or price, according to this survey at least.
Media would have us believe that the Great Australian Dream is near dead. Journalists continue to support that notion by quoting the discredited ABS data on borrowers identified as first-home buyers, even though the ABS has issued statements admitting it is under-counting them.
This is because only borrowers with a government grant are identified as first-home buyers and grants are no longer available to first-time buyers of existing homes, which severely reduces the numbers identified as first-home buyers.
The figures also ignore first-time buyers who buy an investment property as a first purchase while continuing to rent their homes – the so-called rentvestors, who are a rising force in Australian real estate.
Other more credible research sources, such as the NAB quarterly Residential Property Survey, indicate that a third of sales of new properties across Australia, and 27% of sales of established properties, are made to first-time buyers (some of which are buying investment properties, rather than a home, as a first purchase).
The 27 buyers of buyers of established homes who are first-timers aren’t counted in the ABS figures, but media regularly quotes the bureau’s figures as an indication that first-home buyers are priced out of the market.
Housing affordability and home ownership have become so politically charged in Australia that it’s impossible to have a calm and rational debate about it.
Even the so-called research is tainted by political objectives, so that almost nothing published is believable. The annual Demographia report clearly sets out to achieve a pre-determined result – that all of Australia is deemed unaffordable – and achieves this by arbitrarily setting the “median multiple” bar ridiculously low, so that a house costing $305,000 is described as unaffordable to someone earning $100,000 a year.
The recent HILDA report was a biased document which had its headline written before the research was conducted. The reported claim by Professor Roger Wilkins that “a whole generation of adults would never own a home” was over the top and not supported by the evidence in the report. 
We continue to have high home ownership rates by world standards, although they are lower than they were 15 years ago, according to this report. Home ownership rates include almost 70 percent in Western Australia, 68 percent in South Australia and 66 percent in Victoria – although given the political tone of the report and its publicity campaign, I’m don’t feel confident believing any of its figures.
Other reports are tainted by suspect data. The longstanding HIA’s quarterly Affordability Report, which has a long track record of telling it like it is, found affordability (as an average across the nation) improved in the March Quarter but deteriorated in the June Quarter. 
The weakness in this report is that it relies on CoreLogic for its price data, which recorded a significant rebound in Sydney prices in the June Quarter – a result that has been starkly contradicted by figures from other major sources, including Domain and SQM Research.
But, taking the latest Affordability Report at face value, it found there had been a worsening of affordability quarter-on-quarter in some jurisdictions (including Sydney, Melbourne, Brisbane and Adelaide) but improvements in affordability in others (such as Perth, Hobart, Tasmania, regional NSW, regional Victoria, regional South Australia and regional WA).
Taking a longer-term view, affordability is the best it’s been in regional Australia at any time in the past five years. We can say the same thing about many individual areas of the nation (including Western Australia, Tasmania and the Northern Territory), though clearly not about Sydney or Melbourne.
The current affordability level in Sydney and NSW is better than it was five years ago, but not as good as it was four years ago before the Sydney boom got under way. In Victoria, affordability in the March Quarter was the best it’s been in five years, but then it dropped in June Quarter, caused by the reliance on CoreLogic figures, which differ from several other sources.
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> 
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The Great Australian Dream is not dead: Terry Ryder

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Depending on whether you view the glass as half full or half empty is how you will summarise the current Darwin property market.
For the optimists, the current dwelling market in the northern suburbs presents a great opportunity for purchasers looking to secure property around the $500,000 mark, according to valuation firm Herron Todd White in their July residential property report.
Although the median housing price is down 4.8% year on year, the quarterly change up to the March quarter has increased 1.4 percent (source: REINT, RELM March quarterly figures). This marginal increase reflects a slight shift in consumer confidence in this segment of the market as you can now purchase a well renovated, three-bedroom, one-bathroom elevated dwelling in the outer northern suburbs of Malak or Karama starting at the lower end of $500,000 and pushing to the mid to upper end of $500,000 depending on the finishings and overall amenity of the property.
By comparison, for the same money you can purchase a dated, three-bedroom, one-bathroom dwelling in the superior suburbs of Millner, Jingili and Leanyer that are selling from $500,000 to mid $500,000s. Or you can purchase property in these same suburbs that have higher quality finishings for the upper $500,000 mark. A much needed injection for this segment of the market is the recent grant announcement for all home owners to carry out general maintenance on their property.
If home owners engage with a registered tradesman to carry out the work, the government will provide a subsidy of up to $2,000 on the proviso that the cost is of equal or greater value to the grant amount.
To the other side of the Darwin property market and for those who view the glass as half empty, the inner city and fringe CBD unit market continues to show a decline, with recent figures showing a 52.4% decrease in total sales volume up to the March quarter of 2016 and a decrease of 3.5% in the median unit price year on year (RELM March Quarter).
"We are now witnessing a large number of vendors holding on to their properties and only listing if they have to. This has resulted in some really good purchases," says the HTW report.
"We know of a recent dated two-bedroom two-bathroom unit in the fringe suburb of Larrakeyah selling for the low $300,000 mark. Comparatively the unit next door sold for $460,000 at the end of 2014, putting things into perspective as to how far this market has come back."
However, there is a silver lining to what has been a declining unit market over the past 12 months with the NT Government announcing that it will re-introduce stamp duty concessions for existing properties, effective 24 May 2016. What this means for purchasers is that they will now receive a 50% discount on the stamp duty payable for properties valued up to $450,000. For properties that are purchased above this price point they will receive a $10,000 subsidy on their stamp duty payment.
"Although we are aware of a recent duplex going under contract in the fringe CBD suburb of Stuart Park under this concession, we are yet to see enough evidence to support that this change to stamp duty concessions has had any real impact on the Darwin CBD market," the report says.
"We predict that this will be the case until both the Territory and Federal elections are held later this year and consumers are given more certainty about the property market."
Property Observer found a three-bedroom house at <a href="https://www.realestate.com.au/property-house-nt-millner-122291646" target="_blank">147 Old McMillans Road, Millner, NT 0810</a> recently sold for $480,000.
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Three bedroom home is an easy pick for $500,000 in Darwin: HTW

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The south-west property market over the past 12 months has seen the opportunities to buy into the market for sub-$500,000 diminish, according to property valuation firm Herron Todd White’s residential market report for July. 
The Fairfield sub-$500,000 market is now predominantly made up of dated 1960s and 1970s low rise two-bedroom, one-bathroom units, many requiring refurbishment or works to common property. 
Rarely available are units in modern developments and at this price point, a 2000s built two-bedroom, 1/2-bathroom unit in a large high rise complex may be available but the limited access to sunlight and privacy from the balcony will need to be considered. 
The Liverpool sub-$500,000 market is mainly focused on the unit market which is centred on the CBD of this regional town. This is by far the best performing unit market for both quality of product and city centre location within the south west region. If you look towards the future, the Liverpool city hub will be the central focus point for living, working and entertainment in the south west region with the ease of access to the shopping centre, train station and schools major attractions for both owner occupiers and tenants. 
This time 12 months ago we spoke about the potential to enter the sub-$500,000 in suburbs such as Ashcroft, Busby, Miller and Cartwright. In the past six months this market has quickly evaporated. 
There is minimal evidence of such sales now and if they do appear, they are mainly near land value with the improvements usually presented in very poor condition and in need of a considerable amount of capital outlay to occupy. 
Further afield, Campbelltown, some 55 kilometres from the CBD, still offers plenty of opportunities to enter the sub-$500,000 for both dwellings and units. Suburbs such as Ambarvale, Airds, Bradbury and Englorie Park offer an abundance of choice from 1970s 2-bedroom low rise units to 1990s 3-bedroom, 1-bathroom homes on sub-500 square metre parcels. These areas can only benefit from future urban sprawl. 
To illustrate the point, Property Observer found a two-bedroom townhouse at <a href="https://www.realestate.com.au/property-townhouse-nsw-campbelltown-122395302" target="_blank">14/10-18 Allman Street Campbelltown</a>, (above) which was sold for $436,000. The median price for units in the suburb was $410,000 while for houses it was $580,000, according to CoreLogic.
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In south-west Sydney, choices diminish for property below $500,000: HTW

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Half-a-million dollars can still buy you two-bedroom dwellings in Sydney’s southern suburbs, according to property valuation firm Herron Todd White’s residential market report for July, despite the median dwelling price of $782,000 (CoreLogic, May 2016).
In the St George district in south Sydney, nearly 10 kilometres to the south of the CBD, $500,000 will enable the buyer to extend their options. 
Modest, original, older style 1960s to 1970s two-bedroom units with parking around Bexley, Rockdale and Kogarah will achieve average rental returns of $350 to $400 per week. With vacancy rates low and steady demand at this rental band, there are good investment opportunities available to those with the patience to seek them out. 
Within the Sutherland Shire, the buyer may need to extend to $550,000 as this price point will only stretch as far as an older style 1970s to 1980s one-bedroom unit of around 50 to 60 square metres near to the beach in Cronulla. A property on Elouera Road, Cronulla, sold in May for $530,000 and is described as a 1960s one-bedroom, one-bathroom unit within a renovated complex with an open car space. Renovated internally with a modern kitchen and bathroom it included a small balcony and detached store room. Expected rental return is approximately $400 per week. 
On the western fringe of the Shire region towards Sutherland, Kirrawee, Gymea and Miranda, entry level two-bedroom units are pushing towards the early to mid $500,000s. With many new developments planned along with a refurbishment of Kirrawee Village including a new shopping centre and hotel, demand for units in this area has been strong this past 12 months. A recent May sale in Auburn Street, Sutherland, for $502,500 is typical of the area. Described as an original 1970s two-bedroom, one-bathroom unit with single garage in an elevated ground floor position, the property has an expected rental of $400 per week. 
There is a level of caution in the market regarding the outcome of the upcoming federal election in early July. 
“We believe capital gain in 2016 will be slower than previous years although we confirm there has been solid price growth in this value band across the metropolitan area due to overall supply and demand from both investors and entry-level owner occupiers. A key issue yet to be resolved is the government’s proposal for negative gearing changes for investors and what the impact of that will be on the local market. Foreign investors are also likely to be hit with new State stamp duty and land tax charges applicable on purchasing property and the impact of that cannot be assessed until details are confirmed," says the report.
“Last year we touched on a few of the suburbs mentioned above which saw good growth over the past 12 months with a slight adjustment to the end of 2015. With strong rental yields they are still a great investment to add to your portfolio."
Property Observer found a two-bedroom unit at <a href="https://www.realestate.com.au/property-unit-nsw-kogarah-121738354" target="_blank">19/14 French Street Kogarah NSW 2217</a> that sold recently for exactly $500,000.
 
 
 
 
 
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