<a href="https://www.apartments.com.au/developers/sunland-group">Sunland Group</a> has officially lodged plans for its first Gold Coast apartment project since the departure of the Abedian family from the company three years ago, unveiling a new high-rise proposal for a prominent Broadbeach corner site on Old Burleigh Road.

The application was submitted by an entity directed by Tom Jamieson, stepson of longtime Sunland leader Soheil Abedian, and Riaz Rezvanipour, brother-in-law of Sahba Abedian, Soheil’s son.

Sunland acquired the 1,283 sqm site on the corner of Old Burleigh Road and Armrick Avenue for $9.5 million late last year and is now seeking approval for a <a href="https://www.apartments.com.au/new-apartments/99-101-old-burleigh-road-broadbeach-qld-4218">42-storey tower with 81 apartments</a>.

<img alt="First look: Sunland Group returns to Broadbeach with new Old Burleigh Road tower plans" data-entity-type="file" data-entity-uuid="fea2946d-90ee-4cfc-babe-2a8ad5db2cb6" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/pers.png?VersionId=BV0fihJw31nDIQ8ozY_h3GbS8mxDyhnm" />

Designed by <a href="https://www.apartments.com.au/architects/contreras-earl-architecture">Contreras Earl Architecture</a>, the proposed tower at 99-101 Old Burleigh Road would deliver a predominantly larger-format apartment mix aimed at the owner-occupier market. Plans include 17 two-bedroom apartments, 55 three-bedroom apartments, and nine four-bedroom residences across 35 residential levels.

The development also incorporates three basement levels, four podium parking levels, two levels of communal recreation facilities, and rooftop plant and equipment. A total of 189 car spaces are proposed, significantly exceeding the 90 spaces required under the planning scheme.

The architecture adopts a sculpted, curvilinear form, with deep wraparound balconies and integrated landscaping intended to soften the tower’s vertical expression. The planning report states the building’s “slender footprint/form provides a complimentary yet varied built form within the local streetscape” and contributes to “a varied, yet ordered skyline.”

Contreras Earl noted in its Architectural Statement that from the early stages, the project addressed a fundamental challenge: how to accommodate the required residential yield while avoiding the conventional model of a tower sitting on a rigid, fully resolved parking podium.

“The most direct response would have been to consolidate parking into a singular, flat podium and extrude a repetitive tower above,” the statement said. “While efficient, this approach would result in a consolidated built form with limited engagement with the surrounding landscape and public realm.”

Instead, the conventional podium model was “deliberately rejected”. The architects described the base of the building as “a landscaped architectural condition where structure, planting and circulation are integrated”.

“Rather than presenting a continuous built mass, the base of the building is articulated through a series of concrete planter elements that organise the podium into a fragmented system,” the statement said. “This approach reduces the perceived bulk of the lower levels while establishing a more permeable interface with the streetscape and adjacent open space.”

<img alt="Sunland" data-entity-type="file" data-entity-uuid="923fad8d-c960-4527-8fbe-975cf1ddf88d" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-25%20at%2010.32.03%E2%80%AFAM.png?VersionId=pngwb0hYOIUpq9vDw6F2EsOiVuHF3DiX" />

&nbsp;

The site sits within the High Density Residential Zone and inside the City of Gold Coast’s unrestricted “HX” building height area, where the planning framework anticipates intensified residential development tied to the expanding light rail corridor. The planning report notes the area is undergoing “transition toward more intense development forms” given its proximity to Broadbeach, Surfers Paradise, and high-frequency public transport infrastructure.

Positioned directly opposite Broadbeach Park and within walking distance of Florida Gardens light rail station, the development would sit among a rapidly evolving stretch of Old Burleigh Road that has become one of the Gold Coast’s most active apartment development corridors.

The application joins a growing pipeline of luxury residential projects reshaping Broadbeach, including nearby developments by 5Point Projects, Polycell, and Graya.

The planning report argues the project contributes toward the Gold Coast’s long-term housing targets under the South East Queensland Regional Plan, which forecasts the need for more than 100,000 additional high-rise dwellings across the city by 2046.

<section data-scroll-anchor="false" data-testid="conversation-turn-4" data-turn="assistant" data-turn-id="request-WEB:84a2af5e-d7cf-4ddf-922a-f4d44d6c6caa-1" data-turn-id-container="request-WEB:84a2af5e-d7cf-4ddf-922a-f4d44d6c6caa-1" dir="auto">
The Abedian family departed Sunland Group in late 2023, ending a four-decade association with the company, and subsequently established the private development firm Abedian &amp; Co. The group is currently delivering <a href="https://www.apartments.com.au/new-apartments/greenmount-residences-cnr-hill-street-and-marine-parade-coolangatta-qld-4225">Greenmount Residences</a> at Rainbow Bay and recently launched <a href="https://www.apartments.com.au/new-apartments/18-mary-avenue-14-18-mary-avenue-broadbeach-qld-4218">18 Mary Avenue</a> in Broadbeach.
</section>

Joel Robinson

First look: Sunland Group returns to Broadbeach new apartment market with new Old Burleigh Road tower plans

The Minns Labor Government has established the new Bays West Delivery Authority to lead the development&nbsp;of the Bays West Precinct and Blackwattle Bay Precinct.&nbsp;

The Authority is charged with creating Sydney’s newest precinct, a thriving, connected, sustainable hub with White Bay Power Station as its cultural heart. Its vision is to build on the area’s natural, cultural and industrial history to shape a vibrant new neighbourhood.

The precinct will deliver up to 8,500 well-located homes, including a minimum of 10 per cent affordable and essential worker homes. Combine new housing with public open space, opening public access to the waterfront for the first time in more than 100 years, while retaining important deep-water facilities to support Sydney’s working harbour.

Located just minutes from the Sydney CBD and connected to a world-class metro, ferry, walking and cycling links, the Bays West precinct will rebalance housing growth towards well-serviced inner-city locations and help tackle the state’s housing crisis.

The Bays West Delivery Authority,&nbsp;an agency of the Department of Planning, Housing and Infrastructure, will report to the NSW Minister for Lands and Property who already has oversight of major precinct renewal projects including at Blackwattle Bay and Barangaroo.

As part of the broader Bays West transformation, the Minns Government recently announced that a proposal from Lendlease to redevelop part of the Bays West Precinct has progressed to Stage 2 of the NSW Government’s unsolicited proposals process.

<img alt="Sydney" data-entity-type="file" data-entity-uuid="2ed71eb9-d8e8-4fa7-b9d1-de4531dcf2f3" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-25%20at%209.42.31%E2%80%AFAM.png?VersionId=IDryFIbped9SNDg72LEN_EecvhUsOPvp" />

The Minns Labor Government has also confirmed the Bays West precinct will have a new suburb name. This will be the first major suburb built in close proximity to Sydney’s CBD in decades and will encompass the area currently being referred to as Bays West, including Glebe Island and the White Bay Power Station. Served by a new Metro station just five minutes from the CBD, it will become one of the most populous suburbs in the Inner West and one of Sydney’s premier cultural destinations.

An early works program is taking shape, which&nbsp;includes the first stages of an international design competition.&nbsp;

The aim of the Bays West&nbsp;International&nbsp;Design Competition is to&nbsp;ensure design excellence is embedded in the project from the start. The competition will deliver an&nbsp;urban framework that defines the character, ambition and long-term identity of&nbsp;this&nbsp;former industrial precinct as it transitions to a vibrant, inclusive and sustainable residential&nbsp;neighbourhood.

The competition will be led by the Bays West Delivery Authority in partnership with Government Architect NSW.&nbsp;

It will launch with an invitation for a global Expressions of Interest, before moving to an invitation-only stage that will be assessed by a panel that&nbsp;will provide advice to Cabinet who will select a winner.

Premier of NSW, Chris Minns said the establishment of the new Authority is the first step in transforming the Bays West precinct into a vibrant, livable suburb minutes from the Sydney CBD and two stops from Hunter St Station on the Metro West line.

“The Authority will deliver well-located homes close to the heart of the city and integrate the new precinct with Blackwattle Bay and the new Sydney Fish Market.

“This is a generational opportunity to build a new suburb on the city’s edge and open the harbour foreshore to the public for the first time in a century.”&nbsp;

Minister for Lands and Property Steve Kamper said the new Bays West Delivery Authority established by the Minns Government will turbocharge the development of Sydney’s newest suburb.

“The Authority is working at a record pace to deliver an international design competition, planning pathways and a financial model so that this development benefits Sydney with well-designed homes in a central location, close to public transport, jobs, entertainment and essential services.

“If we want Sydney to stay liveable and affordable, we need to be bold about using underutilised government-owned land to deliver homes for the future while making sure essential working harbour functions can be accommodated.”

Bays West Delivery Authority established to "turbocharge" Sydney’s newest suburb

Around 400 additional homes could be built at Southwark Grounds on Port Road, lifting total site capacity from 1300 to around 1700 dwellings.

A recently approved code amendment would allow apartment towers of up to 14 storeys in some areas of Renewal SA’s redevelopment of the former West End Brewery.

Renewal SA Acting Chief Executive Shane Wingard said he welcomed the code amendment, with the increase in heights and homes making a positive impact on the supply of high-quality, well-connected housing close to the city.

“By going higher across some parts of Southwark Grounds, we are adding a substantial number of very well-located homes with little impact on project delivery time or planned open space,” Mr Wingard said.

Since the project officially launched in 2025, Mr Wingard said more than 12,000 enquiries had been received about living at Southwark Grounds.

“The very strong early interest we’ve seen since homes were first released in the precinct reinforces our plans to create more housing opportunities,” he said.

The Southwark Grounds code amendment was launched in December last year, with community engagement undertaken over five weeks from January.

It proposed increasing maximum building heights from eight to 14 storeys on the eastern section of Southwark Grounds, and to 12 storeys across the remainder of the site, with minimum building heights ranging from two to four storeys.

The code amendment was implemented through an Early Commencement policy in late January, allowing developers to quickly explore the viability of increased height and housing yield while other planning processes continue.

One of the first developers delivering apartment sites have already finalised redesigns to increase the number of apartments following the code amendment.

Samaras’ development adjacent to the future Colonel Light Park is now planning to deliver 125 apartments across 11 storeys, significantly greater than original plans of around 50 apartments across four storeys.

The developer is also exploring the potential for additional affordable housing outcomes.

Most of the apartments at Southwark Grounds will be delivered within a master-planned precinct on a large parcel of land on the eastern portion of the site, covering around two-thirds of its 8.4 hectares.

Wingard said detailed precinct planning over the coming months may identify further opportunities to increase yield further that could see total apartment numbers at Southwark Grounds, exceed this number.

Affordable homes at Southwark Grounds will also see a net increase, with Renewal SA maintaining its commitment to a minimum of 20 per cent affordable housing across the development.

&nbsp;

&nbsp;

Civil works have begun across the site, with construction under way on the first new roads surrounding a townhouse precinct in the south‑west corner of Southwark Grounds. This includes Renewal SA’s 17 Founder’s Row homes, which are on track for completion by Christmas.

“We expect to have people living at Southwark Grounds by the end of the year, so delivering roads and public spaces for those residents is among our highest priorities.”

Construction of 40 townhouses off Anderson Street, known as West Village and being delivered by Contour, is forecast to begin in mid‑2026. Kolabb’s Anderson Lane development will follow shortly after, delivering a further 26 townhouses.

Southwark Grounds is a state government‑led urban renewal project now set to deliver around 1,700 homes over the next decade.

Homes will be supported by a supermarket, a range of retail and hospitality offerings anchored by a revitalised Walkerville Brew Tower, a childcare centre, car parking and well‑connected public spaces.

400 new homes planned for Adelaide's former West End Brewery site

Brisbane developer&nbsp;<a href="https://www.apartments.com.au/developers/cavcorp">Cavcorp</a> has lodged plans for a new mixed-use residential development at <a href="https://www.apartments.com.au/new-apartments/55-wyandra-street-teneriffe-qld-4005">55 Wyandra Street</a>, Teneriffe, anchored by an 85-metre public laneway designed to reconnect the suburb’s riverfront with the Gasworks precinct.

The buildings, known as Teneriffe House and Teneriffe Lane, would replace the existing Queensland Cotton head office site with a 15-storey residential tower transitioning to eight storeys toward Helen Street. The project has been designed by Plazibat Architects and lodged as a code assessable development application for 93 apartments across a 3,401 sqm mixed-use site within the Newstead and Teneriffe Waterfront neighbourhood plan.

Central to the scheme is the transformation of an existing service easement into a publicly accessible cross-block connection linking Wyandra and Helen Streets. Cavcorp says the new laneway will act as both a pedestrian shortcut and a landscaped civic space between the Teneriffe Riverwalk, ferry terminal, and Gasworks precinct.

<img alt="First Look: Cavcorp unveils Teneriffe House and Teneriffe Lane plans for landmark wellness tower in Teneriffe" data-entity-type="file" data-entity-uuid="26e7f058-b065-4de8-b13d-a2b8cb64dfcc" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/bldg.png?VersionId=sELS0ZKYi361oYipUa1BIKfe_.DLZoFV" />

“The revised proposal delivers a legacy public-realm cross-block link, permanently secured for community use, transforming an existing private easement into a safe, high-quality pedestrian connection between the Teneriffe heritage riverwalk and the Gasworks–Long Island precinct,” the planning report states.

The laneway will sit beneath a large subtropical loggia integrated into the podium levels of the development. The design incorporates deep landscaping, water gardens, lobby spaces, business lounges, and ground-floor apartments to create what Cavcorp describes as a climate-responsive “urban verandah.”

The tower itself has been designed as a slender form with recessed floorplates and curved translucent corners inspired by contemporary Japanese architecture. The building height aligns with the Commercial Road precinct controls, which permit towers up to 15 storeys within proximity to Longland Street.

<img alt="First Look: Cavcorp unveils Teneriffe House and Teneriffe Lane plans for landmark wellness tower in Teneriffe" data-entity-type="file" data-entity-uuid="a8a17d40-43b6-4718-b3fd-67676fcbb485" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/pers%202_1.png?VersionId=i3VwDtp5AmL_8InW7w4qRbDFEpb744Jt" />

The project will comprise a mix of larger-format apartments aimed at owner-occupiers, downsizers, and families. The proposed apartment mix includes 11 loggia apartments across the lower levels, 50 four-bedroom Sky-Terrace apartments from levels three to seven, and 32 Sky-Pool Homes occupying the upper tower levels. The Sky-Pool Homes will feature private thermal plunge pools integrated into oversized balconies.

According to the application, the apartments are intended to reinterpret the scale and character of Teneriffe’s woolstore conversions and Queensland homes within a vertical residential format.

“The sky-pool homes build on Cavcorp’s previous projects and introduce a distinct apartment typology to Teneriffe, informed by both local and international precedent and responding to an identified market demand for enhanced safety, space and amenity,” the planning submission notes.

A major focus of the proposal is its five-level wellness and lifestyle offering, extending from the basement through to the rooftop.

Amenities proposed include a rooftop Swim &amp; Racquet Club with a 25-metre Olympic lap pool and tennis court, coworking spaces and libraries, golf simulators, wine storage, concierge facilities, business lounges, pet wash areas, and rooftop longevity-focused wellness spaces with spas, outdoor fitness zones, and landscaped terraces.

<img alt="First Look: Cavcorp unveils Teneriffe House and Teneriffe Lane plans for landmark wellness tower in Teneriffe" data-entity-type="file" data-entity-uuid="944b352c-49b9-4247-a4c6-5967b4b69fda" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/amenity.png?VersionId=Ed_qKjAtMwFT.5gfl3jiA9QwdWxSMsaX" />

All parking will be concealed within basement levels accessed from Wyandra and Helen Streets. Cavcorp says the deep-basement engineering approach allows the entire ground plane to prioritise landscaping, pedestrian movement, and active frontage rather than vehicle infrastructure.

The development continues Cavcorp’s concentration in Newstead and Teneriffe, where the Brisbane developer has delivered a number of apartment projects including Lucent, Le Bain, and Luminare, as well as the Long Island Wellness Precinct nearby. Several of those projects have received national design and architecture awards, including recognition under Brisbane’s “Buildings that Breathe” program.

Cavcorp unveils wellness-focused Teneriffe House and Teneriffe Lane apartment buildings

Focus Group Investments has lodged plans for a new apartment development at <a href="https://www.apartments.com.au/new-apartments/64-70-hanover-street-fitzroy-vic-3065">64–70 Hanover Street</a> in Fitzroy, seeking to utilise the Victorian Government’s recently introduced Great Design Fast Track pathway to accelerate approvals for the project.

The proposal is among the latest developments to emerge through the state-led initiative, which was established to fast-track well-designed residential projects in activity centres and transport-connected inner-city locations. The pathway allows qualifying developments that meet elevated design and housing benchmarks to bypass traditional council planning timeframes and instead be assessed directly by the Department of Transport and Planning.

Designed by SJB, the development will comprise a mix of apartments above activated lower levels, with a strong focus on architectural articulation, landscaping, and communal amenity. The design response seeks to balance the industrial character of Richmond’s former warehouse precincts with a more contemporary residential form.

<img alt="First look: Focus Group Investments taps Victoria’s Great Design Fast Track for Richmond apartments" data-entity-type="file" data-entity-uuid="abea51cc-d85b-479e-9aef-a589f3b37ca7" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/ground.png?VersionId=e1Kf8EyPWwyiVumtqQ4rM5S4GpOR3CCz" />

Proposed are 63 new dwellings, a wide ranging mix of studio, one-, two-, and three-bedroom apartments, and townhouses and duplexes. They will be spread across a part-three, part-eight storey building.

The Planning and Urban Context Report by Tract says the development is of an "exemplary architectural standard" and has been carefully crafted by SJB Architects.

"Dwellings&nbsp;will benefit from excellent access to natural light, cross-ventilation opportunities and extensive communal space," the report noted.

The architectural material highlights the project’s integration of landscaped elements and communal spaces throughout the building. The proposal also incorporates sustainability initiatives aligned with the Victorian Government’s push for higher-performing apartment developments under the fast-track program.

The Great Design Fast Track was unveiled by the Victorian Government in 2024 as part of a broader housing supply strategy aimed at accelerating the delivery of new homes. Projects assessed through the pathway must demonstrate high-quality architecture, sustainability outcomes, and housing diversity while being located close to public transport and existing infrastructure.

<img alt="First look: Focus Group Investments taps Victoria’s Great Design Fast Track for Richmond apartments" data-entity-type="file" data-entity-uuid="afdbe834-8dc4-4a77-a943-ba07bc927348" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/site_11.png?VersionId=0J657j.TaChAZfp93wqJYBTqSsnREJx2" />

Focus Group, founder and led by Paul De Lutiis, is increasingly active across Melbourne’s inner suburbs, targeting well-connected urban renewal locations suited to medium and higher-density residential development. The Fitzroy proposal continues that strategy, leveraging the area’s strong transport links, established retail amenity, and proximity to the CBD.

Fitzroy has been one of the most popular spots for developers and buyers in recent years. The likes of PACE Development Group, SMA Projects, Crema Group and Chapter Group, currently selling projects in the suburb.

First look: Focus Group Investments taps Victoria’s Great Design Fast Track for Fitzroy apartments

First Home Buyers

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As a first home buyer, it's sometimes hard to figure out how you compare to others in the same position.

Are you spending way more than you should and overcommitting yourself? Or are you trying to scrimp and eyeing a property that most buyers, first timer or otherwise, wouldn't touch?

If you're planning on laying money down for your first purchase, you have to be realistic about how much you can spend. You may be able to save up for a deposit on a $650,000 house by eating baked beans every night for a year, but that's not a sustainable way to live.

Once your mortgage payment obligations start, they don't stop - not if you decide to get married, or have a baby, or get sick. So be honest with yourself about what you can afford.

[smartcode_project:default project_id=29048]

The Australian Bureau of Statistics (ABS) gathers data on different segments of the market, including first home buyers. According to the ABS, the average loan size for a first time buyer in July this year was $307,400.

Adding an assumed 10% deposit, that brings the typical first home buyer price to an estimated $338,140 (though remember, those <a href="/expert-insights/buying/what-does-a-home-really-cost-for-a-first-time-buyer">aren't the only costs</a> associated with buying your first home). While the ABS figures can allow you to make a rough guess at what others are spending, remember - there is no one particular loan size, l<a href="/expert-insights/investing/what-level-of-gearing-should-i-accept-for-my-first-investment-ask-margaret">oan to value ratio</a>, or finance scheme that fits everyone. 

It's important to note that our $338,140 is a national average, and prices vary from city to city. For a more specific breakdown, see what Property Observer's expert contributors <a href="/expert-insights/buying/exclusive-first-home-buyer-picks-from-the-experts">picked around Australia</a>. 

[smartcode_project:default project_id=8082]

So what exactly will $338,140 buy you?

In Melbourne, that might get you a one bedroom apartment like <a href="https://www.realestate.com.au/property-apartment-vic-flemington-117540416" target="_blank">this one</a>, located three kilometres from the CBD in Flemington. The lowrise apartment pictured below sold for $340,500 in August.

<img alt="" src="/images/2014/09/19/1.jpg">

Showing just how much things change a mere 3,400 kilometres away, in Perth's Balga you can pick up a <a href="https://www.realestate.com.au/property-house-wa-balga-116930007" target="_blank">three bedroom attached house</a> for $340,000.

 <img alt="" src="/images/2014/09/19/2.jpg">

If the average first home buyer across Australia is paying around $340,000 for home, does that mean you should too?

Not necessarily. Prices, household incomes and living costs vary all across the country - what might work for your friend in Balga may not be such a wise decision in Sydney. You might be better off waiting until you can afford a property that offers good capital growth.

Perhaps you're wondering what the first home buyer market was like five years ago (or how much easier your older brother had it).

In July 2009, the average loan size to a first home buyer was $269,100 - meaning the average first home buyer commitment size has increased by 14% over the past five years. According to the ABS, the proportion of first home buyers in the market was higher then, with 25.7% of all homes financed in July 2009 belonging to first time purchasers.

[smartcode_project:default project_id=28487]

First home buyers make up less than half of that proportion of the market now: only 12.2% of all dwellings financed in July 2014 were first home purchases.

Some think the apparent decline in first home buyers is the result of an increasing unwillingness to overcommit on housing - or to commit at all. Others believe the ABS needs to revise its methods.

There's no single number that represents how much a first home buyer should spend. But if you're purchasing your first home, be realistic and know your limit.
</body></html>

jrichardson-uRX5hFdKfN

How much should you spend on your first home?

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Have you been refused a loan and concerned about looking elsewhere?
While there are a number of reasons you may not be eligible for the home loan you need, one may be that you aren’t seen as “serviceable”.
This, essentially, means that you are not deemed able to pay off the loan due to calculations that say you have too many other potential areas of debt that needs repaying or daily costs. If you are unsure what serviceability means, or how it is calculated, have a <a href="/expert-insights/finance/what-is-serviceability-investment-terms-explained">look at our investment terms explained article here</a>.
In the meantime, there are other things you can do to increase your serviceability and secure the loan you want.
<ol>
<li>
Shop around Firstly, see if you are calculated as being more serviceable elsewhere. An understanding of different lending policies, which a good broker may be a help with, can assist. You can read this article here about <a href="/expert-insights/finance/how-to-pick-the-best-mortgage-broker">choosing the best mortgage broker for you</a>. Different calculations are used by different banks and lenders. 
</li>
<li>
Pay down debt (and avoid taking on more!) If you can, it’s time to supercharge your debt repayments and clear them as quickly as possible. This is particularly good for buyers who are not intending to get into the market for some time. Avoid upgrading your phone to a new expensive plan and taking on increasing levels of debt, all of these additional costs will decrease your serviceability (and your borrowing power). You might also consider putting off that extra child until you've purchased - children, due to the high level of expenditure required to raise them, are seen in the "outgoings" category. Consolidating debt and spending some time paying this down may be one of the most important options here. 
</li>
<li>
Reduce credit card limits High credit card limits affect your serviceability – even if you haven’t used them to their limits and do not intend to. Reduce them as best possible. You can increase them after you have your loan. 
</li>
<li>
Decrease other overheads where possible Yellow Brick Road’s <a href="/expert-insights/finance/the-20-tips-to-ensure-you-get-your-loan">Mark Bouris recommends reducing your overheads</a>, as well as avoiding taking on more. “Fancy car leases, big smart phone plans and cable TV charges can reduce your net income and affect your serviceability,” he says as one of his 20 tips to ensure you get your loan. You could consider consolidating short-term debt into longer term debt to reduce your monthly repayments. 
</li>
<li>
Ensure all your income is taken into account Usually, tax returns and payslips are used to determine your income. If you receive substantial sums in bonuses or commissions each year that significantly lifts your overall earnings, and this hasn’t been addressed by your broker, then you want to bring it up. 
</li>
<li>
Split debt evenly with your partner You may be purchasing together, but if the property is to be secured in your own name then make sure you have evenly divided up liabilities between both of you. Noting down all the debt and outgoings as your own, rather than as 50/50 in your relationship, will significantly lower your personal borrowing capacity in the eyes of a lender.
</li>
</ol>
</body></html>

jduke-EHk3XBmHkn

Lender says no? Tips and tricks for increasing your borrowing capacity

<html><body>
First time buyers are, by definition, less experienced than those purchasing around them.
Competition is rife, the financial consequences are significant and every purchaser wants to buy well and make good decisions.
Despite this, there are mistakes that Property Observer hears first time buyers making regularly that are all avoidable. Here are our top 10.
<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/2014/07/04/yellow-one.jpg" width="32" height="32" style="float: left;">Overextending yourself
There’s nothing more painful than diving in, thinking that you’re going to handle your repayments well, and then struggling each time your mortgage needs paying.
Property requires some hefty upfront costs, even if you’re getting a first home owner’s grant, and selling too soon because you aren’t prepared for the financial commitment can cause you to lose money in the long run, or living off of tinned baked beans.
Think this isn’t common? In October 2013, a <a href="/expert-insights/almost-50-new-buyers-concerned-about-affording-repayments-mortgage-choice">Mortgage Choice survey saw almost 50% of new buyers concerned about being able to afford their repayments</a>. Ensure you aren’t one of them.
Solution: Prepare yourself in advance and get honest about what you can afford. This means knowing about the process of getting your first loan, the implications and ensuring you know what you can and cannot put aside in the way of funds.
<ul>
<li><a href="/expert-insights/buying/getting-your-first-loan-heres-what-you-need-to-know">Getting your first loan? Here’s what you need to know </a></li>
<li>
<a href="/expert-insights/buying/getting-your-first-loan-heres-what-you-need-to-know">Preparing yourself for debt: </a><a href="/expert-insights/buying/preparing-yourself-for-debt-10-things-to-do-now-to-make-home-ownership-easier">10 things to do now to make home ownership easier</a>
</li>
<li><a href="/expert-insights/finance/what-to-do-if-you-are-in-mortgage-stress">What do I do if I am in mortgage stress?</a></li>
</ul>
<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/2014/07/04/yellow-two.jpg" width="32" height="31" style="float: left;">Purchasing for the wrong reasons
There are many reasons to consider home ownership and there are many reasons people opt to continue renting or to push back their property buying goals. These are individual circumstances and no one, other than yourself, can decide whether or not entering into a long-term mortgage and financial commitment is going to be right. 
Unfortunately, many home buyers buy for the wrong reasons – this could be due to familial or peer expectations, “fear of missing out” or any number of reasons. You do not want to resent your decision.
Solution: Make sure you buy when you’re ready, and you know the reasons why home ownership is important to you. This is no small decision, and should be looked at logically and carefully.
Think about your ‘pros’ and ‘cons’ and always try to be your own devil’s advocate.
Finally, ask yourself: Why do I want to buy a property? Never feel rushed into a purchase.
<ul>
<li><a href="/expert-insights/buying/the-10-signs-that-you-may-not-be-ready-to-buy">The 10 signs that you may not be ready to buy</a></li>
<li><a href="/expert-insights/renting-v-buying-how-does-it-stack-up-for-you">Renting v buying: How does it stack up for you?</a></li>
</ul>
<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/2014/07/04/yellow-three.jpg" alt="" style="float: left;">Not researching an area properly
It's easy to get swept up in buying the perfect home and not thinking about whether it's in the perfect area.
Big backyards, high ceilings and nice furnishings are all fun - considering whether the suburb is well serviced by public transport, serves as an employment hub, has good schools or houses unattractive factories is not so fun.
But the suburb of your prospective purchase is one of the main determinants of its future (and current) value, so pay attention.
Even if the house is perfect, many people search for properties by area, not house type, so it could go unnoticed when you're trying to sell the home.
Solution: Check out suburbs' median prices and historical price growth. See if it offers amenities that attract other buyers, and keep an eye on any news (like future infrastructure developments) that could affect its future value.
<ul>
<li><a href="https://www.propertyobserver.com.au/finding/location/suburb-data" target="_blank">Our suburb data pages </a></li>
<li><a href="https://www.propertyobserver.com.au/finding/residential-investment/suburb-spotlights" target="_blank">The suburb spotlight series </a></li>
</ul>
<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/2014/07/04/yellow-four.jpg" alt="" style="float: left;">Not getting the right insurance
Insurance is another part of a home purchase that often goes overlooked - it's hardly as exciting as the other parts of a house hunt.
If you're purchasing your first home with a deposit under 20%, you'll often need lenders mortgage insurance, to protect the lenders against a default. It's worth investigating this option as it could affect how you buy your home. But once you purchase your home, you'll need to protect yourself against natural disaster, vandalism or theft, which can all cost you a lot of money at unexpected times.
You also might find yourself in financial hardship if you are injured or suffer an illness down the line.
Solution: Home and contents insurance will protect your assets, and personal insurance will protect you (don't think you're too young to need it). Income insurance will help cover you if your income is ever threatened by illness or injury and you find it hard to keep up with your mortgage payments or bills.
<ul>
<li><a href="/expert-insights/investing/first-home-buyers-need-personal-insurance-joe-sirianni">First home buyers need personal insurance</a></li>
<li><a href="/expert-insights/investing/ask-margaret-do-i-need-flood-insurance-if-i-pay-body-corporate-fees">Ask Margaret: Do I need insurance if I pay body corporate fees? </a></li>
<li><a href="/expert-insights/buying/you-insure-your-home-so-why-not-your-income">You insure your home, but why not your income?</a></li>
</ul>
<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/2014/07/04/yellow-five.jpg" alt="" style="float: left;">Taking “bad” advice
"Spruikers", "property sharks"; you’ve probably heard all the names given to the charlatans of the property industry.
However, bad advice comes from all quarters – family, paid advisers and members of the industry. Many property buyers have bought in areas on bad advice, even from well-meaning uncles and aunts at a barbecue, and have paid for it in opportunity cost and often more.
Solution: Do your due diligence on all the advice you’re given. This may mean double checking the reasons someone thinks an area is a hotspot and doing research on the area yourself. It could be checking to see whether that person is really looking out for your best interests.
Bad advice takes many forms, <a href="/expert-insights/investing/the-deadly-formula-of-bad-investment-advice">even masquerading as news on occasion</a>, and you must always be careful about the information you take onboard.
<ul>
<li>The property investment pandemic: <a href="/expert-insights/the-property-investment-pandemic-how-to-avoid-spruikers-and-bad-advice">How to avoid spruikers and bad advice </a>
</li>
<li>Free advice: <a href="/expert-insights/buying/free-advice-five-experts-you-can-go-to-for-information">Five experts you can go to for information</a>
</li>
</ul>
This article continues on the next page. Please click below.
<hr class="system-pagebreak">
 
<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/2014/07/04/yellow-six.jpg" alt="" style="float: left;">Not getting a building inspection
While it's easy to tumble into the purchase process, you need to know that the house you're hoping to buy is stable and sound - especially if you're not familiar with properties. If you don't carry out a building inspection before purchasing a home, you could be saddled with an unsafe house with structural problems or asbestos.
Those problems will end up costing you a lot of money to fix up further down the line.
If you're intending to carry out renovations or alterations in the future you need to know what is possible with the existing house.
Solution: Before you sign a contract, have a reputable independent builder carry out a building inspection. While they may not be able to catch every problem, they can save you from making a bad purchase. <a href="/news/how-to-choose-a-building-and-pest-inspector"></a>
<ul>
<li><a href="/news/how-to-choose-a-building-and-pest-inspector">How to choose a building and pest inspector</a></li>
<li><a href="/expert-insights/investing/the-importance-of-building-inspections-in-property-transactions">The importance of building inspections in property transactions </a></li>
<li><a href="/expert-insights/buying/how-to-navigate-the-building-and-pest-inspection">How to navigate the building and pest inspection</a></li>
</ul>
<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/2014/07/04/yellow-seven.jpg" alt="" style="float: left;">Being unwilling to compromise
Buying your first house is a big decision, and one you want to get right. But know now: there's no such thing as the perfect property. If you're operating on a tight budget, don't expect to get a perfect home, with the perfect aspect, in your dream suburb, down the road from your favourite cafe. You're at the beginning of your property buying journey, not the end of it.
Waiting too long for the perfect home may leave you downwind of a market that's long left you behind. You may realise that the three bedroom house that was 10 minutes further out than you had hoped for is now well out of your budget, even though you could have purchased it six months ago.
Solution: To know when to compromise and when to stick to your guns, think about the fundamentals that affect property values - location, land size and aspect, among others - and think about much they matter to you and to potential buyers further down the track.
Remember to consider your wants in the future - will you want to stay in this home for more than 10 years, or are you planning to move overseas or to a more familiy-friendly house later on?
The best house you can afford now might not be the best house for you in the future, and that's alright.
<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/2014/07/04/yellow-eight.jpg" alt="" style="float: left;">
Not getting pre-approval
It’s a simple step, but one that many don’t consider: the simple pre-approval.
Not obtaining this piece of assurance, even with the limitations it has, can leave you unsure about what you can afford to purchase and subsequently nervous in an auction situation.
It may cause you to bid beyond your means and put you in substantial strife, particularly when buying at auction where cooling off periods and other conditions do not apply. Consider pre-approval a little added boost of confidence.
Solution: Get home loan pre-approval!
Understand the restrictions around the approval, and know how regularly you need to have it updated, however going through this process is one of the most powerful pre-auction and pre-property searching steps you have available.
It will also let you know what property is and is not within your purchasing range, allowing you to rule out some of the pricier options you’ve been looking at earlier on – before you get too attached.
<ul>
<li><a href="/expert-insights/finance/a-quick-guide-to-home-loan-pre-approval">A quick guide to home loan pre-approval</a></li>
<li><a href="/news/five-things-you-must-do-before-buying">Five things you must do before buying</a></li>
<li><a href="/expert-insights/finance/why-you-should-secure-finance-pre-approval-before-looking-for-property">Why you should secure finance pre-approval before looking for property</a></li>
</ul>
<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/2014/07/04/yellow-nine.jpg" width="33" height="31" style="float: left;">Buying with the wrong person
It could be your best friend, your sibling, or even your spouse - no matter who it is, it only takes one person in a property buying duo to sink the ship.
As soon as you purchase with another person, you'll realise that their financial woes are your financial woes. Suddenly, you'll be very interested in their employment status, their spending habits and their ability to make mortgage payments.
Solution: If you're buying with another person, make sure you have clear and simple financing arrangements, with a contingency plan. Also consider your future investment plans - if you decide you want to sell the house when the market is hot in five years but your friend wants to stay on, or she decides to move overseas, you'll be faced with some difficult decisions.
Make sure you go into any buying decisions with open eyes, and think about having a lawyer go over any joint financing agreements you make.
<ul>
<li><a href="/expert-insights/buying/should-i-buy-a-property-with-a-friend-six-things-to-consider-first-ask-margaret">Ask Margaret: Should I buy a property with a friend? </a></li>
</ul>
<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/2014/07/04/yellow-ten.jpg" width="32" height="31" style="float: left;">Buying when it’s too “hot”
A hot market, where everyone is rushing in to buy buy buy, is not always going to be the most prudent place for a first home buyer to look.
Investors regularly rush in and lose money by seeking to make a quick buck in a hotspot. It’s commonly said that when you’re buying with the crowd, you’ve missed most of the growth already.
First time buyers are especially vulnerable to the market’s heat and inexperience. At a busy auction, it can be much easier to overpay if bids are busy and emotions are running high. If you can’t stick to your guns on what you’re prepared to pay, then you should not be considering a market that’s running too hot.
Solution: Know how to identify a market that is hot, <a href="/news/nsw/the-market-psychology-behind-the-sydney-property-boom-pete-wargent">the reasons behind it</a>, and determine whether the prices are still reflecting market value.
By this stage, you should know the markets that it would be prudent to take a step back from or to enter with caution.
And if you are going to consider it? Here are <a href="/expert-insights/investing/tips-for-buying-in-a-hot-market">some tips for buying in a hot market</a>.
<ul>
<li><a href="/expert-insights/buying/my-advice-for-buying-in-a-hot-market-dont-terry-ryder">My advice for buying in a "hot" market? Don't: Terry Ryder</a></li>
<li><a href="/expert-insights/buying/investor-saturation-in-suburb-hotspots-will-have-consequences-for-residents-and-investors">Investor saturation in suburb hotspots will have consequences for residents and investors</a></li>
<li>
<a href="/expert-insights/investing/overheated-markets-set-to-see-a-2015-correction">Overheated markets set to see a 2015 correction</a><a href="/expert-insights/buying/investor-saturation-in-suburb-hotspots-will-have-consequences-for-residents-and-investors">: Michael Matusik</a>
</li>
</ul>
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10 first time buyer mistakes and how to avoid them

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For first time buyers looking for inner city living, studio apartments can be a tempting choice.
With no walls between the "bedroom" and living areas, studio apartments can be a good deal smaller than one bedroom apartments - and therefore cheaper.
A search for studio apartments in capital cities will certainly throw up cheaper and more central opportunities than can be discovered with any other property type.
This studio apartment at 204/268 Flinders Street in Melbourne is on the market with a price guide of $158,000, <a href="http:/www.realestate.com.au/property-studio-vic-melbourne-117636635" target="_blank">through Spencer Nguyen and Robert Eggers of Dingle Partners</a>. You would be hard pressed to find a non-studio apartment in such a central location.
A quick look at the apartment's floor plan reveals why it's so cheap: The bedroom doesn't share the space with the living room - there is no living room. There's hardly room for a bed, with a total area of around 18 square metres.
<img src="/images/2014/09/12/studio2.jpg" alt="">
While a studio of that size may seem unappealing to live in, they can offer attractive yields. According to the listing information, this studio is currently leased at $1,304 a month, representing a yield of 9.9%. So if you don't intend to live in a shoebox studio but instead want to rent it out, you could be receiving good value - if you feel comfortable renting it out to another person.
Such small studios in central locations are often popular with international students who need to be close to universities and haven't brought a lot of belongings. However, that can mean that the rental income is subject to seasonal variation.
This particular property was purchased for $173,000 in 2005, so the owners will have made a capital loss if it sells for its current asking price.
However, one studio apartment doesn't represent the entire market. There is plenty of variation out there in the studio market, from student shoeboxes to bright warehouse conversions. And of course, the more you pay, the better the apartment.
As with any other property, make sure you're not carried away by price. Consider the quality of the apartment you're hoping to purchase, the area and its attractiveness to future buyers and renters (remembering that both offer different gains for you).
If you're hoping to occupy the property, you should be open to compromise, but don't get carried away. Think about whether you would be happy living with a bed a metre away from your kitchen, or if it might be more prudent to save for a few more years before jumping into the market.
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Are studio apartments a good pick for first home buyers?

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It make sense to go to some local auctions as part of your research and due diligence – even if you’re not quite ready to purchase yet.
If it’s going to be worth your time and effort, then you need to know what it is you’re looking to learn. For instance, here's what Catherine Cashmore took away from <a href="/news/eight-lessons-to-learn-from-the-blocks-lacklustre-auction">The Block 2011's lacklustre auction result</a>.
Here are the five things that you should be trying to gain from heading to an auction.
<ol>
<li>
Market activity After you’ve been to a few auctions in an area, you should start to get a feel for the demand for property. Is it strong? Are there lots of bidders? Remember that just because a property draws a crowd, those attending may just be watching – and may not be genuinely interested in purchasing. Taking note of how busy it is on the day is one thing, but you should also note how many bids are made and how competitive the bidding becomes. This will let you know whether you will likely be entering an auction that will be quiet. Potentially this could give you the upper hand for lower bidding and negotiating if the property is passed in, or knowing if you need to put all your cards on the table. Keep an eye out for repeat bidders regularly attending auctions of similar properties – this can suggest who the highly motivated buyers are. 
</li>
<li>
Comparative pricing Another useful thing to note about auctions is exactly what price they end up selling or passing in for. It may take some time for auction results to be properly recorded, depending on the area you’re considering and the type of property and so to get the most real-time information possible it’s worth visiting a few. As you get to normally inspect the property one last time prior to auction, you can also note how much it went for and whether it is inferior or superior to the property you have your eye on. This should quickly let you know if what you’ve been estimating to spend will achieve you the property you want in the area. 
</li>
<li>
Reserve prices Another factor to note down is when the property is officially “on the market”. While you can’t always get a specific indication of reserve price, when a bid goes above it the auctioneer will tend to announce this. Every property is different and every vendor will set a different reserve, but this will help you prepare your strategy and to know when you might be interested in bidding. If you want to be the top bidder when a property is passed in, this will be of particular interest. 
</li>
<li>
Common language used and strategies Familiarising yourself with strategies used by buyer’s agents and common prospective purchasers, as well as the weaknesses that others have when bidding, can prepare you for when it’s your time to bid. Regular, auction success is said to be <a href="/expert-insights/investing/winning-at-auction-isnt-amount-having-the-most-money-its-about-strategy">all about the strategy you employ</a>. It’s worth also getting to grips with the process and the type of language used by auctioneers and the increments of bidding so that you don’t get thrown off. Familiarise yourself with the process so you’re more comfortable when it’s your turn. You can also become familiar with local auctioneers’ styles. Some are very good at hyping up a crowd and drawing out the bids. You should be prepared for how they may auction the property you really want. Here's Patrick Bright's <a href="/news/understanding-auction-talk-patrick-bright">guide to understanding "auction talk"</a>. 
</li>
<li>
Neighbourhood information from locals The final factor to keep an eye out for is how the locals react and what they say. A neighbour may tell you that a developer has been around trying to purchase all the properties in a specific block or of a certain size. Another might tell you about any reasons people are leaving the street, or even about other neighbours. As local experts in their own right, it pays to listen – the information may be crucial later on. Don’t feel as though you can’t ask them about the good and bad streets, or if they know of any other properties coming up for sale. As with all information, do your due diligence and confirm it yourself, but it may just lead you on to better things.
</li>
</ol>
YOU MIGHT ALSO WANT TO READ:
<a href="/expert-insights/buying/twelve-tips-for-bidding-at-property-auctions">12 tips for bidding at auction </a>
<a href="/expert-insights/buying/buying-your-first-property-at-auction-a-step-by-step-guide">A step-by-step guide to buying your first property at auction</a>
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Not ready to buy yet? Five things you can still learn at auction

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GUEST OBSERVATION
In its September meeting, the Reserve Bank decided to leave interest rates on hold at 2.5%. I believe this is positive news for Australians seeking to purchase their first home, as a low interest rate environment lowers the cost of financing this purchase.
In other good news for first home buyers, recently the HIA-CBA Housing Affordability Index posted its most favourable result in 12 years. 
In combination, these factors are likely to motivate any first home buyers who may have been sitting on the fence to enter the market and start looking for a suitable property to purchase.
I also encourage all property owners to take advantage of the borrowing environment at present, as any loan containing an interest rate with the number four or five in front of it should help a buyer over the next five to six years. It's also wise for property owners to <a href="/expert-insights/finance/unprecedented-low-interest-rates-wont-last-forever">budget for the possibility of any future rate movements in advance</a>, so that they’re adequately prepared for movements if and when they occur.
Additionally, recent price movement is also a positive indicator for the Australian property market, as value growth has started to slow after a period which saw rapid and sustained value growth across many of our capital cities.
Importantly, conditions have shifted from a sellers' market, where buyers have been willing to meet the high expectations of sellers, to a negotiators' market wherein real estate agents may need to seek to negotiate a lower price with vendors in order to close sales.
Banks and valuers are also starting to become more conservative after last year's strong house price growth, acting as two more mechanisms which will help to ensure future price growth in the property market is steady and sustainable.
Overall, I believe that the outlook for the property market continues to be positive and should present many opportunities for buyers and sellers in the Australian property market.
Charles Tarbey is chairman and owner of <a href="https://www.century21.com.au/" target="_blank">Century 21 Australasia</a>.
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ctarbey-W47GL9jwxa

Low interest rates are good news for first home buyers

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As the old adage goes “you get what you pay for”.
Novice buyers looking for good advice should be willing to pay for the latest data and for access to the experts.
In saying that, there’s plenty of currently available information available for free – and quite a few experts who are regularly available for a chat.
Real estate agents 
The <a href="/expert-insights/investing/how-to-choose-the-right-real-estate-agent">best real estate agents are local market experts</a> that can let you know what the buyer sentiment is, how long properties are taking to sell and potentially let you know about properties coming onto the market soon. They work regularly in smaller defined areas – often a collection of suburbs – and know then very well.
Here’s a sample of what you can gain from chatting with an agent:
<ul>
<li>Knowledge of the type of properties available for purchase and the price ranges for each. 
</li>
<li>An understanding of the length of time a property takes to sell and which are in higher demand. 
</li>
<li>Knowledge of the type of buyer currently looking in the area. 
</li>
<li>An historical perspective (look to well-regarded agents who have worked in the area for a while) of growth and changes. 
</li>
<li>Potential referrals to building and pest inspectors, property managers and other experts. 
</li>
<li>An idea of the prestigious areas and the not so desirable streets.</li>
</ul>
Speaking to them as a buyer, you must be aware that they are working for the vendor. They will most likely tell you things in the seller’s best interest, not in yours. One way to get around this is to speak to a real estate agent in the area who isn’t selling the property you’re considering. Alternatively, you can speak to a property manager.
Property managers
A boutique property management agency can help fill in the blanks for you around tenancies and the likelihood of your property being given a good run on the rental market.
Here’s a sample of what you can gain from chatting with a property manager:
<ul>
<li>An understanding of the types of properties that are rented first. 
</li>
<li>Clearer knowledge of how much weekly rent can be charged for different properties in different conditions. 
</li>
<li>Explanation of who the tenants are likely to be. 
</li>
<li>Knowledge of the most desired rental property qualities in the area. 
</li>
<li>An up to the minute explanation of vacancy rates and any difficulties they have in renting out certain properties.</li>
</ul>
Many property managers have very good ground-level knowledge and know exactly what their tenants do and do not like. However, in terms of forecasting and predicting how the market might shift, you may prefer to speak to a property mentor.
Property mentors and advisers 
Property mentors, many of whom are buyer’s agents of some form, have a wealth of knowledge, usually from researching markets and dealing with other investors previously. However, you need to know where their skillset lies. Some are going to be able to thoroughly explain their ideas on where markets are heading, while others will help you come up with goals and strategies to get you on track with your property investing.
Some of these experts allow free access to a point, for instance a limited number of seminars and lengthy workshops – often for whole weekends. However, they often have hefty fees after this point. If you’re not paying, then you also need to wonder where they’re getting their income from – is it through commissions?
Remember our tip: follow the money. Here are <a href="/expert-insights/10-questions-to-ask-your-property-investment-adviser">10 questions to ask an adviser before taking any advice on board</a>.
Article continues on the next page. Please click below.
<hr class="system-pagebreak">
Mortgage broker or lender
For information about loans, your borrowing capacity and whether or not you can get a mortgage for the property you’ve got your eye on, there are calculators available online. However, the majority of brokers’ services are at no cost to you (they usually get a commission from the lender).
You should choose the broker wisely, ensuring that their panel of lenders is as extensive as you’d like it to be and that their understanding of your category of buyer (first home buyer or investor, for instance) is sound. You can <a href="/expert-insights/finance/how-to-pick-the-best-mortgage-broker">read some information here on how to pick a mortgage broker</a>.
Here’s a sample of what you can gain from chatting with a broker:
<ul>
<li>Knowledge of who will lend to you. 
</li>
<li>An understanding of how big your deposit needs to be and whether or not you’ll be paying LMI. 
</li>
<li>Information around types of loans available and the different features of each. 
</li>
<li>Explanations of break costs and technical jargon you might not understand. 
</li>
<li>Assistance with unusual loans, e.g. if you are going for a joint venture arrangement or having a guarantor 
</li>
<li>Assistance with pre-approval.</li>
</ul>
Local council members
Investors will have varying degrees of success in touching base with the local council, especially as some are more open to property investors than others. However, it’s always worth a call to ask some pointed questions about what is occurring in the area.
Here’s a sample of what you can gain from chatting with your local council:
<ul>
<li>Knowledge of recent or approved development applications, including specific details about them. 
</li>
<li>An understanding of the council’s growth plans for the area. 
</li>
<li>Any recent examples of significant local government spending in or around the suburb. 
</li>
<li>A point in the direction of any useful reports that they have. 
</li>
<li>Explanation of their policies around subdividing, knock down rebuilds and similar.</li>
</ul>
Here is observer <a href="/expert-insights/thorough-research-is-critical-to-dodging-property-purchase-problems">Mark Armstrong's account of how he used local council information to avoid a major property disaster</a>.
Lastly, you can always try chatting to other property investors.  They’re often in the same boat as you, are great to discuss trial and error with, and often will have stories to share you can learn from.
You can share referrals, tax tips you’ve heard and important location-based news.
Remember to be wary – investing is not one size fits all, and just because “everyone else is doing it” doesn’t mean that it’s necessarily the thing for you to do. Any novice advice, or even experienced investor advice without the necessary qualifications to back it, should be taken with the full understanding of where it is coming from.
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Free advice: Five experts you can go to for information

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First home buyers are often working with a different set of requirements than more experienced investors.
With fewer working years behind them, beginners are likely to have a smaller deposit to work with and fewer assets than upgraders or downsizers - and much less experience.
Financing is a large part - perhaps the largest part - of securing your own home, and many lenders are aware of the circumstances facing first home buyers.
Once upon a time, the Rudd government introduced First Home Savers Accounts, where savers could receive a government co-contribution of up to $1,020 on the first $6000 savers deposited each year. They were also eligible for a range of tax concessions, but were faced with a number of restrictions on when they could withdraw their money.
The First Home Saver Account scheme was <a href="/expert-insights/buying/four-things-you-must-know-about-the-axed-first-home-saver-accounts">scrapped by the Abbott government</a> this year, leaving some confused as to whether the <a href="/expert-insights/buying/do-the-first-home-saver-account-eligibility-requirements-still-apply">restrictions still apply to their accounts</a>. While ME Bank have <a href="/expert-insights/finance/me-bank-looks-for-an-answer-to-scrapping-of-first-home-saver-accounts">suggested they may offer a similar product</a> in the future, it has not yet eventuated.
Now, with no federal scheme supporting first home savers, it's up to them to seek out the best deals from lenders to finance their first purchase.
Lenders Mortgage Insurance
One option is seeking out a lender that will accept a small deposit. When putting down a deposit lower than the standard 20%, many lenders will require you to pay for lenders mortgage insurance (LMI), which will protect them against a loss should you default on your home. This isn't a product that is unique to first home buyers, but can be used by buyers across the board who don't want to make a 20% deposit.
While it might be <a href="/expert-insights/buying/what-can-you-buy-with-a-25-000-deposit">tempting to put down a 5% or 10% deposit</a> and pay the few thousand dollars for LMI, keep in mind that you're not exchanging money for equity in your home (as you would be if you increased your deposit size) and the money cannot be recovered when you sell your house.
Beyond grants, it's mostly up to mortgage brokers and lenders to deliver products that may make life easier for first home buyers. Here are some of the available options.
Guarantors
While some parents don't want to contribute money to their child's deposit, they can support a first purchase by acting as a guarantor. A guarantor has a legal obligation to pay back a loan if the borrower (often their child) can't continue making their repayments. Occasionally, a lender will require a guarantor to use their home or a large asset as security for a loan. Sometimes guarantors can set a limit on the amount they'll contribute to a loan.
With a guarantor, a first home buyer making a 10% deposit can often forgo or reduce LMI. A number of different lenders accept guarantors - Beyond Bank has a <a href="https://www.beyondbank.com.au/personal-banking/home-loans/first-home-buyers-loan" target="_blank">"Parent Equity" scheme</a>, while St George refers to the practice as a <a href="https://www.stgeorge.com.au/personal/home-loans/tools/home-loan-features/family-pledge" target="_blank">"Family Pledge"</a>.
While guarantees are often associated with parents, some lenders accept friends as guarantors. Resolve Finance offers guarantor home loans where a friend or family members use the equity in their own homes to guarantee a loan, allowing borrowers to go without a deposit.
While guarantors sound good, beware. If there is any doubt over your ability to repay your loan, you could end up costing your guarantor their home or retirement savings.
First home buyer packages
A number of lenders offer first home buyer "packages" or specialist products. The discounts or benefits they offer vary (as does their value).
Commonwealth Bank offers a <a href="https://www.commbank.com.au/personal/home-loans/first-home-buyer-offer?gclid=cotw6i6av8acfdr8vqodjbkaiw&amp;c" target="_blank">$1,000 cash bonus on your first loan</a>, which could be straightforward and appealing to some.
In South Australia, first home savers using <a href="https://www.homestart.com.au/buying-a-home/I-m/first-home-buyers" target="_blank">Home Start Finance</a> can make a deposit as low as 3% of the value of your loan, and the First Home Owner Grant is included in deposit calculations.
Meanwhile, <a href="https://www.bankmecu.com.au/borrowing/loan-packages/first-home-buyers-loan-package" target="_blank">bankmecu</a> offers a first home buyers loan package where borrowers can pay $350 per year in exchange for lower rates, three months free building insurance during settlement, 10% off  general insurance premiums and no monthly or additional repayment fees, subject to certain conditions.
Other lenders, such as the <a href="https://www.nicu.com.au/loans-home-loan-packages" target="_blank">North Ireland Credit Union</a>, get even more creative, with furniture vouchers and credit card incentives.
If you are considering a first home buyer package, go in with open eyes and take some time to do your calculations. Think about what's valuable to you - would you prefer to pay a set fee every year for the possibility of lower rates? This could be a worthwhile option, but only if the saving in interest is greater than your yearly fee. Don't simply take up first home buyer packages because they look good superficially, but consider as many loan options as you can.
In deals not exclusive to first home buyers, lenders are also <a href="/expert-insights/finance/record-low-fixed-rates-who-is-offering-them">offering record low rates: </a>ME Bank currently offers a 4.94% rate on their three year fixed rate loan. However, bear in mind that added flexibility offered by a variable loan. 
Take the time to look at the short-term incentives available, but don't forget - buying a home is a long-term commitment.
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Finance deals for first home buyers 

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Canberra continues to rank as the most affordable state in Australia, however first home buyers shouldn’t get their hopes up.
The Adelaide Bank/REIA Housing Affordability Report notes that while it looks good on paper, the reality may be a different story.
For the ninth year in a row, Canberra records the highest affordability level based on a median house price of $535,000 put into the ratio of median family income to average loan repayments. This sees the proportion for the ACT stand at 19.8%, compared to New South Wales with the worst result at 35.3%.
REIA president Peter Bushby said that the report showed a positive for Victoria, Queensland, South Australia and Tasmania home buyers, with affordability improvements over the last quarter. The ACT recorded the strongest annual improvement, despite remaining unchanged over the quarter.
However, Bushby said that first home buyers might not be consider it to be the case in the ACT.
“While on paper, Canberrans have access to the most affordable homes, I suspect many people don’t feel that this is the case, especially first home buyers,” he said.
“While the ACT recorded a 9.7% increase in the number of loans to first home buyers this quarter, this figure is down 34.4% when compared to this time last year,” Bushby explained.
With the First Home Owner Grant for established homes ending a year ago, this was unsurprising, he explained, noting that most states now have restrictions on the established market that he considers “disappointing”.
Canberra’s high median family income sat at $2,491 for the June quarter, with New South Wales recording a median family income at $1,562, where their median house price is $811,837. It seems the high earners in the ACT may be what is behind the territory’s achievement of the “most affordable” title.
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Canberran first time buyers left in the lurch, despite highest affordability level

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When rates are low, prices usually rise and first home buyers can feel shut out. 
But all is not lost if you stick to a few simple tips.
<ol>
<li>Deposit: Lenders want to see you have at least 5% of the purchase price as genuine savings (generally you'll need 10 per cent overall). You can top up with money from your parents or grandparents, but you have to show at least six months of your own savings. Start saving, now. </li>
<li>Savings: Set a goal for your deposit amount and save in a high-interest savings account that's separated from household expenses. Set a weekly deposit goal, use direct crediting and if you're a couple, have one person's income going directly into savings. </li>
<li>Reduce debt: Eliminate or reduce the limits on your credit cards and store cards. Lenders look at the limit on your cards, not your balance. </li>
<li>Grants: The First Home Owners Grant can help with your purchase. But it must be for a new home construction; you can't use it to buy the land and lenders will not treat the FHOG as part of genuine savings. Do your homework because the grant differs slightly between states. </li>
<li>Income: Lenders like to see stability and want to see evidence that you will repay the mortgage. So you should demonstrate at least six months (but preferably one year) of PAYG employment, or two years of financials and tax returns if you're self-employed. </li>
<li>Shop around: You can find variable rate mortgages in the range of 4.6 per cent to 6 per cent. The 1.4 per cent difference, on a 350,000 loan over 30 years, is worth more than $300 a month. </li>
<li>Marketing: Watch for "discount" mortgages and special low offers. The low rates last for a year or two and then revert to a much higher rate. Always look at the "comparison rate". </li>
<li>Fixed: Many first-home buyers like to balance their budget for a few years, and a fixed loan creates certainty. However, once in a fixed loan, your flexibility is restricted and you may encounter break costs if you want to sell or refinance. </li>
<li>Vary it: Variable rates fluctuate with the market but they are flexible, allowing you to repay higher amounts and deposit lump sums from bonuses and tax refunds, speeding your repayment. You can refinance a variable rate loan without penalty. </li>
<li>Offset: When you put all your income into a mortgage offset account, the balance pays down the mortgage by the amount you have in there each day. It stops interest capitalising against you as fast as monthly repayments. Offset accounts suit good budgeters. </li>
<li>Price: Don't be disheartened if you can't buy what you want - buy the next-best and build a strategy for your next property. </li>
<li>Advice: Mortgage brokers are excellent for insights, strategies and getting you a good result. They're worth talking to. </li>
<li>Always remember: When borrowing money and buying property, the same basic rules apply to everyone. So do your homework, be prepared, take some advice and go for it.</li>
</ol>
Mark Bouris is executive chairman of wealth management company <a href="https://www.ybr.com.au/" target="_blank">Yellow Brick Road</a>, which sells financial advice and home loans.
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