<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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Currently, established and new properties in Tasmania can receive a benefit for first time buyers, with up to $30,000 available. However, as in many other states and territories, this is changing at the end of June.
From 1 July 2014 established home buyers will lose the current $7,000 benefit.
For new properties, the First Home Builder Boost, which last November increased from $8,000 to $23,000, those eligible for this would also be benefit from the $7,000 FHOG, bringing their total payment to $30,000.
The grant for new properties is available until 31 December 2014.
To be eligible, you must not have owned and occupied (for more than six months) a home in Australia after 1 July 2000, and you cannot have owned a property before this time.
When you get the FHOG, you need to live in the property for six continuous months within 12 months of the date which the certificate of occupancy is issued.
You can check out the <a href="/expert-insights/buying/the-national-guide-to-first-home-buyer-grants">national guide to first home buyer grants</a> to see a more detailed rundown of what's available across Australia for first home buyers.
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Tasmanian first home owners to lose grant for established homes at the end of June

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Here are the grants currently accessible by first time buyers, as per information available from the respective Office of State Revenues and Treasuries.
Please note that eligibility factors may influence the amounts available in each state. You can check out the <a href="/expert-insights/buying/the-national-guide-to-first-home-buyer-grants">national guide to first home buyer grants</a> to see a more detailed rundown of what's available across Australia for first home buyers.
$10,000
<ul>
<li>Victoria</li>
</ul>
For new properties a grant of $10,000 is available.
There is no grant for buying established properties.
<ul>
<li>Western Australia</li>
</ul>
A grant is available for first time buyers of $10,000 for those purchasing or building a new home. 
Those looking to buy established may be able to net a $3,000 grant.
 
$12,500
<ul>
<li>Australian Capital Territory</li>
</ul>
First home buyers in the ACT purchasing a "new" or "substantially renovated" property can net themselves $12,500. 
There is no grant for buying established properties.
 
$15,000
<ul>
<li>South Australia</li>
</ul>
For those buying a new home, since 1 January 2014 $15,000 is achievable.
For those purchasing established homes, currently $5,000 is attainable - dropping to $0 from 1 July.
<ul>
<li>New South Wales</li>
</ul>
First home buyers in New South Wales can currently net a $15,000 grant - however this will be reduced to $10,000 as of 1 January 2016.
This grant is only available to those who buy a new home or build their home.
<ul>
<li>Queensland</li>
</ul>
W hen purchasing new, Queensland first time buyers can receive $15,000. 
There is no grant for buying established properties.
 
$26,000
<ul>
<li>Northern Territory</li>
</ul>
From 13 May 2014 to 31 December 2014, a new home is applicable for a $26,000 grant.
An established property in an urban area will be provided $12,000 and elsewhere $25,000. 
 
$30,000
<ul>
<li>Tasmania</li>
</ul>
Currently, established and new properties can receive a $7,000 benefit for first time buyers.
For new properties, the First Home Builder Boost has increased since 7 November 2013 from $8,000 to $23,000, and applies until 31 December 2014. Those eligible for this would also be eligible for the $7,000 FHOG, bringing their total payment to $30,000.
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po-LsXgBTHBmX

Which state has the highest first home owner grant?

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First Home Saver Accounts are being phased out, with no new accounts being accepted and contributions to dwindle.
After this time, they will become regular accounts with the institution they were taken out with.
It wasn't a hugely popular product with our Big Four and across all those providing this product, 46,000 total accounts were recorded in December 2013, with $521.5 million held in the accounts collectively.
ME Bank's First Home Saver Account, one of the most popular, saw 24,000 take it up. With an average of $15,000 in these accounts, general manager asset products Luke Easton said that they were not involved in any discussions with the government around the product.
In fact, it appeared that those who had taken out First Home Savers Account with ME Bank had been largely positive about it.
Easton said that he's disappointed that discussions around how to improve these accounts did not occur, before the decision was made to get rid of it entirely.
"We've been happy supporting first home buyers," said Easton, noting the scheme worked well for those involved. "None of the majors picked up on the product, and we've found it a great opportunity."
One of the benefits that ME Bank account holders found with the product was the inability to touch the funds for the four year dutation - in effect, forcing them to keep it saved away from temptation - and the subsequent requirement that it be spent for the initial purpose, to buy a home.
Many of the account holders were said to be influenced by their parents, who had been made aware of them by their accountants. In turn, they had then helped their children to set up the accounts meaning that "by the time they're 23 or so, they are sitting on a nice nest egg," he said.
In fact, he told Property Observer that they've been considering creating a replacement product for these prospective first time buyers.
However, he said that it's early days and they're looking for feedback first before coming up with any finer details.
Currently, the ME Bank website notes that they're investigating the impact of the announced changes on customers and the pending applications.
It notes that applications received prior to 7.30pm on May 13, 2014, will still be honoured, and that the government will make 17% co-contribution on deposits for this financial year.
Due to the changes, they can no longer offer the account.
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ME Bank looks for an answer to scrapping of First Home Saver Accounts

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Across the country, numerous changes have been made to first home owner grants and whether you are eligible. Similarly, looking to move to a different state can change the amount of the grant you can achieve by thousands of dollars.
Other upcoming date changes can also have an impact.
Looking at the grants, several common eligibility factors remain in place. Usually, a spouse or de facto who already owns property stops you from being able to achieve the grant. Similarly, any ownership of your own can have an impact (note, however, that some states and territories allow previous ownership of investment properties in certain years). Residency is also usually required, for at least one of the de facto couple.
You will also be required to live in the property for a period of time within 12 months of completion - this is usually six months, however the trend has been to increase this to 12 months of continuous owner occupation.
You need to fill the form out in a timely manner, and be clear on whether the respective government uses settlement date or contract date as the important figure. If you're buying around a grant change, this becomes even more crucial.
Those who fail to fulfill these requirements can see themselves fined, along with being required to refund the grant.
Here are the grants current accessible by first time buyers, as per information available from the respective Office of State Revenues and Treasuries. Australian Capital Territory
First home buyers in the ACT can net themselves $12,500 after a grant increase from 1 September 2013. However, you will need to be buying a "new" or "substantially renovated" property worth $750,000 or less.
Those buying established properties have no available grant.
Those who want to get the FHOG will also need to stay in the property for 12 months upon completion of the dwelling - this is an increase from the previous six months.
For clarity, it's noted that new or substantially renovated properties include:
<ul>
<li>A home that has not been previously occupied or sold as a place of residence; or 
</li>
<li>A substantially renovated home that, as renovated, has not been previously occupied or sold as a place of residence; or 
</li>
<li>A property which is subject to an "off the plan" purchase agreement.</li>
</ul>
You have a period from exchange of contract to one year after either settlement or date of issue of the Certificate of Occupancy in which to claim the grant.
Owner builders can only lodge after the home has been completed.
Payment of the grant is usually then made within 10 days of lodgement.
First home owners who fulfil the requirements for the grant may also have the opportunity to defer their stamp duty.
New South Wales
First home buyers in New South Wales can currently net a $15,000 grant - however this will be reduced to $10,000 as of 1 January 2016. This grant is only available to those who buy a new home or build their home. The property's value must not exceed $650,000.
Their clarification of what falls under this bracket includes the following:
<ul>
<li>A home that has not been previously occupied, including occupation by the builder, a tenant or other occupant; 
</li>
<li>A home that has not been previously sold as a residence. Where the home is being purchased, it must be the first sale of that home; 
</li>
<li>A home that has been substantially renovated and a home built to replace demolished premises.</li>
</ul>
To access the grant, applications need to be lodged within 12 months of completion of settlement.
You must live in the property for a continuous six months within the 12 month completion date.
Duty exemptions are available for new properties, commencing from 1 January 2012, for properties valued up to $550,000 and concessions for those from $550,000 to $650,000.
Those buying vacant land will pay no duty on vacant land valued up to $350,000, and concessions from $350,000 to $450,000.
To be eligible, you must not have owned and occupied (for more than six months) a home in Australia after 1 July 2000, and you cannot have owned a property before this time.
Article continues on next page. Please click below.
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Northern Territory
First home buyers in the Northern Territory can see themselves given an extra $26,000, with established first time buyers not left out of the picture either.
From 1 January 2015, the First Home Owners Grant, however, will be redirected solely to first home buyers looking to buy or build a new home.
Currently, as of 13 May 2014, there exists a transaction eligibility threshold (in plain English, this essentially means that the property can only be worth up to a certain amount) for established properties only. Prior to this time, both were given a limit.
An established home is concerned one that has been "previously sold or occupied, and is lawfully fit for occupation."
A new home is considered one that has never previously been lived in or sold as a place of residence.
However: "To prevent anomalies, a discretion applies in limited circumstances to declare a home that has been previously sold, but not occupied, to be a new home."
It's slightly more complex for our first timers up north, however - the current eligibility threshold for established properties sits at $600,000.
From 13 May 2014 to 31 December 2014, a new home can bring in $26,000. Meanwhile, an established property in an urban area will be provided $12,000, and everywhere else will be given $25,000. The only material difference in grant money compared to 4 December 2012 - 12 May 2014 is an extra $1,000 for new homes (and threshold changes).
Urban areas basically means land that sits within the Darwin, Palmerston or Litchfield municipalities. It also covers Wagait Shire, the Darwin Waterfront Precinct, the "prescribed area" for the Darwin Rates Act and other areas potentially proscribed by regulation.
Since December 4, 2012, there has been no stamp duty concession for first timers.
Queensland
Queensland first time buyers, when purchasing new, can get themselves $15,000. Unfortunately, nothing remains for first time buyers who are purchasing established properties.
Their Great Start Grant was updated in 2012, previously being known as the First Home Owner Construction Grant and is available for all eligible transactions since 12 September 2012.
It is available for those buying new (or substantially renovated properties) or building a new home.
If you previously held any interest in residential property before 1 July 2000, even if it was an investment property, you're not eligible. Those who have had a property since - but used it solely for investment purposes and did not live in it - may be eligible. You'll need to give them tax return details, tenancy agreements and current electricity and phone accounts.
Grant applications are processed within 10 days of receiving the information.
Those looking to get the grant then must move into the property within one year of completion, and live there for six continuous months.
South Australia
South Australian first time buyers are currently eligible for a FHOG on both new homes and established homes - however, they will lose the ability to be given the grant on established properties from 30 June 2014.
The property value must not exceed $575,000.
For those buying a new home, since 1 January 2014 and until further announcements, $15,000 is achievable.
For those purchasing established homes, current $5,000 is attainable - dropping to $0 from 1 July.
If you previously held any interest in residential property before 1 July 2000, even if it was an investment property, you're not eligible. Those who have had a property since - but used it solely for investment purposes and did not live in it - may be eligible. You'll need to give them tax return details, tenancy agreements and current electricity and phone accounts.
After the property is built, you must then live in the property for six months commencing within 12 months of completion.
Off-the-plan properties may also be eligible for a stamp duty concession for a new apartment or substantially refurbisged apartment. Thisis for properties from 31 May 2012 to 30 June 2014, capped at the stamp duty payable on a $500,000 apartment (or $21,330). A partial concession will apply from 1 July 2014 to 30 June 2016.
The concession does, however, apply to specific areas as outlined on the Revenue SA site and associated maps.
Article continues on next page. Please click below.
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Tasmania
Currently, established and new properties can receive a benefit for first time buyers, with up to $30,000 available. As in many other states and territories, this is altering from 1 July 2014, and will see established home buyers lose the benefit. Established property buyers can currently get themselves $7,000.
For new properties, the First Home Builder Boost has increased since 7 November 2013 from $8,000 to $23,000, and applies until 31 December 2014. Those eligible for this would also be eligible for the $7,000 FHOG, bringing their total payment to $30,000.
To be eligible, you must not have owned and occupied (for more than six months) a home in Australia after 1 July 2000, and you cannot have owned a property before this time.
When you get the FHOG, you need to live in the property for a continuous six months within 12 months of the data that the certificate of occupancy is issued.
Victoria
Only new properties get first time buyers a grant in Victoria, as of 1 July 2013. A payment of $10,000 is available.
It is only available for properties that do not exceed $750,000 in value, apartment from properties on primary production land.
You must live in the property for 12 months continuously, within 12 months of settlement.
The reduction in duty is becoming increasingly attractive - initially, 20% was reduced on 1 July 2011, followed by 10% on 1 January 2013, 10% on 1 July 2013 and an upcoming 10% on 1 September 2014.
Western Australia
A grant is available for first time buyers of $10,000 for those purchasing or building a new home. This has been available since September 2013. Those looking to buy established may be able to net a $3,000 grant.
Eligible properties are to a limit of $750,000 , or $1,000,000 if located north of the 26th parallel. This cap was introduced in early-2010.
To be eligible, you must not have owned and occupied a home in Australia after 1 July 2000, and you cannot have owned a property and lived in it prior to 1 July 2004.
You must live in the property for a continuous six months within 12 months of completion.
An extra benefit for West Australian first timers is the Home Buyers Assistance Account, which can provide $2,000 in help. Essentially there for 'extra' fees around buying, such as solicitor fees and valuation fees, you must be buying a property for $400,000 or less. It must be an established or partially-built home.
You must live in the home for the first 12 months, purchase through a licensed real estate agent, have not owned property in Australia before and must have the loan financed through a lending institution. This $2,000 comes from interest paid on real estate agents' trust accounts.
First home owners also receive a discounted stamp duty rate. For properties with an established home, no duty is payable up to $500,000. After this bracket, $22.51 per $100 is payable. For vacant land, no duty is payable up to $300,000, and after this $13.01 per subsequent $100 is payable. For vacant land, you will need to pay this upfront and then retrieve a refund on receipt of the FHOG - once you have completed the build.
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The national guide to first home buyer grants

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In the middle of articles about Tinder, student actors, Asperger's Syndrome and book reviews an article called 'Gen rent' jumped out at me. I was reading Issue Two of Catalyst, the RMIT student magazine and I began reading with enthusiasm.
It discusses Sarah (her name "changed for privacy reasons"), a Gen Y who has purchased a unit and lives with her parents while repaying the bank and renting the property out.
Later in the article AHURI director Wendy Stone discusses that there's no typical way of becoming a home owner, and points to it being time for "lateral solutions to housing issues" and adaptive behaviours, whereby siblings and friends purchase together. She notes that "... young people should definitely think creatively with each other" on how to get into property. An interesting discussion itself.
And then writer Alan Wedon gives the floor to "Sarah", where the following is written:
She also says Gen Y is being pushed out of home ownership by Baby Boomers, who have a greater capacity than in previous decades to invest in private home ownership - driving house prices up even further.
"It's a wicked problem really," she says. "Because as well as competing against investors, wealthy retirees and other first-home buyers for housing, members of Gen Y are also forced into competing with each other in the private rental sector.
Anger, it may appear to those new to the debate, is rampant among FHBs. Affordability is a numbers issue, and one discussed heavily on Property Observer. But attitude is another issue entirely, and the attitude from those who are interested in getting into the market is fascinating.
A comment in mX had me saving it a while back (pictured below), and it reflected the above sentiments almost to the word.
<img src="/images/2014/04/10/jd-tear-out-youngergen-april-10-two.png" alt="">
Source: mX - Vent your spleen 
I'm assuming, hoping, that the above is satire. But if we're at the point where someone can satirize in a non-property related publication about the anger and blame coming from first home buyers, then it's worth noting.
With the news that the Abbott government has <a href="/expert-insights/investing/first-home-saver-accounts-scrapped-what-now">scrapped the First Home Saver Accounts scheme</a> in its first federal budget, many account holders have understandably been left confused about what will happen to their money.
But should we be blaming the older generations and investors for ruthlessly pushing up prices? And, shoe on the other foot, should we be slamming first home buyers for being too picky and swanning off on European holidays one time too many?
Blaming other people is completely human and, for that reason, spills into property. In the same way that some like to violently blame foreign investors for facing off against the battlers, which I have not been able to see myself at a single auction, the younger generation likes to blame the older generation for pushing up house prices. And the older generations like to blame the younger generations for being far too selective.
As Terry Ryder has previously written for us, and discussed with myself, <a href="/expert-insights/investing/the-problem-with-first-home-buyers-isnt-affordability-its-expectations">the 'real' questions around first home buyers are not being asked</a>.
He says that the real questions we should be asking include the following:
<ul>
<li>Why do you think you can't afford to buy? 
</li>
<li>Have you tried to buy? 
</li>
<li>Where have you looked? 
</li>
<li>Are you willing to compromise to get into the market?</li>
</ul>
 
Compromise - the 'c' word that no one wants to hear. It relates not only to compromising on where and what you buy, but potentially also your lifestyle. Those who claim our parents never had to do these things are sorely mistaken. Speaking of the UK market, and then the Australian market, my parents tell stories of keeping the heating off in the coldest English winters and eating chilli-con-cabbage to afford their property as young 20-somethings. There's no shame in this, and I have huge respect for them for managing to raise us simultaneously. Whether or not you must compromise more now if you want to get into property is debatable, but the reality remains that if you're not born into a wealthy family (who are then willing to provide you funds) and if you don't immediately step into a high income earning role (if you ever get to this position) then compromise is going to be a requirement.
A conversation I had recently with someone looking to buy their first home so they could move out together, revealed that they were looking for an apartment within the inner ring of Melbourne, in a few choice desirable suburbs that they listed to me. They were not looking for something new, necessarily, but well-presented and sizable, preferably with a car space. Fair enough.
But then they were finding themselves quickly outbid by "older people" when they attended at auction. They expressed frustration with the process. I suggested that they look further out west and ignore Melbourne's city, suggesting that in parts of Melbourne's west (and we're talking past Rockbank) there are house and land packages for four-bedroom, two-bathroom houses on around 600 square metres of land for a sum amazingly less than that. Not to mention the established property market, where three-bedroom, one-bathroom houses for around the $200,000 to $300,000 bracket.
The reasons for saying "no" without even a Google, was not due to the slow capital growth prospects, which are of course an issue, but because the area is "too far out" and they "like" the area they're look at.
I had a painfully similar conversation with someone who was looking to buy in the Eastern suburbs, but was then told that Melbourne's west was too far from their friends and family, and from work. It's 35 to 45 minutes on one train from Southern Cross Station. I happen to live in one of these areas, and do so because it's cheaper - not because it's my dream area to live in.
This, to me, sounds as though it answers those clarification questions.
But it doesn't mean Generation Y is full of whingers, or picky - and, indeed, not all of them even want to own property - much has been said on the demographic shift we're seeing. Plenty of those who are prospective buyers are completely prepared to "wait it out" until they find the property that suits them. Others will eventually consider suburbs further out, or they'll buy something smaller that needs doing up. Or, they might not want to rent in the first place.
I discussed with Charles Tarbey, the chairman of Century 21, his first property. He told me it was a run-down property in a rough area of Sydney's west that still has a bit of a bad reputation today. It did grow in value, he sold it, and he used the profits to help open his first real estate agency.
Those who say buying a first home isn't hard are mistaken - a deposit even on a "cheapie" property is not an easy achievement. However, we do have an issue on both sides of the fence about blaming other generations for their own individual problems. It's far too easy to ignore the reality - that for those who are not wealthy, it has never been easy to purchase a first home and it will require a great deal of compromise one way or another.
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Letter from the editor: FHBs, if you're not wealthy you will have to compromise

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With the news that the Abbott government has <a href="/expert-insights/investing/first-home-saver-accounts-scrapped-what-now">scrapped the First Home Saver Accounts scheme</a> in its first federal budget, many account holders have been left confused about what will happen to their money.
Under the scheme, the government made a co-contribution of up to $1,020 on the first $6000 savers deposited each year. Account holders were also entitled to tax concessions but had restrictions on when they could access their money, which was only to be used for a payment on their first home. Before the budget changes, if savers wanted to withdraw the money in their First Home Saver Account, they had to meet a number of requirements.
Firstly, they had to contribute at least $1,000 a year to the account for at least four (non-consecutive) years, and they had to hold the account for at least four years. Even then, the money could only be withdrawn to pay for a home, unless you wanted to wait until you were 60 years old to access the money directly.
While the proposed budget changes have not been passed by Parliament, it doesn’t look likely that the Opposition will attempt to save the scheme.
If you hold a First Home Saver Account or were thinking of opening one, here’s what you need to know.
<ol>
<li>Accounts opened after 7:30pm on Tuesday 13 May will not be entitled to the government co-contribution or tax concessions. 
</li>
<li>Government co-contributions will now only be earned on deposits made until 1 July 2014. You will still receive your maximum co-contribution of $1,020 if you deposit $6000 for the 2013-14 year, but any deposits made after 1 July this year will not receive a co-contribution. 
</li>
<li>No more tax and social security concessions after 1 July 2015. For the 2013-14 and 2014-15 years any interest you earn on your accounts will be taxed at 15%, but after that, you will be taxed at the usual rate for your earnings. 
</li>
<li>Restrictions on withdrawals will be removed after 1 July 2015. First home savers accounts will be totally abolished on 1 July 2015. Treasurer Joe Hockey said, "As of 1 July 2015, account holders will be able to withdraw their account balances without restriction. Once the First Home Saver Accounts scheme is abolished from 1 July 2015, these accounts will be treated like any other account held with a relevant provider." This seems to mean that as of 1 July 2015, you can use the money in your First Home Saver Account for any purpose you like.
</li>
</ol>
To get more clarity on the status of your First Home Saver Account, contact your bank. 
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jrichardson-uRX5hFdKfN

Four things you must know about the axed First Home Saver Accounts

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Housing affordability for first home buyers is a perpetually hot topic. Is there a problem with housing supply, or home buyer expectations? Has investor activity ruined the game for young buyers, or does Gen Y just need to learn how to save? 
While a lot of property commentators have something to say about the first home buyers issue, most bought their first home years ago. So Property Observer took the question to the experts: What would you purchase on a first home buyer’s budget?
To get an idea of what a typical first home buyer would have to work with, we took the Australian Bureau of Statistics’ average first home buyer loan size for March and added a 10% deposit. We arrived at the following budgets for our observers:
New South Wales: $352,880
Victoria: $325,710
Queensland: $317,680
South Australia: $275,440
Western Australia: $364,980
Tasmania: $233,420
Northern Territory: $377,200
Australian Capital Territory: $329,560 
Using the above price guides, four of our Observers have suggested properties on the market that they would purchase if they were first home buyers.
Read on to see what Hotspotting.com.au’s Terry Ryder, the Real Estate Institute of Western Australia’s David Airey, Allen Wargent’s Pete Wargent and iProperty Plan’s Mark Armstrong picked.
<hr class="system-pagebreak">
TERRY RYDER, FOUNDER OF HOTSPOTTING.COM.AU<img src="/images/authors/fullbody/Terry-Ryder.png" alt="" style="float: right;">
Terry Ryder says he would go for <a href="https://www.realestate.com.au/property-house-qld-edens+landing-116999987" target="_blank">this three bedroom home</a> (pictured below) at 16 Sandra-Ann Drive in <a href="/news">Edens Landing</a>, Queensland.
Listed at $329,000, it’s priced just a touch over our estimated average spend for a first home in Queensland of $317,000.
<img src="/images/2014/05/21/edens-landing-may-21-breakotu.jpg" alt="">
Ryder provided the following reasons for his pick:
<ul>
<li>Location in growth corridor between Brisbane and the Gold Coast.</li>
<li>Walk to train station, with links to Brisbane CBD and to the Gold Coast.</li>
<li>Easy access to Pacific Motorway and Logan Motorway.</li>
<li>Quiet, private residential area with solid standard of brick-and-tile housing.</li>
<li>Lots of choices of schools in the area.</li>
<li>Close to Beenleigh town centre.</li>
<li>Close to retail, including a new Bunnings and a new Woolworths.</li>
<li>Plenty of parkland and recreational choices in the area.</li>
<li>Area has a solid capital growth record, with strong rents and low vacancies.</li>
<li>House itself is low-maintenance with an entertainment area at the back (assuming we can trust the agents' blurb).</li>
</ul>
<img src="/images/authors/fullbody/Mark-Armstrong.png" alt="" style="float: right;">MARK ARMSTRONG, DIRECTOR OF iPROPERTY PLAN 
For a Victorian property, iProperty Plan director Mark Armstrong picked a <a href="https://www.realestate.com.au/property-apartment-vic-thornbury-116867983" target="_blank">top floor apartment</a> in Melbourne’s <a href="/news">Thornbury</a>, pictured below.
The one bedroom, one bathroom apartment tucked away from Kemp Street has a private balcony and a secure parking.
<img src="/images/2014/05/21/2.jpg" alt="">
Armstrong says that the picked the property “because first home buyers need to think like first home investors and look for property that will have strong capital growth potential."
“This property is within 10 kilometres of Melbourne and is walking distance to shops, transport, bars/cafes and parkland. The property is elevated and has plenty of natural light and privacy and would provide comfortable accommodation.”
Another one bedroom, one bathroom apartment in Thornbury <a href="https://www.realestate.com.au/property-apartment-vic-thornbury-116240195" target="_blank">sold last month for $310,000</a> (pictured below). 
<img src="/images/2014/05/21/3.jpg" alt="">
Read on for more first home buyer picks from our Observers on the next page.
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<img src="/images/authors/fullbody/David-Airey%2023.png" alt="" style="float: right;"> DAVID AIREY, PRESIDENT OF THE REAL ESTATE INSTITUTE OF WESTERN AUSTRALIA
Working with a budget of $364,980, Airey chose a <a href="https://www.realestateview.com.au/Real-Estate/15-moat-street-mandurah/Property-Details-buy-residential-7120661" target="_blank">three bedroom, one bathroom home in Perth’s Mandurah</a>, pictured below.
<img src="/images/2014/05/21/4.jpg" alt="">
“This property offers excellent value and lifestyle for a first time buyer,” says Airey.
“Although <a href="/news">Mandurah</a> is 80 kilometres from the Perth CBD, it has good freeway access and a fast commutable train service. Situated right in the heart of this seaside village, this property is just a short walk to the marina, shops, pubs, restaurant and cafe strip.
“At more than 800square metres, the block is perfect for raising a young family, growing some veggies or having a dog. It also offers good long-term capital growth. Although zoned as R20, there is plenty of space to add extra rooms in future or create an alfresco area out the back for entertaining.
“Mandurah is a city of 77,000 people and serviced with good schools, recreation and medical facilities. And all of this comes with a country lifestyle, a huge estuary for fishing and crabbing and cool ocean breezes in summer. A similar property on Perth’s northern beaches would be twice the price.
“The average annual growth rate in Mandurah over the last five years has been 0.0 per cent, as it struggled to recover from the market slump and GFC in 2008. However, REIWA data show that it achieved 3.4% growth in the year to December 2013, while more recent REIWA data indicates 7% growth for the March quarter this year. With recovery on the way, it’s a good time buy.”
<img src="/images/authors/fullbody/Pete-Wargent.png" alt="" style="float: right;">PETE WARGENT, DIRECTOR OF ALLENWARGENT
Pete Wargent recommended two <a href="/news">Blacktown</a> properties, to first home buyers, noting that the average first timer budget in Sydney is a little higher than the New South Wales average of $352,880.
<a href="https://www.realestateview.com.au/Real-Estate/blacktown/Property-Details-buy-residential-7073129" target="_blank">This two bedroom single level villa</a>, pictured below, is priced from $350,000.
<img src="/images/2014/05/21/5.jpg" alt="">
Blacktown is located 36 minutes by train from the city. “If the budget is tight,” says Wargent, “drop down a notch.” He suggests this single storey home at <a href="https://www.realestateview.com.au/Real-Estate/43a-177a-reservoir-road-blacktown/Property-Details-buy-residential-6933231" target="_blank">43A/177A Reservoir Road as a cheaper alternative</a> (pictured below).
<img src="/images/2014/05/21/6.jpg" alt="">
“For $300,000 or under, look for a modern two bedroom unit,” he says. For those who are after something within 20 minutes of the CBD, Wargent would pick a property close to <a href="/news">Campsie</a> train station, “with low strata fees on a quiet, pleasant, leafy street.”
“Entry prices in Campsie range from $230,000 for a quality studio apartment up to $380,000 plus for a two-bedder,” says Wargent.
“A short train ride to the city, Campsie has a buzzing central strip, is gentrifying apace and within a few years will be the new Marrickville.
“People scoff when you make such assertions but that’s a recurring theme in real estate. They said that the suburbs in London’s east end would never gentrify.
“Even half a decade ago people told me when I’d bought in in the inner west in <a href="/news">Erskineville</a> - three kilometres from Sydney CBD - the suburb would be a “ghetto”, and years before that when I bought in <a href="/news">Pyrmont</a>, which is adjacent to the city, that suburb would be a “future slum”.
"Wrong, and I believe they’ll be wrong again about Campsie.”
Our Observers came up with stand alone houses, apartments, and semi-detached homes as close as seven kilometres and up to 72 kilometres away from the capital city centres for their first home buyer picks. What would you buy on a first home buyer's budget?
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Exclusive: First home buyer picks from the experts

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Luci Ellis, the head of the RBA's financial stability department, hopes Australians can see an upswing in housing prices in the larger metropolitian centres and say, ‘I don't have to buy into that. I don't have to stretch my finances’.
Not that Australian household finances are looking too stretched at the moment.
"And we'd like to see it stay that way," Luci Ellis said.
Her speech to the CITI Residential Housing Conference noted that the 15 years to 2005 saw housing prices rise noticeably faster than incomes.
"This was in large part a transition to a new equilibrium of lower inflation and interest rates, and thus higher debt and housing prices relative to incomes. That transition is over now. Housing prices are therefore going to be cycling around a slower trend than they did in the past. There will be more periods where prices are falling a little in absolute terms," she said.
The means that there was "less scope for rising markets to cover mistakes if you fall in love with a property and overpay for it".
"It means there is little room for another round of property exuberance of the type we saw just over a decade ago, in 2002 and 2003. Australia managed to have its housing boom end without a major disaster. Plenty of other countries weren't so lucky.
"Usually it's the property developers that are the source of loan defaults and financial instability, not the households with mortgages. But an overstretched household sector is hardly a good environment to have if something should go wrong elsewhere in the economy.
"That is why the Reserve Bank and the Australian Prudential Regulation Authority (APRA) have emphasised loan serviceability so much of late."
She commented that lenders had become more sophisticated in the ways they assess households' capacity to repay mortgage loans.
"Most of them have moved beyond a crude approach of applying a blanket repayment-to-income test, more likely to take people's actual living expenses into account, not just some version of the Henderson Poverty Line. After all, it doesn't seem reasonable to expect people to have a poverty-level lifestyle to pay off a million-dollar home.
"Importantly, lenders are now more likely to apply an add-on to current interest rates when calculating the repayment they use in their serviceability tests. 
"It's fair to say that serviceability calculations are binding for first home buyers and less binding for trade-up buyers and investors. So it's no surprise that as interest rates have fallen, it's the trade-up buyers and investors whose demand has increased.
"Meanwhile first home buyers will feel squeezed out. This is probably more a cyclical phenomenon than a structural one. It is still probably quite disheartening for potential first home buyers.
"As such, it would not be a good outcome if they responded by overstretching themselves to try to get into the market during upswings."
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jchancellor-FAypfDUnLy

Disheartened FHBs warned not to overstretch home loan borrowings: RBA's Luci Ellis

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The First Home Saver Account scheme was one of the Rudd government initiatives axed in the Abbott government’s first federal budget.
Under the scheme, First Home Saver Accounts were given concessional tax rates and government co-contributions. Despite offering a concessional tax rate of 15% on interest earned in the accounts and awarding 17% co-contributions on the first $6,000 deposited by savers each year, the scheme failed to attract many savers preparing to purchase their first home.
The scheme’s low take up has been attributed to poor marketing and the regulations attached to the accounts. In order to qualify for the benefits, savers needed to deposit a minimum of $1,000 a year over four years before they could withdraw any money in the account. If the money was not used for a payment on a saver’s first home, it was added to their superannuation account.
Any new accounts created after 13 May will be ineligible for tax concessions or co-contributions. Existing accounts will not receive any co-contributions after 1 July 2014. National tax director of professional services firm BDO Lance Cunningham says that the government has begun winding down the scheme.
“It’s basically been abolished but with a phase out, so that from budget night you won’t be able to open any more new accounts. But for existing accounts, the co-contribution will cease from 1 July 2014.”
Savers who hold existing accounts will be able to receive co-contributions for deposits made in the 2013-14 financial year up until July.
“Be careful, it’s only a budget announcement,” says Cunningham. “But it seems to be fairly clear that if you make contributions before July this year, the co-contributions will be honoured.
“If you haven’t reached the co-contribution cap, which I think is about $6000, you might consider depositing more money in the next month to receive your co-contribution.”
Although co-contributions will end on July 1 this year, tax concessions will continue for another year.
“The tax concessions will still be available up until July 2015,” says Cunningham. “They will still be treated as First Home Saver Accounts, but the concession ceases after that date. After July 2015, they will be treated as any other account.”
Savers who have held their existing accounts for less than the four year period will have to wait until 1 July 2015 to withdraw their savings.
Steven Gunzburg is a 26 year old account manager who holds a First Home Saver Account. He says that though he understands why the scheme is being scrapped, it provided good incentives to save.
"I was contributing the maximum amount, which increased over the past 3 or 4 years, every year." 
"Mainly it was a fantastic way to incentivise people to think about saving from a much earlier age. There’s no way in the world that it’s going to make the vast majority of my deposit, but it helps you get into the right mindset."
Gunzburg opened his account when he was 18 or 19, after his mother explained the benefits of the scheme.
"My mum actually found out about it, explained it to us and I begrudgingly put quite a reasonable amount of my money into the account," he says. But Gunzburg says that the scheme had its downsides.
"Part of the problem with the scheme was that it was so complex and convoluted, it was incredibly hard to understand when and how you could access your money."
When the scheme was announced in 2008, the Rudd government predicted that 750,000 First Home Saver Accounts would be opened over the next four years. However, as of December last year, only 46,000 accounts had opened.
Late last year, <a href="/expert-insights/calls-for-urgent-revision-of-first-home-saver-account-scheme">comparison website RateCity called for changes to the scheme</a>. Chief executive Alex Parsons said that at the time, none of the “big four” banks offered the accounts.
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First Home Saver Accounts scrapped: What now?

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You’re sitting around a table with friends one night, downing a couple of glasses of red. The conversation turns to property investment, and how hard it is to get into the market. Emboldened by the wine, someone suggests beating the affordability barrier by pooling your resources and buying a property together.
In principle, it’s a great idea. By clubbing together, you’ll be able to afford a better quality investment property than you could as individuals. What’s more, your individual share of the mortgage is likely to be smaller than if you’d purchased on your own, which gives you more room to breathe financially.
Buying with friends can work well — provided that everyone has clear and consistent expectations before entering into the arrangement. It’s wise to draft a written agreement covering the key aspects and likely eventualities of the arrangement. You can do this yourselves, however it can be a complex undertaking so it may be best to see a solicitor with a specialist knowledge of contracts.
One of the most important considerations the agreement should cover is how long you intend to hold the property. Is this a short-term proposition, e.g. three to five years, or a long-term commitment?
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Remember, if you're planning on buying with friends you are entering a business deal, not a social arrangement.
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Ideally, you should hold residential investment property for at least seven to 10 years to ride out market fluctuations and make the most of compound capital growth. However, even with the best of intentions, unforeseen changes in the lives of the owners means there may come a time when it’s no longer appropriate or viable for one of them to continue the arrangement.
For this reason, the written agreement should address a range of possible life changes. For example, what will happen when one owner wants to sell their share of the property and free up funds to buy a home of their own to live in, start a family, or return to full-time study? What if one owner wants to buy the others out? How will the price be determined? What will happen if one owner loses their job, can’t work due to illness or injury, or dies?
The agreement should cover the dollar amount each person will commit to the investment, and the ownership split in percentage terms. It’s also worth including a reference to the terms of the contract you and your friends have with the lender. If you are borrowing money for the purchase, the lender will consider each of you ‘jointly and severally liable’ for the debt.
In other words, if one of you is unable to meet your repayments, the lender can hold the other borrowers liable for your share of the debt, and can take action to recover it from them.
To minimise this risk, each borrower should take out the relevant insurances such as life insurance and income protection insurance which will help cover their financial commitments in the event of illness, injury or death.
Your agreement should also detail nuts-and-bolts issues such as who will have responsibility for day-to-day management of the property.
Who will deal with the lender or broker, liaise with the property manager and (if relevant) Body Corporate? Who will ensure that council rates bills, insurance premiums and maintenance fees are paid on time and in full? If you have to make an insurance claim and you find out your policy has lapsed, no-one wants to hear the fateful words: “I thought you were handling that.”
The written agreement should also detail the procedure to be followed if there is a dispute amongst the owners. Whilst this may sound a little rigid or over-the-top (after all, you wouldn’t be buying with them if you didn’t think you could resolve problems) it’s important to look at the agreement in the cold light of day.
Remember: you are entering a business deal, not a social arrangement. The shared values and common interests that bind you together as friends won’t necessarily translate to a business environment.
When you buy with friends, you may benefit initially by spending less than you would on your own, but you also carry a greater risk of the venture failing due to conflicting expectations about managing change.
There’s little point risking a friendship over money—so for everyone’s sake, agree on the terms of the deal, put it in writing and then get on with business. This way, you’ll not only stand to gain financially, but maintain your friendship as well. 
Mark Armstrong is a director of <a href="https://www.ipropertyplan.com.au/">iProperty Plan</a>, which provides independent analysis and tailored advice to investors and home buyers.
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