Malaysian developer <a href="https://www.apartments.com.au/developers/s-p-setia">SP Setia</a> is the latest to jump into St Leonards booming Transport Oriented Development precinct.

The developer, which has previously delivered Sapphire by the Gardens apartment development in Melbourne, identified the Atchison Street site in 2023. It filed a Scoping Report around 12 months ago, and now has revealed the designs for the new&nbsp;40-storey mixed-use tower.

The State Significant Development Application covers <a href="https://next-portal.urban.com.au/projects/14650/summary">20-22 Atchison Street</a>, a 1,374 sqm site positioned between St Leonards Station and the new Crows Nest Metro station.

Designed by <a href="https://www.apartments.com.au/architects/cox-architecture">COX Architecture</a>, the project would deliver 181 apartments, above a four-storey commercial podium, five basement levels, and new public domain works along Mitchell Street. The apartment mix comprises 35 one-bedroom apartments, 39 one-bedroom-plus-study apartments, 85 two-bedroom apartments, and 22 three-bedroom residences.

The proposal has been lodged as a shop-top housing development under the NSW Government’s TOD planning pathway, which allows increased density around key transport infrastructure. The site sits within the recently rezoned Crows Nest Accelerated TOD Precinct.

<img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="b799673d-48e2-46b0-801a-0e33a9330100" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/atchinson%20site.png?VersionId=dPh0UfwfaHpbFL1R7H1cbZNbIW0CHbCC" />

SP Setia acquired the Atchison Street site as part of its continued expansion into the Australian apartment market. In comments made to City &amp; Country (The Edge Malaysia) in 2023, SP Setia President and CEO Datuk Choong Kai Wai described the acquisition as “a strategic move” aligned with the group’s post-pandemic market recovery strategy.

“Our target for this exceptional development is local and overseas buyers, including first-home buyers, downsizers and investors,” Choong said.

The tower has been designed as a slender vertical form rising from a mixed-use podium, with COX Architecture positioning the development as a response to the evolving St Leonards and Crows Nest skyline.

“The purpose of the project is to facilitate the delivery of high-quality housing at a strategically located site and deliver a built tower outcome that is consistent with the desired future character of St Leonards and aligns with the TOD controls,” the design report stated.

<img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="b1a85eee-76f7-436c-a6da-73ba827b9b13" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/atchinson%20entry.png?VersionId=dA9jHGPMcm.dDbwk4QfxqWiY5bfh3UVt" />

The podium would incorporate retail uses fronting Atchison Street, commercial tenancies, landscaped communal areas, and pedestrian improvements along Mitchell Street. Vehicle access and loading would be consolidated via Atchison Lane.

Residents would have access to more than 665 sqm of communal indoor and outdoor spaces, while the development proposes 96 parking spaces across five basement levels.

The proposal also includes a commitment for 10 per cent of residential floor space to be allocated toward affordable housing through a monetary contribution.

COX said the tower form responds directly to the emerging high-density character of the precinct while seeking to maximise solar access, cross ventilation, and outlook from apartments.

<img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="2163f85c-f63b-4be3-aafa-f8763976cec5" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Article%20Feature%20Image%20%28Grid%29_5.png?VersionId=WiAmtIKJ6.ZQ41EtYEQ1fol7AeorKBlL" />

“The building is orientated towards north,” the Apartment Design Guide compliance report noted, adding that the tower’s slim form was driven by the constrained inner-urban site dimensions.

The design also incorporates landscaped setbacks and communal open space at podium level, intended to soften the interface with surrounding streets and improve pedestrian amenity.

The project adds to a growing wave of redevelopment proposals reshaping St Leonards and Crows Nest following the opening of the Sydney Metro City line and the NSW Government’s push for higher-density housing around major transport nodes.

Last week Stockland filed plans just down the road. They want to build a <a href="https://www.apartments.com.au/new-apartments/601-pacific-highway-st-leonards-nsw-2065">52-storey tower on Pacific Highway</a>.

Read more:&nbsp;<a href="https://www.apartments.com.au/news/nsw/first-look-stockland-plans-52-storey-538-apartment-st-leonards-tower">First look: Stockland plans 52-storey, 538-apartment St Leonards tower&nbsp;</a>

Joel Robinson

First look: SP Setia targets St Leonards skyline with 40-storey TOD tower

<a href="https://www.apartments.com.au/developers/urban-property-group">Urban Property Group</a> has revealed plans for a new mixed-use tower at 10 Dangar Street, Wickham, advancing a proposal that would reshape the southern gateway to Newcastle’s city centre with one of the city’s tallest residential buildings.

The State Significant Development proposal, now on exhibition, seeks approval for a <a href="https://www.apartments.com.au/new-apartments/bowline-10-dangar-street-wickham-nsw-2293">43-storey tower</a> immediately adjacent to the Newcastle Interchange. The project would deliver around 200 apartments, including 42 affordable housing dwellings, alongside 99 co-living units, a 171-room hotel, retail space, and new public domain integrated through the site.

The scheme marks a significant escalation of plans previously approved for the site. Urban Property Group took over the prominent 2,904 sqm parcel, where excavation and demolition had already commenced under an earlier consent for a 14-storey mixed-use development.

<img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="58a96dd9-407f-4d20-86b4-94e4bfeef74b" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20podium.png?VersionId=LGlf08pdFGAZDzvx_CXC4XakHNZRuEE0" />

Designed by <a href="https://www.apartments.com.au/architects/sjb-architects">SJB</a>, the tower has been conceived as a landmark transit-oriented development anchored to the Newcastle Interchange precinct. The proposal includes 245 build-to-sell apartments across a mix of one, two, and three-bedroom residences, as well as two penthouses. Fifteen apartments and one operational unit are earmarked for NDIS housing. The co-living component would add a further 99 units, while the podium would accommodate retail uses and hotel facilities.

SJB said the site presents “a valuable opportunity to anchor the precinct by setting the standard for design, active ground planes and character at the key southern gateway.”

The architecture responds directly to the site’s position beside major transport infrastructure and within one of Newcastle’s fastest-evolving urban renewal precincts. The tower form sits above a sculpted podium designed to frame new public spaces, including a through-site pedestrian link connecting Station Street to Hannell Street, landscaped plazas, and activated retail edges.

<img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="a7bd6ff0-f7db-4ce8-a6dc-ea56e72c6149" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20lanne.png?VersionId=xzf39VADyhj7zBQY2I9fx9vI62u2tuSb" />

The design report describes the project as part of the broader transition of Wickham into “a vibrant, high-quality mixed-use urban precinct” that leverages proximity to the station, open space, and regional connectivity.

A detailed public art strategy has also been prepared for the development. The strategy positions the project as “a transit-oriented development of state significance at the gateway to Newcastle’s city centre” and outlines a series of integrated artworks responding to Newcastle’s industrial and transport heritage.

Creative Road’s curatorial framework for the project, titled Unveil, draws on “stratified surfaces, carved volumes, and light-filled apertures” while referencing Newcastle’s transformation from an industrial city into a contemporary education and technology hub.

<img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="77a882bb-14b1-4d28-99ff-9438e39508c0" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20site.png?VersionId=cevgo_vN0eKPK78P8YcEu3mKPLkpFqE7" />

The proposal is being advanced through the NSW Housing Delivery Authority pathway after being declared State Significant Development in June 2025. The accompanying scoping report states the development aims to “maximise the site’s proximity to the Newcastle Interchange by delivering transit-oriented development” while increasing housing supply and affordable housing provision within the Newcastle LGA.

Urban Property Group’s plans align with the long-term strategic vision established under the Wickham Master Plan, which identified the interchange precinct as suitable for substantial uplift in height and density. The current proposal would significantly intensify that vision, positioning the tower among the tallest developments proposed for Newcastle.

The site sits immediately north of the Newcastle Interchange, bounded by Dangar Street, Hannell Street, and Charles Street. It is surrounded by a rapidly growing cluster of residential towers and mixed-use projects that have emerged following the completion of the light rail and transport interchange.

First look: Urban Property Group unveils Newcastle’s latest tower at Wickham interchange

Bottega House has completed settlement of a landmark riverfront site in Macquarie Street, St Lucia, representing its first major Brisbane development.&nbsp;

Positioned on the banks of the Brisbane River, the <a href="https://www.apartments.com.au/new-apartments/180-macquarie-street-st-lucia-qld-4067">premium site at 180 Macquarie Street</a> features uninterrupted river frontage in one of Brisbane’s most tightly held residential precincts.&nbsp;

The proposed development, currently under assessment with Brisbane City Council, has been designed by <a href="https://www.apartments.com.au/architects/plus-studio">Plus Studio</a> with interiors by <a href="https://www.apartments.com.au/interior-designers/mim-design">Mim Design</a> and will deliver a boutique collection of premium residences positioned specifically for owner occupiers and downsizers.&nbsp;

The residences are set to redefine luxury apartment living in the area, with a focus on architectural quality, refined finishes, landscape integration and elevated amenities including curated wellness facilities, resort-style pools and recreation spaces rarely seen in the local market.&nbsp;

Exclusive sales for the project will be led by Keenan &amp; Byrne, ahead of an anticipated launch later this year.&nbsp;

Bottega House Managing Director Nick Malloch said the project reflects the group’s ambition to deliver a highly curated residential offering within one of Brisbane’s most tightly held precincts.&nbsp;

“This is an incredibly rare riverfront opportunity and one we have approached with a long-term perspective,” Malloch said.&nbsp;

“Our vision from the outset was to create a boutique collection of residences that feel more like private homes than traditional apartments, with generous proportions, refined finishes and exceptional amenity throughout."

Malloch says there is a&nbsp;lack of premium owner-occupier stock of this quality in the market, particularly for downsizers wanting space, privacy and a true lifestyle offering without compromise.&nbsp;

"Demand is expected to be strong given the scarcity of premium riverfront opportunities of this nature within Brisbane’s inner-west."&nbsp;

Bottega House secures landmark riverfront site in St Lucia 

<section data-scroll-anchor="false" data-testid="conversation-turn-6" data-turn="assistant" data-turn-id="request-WEB:84a2af5e-d7cf-4ddf-922a-f4d44d6c6caa-2" data-turn-id-container="request-WEB:84a2af5e-d7cf-4ddf-922a-f4d44d6c6caa-2" dir="auto">
<section data-scroll-anchor="false" data-testid="conversation-turn-2" data-turn="assistant" data-turn-id="request-WEB:5a5ab36c-8dd3-454c-b456-c501f22f0eb4-0" data-turn-id-container="request-WEB:5a5ab36c-8dd3-454c-b456-c501f22f0eb4-0" dir="auto">
The arrival of the first piling rig officially marks the commencement of construction at SIERA’s new beachside apartment development, Exhale, in Northcliffe.

<a href="https://www.apartments.com.au/new-apartments/exhale-surfers-paradise-8-enderley-avenue-surfers-paradise-qld-4217">Exhale</a>, a glass-encased tower featuring 54 large-scale apartments at 8 Enderley Avenue, is SIERA’s third Gold Coast development. It follows the recently completed PIPIS Bilinga beachfront project, which achieved suburb-record prices, and the soon-to-be-completed Chevron Island development, Tapestry.

[smartcode_project:default project_id=112661 project_image_fid=359603]

<a href="https://www.apartments.com.au/developers/siera">SIERA</a> Founder and Managing Director Brent Thompson said the arrival of the piling rig represented a significant milestone for the development, which is scheduled for completion in late 2028.

Over the next month, around 260 piles are expected to be installed as work progresses on the basement structure. The building is anticipated to rise above ground level early next year, before unveiling its sculptural glass curtain wall, developed in collaboration with specialist façade engineers.

“The façade was designed to maximise panoramic coastal views while creating a distinctive architectural identity,” Thompson said.

[smartcode_project:default project_id=112661 project_image_fid=355935]

Designed by BDA Architecture, Exhale will comprise just 54 two- and three-bedroom residences across 26 levels, a level of low-density living rarely delivered in this beachside pocket between Surfers Paradise and Broadbeach.

The project has been conceived as a resident-only building, with no short-stay accommodation permitted. SIERA says the model is intended to appeal to long-term owner-occupiers rather than transient holiday demand.

[smartcode_project:default project_id=112661 project_image_fid=361052]

Residences have been designed with large-format layouts and expansive glazing, with most apartments featuring more than 30 metres of glass frontage to maximise natural light and ocean views.

The amenity offering spans two levels and centres on wellness and lifestyle, including a heated magnesium pool, sauna, yoga and Pilates studio, gymnasium, private dining facilities, cinema lounge, and dedicated surfcraft storage.

[smartcode_project:default project_id=112661 project_image_fid=359607]

More than half of the apartments have already sold. SIERA has also opened a sales gallery for Exhale at its Chevron Island commercial premises, near its Tapestry tower and the site of its second Chevron Island apartment development, which is slated to launch in early 2027.
</section>
</section>

[smartcode_project_cta:default project_id=112661]

SIERA kicks off construction at Northcliffe tower Exhale

Local Little Bay residents, along with buyers from premium postcodes across Sydney’s affluent Eastern Suburbs, have dominated purchases in developer-builder Urban Property Group’s first Eastern Suburbs apartment development, <a href="https://www.apartments.com.au/new-apartments/este-little-bay-jennifer-street-little-bay-nsw-2036">ESTE Little Bay</a>.

The $250 million coastal project, one of the first new developments in the area in several years, has proven particularly popular with downsizers, especially those from Coogee and Bondi. One Double Bay downsizer paid $4.7 million for a four-bedroom penthouse, setting a new local apartment price record in the process.

Buyers have been attracted to the combination of coastal tranquillity, premium design and amenity-rich neighbourhood living. The walkable village setting, along with proximity to three of Sydney’s leading golf courses, New South Wales Golf Club, St Michael’s Golf Club and The Coast Golf Club, has also been a key drawcard.

[smartcode_project:default project_id=112343 project_image_fid=352689]

Built across two low-rise buildings designed by <a href="https://www.apartments.com.au/architects/hill-thalis-architecture-urban-projects-pty-ltd">Hill Thalis</a> and set along a lush, landscaped green spine, designed by leading landscape architect <a href="https://www.apartments.com.au/landscape-architect/arcadia-landscape-architecture">Arcadia</a>, ESTE Little Bay offers a collection of one, two, three and four-bedroom residences with interiors by Richards Stanisich.

<a href="https://www.apartments.com.au/developers/urban-property-group">Urban Property Group</a> Sales Director, Tom McIvor said the response to ESTE has been "nothing short of extraordinary."

“Buyers have been quick to recognise ESTE as a rare opportunity to invest in a coastal sanctuary that offers both seclusion and connectivity to the heart of Sydney,” McIvor said.

[smartcode_project:default project_id=112343 project_image_fid=352687]

<a href="https://www.apartments.com.au/project-marketer/srm-residential">SRM Residential</a> Senior Director, <a href="https://www.apartments.com.au/project-marketer/srm-residential">Clayton Ross</a> said the local market has responded incredibly well, driven by ESTE’s exceptional location and the rarity it offers.

“We’ve seen strong interest from a variety of buyer groups, all of whom are drawn to the exclusivity and quality of the build and construction by the 4.5-star iCIRT-rated builder / developer, Urban Property Group. There’s truly nothing else like it along Sydney’s coastline.”

[smartcode_project:default project_id=112343 project_image_fid=352690]

The project also includes robust buyer protections, including Resilience Insurance’s Latent Defects Insurance, providing 10 years of structural cover, and an independent iCIRT-rating of the developer.

“The iCIRT-rating adds another layer of confidence,” Ross added. “Buyers see it as a safeguard for their investment and their lifestyle.” A highlight of ESTE’s offering is its exclusive wellness amenities, including a heated rooftop infinity pool and outdoor heated spa, a state-of-the-art Technogym fitness centre, and a sauna.

<a href="https://www.apartments.com.au/new-apartments/este-little-bay-jennifer-street-little-bay-nsw-2036">ESTE Little Bay</a> is topped out and is on track to complete towards the end of 2026, with residents moving in before Christmas.

[smartcode_project_cta:default project_id=112343]

Eastern Suburbs buyers snap up ESTE Little Bay apartments

Home Loans

<html><body>
Credit growth was anaemic in mid-2019, with housing weak in the wake of the sharp downturn and with business hitting a soft spot around the time of the Federal election.
More forward to August and credit growth remains weak despite the lift in new lending for housing in response to interest rate cuts. The reason for this apparent puzzle is that mortgagors repayments take a little time to adjust to the lower rates - as discussed below.
Total credit grew by 0.2% in the month of August, matching the average monthly outcome for the year to date. The mix was: housing +0.17%; business 0.2%; and personal -0.2%.
Annual credit growth has slipped below 3.0%, to 2.9% in August - the softest outcome since mid-2011.
Credit growth has progressively eased since expanding by 6.6% in 2015, with growth moderating to 5.6% in 2016, +4.8% in 2017 and +4.3% in 2018.
Key to this trend has been the housing sector. Housing credit growth has moved lower over recent years: from 7.4% in 2015; 6.3% in both 2016 and 2017; to 4.7% in 2018. The latest annual reading is 3.1%, the weakest in the history of the series (dating from the late 1970s) - the previous low was 4.4% in 2013.
In 2018, the housing sector downturn accelerated as lending conditions tightened further and as investors pulled-back. New lending contracted by 5.8% in the six months to June and then fell by a sharp 15% in the six months to December. The downturn broadened to owner-occupiers, with finance to this segment 2% lower in 2018H1 then down 14.3% over 2018H2.
More recently, new lending for housing has turned the corner - with a rebound in June and a jump in July. Sentiment has bounced following the May 18 Federal election, with the return of the Coalition government. The RBA lowered rates in June and again in July, with additional cuts likely, and APRA has eased mortgage serviceability assessments.
A lift in new lending will see housing credit growth strength over the coming months. However, over the past three months, housing credit has been choppy with repayments yet to be adjusted in recognition of the lower interest rates. That means that principal is being repaid more quickly - which acts to slow credit growth.
Momentum in housing credit, the 3 month annualised growth pace, is 2.5% currently, moderating from 6.7% in mid-2017. By segment, 3 month growth is 4.4% annualised for owner-occupiers and -0.9% for investors.
Turning to business credit, this grew by 3.4% over the past year, up from 3.0% for 2017 but still representing a moderation from gains of 6.4% in 2015 and 5.4% in 2016.
In 2019, business credit has hit a soft spot, with growth slowing to 2.1% annualised over the past 6 months. A key was the temporary impact of additional uncertainty around the time of the May Federal election. This mirrors the experience of the July 2016 Federal election.
At the same time, the economic backdrop has become more challenging, the global economy is slowing and domestically household spending is soft. In this environment business investment in the real economy has lost momentum across the non-mining sectors - which will tend to weigh on credit growth.
ANDREW HANLAN is a senior economist for Westpac
</body></html>

j.ballantyne1990-6AQqhLzZaK

Credit growth anemic in mid 2019: Andrew Hanlan

<html><body>
The risks associated with natural disasters for home loans and house prices in Australia are increasing due to the growing frequency of such events, according to the latest report from Moody's Investor Service.
In their report they found this development is credit negative for Australian residential mortgage-backed securities (RMBS) because it can lead to higher delinquencies and losses in the mortgages backing the deals.
However, the extent of mortgage delinquencies and losses caused by each individual natural disaster is likely to be moderate, given the geographic diversity of RMBS mortgage pools, insurance payouts and financial relief offered by lenders and governments.
Frequency of natural disasters is rising, increasing risks for home loans and RMBS.
Natural disasters can disrupt economic activity and therefore reduce borrowers' incomes, which can in turn lead to mortgage delinquencies and losses.
They can also result in significantly lower property values in affected areas.
Click to <a href="https://www.propertyobserver.com.au/images/2019/9/23/Disaster%20RMBS%202.JPG" target="_blank">open in new window</a>:
<img src="https://www.urban.com.au/images/2019/9/23/Disaster%20RMBS%202.JPG" alt="">
Natural disasters hurt the home loan sector, but the impact is moderate and temporary. After recent natural disasters, mortgage delinquencies increased by only moderate amounts.
One example they cited was that shortly after cyclone Debbie, which hit Queensland in late March and early April 2017, the 30+ day delinquency rate for home loans that were in disaster-hit areas and part of the mortgage pools of RMBS  rate increased to 2.3% after the disaster from 2.0% before the event, and dropped to 1.9% eight months afterwards.
Click to <a href="https://www.propertyobserver.com.au/images/2019/9/23/Disaster%20RMBS%201.JPG" target="_blank">open in new window</a>:
<img src="https://www.urban.com.au/images/2019/9/23/Disaster%20RMBS%201.JPG" alt="">
There are mitigating factors however which help keep home loan delinquencies moderate.
These mitigating factors include the geographic diversity of RMBS mortgage pools, the presence of insurance and the financial relief provided by lenders and government, Moody's Investor Service found.
</body></html>

Natural disasters are growing risk for home loan sector: Moody's

<html><body><div class="storysegment2 segmentContentFull">
The Melbourne Storm are set to launch their own branded home loan service.
It is set to pioneer sporting clubs offering its members access to financial products.
The Storm is launching Storm Money in partnership with the private My Local Broker.
My Local Broker will be the funder of the loans. My Local Broker is owned by Gerry Ryan, a part-owner and director of the Storm.
The Storm will share commissions. The members will be offered deals from about 40 or so different loan providers.
Storm chief executive Dave Donaghy said the concept arose from a survey of the club’s 25,000 members this year about their financial priorities.
“We looked at our sponsorship portfolio and found we had a gap in the banking sector,” Mr Donaghy told The Australian.
Almost 40 per cent of Storm members have home loans and close to 60 per cent told the club they were looking to refinance within a year, with 40 per cent saying they’d be likely or highly likely to change if offered an exclusive deal from a Storm sponsor.
 
</div></body></html>

Melbourne Storm set to offer home loans to 25,000 members

<html><body>
Sydney households have been taking advantage of those two recent consecutive interest rate cuts to secure finance for home loans.
The number of new loans approved in July surged 3.9% nationally, stronger than anyone expected.
Approvals are still down year on year, but the rise to $32 billion in lending was the sharpest increase in four-and-a-half years, according to the the Australian Bureau of Statistics (ABS).
The rise in new lending to households in July followed a 1.9% rise in June.
NSW led the gains, up by 5.4%.
The average 4.9% standard variable home rate is the lowest ever recorded by the Reserve Bank whose records date back to 1960.
After rate cuts in June and July by the RBA, the ABS confirmed a notable rise in borrowing among owner occupiers, first home buyers, and to a lesser extent investors.
First home buyers continued their steady return to the market, increasing their share of new owner-occupier lending to around 30%.
It was the highest proportion of first home buyers since early 2012.
The lending data over the next few months will provide insights on the strength of the property cycle upturn, but it does appear that the prospect of a Labor government was weighing heavily on market sentiment.
The APRA loosening in lending criteria is now in effect too enabling more borrowing power.
While the credit curbs have eased, be aware that the inquisitive questions on your spending habits remain the hurdle in your home loan applications. 
The emerging property market turnaround appears likely to cushion the extent and length of the downturn of the highly cyclical residential sector.
Although there remains uncertainty about just how the recovery will run, especially should late spring stock levels return to the market in a rush.
Currently, early spring auction volumes remain low at around 20% down in Sydney on the same weekend last September.
The auction and lending bounce is very much about buying established houses, rather than new apartments.
The latest ABS data indicated approvals to fund new construction was still in decline, some 15% lower year-on-year. 
There was also a decline in lending to businesses.
We don't need a dramatic spurt in property prices, but greater confidence would be good.
I have often written about all those tradies in high visibility vests across the suburbs. They are what's underpinning NSW's economic progress.
Many of these tradies have been building new homes in high-rise projects and new house and land estates, and many of them have then had the confidence to purchase their own homes.
The decreased apartment construction trend over the last two years will be tricky to turnaround. 
New South Wales continues to see a decline in the number of private sector building approvals.
New dwelling investment is always volatile and closely linked with retail spending on household goods.
By their own admission, it is hard for the RBA to track the high-rise apartment impact in their policy decisions.
The "longer and lumpier construction timelines for apartments" mean the full impact of policy changes may take many years to be realised, the RBA has previously acknowledged.
Ofcourse the apartment defects scandal has been the curveball on buyer willingness.
It has has impacted confidence from the dodgiest builder right through to the publicly listed Mirvac and Frasers Property.
This article first appeared in The Daily Telegraph. 
</body></html>

jchancellor-FAypfDUnLy

Inquisitive questions on spending habits remain the hurdle in your home loan application

<html><body>
GUEST OBSERVATION
Since home loan rates have hit new historic lows in July after two 0.25 percentage point rate cuts from the Reserve Bank in the last two months, now is a great time to be a borrower.
Never before have we seen home loan rates this low. 
The property market is showing early signs of recovery, regulators have eased home loan serviceability guidelines and lenders are cutting rates.
The fees involved in refinancing have come down a lot in the last few years and lenders are actively competing for business.
In short, and depending on your personal situation, conditions seem quite attractive for borrowers and home buyers right now.
There are now so many lenders offering variable headline home loan rates under four per cent, it really is the perfect time to borrow.
And there is an increasing number of lenders going under three per cent, which is quite amazing.
The lowest advertised home loan rates currently listed by InfoChoice are:
Variable rate: 2.89 per cent p.a. (comparison rate 2.89 per cent p.a.) from Reduce Home Loan’s <a id="LPlnk67204" href="https://www.infochoice.com.au/product/home-loans/reduce-home-loans/low-rider-variable-56868" target="_blank" rel="noopener noreferrer" data-auth="NotApplicable">Low Rider Variable</a> loan.
Fixed rate: 2.79 per cent p.a. (comparison rate 4.17 per cent p.a.) from Greater Bank’s <a id="LPlnk850745" href="https://www.infochoice.com.au/product/home-loans/greater-bank-limited/great-rate-fixed-home-loan-13426" target="_blank" rel="noopener noreferrer" data-auth="NotApplicable">12 month Fixed</a> Home Loan.
The highest savings rates currently listed by InfoChoice are:
At-call savings accounts: 2.55 per cent p.a. max bonus rate (base rate 1.15 per cent) from <a id="LPlnk827466" href="https://www.infochoice.com.au/product/banking/savings-account/rams/rams-saver-24819" target="_blank" rel="noopener noreferrer" data-auth="NotApplicable">RAMS Saver</a> (make $200 deposit &amp; no withdrawals in a month)
12 month Term Deposits: 2.5 per cent p.a. from <a id="LPlnk215455" href="https://www.infochoice.com.au/product/banking/term-deposits/qudos-bank/term-deposits-20011" target="_blank" data-auth="NotApplicable">Qudos Bank</a>.
VADIM TAUBE is the Chief Executive Officer of <a href="https://www.infochoice.com.au" target="_blank">InfoChoice</a>
</body></html>

It's a great time to be a borrower: InfoChoice's Vadim Taube

<html><body>
ANZ and Westpac have changed their respective home-loan serviceability floor rates while increasing their buffer rates to 2.5%. 
Westpac will assess home loan borrowers against their capacity to repay the loan at 5.75 per cent, a reduction from 7.25 per cent, in a move that should make it easier for people to secure loans.
The bank moved just days after the ANZ Banking Group became the first lender to pass on the benefit of the loosened lending limits.
The Australian Prudential Regulation Authority (APRA) announced earlier this month that it would relax rules to allow banks to assess a borrower's ability to repay their mortgage if interest rates rose to 7 per cent.
Under the change in rules, banks would now only have to apply a 2.5 per cent "sensitivity margin" on current interest rates when assessing home loan eligibility.
ANZ yesterday told mortgage brokers it would lower its mortgage assessment floor to 5.5 per cent as of yesterday.
RateCity estimates that if a bank used an assessment rate of 6 per cent instead of the current 7.25 per cent, a family of four with an average household income of $109,688 would see their borrowing capacity rise by $77,000.
Commonwealth Bank and National Australia Bank are reviewing their serviceability requirements. 
</body></html>

Which banks have made it easier to get home loans after APRA decision?

<html><body>
EXPERT OBSERVATIONS
Geordan Murray, a Senior Economist at HIA, said the home lending figures released by the ABS today show the number of loans to households building new homes grew modestly in May.
Overall housing finance commitments for construction and purchase of new homes grew in the month of May by a modest 2.3 per cent but remain 11.7 per cent lower than the same month last year.
The credit squeeze that emerged from mid-2018 has seen lending for the construction of new homes contract sharply.
This month’s data suggests that these conditions have started to ease.
The improvement in lending in May is stronger than we had anticipated and reflects an increased level of borrowing from first home buyers.
This is the strongest month of borrowing by first home buyers this year.
There has been an improvement in housing market sentiment in the weeks following the federal election.
When combined with the RBA’s rate cuts and easing of APRA restrictions, there is cause to be optimistic that lending activity could improve as the year progresses.
However REIA President Adrian Kelly believes the May 2019 Lending to Households and Business figures released today by the Australian Bureau of Statistics show the number of loans for housing, excluding refinancing, continues to decline, but at a slower rate.
Mr Kelly said, overall the figures for May 2019 show, in trend terms that the number of owner-occupied finance commitments, excluding refinancing, decreased by 0.5 per cent –the twenty first consecutive month of decreases and the lowest since August 2012.
The value of investment housing commitments, excluding refinancing, decreased by 1.5 per cent in May. This is down 27.8 per cent from a year ago and is at its lowest level since March 2009.
The number of loans to first home buyers increased by 0.8 per cent and is the highest since November 2018 whilst the proportion of first home buyers, as part of the total owner-occupied housing finance commitments increased in May to 18.8 per cent from 18.2 per cent in April.
Whilst the total number of finance commitments for May show a continuing, but modest, decline it needs to be remembered that the Federal election was held in the middle of the month with considerable uncertainty regarding the outcome and concern about changes to property taxation and its impact should there be a change in Government. 
With the post election boost in confidence in the real estate market as evidenced by higher levels of enquiry, two cuts in interest rates and changes in APRA’s requirements May will most likely mark the bottom of the lending cycle.
</body></html>

Conflicting opinions on the strength of housing lending strength: HIA & REIA

<html><body>
Westpac is set to pay back tens of millions of dollars to around 40,000 home loan customers after a manual processing system glitch.
The mortgage holders were left on interest-only loans after the term expired, instead of being converted to a principal and interest rate, News Ltd papers have reported.
It is believed Westpac will be paying back under $100 million.
The glitch, which affected Westpac, St George, Bank of Melbourne and Bank SA, meant mortgage holders of the named banks were not paying down the principal as planned.
So when interest rates rose, unaware customers would have found themselves out of pocket. 
Westpac identified the issue in 2017, but the details are only just coming to light.
It has been reported that each customer who has been affected will have been contacted, with around 70 percent of customers having received their reimbursement.
That means around 12,000 customers remain out of pocket.
The error predominantly impacts loans with an interest-only period that expired between 2009 and 2016.
An automated switching process has been introduced to prevent a repeat of the costly error. 
 
</body></html>

jonathanchancellor-7SQnKwU6yx

Westpac to refund around 40,000 home loan customers after major glitch

<html><body>
Banks continue to turn their backs on riskier home loans, as the value of new interest-only and low doc loans hit record lows, according to APRA data released today.
APRA’s Quarterly ADI Property Exposures for the March 2019 quarter shows the value of new loans to owner-occupiers fell by 17.6 per cent from the previous quarter, while the value of new loans to investors fell by 18.7 per cent in the same time frame.
The value of new interest-only loans fell by 22.5 per cent between December and March to 14.9 per cent of all loans, the lowest percentage share in APRA’s records dating back to 2008. 
RateCity.com.au research director Sally Tindall said banks were continuing to be hyper-vigilant in the wake of the Royal Commission, despite the easing of regulations.
“APRA might have loosened the strings on interest-only and investor lending but the banks are still ultra-cautious when it comes to high risk loans,” she said.
“APRA had wanted less than 30 per cent of new loans written to be interest-only. The banks have well and truly smashed this out of the park.
“Not only do interest-only loans represent just 14.9 per cent of all new loans written, they also represent just 23.3 per cent of the banks’ entire loan books, according to the most recent data,” she said.
<img src="https://www.urban.com.au/images/2019/6/19/Riskier.JPG" alt="">
 
The data released today by the Australian Prudential Regulation Authority showed that over the past 12 months the customer owned banking sector’s housing loans have increased by 8 per cent while the major banks grew by just 2.6 per cent.
Australia’s customer owned banking institutions now hold more than $119 billion in assets, an increase of 1.6 per cent compared to the previous quarter.  Consumers are also choosing to place their deposits with customer owned banking institutions. The sector now holds more than $101 billion in deposits. The growth in deposits shows a 6.5 per cent year on year increase in deposits. Customer Owned Banking Association CEO Michael Lawrence said consumers are sending a clear signal to the major banks. “Consumers are sending a very clear message to the major banks; either put our interests first, or we’re going somewhere that will. “The latest figures from APRA paint a clear picture of a sector that is continuing to grow as more Australians begin considering who it they choose to bank with. “Australians want banking institutions they can trust to put their interests first and to do the right thing by them. After the findings of the Financial Services Royal Commission it’s no surprise people are looking beyond the ‘Big Four’. “Consumers can see through the spin of the major banks. They know a leopard can’t change its spots, that’s why they’re taking their banking elsewhere"
</body></html>

Banks continue to turn their backs on riskier home loans: RateCity

<html><body>
Greater Bank has announced it will slash its 1-year fixed home loan for owner-occupiers paying principal and interest by 0.50 per cent to 2.99 per cent.
The cut makes it the first bank to go below 3 per cent ahead of the RBA’s meeting on Tuesday.
Greater Bank is dropping several fixed rates, including its 2-year fixed rate to 3.39 per cent, and both the 4- and 5-year fixed rates to 3.64 per cent, which will be the lowest available rates on RateCity for all three loan terms.    
The rate cuts take effect on Monday 3 June. 
Bank of Queensland will also cut its 2-year year fixed rate to 3.44 per cent, and 3-year fixed home loan rate to 3.39 per cent for owner-occupiers, effective tomorrow. 
Today’s updates from Greater Bank and Bank of Queensland follows ING’s and NAB’s announcements made in the past 24 hours, as fixed rate cuts continue to flow in thick and fast. 
<img src="https://www.urban.com.au/images/2019/5/31/New%20rates.JPG" alt="">
St George and Bank of Melbourne have announced cuts to fixed rates.
Canstar’s finance expert, Steve Mickenbecker noted interest rates for interest only loans to owner occupiers lead the market across all terms.
“Fixed rate cuts are becoming frenzied, with falling wholesale funding costs and the overwhelming expectation of RBA rate cuts.
"Lenders are well ahead of the RBA curve.
“Who would have thought a rate starting with a 2 was possible? Certainly nobody born before 1970 who lived through ‘the recession we had to have’ and rates approaching 20%.
"Nor did most commentators two years ago, who were expecting rates to be on the way up by now," he said.
</body></html>

Home Loans

Editor's Picks

Have something to contribute?

Developments

New apartments

New townhouses

News

Home Loans

Editor's Picks

Receive the latest news stories to your inbox

Have something to contribute?

Developments

New apartments

New townhouses

News