Brisbane’s riverfront is about to welcome Queensland’s most ambitious wellness living precinct, with <a href="https://www.apartments.com.au/developers/kokoda-property">Kokoda Property Group</a> unveiling nearly 12,000 sqm of dedicated health, fitness and social amenity within its $1.5 billion Teneriffe Banks development, the largest of its kind in the state.&nbsp;

Australia is now the four largest market in the USD 584 billion Global Wellness Real Estate sector, and <a href="https://www.apartments.com.au/new-apartments/teneriffe-banks-17-27-skyring-terrace-teneriffe-qld-4005">Teneriffe Banks</a> is setting the benchmark locally, offering residents a complete lifestyle precinct that balances wellness, community and luxury.

From rooftop wellness retreats and 5-star co-working spaces to curated retail and dining, lush green spaces and riverfront walkways, the development has been designed as an ecosystem for modern living. Community gardens, a riverfront amphitheatre and community centre further anchor Teneriffe Banks as a destination that connects residents and the wider community in a way Brisbane has never seen before.&nbsp;

Each of the four residential buildings offers an expansive rooftop retreat featuring infinity pools, mineral plunge pools, hydrotherapy zones, and steam and sauna suites. These spa-level amenities eliminate the need for external memberships, seamlessly integrating exercise, recovery and relaxation into daily life.&nbsp;

[smartcode_project:default project_id=139896 project_image_fid=352274]

Residents of Teneriffe Banks will enjoy exclusive access to The Canopy Club, one of Brisbane’s largest private members' venues. Drawing inspiration from international icons like Soho House but uniquely tailored for Brisbane, the club will feature private dining rooms, a wine cellar and tasting lounge, library, cinema, sports simulator and five-star work spaces, overlooking the Brisbane River.&nbsp;

Complementing this lifestyle is Banks Athletic, a private, residents-only health club offering personalised fitness and holistic wellness programs.

The precinct will also be home to Brisbane’s first five-star Kimpton Hotel Urban Resort, offering guests access to a luxury spa, a fitness centre, signature restaurants, pool club, rooftop cocktail bar and large-scale event spaces. Also forming part of the masterplan is a proposed reimagined marina and landscaped green spaces and gardens among a curated collection of waterfront restaurants, laneway cafes, and boutiques — creating a complete live, work, play lifestyle.&nbsp;

[smartcode_project:default project_id=139896 project_image_fid=295098]

A recent report by Global Wellness Institute found Australia boasts one of the world’s fastest-growing wellness economies, growing at an annual rate of 7.5 per cent from 2019-2023.

“Luxury living today is about more than just design, it is about how well a place supports mind, body and connection,” said Kokoda Property Group Founder and Managing Director, Mark Stevens.

“With Australia now ranked among the world’s top five global wellness real estate markets, Teneriffe Banks has been designed to meet that growing demand. By blending curated wellness spaces with riverfront greenery and vibrant community amenities, the precinct will set a new benchmark for holistic urban living.”&nbsp;

Stephens said that wellness-focused design is resonating strongly with downsizers and lifestyle-driven buyers alike.&nbsp;

“We’re seeing overwhelming interest from buyers who are drawn to the idea of expansive amenity beyond their own residence, particularly those seeking space without the upkeep. The ability to enjoy a sunrise coffee by the rooftop pool, or build movement and recovery into their daily routine without leaving home, is a drawcard. Low maintenance, high impact living is what today’s market is looking for, and that’s exactly what Teneriffe Banks delivers."

[smartcode_project:default project_id=139896 project_image_fid=352273]

Set across five architecturally distinct buildings, Teneriffe Banks will deliver over 200 residences, ranging from apartments to modern penthouse residences and woolstore-inspired lofts, each crafted by <a href="https://www.apartments.com.au/architects/studio-mccue">Studio McCue</a>, in collaboration with <a href="https://www.apartments.com.au/architects/cottee-parker-architects">Cottee Parker Architects</a> and <a href="https://www.apartments.com.au/architects/carr-design">Carr</a>.&nbsp;

Further reflecting its commitment to fostering an active, connected lifestyle along the river, Teneriffe Banks is now the naming partner of the Brisbane Marathon Pacers, now known as the ‘Tenerrife Banks Pacers’. The Brisbane Marathon hosts over 10,000 participants from around the world and is only growing in size.&nbsp;

[smartcode_project_cta:default project_id=139896]

Joel Robinson

Kokoda's Teneriffe Banks introduces Queensland’s largest residential wellness offering

Summary:&nbsp;

<ul type="disc">
	<li>A new&nbsp;Golden Age Cinema&nbsp;with multiple screens and creative performance spaces</li>
	<li>Approximately&nbsp;60 metres of retail frontage&nbsp;along Oxford Street for small-scale, street-activating businesses</li>
	<li>53 apartments, including 15 affordable housing apartments</li>
	<li>Landscaped public connections between South Dowling and Verona streets, improving walkability and accessibility.</li>
</ul>

<hr />
&nbsp; 
Developer WT Malouf has confirmed plans to transform the much-loved Verona Cinema site on Oxford Street in&nbsp; Paddington into a new mixed-use destination centred on culture, creativity and community.

The proposal, a State Significant Development Application (SSDA), will deliver a balanced mix of uses including 53 apartments, including 15 affordable, a new Golden Age Cinema with multiple screens and creative performance spaces, and several small-scale, street-activating businesses across its 60 metres of retail frontage.

The development will retain the Verona’s iconic brick façade, recognising the building’s role in Paddington’s cultural life for nearly three decades.

<img alt="Verona" data-entity-type="file" data-entity-uuid="efed0828-5cc4-4d77-a6df-83e7fa5d24ea" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202025-10-03%20at%209.19.31%E2%80%AFAM.png?VersionId=xHbLRgjfTSkScuLsLW_nRjX0Zi5Cwalo" />

WT Malouf has entered into exclusive arrangements with the operators of Golden Age Cinema &amp; Bar, a much-loved Surry Hills institution named among the Top 100 Cinemas in the World by Time Out. Golden Age will bring four screens and versatile creative spaces back to Paddington, helping to anchor Oxford Street’s future as a cultural and entertainment corridor. 
&nbsp; 
“At a time when Sydney is losing suburban cinemas, we’re committed to creating a bigger and better cinema experience for Paddington,” said Jack Joseph, Director at WT Malouf.

“Golden Age’s arrival will ensure Oxford Street continues to be a home for independent film, live performance and community events.” 
&nbsp; 
The project has been designed in line with the City of Sydney’s Oxford Street Cultural and Creative Precinct strategy, which encourages new investment in cultural space, night-time economy and creative industries. It also aligns with the NSW 24-Hour Economy Strategy, contributing to the revival of Oxford Street as a safe, vibrant and connected cultural precinct that operates by day and night.

<img alt="Verona" data-entity-type="file" data-entity-uuid="ac1895bd-d09f-4cf6-aed4-9a2739c2d9b2" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202025-10-03%20at%209.19.45%E2%80%AFAM.png?VersionId=NcwfjdR0oF5xPbatoSGOR4oWAZm9yJJT" /> 
&nbsp; 
“This development is about more than apartments,” Joseph said. “It’s about contributing to Oxford Street’s restoration as one of Sydney’s great cultural boulevards, where people come to live, create and socialise.” 
&nbsp; 
‘’The new Verona is a once -in-a-generation opportunity to restore this important part of Oxford Street,’’ said Tim Greer, Director of Tonkins Zulaikha Greer (TZG). 
&nbsp; 
Alongside cultural and creative space, the Verona development will deliver new housing in one of Sydney’s most tightly held suburbs. 15 apartments will be set aside as affordable rental homes for essential workers, ensuring Paddington retains a diverse and connected community. 
&nbsp; 
The project is expected to be determined by the NSW Department of Planning, Housing and Infrastructure in 2026, with construction planned to start later that year and delivery within three years.

Paddington’s Verona Cinema set for luxury apartment transformation and new Golden Age Cinema

The Chatswood CBD is the latest city centre in the cross hair of the Minns Labor Government's push to support new housing.

They're pushing for up to 1,500 apartments on the former Sydney Metro construction site, which will include 180 build-to-rent apartments for essential workers, as well as new retail and commercial spaces and outdoor areas.

<img alt="Chatswood" data-entity-type="file" data-entity-uuid="ec539e11-accf-4844-bbce-1b453e0ee907" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202025-10-03%20at%209.09.58%E2%80%AFAM.png?VersionId=64L8ymb0LbjKbxcmvUux9TI9qXL8hnkR" />

The remaining mix will be build-to-sell, and incorporate affordable housing. The development will see the adaptive re-use of local heritage building Mowbray House, which operated as a boarding school from 1906 to 1954, for future community use.&nbsp;

Construction on the site is expected to start in late 2026, with the first essential workers expected to move in by late 2028.

Landcom is inviting feedback on the proposal from the community and stakeholders until 9am, Monday 27 October 2025.

<img alt="Chatswood" data-entity-type="file" data-entity-uuid="01cc2e55-a585-4a3f-afb2-bb6213dc59b8" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202025-10-03%20at%209.09.18%E2%80%AFAM.png?VersionId=ZaaHSI.h_CLRCYloljNdXSa4eigU6vae" />

The Chatswood site is the second&nbsp;to be secured under the Minns Labor Government’s $450 million investment in Landcom to deliver 400 build-to-rent homes for essential workers in Sydney, with 220 essential worker homes already being delivered in Annandale.

&nbsp;

&nbsp;

&nbsp;

&nbsp;

Work is also underway on new build-to-rent apartments on the NSW south coast and work is set to start later this year on new build-to-rent housing in Lismore to boost rental supply in the NSW Northern Rivers.

Premier of New South Wales Chris Minns said essential workers are the backbone of not only Sydney but all of NSW and they deserve to have an affordable place to live near their job and community.

“This will be life changing for essential workers, who will get to live not only near their job but in one of the best-connected areas in all of Sydney.”

Minister for Planning and Public Spaces Paul Scully said people should be able to live, work, relax and play all within one community.

"Delivering both 180 new essential worker homes and 1300 further market and affordable homes will give that opportunity and choice back hundreds of people.

“We’ve dedicated another 180 homes to essential workers in this project so workers like our teachers, nurses, paramedics and police offices can build a life close to both their home and job.

“This is yet another example of density done well, providing additional, homes and jobs in an area that’s already well serviced by public transport, shops, restaurants, schools and health centres.”

&nbsp;

&nbsp;

Landcom CEO Alex Wendler said this is a highly productive time for Landcom where we are sustaining strong momentum across our entire delivery program.

"Here at Chatswood, we are leading the development of a major city precinct to do density well and make homes happen. This is a great example of Landcom making the government’s policy ambitions a reality and bringing to life the kind of housing options our city needs.”

Premier of New South Wales Chris Minns said essential workers are the backbone of not only Sydney but all of NSW and they deserve to have an affordable place to live near their job and community.

NSW Gov, Landcom plan 1,500 new apartments in Chatswood CBD

Dexus' push into the residential development space is moving down to Melbourne, with the real estate asset giant taking on a x at the southern end of St Kilda Road.

Dexus, who has recently starting developing luxury apartments in Sydney's Northern Beaches, is planning a 27-storey tower with over 400 new apartments at the intersection of St Kilda Road and Queens Road.

The proposal, now with VIC Planning, seeks to replace the ageing 19-storey former Cadbury office building at <a href="https://www.apartments.com.au/new-apartments/636-st-kilda-road-melbourne-vic-3004">636 St Kilda Road</a> with a contemporary high-density apartment complex designed by architecture firm&nbsp;<a href="https://www.apartments.com.au/architects/bates-smart">Bates Smart</a>.

According to the Urban Context Report filed to VIC Planning, the development will respond to the site’s landmark location through a "refined and sculptural built form that mediates between the scale of St Kilda Road and Queens Road” while reinforcing “a sense of civic address at this prominent intersection.”&nbsp;

<img alt="First look: Dexus proposes 27-storey residential tower at 636 St Kilda Road" data-entity-type="file" data-entity-uuid="dfd2ebd1-e311-4348-9c7d-b3d73b64ade4" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/St%20Kilda%20bldg.png?VersionId=_DHkdNAj1U3wcH0BX51t2MJYeIMrbG2w" />

The architectural design features active frontages, new pedestrian through-links and an extensive landscape strategy that integrates with the surrounding boulevard character.

The apartment mix is varied, comprising 40 studios, 87 one-bedrooms, 203 two-bedrooms, 66 three-bedrooms, and six penthouses, with each dwelling designed to meet the standards set out in Clause 58 of the Port Phillip Planning Scheme.&nbsp;

A key element of the proposal is a $9.6 million contribution, equivalent to three per cent of the project’s estimated development cost, to the Social Housing Growth Fund, aimed at supporting affordable housing outcomes across Victoria.

<img alt="First look: Dexus proposes 27-storey residential tower at 636 St Kilda Road" data-entity-type="file" data-entity-uuid="7f138f11-5277-461f-8d12-9533b2960586" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/St%20kilda%20rd%20site.png?VersionId=m_ZioKYhwkvekE3ZUF6y7bz.5_5yFPnZ" />

The site’s three street frontages, St Kilda Road, Queens Road, and Queens Lane, enable significant setbacks and design flexibility.

Bates Smart noted the proposal "reinforces the intent for St Kilda Road North to accommodate higher-density, mixed-use development,” leveraging its location near the soon-to-open ANZAC Station tram-rail interchange and the principal cycling corridor along the boulevard.

They emphasised&nbsp;the building’s role as a city-shaping gateway, writing that the proposed tower is “designed to contribute positively to the skyline and urban character of St Kilda Junction,” and would offer visual connections to key city landmarks, including Albert Park Lake and the Shrine of Remembrance.

Public realm upgrades are also proposed as part of the scheme, including a 138 sqm linear park, extensive landscaping, and around 188 metres of active frontages to enhance permeability and safety at the ground plane. A total of 449 car spaces and 120 bicycle spaces are planned across the four basement levels.

<img alt="First look: Dexus proposes 27-storey residential tower at 636 St Kilda Road" data-entity-type="file" data-entity-uuid="dfdbccd3-6954-417e-8543-c6b1f1b5df1b" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/St%20KILDA%20rooftop.png?VersionId=.xI5fkVYETzG1WJaiOsOt8Yd4BgQx0DA" />

Dexus is positioning the project as a strategic redevelopment aligned with the St Kilda Road North Precinct Plan. The Planning Report by Urbis states that the distinct features of the site, the emerging context to its interfaces, and the surrounding policy context justify consideration of a taller building” despite the site being subject to Design and Development Overlay – Schedule 26 (DDO26).

St Kilda Road has been one of the most popular streets for residential development in recent years. The likes of Victoriana, The Muse, and St Boulevard are the most recently completed buildings, oriented to look over the adjacent Albert Park Lake, while Gamuda Land is currently developing <a href="https://www.apartments.com.au/new-apartments/fareham-st-kilda-95-st-kilda-road-st-kilda-vic-3182">Fareham</a>, and Hirsch &amp; Faigen has a building in the precinct they will soon launch, just off St Kilda Road on Queens Road.

First look: Dexus joins St Kilda Road apartment ranks with gateway tower proposal

Melbourne’s City Circle tram loops past a dense matrix of culture, education and commerce, but few intersections offer as much access in so little walking distance as the northern end of King Street.

Here, Aspire Melbourne rises 64 storeys from the edge of Flagstaff Gardens, with immediate connectivity to tram and train networks, and pedestrian access to Queen Victoria Market, Marvel Stadium and Melbourne’s major university precincts.

Developed by ICD Property with design by Fraser &amp; Partners, Aspire Melbourne brings 570 apartments to one of the CBD’s most spatially balanced positions, directly between civic green space and key employment infrastructure.

[smartcode_project:default project_id=2575 project_image_fid=248847]

Everything from retail and dining to sporting events, art, theatre, and festivals, or the serenity of the city’s gardens, is within walking distance of Aspire.

Melbourne's thriving coffee culture is showcased in the CBD's cobblestoned laneways, with popular cafes such as Brother Baba Budan, Krimper, Stagger Lee's, Higher Ground, and Manchester Press all nearby.

For culinary enthusiasts, Melbourne offers a variety of dining experiences. Highly recommended establishments include Maha, Farmer's Daughter, Coda, and MoVida Next Door, offering everything from Middle Eastern dinners to a night out.

[smartcode_project:default project_id=2575 project_image_fid=79443]

Getting around Melbourne is as effortless as finding a great cup of coffee, thanks to the city’s clean, reliable and extensive public transport network. Aspire’s curved tower is a short walk from Melbourne Central Station, Southern Cross Station and the Free Tram Zone, offering seamless connections across the CBD and out to suburban precincts.

This inner-city accessibility is complemented by Aspire’s rare proximity to green space. The tower directly overlooks Flagstaff Gardens, the city’s oldest park, with Fitzroy Gardens and the Royal Botanic Gardens also nearby, framing the CBD in natural beauty.

Just 11 minutes on foot, Queen Victoria Market adds another layer of amenity. A longstanding hub of culture and commerce, it offers fresh produce, gourmet foods, artisanal goods and vibrant multicultural fare, all woven into the daily rhythm of city life.

[smartcode_project:default project_id=2575 project_image_fid=79445]

To the west, the CBD’s entertainment quarter features Marvel Stadium, just 750 metres from Aspire, ideal for sports fans and major events.

To the south, Crown Casino along the Yarra River offers entertainment, dining and family-friendly activities, accessible in under 10 minutes by tram.

The Arts Centre Melbourne, a hub for visual art, theatre, music and performance, is also within easy reach by public transport or car.

[smartcode_project:default project_id=2575 project_image_fid=311]

For families looking to set up roots in the CBD, education options abound within a one-kilometre radius of Aspire.

The prestigious Haileybury opened its Melbourne CBD campus in January 2017 offering Melbourne's first Early Learning Centre to Year 12 private school campus in the CBD.&nbsp;

<a href="/developments/north-melbourne-vic-3051">North Melbourne</a> Primary School, South Melbourne Primary School, Ozford College, and Simonds Catholic College are among the other choices, while universities like Victoria University, La Trobe University, and Monash University are less than 600 metres away.

[smartcode_project:default project_id=2575 project_image_fid=79444]

A limited selection of one, two, and three-bedroom apartments remain for sale, with pricing starting from $647,000.

“The Melbourne CBD apartment market has evolved in response to both the strong growth of the overall city as well as the increasing attraction of the CBD which offers unique lifestyle appeal, especially to the fast-growing cohorts of young professionals and university students,” <a href="/project-marketer/colliers">Colliers</a>&nbsp;Managing Director Residential Tim Storey said.

[smartcode_project_cta:default project_id=2575]

On the fringe of Flagstaff Gardens: Aspire Melbourne's prime location

Investment

<html><body>
Last week we addressed some of the key issues facing younger homebuyers. This week, as promised, we’ve got some practical solutions.
Home buying and these suggested solutions are not for all young people (sub 45). But sitting on your backside, doing another tertiary course, or hoping a magical answer will come from your iPhone is also not the way for every young homebuyer either.
Yes, Australian society is presiding over a system that is unfair on you as young homebuyers.
Australian Society is taking away young people’s housing supply and increasing competitive demand through negative gearing, wealthy immigration and through paying no attention to regional infrastructure. Young people need to push forward a new batch of leaders with ‘we’ ideas instead of ‘me’ ideas and demand change. You need to get out on the streets and protest until you find leaders who can even up the ledger between older and younger Australians but the revolution may take 20 years and you as a young homebuyer can’t afford to wait forever to enter the property market.
Waiting for the market to ease never works.
No easing of the market will assist you to any noticeable degree. If you wait for any future government intervention to save you, your now 6-year-old child may be 26 before you can afford to buy. Your 16-year-old may be a 36-year-old.
You have to take action yourself. Wait for the market to change and you’ll pay the price. Please don’t confuse this statement with passing on buying the wrong home and then continuing to look for the right one in a patient, logical manner.
So our suggestion is don’t focus on the unfairness of negative gearing, super funds, Asian investing, well-off Baby Boomers and private family wealth. Focus on the fact that, this weekend, there are 300 people out there trying to buy the 30 good homes in inner to middle Melbourne on offer.
Yep 270 of those people are going to be unhappy – you need to be one of the winning 30 buyers this weekend or next weekend or later in the year.
So in Inner Melbourne right now; you as a young homebuyer are in a fight, like the wildebeest of Serengeti in a drought. There is limited grass and you need to avoid the predators (dodgy buying and selling agents, dodgy financial planners, dodgy brokers and dodgy advice which may come from well-intentioned people like your friends and relatives). Other predators are negative gearers, super funders and wealthy overseas migrants – not to mention your fellow young homebuyers.
Ok, all this negative and hard stuff is there, but don’t let it overwhelm you. Acknowledge it and move on. Many wildebeest see bad things, but the strong and the smart live on.
<a href="https://marketnews.com.au/2015/06/solutions-for-young-homebuyers/number-of-melbourne-homes-597x437/" rel="attachment wp-att-51096"><img class="aligncenter size-large wp-image-51096" src="https://marketnews.com.au/wp-content/uploads/number-of-melbourne-homes-597x437-597x437.jpg" alt="number-of-melbourne-homes-597x437" width="597" height="437"></a>
Our Bidderman statistics (bidders per auction) show that on good homes there are consistently 6 to 10 bidders per well-priced suburb median Inner Melbourne home above a million dollars. It’s the same or even more below $1M.
Not every young homebuyer can be a winner – there are simply not enough good quality Inner Melbourne homes to satisfy demand. This is the mindset I think, or I hope Joe Hockey was trying to espouse. It’s up to you.
So get the right mindset – it’s up to you or you’ll be living in Whoop Whoop West. And when you try and sell in Whoop Whoop West in 10 years, to be closer to schools, the prices in Inner Melbourne could be even more unattainable.
Get the right plan and then go after the right position, right home and right price. 
Get a deposit and get multiple funding sources – banks, relatives, tenants, partner and so on.
I’m not a great saver, more a forced one and I care little about superannuation – which may or may not be a wise move now I’m hitting the twilight years!
I’ve think I’ve worked hard (bought over 1000 homes), had good jobs, lived in secure housing near the city, travelled, raised some great kids, had good family support and a good life (lot more to come I hope). I’ve lived off good income, at times overdrafts, parental help in the early days and growth allowed by negative gearing in the latter days. Our family has been lucky, but we’ve also made our own luck. The one money thought that stands out for me: good capital growth and a good job has given us a good good life and covered over a lot of my life mistakes and money sins.
Saving is good for many and recommended, but my point is there is more than one way to skin a cat (isn’t that an awful saying) and to fund a home. Such as:
*Parents (1) – They are your best chance for help with a deposit and loan guarantees. But you may have to sell them on the idea of helping you as they’ll want to protect themselves as they get older as well. Tell them if they don’t want to drive a hour to see the grandkids then you will need help buying closer (ok, not next door but maybe only 15 minutes away) – pull on the heart strings and then pull on their purse strings.
*Parents (2) – Start hassling them to buy investment homes. They can make their retirement better by buying and renting back to you. These investments build wealth and income and you help each other. It’s the Greek/Italian, Chinese and Jewish way and it works. If you are worried about family arguments, get a written legal agreement, such as a formal lease.
<ul>
<li>* for both of the above, you can’t expect (well you can, but why should they) your parents to do it all. You have to help yourself; to save, maybe get a second job and yes, you may have to move further out (just not too far and good 3P’s), to buy your first home and live in it for 5 to 10 years.</li>
</ul>
Get a good job. Joe Hockey is right–please, I don’t barrack for any political party–unless Pendles or Clokey are running for PM. If you want to be a Buddhist, vegetarian, charity-giving monk then hats off to you; but in all likelihood you won’t be living with three kids in a Hawthorn semi-detached period home. Please I know this sounds harsh–but there is validity to Joe Hockey’s comment – get a job that pays. Sales, Real Estate, Marketing, Small Business...or get a second job, or do this plus ask your parents for help and maybe negatively gear. Do what it takes, and do it sooner rather than later, if buying a good home is an important goal of yours.
 Get creative. Buy the home you can’t afford to live in now by buying and negatively gearing now. Put a tenant in and live at home with Mum and Dad. Or buy a home and live in somebody else’s home while they rent your property. Make sure agreements meet tax laws, but negative gearing on a good capital growth home is such a powerful tool. You need it to beat overseas bidding and if you can get some growth in the next ten years before you can afford to move in, you will have put hundreds of thousands of dollars into your back pocket. And it’s legal and mostly tax free (if you’re smart about it). Yes, of course there are risks, but sometimes to get into the housing market you need to take some risks, even if there is no real safety net.
Get a plan and a process that works.
Price, property and position. These are the three ‘Ps’ you need to keep in mind when planning to buy a property.
Median Price for Precinct, Home with Land, House with a liveable floor plan and all in a position that is near infrastructure.
The knowing is not rocket science – the rocket science, in 2015, comes in the getting.
Have clarity on what you want. Is a particular property really the home for you?
List the financial and emotional outcomes you want from your home under the price, property and position headings. At the end your PPP plan, as a starting point, shouldn’t be more complicated than three sentences. It’s simple but many people don’t work out what they want before buying – they don’t have a plan.
However, avoid plans from financial planners, bankers and seminars – if they involve high risk deals such as off the plans and new apartments – these do not work for young homebuyers.
Remember the FFFs too – five-year, flexible and future-proof. In 2000, a young buyer bought a Docklands apartment for $507,500. They sold it in 2014 for $576,000. At the same time another young buyer spent $493,000 on a family home in Glen Iris. They sold it in 2014 for $1.5 million. <a href="https://www.james.net.au/jba_mhbguide_20_web.pdf"> </a>
Once you have your plan, assess, value and negotiate – eg follow a proven process.
But, just as they don’t plan, many people don’t stick to a process either. And many people can’t negotiate.
Get a professional
My next piece of advice is the advice I would give you if you were having an operation, going to court or starting a business and that is to get a professional. The facts prove themselves. A good professional property advisor will help you.<a href="https://marketnews.com.au/documents/May_Results.xlsx.pdf"> </a>
People think you simply buy a house by sticking your hand up at auction. But only 25%-30% of the properties we bought in May were bought under the hammer. 70-75% weren’t. They were negotiations.
People baulk at paying a 1% fee for an advocate’s services, but while you wait and wait to buy a home, the market goes up. In the past few months some house prices have gone up 10-20% and many buyers are:
<ol>
<li>still not in a home </li>
<li>having to find 10% to 20% more</li>
</ol>
This is all because they felt they couldn’t afford good professional help – when indeed it would have paid for itself 10 or 20 times over in the last few months and perhaps 100 times over a 7 year period. Include it in your bank loan.
Buyer advocates are widely – and wisely – used in Europe and the US.  But most Australians think they can buy a home by themselves because that’s what Mum and Dad did. That was a different time and a different market. It might have worked in 1985 but, for many, it doesn’t work in 2015. You either don’t buy, or you end up buying a home nobody else wants at a price that nobody else was prepared to pay for it.
This week I met Hard Luck Harry and his wife, Hard Luck Harriet. They’ve bid 5 times on homes in the last two years and felt nothing was going right. I made one suggestion – when nothing is going right – go left. Try something different. Hire an experienced, reputable buyer advocate / buying agent.
Yes, we mainly buy properties in the $2m to $6m bracket, but most of the issues are similar for young homebuyers. Most of our clients have affordability issues. Almost everybody we work with has a limited budget, too.
Make good decisions and take action.
Good decisions. It’s all about the decisions you make. Isn’t all of life like that? If you decide not to make a plan, not to get some professional help, not to work hard and not to do your research they are your decisions – and they are bad decisions if you want to buy a good home.
This is what a James Report contains. You need to build your own excel databases to be able to do something like this.
<ol>
<li>Ask questions of your plan</li>
<li>Assess the property (due diligence)</li>
<li>Work through values, not just what the agent says</li>
<li>Get a negotiation strategy that works</li>
</ol>
<a href="https://marketnews.com.au/documents/James_Report_2015.pdf"> </a>
<a href="https://marketnews.com.au/documents/James_Report_2015.pdf" rel="attachment wp-att-51099"><img class="aligncenter size-large wp-image-51099" src="https://marketnews.com.au/wp-content/uploads/JamesReportResults-379x448-379x448.jpg" alt="JamesReportResults-379x448" width="379" height="448"></a>
Finally, I’ll leave you with home-buying wisdom from the Melbourne Homebuyers Guide:
1. Happy spouse, happy house.
2. History repeats itself unless you break the cycle by breaking your habits.
3. Good decisions and bad decisions take the same amount of time and angst – only the quality of the prep is different. Get those 3P’s (price, property type and most importantly position) spot on.
4. Time heals or hides nothing in Melbourne property, it only accentuates.
5. No definition of value maintains its rigour for all people, except value to you; and
6. In negotiation, the closer you get and the more you talk about money, the further you drift from getting what you want.
 and my new No 7. Get the right mindset – its up to you.
Mal writes weekly auction reports, advice and in-depth market analysis on <a href="https://www.jamesbuyeradvocates.com.au/" target="_blank">James' website</a>.
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High risk new apartments should be avoided by young homebuyers: Mal James

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SPONSORED POST
People who buy property through a self-managed superannuation fund need to consider what to do with the asset after they have retired and how to pass it on after they have passed away. 
SMSFs allow for assets to be handed from one generation to another as an inheritance, but there are regulatory constraints and taxes to take into account. 
Reserves after retirement
At retirement, an SMSF member may start a pension from their fund, in which case the balance will reduce over time. The fund may have sufficient cash flow to support pension payments but as the person ages the proportion of the fund’s balance that must be paid out as a pension increases so it becomes more likely that the property will have to be sold to support the pension. 
If the family has other sources of income, and doesn’t need to draw a pension from the SMSF, it is possible to leave the assets untouched by keeping the fund indefinitely in what’s known as the accumulation phase. 
SMSFs in accumulation phase do not issue a pension but the income and capital gains made within the fund are taxed at 15%, while they would be tax free if the SMSF was paying a pension. For some retirees, the 15% tax is still less than they would pay if they held the property in their own name so there can be advantages to holding it in the SMSF to pass on as an inheritance.
Inheritance
When an SMSF member dies, the assets held in their fund do not automatically form part of their estate. The estate can access the assets and distribute them according to the person’s will but conditions in the SMSF’s trust deed and superannuation laws must also be satisfied.
There have been cases in which surviving SMSF trustees have been able to go against the wishes of the deceased fund member. SMSF members should seek legal advice on how to avoid that risk.
SMSF members may provide their fund with a binding death benefit nomination, which gives direct instructions on who should receive the deceased member’s share of the fund’s assets but there are restrictions on who can be named as the recipient. Whether such a nomination is appropriate will depend on the fund member’s personal circumstances. 
Relationships matter
The way in which beneficiaries receive their inheritance depends on their relationship with the deceased SMSF member.
People who are in what’s classified under superannuation law as a dependent relationship with the fund member can receive their inheritance payment as a lump sum or a pension from the fund. People who are not in a dependent relationship must be paid a lump sum. 
Dependants can include a spouse, de facto or ex-spouse, as well as children who rely on the person for necessary financial support or are aged under 18 years. Other people may qualify as being dependants of the deceased but adult children typically do not.
The amount of tax each beneficiary pays on the inheritance also depends, in part, on whether or not they are a dependant of the deceased. Other factors also influence the amount of tax due, including the tax structure of the fund itself.  
In some cases, a property held through an SMSF can be passed from a deceased fund member to their beneficiaries without leaving the fund. The way the SMSF is structured affects how easy and how costly it is to do this. 
SMSFs can have up to four members. They can be established with individual trustees, where each member is also a trustee, or with a corporate trustee where each member is also a director of the trustee company. 
If the fund was established with individual trustees, the titles on the SMSF’s assets and the individual trustees must be updated when a fund member dies. State governments and any administration systems the SMSF uses may charge fees for these changes.
Funds with a corporate trustee can change their members by updating the corporate trustee’s directors. The fund must notify the Australian Securities and Investments Commission and the Australian Taxation Office of these changes but there is no change to the title of the SMSF’s assets.
Are other vehicles better?
Holding property through an SMSF is just one way to pass the asset on through the generations. Other options include owning the property directly, or through another tax structure such as a company or family trust. Each has its advantages and drawbacks. 
SMSFs can be tax effective in some situations but there may be simpler and less costly alternatives. Each family is different and what’s best will vary depending on individual circumstances. Seek professional advice. 
 
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Set up future generations through estate planning: Forrester Cohen

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The Australian property markets find themselves in an unprecedented quandary with record low cash rates that have driven investment property prices in Sydney and Melbourne to record levels. The problem as I see it is that it is highly unlikely that such dizzy heights can be maintained, so that said one can assume that prices should start plateauing. 
The problem with that scenario is that given the present market conditions this is highly unlikely as property investors are only interested in Sydney and Melbourne real estate.
The owner occupier property market is much slower with stock levels at all-time lows which can be attributed to the fact that businesses are no longer paying cash bonuses preferring to reward staff with shares. What this has done is take billions of dollars from the owner occupier property markets which explains in principle why the owner occupier markets are so slow.
Nobody can really explain why property investors are only interested in Melbourne and Sydney especially when Australia is experiencing an unprecedented population explosion. This becomes even more confusing when we hear that Australia’s east coast is the destination expected to feel the full brunt of this population explosion.
This year I have been in dialogue with Richardson &amp; Wrench Projects where I have attended some information seminars to learn more about this fascinating investor market. The problem with real estate agents is that our knowledge is always contained within a particular postcode, hence a reluctance to look outside our comfort zone which is the very same mindset as property investors.
So the first question I wanted to know was where are the next best areas to invest outside Sydney and Melbourne, that are more much affordable with strong capital growth, excellent rental returns and with strong depreciation allowances. My question was answered immediately with two areas – Newcastle and Brisbane – well, that makes sense as they are both on the east coast with strong population forecasts.
With that in mind it was off to Brisbane to have a look around and see just why Brisbane is considered the next area to chase property investor returns. The first thing you notice is their road infrastructure is superior to Sydney’s with nowhere near the traffic congestion. Just like what we are now seeing with NSW where government is now on a record infrastructure spend, although in NSW we keep adding a new lane to infrastructure that was only constructed ten years ago. The government has allocated a further 120 billion dollars for infrastructure over the next three decades.
A new international airport and the big star attraction is the new Las Vegas style $4.000 billion casino – in many instances the South Bank area (which is the area I liked the most) reminded me of what’s happening at Barangaroo on Sydney Harbor. Although at a fraction of the price.
One of the most interesting points that really resonated with me was that the Richardson &amp; Wrench Projects team told me that they actually reject 90 per cent of projects that fail their strict criteria – which was evidenced in their project investment reports which are about sixty pages of research data. Investors in Sydney and Melbourne usually get a one or two page report if they are lucky which always have the usual disclaimers.
So what happens to the ninety per cent of developments that were rejected was my next question? Well, they lure those unsuspecting property investors and stitch them up which explains why property investors stick to the areas that sit well within their comfort zones – even though they know they are paying top dollar.
Australians love investing in property which explains why so much is written about bubbles, crashes and fear factor frenzies. So if you are contemplating stepping out of your comfort zone and looking for an investment area to watch closely we would recommend Brisbane – it’s a very interesting exercise especially for those who insist that you only invest in Sydney and Melbourne. I am the first to admit that this week’s visit to Brisbane has completely changed my property investment train of thought.
It’s important to note that Australia is changing (so must our perceptions) with the latest Bureau of Statistics projections now have Melbourne as Australia’s biggest growing city. Melbourne is tracking to become the country’s biggest city in 2056 and has also overtaken Western Australia to now be Australia’s fastest growing state.
MOSMAN – 2088
• Number of houses on the market this time last year – 74
• Number of houses on the market last week – 46
• Number of houses on the market this week – 43
• Number of apartments on the market this time last year – 57
• Number of apartments on the market last week – 43
• Number of apartments on the market this week – 39
CREMORNE – 2090
Number of houses on the market this time last year – 11
• Number of houses on the market last week – 6
• Number of houses on the market this week – 4
• Number of apartments on the market this time last year –11
• Number of apartments on the market last week – 8
• Number of apartments on the market this week – 12
NEUTRAL BAY – 2089
* Number of houses on the market this time last year – 3
• Number of houses on the market last week – 2
•Number of houses on the market this week – 2
• Number of apartments on the market this time last year– 42
• Number of apartments on the market last week – 30
• Number of apartments on the market this week – 39
ROBERT SIMEON is a director of <a href="https://www.rwm.com.au/" target="_blank" title="RWM" rel="nofollow">Richardson Wrench Mosman and Neutral Bay</a> and has been selling residential real estate in Sydney since 1985.  He has also been writing real estate blog <a href="https://www.rwm.com.au/news/" target="_blank" title="Virtual Realty News" rel="nofollow">Virtual Realty News</a> since 2000.
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Searching for the next investor hot spots? Robert Simeon

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<h3 class="post-title entry-title"> </h3>
<div id="post-body-5183975004734142219" class="post-body entry-content">
<div>
After a bit of pause in the ABS <a href="https://www.abs.gov.au/AUSSTATS/abs@.nsf/Lookup/3401.0Main+Features1Apr%202015?OpenDocument" target="_blank" style="line-height: 1.3em;">Overseas Arrivals and Departures</a> survey we have had no fewer than seven such releases since May...and there's yet another in the post in the next couple of days too!
</div>
<div> </div>
<div>The slowdown in Australia's population growth to +330,000 in 2014 was straightforward enough to predict for those who were paying attention - with Sydney and Melbourne leading the population growth charts - and regular readers will be well across the drivers of the downtrend.</div>
<div> </div>
<div>While most commentary is finally just about latching on to last year's story, I'm now getting more interested in trying to anticipate the eventual rebound - the causes thereof, and the likely timing. Let's have a look at a four trends to watch, and particularly the role of exchange rates thereon.</div>
 1 - Net long term migration <div>Rolling annual net long term migration slowed considerably from around 411,000 in January 2013 to just above 300,000 by April 2015.</div>
<div> </div>
<div><a href="https://1.bp.blogspot.com/-CsKHLxNp92E/VZhovUp0ezI/AAAAAAAAWog/kgkTP1sMsjg/s1600/Arr1.jpg" target="_blank">Click to enlarge</a></div>
 <div class="separator"><a href="https://1.bp.blogspot.com/-CsKHLxNp92E/VZhovUp0ezI/AAAAAAAAWog/kgkTP1sMsjg/s1600/Arr1.jpg"><img src="https://1.bp.blogspot.com/-CsKHLxNp92E/VZhovUp0ezI/AAAAAAAAWog/kgkTP1sMsjg/s640/Arr1.jpg" width="640" height="280"></a></div>
 <div>The downtrend is still in place but appears to be slowing. </div>
<div> </div>
<div>In any case, following some analysis of previous years' data the ABS itself <a href="https://petewargent.blogspot.com.au/2015/06/boomerang-departures-to-drive" target="_blank">cast doubts</a> on the relevance of the permanent departures statistics.</div>
 The ABS research implied that while ostensibly more than 380,000 Australians left the country on a long term or "permanent" basis over the past 12 months, a high proportion of them are likely return home within just a year. Observed the ABS: <div> </div>
<div>
"Analysis shows that the majority of those with an intention of permanently departing, return to Australia within the following year. For example, in the calendar year 2011, out of the 84,240 Australian residents who stated they were departing permanently, only 15,890 spent 12 months or more overseas."
</div>
 <div>Whether or not this proves to be true in the future is less clear, but it does serve as a timely reminder that all is often not as it seems when it comes to demographic trends.</div>
 <div>2 - Record short term arrivals</div>
<div> </div>
<div>As the Aussie dollar has declined from around 110 US cents close to just 75 cents, the domestic economy is set to benefit from record high short term arrivals, now tracking at well over 7 million in the year to April 2015.</div>
<div> </div>
<div>The chart below suggests that we might expect trends in short term arrivals and departures to dovetail with respect to changes in the strength or otherwise of our currency.</div>
<div> </div>
<div>With the awesome strength of the Aussie dollar through the mining investment boom it was no surprise to see short term departures exploding higher. 
</div>
<div>I even took full advantage of this myself to undertake a rather extravagant world cruise in 2011, something which seems somewhat less appealing now, at least from a cost perspective!</div>
<div> </div>
<div>Now that the dollar has depreciated it is all but inevitable that this rampant trend towards overseas travel will reverse and comparatively fewer Australians will choose to travel and holiday overseas.</div>
<div> </div>
<div><a href="https://2.bp.blogspot.com/-aeVfFBTDcNc/VZhoxu3OR4I/AAAAAAAAWo0/POJh6u2LYwI/s1600/arr4.jpg">Click to enlarge</a></div>
 <a href="https://2.bp.blogspot.com/-aeVfFBTDcNc/VZhoxu3OR4I/AAAAAAAAWo0/POJh6u2LYwI/s1600/arr4.jpg"><img src="https://2.bp.blogspot.com/-aeVfFBTDcNc/VZhoxu3OR4I/AAAAAAAAWo0/POJh6u2LYwI/s640/arr4.jpg" width="640" height="290"></a> In fact, although the above chart doesn't yet appear to suggest so, this has already begun to happen, which is a net positive for the domestic economy. <div>The below chart records the ratio of short term departures to short term arrivals by month, and reveals that the ratio has steadily fallen to sit at its lowest level since the first quarter of calendar year 2011.</div>
<div> </div>
<div><a href="https://1.bp.blogspot.com/-d6rsK8_HQD0/VZhow5WJAMI/AAAAAAAAWoo/hGaZ0NeT8ys/s1600/Arr8.jpg" target="_blank">Click to enlarge</a></div>
 <a href="https://1.bp.blogspot.com/-d6rsK8_HQD0/VZhow5WJAMI/AAAAAAAAWoo/hGaZ0NeT8ys/s1600/Arr8.jpg"><img src="https://1.bp.blogspot.com/-d6rsK8_HQD0/VZhow5WJAMI/AAAAAAAAWoo/hGaZ0NeT8ys/s640/Arr8.jpg" width="640" height="274"></a> The Aussie dollar likely has further to fall, and in turn so too does this ratio. 3 - Compositional shift of arrivals When people observe housing market trends and opine that the role of Chinese investment might be a passing fad, they might want to think again. <div> </div>
<div>Credit Suisse projects that Chinese investors will drop some $60 billion into Australia's housing markets over the five years to 2020, more than double the estimated $28 million in the preceding five years. </div>
<div> </div>
<div>Meanwhile the number of Chinese USD millionaires is expected to rise at 14% per annum (Chinese stock market corrections notwithstanding!) thereby doubling to 2.6 million by the end of the decade.</div>
<div> </div>
<div>While there must be an element of guesswork and extrapolation involved here, I've seen nothing in the housing market activity which causes me to cast doubt on the estimates.</div>
 <div>Comfortably the most significant change in short term visitors to Australia has been the explosion in Chinese short term arrivals since the turn of the century.</div>
 <div>In February 2015, the month which incorporated Chinese New Year, an astonishing 198,700 visitors came to Australia from China, Hong Kong and Taiwan combined.</div>
<div> </div>
<div>
<a href="https://4.bp.blogspot.com/-FriL70hzVFg/VZjW4f53AUI/AAAAAAAAWp8/RZosv0cwvJw/s1600/Chindia.jpg" target="_blank">Click to enlarge</a> <div class="separator"><a href="https://4.bp.blogspot.com/-FriL70hzVFg/VZjW4f53AUI/AAAAAAAAWp8/RZosv0cwvJw/s1600/Chindia.jpg"><img src="https://4.bp.blogspot.com/-FriL70hzVFg/VZjW4f53AUI/AAAAAAAAWp8/RZosv0cwvJw/s640/Chindia.jpg" width="640" height="276"></a></div>
</div>
Interestingly the "original" data for the three months to April also revealed unprecedented numbers of Indian short term arrivals at 66,500, while the Americans are also enjoying the shifts in the exchange rate with rolling annual number of short term visitors rising to a record 563,800. <div class="separator"> </div>
 <div>We can expect that eventually some of these trends will flow through to Australia's permanent settler figures.</div>
 <div>While the number of Brits settling is threatening to become immaterial - at just 590 settlers in April, less than a quarter of the levels seen in 2008 - and permanent New Zealander immigrants are trending sharply down, Indian and Chinese settlers are rapidly tracking at or close to record levels. 
</div>
<div><a href="https://4.bp.blogspot.com/-f8touQwzFSo/VZhowb-0JsI/AAAAAAAAWos/5pVKyqyQIbY/s1600/Arr6.jpg" target="_blank">Click to enlarge</a></div>
<div> </div>
<a href="https://4.bp.blogspot.com/-f8touQwzFSo/VZhowb-0JsI/AAAAAAAAWos/5pVKyqyQIbY/s1600/Arr6.jpg"><img src="https://4.bp.blogspot.com/-f8touQwzFSo/VZhowb-0JsI/AAAAAAAAWos/5pVKyqyQIbY/s640/Arr6.jpg" width="640" height="278"></a> <div> </div>
<div>Indeed, there were 73,370 settlers hailing from Asia in the year to April 2015 as compared to fewer than 15,000 from Europe.</div>
 It's a huge shift in composition that is underway. <div class="separator"> </div>
4 - Record education enrolments in Q1 2015 <div>One other unfolding trend to watch which is also tied to the depreciation of the currency is the record number of foreign student enrolments seen in the first quarter of 2015.</div>
<div> </div>
<div>The ABS series shows that the rolling annual number of short term arrivals into Australia in the year to April for education has blasted to its highest ever level at 421,400.</div>
<div> </div>
<div><a href="https://2.bp.blogspot.com/-rfQpqET2No8/VZhovXWXDPI/AAAAAAAAWoc/7GjRMo7Gbjo/s1600/Arr5.jpg" target="_blank">Click to enlarge</a></div>
 <div class="separator"><a href="https://2.bp.blogspot.com/-rfQpqET2No8/VZhovXWXDPI/AAAAAAAAWoc/7GjRMo7Gbjo/s1600/Arr5.jpg"><img src="https://2.bp.blogspot.com/-rfQpqET2No8/VZhovXWXDPI/AAAAAAAAWoc/7GjRMo7Gbjo/s640/Arr5.jpg" width="640" height="280"></a></div>
 <div>This is another demographic trend which is heavily skewed towards Asian participants, and Chinese students in particular, and one we can expect to keep on growing.</div>
<div> </div>
<div>
PETE WARGENT is the co-founder of <a href="https://allenwargent.com/" target="_blank" rel="nofollow">AllenWargent</a> property buyers (London, Sydney) and a best-selling author and <a href="https://petewargent.blogspot.com/" target="_blank" rel="nofollow">blogger</a>. 
His latest book is <a href="https://www.bigskypublishing.com.au/Books/General-Interest/Four-Green-Houses--and-a-Red-Hotel/1015/productview.aspx" target="_blank" rel="nofollow">Four Green Houses and a Red Hotel</a>.
</div>
</div>
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Watch the dollar driven demographic dispositions: Pete Wargent

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Investor activity has surged over recent years and now shows that in March 2015, investors committed to $12.9 billion in housing finance.
By comparison, investment mortgage commitments reached a recent low of $6.3 billion in April 2011.
The recent rise to $12.9 billion has seen the value of commitments rise 105% in less than 4 years.
While state data is seasonally adjusted, these markets tend to be a little more volatile. Nevertheless, it shows $13.5 billion worth of commitments in March 2015.
A state by state breakdown shows that nationally, NSW accounted for 46.0% of all investor mortgage commitments. The value of commitments in NSW was greater than the value of all states and territories combined except for WA. Of particular note is the fact that this data largely reflects what is happening in Sydney which experienced a significant rise in investment lending over the past 3 years.
Across all states the recent low in investment lending has been in either January or February of certain years and we’ve found that this time of year is a seasonally slower period for mortgage lending.
After APRA wrote to Australian banks, credit unions and building societies late last year re-affirming sound residential mortgage policies we have recently started to see many banks change their lending policies.
A large focus of these changes has been around investment mortgages and over the coming months we should eventually see investment lending start to slow.
<a href="/images/2015/06/04/700_Statebreakout.jpg" target="_blank">Click to enlarge</a>
<img src="/images/2015/06/04/700_Statebreakout.jpg" alt="">
 
<a href="/images/2015/06/04/700_lending.jpg" target="_blank">Click to enlarge</a>
 
 
<img src="/images/2015/06/04/700_lending.jpg" alt="">
NSW – in March 2015, investors committed to $6.2 billion in mortgages, a year-on-year increase of 37.2%. Over the past 3 years the value of investment mortgage commitments has increased by 155%. If you remove refinances, investors accounted for 60.0% of all new lending in NSW in March 2015.
Vic – investors committed to $3.1 billion in mortgages in March, a 17.1% year-on-year rise. Investors accounted for 48.6% of new lending in March and the value of commitments is 70% higher over the past 3 years.
Qld – at $2.2 billion in March, investor lending has risen by 43.1% year-on-year and is 69% higher over the past 3 years. Investors accounted for 47.2% of new lending over the month.
SA – investment lending has increased by 28.3% year-on-year to March 2015 to $508.8 million and has increased by 32% over the past 3 years. Investors accounted for 43.0% of new lending in March 2015.
WA – investors accounted for 39.0% of new mortgage lending over the month with $1.1 billion in commitments. Investor mortgage commitments have increased by 4.5% year-on-year and by 31% over the past 3 years.
Tas – investors currently account for 30.5% of new mortgage lending $with a total of $70.8 million. The value of investment commitments is 21.3% higher over the year and has increased by 41% over the past 3 years.
NT – at $103.5 million in March 2015, investment lending is -1.1% lower over the year. Investment lending has increased by 14% over the past 3 years and investors currently account for 55.3% of all new mortgage lending.
ACT – at $168.3 million in March 2015, investment lending is 2.9% higher over the year. Investment lending has increased by 8% over the past 3 years and investors currently make-up 41.8% of all new mortgage lending.
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Investment lending set to slow: Cameron Kusher

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If you listen to people who see real estate through generalised numbers, you would never invest anywhere in regional Australia.
There is no shortage of commentators ready to quote average numbers that, at face value, downgrade regional cities and towns as places unworthy of investor attention.
If the average capital growth for regional Australia is less than the average for the capital cities, it’s taken as evidence that the regions are inferior. That blanket assessment covers all regional locations.
The commentators should know better (some of them do, I’m sure, but don’t care about accuracy or balance) and so should the media.
The average for regional Australia includes every depressed or drought-affected country town on the continent. It includes all those locations impacted by the decline in the resources sector or by the growing use of workers camps to accommodate fly-in-fly-out workers, which has created price decline in specific areas. 
The generalised figure is dragged down by all those negative situations and disguises the locations which don’t fit the apparent norm. Many regional cities are above average and some are exceptional.
Locations like Toowoomba in Queensland, where price growth has been in double digits over the past 2-3 years, or Gosford in New South Wales, where many suburbs have delivered growth higher than Sydney’s.
Investors need to consider the advantages of focusing on regional Australia, which can present a win-win-win situation: lower entry prices, better rental yields and great prospects for capital growth, if they do their research and identify the best places to buy.
Then they need to consider the fundamentals of what makes a good destination for their investment dollars: a large and growing population, a strategic location, economic diversity, good infrastructure, services that attract residents from the wider area, good transport links to key locations like the nearest capital city, affordable prices, low vacancy rates and strong rental yields.
Across the vast continent of Australia, there are many towns that simply don’t fit the criteria.
That’s irrelevant. What matters are the ones that do.
Yesterday Prime Minister (for now, anyway) Malcolm Turnbull made an announcement that’s pertinent to this discussion. He announced a contract for the construction of army vehicles worth over a billion dollars and one that will secure many hundreds of jobs in the Victorian regional city of Bendigo. 
Thales Australia, which will manufacture the new armoured personnel carriers, is one of many major businesses that are based in Bendigo but operate nationally. 
Bendigo is one of those regional cities that tick most of the investment boxes. It’s strong, it’s growing, there’s big spending on new infrastructure, it has great economic diversity and it now has faster connections to Melbourne through the $5 billion regional rail link. 
It offers the affordable prices and attractive rental yields that you usually cannot find in Melbourne and other major capital cities.
But if you looked only at the sweeping generalisations of shallow commentators, you would never consider it.
Terry Ryder is the founder of <a href="https://www.hotspotting.com.au/" target="_blank">hotspotting.com.au</a>. You can <a href="https://mailto:ryder@hotspotting.com.au" target="_blank">email him</a> or follow him on <a href="https://twitter.com/hotspotting" target="_blank">Twitter.</a> 
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Advantages of regional property investment: Terry Ryder

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The federal government has rejected the Murray review's proposal to ban self-managed superannuation funds from borrowing to buy property.
The new Treasurer Scott Morrison said yesterday there was insufficient evidence to support an immediate ban on borrowing.
"The information collected on this doesn't lead us towards that conclusion at this point," he said. 
However, regulators would be asked to monitor the situation closely and report their findings to the government, he said. 
The decision to reject a borrowing ban, which was recommended by the Murray Inquiry amid concerns about the stability of the system if property prices crash, will be welcomed by super fund investors.
In August then Assistant Federal Treasurer Josh Frydenberg gave the strongest signal yet that the then Abbott Government would not implement a recommendation to ban do-it-yourself super funds from borrowing to invest in property.
"I want to emphasise that we have been considering this recommendation very carefully but flag that we want to make sure the approach we take is proportionate to the risks that have been identified," he said adding to put it in context "only 0.07%, perhaps 6,500 properties, were held in an SMSF through a limited recourse borrowing arrangement in 2013." 
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SMSF borrowing ban ruled out by Treasurer Scott Morrison

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So why choose commercial property over residential?
Obviously this is the question every residential investor asks… whenever they are considering the transition across to commercial property.
However, you will quickly discover the reasons are rather compelling.
Reason #1: Your tenants stay for longer
For the most part, you find residential tenancies will be on a month-by-month basis… maybe 6 months, perhaps for a year if you’re lucky.
Whereas commercial leases will tend to range between 3 and 5 years - and it can often be for longer. That means you have fewer tenancy changes, and a far more predictable income stream.
Reason #2: You have greater control
When residential tenants wish to leave half-way through a lease, they simply need to find a suitable substitute tenant. And then, they will transfer the lease across to that person.
From there on, this new tenant becomes responsible for the rental, over the remainder of the lease term.
Whereas commercial tenants are running a business from your property. And whenever they sell their business, they also require your approval to “assign” the lease.
However, here’s the real difference: If the new commercial tenant defaults in paying the rental, you also have recourse to the previous tenant as well - because commercial leases are business contracts, enforceable by law.
Reason #3: You no longer need to pay the outgoings
Typically, residential properties will provide you with a 5% gross rental return.
From this, you need to pay the rates &amp; taxes, insurance, maintenance and so on — leaving you with about a 2.5% to 3% NET return, at the end of the year.
Depending upon what (and where) they are… commercial properties will generate a 5% to 9% NET rental return, each year.
And that’s because commercial tenants are also required to pay the various building outgoings on top of their rental - making this a true NET rental return for you.
Reason #4: Commercial tenants maintain your property
As you know, if the toilet stops working in an apartment … the tenant asks you to send around a plumber. Whereas commercial tenants quickly attend to (and pay to fix) the problem themselves - so as not to disrupt their business. 
Furthermore, the overall appearance of the property becomes a reflection on them. As such, your property is maintained in top condition … at their expense.
Therefore, whether the lease requires it or not … most commercial tenants will regularly repair and repaint the property, in order to maintain a good corporate image.
Reason #5: Greater regularity with rental payments
Most residential properties are rented by individuals. Therefore, the rent is often paid in cash, by personal cheque or by direct transfer. And this can often vary in its timing.
Because they are running a business, commercial tenants consider rent as simply another regular expense each month.
And generally, this gets set up as an automatic Periodic payment - and can be specified as such, within the lease.
Bottom Line: In essence, you find yourself having to deal with the vagaries of individual people… as a residential investor.
However, when you become a commercial investor… you start to enjoy a more predictable long-term relationship with your tenants - based upon a proper business footing.
Doesn’t that sound like a far better arrangement - particularly when you can purchase a small office for the same price as a two-bedroom apartment?
Chris Lang is an advisor to commercial property investors, sell-out author and regular speaker on how to invest in commercial property. You can contact Chris <a href="https://commercialpropertymadeeasy.com" target="_blank">here</a>.
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Why choose commercial property over residential? Chris Lang

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One of the side effects of Sydney’s boom is that prices have risen a lot but rents haven’t, so yields have become ugly – i.e. not attractive to investors.
Melbourne prices haven’t risen as much (generally speaking) but the city has developed a gap between prices and rents similar to Sydney’s. These days you’re lucky to find a rental yield as high as 3% - which, even in these days of low interest rates, is unappealing.
Other capital cities like Adelaide and Brisbane have much better yields on offer, but for investors seeking properties that can pay their own way the pickings are slim.
There was a time when investors could access double-digit rental yields in resources-related locations (if they were willing to disregard risk). But many of those markets have collapsed, either through developer over-supply or the impact of FIFO workforces or the mining downturn - or some combination of those three factors.
There’s nowhere left that provides 10%-plus rental yields. Some of the more careless research houses publish lists claiming you can get 15% or 20% yields in certain locations, but those are statistical aberrations that prove the adage about “garbage in, garbage out”, exacerbated by researchers with a garbage approach to business ethics (as long as it generates publicity, to hell with accuracy).
A recent list claimed you could get yields above 30% (!!) in Mission Beach in Queensland, when in reality typical yields on residential property in this location are below 5%. If 30% yields were truly achievable, every investor in Australia would be stampeding north and buying every property in sight. 
The best yields you can find anywhere in Australia – I mean genuine rental yields based on real situations, not computer glitches, in locations of substance – are to be found in Cairns.
Cairns is one of a number of regional Queensland cities where you can readily buy property that pays its own way – i.e. cash flow positive or at least neutral. 
In the North Queensland city, you can find plenty of houses with rental returns in the 5.5% to 6% range and apartments between 7% and 8%. I can’t find another market of substance with rental yields that strong. 
Other regional cities in the state offer attractive returns as well. The Sunshine Coast, Townsville and Hervey Bay have this in common: houses where yields are typically in the 4.7% to 5.5% range and units that generally range from 5.7% to 6.5%. If you hunt around, you can find better.
The other common things they share are strong economies, growing populations, major spending on infrastructure, ambitious local councils and plenty of affordable dwellings. They’re all on growth paths, some of them after long periods of under achievement.
Some, like Cairns and the Sunshine Coast, are transition economies, where civic and business leaders have recognised that the historic reliance on tourism makes them vulnerable to downturns caused by forces beyond their control. So they’ve been proactively working to broaden the economic base and encourage new industries.
The Sunshine Coast now has a medical sector that didn’t previously exist, based on the $2 billion University Hospital which is generating all kinds of new medically-related development around it. It’s helping the Sunshine Coast become a regional city, rather than a coastal retreat for tourists and retirees. Similar things are happening in Cairns and, to a lesser extent, in Hervey Bay.
These property markets are starting to deliver good price growth and strong rents, with yields far in excess of what you can get in any of the capital cities.
 Terry Ryder is the founder of <a href="https://www.hotspotting.com.au/" target="_blank">hotspotting.com.au</a>. You can <a href="https://mailto:ryder@hotspotting.com.au" target="_blank">email him</a> or follow him on <a href="https://twitter.com/hotspotting" target="_blank">Twitter.</a>
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Sydney rental yields becoming ugly: Terry Ryder

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GUEST OBSERVER
The Real Estate Institute of Victoria has backed new initiatives announced by the State Government today, including significant road and rail investment across the state. 
The $10.4 billion investment in public transport and road projects will drive growth across the city and regional Victoria. 
Given the significant growth in Melbourne’s outer suburbs in the past two quarters, improved road and rail infrastructure will drive continued price growth in areas further from the city and within commuting distance of the CBD.
The REIV also welcomed a further $75.4 million for services and facilities in Melbourne’s outer suburbs and growing regional communities.
With estimated population growth of about 100,000 people each year, amenities investment in suburbs more than 20km from the city is necessary to ensure these suburbs remain attractive for home buyers. 
Significant new Budget measures include $2.9 billion for Melbourne’s Metro Tunnel, $1.46 billion for the Western Distributor, $924 million for new and upgraded schools and $982 million in improvements to the state’s health system.
The REIV also backed the State Government’s commitment to streamlining the planning process.
This includes creating an online portal for applications, improved zone controls and faster approvals in commercial and industrial zones.  
The State Government also announced changes to land tax and stamp duty for overseas buyers of Victorian property.   
Victoria is the most liveable city in the world and it’s important that these buyers contribute to ongoing infrastructure development and amenities.
Duty increases for overseas purchasers will help enhance the city’s housing stock at a time when our population is growing faster than any other capital city.
The REIV would like more Victorians to have access to home ownership and we call on the Government to consider greater assistance, especially for first home buyers.
‎Enzo Raimondo is chief executive officer of <a href="https://www.reiv.com.au/" target="_blank">The Real Estate Institute of Victoria</a>.
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