Roseville is poised for a wave of new apartment development following the NSW Government's rezoning of land around Roseville Station under its Transport Oriented Development program.

The new planning controls have unlocked significant development potential within walking distance of the station, with a number of sites expected to be amalgamated and redeveloped in the coming years as developers seek to take advantage of the increased density allowances.

One of the more restrained developments in the precinct, and set among the first to be delivered having commenced well before the recent changes, is Hyecorp's Juliet. The boutique apartment project is already well under construction and remains on track to welcome residents by the end of the year, offering a markedly different proposition to many of the larger-scale developments now likely to emerge across the suburb.

[smartcode_project:default project_id=7395 project_image_fid=278194]

<a href="https://www.apartments.com.au/new-apartments/juliet-roseville-64-pacific-highway-roseville-nsw-2069">Juliet</a> will comprise just&nbsp;34 one-, two-, and three-bedroom apartments opposite Roseville Station. For Hyecorp, which has delivered projects across Sydney's Lower North Shore for more than three decades, Roseville presented a rare opportunity to address a growing gap in the market.

"<a href="https://www.apartments.com.au/developments/roseville-nsw-2069">Roseville</a> has long been one of the North Shore's most tightly held and desirable suburbs, offering a unique combination of village charm, established greenery, excellent transport connections, and proximity to some of Sydney's best schools and lifestyle amenities," Hyecorp said.

"We recognised a growing demand from local homeowners seeking to downsize without leaving the community they have built their lives around. The location presented a rare opportunity to create homes that cater specifically to that buyer profile."

[smartcode_project:default project_id=7395 project_image_fid=278196]

The six-level development has been designed by <a href="https://www.apartments.com.au/architects/pbd-architects">PBD Architects</a> as a collection of residences that feel more like homes than apartments. The brief centred generous floorplans, abundant natural light, quality finishes, and strong connections to outdoor space.

PBD Architects drew inspiration from Roseville's established garden suburb character, creating a building that sits comfortably within its surroundings rather than dominating them. The architecture incorporates natural materials, soft forms, layered landscaping, expansive balconies, and generous setbacks to strengthen the connection between residents and the suburb's leafy environment.

"The focus was on designing spacious, house-like residences for discerning owner-occupiers and downsizers who wanted to remain on the North Shore without compromising on comfort, privacy, or design," PBD said.&nbsp;

"Every apartment was to feel considered, timeless, and highly functional."

[smartcode_project:default project_id=7395 project_image_fid=278195]

Inside, residences feature engineered timber flooring, stone kitchen benchtops and splashbacks, integrated Fisher &amp; Paykel appliances, ducted air conditioning, and large outdoor entertaining areas designed to take advantage of district and treetop views.

Residents will also have access to a rooftop barbecue and lounge area, alongside practical amenities including parcel lockers, EV charging capability, bicycle storage, a dog wash bay, and a basement car wash facility.

The majority of purchasers so far have been local owner-occupiers from Roseville, Lindfield, Chatswood, Killara, and the broader Upper North Shore, many of whom are transitioning from larger family homes.

"Buyers are looking for spacious, house-like apartments that allow them to downsize without feeling like they are sacrificing comfort or functionality," Hyecorp noted.

"They value large kitchens, generous living areas, ample storage, quality finishes, secure parking, lift access, and low-maintenance living."

[smartcode_project:default project_id=7395 project_image_fid=278204]

Juliet sits directly opposite Roseville Train Station and within walking distance of Roseville Village, while Chatswood's retail and dining precinct is only minutes away. The development is also surrounded by some of Sydney's most established schools, including Roseville College, Ravenswood, Pymble Ladies' College, and Knox Grammar, as well as nearby parklands and golf courses.

Juliet is currently more than 75 per cent sold ahead of its anticipated completion in late 2026.

[smartcode_project_cta:default project_id=7395]

Joel Robinson

Juliet to sit quietly amid Roseville apartment boom

Sherpa Property Group has unveiled the third instalment of its Flourish series, securing full approval for the two-tower, $500 million Flourish Soleira development in Palm Beach.

<a href="https://www.apartments.com.au/new-apartments/flourish-soleira-1150-1154-gold-coast-highway-palm-beach-qld-4221">Flourish Soleira</a> will rise from a prominent site in the commercial heart of Palm Beach, the long-time home of Cash Converters and a range of local retailers.

The project will introduce a new retail and dining precinct at ground level, beneath 286 apartments.

[smartcode_project:default project_id=150017 project_image_fid=370959]

“We’re very committed to not only providing affordable residential offerings that are much needed in Palm Beach, but also delivering a vibrant new commercial heart that complements the extraordinary growth of the southern Gold Coast,” Sherpa Property Group founder Christie Leet said.

The development will sit under Sherpa's Flourish brand, which is aimed at providing a pathway into the beachside suburb for locals, first-home buyers and downsizers. In a move designed to assist first-home buyers entering the market, Sherpa has reserved all one and two-bedroom, one-bathroom apartments exclusively for eligible first-home buyers.

[smartcode_project:default project_id=150017 project_image_fid=370964]

“Our vision through Flourish is to create a vibrant retail and lifestyle focal point within the Palm Beach centre zone, delivering thriving communities underpinned by lifestyle-rich locations,” Leet said.

“So far, Flourish has been an incredible success, and we hope to carry this momentum as we progress the next two Flourish projects in Palm Beach.”

[smartcode_project:default project_id=150017 project_image_fid=371430]

Located across 1150-1164 Gold Coast Highway and 3 Sixth Avenue, the development will comprise two towers. The northern tower will deliver 154 apartments, while the southern tower will add a further 132 residences, helping address ongoing demand for new apartments in the tightly held coastal suburb.

Flourish Soleira will also feature the most extensive rooftop amenity offering ever delivered in Palm Beach.

The two towers will be connected by a skybridge, with residents gaining access to a rooftop recreation deck featuring a full-width swimming pool, hot and cold plunge pools, wellness spaces, a gymnasium, private dining facilities, massage treatment rooms, barbecue areas, a basketball court, golf simulator, indoor and outdoor dining spaces, sun lounges and extensive landscaping.

LPS Group is expected to start construction later this year.

Sherpa is already well advanced on construction of its debut Flourish project, Flourish Amargo, located just around the corner from Soleira. Meanwhile, Flourish Oasis, positioned opposite Amargo, recently commenced construction and has nearly sold out its collection of 47 apartments.

[smartcode_project_cta:default project_id=150017]

Sherpa unveils $500m mixed-use Palm Beach precinct, Flourish Soleira

Are mortgage holders set to get a reprieve from the RBA in 2026?

Big Four bank NAB believes so. They are now expecting the next move from the RBA to be a cut, rather than a hike, which they had pencilled in for August. They are unsure of the timing of the cut however, they note in their latest&nbsp;NAB Economics RBA Watch.

NAB Chief Economist, Dr Sally Auld, said recent data suggests the economy has lost momentum and the outlook for rates has shifted, noting that the broader economic backdrop has changed since earlier in the year.

“The next move in the cash rate is likely to be down, but the timing is uncertain," Dr Auld said.

"In February, growth was above trend, the economy was operating above capacity and there was uncertainty over the restrictiveness of rates. None of these conditions exist today,” she outlined.

Dr Auld said recent data pointed to softer momentum across the economy while acknowledging that at the same time, uncertainty remains a key feature of the outlook.

“Both Q1 GDP data and the NAB business survey suggest momentum in the economy has slowed, meaning that growth has likely peaked for the cycle. That said, we are cognisant there is still considerable uncertainty around the outlook, both with respect to activity and inflation.”

Dr Auld said inflation risks and labour market outcomes would be important to watch.

“On the prices side, we are still forecasting above target core inflation through to mid-2027. Margins will compress and weaker labour market outcomes are a risk.”

She said tighter financial conditions are expected to weigh on housing and activity.

“Tighter financial conditions will be reflected in a slowing in house price growth and housing credit growth. In summary, we have greater conviction that the next move in rates is down, but less conviction on the timing.”

Mortgage relief? NAB forecasts RBA rate cut, not hike, after softer economic conditions

A local downsizer has splashed $6.5 million on a penthouse in Perifa's Alex &amp; Willow development in Crows Nest. 
&nbsp; 
The purchaser sold their long-held family home in the area before embarking on a six-month search for the right apartment. After inspecting a range of options across the Lower North Shore, the buyer returned to <a href="https://www.apartments.com.au/new-apartments/alex-willow-crows-nest-82-90-alexander-street-crows-nest-nsw-2065">Alex &amp; Willow</a>. 
&nbsp; 
The buyer profile reflects the project’s broader purchaser mix. <a>Alex &amp; Willow</a> has attracted predominantly local downsizers looking to transition from larger homes without compromising on space or quality, alongside a smaller cohort of upsizers and investors drawn to the project’s location and design credentials. 
&nbsp; 
The milestone sale comes as the project, developed by&nbsp;<a href="https://www.apartments.com.au/developers/perifa">Perifa</a>&nbsp;and delivered by <a href="https://www.apartments.com.au/builders/versatile-made-construction">Versatile Construction</a>, both part of Versatile Group, reaches 60 per cent sold.

[smartcode_project:default project_id=6680 project_image_fid=371325] 
&nbsp; 
Eddie Mansour, Managing Partner of <a href="https://www.apartments.com.au/project-marketer/ray-white-projects">Ray White Projects</a>, said the result demonstrates not only a headline price but also depth of demand. 
&nbsp; 
“This is an exceptional outcome and a clear reflection of sustained buyer demand for premium, well-located downsizer product,” Mansour said.

“We’re seeing a consistent pattern of local homeowners selling family residences and reinvesting into high-quality apartments that allow them to remain within their community. Alex &amp; Willow has resonated strongly with this group because it offers genuine scale, thoughtful design and immediate proximity to the village.” 
&nbsp; 
The sale reflects a broader and consistent trend of local downsizers actively seeking high-quality, low-maintenance residences close to established village centres. Agents report that demand for this product type has remained resilient, particularly where developments offer a rare combination of scale, design quality and walkable amenity. 
&nbsp;&nbsp; 
Fabrizio Perilli, Managing Director of Perifa and Versatile Group, said the sale marks a defining moment for the project. 
&nbsp; 
“The penthouse sale is a strong endorsement of the quality we have delivered, alongside our partners, and the clear demand from local downsizers for premium, boutique residences in this location,” Perilli said.&nbsp; 
&nbsp; 
“Most importantly, we’re proud to see the Alex &amp; Willow community beginning to take shape. As we move closer to completion, we’re looking forward to welcoming residents and seeing the project come to life.”&nbsp;

[smartcode_project:default project_id=6680 project_image_fid=338516] 
&nbsp; 
Designed by <a href="https://www.apartments.com.au/architects/nettletontribe">Nettleton Tribe</a> with interiors by <a href="https://www.apartments.com.au/interior-designers/richards-stanisich">Richards Stanisich</a>, Alex &amp; Willow is a boutique collection of generously sized two- and three-bedroom residences in the heart of Crows Nest village.&nbsp;

Completion is slated for early 2027.

[smartcode_project_cta:default project_id=6680]

Alex & Willow, Crows Nest penthouse sells off the plan for $6.5 million

Fresh from launching the first stage of its Wollongong precinct, <a href="https://www.apartments.com.au/new-apartments/keira-place-wollongong-120-122-smith-street-wollongong-nsw-2500">Keira Place</a>, builder-developer Urban Property Group has unveiled plans for the next phase of the masterplanned community.

Now on public exhibition through the NSW Government's Housing Delivery Authority pathway is a State Significant Development Application for a further 657 homes on the prominent gateway site opposite Beaton Park.

The proposal comprises three buildings, including two build-to-sell towers rising 25 and 30 storeys, delivering 391 apartments, alongside a 12-storey co-living building with 266 residences, making it one of the largest co-living proposals currently planned in regional New South Wales.

Of the apartments proposed in the build-to-sell towers, the majority, 310, are two-bedroom dwellings. The balance comprises 44 one-bedroom apartments and 37 three-bedroom residences. Apartment sizes range from around 50 sqm for one-bedroom homes to approximately 90 sqm for three-bedroom apartments.

<img alt="Smith St" data-entity-type="file" data-entity-uuid="19347059-1612-41a0-9c74-b86a657237f8" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-06-10%20at%2010.02.18%E2%80%AFAM.png?VersionId=sWXnaCcA.cIC6N8YT1dg5pJ2e1V3Z6z7" />

The submission says the proposal has evolved significantly from its original Housing Delivery Authority application following extensive consultation with the State Design Review Panel and Wollongong City Council.

The final scheme has been designed to align with the emerging vision for the Flinders Street Precinct, an area identified by Council as a future high-density mixed-use neighbourhood capable of accommodating substantial housing growth close to transport, employment and community infrastructure.

According to the design report prepared by COX Architecture, the development aims to "deliver a built outcome consistent with the future character of the Wollongong CBD while responding to the site's unique constraints and opportunities."

"Our vision for the next phase of the site evolution in Wollongong is grounded in three design pillars that guide the design response: place, natural environment and celebration," COX said.

"Inspired by its surroundings and grounded in the stories of place on Wodi Wodi Country, the design proposal acknowledges the established character of its setting while creating a unique and timeless identity that sits harmoniously within it.

"The design proposal responds to its specific site conditions, acknowledging the vegetation, climate, wind conditions and solar access of the site."

The architecture responds directly to the site's position between Wollongong's urban core and its natural landscape setting.

COX identified views towards Mount Keira and the Illawarra Escarpment as defining features of the site, while the upper levels of the towers will also capture expansive views across the city and out to the Pacific Ocean.

The design team has positioned the tallest buildings closer to the rail corridor, where overshadowing impacts can be better managed while establishing a landmark built form on the northern approach into the city.

<img alt="Smith St" data-entity-type="file" data-entity-uuid="79580d5b-500c-4ebf-9629-797146a4a694" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-06-10%20at%209.51.59%E2%80%AFAM.png?VersionId=WbTB1EKSG.KDfsfz0F3wp1QVa2oCMGR5" />

Urban Property Group secured the 11,000 sqm Smith Street site in 2022 and has since progressed plans for the broader Keira Place precinct.

Construction recently commenced on the first stage of Keira Place, which will deliver 150 apartments across two residential buildings, including 27 affordable housing apartments and 18 specialist disability accommodation dwellings, alongside activated ground-floor retail and commercial space.

Urban Co-CEO Patrick Elias said the commencement of construction marked a significant milestone for Wollongong and reflected the developer's long-term commitment to regional cities.

"Today's groundbreaking is about turning approvals into homes and moving quickly to deliver much-needed housing in Wollongong's city centre," Elias said.

"Keira Place will provide a diverse mix of homes close to jobs, transport and services, while setting a high benchmark for quality, durability and consumer protection."

Read more:&nbsp;<a href="https://www.apartments.com.au/news/nsw/groundbreaking-marks-start-of-construction-at-keira-place-in-wollongong-cbd">Groundbreaking marks start of construction at Keira Place in Wollongong CBD</a>

&nbsp;

&nbsp;

&nbsp;

Urban Property Group unveils trio of towers for next stage of new Wollongong precinct, Keira Place

Property market

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We read and hear a lot of comments about how expensive Sydney real estate is, and we have had some very expensive homes sold here plus some exclusive apartments, although we are yet to reach the price levels associated with some high-end apartments in cities like Milan, Dubai, New York and London.
Many of these apartments, designed to appeal to the super-rich and the fashion savvy buyer are promoted with high-end brands like Baccarat, Armani, Moschino, Missoni, Dunhill, Ferrari, Bulgari and Versace
Baccarat Residences in New York is one example where you can buy a pied-a-terre or if you have big bank balance a ‘palace in the sky’. Baccarat offers features like dramatic living spaces with twenty-foot ceilings but it’s the finer details that add up to a mouth-watering selection of features in these stunning apartments.
Designer Interiors
It all starts with interiors by one of New York’s best know interior style whizzes Tony Ingrao who’s an Architectural Digest 100 designer, with touches like floors that are six-inch white oak planks finished with custom-designed ebony-mahogany stain and entry doors with Baccarat crystal handles and Baccarat lighting fittings the foyers.
These apartments come with Siematic Kitchens including granite bench-tops appliances by Sub-Zero (think $7,000 – $10,000 for your basic fridge from these guys) and a local favourite Miele.
However I am keen to share a few of the added features buyers can access here and this starts with the fact that each residence is equipped with specific technology designed to allow convenient access to all of the associated luxury hotel services 24/7.
But there’s lots more, starting with a private residence’s entrance foyer with a dedicated entrance and private concierge desk and there’s the luxury hotel lifestyle services and amenities accessed via your own touch screen or from a tablet and mobile devices from anywhere in the world.
Of course, the concierge, maintenance, room service and security staff is all on call 24/7. And the list goes on to include dedicated residential housekeeping, child care, personal shopping, personal training, pet and plant care, and floral delivery. Plus when it comes to work (necessary I am sure to pay the service charges) we have business support on hand like couriers and postal and package services, newspaper and magazine delivery.
Feeling a bit peckish? Then you will never go hungry and never mind rushing to the local take-away because this building offers a range of catering options, plus event-planning and in-home chefs, and priority access to event spaces and meeting facilities in the adjoining hotel.
The apartments are also designed to allow room service or housing keeping services to be very discrete, with individual service entries so that your personal chef or florist can come and go in the most inconspicuous way, clearly showing great attention to detail at the design stage.
Still the list continues with custom bath and personal care products crafted by Baccarat and priority access to all hotel facilities, like restaurant reservations, sometimes difficult in New York, the Baccarat spa, pool and fitness centre.
And given the luxury of your surroundings, there’s no need to venture outside? Residents also have private shopping, including priority custom design and production of Baccarat products. But if you do venture away from home, possibly by private jet then there are extra hotel privileges waiting for you in Baccarat Hotels worldwide in places like Paris, Moscow and Tokyo.
But tucked away in the marketing material is a little note that ‘some services are available for an additional fee’ and we can only guess what they might be, still if you’re living here in such luxury, who really cares about the occasional service charge even with some annual fees going well beyond $53,000 a year and that’s not including little extras like home dining or spa entry! It will be exciting for local buyers when this style of apartment luxury spreads to Sydney or Melbourne.
Peter Chittenden is managing director for residential of Colliers International. He can be contacted <a href="https://www.projectagenda.com.au/" target="_blank">here</a>.
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Brand power – luxury apartment living at any price: Peter Chittenden

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CoreLogic RP Data analysis shows rents across the combined capitals rose by 0.2% in January 2016.
 
Across individual capital cities, rents rose over the month in Sydney, Melbourne, Adelaide, Hobart and Canberra while they fell elsewhere. 
 
Dwelling rental rates across the combined capital cities are recorded at $443 per week and they are unchanged over the past year.
 
CoreLogic RP Data have been tracking annual rental changes since 1996 and over that time rental growth conditions have never been weaker.
 
At the same time last year rental rates had increased by 1.7% highlighting that the slowdown in rental conditions has been sharp over the year.
 
"As highlighted in previous reports, heightened construction activity, slowing population growth, higher than normal investment activity and stagnant wage growth are key contributors to unchanged rental rates over the past year," Cameron Kusher at CoreLogic RP Data said.
 
"More rental stock at a time when demand is easing due to slowing population growth and little wage growth for renters has resulted in flat rental conditions over the past year.
 
"For renters there are a lot more accommodation options in the market while landlords are having to respond to a more competitive environment which, in many cases means keeping rents steady to keep the tenants. 
 
Looking across the individual capital cities, over the past year, rents have increased in Sydney (+1.4%), Melbourne (+2.1%), Hobart (+0.1%) and Canberra (+1.8%).
 
Rental rates have fallen over the past year in Brisbane (-0.7%), Adelaide (-0.4%), Perth (-8.6%) and Darwin (-13.4%).
 
Across every capital city except Canberra the rate of annual rental growth or decline is currently lower than it was a year ago indicating that the weaker rental market conditions are prevalent across most capital cities.
 
<a href="/images/2016/02/08/Screen%20Shot%202016-02-08%20at%208.42.21%20AM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/02/08/Screen%20Shot%202016-02-08%20at%208.42.21%20AM.png" alt=""> 
Combined capital city house rents were recorded at $487 per week in January 2016 and unit rents were $465 per week. Over the past month, house rents rose by 0.1% while unit rents rose 0.2% and over the past three months house rents rose 0.1% compared to a 0.5% rise in unit rents. 
The data indicates that demand for unit product, while still quite weak, is holding up better than rental demand for houses, despite the increase in new apartment supply. Over the past year, house rents are -0.3% lower while unit rents have increased by 1.5%. It is important to note that a much higher proportion of total unit stock is rented compared to housing stock. 
For as long as CoreLogic RP Data have been tracking rental growth figures, house rents have never before fallen on an annual basis while annual unit rental growth is occurring at its slowest pace since late 2003. 
The additional accommodation being provided by the current building boom along with recent record high levels of investment purchasing is adding substantial new dwelling supply to the market at a time when the rate of population growth is slowing from quarter to quarter.
Furthermore, wages are increasing at their slowest pace on record which indicates that many renters simply don’t have the means to pay more for their accommodation. Additionally, it is arguable that landlords havent had much incentive to push yields higher due to the low cost of debt and strong capital gains. All of these factors combined are continuing to ease rental market pressures and resulting in the weakest rental market on record. 
We expect that rental market conditions are likely to remain weak, potentially softening further over the coming months. In fact there is a possibility that rental rates may start to fall on an annual basis. While this is great news for renters, investors are facing the prospect of weaker capital gains coupled with falling rents which would push down their yields.
The large pipeline of residential construction activity and recent high levels of investment demand means that renters are likely to continue to have plenty of choice when looking to renew their lease.
<a href="/images/2016/02/08/Screen%20Shot%202016-02-08%20at%2012.39.05%20PM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/02/08/Screen%20Shot%202016-02-08%20at%2012.39.05%20PM.png" alt="">
<a href="/images/2016/02/08/Screen%20Shot%202016-02-08%20at%2012.41.15%20PM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/02/08/Screen%20Shot%202016-02-08%20at%2012.41.15%20PM.png" alt="" width="810" height="331">
Capital city rents are increasing at their slowest annual pace on record and with value rises outpacing rental growth, rental yields are also sitting close to record low levels currently. At a combined capital city level, gross rental yields were recorded at 3.4% for houses in January 2016 and at 4.3% for units. Combined capital city house and unit rental yields are currently both at record lows.
A year ago, gross rental yields were recorded at 3.6% for houses and 4.5% for units across the combined capitals. With a sluggish rental market in which interest rates may fall even further, we may see a further compression of yields over the coming months however, this will be somewhat dependent on growth in home values as well as the direction of rental rates. This means that capital growth, which is slowing, is likely to remain a much more important factor for property investors.
<a href="/images/2016/02/08/Screen%20Shot%202016-02-08%20at%2012.43.28%20PM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/02/08/Screen%20Shot%202016-02-08%20at%2012.43.28%20PM.png" alt="" width="823" height="688">
 
Rental yields are lowest for houses in Melbourne (2.9%) and highest in Darwin (5.3%). Unit yields are lowest in Melbourne at 4.0% and highest in Hobart at 5.3%. Sydney and Canberra house yields are currently at record low levels while Sydney and Melbourne unit yields are also at historic low levels. 
Across every capital city, house rental yields are lower now than they were at the same time last year. This is reflective of lower rental growth relative to house value growth. 
The unit market shows similar trends to the detached housing market. Yields are higher than a year ago in Adelaide and Canberra while elsewhere yields have softened over the past year. The generally softer yields point to market conditions in which unit value growth has generally outpaced unit rental growth.
<a href="/images/2016/02/08/Screen%20Shot%202016-02-08%20at%2012.45.39%20PM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/02/08/Screen%20Shot%202016-02-08%20at%2012.45.39%20PM.png" alt="">
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Darwin sees sharp slowdown in rental conditions: CoreLogic RP Data January rent review

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The latest event in the evolution of the Brisbane market is the strong emergence of the Moreton Bay Region in the far north of the city.
It has joined Logan City in the far south as the precinct with the most momentum in the Greater Brisbane area. Meanwhile, Ipswich City in the south-west is putting its hand up as well.
Most national commentators misunderstand what’s happening with the Brisbane market. They look at that single figure which apparently describes the whole Brisbane metropolitan area and conclude not much is happening. Australian Property Monitors says Brisbane prices rose 5% last year while CoreLogic RP Data says 4%.
But beneath that one generalised (and highly misleading) figure, there has been lots of activity in precincts which have recorded double-digit annual growth in median house prices.
Markets in the Greater Brisbane area have been on the move for about two years. The inner-city suburbs were busy a couple of years ago and then the middle-ring suburbs on the northside surged. Many of them had annual growth in the 13% to 15% range. The middle-ring suburbs on the southside joined the party 12-18 months ago.
Now it’s the outer-ring areas that are leading. There are still rising suburbs in those northside and southside middle-market precincts, but it’s the cheaper areas on the outskirts that have the greatest activity and momentum.
In this regard, Brisbane is displaying the same pattern we have seen over the past three years in Sydney and Melbourne – the upturn started in the near-city areas and gradually gravitated outwards from the centre. The Ripple Effect is alive and well in residential real estate.
In Brisbane, Logan City (which is the urban bridge between Brisbane and the Gold Coast) has been  the market leader in terms of sales volumes for the past 12 months or so. But now it’s counterpart in the north, the Moreton Bay Region local government area (which is the urban bridge between Brisbane and the Sunshine Coast) has mounted a challenge.
Like Logan City, Moreton Bay Region is all about affordability, transport infrastructure and jobs nodes. Many of the suburbs of Moreton Bay Region – including Caboolture (the capital suburb), Morayfield and Deception Bay – have median prices in the $300,000s, while Burpengary and Narangba are in the low $400,000s.
These are high-volume housing markets: Caboolture, Deception Bay, Morayfield and Narangba have each recorded over 340 house sales in the past 12 months. Some have seen median prices rise 6-7% in the past year – but, in terms of price growth, they’re just getting started.
Median rental yields are an attraction for investors, ranging from 5.2% to 5.6% in most of the suburbs of the Moreton Bay Region. 
The LGA includes the Redcliffe Peninsula, which has heightened appeal because the long-awaited Moreton Bay Rail Link will be completed this year.
The overall region has improved amenity through the evolution of the North Lakes master-planned community, which includes major retail (and will soon include an Ikea superstore).
The region also has good proximity to Brisbane Airport, the Port of Brisbane and the Australia Trade Coast industrial precinct, which means plenty of jobs are handy to the suburbs of Moreton Bay Region.
 
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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Brisbane's Moreton Bay gaining strength: Terry Ryder

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GUEST OBSERVER
The latest economic data raises even more questions about the ‘funk’ happening on financial markets, in particular the Australian sharemarket. Consumers are seemingly happy with life while new home sales lifted sharply in the latest month. When viewed together with other recent economic data, it shows that recent falls in the sharemarket don’t have fundamental underpinnings. 
Recent earnings results, including the record result from Commonwealth Bank, further highlight the strong position of the Australian economy.
The lift in consumer confidence appears surprising. But one of the key factors affecting consumer confidence is the Aussie dollar. Late last week the Aussie dollar lifted towards US72 cents from US70 cents. Most consumers see a higher currency as a ‘good’ thing – it means cheaper overseas travel and cheaper overseas goods. At the same time stable interest rates and a lower petrol price are serving to offset global sharemarket volatility and thus support confidence levels.
Why do people perceive that their finances are in stronger shape than a year ago? There are two key factors – the lower petrol price and lower interest rates. At the same time most homeowners would have witnessed their home increasing in value over the year, buoying spirits.
It’s important not to ‘over-think’ consumer confidence. For most punters, the Aussie dollar, interest rates, petrol prices, home prices and the job market are the key factors determining whether someone is positive or negative on supposedly ‘economic’ issues.
What do the figures show?
<a href="/images/2016/02/10/Screen%20Shot%202016-02-10%20at%201.23.37%20PM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/02/10/Screen%20Shot%202016-02-10%20at%201.23.37%20PM.png" alt="">
New home sales
New home sales rose for the first time in four months up by 6.0 per cent in December. Sales of multi-units rose by 21.1 per cent while detached house sales increased by 2.2 per cent.
New home sales previously fell by 2.7 per cent in November, fell 3.0 per cent in October and fell by 4.0 per cent in September. New home sales are now up 2.5 per cent for the year.
The Housing Industry Association reported: “In the month of December 2015 detached house sales increased in three of the five mainland states: Queensland (+5.2 per cent); Western Australia (+5.0 per cent) and Victoria (+1.1 per cent). Sales declined in South Australia (-2.1 per cent) and in New South Wales (-0.1 per cent).”
Further, the HIA noted:  “Key leading indicators of new home building such as HIA-ACI New Home Sales and ABS Building Approvals and new housing finance are consistent with very healthy national construction volumes persisting throughout the first half of 2016. These indicators are also signalling a continuation in 2016 of very large differences in new housing conditions across the states.”
Consumer sentiment:
The Westpac/Melbourne Institute index of consumer confidence surprisingly rose by 4.2 per cent in February to 101.1 after falling by 3.5 per cent in January. The confidence index is up 0.6 per cent on a year ago.
The current conditions index rose by 6.5 per cent while the expectations index rose by 2.5 per cent.
Four of the five components of the index rose in February:
The estimate of family finances compared with a year ago was up by 11.3 per cent;
The estimate of family finances over the next year was up by 3.8 per cent;
Economic conditions over the next 12 months was down by 0.6 per cent;
Economic conditions over the next 5 years was up by 4.0 per cent;
The measure on whether it was a good time to buy a major household item was up by 3.1 per cent to a 6- month high of 124.0.
What is the importance of the economic data?
The Housing Industry Association releases data on the sales of new homes each month. The HIA collects the data each month from a sample of Australia's largest 100 home builders. The survey covers around 14 per cent of the home building industry.
Westpac and the Melbourne Institute release the Index of Consumer Sentiment each month. According to Melbourne Institute: “The survey of consumer sentiment was first undertaken in 1973 and was conducted on a quarterly basis until 1976, a six-weekly basis from 1976 to 1986, and has been conducted monthly ever since.”
Confident consumers may be more inclined to spend, especially on major items.
What are the implications for interest rates and investors?
The latest data supports our view that interest rates are likely to remain stable in coming months.
The good news is that volatility on the sharemarket hasn’t yet spooked consumers. As a result, there are still reasons for optimism amongst retailers. The reading on whether it was a good time to buy a major household item stands at a 6-month high
<a href="/images/2016/02/10/Screen%20Shot%202016-02-10%20at%201.25.34%20PM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/02/10/Screen%20Shot%202016-02-10%20at%201.25.34%20PM.png" alt="" width="780" height="300">
 
Craig James is the chief economist at <a href="https://www.comsec.com.au/default.aspx" target="_blank">CommSec</a>.
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cjames-5S2v74qSNK

New home sales lift sharply: CommSec's Craig James

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GUEST OBSERVER
With the downturn of coal prices over the last three years and the contrasting rise in Sydney property values, places like the Hunter Valley have been easy targets for property commentators to hand out a belting to.
These same people either suffer from short memories or selective hearing for it wasn’t that long ago when regional locations like the Hunter were flourishing while most capital city property markets were floundering.
When we combine average annual changes in median property values with rental yields to calculate a ‘ total return’ over the last fifteen years, property markets of the local government authorities (LGAs) within Hunter Valley actually outperformed all of Greater-Sydney’s 43 LGAs and 29 of Greater-Melbourne’s 31 LGA’s. Cessnock (ranked 77 out of Australia’s 550 LGAs) was the Region’s best performed market. Also amongst Australia’s Top 40% were the LGA’s of Maitland (134th), Newcastle (175th), Singleton (209th), and Muswellbrook (220nd).
From the onset of the GFC in late-2008 through to the end of 2014, even with the coal industry downturn factored in, Hunter Valley property markets have still compared favourably against all capital city markets with the exception of Sydney and Melbourne.
<a href="/images/2016/02/08/HunterValley_PropertyPrices_2008-2014.jpg" target="_blank">Click to enlarge</a>
<img src="/images/2016/02/08/HunterValley_PropertyPrices_2008-2014.jpg" alt="">
The Hunter Valley is a large region with a population approaching 700,000 people. The diversity of industries within the region are arguably the most interesting in Australia. With different property entry prices, rental yields, and industry drivers, there really is quite a contrast between each of the markets within the Hunter.
<a href="/images/2016/02/10/Newcastle_BldgApprovals_2001-2015.jpg" target="_blank">Click to enlarge</a>
<img src="/images/2016/02/10/Newcastle_BldgApprovals_2001-2015.jpg" alt="">
Newcastle is heavy industry with some big manufacturers such as Boeing and BAE, plus Australia’s premier fighter jet base. Some of the largest reserves and best quality coal in the world is produced in the Upper Hunter and exported from the world’s largest coal export terminal at Newcastle to places like Japan, Korea, China, and Taiwan. Newcastle has the infrastructure and economic profile of a capital city, a median house price of $475,000 and rental yields of circa 4.5%.
On both a capital growth and rental return front, Newcastle has better investment potential than Greater-Sydney however, there are better locations elsewhere in Australia.
With median house prices in the low $400,000 and 4.5% yields, Port Stephens and Lake Macquarie are very much lifestyle locations and aren’t ever likely to set the investment world on fire.
<a href="/images/2016/02/10/CoalPrices_2004-2015.12.jpg" target="_blank">Click to enlarge</a>
<img src="/images/2016/02/10/CoalPrices_2004-2015.12.jpg" alt="">
Maitland is also a largish regional town (population 75,000), very good quality retail and business services, a median house price of $400,000 and 5% rental yields. There is a bit of new supply in the pipeline, including a large Huntlee estate, which has the potential to keep a lid on growth for some years yet.
<a href="/images/2016/02/10/HunterValley_Jobs_2000-2015.jpg" target="_blank">Click to enlarge</a>
<img src="/images/2016/02/10/HunterValley_Jobs_2000-2015.jpg" alt="">
The rich agricultural land, plentiful water supply, and rolling hills creates the perfect cocktail for wineries, tourism, and agriculture. Cessnock (winery country) has a median house price circa $300,000 and yields of 5% plus although employment can be patchy.
The coal mines are in the Upper Hunter. There is a much higher quality lifestyle component and greater diversity of industry to Hunter Valley mining compared to the coal fields of central Queensland. Singleton has a significant military base and Muswellbrook is horse stud country, manufacturing, and tertiary education facilities through the local TAFE. Median house prices and rental yields in Singleton and Muswellbrook are very similar to Cessnock however, I feel the potential for investors over the medium to long term is slightly better.
Contrary to perceptions, employment growth has been steady in Hunter Valley over recent years. Middle-Upper Hunter had a net loss of jobs in 2013 and 2014 and then rebounded in 2015, as shown in our chart. The industry diversity and lifestyle components helped to cushion property prices in the Upper Hunter from large falls in values as the mining industry workforce retracted with falling coal prices. Property prices in Australia’s coal-related markets peaked late-2012 and, since then, values in the LGA of Isaac (which consists of Moranbah and Dysart) have declined by 64% whereas Muswellbrook has experienced a very mild 9% decline.
Some of the largest companies in the world have invested billions of dollars in Hunter Valley. Coal is easily the World’s biggest source of electricity and is likely to remain that way (at least) for several decades. What many people don’t realise is that the BHP’s of the world have been extremely active behind the scenes with several mining expansion applications in the Upper Hunter over the last couple of years. While mining company revenues (coal prices) have come under pressure they have been very successful in reducing expenses (especially labour costs) and it is apparent that they are lining their ducks up to be ready to move as soon as the coal price curve turns again (we are much closer to the bottom than the top).
I recently purchased a property in the Upper Hunter for my own portfolio. I’m not anticipating spectacular growth in the short term however, there are very few locations throughout Australia that are set to roar right now. I’m a huge believer in selecting locations for their fundamentals and buying while the market is flat. This philosophy has enabled me to purchase the pick of the litter with this fully renovated 3-bedroom house for only $248,000.
I’m not advocating that every investor does this. For clients with smaller property portfolios there are several other locations which Propertyology would suggest that they purchase in first. My own strategy involved keeping my portfolio balanced by complimenting the exposure that I already have in other states and other industries.  This purchase represents a small capital outlay, at the bottom of the market, and a small exposure to an industry (coal) which has more upside right now than most realise (just ask the World’s biggest mining company, BHP).
<a href="/images/2016/02/10/HunterValley-2.jpg" target="_blank">Click to enlarge</a>
<img src="/images/2016/02/10/HunterValley-2.jpg" alt="">
Simon Pressley is Managing Director of Propertyology, a REIA Hall Of fame Inductee, property market analyst, accredited property investment adviser, and Buyer’s Agent. <a href="https://www.propertyology.com.au/more-than-a-buyers-agent/">Propertyology works exclusively with property investors</a> to purchase properties in strategically chosen locations all over Australia.
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spressley-sBoeMhannA

Hunter Valley property stacks up against Sydney, Melbourne

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Now, if you are not a believer in being prepared and you don't feel that the property market will drop; put that coffee mug away. Click back to your Facebook page. Danger, read this at your own peril.
For the rest of us, it's time to pour ourselves a fresh cup of coffee, and look at the property market trends. Trends that we have been discussing for over 12 months now, and have been preparing our readers for: i.e. the changes in market forces.
Here we are, moving into 2016 and again, economists with invested interest in the property market continue to spruik the “steady property growth” in Sydney and the “she’ll be right” lines.
Our readers, followers and clients, on the other hand have been preparing for the reality of what is about to “slap” many economists in the proverbial face and a lot of investors, rip holes in their back pockets.
Sydney Property Snapshot: Auction Result Saturday 30 January 2016
There are a number of key take-aways from the transaction report or “on the market history” shown above (Source CoreLogic RPData). I will concentrate on three of these as follows.
<ul>
<li>Vendor's &amp; Agent's Expectations:</li>
</ul>
We may on the one hand say, vendor’s expectations were being fueled by the main-stream-media’s property reports, coupled with the crazy prices being paid by our friendly Chinese investors and home grown investors wanting to jump on the "Gravy Train".
Expectations also adding to real estate agent's promises of achieving high prices.
Prices again being fueled by buyer's fear of missing out, coupled with the notion of huge under-supply as well as beliefs of  “not enough land”. Then there are the ongoing beliefs of: high migration intake and that "interest rates won’t go up anytime soon: therefore, commit now". My favorite "HUGE rental squeeze".
The above mentioned beliefs as you well guessed, primed the market and created a foundation for this property bubble. A foundation that supported the comparable sales in the area, in most instances; prices that reflected the initial “Above $730K” prices being advertised i.e. the prices being paid at the height of the market.
<ul>
<li>Agent’s Marketing &amp; Sales Strategy:</li>
</ul>
The main strategy I want to review, is the one carried out by the second agency. In simple language: “what the hell were they thinking in taking the property to auction” and for a second time?
I can only say; yes, I’m sure the vendor is now conditioned and perhaps even bullied into being a “motivated vendor”.
<ul>
<li>Drops and Market Conditions:</li>
</ul>
However, we can see on the surface by the evidence presented in the recent auction reports, vendors are moving into very precarious territory when taking property to auction on an agent’s ‘whim’. And, you have to be careful who you appoint as the real estate agent and the auctioneer, if that is the method you are told is the best way to sell your home.
Again, the table above shows two key points: the first, the drop in asking to highest bid value and the second, the number of days on the market.
The passed-in bid, is reported to be $650,000 by the second agent. A significant drop and contrary to the first agent's initial asking price which was for: offers above $730,000. WOW ...
We can see a significant drop of willingness for people to commit now. A difference of almost -12% from the height of the market in 2015, to now. But, there is more room for a further drop.
I point out; we are only a month into 2016.There will be more carnage to come. Carnage that will take out many vendors that are not vigilant.
For Now: Is it a matter of...
<ol start="1">
<li>Signs of the times?</li>
<li>Real Estate Agent's flawed marketing strategy?</li>
<li>Auctioneer's ignorance? OR</li>
<li>All of the above?</li>
</ol>
More than ever before, I urge you as vendors and agents; do your homework. Ask yourselves as agents, the fundamental question which is pertinent to obtaining the best price for your client: is an auction campaign still the best way forward, for your vendor?
Vendors, again more than ever, be proactive and ask the agent about the number of registered bidders leading up to the auction day. If none are registered then ask whether you should still be going to auction. Meet the auctioneer and ensure they go through the property, days before the actual auction date that is.
Most of all vendors, do not be afraid to question the agent's reasoning for the marketing strategy they want you to embark on. It may well cost you 10's to 100's of thousands of dollars, if you don't.
EDWIN ALMEIDA is licensee in charge of <a href="https://www.just-think.com.au/" target="_blank">Just Think Real Estate</a>.<a href="https://www.just-thin.com.au/"> </a>
He is also the creator of <a href="https://www.youtube.com/user/JustThinkProperty" target="_blank">Oz Real Estate.TV</a> and a presenter for <a href="https://propertyinvestingvault.com/" target="_blank">propertyinvestingvault.com</a>.
 
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ealmedia-arK4DBYLjS

Predictions to rip a hole in your back pocket: Edwin Almeida

We sell our homes for all kinds of reasons, but what nearly every vendor has in common is passing on the sale of their biggest asset to a virtual stranger - the real estate agent.

Selling Houses Australia presenter Andrew Winter shares his expert advice to ensure you pick the right one for the job!&nbsp;

Big billboards, brands and flashy adds are all well and good but if you don&rsquo;t have a good rapport with your agent it could all be for nothing.

It&rsquo;s a good idea to spend a bit of time making sure you have picked the right one &ndash; think of it as a job interview for the right agent and right brand.

[smartcode_project:default project_id=3565]

There are a number of key factors to finding the right one for you:&nbsp;

- Does the real estate agent you&rsquo;re considering seem genuinely keen to sell your home or do they have bigger fish to fry?&nbsp;

- The number one agent in your area may be good but number two may be more hungry.&nbsp;

- Fish around online to see what kind of properties different agents in your area sell.&nbsp;Some agencies&nbsp;specialise&nbsp;in certain styles and price brackets.&nbsp;

It&rsquo;s false economy to hire someone with experience selling period homes if yours is the only new build.

[smartcode_project:default project_id=5328 project_image_fid=155345]

So you&rsquo;ve checked out the internet, interviewed a number of agents and made your selection, now it&rsquo;s time to sign on the dotted line.

- Make sure your agreement contains an estimate of total fees, charges and expenses.&nbsp;

- Understand their fee structure and pin them down to a sales figure they expect to achieve.

- If the offers are falling short of the mark and the agent is encouraging you to take lower offers this could be time to re-negotiate the fee.

- There commission is a big chunk of money and if you are getting less than you expected so should they!

- Don&rsquo;t feel intimidated by your agent &ndash; this is meant to be a partnership after all.

- If you really are unhappy go to the agency principle and express your thoughts.

- Don&rsquo;t be too concerned about rocking the boat there are always another agents.

You wouldn&rsquo;t buy a house without seeing it or doing your research &ndash; the same applies for selling. Get it right and you could be in the money.

[smartcode_project:default project_id=5559]

Property 101: Andrew Winter on selecting the right estate agent

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Melbourne vendors have rushed the 2015 market place.
But Sydney's number of new listings for the week ending January 31 is down on last year, according to the latest figures from CoreLogic RP Data.
The Melbourne fresh offerings are up 23.8 percent on their number of new listing from this time last year with just over 7,000 new listings.
Sydney remain in negatives figures having only managed just over 5,000 new listings, a 5.1 percent decrease from 12 months ago. But Sydney has more left over stock from late last year.
Melbourne didn't top the chart on fresh listings however as Brisbane were up 26.9 percent since and Adelaide 33.4 percent.
Property Observer wrote about Melbourne's much higher clearance rate start to 2016.
Neither were the highest however, Canberra had the highest clearance rate at 77.8 percent for their 27 auctions. 
<a href="/images/2016/02/02/Screen%20Shot%202016-02-02%20at%2011.10.06%20am.png" target="_blank">Click here to enlarge</a>
<img src="/images/2016/02/02/Screen%20Shot%202016-02-02%20at%2011.10.06%20am.png" alt="" width="375" height="227">
 
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jrobinson-rf4aSBido9

Melbourne hit by fresh 2016 listings while Sydney still has plenty of 2015 leftovers

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The ASICs Money Watch website has wished you much prosperity and good fortune for Chinese New Year.
Here are some things you can do this year to build your wealth. Try one or two to start with, and see what a difference it can make for you. Remember that small steps now can lead to a better financial future.
<h3>Track your spending</h3>
The road to building wealth starts with knowing where your money is going. You might think you know how much you spend on groceries or takeaway meals each month, but getting a better idea of your outgoings will give you the power to make some real changes in your spending habits.
Use our <a href="https://www.moneysmart.gov.au/tools-and-resources/calculators-and-apps/mobile-apps/trackmyspend" target="_blank" title="TrackMySPEND">TrackMySpend app</a> to record your everyday expenses, so you have a clear picture of what you are spending your money on, and where you can make some changes.
<h3>Set a budget</h3>
Setting up a budget puts you in charge of your money and allows you to have the control to live the life you want. Our article on <a href="https://www.moneysmart.gov.au/managing-your-money/budgeting/how-to-do-a-budget" target="_blank" title="How to do a budget">how to do a budget</a> has some great tips, and our <a href="https://www.moneysmart.gov.au/tools-and-resources/calculators-and-apps/budget-planner" target="_blank" title="Budget planner">budget planner</a> can help you get started.
<h3>Find the best deal on your bank accounts and insurance</h3>
Taking charge of your bank accounts can save you a lot of money. Even if you have banked with the same institution for years, you may not be getting the best deal. What interest are you earning on your savings?
Work out how much you are paying in fees and charges on your account, then shop around for a better deal. It's your money, so take control of it.
Our article on <a href="https://www.moneysmart.gov.au/managing-your-money/banking/switching-bank-accounts" target="_blank" title="Switching bank accounts">switching bank accounts</a> shows you what you need to think about when changing your accounts.
Having the right insurance in place is a critical part of protecting your assets but, unless you shop around, you could be paying more than you need to. Before you renew your home or car insurance policy, check out our article on <a href="https://www.moneysmart.gov.au/insurance/renewing-your-insurance" target="_blank" title="Renewing your insurance">renewing your insurance</a> for tips on how to find the best deal.
<h3>Take charge of your home loan</h3>
Mortgage payments can account for a huge slice of the household budget. Whether you already have a home loan or are saving up to buy your first house, take a look at our tools and tips to help you get ahead:
<ul>
<li>
<a href="https://www.moneysmart.gov.au/managing-your-money/saving/saving-for-a-home" target="_blank" title="Saving for a home">Saving for a home</a> - advice on saving for a deposit on your home</li>
<li>
<a href="https://www.moneysmart.gov.au/tools-and-resources/calculators-and-apps/mortgage-calculator" target="_blank" title="Mortgage calculator">Mortgage calculator</a> - shows you how much you could borrow, what your repayments will be, and how to pay your loan off faster</li>
<li>
<a href="https://www.moneysmart.gov.au/borrowing-and-credit/home-loans/choosing-a-home-loan" target="_blank" title="Choosing a home loan">Choosing a home loan</a> - how to choose the right home loan for your needs</li>
<li>
<a href="https://www.moneysmart.gov.au/borrowing-and-credit/home-loans/switching-home-loans" target="_blank" title="Switching home loans">Switching home loans</a> - what to consider before you switch home loans</li>
</ul>
<h3>Start or expand your investments</h3>
Investing can be a good way to grow your money. There are many different investment options available, so it's important to choose the right one to suit your needs. We have lots of information to help you better understand and choose the best investment strategy to reach your financial goals:
<ul>
<li>
<a href="https://www.moneysmart.gov.au/investing/invest-smarter" target="_blank" title="Invest smarter">Invest smarter</a> - we explain how to invest and grow your portfolio</li>
<li>
<a href="https://www.moneysmart.gov.au/investing/invest-smarter/risk-and-return" target="_blank" title="Risk &amp; return">Risk and return</a> - learn about investment risks and how to manage them</li>
<li>
<a href="https://www.moneysmart.gov.au/investing/invest-smarter/develop-an-investing-plan" target="_blank" title="Develop an investing plan">Develop an investing plan</a> - find out how an investing plan can help you achieve your short, medium and long-term goals</li>
<li>
<a href="https://www.moneysmart.gov.au/investing/invest-smarter/choose-your-investments" target="_blank" title="Choose your investments">Choose your investments</a> - learn how to choose the right investments for your needs</li>
</ul>
Take our <a href="https://www.moneysmart.gov.au/investing/invest-smarter/investing-challenge" target="_blank" title="Investing challenge">investing challenge</a> to test your knowledge of risk and return, diversification and investment products.
<h3>Pay your future self</h3>
It is never too early to start planning for retirement. Whether you are just starting your career, or beginning to think about life after work, our <a href="https://www.moneysmart.gov.au/tools-and-resources/calculators-and-apps/superannuation-calculator" target="_blank" title="Superannuation calculator">superannuation calculator</a> can show you how much super you're likely to have when you retire.
A great way to boost your retirement income is to make extra contributions to your super now. Even just a few extra dollars a week can make a big difference in the years to come.
Our tools and tips can help you take control of your money and build wealth and prosperity.
<h3>Clear your debts</h3>
Picture a financial future free from debt stress. If you are struggling to pay off your credit cards or repay loans, we have some advice on how you can bring different kinds of debts under control:
<ul>
<li>
<a href="https://www.moneysmart.gov.au/managing-your-money/managing-debts/problems-paying-your-mortgage" target="_blank" title="Problems paying your mortgage">Mortgages</a> - help with home loans</li>
<li>
<a href="https://www.moneysmart.gov.au/borrowing-and-credit/credit-cards/how-to-pay-off-multiple-credit-cards" target="_blank" title="How to pay off multiple credit cards">Credit cards</a> - dealing with multiple credit cards</li>
<li>
<a href="https://www.moneysmart.gov.au/managing-your-money/managing-debts/trouble-with-debt/problems-paying-your-fines" target="_blank" title="Problems paying your fines">Fines</a> - help for people struggling with fines</li>
<li>
<a href="https://www.moneysmart.gov.au/managing-your-money/managing-debts/trouble-with-debt/problems-paying-your-utility-bills" target="_blank" title="Problems paying your utility bills">Utility bills</a> - take action on water, electricity, phone and gas bills</li>
<li>
<a href="https://www.moneysmart.gov.au/life-events-and-you/under-25s/studying/paying-off-your-uni-debt" target="_blank" title="Paying off your uni debt">University debt</a> - when you have to pay your uni debt and how to make voluntary payments</li>
<li>
<a href="https://www.moneysmart.gov.au/managing-your-money/managing-debts/how-to-get-out-of-travel-debt" target="_blank" title="How to get out of travel debt">Travel debt</a> - pay off your travel expenses</li>
</ul>
For more information, <a href="https://www.moneysmart.gov.au/tools-and-resources/news/building-wealth?utm_medium=email&amp;utm_campaign=MoneySmart%20tips%20-%20February%202016&amp;utm_content=MoneySmart%20tips%20-%20February%202016+CID_098e159a8e233fb37f2131eb2500ed97&amp;utm_source=CampaignMonitor&amp;utm_term=money%20tips%20in%20Chinese" target="_blank">click here</a>.
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Property 101: Building wealth in the Year of the Monkey

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Most Australian property markets saw modest growth in 2015, according to Residex.
Sydney was again the exception – given houses and units achieved annual growth of 18.36% and 13.48% respectively.
Melbourne houses also recorded strong annual growth of 13%.
Perth houses saw an unexpected surge of 2.30% in the month of December, while Adelaide, Hobart and ACT houses showed steady capital growth over the last 12 months.
"The end of 2015 marked the end of the Sydney housing boom," Residex advised.
The upswing in the current cycle lasted almost two years and, in real dollar terms, the median house increased by approximately $375,000.
Historically, Sydney has been the leader of growth with the Melbourne and Brisbane markets following.
Given this, the Melbourne house market could peak sometime in the first quarter of 2016 while Brisbane could follow later in the year. However, global economic trends and a national crackdown on speculative buying may hamper growth for these other east coast cities.
Table 1 shows the capital growth, rent and sales summary for December 2015.
Table 1: December 2015 Summary
<a href="/images/2016/02/02/Table_1_Capital_City_Summary.jpg" target="_blank">Click to enlarge</a>
<img src="/images/2016/02/02/Table_1_Capital_City_Summary.jpg" alt="">
Source: Residex
Graph 1 shows the monthly capital growth trend of Sydney and Melbourne. The graph depicts Melbourne’s peak growth in houses following Sydney.
Graph 1: Monthly Capital Growth Trend: Sydney and Melbourne  
<a href="/images/2016/02/02/Graph_1_Monthly_Growth_Sydney_Melbourne.jpg" target="_blank">Click to enlarge</a>
<img src="/images/2016/02/02/Graph_1_Monthly_Growth_Sydney_Melbourne.jpg" alt="">
Source: Residex
Residex suggested it was difficult to say what exacerbated the last upswing in Sydney and whether similar factors will impact other major dwelling markets.
"Many have speculated and reported anecdotes of Chinese foreign investment pushing up real estate values," Eliza Owen, the market analyst for Residex/Onthehouse.com.au said.
"There is currently no reliable dataset in existence that documents foreign investment in Australian residential real estate, so it is not rigorously sound to say that this contributed to the enormous value increases.
"In any case, the People’s Bank of China has placed restrictions upon citizens taking capital out of China to encourage investment within their own country (citizens are permitted to take just US$50,000 out of the country each year. This action could limit the growth experienced in other Australian cities.
"It is also not necessarily true to say that speculative domestic investment bid up the market.
"However, there is some evidence suggesting that investors became more active than owner occupiers in the latest housing boom."
The ABS collects data on the amount of money lent for the purposes of owner occupation versus investment. In recorded history, 2014 was the first time investor loans overtook owner occupier loans. Graph 2 presents this dataset over the last 5 years. It is worth noting that the figures in Graph 2 are for Australia wide lending, so the phenomena of investors overtaking owner occupiers may not be specific to the Sydney market.
Graph 2: Significant Lender’s Finance Commitments to Investors vs. Owner Occupiers
<a href="/images/2016/02/02/Graph_2_Investors_v_Owner_Occupiers.jpg" target="_blank">Click to enlarge</a>
<img src="/images/2016/02/02/Graph_2_Investors_v_Owner_Occupiers.jpg" alt="">
Source: ABS Catalogue Number 5609.0 – Housing Finance, Australia Note: Excluded refinancing for owner occupiers
 
The graph suggests that either investors were paying more money for dwellings or investors were buying a higher volume of dwellings at this time.
Theoretically, investors who owned property in Sydney could have continued to bid up prices in the market while interest rates were low. The ability to borrow equity against property facilitates this – the higher property prices go, the more equity investors have to purchase new dwellings.
In July 2015, the Australian Prudential Regulation Authority (APRA) announced regulations<a href="https://blog.residex.com.au/2016/01/29/january-market-update/?utm_source=membersNewsletter&amp;utm_medium=email&amp;utm_campaign=Cid=ResiJanNews16&amp;mc_cid=9124f9ec50&amp;mc_eid=1c64ff30b3#footnote-3">[3]</a> that would require lenders to hold more capital against home loans. By the beginning of July 2015, a downswing in the Sydney market had begun. Sydney house values fell 0.14% in the month of December, the first fall in the aggregate market since January 2014.
One of the criticisms of APRA’s decision was that it was not specific to the rapidly growing markets of Sydney and Melbourne.
However, of the 514,066 sales Residex recorded across Australia for 2015, approximately 20% were in the Sydney metropolitan region and a further 20% were concentrated in the Melbourne metropolitan.
"If anything, high home loan rates may have caused investors to spread their wealth among more affordable cities across the country."
Property developers Stockland and Mirvac have reported that there are Sydney buyers interested in Brisbane apartments.
Private developers have also recorded Sydney buyers making up as much as 40% of investment in new developments.
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