It’s only been a few months since local Gold Coast developer <a href="https://www.apartments.com.au/developers/dankav-developments">Dankav</a> unveiled its next precinct-driven project, and less than a month since formally launching <a href="https://www.apartments.com.au/new-apartments/the-alfred-mermaid-beach-2375-gold-coast-highway-mermaid-beach-qld-4218">The Alfred Residences</a>, a reimagining of the former Mermaid Beach Shopping Village.

In just the first three weeks, 30 of the 40 residences in stage one have been secured, predominantly by local buyers already living within the coveted 4218 postcode, underscoring the demand for a well-connected, beachside lifestyle.

[smartcode_project:default project_id=149942 project_image_fid=355148]

The origins of the shopping village, a community staple for several decades, will continue under DANKAV’s precinct-driven scheme. The apartments in the first stage will sit above a curated collection of restaurants, cafés and boutique retailers.

A central landscaped laneway defines the ground plane, framed by a series of low-scale buildings that open into shaded courtyards and plazas designed by <a href="http://j.ar">J.AR</a> Office. The residences above were designed by BDA Architecture and feature generous balconies, modern interiors and elevated views across the ocean, skyline or hinterland. The interiors are curated with layered detail and coastal-appropriate finishes, with layouts focused on privacy, natural light and ventilation.

[smartcode_project:default project_id=149942 project_image_fid=355150]

It was the site’s prime location that first appealed to DANKAV founder Daniel Veitch. The development sits directly across the road from the future Mermaid Beach South light rail station, giving residents convenient public transport access to the rest of the Coast.

While DANKAV is delivering extensive amenity as part of the retail plaza, the area is already well serviced, with a Woolworths Metro, established cafés and restaurants, and the all-important sand of Mermaid Beach just 100 metres from the front door.

[smartcode_project:default project_id=149942 project_image_fid=355149]

DANKAV is also behind the recently completed The Oxley 1823 at Nobby’s Beach, which has become the area’s go-to lifestyle precinct. They are nearing completion of LAANI on Alexandra Avenue, also in Mermaid Beach.

Construction on The Alfred Residences has already commenced, with the first stage slated for completion in 2027.

[smartcode_project_cta:default project_id=149942]

Joel Robinson

DANKAV approaches first stage sell-out of The Alfred Residences in Mermaid Beach after three-week sales blitz

On the top floor of Gardner Va​ughan Group’s <a href="https://www.apartments.com.au/new-apartments/danby-lane-nundah-village-5-danby-lane-nundah-qld-4012">Danby Lane</a> project in Nundah, just two penthouses offer some of the largest and most detailed new apartment homes ever delivered in the well-connected suburb, and among the biggest in Brisbane’s inner north.

Each of the four-bedroom, three-bathroom residences spans the full depth of the building on the 10th storey, one of the tallest buildings in Nundah. They are split between north and southeast orientations, maximising natural light and cross-ventilation, as well as capturing the suburb’s best views from the large wrap-around balconies.

One of the penthouses has already been snapped up by a local.&nbsp;The remaining 270 sqm penthouse is priced at $3.4 million.

[smartcode_project:default project_id=112531 project_image_fid=340185]

The open plan living, kitchen and dining area, which flows seamlessly to the terrace, forms the heart of each home. The kitchen has been designed as much for entertaining as everyday living, featuring large central island benches with stone overhangs that double as dining spaces. Butler’s pantries, European appliances and soft-close joinery complete the space.

The master bedroom in each penthouse features a walk-through wardrobe with integrated shelving and storage, and an ensuite with double vanities and a freestanding bathtub.

The additional bedrooms also include ensuites and balcony access, with one offering flexibility as a study or multi-purpose room. Each penthouse includes three secure car spaces, as well as a dedicated laundry with linen storage.

[smartcode_project:default project_id=112531 project_image_fid=320117]

Buyers can choose from two exclusive interior schemes. The Champagne palette pairs warm whites with timber grain and gold accents, while Truffle introduces deeper tones with forest-inspired wood finishes and matte black fittings. Both schemes extend consistently throughout the home, from kitchens to bathrooms.

Gardner Vaughan Group, a vertically integrated builder-developer that has already commenced construction on Danby Lane, is set to move its headquarters into one of the commercial spaces upon completion in early 2027. Having been based in Nundah for more than a decade, Danby Lane is very much a passion project for the team.

Residents will also enjoy a suite of private amenities, including a rooftop recreation area with a swimming pool, gym and function room, along with retail tenancies on the ground floor.

[smartcode_project_cta:default project_id=112531]

Staff Writer

Inside the remaining penthouse at Danby Lane in Nundah

Developer Tian An LFD has been given the green light from the NSW Government's Housing Delivery Authority to go ahead with its new Chatswood apartment development, <a href="https://www.apartments.com.au/new-apartments/hammond-greens-chatswood-5-9-gordon-avenue-chatswood-nsw-2067">Hammond Greens</a>.

The 35-storey mixed-use tower at 5-9 Gordon Avenue, on the edge of the Chatswood Bowls Club, will comprise 91 apartments, 22 of which will be affordable homes managed by Link Wentworth. They will sit above a two-level podium with retail and commercial space.

The plans were upsized from the early 25-storey scheme which proposed 64 apartments, following the Government's new planning provisions under the Housing SEPP that gave developers the opportunity to increase heights and floor place in exchange for an affordable housing component.

&nbsp;

The design by <a href="https://www.apartments.com.au/architects/fjc-studio">FJC Studio</a>&nbsp;builds on the concept first presented when the firm won the site’s design competition, describing Hammond Greens as “a unique form of vertical living that belongs on the North Shore - drawing on the vernacular and materiality of suburban living, and integrating native landscaping between the narrow tower forms”.

At ground level, 1,500 sqm of retail and commercial space will activate the podium, supporting a hybrid work environment and creating a stronger connection with the local community. Residents will also have access to an outdoor pool deck, yoga room, golf simulator, and landscaped gardens designed by <a href="https://www.apartments.com.au/landscape-architect/sturt-noble-landscapes">Sturt Noble Associates</a>.

&nbsp;

Located less than 500 metres from Chatswood Transport Interchange, the project contributes to the suburb’s growing pipeline of high-density development. It joins the likes of Changfa's recently launched The Anderson and Billbergia's Chatswood Grand Residences.

Hammond Greens is the first of two towers Tian is planning in Chatswood. They have a sister project, dubbed Hammond Place, just one street away at 15-19 Nelson Street. That will have around 110 apartments.

[smartcode_project_cta:default project_id=142900]

Tian An LFD greenlit for Hammond Greens apartments in Chatswood as project launches

The sought-after Latent Defects Insurance policy, offering off the plan apartment buyers peace of mind for 10 years post-completion, has made its way to Sydney’s harbourside. Boutique developer <a href="https://www.apartments.com.au/developers/toohey-miller">Toohey Miller</a> has secured this insurance for its newly launched Elizabeth Bay development, <a href="https://www.apartments.com.au/new-apartments/barncleuth-square-elizabeth-bay-4-4a-barncleuth-square-elizabeth-bay-nsw-2011">Barncleuth</a>. This marks the developer’s second project in the area, following the success of No. 1 Onslow Place.

Latent Defects Insurance, offered by <a href="https://www.apartments.com.au/news/resilience-latent-defects-insurance">Resilience Insurance</a>, provides cover for structural or waterproofing defects in new apartment buildings. It is a policy that only the developer or builder can take out, not the apartment purchaser.

Located just&nbsp;off Macleay Street, one of Sydney’s most desirable high streets, Barncleuth offers a rare collection of only 10 residences. With just two per floor, each oversized floorplan has been designed by SJB specifically for the owner-occupier.

[smartcode_project:default project_id=140184 project_image_fid=356342]

The five-storey building captures views over Rushcutters Bay and Paddington, blending contemporary brickwork with the expressive silhouettes of its Art Deco neighbours.

Inside, the residences, designed by David Hicks, prioritise generous scale and enduring quality, with a mix of two- and three-bedroom layouts. Expansive terraces and cross-ventilated interiors maximise light and airflow, while sustainable features such as a green roof and locally sourced materials reflect SJB’s commitment to long-term liveability.

[smartcode_project:default project_id=140184 project_image_fid=356341]

Developer Toohey Miller, led by Nick Couloumbis, says the design aims to bring lasting quality to an area long celebrated for its apartment heritage.

"It's a stone's throw from the best restaurants in Sydney. Some people call it the Soho of Sydney," Couloumbis told Apartments.com.au when the project was approved.

[smartcode_project:default project_id=140184 project_image_fid=356337]

By securing <a href="https://www.apartments.com.au/news/resilience-latent-defects-insurance">Resilience Latent Defects Insurance</a>, Barncleuth joins a growing group of premium Sydney projects adopting the gold standard in building protection.&nbsp;

The cover, provided before construction begins, ensures any hidden structural or waterproofing defects are repaired immediately, without lengthy litigation or fault disputes.

Resilience Insurance CEO Corey Nugent said the product has been a catalyst for renewed confidence in the off the plan market.&nbsp;

“Ultimately what we’re trying to do is build better buildings consumers can trust. When buyers take possession, they have full insurance protection from day one, for 10 years,” Nugent explained.

Unlike traditional policies such as strata or construction insurance, Resilience LDI is a first-resort, strict liability policy, meaning repairs are covered immediately without needing to prove negligence. Coverage extends to foundations, load-bearing walls, and waterproofing, the elements most critical to long-term structural integrity.

Regarded construction firm Jasara has been appointed to deliver Barncleuth. They are forecasting an early 2027 completion.

[smartcode_project_cta:default project_id=140184]

Toohey Miller brings 10-year Latent Defects Insurance to Elizabeth Bay as Barncleuth apartments launch

<a href="https://www.apartments.com.au/developers/golden-sedayu">Golden Sedayu</a> has unveiled plans for the next phase of its landmark $4 billion <a href="https://www.apartments.com.au/new-townhouses/burswood-point-saintly-entrance-burswood-wa-6100">Burswood Point</a> project, just 3.5km from the Perth CBD at the Belmont Racecourse site.

The Local Development Plan Application has been lodged for a world-class mixed-use hub (Precinct B) on the previously untouched 2.5km stretch of Swan River foreshore.

Designed by Skidmore, Owings &amp; Merrill (SOM), recognised for their work on the world’s tallest skyscraper, Burj Khalifa in Dubai and the One World Trade Centre in New York, Precinct B will feature 15 buildings, offering a mix of residential and commercial spaces including a shopping centre up to 30,000 sqm in size.

Complementing this, an internationally acclaimed five-star hotel, and a high-end pedestrian-friendly retail boulevard with vibrant day-and-night retail, dining, and entertainment venues, will provide exciting new ways for Perth residents to connect with the riverfront.

This latest milestone signals continued construction and expansion momentum across Perth’s premier riverfront community, which is set to attract local, national and international visitors.

[smartcode_project:default project_id=142314 project_image_fid=263304]

The masterplan features 110,000 sqm of public open space, which is comparable to other Perth landmarks including inner-city Langley Park and South Perth foreshore. The riverside precinct will be brought to life through a visionary landscape concept by globally renowned architectural practice Grant Associates.

With an impressive international portfolio, including Gardens by the Bay and Funan Mall in Singapore and Barangaroo South in Sydney, the firm brings expertise in creating environments that harmonise with surrounding amenity.

At 38 hectares, Burswood Point is one of the largest urban development projects ever undertaken in Australia, and one of Perth’s most transformative mixed-use developments.

Golden Sedayu Managing Director Andrew Sugiaputra said the company was working closely with SOM, Grant Associates and the Government of Western Australia to ensure Burswood Point’s design responds sensitively to its surroundings, reflecting and enhancing the character, history, and natural features of the local environment.

[smartcode_project:default project_id=142314 project_image_fid=1817]

“West Australians enjoy a privileged outdoor lifestyle and the Swan River is central to their enjoyment,"&nbsp;Sugiaputra said.

"We’re proud to be creating something truly spectacular and unique for the city, a place that feels alive from sunrise to sunset, a place where people can stay, shop, dine, and celebrate life on the river."

Precinct B builds on the outstanding success of Burswood Point’s first residential stage, which has been met with exceptional market demand. Somerset Residences, a two- tower luxury apartment development, and the exclusive riverfront homes collection are under construction and selling fast. As the number of Perth houses listed for sale remain at or near record lows, Burswood Point will deliver 4,500 new homes over the next 10 years.

“Golden Sedayu is dedicated to delivering on our promises,"&nbsp;Sugiaputra added.

"Our clients can buy with confidence, knowing that the price is fixed throughout construction. In an industry that has faced challenging market conditions, we’re proud to provide our clients complete peace of mind and confidence in the value of their investment."

&nbsp;

[smartcode_project_cta:default project_id=142314]

Golden Sedayu reveals next 15 buildings in Perth's $4 billion Burswood Point precinct

Commonwealth Bank

Australia&rsquo;s biggest bank, CBA, has increased its 2- and 4- year fixed home loan rates by 0.05 per cent for owner-occupiers paying principal and interest. 
&nbsp; 
It is the third time CBA has hiked its 4-year fixed rate this year, but the first time the bank has hiked its 2-year rate for owner-occupiers.

&ldquo;CBA is factoring in a rise in the cost of funding over the next couple of years, particularly now the RBA&rsquo;s term funding facility has closed.&rdquo; 
&nbsp; 
A recent economic insights report from CBA shows around half of its new owner-occupier loans settled in June were fixed, with the two-year rate the most popular. 
&nbsp; 
&ldquo;Despite today&rsquo;s hikes, CBA still has one rate under 2 per cent &ndash; the bank is not going to let go of that easily,&rdquo; said RateCity.com.au research director, Sally Tindall. 
&nbsp; 
&ldquo;CBA&rsquo;s two-year rate was extremely competitive and attracting significant interest. By keeping it just under 2 per cent, the bank is trying to keep momentum going at a more sustainable price,&quot; she said. 
&nbsp; 
Analysis of the RateCity.com.au database shows over the last two months, there have been more hikes than cuts in every fixed rate category with the exception of 1-year rates. 
&nbsp; 
But ME Bank has cut rates across a few home loans from early August, while boosting its refinance cashback offer to $3,000.

The cuts were across its two-year fixed and variable home loan range.

The two-year fixed rate Member Package home loan was cut by 20 basis points to 1.89% p.a. (3.17% p.a. comparison rate*) - a &quot;record low&quot; for the lender.

This particular comparison rate applies to owner occupier borrowers with 80% LVR i.e. a 20% deposit, paying principal &amp; interest.&nbsp;

The same advertised rate applies to other LVRs in the product line, but different comparison rates apply.

A number of other home loans - both fixed and variable - with different LVRs were also cut by between 5 and 31 basis points.

While the majority of changes to fixed rates in the last two months have been hikes, RateCity advise the opposite is happening in the variable rate market.&nbsp; 
&nbsp; 
RateCity.com.au home loan database analysis shows 49 lenders have cut at least one variable rate in the past two months while 10 lenders have hiked variable rates in that time.

The vast majority of variable rate cuts are reserved for new customers, not existing ones, RateCity research director, Sally Tindall, said.

&ldquo;Variable rates are at record lows, however, most of these deals are reserved for new customers, not existing ones, unless you specifically ask,&rdquo; she said. 
&nbsp; 
&ldquo;Before you call, check what rate your bank is giving new customers for the same home loan, but also find out what other lenders have on offer.

&ldquo;If you are paying significantly more than a new customer, pick up the phone and ask your bank &lsquo;why?&rsquo;.

[smartcode_project:default project_id=7363 project_image_fid=41840] 
&nbsp; 
&ldquo;If you have a good track record of paying down your debt, and the bank thinks you might switch to a more competitive lender, they&rsquo;re likely to play ball. 
&nbsp; 
&ldquo;A lot of people think a handful of basis points won&rsquo;t make much of a difference, but if the discount is permanent, then the savings can potentially run into the thousands in just a few years,&rdquo; she said.

ME has also increased its cashback offer to $3,000 for externally-refinanced home loans.

The new lending amount must be minimum of $250,000.

Eligible refinancers must apply by Friday 27 August inclusive, and settle by Friday 29 October.

ME Bank CEO Adam Crane said the cuts would assist borrowers &quot;looking to maximise their borrowing in a challenging property market.&quot;

In February, ME Bank merged with Bank of Queensland with the deal expected to be finalised this month.

But ME Bank cut rates across a few home loans, while boosting its refinance cashback offer to $3,000

jchancellor-FAypfDUnLy

Home loan mortgage rate rises continue

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The home buying spending intentions, part of the Commonwealth Bank Household Spending Intentions (HSI) series, saw further gains across February, reaching its highest level since the data series began in 2015.

Both mortgage applications and Google searches were up in February in comparison to the month and year prior.

CBA chief economist Stephen Halmarick said the overall improvement in the HSI data is consistent with other signs that Australia’s economy continued to recover in the early months of 2021.

[smartcode_project:default project_id=3303]

"We continue to expect the home buying market to be a key source of support for the Australian economy in 2021 – driven largely by the very low level of interest rates," Mr Halmarick said.

CBA are continuing with their forecast that property prices will be up eight per cent in 2021 and six per cent in 2022, with house prices expected to be nine per cent higher this year.

Mr Halmarick said Commonwealth Bank now expect the Australian economy will grow by 4.4 per cent in 2021 following the economic growth improvement at the end of 2020 pointing to a V-shaped recovery.

One risk to this outlook is the upcoming expiry of the JobKeeper program, though Mr Halmarick said recent CBA research suggests any effect from removing the labour market support measure is likely to be temporary.

“Our view is that the negative impacts of the end of JobKeeper will be short-lived and that the strength in the labour market, the large savings pool generated throughout 2020 and, as shown by the HSI, the solid momentum in spending and home buying, will see the economy transition successfully through the end of JobKeeper,” he said.
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Both mortgage applications and Google searches were up in February in comparison to the month and year prior.

Commonwealth Bank's home buying spending intentions hit record highs in February

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The online digital home loan platform Lendi and Aussie Home Loans have announced they have entered into an agreement to merge.

It has been mooted for a month.

The financial press had advised Aussie has 200 outlets and a $70 billion loan book that makes $50 million a year profit while Lendi is a loss maker, recently advising a $37 million loss with an $8 billion book.

Aussie has around 1000 brokers, and Lendi has around 200.

They intend for the proposed merger to "create a market leader in the Australian home loan market."

Lendi shareholders will hold the majority shareholding of 55 percent in the merged business, while Aussie’s current owner, CBA, will hold a 45 percent shareholding.

It will continue to provide funding for the Aussie Select branded home loan product.

The CBA chief executive officer, Matt Comyn said the combined business will have a stronger platform to offer "enhanced digital capabilities for Aussie brokers and a superior experience for customers."

Lendi CEO and co-founder David Hyman suggested it was an "exceptional opportunity" to drive the growth and digitisation of the two companies, both of which had "led disruptive change" in the Australian home loan market. 

Aussie CEO James Symond suggested the merger was another important step in the almost 29-year evolution of Aussie as Australia’s leading retail mortgage broker.

"We are currently posting record lending volumes through our network of over 970 brokers and over 210 stores and, by underpinning Lendi’s technology across our national broker network, we will further accelerate this growth and momentum.”

Completion of the transaction is subject to ACCC approval and other customary conditions.

It is expected to occur by mid calendar year 2021.
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The Commonwealth Bank has announced the merger of its Aussie Home Loans business with online platform Lendi

Aussie Home Loans merges with Lendi

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CBA currently has deferred repayments on 135,000, or eight per cent, of its home loans.
It covers $48 billion of loans.
It was 154,00 home loan deferrals at the COVID-19 peak.
There were 250,000 deferred loans all up, as 15 per cent of its business loans are also deferred totalling $14 billion in deferrals.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2020/8/12/CBA%20loan%20make-up.jpg" alt="">
But its recent home lending has proved resilient, rising by 1.3 times the average of the system, or $18.4 billion over the year.
There was $100 billion in new home lending, with just 25 percent going to investors.
It equated to four per cent volume growth.
The average home loan was at a record $352,000, up from $317,000 a year ago.
Home loan arrears sit at low levels.
Some 40 percent of CBA borrowers are one year or more in advance in their payments.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2020/8/12/CBA%20arrears.jpg" alt="">
The portfolio LVR remained stable.
It advised 70 percent of its book originated under tighter lending standards adopted in 2016.
The book has split 68 percent with owner occupiers; 30 percent investors and 2 percent with a line of credit.
Some 16 percent are on interest only loans, down from 22 percent a year ago.
Revenue was up two per cent over the year to $23.9 billion after CBA was flooded with new deposits, with deposits now providing 74 per cent of total funding, up from 69 per cent over the past year.
"We anticipate that lower credit growth and low interest rates will continue to put pressure on our revenue, requiring a focus on performance, efficiency and capital allocation," the CBA CEO Matt Comyn said.
"Despite the challenging environment, operational performance in the business remains strong. Combined with our strong balance sheet and capital position, this enables us to continue supporting customers and the economy."
Commonwealth Bank has announced an 11.3 per cent drop in full-year cash profit to $7.3 billion as it ramped up provisions against loan losses. 
It will pay a 98¢ final dividend.
The full-year dividend of $2.98 per share, fully-franked, is down 31 per cent on 2019.
Analysts had been expecting a final dividend of 92¢ cents, the lowest final dividend since 2006.
CBA’s shares have been trading at 6.5 per cent lower so far this year. 
The other banking majors will provide investors third-quarter updates over the coming week.
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j.ballantyne1990-6AQqhLzZaK

CBA boosts home loan lending as home loans hits record $352,000

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House prices could be slashed by a third, Commonwealth Bank have suggested in its worst case scenario for the national housing market.
The best case scenario, the country's biggest lender says, was for prices to drop 11 per cent.
LF Economics founder Lindsey David says a 32% fall in house prices will "kill the Australian banking system without mega bailouts."
Matt Barrie, founder and chief executive of Freelancer, believes even a 25 per cent drop will do it.
" I think that pushes most mortgages since 2017 into 100% LVR", Barrie said.
NSW Premier Gladys Berejiklian has said the news would be welcome for some.
<div>
"It'll be a buyers' market for a while," Ms Berejiklian said this morning.
</div>
<div>
"There's always a positive in a negative circumstances."
</div>
CBA's worst case scenario considers a two year recession where GDP growth could scale back nearly eight per cent over 2020 and 2021, with a minor 2.3 per cent bounce in 2022.
It would also rely on the unemployment rate hitting nine per cent in 2020, and only scaling back to 8.5 per cent in 2021.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2020/5/14/CBA%20house%20forecasts.jpg" alt="">
An 11 per cent scale back in the nation's house price index would more likely occur if Australia's GDP only falls six per cent in 2020, and recovers that amount in 2021, before slowing to a three per cent gain in 2022.
It would also see unemployment only hit 8.25 per cent, rather than nine per cent, and drop back to eight per cent in 2021 as the country's borders stop opening and jobs get back to some sort of normality.
Unemployment would be hitting 6.5 per cent in 2022 if this is the case.
CBA stated the key drivers of the fall in house prices were unemployment, underemployment and changes to income, given the severe economic impact to COVID-19. The bank have set aside $1.5 billion to cover potential losses.
ANZ was much more optimistic when it came to forecasting the potential effect on the housing market, predicting 10 per cent peak to trough losses nation-wide.
ANZ economists Felicity Emmett and Adelaide Timbrell anticipate prices will bottom out in mid-2021 as affordability improves, but the recovery is likely to be relatively gradual given that unemployment is expected to remain above 7% until 2022.
Emmett and Timbrell suggest the deterioration in household income will be the biggest driver of weakness.
"Already, nearly a third of Australian households have reported a deterioration in their finances due to COVID-19," the economists said.
 
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jrobinson-rf4aSBido9

House prices could fall 32 per cent: CBA's worst case COVID-19 scenario

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Commonwealth Bank have followed Westpac by passing on the full RBA cut in full to their customers.
They've passed on the full 25 basis points, effective March 24.
Westpac were the <a href="/expert-insights/finance/westpac-first-of-the-big-four-to-cut-rates-in-full-after-rba-cut">first of the big four to pass after the RBA announcement</a>. 
For the fourth cut in a row, Athena Home Loans <a href="/expert-insights/finance/athena-first-to-cut-interest-rates-after-march-rba-cut">cut first, in full</a>. They've now passed on every RBA rate cut.
“In responding to this latest official interest rate cut we have examined the important role we play in supporting the Australian economy and the unique set of circumstances facing the country", Commonwealth Bank's group executive for retail banking services Angus Sullivan said.
“We also recognise the importance of managing the business sustainably for the long term and balancing the needs of borrowers and depositors.
"We will continue to review our pricing and make further adjustments as required.
“Today’s announcement means our SVR for Owner Occupied customers, with Principal and Interest repayments, will be one of the lowest on record.”
New Standard Variable Rates
<ul>
<li>Owner Occupied Principal and Interest Standard Variable Rate home loans reduced by 0.25% per annum (p.a.) to 4.55% p.a.</li>
<li>Investor Principal and Interest Standard Variable Rate home loans reduced by 0.25% p.a. to 5.13% p.a.</li>
<li>Owner Occupied Interest Only Standard Variable Rate home loans reduced by 0.25% p.a. to 5.04% p.a.</li>
<li>Investor Interest Only Standard Variable Rate home loans reduced by 0.25% p.a. to 5.39% p.a.</li>
</ul>
 
 
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Commonwealth Bank second of big four to cut rates in full after RBA cut

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There have been 27 lenders endorsed to participate in the First Home Loan Deposit Scheme which kicks in at the beginning of next year.
There will no doubt be a huge amount of first home buyers looking to secure one of only 10,000 opportunities across to country to access the extra lending.
Some 100,000 first home buyers are forecast to be entering the market in 2020, <a href="https://www.propertyobserver.com.au/forward-planning/investment-strategy/65-first-home-buyers/105815-20-000-fhbs-set-to-take-up-the-low-deposit-scheme-in-2020" target="_blank">however 2020 will see 20,000 home loans written</a> for the scheme given the cut off dates in the future will be July 1.
The scheme will enable first home buyers <a href="/expert-insights/buying/how-to-buy-your-first-home-with-5-percent-deposit">who have only been able to save five per cent deposit</a> to gain a further 15 percent to take them to the 20 per cent mark, forgoing lenders mortgage insurance.
Commonwealth Bank have joined the NAB as the only two major lenders <a href="/news/westpac-ditched-from-government-s-first-home-loan-deposit-scheme">after Westpac were dumped</a> following their recent scandal.
The full list of lenders are:
<table class="gmail-MsoTableGrid" border="0" cellspacing="0" cellpadding="0"><tbody>
<tr>
<td colspan="3" valign="top" width="614">
Major bank lenders
</td>
</tr>
<tr>
<td valign="top" width="198">
National Australia Bank
</td>
<td colspan="2" valign="top" width="415">
Commonwealth Bank of Australia
</td>
</tr>
<tr>
<td colspan="3" valign="top" width="614">
Non-major lenders
</td>
</tr>
<tr>
<td valign="top" width="198">
Australian Military Bank
</td>
<td valign="top" width="246">
Auswide Bank
</td>
<td valign="top" width="170">
Bank Australia
</td>
</tr>
<tr>
<td valign="top" width="198">
Bank First
</td>
<td valign="top" width="246">
Bank of us
</td>
<td valign="top" width="170">
Bendigo Bank
</td>
</tr>
<tr>
<td valign="top" width="198">
Beyond Bank Australia
</td>
<td valign="top" width="246">
Community First Credit Union
</td>
<td valign="top" width="170">
CUA
</td>
</tr>
<tr>
<td valign="top" width="198">
Defence Bank
</td>
<td valign="top" width="246">
Gateway Bank
</td>
<td valign="top" width="170">
G&amp;C Mutual Bank
</td>
</tr>
<tr>
<td valign="top" width="198">
Indigenous Business Australia
</td>
<td valign="top" width="246">
Mortgageport
</td>
<td valign="top" width="170">
MyState Bank
</td>
</tr>
<tr>
<td valign="top" width="198">
People’s Choice Credit Union
</td>
<td valign="top" width="246">
Police Bank (including the Border Bank and Bank of Heritage Isle)
</td>
<td valign="top" width="170">
P&amp;N Bank
</td>
</tr>
<tr>
<td valign="top" width="198">
QBANK
</td>
<td valign="top" width="246">
Queensland Country Credit Union
</td>
<td valign="top" width="170">
Regional Australia Bank
</td>
</tr>
<tr>
<td valign="top" width="198">
Sydney Mutual Bank and Endeavour Mutual Bank (divisions of Australian Mutual Bank Ltd)
</td>
<td valign="top" width="246">
Teachers Mutual Bank Limited (including Firefighters Mutual Bank, Health Professionals Bank, Teachers Mutual Bank and UniBank)
</td>
<td valign="top" width="170">
The Mutual Bank
</td>
</tr>
<tr>
<td valign="top" width="198">
WAW Credit Union
</td>
<td valign="top" width="246">
 
</td>
<td valign="top" width="170">
 
 
</td>
</tr>
</tbody></table>
All lenders have committed not to charge eligible customers higher interest rates than equivalent customers outside of the Scheme.
Michael Sukkar, the minister for housing and the assistant treasurer, said the Morrison Coalition Government is committed to helping make home ownership a reality for more Australians and to get them into the property market sooner.
 "The Scheme has been warmly welcomed by major industry peak bodies, and the composition of the initial lending panel reflects the industry’s confidence in the Morrison Coalition Government’s plan to assist first home buyers", Sukkar said.
"Further, the Scheme has been deliberately designed to ensure strong representation of smaller lenders on the panel. This will promote competition between the large and small banks, and ensure the Scheme has broad geographic reach, including in regional and remote communities.
Graham Wolfe, managing director at The Housing Industry Association, said it's encouraging to see so many lenders wanting to be involved.
“The Government’s commitment to involve a range of lenders in the Scheme is important in ensuring that first home buyers have a genuine choice from whom they obtain their home loan,” said HIA Managing Director, Graham Wolfe.
"Their commitment to offer the same interest rates to participants in the Scheme is also critical", Wolfe said.
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“Home ownership provides people with stability in so many aspects of their life. Housing supply needs to remain a national priority to stem the decline in home ownership rates in Australia in the last 25 years.
“HIA has long argued for a national approach to addressing the added costs that affect the final price of a home for many first home buyers. 
“The time it takes to save a 20 per cent deposit, along with the added upfront cost of mortgage insurance, along with stamp duty and securing finance, remains one of the main barriers to people’s home ownership aspiration. 
“Helping 10,000 first home buyers a year achieve their home ownership dream sooner by providing a guarantee under this Scheme to remove one of these added costs will make a real difference. 
“With the house price caps and lenders panel now locked in, people saving for their first home can begin to make a choice about whether to take up the opportunity in the new year and get into their first home sooner.” 
</div>
</div>
</div>
Applicants will be subject to eligibility criteria, including having taxable incomes up to $125,000 per annum for singles and up to $200,000 per annum for couples and eligible dwelling price thresholds.
 
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Commonwealth Bank among 27 lenders endorsed for the First Home Loan Deposit Scheme

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Commonwealth Bank have updated their forecast for the 2020 dwelling markets on the back of the resurgence over the last few months.
They now expect national dwelling prices to grow six per cent in 2020.
CBA senior economist Gareth Aird has called the rebound in demand "phenomenal."
"Back in July we updated out dwelling price forecasts and extended the profile to end-2020," CBA senior economist Gareth Aird said.
He noted however that they only expect modest price rises over H2 2019 and 2020.
"We flagged that the risks to our forecast profile were to the upside, but a V-shaped recovery was not our central scenario," Aird added.
Commonwealth Bank expect Sydney and Melbourne to drive the national forecast, each to be up seven and eight per cent.
To enlarge, <a href="https://www.propertyobserver.com.au/images/2019/11/15/CBA%20Forecasts.jpg" target="_blank">click here</a>.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2019/11/15/CBA%20Forecasts.jpg" alt=""> 
Brisbane and Canberra will follow with four per cent gains, with Adelaide and Hobart house prices to grow three per cent.
There's finally good news for Perth and Darwin.
After major losses, the two strong mining capitals aren't expected to see declines in 2020. Perth is forecast to see 2.5 per cent growth, while Darwin will remain flat.
National dwelling prices have risen 3.7 per cent since bottoming out in June, however they still remain seven per cent below the September 2017 peak.
Aird says there are two key downside risks to their view on property prices.
"First, the reintroduction of macro-prudential measures to slow the growth in lending," Aird stated.
"Measurers introduced a few years ago to slow both the rate of growth in lending to investors and rate of growth in interest-only lending were successful in slow dwelling price appreciation.
"Second, a lift in the national unemployment rate above 5.5 per cent would likely result in dwelling prices not lifting as much as we expect."
Aird also cited two key upside risks to CBA's forecasts, the first being if there is another cut in the official cash rate.
"We expect one further 25bp cut to the cast rate in Q1 2020 which should result in a further reduction in mortgage rates," Aird said.
"But any move to UMP (unconventional monetary policy) that results in mortgage rates moving lower than we expect would likely result in dwelling prices inflating by more than we anticipate.
Aird added that if there were to be any further policy changes to boost housing demand such as first home owner grants or lower stamp duty, to domestic or foreign buyers, then prices could go higher than the forecast.
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Rebound in property demand "phenomenal" as CBA forecast higher 2020 prices

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Commonwealth Bank, the nation's biggest home lender, continues to cut its exposure to interest-only loans.
In June 2018, 30% of their loan book was made up of interest only loans. By December 2018 it was 26% and now it is 22%.
Home loans arrears only nudged 0.01% higher to 0.68% from December to June.
The percentage of home loans in negative equity has jumped from 3.3% in June last year to 4.5%.
CBA chief executive Comyn says overall they feel like the housing market is starting to stabilise and may slightly improve from here.
"We see modest price increases and a modest increase in credit growth overall.
"We also believe that unemployment is likely to stay low.
"Clearly as we look forward, making sure there’s some sort of increase in household income, and of course, an increase in sentiment for both consumers and businesses, is going to be very important in the future economic period."
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2019/8/7/CBA%20Home%20Loan%20balances.jpg" alt="">
CBA announced profits of $8.5 billion in their full year 2019 results, down 4.7 percent from the year before.
Matt Comyn said the decline was driven by an extra $1 billion in remediation given out over the year, as well as "elevated risk and compliance spend."
He suggests however the company's core franchise is continuing to perform "very well."
"The key takeaways from my perspective are we’re making very good progress on becoming a simpler and better bank," Comyn said.
"Our home lending balances are up 4% which is above the system.
"Our business lending is also up 4% and we’ve continued to see strong transaction deposit growth of 9% for the year.
"Our overall result of $8.5 billion is down 4.7%. So that cash net profit after tax is of course subdued and it’s been impacted by higher remediation costs of almost $1 billion during the course of the year, as well as elevated risk and compliance spend."
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CBA continues to reduce its exposure to interest-only home loans

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Commonwealth Bank have become the last of the big four to cut their saving rates following the July cut by the RBA.
They've cut the ongoing rate on its Netbank savings account by 0.15%.
After the introductory five months of 2.05 percent, savers will only get 0.15% in interest from then on.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2019/7/24/CBA%20Saver%202.jpg" alt="">
CBA has also cut the bonus rate on its Goalsaver account by up to 0.25 per cent.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2019/7/24/CBA%20saver.jpg" alt="">
RateCity<a href="http://ratecity.com.au/">.</a>com.au research director Sally Tindall said the cuts are another blow for savers.
“CBA has cut some of its savings accounts by just 0.15 per cent while others have been slashed by up to 0.25 percent," Tindall says.
“CBA cut the majority of its variable home loan rates by just 0.19 per cent so it’s disappointing to see some cuts to savings accounts have gone above this.
“Now is an excellent time to review your savings accounts and see if you are getting the most bang for buck in what is a very difficult market for savers.”
The big four have now all cut their saving rates following the RBA cash rate cut.
They are now as follows:
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2019/7/24/Big%20Four%20Savings%20Accounts.jpg" alt=""> 
 
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