<a href="https://www.apartments.com.au/developments/broadbeach-qld-4218">Broadbeach</a> offers plenty of reasons to live vertically, but moving from a substantial family home into an apartment can expose the compromises of high-density living. Privacy, room for guests and usable living space tend to matter more when an apartment is intended as a permanent home rather than an occasional coastal base.

A typical residential floor at <a href="https://www.apartments.com.au/new-apartments/the-eveleigh-broadbeach-7-9-surf-parade-broadbeach-qld-4218">The Eveleigh</a>, on Surf Parade,&nbsp;contains just four apartments. The 94-residence development by <a href="https://www.apartments.com.au/developers/hirsch-faigen">Hirsch &amp; Faigen</a> is predominantly made up of expansive three-bedroom homes, with a limited collection of half-floor penthouses above.

Across the apartment floors, <a href="https://www.apartments.com.au/architects/rothelowman">Rothelowman</a> has used the relatively limited number of residences to give each home greater access to natural light and outlook. Living spaces extend towards full-height glazing, while a series of bay windows frame selected views across the Pacific Ocean, city and hinterland rather than treating the building edge as a continuous wall of glass.

&nbsp;

[smartcode_project:default project_id=149670 project_image_fid=360965]

“The apartment floors deliver a collection of homes that embrace controlled outlook via a series of bay windows deliberately framing moments of view,” Rothelowman Director Kim Lowman said.

From outside, those projecting forms contribute to the tower’s faceted profile. Strong horizontal and vertical elements establish its proportions, while the changing position of the sun alters the light, shadow and reflection across the façade throughout the day.

The same attention moves inside the apartments, where the material palette combines warm timber, natural stone, metallic detailing and softer curved forms. Kitchens sit within the main living zone, with stone island benches, integrated joinery and European appliances, before the living areas extend towards the glazing and the outlook.

&nbsp;

[smartcode_project:default project_id=149670 project_image_fid=360981]

Three genuine bedrooms provide room to accommodate family and guests, while two secure car spaces and storage address some of the practical considerations that can become more noticeable when moving from a larger home. Feedback from the display suite has centred on the warmth and restraint of the interiors, with buyers commenting that the residences feel like homes rather than conventional coastal apartments.

A limited collection of half-floor penthouses occupies the upper levels, increasing the scale of the living spaces and adding private balconies and elevated finishes. From this position, the outlook extends between the ocean and hinterland.

Outside the private residences, The Eveleigh separates its shared spaces between the podium and rooftop. The podium is centred on wellness, with subtropical landscaping surrounding a swimming pool and pool terrace, yoga garden, private gymnasium, sauna and hot and cold plunge facilities. Landscaped retreats and pavilions provide additional places to sit away from the main recreation areas.

&nbsp;

[smartcode_project:default project_id=149670 project_image_fid=360966]

Higher in the building, a rooftop pavilion and private dining suite sit alongside resident lounge, barbecue and outdoor dining areas, opening towards panoramic views across the ocean, city and hinterland.

“Buyers are no longer just looking for an apartment, but a lifestyle where they can relax, reset, and enjoy a balanced way of living,” Hirsch &amp; Faigen Director of Sales Matt George said.

Interest to date has come from established owner-occupiers and interstate lifestyle purchasers, including buyers planning a future move to the Gold Coast. Many are coming from larger homes and want to reduce ongoing maintenance without giving up space for family and guests, privacy, two car spaces or the ability to entertain at home.

&nbsp;

[smartcode_project:default project_id=149670 project_image_fid=360969]

Much of that daily life can also take place beyond the building without requiring a drive. Kurrawa Beach and Pratten Park are an easy walk from Surf Parade, while Pacific Fair, Oracle Boulevard, The Oasis, restaurants, cafés, entertainment and public transport are also within walking distance.

The Eveleigh is Hirsch &amp; Faigen's fourth Gold Coast development since entering the market in 2021, following The Hemingway at Palm Beach, The Emerson at Kirra and Yves at Mermaid Beach. Each of the preceding projects sold out before completion.

“Broadbeach had been on our radar throughout our time operating on the Gold Coast,” the developer said. “Following our projects in Palm Beach, Kirra and Mermaid Beach, Broadbeach represented the natural next step for the business.”

The Surf Parade site brought together proximity to the beach, protected coastal outlooks and walkability to dining, shopping and recreation. Hirsch &amp; Faigen also identified the street as an emerging premium residential address, with enough separation from Broadbeach's busier destinations to retain a quieter environment at home.

The Eveleigh is now under construction by Maxcon, with completion forecast for mid-2028. Three-bedroom residences are currently available from $2.87 million.

[smartcode_project_cta:default project_id=149670]

Joel Robinson

The Eveleigh brings house-like apartments to Broadbeach

A long-stalled Campbelltown development site is back in play, with new plans for 139 apartments set to supersede a mixed-use scheme approved almost a decade ago but never built.

The new proposal for 28 Cordeaux Street would deliver 116 market and 23 affordable apartments in a part 14-storey building, bringing a substantial new project into a Campbelltown market where new apartment supply remains limited.

Plans have been filed over the 3,092 sqm corner site at Moore-Oxley Street, around 600 metres from Campbelltown Railway Station and the city-centre retail core.

The site already carries a mixed-use residential approval dating to 2016. Doroch Architects has now been engaged on a larger replacement scheme, which is progressing as a State Significant Development Application following a Housing Delivery Authority determination in August 2025.

The apartment mix comprises 39 one-bedroom, 72 two-bedroom and 28 three-bedroom residences. Two-bedroom apartments make up just over half of the project, while three-bedroom homes account for 20 per cent.

<img alt="First look: New 139-apartment plans revive long-stalled Campbelltown city centre site" data-entity-type="file" data-entity-uuid="136dd5b9-3791-4da6-9e31-76f533f5b4de" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Campbelltown%20da2.png?VersionId=LgOSy9nwf5u.MGswBBwaGGxuX8QpHSl_" />

Of the 139 apartments, 23 will be delivered as affordable housing under the in-fill affordable housing provisions of the Housing SEPP. The affordable component represents 15 per cent of the residential gross floor area and will be managed by a registered Community Housing Provider.

Doroch has sought to break the scale of the building into two distinct elements, with a masonry podium of around four storeys establishing the street edge before the residential tower steps back above.

The corner position has shaped that approach. Cordeaux Street faces toward the commercial and civic centre, while Moore-Oxley Street leads into the lower-scale residential neighbourhood to the south, and the design verification report describes the site as "bridging the commercial core to the north and established residential areas to the south."

The podium will be expressed predominantly in face brick, while the upper levels shift to brushed and grooved concrete cladding with darker metal detailing. Recessed sections, deep balcony edges and landscaping break down the upper form, with an approximately 11.8-metre setback to the northern boundary addressing the adjoining St Peters Anglican School.

<img alt="First look: New 139-apartment plans revive long-stalled Campbelltown city centre site" data-entity-type="file" data-entity-uuid="c8b3d2d3-c561-4bfc-a5d9-a68c0c10dac1" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Campbelltown%20da1.png?VersionId=AeAEyJU02Gk2k5noUj2StziCvdQ7fW4B" />

Campbelltown has been starved of new residential developments in the last decade.

The only other notable development set to come to market this year is ALAND's Queen Square, a mixed-use precinct on over two hectares that will comprise apartments above a vibrant ground-level retail and hospitality dining precinct.

First look: New 139-apartment plans revive long-stalled Campbelltown city centre site

First Look: Sherlock Construction pitches apartments for low-rise Deception Bay

Queensland builder-developer MAYD has revealed the first look at its major North Kirra beachfront development, lodging amended plans that reduce the number of apartments and increase the proportion of larger residences.

The project is planned across a substantial 4,742 sqm amalgamated site spanning seven lots at <a href="https://www.apartments.com.au/new-apartments/2-6-pacific-parade-bilinga-qld-4225">2-6 Pacific Parade</a> and 27-33 Golden Four Drive in Bilin​ga, directly opposite Nor​th Kirra Beach.

<a href="https://www.apartments.com.au/developers/mayd-group">MAYD</a> secured the site for $32.5 million in 2025, in what was one of the Gold Coast's largest property transactions of the year.

The development will be delivered across two stages, with the first stage carrying an estimated gross realisation value of around $360 million.

The latest amendments seek to reduce the overall apartment count and shift the project further toward the owner-occupier market, with larger residences designed for buyers wanting considerably more space than traditionally offered in a beachfront apartment.

The residential mix will include townhomes, oversized two-bedroom apartments, substantial three-bedroom residences and four-bedroom homes.

MAYD has appointed Cera Stribley to lead the architecture and interiors, with the Melbourne-based design practice drawing on the beachfront setting through a series of ocean-facing terraces and heavily landscaped balconies.

Strong horizontal forms and curved balconies will define the exterior, with subtropical landscaping integrated throughout the building to soften the built form and increase the connection between the residences and the beachfront.

The project will also include an extensive collection of resident wellness and lifestyle facilities, continuing the broader shift across the Gold Coast's luxury apartment market toward larger homes supported by resort-style amenity.

<img alt="MAYD" data-entity-type="file" data-entity-uuid="d1bcbb05-e659-4b47-8bd4-1e595315e2ad" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-27%20at%202.05.03%E2%80%AFPM.png?VersionId=jj0XEud1X1DuLt7_KyElhjMdZGOXmLHP" />

MAYD Founder Todd Mould said North Kirra was increasingly appealing to buyers attracted to the more established, lower-density character of the southern Gold Coast.

"North Kirra presents one of the most compelling luxury residential opportunities currently emerging in Australia, combining absolute beachfront with the character and authenticity that buyers are increasingly seeking, and the same sense of tight-knit community that defined Burleigh and Currumbin perhaps 10 or 15 years ago," Mould said.

"With Gold Coast Airport on its doorstep, it also offers a level of accessibility that broadens its appeal across almost every market demographic."

The project comes as the southern Gold Coast continues to attract an increasing share of high-end apartment development and buyer activity.

Kirra in particular has emerged as one of the region's more tightly held beachfront markets, with its relatively low-density character, established surf and hospitality scene and proximity to Gold Coast Airport differentiating it from the higher-density markets further north.

Mould said those characteristics had informed the approach MAYD and Cera Stribley had taken to the project.

"We've worked closely with Cera Stribley to create a vision that is deeply connected to its surroundings," he said.

"Inspired by the coastline itself, the architecture has been shaped around space, privacy and resort-style living, creating a collection of homes that reflects the next generation of luxury on the southern Gold Coast."

MOTIV Managing Director Carly Cottam, who has been appointed to market the project, said buyer attention had continued to move south along the Gold Coast.

"Purchasers who may once have defaulted to Broadbeach, Main Beach or Surfers Paradise are increasingly recognising the value of a genuine beachfront location that offers lower density, strong amenity and a more established sense of community," Cottam said.

"Kirra has a powerful combination of growing demand and genuine scarcity. Beachfront supply is inherently constrained, the area remains relatively low density, and buyers are increasingly placing a premium on locations that feel established, uncrowded and authentic rather than heavily developed."

Cottam said the proximity to Gold Coast Airport was also proving increasingly important for interstate and second-home buyers.

"Being minutes from Gold Coast Airport makes it particularly compelling for interstate buyers, frequent travellers and second-home purchasers who can access an authentic coastal lifestyle almost immediately after stepping off a flight."

The acquisition takes MAYD's active development portfolio to more than $500 million, with the North Kirra project representing one of its largest undertakings to date.

MAYD is targeting an early 2027 launch.

First look at MAYD's North Kirra mixed-use precinct

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Castle Hill, the longtime hub of the Hills District, has been one of the major beneficiaries of Sydney's Metro expansion, with improved connectivity helping drive continued population growth, development and buyer demand across the Hills District.

But despite that growth, the suburb has seen relatively few major new apartment projects brought to market over the past 18 months.

Hills District developer Reve Group is looking to fill that gap with <a href="https://www.apartments.com.au/new-apartments/nova-r-ve-castle-hill-2-garthowen-crescent-castle-hill-nsw-2154">Nova Rêve</a>, a major new mixed-use precinct on the corner of Garthowen Crescent and Old Castle Hill Road, a short walk from Castle Hill Metro Station and Castle Towers.

[smartcode_project:default project_id=152737 project_image_fid=377679]

The project will comprise three residential towers alongside a hotel, restaurants, cafes and a skybar, more than 1,600 sqm of ground-floor retail and almost an acre of landscaped gardens.

It represents the largest project undertaken by Reve Group, the development arm of the Kassis family, which has been building across the Hills District for more than 30 years through Kassis Homes.

[smartcode_project:default project_id=152737 project_image_fid=377675]

Nova Rêve also represents a significant step up from the family's first apartment development, Grand Rêve, which was delivered nearby on Garthowen Crescent.

Grand Rêve introduced larger, house-like apartment layouts and premium inclusions including Wolf and Sub-Zero appliances to the Castle Hill market.

Nova Rêve takes that approach to a precinct scale, combining the residential component with hospitality, retail and substantial public and resident landscaping.

[smartcode_project:default project_id=152737 project_image_fid=377685]

Reve Group Managing Director Sam Kassis said the project reflected the family's three decades of building in the Hills, which has evolved from trophy homes on quarter-acre blocks to larger-scale apartment development.

"Grand Rêve was our first apartment project here and it showed us what this pocket of Castle Hill could be. Nova Rêve is the refinement of that idea: not just apartments, but a place the whole suburb can use," Kassis said.

A key part of that approach is the hotel, which has been designed to operate as an amenity for the wider Castle Hill community rather than solely hotel guests.

It will include restaurants, cafes, skybars and all-day dining, alongside conference and event facilities catering to business functions, community groups and private events.

At ground level, more than 1,600 sqm of shops and cafes will open onto the surrounding streets and landscaped areas.

Almost an acre of gardens designed by Land and Form Studios will run through the precinct, incorporating pathways, seating, barbecue areas and children's play spaces.

[smartcode_project:default project_id=152737 project_image_fid=377680]

Reve Group's Romio Georges said creating an active ground plane had been central to the planning of Nova Rêve.

"There are gardens with pathways, barbecues, seating and play areas, shops and cafes opening onto the street, and a hotel with restaurants and a skybar that anyone in Castle Hill can walk into," Georges said.

The project's elevated position on one of Sydney's highest ridgelines will also provide apartments with outlooks toward the Sydney skyline, surrounding parkland and the Blue Mountains.

More than 80 per cent of the apartments will occupy corner positions, with Turner responsible for both the architecture and interiors.

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Nova Rêve arrives as Reve Group bets on Castle Hill's next growth phase

Consumer Behaviour

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EXPERT OBSERVER
We’re great at rationalising our own actions, whether it’s profiteering or eating meat.
Hating bankers seems to be something of a global bloodsport, and this has only been intensified by the <a href="https://theconversation.com/au/topics/financial-services-royal-commission-51154" target="_blank">many scandals</a> coming out of <a href="https://financialservices.royalcommission.gov.au/Pages/default.aspx" target="_blank">Financial Services Royal Commission</a>.
But what often gets overlooked in times of mass gibbeting is the human cost. Far from the pin-striped-suit-wearing-cigar-chewing-fat-cat stereotype, the Australian employees in the banking sector are (mostly) just like the rest of us.
The emerging field of behavioural ethics shows us we are all motivated by self-serving interests and that, under the right circumstances, most people will act in ways that are opposed to their own moral principles.
Psychological research has revealed what is referred to as the <a href="https://www.psychologytoday.com/au/blog/real-men-dont-write-blogs/201406/why-we-dont-give-each-other-break" target="_blank">fundamental attribution error</a> – a tendency to blame an individual’s character for bad outcomes.
In essence, we believe people who lie, cheat or steal do so because they’re bad apples. It is for this reason we feel justified in dragging them over hot coals.
Although satisfying to our sense of retributive justice, this is often unjustified.
Studies show when people are given the opportunity to cheat without getting caught, they will do so in order to benefit themselves, but <a href="http://journals.ama.org/doi/abs/10.1509/jmkr.45.6.633?code=amma-site" target="_blank">just enough</a> so they don’t see themselves as immoral.
We also know unethical behaviour tends to follow a slippery slope. Dishonesty increases overtime and people adapt to their behaviour (it feels more normal), leading to <a href="https://www.nature.com/articles/nn.4426" target="_blank">less activation of the amygdala</a> – an area of the brain associated with perceptions of threat.
But, what leads good people to do bad things in the first place?
Studies on <a href="https://www.annualreviews.org/doi/abs/10.1146/annurev-lawsocsci-102811-173815" target="_blank">ethical fading</a> reveal when people are focused on other factors (for example, the importance of meeting performance goals) they become less aware of the ethical dimensions to their decisions.
There are also a myriad of ways people use <a href="https://www.propertyobserver.com.au/http://journals.sagepub.com/doi/abs/10.1177/0963721414553264" target="_blank">motivated reasoning</a> to downplay the ethical consequences of their actions.
From bankers to burgers
If you think these biases are limited to bankers, think again. In my own research I’ve become fascinated with the psychology of meat eating. Why? Because it’s terribly common while also posing an ethical dilemma for almost all of us (me included).
Although a very large majority of us eat meat, many are also squeamish when it comes to the production of that meat. We don’t like to think of the harm associated with factory farms. In fact, very few of us can stomach the idea of killing an animal, yet we’re happy to eat lamb roast on Sundays and burgers in between.
So how do we resolve this tension between our desire to eat meat and the harm this brings to animals? We engage in all the same practices bankers have been accused of recently.
Our work shows we actively <a href="https://www.propertyobserver.com.au/http://journals.sagepub.com/doi/abs/10.1177/0146167211424291" target="_blank">downplay the mental lives of animals</a>, such as their capacity to experience pain or harm. This is so the ethical consequences of our behaviour appear less troublesome.
We have also traced these strategies – designed to protect us from the discomfort associated with the ethical implications of meat eating – all the way to how our <a href="https://www.propertyobserver.com.au/http://journals.sagepub.com/doi/abs/10.1177/1088868316647562" target="_blank">societies and institutions are structured</a>. Abattoirs are kept out of sight, we use euphemisms such as beef (versus cow) or pork (versus pig), and we promote the idea eating meat is <a href="https://www.sciencedirect.com/science/article/pii/S0195666315001518" target="_blank">natural, normal, and necessary</a>.
Unconscious bias, cultural veils, and a little humility.
Contrary to our retributive desire to hang wrong-doers out to dry, the evidence suggests we’re all prone to ethical failures.
Our self-serving biases are often unconscious, and we live and work in social systems that are sometimes designed to incentivise unethical behaviour and protect us from the consequences of our actions.
Bankers talk of profits rather than people. They have managers, boards, and shareholders who set and <a href="https://www.smh.com.au/national/banking-inquiry-reveals-need-to-get-rid-of-incentives-for-selling-home-loans-20180325-p4z64v" target="_blank">incentivise</a> financial goals and targets, not ethical ones.
Can the banking sector improve its ethical scorecard? Most definitely yes. We must, however, view this as a systemic issue.
Just as those of us who consume burgers need to take a walk down humility lane, the banking sector needs to recognise the various pitfalls that have become ingrained in its very culture.
<img src="https://counter.theconversation.com/content/99209/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1">At the end of the day bankers are no more or less prone to the same ethical failures than the rest of us. Recognising that fact is the first step towards creating an open and safe culture where we can all admit our moral frailties without fear of becoming the next casualty of the blame bandwagon.
<a href="https://theconversation.com/profiles/brock-bastian-135" target="_blank">Brock Bastian</a>, ARC Future Fellow, Melbourne School of Psychological Sciences, <a href="http://theconversation.com/institutions/university-of-melbourne-722" target="_blank">University of Melbourne</a>
This article was originally published on <a href="http://theconversation.com" target="_blank">The Conversation</a>.
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j.ballantyne1990-6AQqhLzZaK

Why we should be slow to point the finger at bankers

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GUEST OBSERVER
There’s more than 30 years of research showing financial consumers have behavioural biases that can lead to poor decisions. Financial providers and banks have known this too, and have designed some products to take advantage of consumer habits rather than benefit them.
Legislation soon to be introduced to parliament is intended to curb these practices, but credit products are being left out to consumer detriment.
Regulators have relied on two strategies to help consumers with this problem. Disclosure of the nature and prospects of the products providers offer. Also, encouraging consumers to seek financial advice.
Neither of these has worked well. The Financial System Inquiry in 2014 recognised that disclosure hasn’t closed the gap in consumer capability. Worse, the providers of these products may have incentives through remuneration which may not serve the customer’s interest and only about 25% of financial consumers seek advice.
The Productivity Commission’s report on competition in financial services, illustrates many of these points in arguing for regulation of mortgage brokers. Brokers are supposed to be the customer’s agent to scout for and advise on the best mortgage terms and cost. Instead they are remunerated by mortgage providers (like the banks), take commissions and, according to the Productivity Commission, generally cost more than loans directly from a bank.
Bias in financial decision-making
Consumers are prone to a range of biases which may also impair their financial decisions. For example overconfidence may cause them to ignore new information or hold unrealistic views about how high returns will be.
As we age or as our circumstances change, our tolerance for risk also changes. As we get older our tolerance for risk decreases, while having a higher income increases it. Men are also more risk tolerant than women.
Consumers may also give too much weight to recent events and things they know already and can be unduly influenced by the opinions of friends and family.
This sort of consumer decision-making is no match for providers’ knowledge of financial conditions and product features. Banks and other financial service providers have learned from experience, but most of all their own command of consumer behaviour research.
The latter leaves providers able to design and sell products that benefit from consumers not overcoming mistakes, or at times, exacerbating mistakes.
Helping customers make better choices
In a bill soon to be before the Australian parliament, those selling financial products will have to make a “target market determination”. This records and describes the market for a product (those who would buy it). It must also set out any conditions under which the product must be distributed, for example that it can only be sold with advice.
It’s designed so that financial products meet the needs and financial situation of the people acquiring them.
There are criminal and civil penalty sanctions for failing to make and ensure products are sold in accordance with a determination. Also, for failure to revise and reissue it, if circumstances change.
Twinned with this requirement are new intervention powers for the Australian Securities and Investments Commission (ASIC). ASIC will be able to make interim rules, effectively prohibiting sales or imposing conditions, if continued sale would result in “significant detriment” to financial consumers.
The purpose of product regulation is clearly to allow ASIC to be more active and reduce over-reliance on ineffective disclosure, conflicted advice and drawn out dispute resolution.
Product regulation is no panacea. This version has a large gap, as credit products (for example credit cards or mortgages) do not require a target market determination. It’s not difficult to read the politics of regulation in this omission. There is also a risk that target market determinations will become pro-forma and add to compliance and not to consumer benefit. Although a description of the target market must be in the advertising, it’s not clear it must be in formal disclosure, so consumers may never read it.
Product intervention powers apply across investment, insurance and credit products but it will never be easy for ASIC to prove the risk of “significant consumer detriment”. Intervention orders also expire in 18 months unless made permanent by parliament.
<img src="https://counter.theconversation.com/content/91228/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1">The regulation of product design and distribution in the spirit of consumer safety has been commonplace (if imperfectly realised) in car, pharmaceuticals and other consumer markets, for decades. There are modest grounds for optimism that in Australia financial product safety might catch on too, but the government needs to include credit products as well.
Dimity Kingsford Smith, Professor of Law, UNSW
This article was originally published on <a href="http://theconversation.com" target="_blank">The Conversation</a>. Read the <a href="https://theconversation.com/banks-and-financial-providers-one-step-ahead-of-consumers-who-struggle-with-personal-bias-91228" target="_blank">original article</a>.
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Banks and financial providers one step ahead of consumers: Dimity Kingsford Smith

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The NAB Consumer Anxiety Index fell to 59.2 points in Q3 2016 (60.2 in Q2 2016) to its lowest level in more than 3 years.
According to NAB Group Chief Economist Alan Oster consumers felt less stressed about their jobs, government policy and the cost of living, with anxiety related to their health spending and retirement funding unchanged.
The cost of living, along with government policy, is still the biggest driver of overall consumer anxiety. But with low inflation persisting, cost of living anxiety fell to its lowest level since the Survey began in early 2013.
“It was pleasing to see just 1 in 4 Australian consumers now reporting “high” anxiety over their cost of living, compared to more than 1 in 3 in mid-2014” said Mr Oster.
By state, consumer anxiety was highest in Queensland and lowest in NSW and Victoria.
Women were far more anxious than men, particularly those aged 30-49 who were also the most anxious across all demographic groups.
“Women reported higher stress for all drivers of anxiety, especially when it came to their retirement funding and the cost of living, and women aged 30-49 were also one of the very few groups still reporting above average levels of anxiety” said Mr Oster.
Despite lower levels of overall anxiety, consumer spending behaviours are still very conservative and dominated by spending on “essentials” such as paying down debt, utilities and medical expenses.
“On a positive note, however, we have loosened our purse strings a little with fewer consumers cutting back on non-essential spending” said Mr Oster.
Australians were also less anxious in regards to their current financial position, with all drivers of household financial stress causing less concern.
Financing retirement, providing for our family’s future, health expenditure and the ability to raise emergency funds remain the biggest drivers of financial stress.
In an attempt to measure financial resilience, Australian consumers were asked for the first time to rate how well they have been able to cover their basic living expenses and any unforseen financial expenses such as a major home or car repair in the last 12 months.
Australian consumers believe they are only “moderately” placed to cover their basic living expenses.
“Men were better placed than women in all age groups to meet their basic living expenses and unforseen expenses. Having a higher income also helps a lot” said Mr Oster.
Looking forward, NAB expects moderate but easing household consumption growth over the next few years, with real household consumption growth forecast to average around 2.7% for 2016, before slowing to 2.1% in 2017 and 2.3% in 2018.
<a href="/images/2016/09/15/Screen%20Shot%202016-09-15%20at%2012.46.13%20PM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/09/15/Screen%20Shot%202016-09-15%20at%2012.46.13%20PM.png" alt="">
Consumer Behaviour Survey Q3 2016
 Consumer anxiety fell again in Q3 and we are worrying less about the cost of living. We are still spending conservatively, although there were signs our purse strings loosened. We were less anxious about our current financial position, with all drivers of household stress causing less concern. But we rate our financial resilience only “moderate” when it comes to our ability to meet life’s expenses.
Consumer anxiety falls to its lowest level since mid-2013 
Australian consumers are becoming less anxious, with NAB’s Consumer Anxiety Index falling to 59.2 points in Q3 2016 (60.2 in Q2 2016). The index currently stands at its lowest level in more than 3 years and is down from a survey high 64.4 points in mid-2014.
NAB consumer anxiety trends
<a href="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%209.43.55%20AM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%209.43.55%20AM.png" alt="">
Lower consumer anxiety in Q3 2016 was underpinned by reduced concerns relating to our job security, government policy and the cost of living. Anxiety levels related to our health spending and ability to fund our retirement were largely unchanged.
Notwithstanding recent improvements, the cost of living and government policy continue to be the biggest drivers of our consumer anxiety.
NAB consumer anxiety index
<a href="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%209.46.34%20AM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%209.46.34%20AM.png" alt="">
However, we are continuing to see some very encouraging improvements in anxiety stemming from our cost of living, which has now fallen to its lowest level since the survey began in 2013. Indeed, just 1 in 4 (25%) Australian consumers are now reporting “high” anxiety over their cost of living, down from just over 37% (more than 1 in 3 consumers) in mid-2014.
But consumer anxiety continues to vary widely across demographic groups. Overall, it was highest in Q3 for middle-aged women (65 points), divorced Australians (63 points) and the self-employed (61.9 points). It was lowest for men over 50 (54.4 points), the highest income earners (55.3 points), young men (55.6 points) and widows (56.1 points).
By state, anxiety was highest in Queensland (60.1 points), where cost of living concerns were notably above all other states and in SA/NT (59.9 points) and WA (59.8 points) where stress relating to job security played a bigger role. Not surprisingly, consumer anxiety was lost lowest in NSW/ACT (58.5 points) and Victoria (59 points) - where economic growth is also leading the country.
Consumer anxiety was also a much bigger issue for women (61.7 points) than for men (56.7 points) - and across all age groups - with women also reporting notably higher stress across all key drivers, especially in relation to their ability to fund their retirement and cost of living.
Consumer anxiety by group
<a href="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%209.49.29%20AM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%209.49.29%20AM.png" alt="">
It was also noticeable that middle-aged women, consumers living in Tasmania, and those that are self- employed were the only groups still reporting above average levels of anxiety - and in all cases due to above average stress relating to their jobs, health expenditure and ability to fund retirement.
Our spending behaviours
 
Despite falling levels of consumer anxiety, changes in consumer spending patterns remain largely conservative.
In Q3, more Australians increased their spending in relation to paying down debt. More Australians also increased their spending on utilities, medical expenses, transport and they added to their savings, superannuation and investments.
In contrast, more consumers in net terms are still cutting their spending on “non-essentials”, particularly eating out, entertainment, major household items, charitable donations and credit use.
Spending behaviours in Q3 (Net)
<a href="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%209.53.02%20AM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%209.53.02%20AM.png" alt="">
On a more positive note, the chart below shows that fewer Australian consumers increased their spending on “essentials” over the past year, while fewer of us also cut back on many “non-essentials”.
However, our overall spending behaviours remain very conservative and we are cutting back where we can. This pattern is also broadly consistent across most states (see State Spending Behaviours below).
Changes in spending behaviour (Net)
<img src="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%209.55.47%20AM.png" alt="">
How our spending is changing
Another way to show consumer spending behaviour is by grouping all “non essentials” (entertainment, eating out, major household items, home improvements, personal goods and travel), “essentials” (medical, utilities, transport, groceries and children) and “financial spending (paying off debt, savings/super/investments and use of credit).
Consumer behaviour by type of spending
<a href="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%209.57.55%20AM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%209.57.55%20AM.png" alt="">
Our spending behaviours in relation “essentials” and our financial behaviour were largely unchanged in Q3. But “non-essential” spending sentiment (a broad proxy for consumer confidence) improved to -16, its highest reading since Q4 2015.
Our current financial position
We were less anxious overall about our current financial position in Q3 (63.1 points). But this varied according to where we lived, our age and gender.
NSW/ACT (60.2 points) was the least anxious state and Queensland (64.7 points) the most anxious. SA/NT (61.9 points) was the only state to report higher anxiety over their current financial situation.
Anxiety over our financial position
<a href="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%2010.00.25%20AM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%2010.00.25%20AM.png" alt="">
Men over 50 (54.7 points) reported the lowest anxiety in relation to their current financial position. Middle aged women (69.6 points) were the most stressed, while women over 50 (63.1 points) were the only group to report higher anxiety in Q3.
Not surprisingly, there was a clear relationship between financial stress and income, with stress levels considerably lower in the highest income group (54.5 points) compared to the lowest income group (69.2 points).
All drivers of household financial stress causing less concern
Reduced stress over our current financial position in Q3 was supported by lower concern over all key drivers of household financial stress.
However, we continue to identify financing retirement, providing for our family’s future, health expenditure and our ability to raise emergency funds as the biggest drivers of financial stress, but somewhat less so than in the previous quarter and notably less so than at the same time last year.
Drivers of financial stress
<a href="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%2010.03.50%20AM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%2010.03.50%20AM.png" alt="">
Financial resiliance - our ability to cover life's expenses
Australian consumers were asked for the first time how well they have been able to cover their basic living expenses and any unforseen financial expenses (such as major home or car repairs, major illness, funeral or wedding expenses, birth of a child etc.) in the last 12 months - essentially how financially resilient do they think they are.
Australian consumers believe they are only “moderately” placed to cover their basic living expenses (72 out of 100 where 100 = “completely” resilient). Their ability to meet unforseen financial expenses is even lower (61.4 points) and across all key demographic groups.
But men were better placed than women (in all age groups) to meet both their basic living expenses and unforseen expenses. Having a higher income also helps a lot.
Interestingly, consumers in Tasmania rated highest for their ability to meet their basic living expenses (ahead of Victoria and SA/NT), while consumers in NSW/ACT and Victoria were best placed to meet unforseen financial expenses. Low income earners struggled most with unforseen expenses.
Ability to cover our living costs 
<a href="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%2010.06.46%20AM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%2010.06.46%20AM.png" alt="">
The view from NAB economics
Household consumption appeared to have lost some momentum in recent quarters, possibly reflecting the slowdown in the labour market since late last year, as well as persistently soft wages growth consistent with compositional shifts in the labour market towards part-time jobs which tend to be lower-paid.
The Q2 National Accounts revealed a relatively soft household final consumption expenditure result of 0.4% q/q, with slowing retail spending causing a more apparent drag on overall household spending activity. That said, the broader trend of services consumption outpacing goods consumption continued, with health, hospitality and financial services being the largest contributors in the quarter.
Meanwhile, higher frequency data such as the official ABS retail trade data, our monthly NAB Online Retail Index and NAB Business Survey pointed to further softening in sales and conditions in the retail sector in recent months.
A stabilisation in the household saving ratio at around 8% - a level higher than the trough reached in Q4 2015 of 7.5% - suggests a return of consumer caution which could weigh on household spending in the near-term.
While clearly more downside risks to the consumption outlook have emerged from the above factors, they should be partly offset by the positive impetus stemming from a sustained low interest environment and renewed strength in house price growth, especially in Sydney and Melbourne.
We now expect moderate but easing household consumption growth over the next few years, with real household consumption growth forecast to average around 2.7% for 2016, slowing to 2.1% in 2017 and 2.3% in 2018.
Spending behaviours by state
New South Wales/ACT 
Spending behaviours in NSW/ACT were largely unchanged in Q3. There were some cutbacks in medical, transport and credit use, but more consumers increased spending on major household items, travel, charity and saved more.
<a href="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%2010.09.31%20AM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%2010.09.31%20AM.png" alt="">
 Victoria
Notably more Victorian consumers increased their savings, super and investments and spent more on transport and travel in Q3. In contrast, cutbacks were most apparent in regards to their credit use, spending on children and entertainment. Most other areas of spending were broadly unchanged.
<a href="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%2010.11.51%20AM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%2010.11.51%20AM.png" alt="">
Queensland
Fewer consumers in Queensland increased their spending on “essentials” in Q3, particularly in regards to transport. A lot more consumers also cut back on their use of credit, but they more added to their savings, superannuation and investments.
In contrast, more consumers spent on “non essentials”, particularly home improvements, travel, eating out, charitable donations and personal goods. The number of consumers in Queensland that have cut back their spending on “non-essentials” over the past year is also noticeably lower.
<a href="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%2010.13.43%20AM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%2010.13.43%20AM.png" alt="">
Western Australia
More consumers in Western Australia increased their spending across most categories in Q3 2016. In particular, there were some big increases in the number of local consumers spending more on charitable donations, their savings, superannuation and investments and on utilities relative to the last quarter. Spending fell in just 2 areas - credit usage and on medical expenses.
<a href="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%2010.15.43%20AM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%2010.15.43%20AM.png" alt="">
South Australia
Spending behaviours in South Australia in Q3 were dominated by big increases in the number of consumers saving more and spending more on groceries and utilities, but also by notable increases in the number spending more on “non-essentials” such as entertainment, travel and major household items. Fewer consumers increased spending on transport, charitable donations, medical and paying down debt.
<a href="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%2010.17.41%20AM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%2010.17.41%20AM.png" alt="">
Tasmania
Spending behaviours in Tasmania remain volatile. In Q3, they were dominated by large increases in the number of consumers spending more on home improvements, major household items, their savings, utilities, personal goods and medical. Fewer consumers increased spending on eating out and their children or used credit.
<a href="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%2010.19.31%20AM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/09/15/Screen%20Shot%202016-09-16%20at%2010.19.31%20AM.png" alt="">
 
 
 
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