The residential transformation of St Kilda Road is set to continue into with more new apartment plans for the sought-after boulevard.

Wing Tai Asia has lodged plans for a major residential tower at 464-466 St Kilda Road, replacing the former VACC House with an 18-storey mixed-use development designed around a retained heritage podium and a sculpted contemporary tower.

The proposal, prepared under Victoria’s Significant Residential Development with Affordable Housing pathway, would deliver 325 apartments and ground-floor retail across the prominent 4,653 sqm boulevard site in Melbourne’s St Kilda Road North Precinct.

The project centres on the adaptive reuse of the site’s heritage-listed VACC Building, an eight-storey office designed by Bernard Evans that has occupied the address for decades. Planning documents state the development would involve “carefully dismantling and conserving off-site the original metal fabric of the podium visible from St Kilda Road,” before reinstating it as the defining frontage of the new scheme.

Above the restored podium, Wing Tai is proposing a curvilinear residential tower. The scheme includes 172 one-bedroom apartments, 63 two-bedroom apartments, 66 three-bedroom apartments, and 24 four-bedroom apartments, alongside two ground-floor food and beverage tenancies fronting St Kilda Road.

The tower has been designed with substantial articulation and variable setbacks to minimise perceived bulk and maintain view corridors along the boulevard. Urbis, which prepared the planning report, said the design “has been significantly articulated through a curvilinear design” with “an interplay with materials, façade expression and depth” to create visual separation and visual interest.

The proposal also includes 254 basement car spaces, landscaped pedestrian links connecting St Kilda Road and Queens Lane, and a biophilic landscape strategy featuring canopy trees, raised planters, cascading greenery and a glass oculus pool overlooking the eastern frontage.

Planning documents confirm the $270.1 million development will contribute 3 per cent of project costs to the Social Housing Growth Fund as part of the application process.

Wing Tai acquired the St Kilda Road property in 2018 alongside Abacus Property Group for $95.38 million, before later consolidating ownership of the site. The property previously served as the Victorian Automobile Chamber of Commerce headquarters for around 60 years.

The transformation of the St Kilda Rd boulevard is already beginning to materialise, with a number of high-profile projects recently completed, launched, or approaching launch as developers continue to back the long-term appeal of the precinct.

Among the most notable recent completions is Louise by Samuel Property Group, just off the strip on Queens Lane, the same pocket Hirsch &amp; Faigen recently launched The Queensbury. Mirvac is too on the same street with The Albertine, which is approaching completion.

Dexus recently secured approval for its slice of St Kilda Road, while Gurner also has approved plans for the precinct.

Joel Robinson

Wing Tai unveils 325-apartment St Kilda Road tower on former VACC House site

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

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

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

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

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

Bottega House secures landmark riverfront site in St Lucia 

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

SIERA kicks off construction at Northcliffe tower Exhale

First Home Loan Deposit Scheme

<html><body>
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.
<div class="page" title="Page 1">
<div class="layoutArea">
<div class="column">
“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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jrobinson-rf4aSBido9

Commonwealth Bank among 27 lenders endorsed for the First Home Loan Deposit Scheme

<html><body>
The majority of experts and economists in Finder.com.au's RBA Survey believe the First Home Buyer Scheme will have no significant impact on the market.
Some 90 per cent of the experts surveyed believed this to be the case.
Graham Cooke, insights manager at Finder, says the property value caps are problematic, especially in Sydney.
 “The Government’s scheme limits the purchase price of Sydney properties to $700,000, which to be honest, is a joke," Cooke said.
“Not many properties will qualify for this scheme – some apartment buyers may qualify, but not many houses are available for below that price.
“With the average regional home in Australia needing to fall below a $350k window to qualify, even options for those outside cities will be limited.
“Additionally, borrowing with a 5% deposit can end up being a lot more expensive in the long run. This could cost you over $90,000 in extra interest over the full term of a home loan at the big four’s standard variable rate.”
The First Home Buyer Scheme will guarantee mortgages for 10,000 first home buyers who have only saved a five per cent deposit, effectively helping them buy sooner without paying lenders mortgage insurance premiums. 
The scheme will be administered through the National Housing Finance and Investment Corporation (NHFIC) in partnership with lenders and is intended to make <a href="https://finder.us9.list-manage.com/track/click?u=cc5e9bce699fa1d71a67cf499&amp;id=d4a3074115&amp;e=f2176dbcf8" target="_blank">low deposit home loans</a> cheaper.
To be eligible for the scheme you must be purchasing a property valued at or below the following thresholds:
<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/2019/12/4/Finder%20property%20values.jpg" alt="">
 
</body></html>

wdavis-8cCN98p7xp

FHB scheme to have 'no significant impact' Finder.com.au RBA Survey

<html><body>
Westpac was set to be one of the two major banks to offer mortgages under the federal government’s first home loan deposit scheme.
<a href="/expert-insights/finance/nab-to-offer-competitive-home-loans-for-fhbs-in-government-s-first-home-loan-deposit-scheme">NAB was announced yesterday</a> as the first bank on the lending panel.
<div class="story-content">
But Westpac is set to be axed as the other big bank in light of the money-laundering allegations it is currently facing according to bank insiders, <a href="https://www.theaustralian.com.au/" target="_blank">The Australian </a>reports.
The Australian confirmed Westpac’s bid was one of the two best applications reviewed by the National Housing Finance and Investment Corporation (NHFIC) under strict criteria including competitiveness of home-loan offerings, geographic reach and readiness to meet scheme implem­entation timelines.
NHFIC’s other key evaluation criteria included “the reputation of the respondent”.
The government will now choose from either Commonwealth Bank or ANZ to join the scheme with NAB, giving the banks get access to up to 5000 eligible first home buyers per year.
<div id="story-description">
Westpac insiders told The Australian it had expected to be approved as the second major ­lender but now understood the embattled financial institution would be excluded from the scheme, which starts on January 1.
The scheme, one of Prime Minister Scott Morrison’s key pledges at the May 18 election, provides a guarantee allowing first-home buyers on low and middle incomes to buy with a depos­it of as little as 5 per cent.
The big banks will only be entitled to receive up to half of the 10,000 guarantees allocated per financial year.
There will also be a range of non-major lenders appointed to the lending panel.
Loan applications for the scheme are not yet open.
 
</div>
 
</div>
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j.ballantyne1990-6AQqhLzZaK

Westpac ditched from government’s first home loan deposit scheme

<html><body>
First-home buyers wanting to buy next year using the federal government's new home loan deposit scheme will be limited to properties sold for less than $700,000 in Sydney and $600,000 in Melbourne.
First home buyers in Queensland will be able to purchase properties in Brisbane up to $475,000 in value.
The scheme to be known as the First Home Loan Deposit Scheme will apply to owner-occupied loans on a principal and interest basis. 
Property price caps under the scheme set appropriate price thresholds in capital cities, large regional centres with a population over 250,000 and regional areas.
The capital city price caps will also apply to large regional centres with a population in excess of 250,000, namely the Gold Coast, Newcastle and Lake Macquarie, the Sunshine Coast, Illawarra (Wollongong) and Geelong.
<table border="1" cellspacing="0" cellpadding="5">
<thead><tr>
<th scope="col">
State/territory
</th>
<th scope="col">
Capital city and regional centres
</th>
<th scope="col">
Rest of state
</th>
</tr></thead>
<tbody>
<tr>
<td>
NSW
</td>
<td>
$700,000
</td>
<td>
$450,000
</td>
</tr>
<tr>
<td>
VIC
</td>
<td>
$600,000
</td>
<td>
$375,000
</td>
</tr>
<tr>
<td>
QLD
</td>
<td>
$475,000
</td>
<td>
$400,000
</td>
</tr>
<tr>
<td>
WA
</td>
<td>
$400,000
</td>
<td>
$300,000
</td>
</tr>
<tr>
<td>
SA
</td>
<td>
$400,000
</td>
<td>
$250,000
</td>
</tr>
<tr>
<td>
TAS
</td>
<td>
$400,000
</td>
<td>
$300,000
</td>
</tr>
<tr>
<td>
ACT
</td>
<td>
$500,000
</td>
<td>
-
</td>
</tr>
<tr>
<td>
NT
</td>
<td>
$375,000
</td>
<td>
-
</td>
</tr>
</tbody>
</table>
Under the draft rules, the scheme will allow low-and middle-income earners to buy property with a deposit of as little as 5 per cent.
Treasurer John Frydenberg and Housing Minister Michael Sukkar released the government's draft Investment Mandate for the First Home Loan Deposit Scheme.
It revealed the "appropriate price thresholds" for properties depending on city and region around Australia.
The threshold is well below the median house price for capital cities.
The number of applicants will be capped at 10,000 each year.
The initiative begins on January 1, 2020.
It removes the cost of lenders mortgage insurance for FHBs with an annual income of up to $125,000 or couples with a combined $200,000 per year who haven't saved the standard 20 per cent deposit typically required by banks.
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How to buy your first home with 5 percent deposit

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As announced by Prime Minister Scott Morrison during the 2019 election campaign, from 1 January 2020 eligible first home buyers will be able to enter the housing market sooner.
Up to 10,000 guarantees per year will allow eligible first home buyers to purchase a home with a deposit of as little as five per cent.
Applicants will be subject to a range of eligibility criteria, including taxable incomes of up to $125,000 per annum for singles and up to $200,000 per annum for couples in the previous year, they must be Australian citizens purchasing property in Australia and they must be taking out owner-occupied loans on a principal and interest basis. 
Properties purchased under the First Home Loan Deposit Scheme will be subject to regional price caps. 
Regional price caps will be set with a view to ensuring equitable access to the scheme across Australia.
The coverage of the guarantee will be broadly consistent with parental guarantee products offered by some lenders. The guarantee will remain in place until a loan is refinanced or the outstanding loan balance falls below 80 per cent of the property purchase price—whichever comes first.
Access to the First Home Loan Deposit Scheme will occur as part of the normal home loan application process, with limited additional effort for first home buyers being required when seeking a guaranteed loan, the assistant Treasurer and Minister for Housing, Michael Sukkar said.
The bill introduces amendments to the National Housing Finance and Investment Corporation Act 2018 to implement the First Home Loan Deposit Scheme and establish a new research function within the National Housing Finance and Investment Corporation.
The bill expands the National Housing Finance and Investment Corporation's functions to enable it to provide guarantees.
Sucker noted based on median household income and a 15 per cent saving rate (on before-tax income), it takes approximately eight years to save a 20 per cent deposit on a median priced home. 
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How the First Home Loan Deposit Scheme guarantee will work 

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HIA welcomed the Government’s introduction of the National Housing Finance and Investment Corporation Bill (NHFIC) providing a platform to establish the First Home Loan Deposit Scheme announced during this year’s Federal election.
The organisation believes that the introduction of legislation by the Treasurer, Josh Frydenberg, to support the home ownership aspirations for 10,000 first home buyers is a key milestone in delivering their election commitment.
HIA Managing Director Graham Wolfe said “The First Home Loan Deposit Scheme, scheduled to commence in January, addresses one of the greatest hurdles facing those enthusiastically saving to purchase their first home. Saving for a home deposit can take up to ten years or more."
The new First Home Loan Deposit Scheme will save an average first home buyer in Sydney, with less than 20 per cent deposit, an estimated tens of thousands of dollars over the life of their loan.
Mr Wolfe added, “The Government’s progress in bringing the Scheme to market is exciting news for first home buyers. “
"HIA also applauds the Government’s commitment to housing supply under NHFIC. Planning for the next 20 years of housing supply to match Australia’s population growth and demographic change, and funding the delivery of infrastructure to support new communities, requires national coordination and leadership."
“The Commonwealth Government has a key role in working with the states and territories to ensure that we can accurately forecast Australia’s housing and community based infrastructure challenges and manage the supply needed to meet the future demand,” Mr Wolfe concluded.
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First Home Loan Deposit Scheme will save first home buyers tens of thousands: HIA

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EXPERT OBSERVER
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The introduction of legislation giving effect to the Commonwealth Government’s deposit gap scheme is the first step in easing the pathway to home ownership.
The scheme – promised on the eve of the federal election – helps reduce barriers to home ownership by closing deposit savings requirement and effectively reducing mortgage insurance costs. 
We welcome introduction of the legislation and said the next critical step was getting design features right. 
UDIA has been actively engaging with the National Housing Finance and Investment Corporation (NHFIC), which has carriage of the scheme’s design, implementation and ongoing management. 
The scheme rightly recognises that saving for a deposit is arguably the biggest hurdle most homebuyers face in trying to enter the market. 
The rapid escalation in house prices in the past decade has widened the deposit gap, so the Commonwealth’s decision to effectively go guarantor on a portion of the loan makes sense. 
It sits well alongside other initiatives to improve housing affordability – like retention of negative gearing and capital gains tax arrangements, and improved loan serviceability assessment rules. 
The next challenge is to ensure the design principles of the scheme reflect the reality of house prices in different markets. 
The draft legislation proposes variable price caps for different capital cities and regions, which is a perfectly logical step. 
We would also urge however that the same flexibility apply to income thresholds, particularly in the most expensive capital cities like Sydney and Melbourne. 
Our research shows that singles in particular on the proposed income threshold of $125,000 would not be able to access housing in large tracts of Sydney and Melbourne. 
The other recommendation we would make is to limit access to the scheme to newly-constructed properties, which has the benefit of spurring construction activity at a time the economy needs a boost.
We also welcome provisions in the legislation to expand the mandate of NHFIC to examine housing supply, demand and affordability. 
The renewed research capacity will give the Government deeper insights into the policy barriers to improved housing production and better affordability. 
UDIA National looks forward to working further with Government on the precise design of the new mandate for NHFIC. 
CONNIE KIRK is the UDIA National Executive Director.
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Deposit gap scheme opens the door to home ownership: UDIA's Connie Kirk

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The National Housing Finance and Investment Corporation (NHFIC) is starting detailed consultations with lenders regarding their potential participation the Federal Government’s new First Home Loan Deposit Scheme.
The Scheme is scheduled to commence on 1 January 2020.
It will be administered by NHFIC, subject to the passage of legislative amendments, which have been introduced into the Parliament today. 
It is known as the National Housing Finance and Investment Corporation Amendment Bill. Michael Sukkar, the Minister for Housing, presented the bill.
It seeks to establish a First Home Loan Deposit Scheme to assist eligible first home buyers with a minimum 5 per cent deposit (rather than the industry standard of 20 per cent) to purchase a home.
NHFIC is seeking feedback from lenders on implementation of the Scheme via a market sounding consultation process.
This market sounding is the pre-cursor to a procurement process which will be used to establish a panel of lenders to participate in the Scheme.
It builds on initial stakeholder consultations undertaken to date. 
All residential mortgage lenders are welcome to participate in the market sounding process.
NHFIC is making a Scheme Features paper available to participants for the purposes of the market sounding process. 
Further information on the market sounding process, including how lenders can participate and obtain a copy of the Scheme Features paper, is available via the NHFIC website https://www.nhfic.gov.au/fhlds/ or by emailing Lenders@FHLDS.nhfic.gov.au 
Responses to the market sounding are required to be submitted before 5pm AEST on Thursday 3 October 2019. 
The introduction of legislation giving effect to the Commonwealth Government’s deposit gap scheme is the first step in easing the pathway to home ownership, according to the Urban Development Institute of Australia (UDIA).
The UDIA’s National Executive Director Connie Kirk has welcomed introduction of the legislation and said the next critical step was getting design features right.
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Lenders sought for the First Home Loan Deposit Scheme

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EXPERT OBSERVER
In the lead-up to the recent Federal election the Coalition announced the First Home Loan Deposit Scheme.
The scheme will provide up to 10,000 loans to first home buyers each year and will offer first home buyers better access to finance without having to save a 20% deposit.
Additional details about the plan include: The Scheme will be available to eligible first home buyers who have been able to save for a deposit of at least 5% up to 20%. This will mean that eligible first home owners will be able to purchase their own home years earlier than they would normally be able to do.
Also, they would not be required to purchase lenders mortgage insurance saving them approximately $10,000. The lender would still undertake the full normal credit check process on the borrower (meeting all their legal obligations) to ensure that the borrower is in a position to be able to afford the repayments.
If the borrower refinances or the loan comes to an end the Commonwealth support will terminate. The Scheme will support low and middle income earners across Australia. Support would only be available to first home buyers below a certain capped income level which is $125,000, or $200,000 combined income for a couple who are both first home buyers.
The income test would be based on the previous year’s taxable income to provide certainty. Support will also be targeted to entry properties, with a maximum loan size determined on a regional basis, reflecting the different property markets across Australia.
The first home buyer will be able to use the Scheme in conjunction with the First Home Buyer Super Savers Scheme (FHSSS) and State or Territory first home buyer grants and duty concessions. The Scheme will commence on 1 January 2020 and will be operated by National Housing Finance and Investment Corporation (NHFIC).
Support for borrowers could include guaranteeing approved applicants the additional loan amount taken out by the first home buyer to cover the difference between the amount of the first home buyer's deposit and 20 per cent of the value of the property. While there aren’t a whole lot of details about the plan there are some important things to consider with this plan.
1. Over the past 10 years there has been an average of 103,485 first home buyer finance commitments per annum. Given this, only around 10% of first home buyers will be able to access this scheme. 2. A 20% deposit is not actually required to take out a mortgage. Buyers can borrow with less than a 20% deposit. If they choose to do so, LMI is either an additional upfront cost or amortised into the mortgage amount. LMI is not transferable so if you choose to refinance or sell and purchase but still have less than 20% equity, LMI will be payable again. 3. The borrower will still need to pass normal credit checks. Over the past four years or so it has become increasingly more difficult to access a mortgage and borrowers participating in this scheme will still need to pass the normal credit checks. Given this, the scheme, as proposed, is not going to result in anyone that currently can’t access a mortgage to take out a mortgage. What it will mean is that people that already qualify for a mortgage can potentially avoid LMI and they can also purchase with a smaller deposit.
The scheme is positive in that it allows first home buyers to borrow with a smaller deposit and without LMI. The benefit of this is they can potentially own a home earlier. From a housing affordability perspective it is difficult to see how this policy actually helps.
Given that borrowers still need to pass usual credit checks, the only people that will have access to the scheme are those that could already purchase any way. While the scheme will help borrowers enter the market earlier, it seems unlikely that it will do anything to improve housing affordability.
If anything, it might increase demand from first home buyers and lead to higher prices within the price points that fit with maximum loan sizes which have not yet been determined.
Some more strategic alternatives to improve housing affordability can be found on the supply side via town planning reforms to allow for higher densities in high demand areas, improving accessibility to affordable housing markets via infrastructure upgrades and re-thinking inefficient taxation transactional taxes such as stamp duty.
CAMERON KUSHER  is the head of research for the Australian branch of CoreLogic
Kusher regularly posts on the <a href="https://www.corelogic.com.au/news" target="_blank">CoreLogic website</a>.
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Will the government’s first home loan deposit scheme really help FHB's? Cameron Kusher

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The Real Estate Institute of Australia (REIA) has welcomed the announcement of support for first home buyers through a First Home Loan Deposit Scheme.
REIA President Adrian Kelly said the scheme initially announced by the Government and supported by the Opposition will start on 1 January next year and assist first home buyers with their deposit.
“Under the proposal, first home owners will be able to buy their first home with a deposit of 5% compared to 20% which has become the industry norm post the Hayne Royal Commission,” Kelly said.
“Not only will the scheme see first home buyers achieve their home ownership much earlier it will save them a considerable amount of around $10,000 by not having to pay lenders mortgage insurance.
“The scheme addresses two hurdles facing first home buyers – the deposit gap and transaction costs which include mortgage insurance – in a practical way.
“The last time the Federal Government introduced a special measure for first home buyers was the First Home Buyers Boost during the GFC.
“This measure saw first home buyers, as a percentage of total loans financed, increase from 20.2% in October 2008 to 31.4% in May 2009.
“With first home buyers currently representing just 17.9% of total housing loan approvals at the beginning of this year, the measure will be a timely boost not just for first home buyers but for the building sector and the economy in general.
“It is direct assistance like this rather than changes to negative gearing and capital gains tax which provide better outcomes for all.”
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