Perth’s new apartment market recorded its strongest quarter of sales since Q4 2021, with 412 apartments sold in Q1 2026 and a record quarterly sold value of $537 million, according to Urbis’ latest Apartment Essentials results.

Urbis said the March quarter result reflects strong, highly product‑specific demand across both ends of the market, from more attainable projects delivering at scale, through to premium stock being absorbed by equity‑rich downsizers.&nbsp;

David Cresp, Partner at Urbis, said the key story in Perth is not demand, it is the market’s ability to convert demand into delivered housing.&nbsp;

“This is the strongest sales quarter since Q4 2021, and it reinforces that demand in Perth is real and it’s local,” David Cresp said. “But the task now is delivery, turning that demand into projects that can actually be built and completed.”&nbsp;

[smartcode_project:default project_id=110291 project_image_fid=302785]

<h2>Affordable product leads, premium demand remains resilient</h2>

Sales in Q1 were led by more affordable projects, with The Boulevard (SKS Group) recording 115 sales in the quarter, the presentation noting this is only the second time a single project has surpassed 100 quarterly sales. The project was able to offer more affordable housing product right next to a train station.&nbsp;

Palmyra West (Finbar) also delivered strong results with 28 sales in Q1, following 84 sales in Q4, with an average price of under $800,000, underscoring depth of demand for well‑located, attainable new stock.&nbsp;

At the premium end, Urbis said downsizer demand is continuing, with the results highlighting Romeo (Applecross, Finbar) recording 75 sales and reaching almost 50% sold in one quarter.

Jual (Shenton Park, Celsius Property) also posted a strong quarter with 28 sales, reaching 39% sold in one quarter.

Urbis noted that Perth apartment demand is not speculative, not investor‑led, and not uniform, describing it as localised, often equity‑driven and highly product‑specific, a pattern reflected in the polarisation between strong “attainable” performers and premium downsizer product.&nbsp;

[smartcode_project:default project_id=148957 project_image_fid=364102]

<h2>Prices underpinned by costs, and the delivery risk is growing</h2>

Urbis said pricing pressure is cost not demand‑driven: construction costs and delivery risk are now a central constraint, with the results noting build costs remain elevated and volatile, and that energy, fuel and labour uncertainty weigh on feasibility.

David Cresp said a growing challenge for private Build‑to‑Sell developers is simply securing a builder in the current environment.

“Developers are really feeling the pressure from a building market that was operating at capacity and securing a builder is challenging,” David Cresp said, adding that even where a builder can be secured, “trying to get to the price that makes the development financially viable is incredibly challenging in the current market.”&nbsp;

Urbis’ broader WA commentary also notes that industry remains at or above capacity with lot and housing creation, and that many builders are limiting new sales to manage stretched workforces and fixed‑price contract pressures, conditions that flow directly into apartment feasibility and delivery timing.

[smartcode_project:default project_id=108869 project_image_fid=317905]

<h2>Supply: improving later, but still constrained, and Perth lags eastern benchmarks</h2>

While near‑term supply remains constrained, Urbis’ forecast shows completions lifting “Supply is forecast to be back above 1,500 apartments per annum for the first time since 2019”, with 1,775 completions forecast for 2026, and volumes remaining above that level over the following years.&nbsp;

Looking further ahead, completions are forecast to reach 2,500 in 2028, with the report noting 32% of that total is social/affordable, reflecting the role of government‑supported delivery in rebuilding the pipeline.&nbsp;

However, Urbis said Perth remains behind comparable markets on pipeline scale. In a national comparison of projects under construction, the report shows under construction Perth Build‑to‑Sell (BTS) at 3,446 apartments versus the Gold Coast at 7,922. Mr Cresp said “The challenge for Perth is how to we grow the delivery pipeline”.

Urbis’ conclusion is that Perth’s market is increasingly defined by product discipline and delivery certainty, with the research identifying “delivery certainty is key” and calling out builder risk and procurement models as core success factors, alongside “timing and staging”.&nbsp;

Joel Robinson

Perth apartment sales hit strongest pace since late 2021 as builder capacity tightens

<a href="https://www.apartments.com.au/developers/sammut-developments">Sammut Group</a> has secured development approval for its latest Brisbane apartment project, marking the Sydney developer’s next step in expanding its Queensland pipeline following the success of its debut Gold Coast development, Coast.

The approved project at <a href="https://www.apartments.com.au/new-apartments/44-glen-road-toowong-qld-4066">44 Glen Road, </a><a href="https://www.apartments.com.au/developments/toowong-qld-4066">Toowong</a> will deliver a 15-storey riverfront apartment building with 42 residences, significantly increasing the scale of the site’s previous approval for a smaller luxury scheme. Designed by Bureau^proberts, the development will comprise a mix of predominantly four-bedroom and two-bedroom apartments positioned to maximise Brisbane River and city views.

Sammut Director Julian Sammut said the group had been actively searching Brisbane for several years before identifying Toowong as the right fit.

“Brisbane was the right step for Sammut,” Sammut said.

“With the success of Coast we thought we should definitely look to do more in Queensland alone. We then pushed up to look at Brisbane. We've been looking for I'd say two to three years actually and it was hard to find the right location.”

<img alt="Sammut makes Brisbane apartment play" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/f_auto,c_limit,w_1440,q_75/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/field/image/Screenshot%202025-12-23%20at%203.27.14%E2%80%AFPM.png?VersionId=dYAVIL7qdcGA8ojvkslSrLjczXFejSSx" />

Sammut said suburbs including New Farm and Teneriffe were considered before the group ultimately focused on Toowong due to its strong downsizer demographic and limited supply of developable riverfront land.

The site was acquired off-market after what Sammut described as a lengthy negotiation and planning process, with the developer pursuing an uplift to the original approval.

“We are DA approved now which is very exciting,” Sammut said.

“We've had our change approval come through and we've obviously doubled the height, 15 storeys plus rooftop. We've got 42 amazing apartments that are going to be coming to market soon.”

<img alt="Sammut makes Brisbane apartment play" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,dpr_2.0,q_auto:good/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202025-12-23%20at%203.27.26%E2%80%AFPM.png?VersionId=ohkRkY0dIZlqdfME2EZePsCQavRiBadE" />

Bureau^proberts said the design responds to Toowong’s evolving urban character, balancing contemporary apartment living with the area’s established residential identity.

“A place where traditional Queensland living has taken place for centuries; Toowong is seeing a shift of contemporary influence, commercial and retail hubs mixed with well-considered residential offerings – all the while maintaining its character and charm,” the architect noted in planning documents submitted to Brisbane City Council.

The architecture practice said the project’s form was shaped by its riverfront setting, flood considerations, neighbouring building scales, and view corridors.

“They said the mix of four and two-bedroom apartments capture the ‘fundamental qualities of Queenslander living,’ translated into the context of a contemporary subtropical building.”

The development sits just off Coronation Drive within walking distance of Toowong’s retail precinct and the upgraded Regatta ferry terminal, while also benefiting from proximity to the incoming green bridge connection to West End. Sammut said the accessibility and amenity offering were central to the site’s appeal.

The approval adds to growing residential activity along the Toowong riverfront, joining nearby projects including Consolidated Properties’ Monarch Residences and Spyre Group’s ARC Residences.

Sammut secures approval for debut Brisbane apartment development in Toowong

Developer Lanevick is heading back into Sydney’s apartment market after focusing more heavily on the luxury townhouse and terrace sector in recent years.

Lanevick, founded and directed by Steve Maroun, is expecting to receive approval in the coming months for a new apartment development in Gladesville, with the aim to launch it to the market later this year.

The 51-apartment project, designed by Studio Johnston, will comprise a mix of one-, two-, and three-bedroom apartments positioned toward the Hunters Hill downsizer market.

“Traditionally it’s been difficult for people in that market to downsize because there just hasn’t been the right product available,” Maroun said.

“We’re targeting buyers who might have 30 to 40 per cent of their house value sitting in the bank after downsizing.

“They still want good spacious entertaining areas, they still want quality design, but they also want flexibility and the ability to enjoy life a bit more after working hard for a long time.”

The project sits near Boronia Park and within close proximity to the Parramatta River foreshore, an area Maroun says offers more of a Hunters Hill lifestyle than a traditional apartment precinct.

“From a lifestyle perspective, it’s really more Hunters Hill than Gladesville,” Maroun said. “You’re close to the foreshore, close to parklands, and still connected back into the village precinct.”

From level four and above, apartments will capture water views&nbsp;toward Sydney Harbour. Communal amenity will include rooftop entertaining areas, wellness spaces, and a gym tailored toward owner-occupier buyers.

“We’ve really designed these apartments around that buyer coming from the Hunters Hill LGA and what they’re actually looking for in their next chapter.”

The proposed development has also been designed to respond to the changing character of the broader Gladesville town centre, where a growing number of mixed-use and residential proposals are expected to emerge over the coming years.

“Gladesville presented a rare opportunity to deliver a genuinely design-led residential project within an evolving lifestyle precinct, just moments from the growing Gladesville town centre, and we’ve approached the project with a strong focus on architecture, liveability and long-term community value,” Maroun said.

Maroun said Lanevick saw a first-mover advantage within the precinct as planning controls continue to evolve to accommodate greater housing density.

“We think there’s a real opportunity there that hasn’t really been serviced properly yet,” he said.

“There’s going to be a broader evolution of the whole Gladesville village precinct over time, particularly with more activation and mixed-use outcomes.”

The Venus Street proposal will include a commercial and retail component at ground level designed to contribute to that evolving streetscape activation.

“A big part of the thinking was how do you activate that area properly and create more vibrancy and amenity, which is what Hunters Hill has been looking for,” Maroun said.

Lanevick’s focus since 2020 has largely been on smaller-scale luxury townhouse and terrace developments. The developer recently completed Royale Randwick, also designed by Studio Johnston, where prices reached $3.65 million. The project was featured in the UDIA NSW 2026 Professional Development Prospectus and was also named a finalist for Development of the Year.

&nbsp;

Lanevick to cater for Hunters Hill downsizers with new Gladesville apartment development

Property developer One Living, backed by former Macquarie banker turned investment manager Chris Green’s investment firm, has unveiled plans to bring more institutional capital into housing to help address the national supply crisis.

The New York-based investor has focused his firm, GreenPoint Partners, on addressing the supply shortage hitting middle market housing in Australia.

It is backing the new One Living business to develop more than 1000 units along the eastern seaboard. The new firm is starting with a development on Mona Vale Road, on the border of Mona Vale and Pymble, in Sydney’s Northern Beaches, with around 140 apartments planned. They are eyeing off more sites across the city.

With cost pressures rising in the industry, One Living’s model is to be a vertically integrated developer-builder, so it can respond directly to the housing gap by removing the cost inefficiencies embedded in traditional residential delivery.

“We are building a platform designed to operate at scale and starting in a market where there’s a clear need for quality, attainable housing,” One Living joint managing director Joseph Scuderi said.

“It’s that missing middle – it’s that attainable end of housing… that’s what most Australians invest into and what Australians can actually afford.”

<img alt="Mona Vale" data-entity-type="file" data-entity-uuid="798dfa93-4941-4db6-a696-31e9dc18e81c" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-28%20at%202.31.50%E2%80%AFPM.png?VersionId=mKBqi5C_DmeiXS.AtJkcR8LQIxqCqmFi" />

GreenPoint Partners brings years of experience assembling and scaling real estate operating businesses across major markets. And Green sees a big opportunity in Australia.

“For its size, sophistication and importance to the community, Australia’s living sector has remained largely under-institutionalised, which represents significant opportunity,” Green said. “GreenPoint identified that gap, assembled the right team, and is backing One Living to build a platform that is aligned to market needs.”

Green said being a builder-developer would give the company the capacity and flexibility it required to deliver reasonably-priced homes.

“We want it to be at that attainable level; not super high end luxury but at that attainable level,” he said.

<img alt="Mona Vale" data-entity-type="file" data-entity-uuid="74a5344a-4b26-4d4a-ada3-056b1220be77" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-28%20at%202.32.15%E2%80%AFPM.png?VersionId=vY8hXHO4reBMdO8ZXMWCNtGZJofUPQ3j" />

&nbsp;

One Living will undertake a component of affordable housing in its schemes, which it will own and operate, and it could also run build-to-rent on some sites.

Green praised local policy settings.

“The NSW government is being very supportive, strategic and pragmatic in terms of how do we generate more supply of housing,” he said. “We think it’s actually positive for development and the bit that’s been lacking at that attainable level is that it’s lots of relatively small private developers, whereas we want to create an institutional platform.”

One Living is also&nbsp;looking at high-density projects and could take on more institutional funding in the future.

“The way we will be able to achieve economies of scale is through size,” Green added.

One Living enters Sydney's new apartment market with Northern Beaches site acquisition

It's been several years since there's been an opportunity to buy a brand new townhome in Melbourne's coastal suburb of Mordialloc. Even apartment developments in recent times have been few and far between in the area.

Local developer LDS Property identified the gap in new housing, securing a site on White Street, directly opposite&nbsp;Woodlands Golf Club Mordialloc. They've recently launched&nbsp;<a href="https://www.apartments.com.au/new-townhouses/wm-residences-mordialloc-102-white-street-mordialloc-vic-3195">WM Residences</a>, just 13 townhouses which they have already started building.

Projects by Buxton Director Heath Thompson, who is selling WM Residences, says the townhouses x that perfect middle ground be

"Mordialloc residents have had limited options to downsize within the suburb, often forcing them to look elsewhere despite long-standing ties to the area," Thompson says.

"With very little comparable new supply coming to market, projects like WM Residences are well placed, particularly as buyers look to capitalise on current conditions amid constrained supply."

[smartcode_project:default project_id=134646 project_image_fid=6109]

The development, designed by regarded architecture firm&nbsp;<a href="https://www.apartments.com.au/architects/ewert-leaf">Ewert Leaf</a>,&nbsp;adopts a deliberately restrained architectural approach, focusing on simplicity, durability and liveability rather than overt design gestures.

The boutique scale is central to the offering. With only 13 three-bedroom residences, each home is configured to prioritise functional layouts and everyday use, supported by private terraces and secure two-car garages.

Ewert Leaf’s design response leans into a calm, neutral material palette. Interiors are defined by oak flooring, white walls and soft finishes, creating a consistent and understated backdrop. The approach avoids trend-driven detailing in favour of longevity, with an emphasis on natural light and spatial clarity.

[smartcode_project:default project_id=134646 project_image_fid=6110]

Beyond aesthetics, the homes are designed to meet contemporary performance expectations. Each residence targets a minimum 6-star energy rating, incorporating double glazing, comprehensive insulation and all-electric Bosch appliances.

The project’s location supports a walkable coastal lifestyle, sitting within close proximity to Mordialloc’s foreshore, Main Street retail strip and the train station. Local cafés and dining venues, including Suburbia Deli and Hendriks Café, are within a short walk, reinforcing the area’s established neighbourhood character.

[smartcode_project:default project_id=134646 project_image_fid=6116]

While <a href="https://www.apartments.com.au/developments/mordialloc-vic-3195">Mordialloc</a> is often defined by its beach and pier, the project taps into other areas of day to day living, offering easy access to local food, casual dining and transport, rather than positioning itself purely as a lifestyle retreat.

WM Residences reflects a continued trend across Melbourne’s coastal suburbs towards smaller-scale, design-led townhouse developments, particularly on infill sites where proximity to amenity is already established.

With construction commenced prior to its market entry, the project aligns with a growing preference among buyers for developments with visible progress and defined delivery timeframes.

[smartcode_project_cta:default project_id=134646]

WM Residences fills gap in Mordialloc townhouse market

Home Buying

Deciding whether to rent or buy an apartment in Melbourne can be a tough decision, as both options have their own set of pros and cons.

Here's a closer look at the benefits and drawbacks of both renting and buying an apartment in Melbourne:

<h1>Pros of renting:</h1>

<h2>More flexibility</h2>

Renting an apartment allows you to move more easily and without the burden of selling a property.

[smartcode_project:default project_id=3127 project_image_fid=181270]

<h2>Lower upfront costs</h2>

Renting generally requires a smaller upfront investment than buying, as you don't have to come up with a down payment or closing costs.

<h2>Lower monthly costs</h2>

In some cases, renting can be cheaper than buying on a monthly basis, especially if you're unable to afford a large mortgage payment.

<h2>No maintenance costs</h2>

As a renter, you're not responsible for maintaining the apartment or paying for repairs.

<h1>Cons of renting:</h1>

<h2>Lack of control</h2>

As a renter, you don't have control over the property and may have to deal with landlords who are unresponsive to your needs.

<h2>Limited ability to make changes</h2>

Renters are generally not allowed to make major changes to the property, such as renovations or additions.

<h2>No equity</h2>

When you rent, you're not building equity in the apartment or house you're renting.

<h1>Pros of buying</h1>

<h2>Building equity</h2>

When you buy an apartment, you're building equity in the property as you pay off your mortgage.

[smartcode_project:default project_id=110367 project_image_fid=199209]

This can be a good long-term investment, as the value of the property may increase over time.

<h2>Control</h2>

As a homeowner, you have more control over the property and can make changes and improvements as you see fit.

<h2>Potential tax benefits</h2>

Owning an apartment may offer tax benefits such as the ability to deduct mortgage interest and property taxes from your taxes.

[smartcode_project:default project_id=112971 project_image_fid=198408]

<h1>Cons for buying</h1>

<h2>Higher upfront costs</h2>

Buying an apartment requires a larger upfront investment, as you'll need to come up with a down payment and closing costs.

<h2>Higher monthly costs</h2>

In some cases, buying an apartment may be more expensive on a monthly basis than renting, especially if you have a large mortgage payment.

<h2>Maintenance costs</h2>

As a homeowner, you're responsible for maintaining the apartment and paying for repairs, which can be costly.

<h2>Lack of flexibility</h2>

Buying an apartment may limit your flexibility to move or change living arrangements, as you'll need to sell the property before you can move.

Ultimately, whether to rent or buy an apartment in Melbourne depends on your individual circumstances and financial goals. It's important to carefully consider both options and weigh the pros and cons before making a decision.

There are both pros and cons between buying an apartment and renting one in Victoria's capital city

Michael Bird

The pros and cons of renting vs buying an apartment in Melbourne

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

Both mortgage applications and Google searches were up in February in comparison to the month and year prior.

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

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EXPERT OBSERVER

When the government’s <a href="https://treasury.gov.au/review/retirement-income-review/TOR">retirement incomes review</a> of which I was a part examined superannuation, the age pension and voluntary savings, home ownership had a surprisingly important role.

The home is the largest form of voluntary saving and is far more entwined with super and the pension than might be thought, with threads that travel from homeownership to access to the pension, from homeownership to the size of the pension, and from superannuation to homeownership.

<h2>Homeownership keeps pension costs low</h2>

At present, about 76% of retirees own the homes they live in, about 12% rent and a further 11% either live rent-free with family or are in residential care or another arrangement.

<figure class="align-right zoomable"><a href="https://images.theconversation.com/files/374112/original/file-20201210-14-tfvimx.jpg?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=1000&amp;fit=clip"><img alt="" sizes=" 600px) 600px, 237px" src="https://images.theconversation.com/files/374112/original/file-20201210-14-tfvimx.jpg?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=237&amp;fit=clip" srcset="https://images.theconversation.com/files/374112/original/file-20201210-14-tfvimx.jpg?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=600&amp;h=971&amp;fit=crop&amp;dpr=1 600w, https://images.theconversation.com/files/374112/original/file-20201210-14-tfvimx.jpg?ixlib=rb-1.1.0&amp;q=30&amp;auto=format&amp;w=600&amp;h=971&amp;fit=crop&amp;dpr=2 1200w, https://images.theconversation.com/files/374112/original/file-20201210-14-tfvimx.jpg?ixlib=rb-1.1.0&amp;q=15&amp;auto=format&amp;w=600&amp;h=971&amp;fit=crop&amp;dpr=3 1800w, https://images.theconversation.com/files/374112/original/file-20201210-14-tfvimx.jpg?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;h=1220&amp;fit=crop&amp;dpr=1 754w, https://images.theconversation.com/files/374112/original/file-20201210-14-tfvimx.jpg?ixlib=rb-1.1.0&amp;q=30&amp;auto=format&amp;w=754&amp;h=1220&amp;fit=crop&amp;dpr=2 1508w, https://images.theconversation.com/files/374112/original/file-20201210-14-tfvimx.jpg?ixlib=rb-1.1.0&amp;q=15&amp;auto=format&amp;w=754&amp;h=1220&amp;fit=crop&amp;dpr=3 2262w"></a>

<figcaption>Retired Australians have been unusually likely to own the homes in which they live.</figcaption></figure>This is an unusually high rate of homeownership by international standards that not only benefits individuals but the public purse.

It lowers age pensioners’ living expenses and lowers the required size of the pension.

At 2.4% of gross domestic product, Australia has one of the lowest-cost age pension schemes in the OECD.

But there are indications that homeownership is on the decline.

People are entering the workforce, marrying, forming households and buying their first home later in life.

Between 1981 and 2016 the average age at which Australians purchased a home climbed from 24 to 33.

As a consequence, the average age at which mortgages were paid out climbed from 52 to 62.

Now, one in every ten retired Australians enters retirement with a mortgage.

<h2>Wealth tied up in homes escapes the assets test</h2>

As wealth tied up in housing is exempt from the age pension assets test, it is for many people a preferred form of retirement saving.

At present, around 15% of age pensioners live in homes valued at more than A$1 million, although these figures partly reflect Sydney and Melbourne property prices which have escalated over recent years.

These retirees are often “asset rich and income poor”, having chosen to store their wealth in an asset that doesn’t pay income.

They do well out of the pension. One fifth of age pension expenditure goes to the wealthiest two fifths of retirees.

<h2>Non-homeowners live poorly</h2>

Non-homeowners, on the other hand, are among those most likely to experience poverty in retirement.

Commonwealth Rent Assistance helps with the rent of those reliant on the pension and other payments and is much more targeted than the pension, with 90% going to the poorest fifth of retirees.

But the indexation of rent assistance payments to the consumer price index instead of rents for more than three decades has eroded their value to the point where they now cover less than half the rental costs of the people who get them.

Boosting rent assistance would help, but it is only part of the solution.

<hr>
Income poverty rates of retirees

<figure class="align-center zoomable"><a href="https://images.theconversation.com/files/374098/original/file-20201210-15-u79lct.jpg?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=1000&amp;fit=clip"><img alt="" sizes=" 600px) 600px, 237px" src="https://images.theconversation.com/files/374098/original/file-20201210-15-u79lct.jpg?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;fit=clip" srcset="https://images.theconversation.com/files/374098/original/file-20201210-15-u79lct.jpg?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=600&amp;h=263&amp;fit=crop&amp;dpr=1 600w, https://images.theconversation.com/files/374098/original/file-20201210-15-u79lct.jpg?ixlib=rb-1.1.0&amp;q=30&amp;auto=format&amp;w=600&amp;h=263&amp;fit=crop&amp;dpr=2 1200w, https://images.theconversation.com/files/374098/original/file-20201210-15-u79lct.jpg?ixlib=rb-1.1.0&amp;q=15&amp;auto=format&amp;w=600&amp;h=263&amp;fit=crop&amp;dpr=3 1800w, https://images.theconversation.com/files/374098/original/file-20201210-15-u79lct.jpg?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;h=331&amp;fit=crop&amp;dpr=1 754w, https://images.theconversation.com/files/374098/original/file-20201210-15-u79lct.jpg?ixlib=rb-1.1.0&amp;q=30&amp;auto=format&amp;w=754&amp;h=331&amp;fit=crop&amp;dpr=2 1508w, https://images.theconversation.com/files/374098/original/file-20201210-15-u79lct.jpg?ixlib=rb-1.1.0&amp;q=15&amp;auto=format&amp;w=754&amp;h=331&amp;fit=crop&amp;dpr=3 2262w"></a>

<figcaption>Retirement Incomes Review, <a class="source" href="https://cdn.theconversation.com/static_files/files/1371/Retirement_Incomes_Review_notes.pdf?1607569573">notes</a></figcaption></figure><hr>
Other parts of the solution include increasing the supply and affordability of housing, creating a market in longer-term rental contracts, and boosting access to public housing, outside the terms of the review.

<h2>Super supports home ownership</h2>

Super gets diverted into financing homeownership in three ways.

First, voluntary contributions can be <a href="https://www.ato.gov.au/Individuals/Super/Withdrawing-and-using-your-super/First-Home-Super-Saver-Scheme/">redrawn</a> by first homebuyers for the purpose of a home deposit, for a sum of up to $15,000 from any one year and up to up to a maximum of $30,000 plus earnings across all years.

<figure class="align-right zoomable"><a href="https://images.theconversation.com/files/374121/original/file-20201210-15-3dwmaw.jpg?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=1000&amp;fit=clip"><img alt="" sizes=" 600px) 600px, 237px" src="https://images.theconversation.com/files/374121/original/file-20201210-15-3dwmaw.jpg?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=237&amp;fit=clip" srcset="https://images.theconversation.com/files/374121/original/file-20201210-15-3dwmaw.jpg?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=600&amp;h=971&amp;fit=crop&amp;dpr=1 600w, https://images.theconversation.com/files/374121/original/file-20201210-15-3dwmaw.jpg?ixlib=rb-1.1.0&amp;q=30&amp;auto=format&amp;w=600&amp;h=971&amp;fit=crop&amp;dpr=2 1200w, https://images.theconversation.com/files/374121/original/file-20201210-15-3dwmaw.jpg?ixlib=rb-1.1.0&amp;q=15&amp;auto=format&amp;w=600&amp;h=971&amp;fit=crop&amp;dpr=3 1800w, https://images.theconversation.com/files/374121/original/file-20201210-15-3dwmaw.jpg?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;h=1220&amp;fit=crop&amp;dpr=1 754w, https://images.theconversation.com/files/374121/original/file-20201210-15-3dwmaw.jpg?ixlib=rb-1.1.0&amp;q=30&amp;auto=format&amp;w=754&amp;h=1220&amp;fit=crop&amp;dpr=2 1508w, https://images.theconversation.com/files/374121/original/file-20201210-15-3dwmaw.jpg?ixlib=rb-1.1.0&amp;q=15&amp;auto=format&amp;w=754&amp;h=1220&amp;fit=crop&amp;dpr=3 2262w"></a>

<figcaption>Super encourages people to borrow.</figcaption></figure>For couples, this can provide up to $60,000 plus earnings to buy a house.

Second, retirees can make a <a href="https://www.ato.gov.au/Individuals/Super/Growing-your-super/Adding-to-your-super/Downsizing-contributions-into-superannuation/">downsizer contribution</a> into their super fund of up to $300,000 per person from the proceeds of selling one home to buy another. Such contributions don’t count towards their super contributions caps.

The third way in which super is financing home ownership is the increasing tendency for people to use their super payouts on retirement to pay out their mortgages.

In addition there is what’s known as the “wealth effect”, a phenomenon seen in contributory pension systems around the world.

Research conducted for the review found that increasing compulsory super balances increase household wealth and provide a degree of <a href="https://cdn.theconversation.com/static_files/files/1372/What_is_the_relationship_between_voluntary_savings_and_changes_to_the_SG_Ummul_Ruthbah_and_Nga_Pham?1607572962">confidence</a> for households to increase debt to invest in property, knowing that superannuation savings can be accessed to extinguish debt in the future and that the residential home is not counted in the age pension assets test.

<hr>
Read more: <a href="https://theconversation.com/what-matters-is-the-home-review-finds-most-retirees-well-off-some-very-badly-off-150465">What matters is the home: review finds most retirees well off, some very badly off</a> 

<hr>
Over a four-year period, it was found that a $1 contribution to compulsory super increased net household wealth by $2.51, through an increase in super wealth of $1.51 plus an increase in housing wealth of $1.21, offset by a 51 cent decline in non-super, non-housing savings.

In each of these ways super makes a contribution to homeownership. The review did not conclude there was a case for allowing further withdrawals from super to enable it to more.

<h2>Homes can contribute to retirement incomes</h2>

For typical homeowner at retirement, home equity represents about two to three times as much of their wealth as does super.

It ought to make accessing the equity in the home through a schemes such as the government’s <a href="https://www.servicesaustralia.gov.au/individuals/services/centrelink/pension-loans-scheme">Pension Loans Scheme</a> attractive.

As an example, drawing down $5,000 each year against the equity in a $500,000 home would eat into only a quarter of its value by the time retiree reached 92.

Consumer protections around the pension loans scheme and other reverse mortgage products limit loan to value ratios, ensure that retirees have guaranteed occupancy and can’t run up negative equity in their homes.

<h2>It’s time to use them</h2>

These schemes are at last becoming more popular, perhaps in part to the growing proportion of lifetime income tied up in homes, a figure that has grown from about 6% in the mid 1990s to around 16% for homes bought today.

Homes are a critical part of the retirement system. They are not only a place to live, but are a substantial part of householder wealth and should be considered when planning retirement income. Especially for those older Australians who have not had the benefit of higher superannuation contributions over their working lives.

<a href="https://theconversation.com/profiles/deborah-ralston-107436">Deborah Ralston</a>, Professorial fellow, <a href="https://theconversation.com/institutions/monash-university-1065">Monash University</a>

This article is republished from <a href="https://theconversation.com">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/home-ownership-and-super-are-far-more-entwined-than-you-might-think-151693">original article</a>.
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The home is the largest form of voluntary saving and is far more entwined with super and the pension than might be thought

Home ownership and super are far more entwined than you might think

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EXPERT OBSERVER
I’ve received an email from someone expressing outrage that I’m (in his mind) encouraging people to buy real estate at a time when everything is on the point of collapse.
He lectured that he and his friends believe doomsday is pending and the smart thing is to do nothing.
I won’t name him to protect the guilty. But I think people like this sad individual are a huge part of the problem.
Here’s why this kind of attitude is both wrong and damaging.
Firstly, he’s reacting to media headlines and not to the reality. He’s not alone but anyone smart enough to read and write should know better than to react to clickbait headlines.
One of the great problems amid the pandemic is that mainstream media does not see itself as part of the solution. Most businesses have a model based on making a living by being useful to consumers. Media in Australia doesn’t exhibit any desire to be helpful to its customers – its business model is to scare the hell out of people every minute of every day. It’s an appalling business model and it explains why so many publications are failing.
Intelligent people see the headlines for what they are – a shallow pitch to induce us to click on things, fed by profile-hungry economists and others who know a sensational negative is a guarantee of free publicity.
The smartest people tune out mainstream media altogether. Idiots take it all literally. They accept nonsense like the mythical September Cliff at face value, because they lack the ability to think independently.
Secondly, he’s a poorly-informed individual who is apparently unaware that around Australia there are local economies which are thriving and people are just getting on with business – and their local property markets are pumping strongly.
A core problem is that so much of our major media emanates from Melbourne and Sydney. Melbourne is a basket case because its Premier and his government mismanaged hotel quarantine and other aspects of the pandemic, while Sydney is struggling in many ways also. Both cities have elements of their property markets where vacancies are high, rents are falling and/or prices are drifting lower.
All of that influences the tone of media coverage. But two-thirds of Australians don’t live in our two biggest cities. Most Australians live in cities and towns largely unaffected by the virus, can go about their business unimpeded and are doing generally okay.
Many local economies are pumping and their property markets are rock solid. The vast majority of locations around Australia have low vacancies and strong rental markets. Buyers are facing strong competition and prices are rising.
Canberra has recorded house price rises in all of the past five months, according to CoreLogic figures, and Adelaide has risen in four of the past five months. Most regional jurisdictions have shown similar strength over the period from March to July.
Of the nation’s 15 market jurisdictions (eight capital cities and seven regional markets), 11 have house prices higher than they were at the start of the year.
If the forecasts of most economists in February-March were correct, prices would have plummeted, collapsed, nosedived and plunged (usually the language beloved by many journalists) everywhere by now.
Thirdly, Australia needs people to get off the fence and take action. It needs people to spend and it needs businesses to move forward with hope in their hearts. That’s what all those government stimulus packages are designed to encourage.
My sense is that most are doing so. I have conversations (phone, zoom, email, text messages) every day with people all over Australia and the great majority of them are bullish, busy and getting on with business. Even Melbourne people are pushing ahead as best they can in the circumstances.
Real estate markets are ticking over and people who service those markets are making money. It’s rare to encounter businesses with a negative mindset.
Fourthly, I believe the future belongs to the people who see this as a time of opportunity.
For businesses, it’s a time to innovate and find ways to do things better. In Melbourne, real estate agencies are finding ways to function while in lockdown and the early figures suggest an auction clearance rate above 70% in the latest weekend.
For first-home buyers, there’s never been a better time to take action. Interest rates are ridiculously low, lenders are competing for their business, and there has never been so much government assistance available. Some are sitting back and whinging that it’s all too hard but large numbers of young Australians are taking advantage of a never-to-be-repeated opportunity. All power to them.
For investors, there are wonderful opportunities to buy well in locations with good prospects for long term growth.
And the most important words in that sentence are “long term”. Those who understand the fundamentals of real estate investment appreciate that short-term scenarios like the pandemic impact are largely irrelevant in the overall scheme of things.
There are, of course, those sorry individuals for whom the glass is half empty. And there are some for whom the glass is completely empty.
I would say to them: You have the right to wallow in misery if that’s your preference, but don’t waste my time with your doomsday philosophy. I’m too busy getting on with it. 
Terry Ryder is the founder of hotspotting.com.au ryder@hotspotting.com.au twitter.com/hotspotting
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terryryder-YECXbqmri2

Never been a better time for first-home buyers to take action: Hotspotting’s Terry Ryder

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The latest monthly data from the Commonwealth Bank Household Spending Intentions (HSI) Series indicates that home buying spending intentions are running at a record rate. 
CBA Chief Economist Michael Blythe said, "there are some early signs of a ‘wealth effect’ from the housing market supporting spending on motor vehicles, albeit from a very low level, as well as travel and entertainment."
This means the pick-up in dwelling prices in the second half of 2019 will continue into the first half of this year, and the residential construction downturn should be approaching bottom.
“Past cycles show that leading indicators like building approvals turn about three month after home buying intentions start to lift. A bottoming in the construction cycle would remove a major growth drag on the economy, and also helps retailing," Mr Blythe said.
Noting that retail HSI remained low, Mr Blythe commented, “the flat trend in the retail HSI remains a disappointing outcome relative to the stimulus applied via interest rate cuts, tax rebates and the upturn in dwelling prices. The zig-zag pattern for the retail HSI indicates that the ‘Black Friday’ event brought forward spending from December into November without necessarily boosting spending overall."
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j.ballantyne1990-6AQqhLzZaK

Home buying intentions have reached a record high: CBA

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One of the hardest quests in property is to time your home sale at the market peak, to sit out, and to then buy back at the very bottom.
As we never really know what is around the corner, it is only some time after that the so-called peak and bottom can be gleaned.
Even then because there are so many separate cycles, it is not really possible to say there is just the one peak or bottom.
Buying back into a depressed real estate market, having determined it as a good time to buy, rather than evidence of ongoing doom, is not for everyone.
Waiting for the perfect bottom timing may see you never make the return acquisition and miss out altogether. 
And the best time to buy differs for everyone.
Of course, this is not going to stop some boasting of selling at the top of the Sydney market - around late 2016 early 2017 - and buying back at the bottom.
Good luck to them, because it is a tricky occurrence, thwart with risks at both ends of the deal.
Buying property is the biggest financial decision in most lifetimes, and there is stress involved, regardless of when or how often you buy.
Battling your own emotions could be hard, and then telling family and friends that you’re intent on pulling off a property masterstoke, could see pride and ego cloud your judgment.
For most property buyers, it is the norm to simply buy and sell in the same market which does offer some price comfort, especially for upsizers.
First home buyers get a greater shot at buying better too. 
Sydney is at a stage in its cycle where many are wondering if the property market is close to bottoming out, although the autumn market is marked by uncertainty, caution and a reluctance to commit.
The rate of the price fall is in decline, according to CoreLogic, and Sydney has also seen the strongest capital city auction clearance rate.
The overall market direction is set to be interest rate driven with other contributing factors including levels of consumer and business confidence, the state of the share market, stability in national and global economic conditions, along with government policy.
I'd suggest these are more unknown than usual.
The only way we will know the market has bottomed is in hindsight – and you'll have likely missed it by the time the data driven headlines advise when the bottom was.
Instead of trying to do what is almost impossible, the better strategy is to get educated about the markets.
Look out for minor increases in both buyer interest and transaction activity.
The tell-tale signs the market is about to turn a corner include well-priced properties starting to sell soon after their listing.
There will be multiple offers occurring on well-priced properties.
Some auction properties will be selling surprisingly above reserve.
A shortage of stock for sale across the suburb could be occurring with time on the market dropping.
Of course even if the market has bottomed there is no guarantee we will see any noteworthy increase in values any time soon.
The values might sit there for some years, as it did following the bottom after the 2003 boom.
But the successful property purchaser knows how to create wealth at any point in a cycle while others do poorly even in good times.
This article first appeared in The Daily Telegraph. 
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jchancellor-FAypfDUnLy

Buying at the bottom sounds great, but educating yourself about the market is ever better

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Television personality Shelley Craft has appeared in a video series from ASIC to help consumers make better decisions when buying a home.
The five videos feature tips on the key decisions involved with a buying a home including:
<ul>
<li>How to get a home loan;  </li>
<li>Working out how much you can afford with a mortgage;</li>
<li>Saving to buy a home;  </li>
<li>Understanding the hidden costs of buying a home and;</li>
<li>Being a guarantor for a home loan.</li>
</ul>
Peter Kell, ASIC's Deputy Chairman said for many people, buying a home is likely to be their biggest investment.
"We encourage home buyers to take the time to understand their individual financial position and be aware of what they are committing to with a home loan. And it is always a good idea to shop around for the best deal', he said.
"It can be challenging to build a home deposit, a good place to start is to create a budget to understand how much you can comfortably afford to save, borrow and repay.
"ASIC's MoneySmart offers a range of useful calculators and resources, including the savings goals and mortgage calculators, to help Australians take control of their money and reach their savings goals.
Shelley Craft said buying a home is full of excitement but it can also be stressful, especially the financial aspects.
"it's important to take your time, consider all your options and be sure to ask lots of questions, so you understand what you're signing up for," she said.
Don't rely on just one source when you're shopping around for a home loan because saving even half a percent on the interest rate can save you thousands of dollars over tim"', added Ms Craft.
To see ASIC's financial tips for home buyers visit <a href="https://goo.gl/pWsabK" target="_blank">ASIC's MoneySmart website</a>.
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jonathanchancellor-7SQnKwU6yx

Television's Shelley Craft hosts MoneySmart tips for home buyers

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<img src="/images/2015/11/NEW_RAMS_LOGO.jpg" alt="">
As a first home buyer, you may be eligible to receive a grant or stamp duty concession to help with your property purchase.
Each state and territory has its own scheme and the offers, qualification criteria and processes for applying vary accordingly.  
In the ACT, for example, the territory government offers $12,500 to owners whose first buy is a newly built or a substantially renovated property worth up to $750,000. 
In Western Australia, grants of up to $10,000 are available to first home buyers purchasing or building a new home. 
Check with the finance or revenue office in your state or territory for more details.
 
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Australian Capital Territory
</td>
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<a href="https://www.revenue.act.gov.au/" target="_blank">www.revenue.act.gov.au</a>
 
</td>
</tr>
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<td valign="middle">
New South Wales
</td>
<td valign="middle">
 
<a href="https://www.osr.nsw.gov.au/" target="_blank">www.osr.nsw.gov.au</a>
 
</td>
</tr>
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<td valign="middle">
Northern Territory
</td>
<td valign="middle">
 
<a href="https://www.revenue.nt.gov.au/" target="_blank">www.revenue.nt.gov.au</a>
 
</td>
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Queensland
</td>
<td valign="middle">
 
<a href="https://www.osr.qld.gov.au/" target="_blank">www.osr.qld.gov.au</a>
 
</td>
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<td valign="middle">
South Australia
</td>
<td valign="middle">
 
<a href="https://www.revenuesa.sa.gov.au/" target="_blank">www.revenuesa.sa.gov.au</a>
 
</td>
</tr>
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<td valign="middle">
Tasmania
</td>
<td valign="middle">
 
<a href="https://www.sro.tas.gov.au/" target="_blank">www.sro.tas.gov.au</a>
 
</td>
</tr>
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<td valign="middle">
Victoria
</td>
<td valign="middle">
 
<a href="https://www.sro.vic.gov.au/" target="_blank">www.sro.vic.gov.au</a>
 
</td>
</tr>
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<td valign="middle">
Western Australia
</td>
<td valign="middle">
 
<a href="https://www.osr.wa.gov.au/" target="_blank">www.osr.wa.gov.au</a>
 
</td>
</tr>
</tbody></table>
 
HOW TO APPLY
You can lodge an application for most grants through your mortgage lender or directly with the relevant government office. 
You’ll need to fill in an application form and provide proof of your identity, address and details about the property purchase. The exact documents you’ll need will depend on the property’s location and your circumstances, such as whether you’re buying a newly completed home or building yourself. 
When the grant is paid depends on the type of purchase and whether you applied through a lender or directly. For off-the-plan purchases in NSW, for instance, payment is made at settlement if you applied through your lender, or within 15 working days of lodgement after the transaction has completed if you applied directly. 
To meet the conditions of most first home owner grants, you (or another grant applicant) will have to live in the property as your primary home for at least 12 months within a year of settlement or completion. If you move out too soon you’ll have to repay the grant. 
Quick tip: Check with your state or territory finance or revenue office for details on what assistance may be available to you.
 
TO FIND OUT HOW RAMS CAN HELP EASE YOU THROUGH THE PROCESS, GET IN TOUCH WITH YOUR LOCAL RAMS HOME LOAN EXPERT OR DROP IN FOR YOUR <a href="https://ad.doubleclick.net/ddm/clk/297184293;124283199;t" target="_blank">FREE FIRST HOME BUYERS’ GUIDE</a>.
For more great property advice and tips on buying your first home from RAMS subscribe to <a href="https://ad.doubleclick.net/ddm/clk/297184408;124284900;i" target="_blank">The Great Australian Dream property series</a>.
For your free Property Observer eBook from RAMS, 12 tips for first-time buyers, covering everything you need to know when it comes to purchasing property, click here.
Disclaimer: Information in this material is general and does not take into account your objectives, financial situation or needs and you should consider whether it is appropriate for you. You should also obtain independent professional advice relevant to your financial circumstances.
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