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

Myths

EXPERT OPINION

The average punter will never let the facts get in the way of a cherished belief.

This is why Australian real estate abounds with myths and misconceptions to which people cling, regardless of the evidence.

Last week I wrote about the belief held by many people about the importance of being close to the CBD to get the best capital growth. There&rsquo;s copious data proving that&rsquo;s a major piece of nonsense, but some will never reject that sacred cow.

Here are some others &hellip;

It&rsquo;s all about interest rates

Another myth that pops up daily in mainstream media is the child-like notion (held primarily by economists who have child-like knowledge of real estate) that the fundamental driver of real estate prices in the level of interest rates.

In many ways this is the last refuge of scoundrels who wish to appear informed about the property market when in reality they know very little. When asked a question about real estate, the standard response is &ldquo;record low interest rates&rdquo;. It&rsquo;s a convenient way to avoid meaningful analysis.

[smartcode_project:default project_id=102309 project_image_fid=163978]

Here&rsquo;s what passes for analysis for most economists seeking to explain real estate trends: if event A coincides with event B, then event A must have caused event B.

So if cheap finance coincides with rapidly rising prices, then that must be the cause. It overlooks the absence of growth in late 2019, also a time of record interest rates, and in the first half of 2020.

There was the same response when Sydney and Melbourne were having their boom from 2013 to 2017. The standard explanation was &ldquo;record low interest rates&rdquo;. Proponents of that theory were unable to explain why prices were falling in Perth and Darwin and stagnating in Brisbane, Canberra and Adelaide. Nor did record low interest rates explain the subsequent decline in prices in Sydney and Melbourne after 2017, including the early part of 2020.

The theory also fails to explain how Australia managed spectacular property booms during an environment of very high and rising interest rates in the late 1980s and early 2000s.

I suspect real estate dynamics are too complex for the average economist to comprehend. Remember, these were the people who were predicting, 12-15 months ago, a major collapse in property prices (at a time of record low interest rates).

It&rsquo;s a bad time to sell because it&rsquo;s winter

Here&rsquo;s another myth that&rsquo;s currently doing the rounds, as people try to explain why there are relatively few properties for sale at a time of feverish buyer demand.

According to media reports, home-owners aren&rsquo;t listing because it&rsquo;s winter and winter is a bad time to sell property. They&rsquo;re waiting until spring because that, apparently, is the best time to sell.

[smartcode_project:default project_id=600 project_image_fid=94632]

It beggars belief that anyone would believe that real estate fortunes are dictated by the seasons.

Here&rsquo;s the fundamental truth: the best time to sell is when there are lots of enthusiastic buyers competing for relatively few properties, with prices rising rapidly &ndash; i.e. right now. It has nothing to do with the seasons.

Somehow, the real estate industry has managed to convince the market that spring is the best time to sell. The same agents claim spring is also the best time to buy. Both cannot be true.

It&rsquo;s all about population growth

Another popular myth is that the fundamental driver of property prices is population growth. I could spend a long time dispelling this furphy, but suffice to ask this question: how is it that Sydney house prices are rising so fast (9.5% in the June Quarter and 18.5% in the first six months of the year, according to one source) at a time when the population data is negative for Sydney.

Sydney continues to lose population to internal migration (the Exodus to Affordable Lifestyle trend that&rsquo;s been under way for several years) and its main source of population growth, overseas migration, has been blocked by our closed borders.

Sydney&rsquo;s losing population but its property prices are rocketing. The same is true for Melbourne, despite everything that has afflicted that city in the past year or so.

[smartcode_project:default project_id=7758 project_image_fid=150447]

A catalyst for this column was an article in the Sydney Morning Herald and The Age (both prime sources of real estate misinformation) which claimed to present &ldquo;The top 5 reasons&rdquo; why house prices are rising. It rolled out the usual cliches &ndash; low interest rates, population growth, tax policies, etc &ndash; none of which in any way explains the past 6-12 months in Australian real estate.

Month-to-month price movements matter

You can be sure we&rsquo;re in the midst of a spectacular real estate up-cycle when media characterises a 2.1% rise in house prices in a single month as &ldquo;a loss of momentum&rdquo;.

The media coverage resulting from CoreLogic&rsquo;s report on June price trends claimed the market is losing momentum &ndash; because the monthly growth in dwelling values was slightly less than the previous month. There were headlines across the nation claiming that the market was running out of puff.

It&rsquo;s worth noting that the same happened in early May, because the average rise in values in April was slightly lower than March. This inspired headlines declaring that the boom was over. But then the May figures showed another big growth spurt.

Now the June figures are down (slightly) on May, therefore the market is apparently losing momentum.

Specialist real estate analysts with experience know it&rsquo;s a mistake to make big assumptions based on month-to-month price movements. It&rsquo;s too short a time frame for meaningful trends to become apparent. The monthly movements are often erratic.

[smartcode_project:default project_id=2407 project_image_fid=77662]

The longer-term data is more reliable and meaningful. In the June Quarter, every capital city except Perth increased their house prices by 4.9% or more. The regional markets of NSW, Victoria, Queensland, Tasmania and the Northern Territory all rose by at least 5.5%. The national average for the quarter was a rise of 6.7%.

In the first six months of 2021, all capital cities grew 10% of more &ndash; except Perth, which increased &ldquo;only&rdquo; 7.3% in the first half of the year. The national average was a rise of 13.6%.

The figures suggests that there continues to be serious momentum in markets around Australia, driven by multiple strong factors.

The average punter will never let the facts get in the way of a cherished belief

Real estate myths and misconceptions: Hotspotting's Terry Ryder

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Two property groups have teamed up to debunk media myths – but have actually added to them.
In seeking to dispel misconceptions about negative gearing and capital gains tax, the Property Council of Australia and the Real Estate Institute of Australia have added to the great seething mass of misinformation about real estate.
They have also missed a clear opportunity by failing to address two of the biggest arguments in favour of negative gearing and other investment incentives. 
That’s a shame. The media hysteria around negative gearing and the CGT “discount” needs a strong and coherent response from the real estate industry.
The PCA and the REIA have sought to provide that by asking a consultancy group to put together an evidence-based examination of the issues. To a certain degree it’s been a worthy exercise because the report presents facts and reasoned analysis, in contrast to media treatment of the issues.
It provides cogent responses to some of the lies about negative gearing, using official figures to show that this is not a tax benefit to the rich, nor is it a massive burden to the Federal Budget with no benefits to society. It shows that investors do indeed contribute to the creation of new housing supply and therefore assist in making homes more affordable. 
But it adds to the problem by reinforcing the notion of a runaway national property boom with soaring prices. It refers frequently to the “current booming residential property market”, belief in which has caused the lunatic fringe to target the industry with a sustained series of irrational attacks.
It also reinforces the greatest myth in Australian real estate – the claim that a national housing shortage exists. It’s poor form by these groups to self-righteously claim to be debunking other people’s myths while re-stating their own equally-fallacious furphies.
The PCA and REIA have also failed themselves and their industry by missing the opportunity to make two of the strongest arguments in favour of investment incentives like negative gearing.
The report examines how much negative gearing costs Budgets but doesn’t consider how much other revenue would be lost if negative gearing was disallowed. If this incentive to investment was removed and Australians stopped buying investment properties (and other forms of investment which have negative gearing provisions), other revenue streams would reduce, including stamp duty (State Governments would be screaming from the high heavens), land tax and capital gains tax. 
Given that the total tax take from the property industry is over $70 billion per year, and the amount claimed in negative gearing benefits is a tiny fraction of that, what would be the overall long-term impact to all government budgets – state as well as federal – if negative gearing ended?
To my knowledge no one has addressed this because everyone is looking at the issue from their own narrow viewpoints and the big picture has been lost.
But there is a bigger issue not discussed in this “debate” – and I couldn’t find any reference to it in the REIA/PCA report. My contention is that the Federal Budget would be a massive loser long-term if negative gearing was disallowed.
Here’s why. The biggest problem for the Budget is the mounting cost of welfare, notably pensions paid to retired people. The problem will get considerably worse, because of our ageing population. Successive Governments have told Australians they have to invest to provide for their own retirement years, because the nation cannot afford to fund them with pensions.
The nation needs to provide incentives to invest. Negative gearing it one of them – and it applies to other forms of investment including shares, businesses and artworks, as well as to real estate.
If we remove negative gearing, it will have to apply across all investment vehicles, not just to real estate. It’s a reasonable expectation that if the incentives are removed, many people will not invest. They will stagger into retirement with a small amount of superannuation and a need to claim the pension. 
A small short-term saving to the Federal Budget will result in a major long-term loss.
The anti-gearing attack is based on the claims that it inflates prices and damages government budgets. There is no evidence that negative gearing results in rising prices, because it’s impossible to measure. 
What we can say with certainty that we currently have negative gearing in place and prices are not rising strongly in any of our major cities except Sydney. If negative gearing inflates prices, why is there no price growth in Perth, Darwin or Canberra, and only muted growth in Brisbane and Adelaide?
Another thing we know, from the experience of the last time negative gearing was disallowed (in the 1980s), is that it results in higher residential rents.
The true impact on government budgets will not be known until someone does a proper study which includes the impact on other forms of real estate revenue if people stop buying investment properties (and other types of investments, including shares) and those who currently own them sell them to home buyers.
My belief is that there would be a net loss to state and federal budgets in the short-term and a massive cost in the longer-term because there would be considerably fewer self-funded retirees. 
TERRY RYDER is the founder of <a href="https://www.hotspotting.com.au/" target="_blank">hotspotting.com.au</a>. You can <a href="https://mailto:ryder@hotspotting.com.au" target="_blank">email him</a> or follow him on <a href="https://twitter.com/hotspotting" target="_blank">Twitter.</a> 
Terry was recently joined by Property Observer editor at large Jonathan Chancellor for a webinar on why research is the key to successful property investing in 2015. You can download slides and audio from the webinar here.
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terryryder-YECXbqmri2

Property groups adding to market myths: Terry Ryder

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EXPERT OBSERVATION
The real estate industry is a rewarding and fulfilling industry to be a part of, whether you are an agent or a property manager, with real estate agents commonly working around the clock in order to get the highest possible return for a property.
Despite the hard work of many real estate agents, research indicates that there is a lingering negative perception of the industry, with only seven per cent of Australians rating the profession as either ‘high’ or ‘very high’ for ethics and honesty, the third lowest profession out of 30 surveyed.
Broadly speaking, the negative perception of the industry stems from a lack of trust between customers and agents, but there are steps that agents can take to improve the overall perception, and build trust with clients along the way.
Myth #1 Property managers do not care about the owner's property
Property managers are often perceived to only contact tenants or landlords when there is money needed, but a crucial role of the property manager is to ensure that a property is properly maintained.
This involves the management of all financial components involved, including rent and any additional expenditure that is needed for maintenance. From the owner’s perspective, expectations are that a property manager will look after their property and keep it in the best shape possible, but when repairs or upgrades are needed, owners can often be difficult to contact when money needs to be spent.
It can be a challenging job for property managers to act as the middleman to control the variables that are beyond their capacity, as there are regulations that agents must follow and comply to.
This is where regular communication with clients is a must; being confident in your knowledge and experience will filter through to a client feeling more comfortable that the property is safe in your hands. And when it comes to having conversations about additional expenditure, clients will trust that their money is being spent for their own benefit.
Myth #2 Real estate agents make a profit from the marketing fee for a property campaign 
Marketing should be considered part of the investment when selling or leasing a property, as any proposed marketing tool is for the sole benefit of the campaign, but one of the most common misconceptions is that real estate agents profit from the marketing. Every dollar used for marketing materials or tools is put towards promoting a property in order to gain more exposure and better results.
A common expectation is that an agent should cover the marketing costs, all whilst selling the property for the highest amount within a short period of time.
According to a recent survey undertaken by Pureprofile, over 90% of vendors have unrealistic price expectations. If this situation arises, it’s the property managers duty to inform and educate the client in order to set up realistic expectations from the get go. Myth #3 Real estate agents and property managers are dishonest
All real estate agents and property managers are legally bound to be honest and provide correct information without bias. An agent should never offer limited or incorrect information to clients with the expectation they would gain the business or deal.
The increase of online rating systems such as RateMyAgent and OpenAgent are instrumental in encouraging complete transparency, as any dishonesty or poor service will be exposed for all to see. These systems also provide real estate agencies with the opportunity to continuously improve their system and practices.
At the end of the day, each agency is responsible for its own agents and educating them on best practice. This not only includes legal requirements, but how to effectively build trust with clients, while managing expectations along the way.
Alain Warisadi is a Licensed Estate Agent and the General Manager at Xynergy Realty 
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