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>

Joel Robinson

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 

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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

Local Little Bay residents, along with buyers from premium postcodes across Sydney’s affluent Eastern Suburbs, have dominated purchases in developer-builder Urban Property Group’s first Eastern Suburbs apartment development, <a href="https://www.apartments.com.au/new-apartments/este-little-bay-jennifer-street-little-bay-nsw-2036">ESTE Little Bay</a>.

The $250 million coastal project, one of the first new developments in the area in several years, has proven particularly popular with downsizers, especially those from Coogee and Bondi. One Double Bay downsizer paid $4.7 million for a four-bedroom penthouse, setting a new local apartment price record in the process.

Buyers have been attracted to the combination of coastal tranquillity, premium design and amenity-rich neighbourhood living. The walkable village setting, along with proximity to three of Sydney’s leading golf courses, New South Wales Golf Club, St Michael’s Golf Club and The Coast Golf Club, has also been a key drawcard.

[smartcode_project:default project_id=112343 project_image_fid=352689]

Built across two low-rise buildings designed by <a href="https://www.apartments.com.au/architects/hill-thalis-architecture-urban-projects-pty-ltd">Hill Thalis</a> and set along a lush, landscaped green spine, designed by leading landscape architect <a href="https://www.apartments.com.au/landscape-architect/arcadia-landscape-architecture">Arcadia</a>, ESTE Little Bay offers a collection of one, two, three and four-bedroom residences with interiors by Richards Stanisich.

<a href="https://www.apartments.com.au/developers/urban-property-group">Urban Property Group</a> Sales Director, Tom McIvor said the response to ESTE has been "nothing short of extraordinary."

“Buyers have been quick to recognise ESTE as a rare opportunity to invest in a coastal sanctuary that offers both seclusion and connectivity to the heart of Sydney,” McIvor said.

[smartcode_project:default project_id=112343 project_image_fid=352687]

<a href="https://www.apartments.com.au/project-marketer/srm-residential">SRM Residential</a> Senior Director, <a href="https://www.apartments.com.au/project-marketer/srm-residential">Clayton Ross</a> said the local market has responded incredibly well, driven by ESTE’s exceptional location and the rarity it offers.

“We’ve seen strong interest from a variety of buyer groups, all of whom are drawn to the exclusivity and quality of the build and construction by the 4.5-star iCIRT-rated builder / developer, Urban Property Group. There’s truly nothing else like it along Sydney’s coastline.”

[smartcode_project:default project_id=112343 project_image_fid=352690]

The project also includes robust buyer protections, including Resilience Insurance’s Latent Defects Insurance, providing 10 years of structural cover, and an independent iCIRT-rating of the developer.

“The iCIRT-rating adds another layer of confidence,” Ross added. “Buyers see it as a safeguard for their investment and their lifestyle.” A highlight of ESTE’s offering is its exclusive wellness amenities, including a heated rooftop infinity pool and outdoor heated spa, a state-of-the-art Technogym fitness centre, and a sauna.

<a href="https://www.apartments.com.au/new-apartments/este-little-bay-jennifer-street-little-bay-nsw-2036">ESTE Little Bay</a> is topped out and is on track to complete towards the end of 2026, with residents moving in before Christmas.

[smartcode_project_cta:default project_id=112343]

Eastern Suburbs buyers snap up ESTE Little Bay apartments

Property Forecast 2020

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Property values are set to rise by August 2020 across the nation, according to Finder, Australia’s most visited comparison site.  
In the latest <a href="https://www.finder.com.au/" target="_blank">Finder</a> RBA Cash Rate Survey™ experts and economists gave their forecasts on 12-month change of property prices in Australia’s capital cities.
The experts, on average, now anticipate the property market will be on the way up over the next year.
Graham Cooke, insights manager at Finder, said it’s too soon to tell if this is an emerging recovery in the housing market or merely a ‘dead-cat bounce’.
“Most economists surveyed foresee small levels of growth across the board, but a few tipped prices to tumble, especially in Sydney and Melbourne where one expert predicted a 7% drop."
“Whether you see this as a falling feline or the beginning of a true rebound, it’s clear that the full effects of the RBA’s recent cuts have yet to play out."
<img src="https://www.urban.com.au/images/2019/8/6/Finder%20-%20August%206%20-%203.JPG" alt="">
“However, after one of the strongest weekend clearance rates in Sydney in recent months (71%), there is definitely a detectable pulse,” Cooke said.
Canberra came out on top with a 2.27% predicted growth on average, followed by Hobart (2.19%) and Brisbane (1.81%). Cooke said those considering getting on the property ladder need to get their ducks in a row. “Prospective first time buyers should look at arranging <a id="LPlnk812745" href="https://finder.us9.list-manage.com/track/click?u=cc5e9bce699fa1d71a67cf499&amp;id=5f88598f50&amp;e=f2176dbcf8" target="_blank" rel="noopener noreferrer" data-auth="NotApplicable">pre-approval</a> for finance soon if they want to take advantage of low rates before prices increase.” With rates at an all-time low, the Reserve Bank of Australia (RBA) held the cash rate at 1.00% for the first time in three months.  Nearly all (96%, 44/46) experts surveyed predicted the hold, although up to two more cuts are likely by the end of the year. 
<img src="https://www.urban.com.au/images/2019/8/6/Finder%20-%20August%206%20-%204.JPG" alt="">
Cooke said people might be missing a trick by not considering a fixed-rate loan. “We’ve seen a lot of very low fixed-rate offers hitting the market of late, some as low as 2.79%. " “Fixed rates may be well worth considering – as we’ve never seen rates this low – but the best path may be a <a id="LPlnk383356" href="https://finder.us9.list-manage.com/track/click?u=cc5e9bce699fa1d71a67cf499&amp;id=aaf3510eb8&amp;e=f2176dbcf8" target="_blank" data-auth="NotApplicable">split loan</a>." “Think of this as the best of both worlds: if rates drop you get some of the benefits and if they increase you only get part of the pain." “Even if you’ve been on a variable loan for five years, it’s not too early to refinance with rates at a record low,” Cooke concluded.
<img src="https://www.urban.com.au/images/2019/8/6/Finder%20-%20August%206%20-%205.JPG" alt="">
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j.ballantyne1990-6AQqhLzZaK

Experts tip property prices to rise in every capital city: Finder

<html><body>
Domain’s Property Price Forecast report has predicted Canberra will be the strongest performing house sales market in 2020.
It has an expected growth in house prices of between 4 to 6 per cent.
Sydney and Brisbane are tipped to have a slightly lower of growth, at 3 to 5 per cent.
Sydney’s biggest correction in house prices since the 1980s should be over by year’s end, according to new forecasts which expects median house prices in Sydney to bottom out at about $1 million and median unit prices to dip just below $700,000 in spring.
<div class="in-content-ad">
Domain economist Trent Wiltshire said the trifecta of an interest rate cut, the Coalition’s election win and potential lending rule changes helped the market bottom out sooner than expected.
Wiltshire expects subdued growth with property prices unlikely to run away again, due to tight lending conditions and highest levels of household debt.
“Banks and borrowers are still pretty cautious,” Mr Wiltshire told Domain.
“The outlook for the economy is pretty weak so that’s another reason why I don’t think we’ll see a big boom.”
<table><tbody>
<tr>
<td colspan="3">
<h4>House price forecasts</h4>
</td>
</tr>
<tr>
<td> </td>
<td>2019 (6 month change)</td>
<td>2020 (annual change)</td>
</tr>
<tr>
<td>Australia (combined-capital cities)</td>
<td>1%</td>
<td>
2% – 4%
</td>
</tr>
<tr>
<td>Sydney</td>
<td>2%</td>
<td>
3% – 5%
</td>
</tr>
<tr>
<td>Melbourne</td>
<td>1%</td>
<td>
1% – 3%
</td>
</tr>
<tr>
<td>Brisbane</td>
<td>1%</td>
<td>
3% – 5%
</td>
</tr>
<tr>
<td>Perth</td>
<td>0%</td>
<td>
0% – 2%
</td>
</tr>
<tr>
<td>Adelaide</td>
<td>1%</td>
<td>
1% – 3% 
</td>
</tr>
<tr>
<td>Hobart</td>
<td>0%</td>
<td>
2% – 4%
</td>
</tr>
<tr>
<td>Canberra</td>
<td>2%</td>
<td>
4% – 6%
</td>
</tr>
<tr>
<td colspan="3">Notes: Stratified median house price forecasts. 2019 forecast is 6 month per cent change from June quarter 2019 to the December quarter 2019. 2020 forecast is the annual per cent change from December quarter 2019 to December quarter 2020. Darwin excluded from forecasts due to small volumes and market volatility.</td>
</tr>
</tbody></table>
Hobart will have the strongest unit growth in 2020. 
<table><tbody>
<tr>
<td colspan="3">
<h4>Unit price forecasts</h4>
</td>
</tr>
<tr>
<td> </td>
<td>2019 (6 month change)</td>
<td>2020 (annual change)</td>
</tr>
<tr>
<td>Australia (combined-capital cities)</td>
<td>1%</td>
<td>1% – 3%</td>
</tr>
<tr>
<td>Sydney</td>
<td>2%</td>
<td>2% – 4%</td>
</tr>
<tr>
<td>Melbourne</td>
<td>1%</td>
<td>0% – 2%</td>
</tr>
<tr>
<td>Brisbane</td>
<td>0%</td>
<td>0% – 2%</td>
</tr>
<tr>
<td>Perth</td>
<td>0%</td>
<td>0% – 2%</td>
</tr>
<tr>
<td>Adelaide</td>
<td>2%</td>
<td>1% – 3% </td>
</tr>
<tr>
<td>Hobart</td>
<td>2%</td>
<td>3% – 5%</td>
</tr>
<tr>
<td>Canberra</td>
<td>1%</td>
<td>1% – 3%</td>
</tr>
<tr>
<td colspan="3">Notes: Stratified median house price forecasts. 2019 forecast is 6 month per cent change from June quarter 2019 to the December quarter 2019. 2020 forecast is the annual per cent change from December quarter 2019 to December quarter 2020. ‘Units’ includes units and apartments. Darwin excluded from forecasts due to small volumes and market volatility.</td>
</tr>
</tbody></table>
Mr Wiltshire’s forecasts were made on expectation of two RBA rate cuts in July and November this year, national population growth of 1.75 per cent each year, a steady national unemployment rate of 5 per cent, and modest growth in home lending from late this year.
 
</div>
</body></html>

Canberra will have 2020's strongest house price growth: Domain

<html><body>
National property prices will rise by at least 5 per cent next year, according to Macquarie Securities.
Macquarie said in every Australian house price cycle since 1989, price growth followed within seven months after the monthly annualised price decline bottomed.
It has however forecast that prices are likely to fall another 1 or 2 per cent in coming months, then Macquarie expects prices to stop falling over the next few months.
It says likely lower interest rates, easier lending standards and a more settled post-election environment “should see national house prices rise by at least 5 per cent by the end of 2020”.
Movements of as much as 10 per cent in Sydney and Melbourne “wouldn’t surprise us”, it says.
The Government’s first home buyer deposit scheme should also provide “some modest support”, Macquarie says.
Another factor is the relative shortage of fresh home listings in recent months as ellers have kept properties off the market amid the downturn.
Lower borrowing interest rates are likely to be the most powerful factor, Macquarie suggest.
“We assume the RBA cuts by 50 basis points in coming months and most of that is passed through to actual mortgage rates,” Macquarie says.
Macquarie says support for house price growth from APRA’s rule change will be dampened by the fact that most borrowers don’t borrow the maximum loan amount available to them.
The Australian Prudential Regulation Authority wrote to lenders last month, saying that instead of the 7 per cent floor (which is 7.25 per cent in practice), they would be permitted to set their own minimum interest rate floor for use in assessments.
“Nevertheless, we are conscious that housing process are determined at the margin and the effect of APRA’s changes on the marginal borrower shouldn’t be underestimated.”
The decline from the mid-2017 peak to the trough looks like being 10 per cent nationally, with Sydney’s peak to trough fall to be around 15 to 20 per cent and Melbourne’s close to 15 per cent.
If the peak-to-trough fall is 10 per cent it will be the biggest housing market fall in 40 years, it noted.
Macquarie has lowered home loan interest rates in recent months, despite the cash rate then remaining on hold.
</body></html>

Property Forecast 2020

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