Developers and apartment buyers have a narrowing window of opportunity before Brisbane's Olympic infrastructure pipeline begins competing directly with residential construction, pushing up costs, tightening labour supply and making new projects increasingly difficult to deliver.

While Brisbane's apartment market continues to benefit from strong population growth and limited housing supply, industry research suggests the years leading up to 2027 could prove to be the most important period for developers looking to secure builders and buyers hoping to purchase before the next wave of price increases.

A new Colliers report, Brisbane 2032 Olympic and Paralympic Games: Creating Solutions, highlights the scale of the challenge. While thousands of new homes are planned across South East Queensland, the Brisbane Olympic Athletes Village alone will deliver more than 10,500 beds during the Games before being converted into around 1,750 to 2,000 apartments. Equivalent to almost two years of typical inner-city apartment supply, the project will also absorb a significant share of the construction workforce and building materials.

The broader construction pipeline paints an even clearer picture.

Construction Skills Queensland's Horizon 2032 report forecasts Queensland's annual construction pipeline will average $69 billion over the coming years before peaking at $75 billion in 2027-28. Demand for construction workers is expected to increase by 17 per cent to almost 150,000 people, with the industry facing an annual shortfall of around 19,000 workers that could blow out to as many as 35,000 during the peak construction period.

The Olympic venues, athletes village and supporting infrastructure will account for billions of dollars worth of work across South East Queensland through to 2032, creating intense competition for labour at a time when Australia's residential construction sector is already under pressure.

[smartcode_project:default project_id=150489 project_image_fid=373834]

Colliers Queensland Residential Director Andrew Scriven said the convergence of these projects is creating a clear window of opportunity for both developers and buyers.

"From 2027 onwards, the market will shift dramatically," Scriven said.

"Labour will increasingly be locked into government-led infrastructure and Olympic projects, which means private residential developments will face higher costs and tighter margins. The developers who move now are the ones most likely to get projects off the ground."

Scriven said the same dynamic would also affect buyers, with fewer apartment projects expected to launch once construction capacity tightens.

"If you're looking to change your lifestyle over the next five years, now is your window of opportunity to buy."

[smartcode_project:default project_id=150713 project_image_fid=373827]

Developers are already positioning themselves ahead of that window.

Following the success of Monarch at Toowong, Consolidated Properties is preparing to launch two new Brisbane apartment projects in the second half of 2026. They include <a href="https://www.apartments.com.au/new-apartments/gloriette-30-bedivere-street-yeerongpilly-qld-4105">Gloriette</a> at Yeerongpilly Green, a 25-storey tower within one of Brisbane's key Olympic precincts, and <a href="https://www.apartments.com.au/new-apartments/castile-47-skyring-terrace-newstead-qld-4006">Castile</a>, a recently approved 25-storey riverfront development at 47 Skyring Terrace in Newstead.

Hutchinson Builders will deliver both projects, with early works already underway at Yeerongpilly and Newstead expected to commence later this year.

The timing comes as Brisbane's fundamentals continue to strengthen, with strong interstate migration, population growth and vacancy rates remaining below 1.5 per cent.

Colliers Queensland researcher Pragya Sharma said Greater Brisbane is forecast to require around 40,000 new apartments between 2021 and 2031.

"There's a real mismatch emerging between when housing is needed and when it will be feasible to build," Sharma said.

"As a result, the period leading up to 2027 presents a key window of opportunity for developers to secure approvals, funding and construction capacity, while buyers will have greater choice before supply constraints intensify."

Colliers research outlines a critical pre-2027 window to start residential projects before labour squeeze: now is the time to buy

Joel Robinson

Developers, buyers on watch in South East Queensland ahead of construction crunch: Colliers

It's taken less than nine months for developer Sherpa Property Group to sell out all 51 apartments in its <a href="https://www.apartments.com.au/new-apartments/flourish-oasis-palm-beach-7-9-sixth-avenue-palm-beach-qld-4221">Flourish Oasis</a> development in <a href="https://www.apartments.com.au/developments/palm-beach-qld-4221">Palm Beach</a>, over a year before its anticipated completion.

&nbsp;

Located at 7-9 Sixth Avenue, the $67 million development has resonated strongly with both local owner-occupiers and downsizers seeking high-quality apartments within walking distance of the beach, dining precincts and everyday amenities.

[smartcode_project:default project_id=151449 project_image_fid=357458]

Christie Leet, Founder of <a href="https://www.apartments.com.au/developers/sherpa-property-group">Sherpa Group</a>, said the sell-out reflected both the strength of the Palm Beach market and the success of Sherpa's community-first approach to development.

"The sell-out of Oasis is a fantastic outcome and reinforces the strong demand we're seeing for thoughtfully designed apartments in lifestyle locations," Leet said.

"From the outset, our vision was to create a development that genuinely enhanced the Palm Beach community while providing residents with exceptional homes and wellness-focused amenities.

"We've been incredibly encouraged by the level of local support throughout the campaign, 72.5 per cent of buyers are locals, with a significant proportion of purchasers choosing Oasis as their future home rather than an investment."

[smartcode_project:default project_id=151449 project_image_fid=357463]

Construction is now progressing following development approval, with trusted builder LPS Group delivering the project and completion anticipated in Q3 2027.

Oasis forms part of Sherpa Group's successful Flourish collection, which has become recognised for its focus on wellness, community and elevated coastal living.

[smartcode_project:default project_id=151449 project_image_fid=357469]

Residents will have private access to a rooftop amenity space featuring a pool, gym, sauna, steam room, hot and cold plunge pools, spa and barbecue facilities.

"The success of Oasis demonstrates that buyers continue to prioritise quality, location and lifestyle," Leet said.

"We are proud to have delivered a project that has resonated so strongly with the market and look forward to bringing Oasis to life for our future residents."

Sherpa recently launched <a href="https://www.apartments.com.au/new-apartments/flourish-soleira-palm-beach-1150-1160-gold-coast-highway-palm-beach-qld-4221">Flourish Soleira</a>, its third instalment of the Flourish brand in Palm Beach following Flourish Oasis and <a href="https://www.apartments.com.au/new-apartments/amargo-6-12-sixth-avenue-palm-beach-qld-4221">Flourish Amargo</a>.

[smartcode_project_cta:default project_id=151449]

Sherpa sells out Flourish Oasis in booming Palm Beach

Urban Property Group's <a href="https://www.apartments.com.au/new-apartments/la-vera-macquarie-park-94-talavera-road-macquarie-park-nsw-2113">La Vera</a> is leading the next phase of Macquarie Park's residential evolution, with the new apartment development set to become the first of several new apartment projects in the precinct to complete.

The 169-apartment building has now topped out ahead of its scheduled completion in the third quarter of 2026, as new residential investment continues to reshape one of Sydney's largest employment hubs into a true mixed-use precinct.

[smartcode_project:default project_id=134951 project_image_fid=368645]

Cox Architecture has designed La Vera to capture the best of its unique positioning on Talavera Road, orienting the building towards Lane Cove National Park.&nbsp;The building features a sculpted northern façade with flowing curves inspired by the surrounding landscape, while its city-facing elevation adopts a more structured architectural expression to maximise skyline views.

"The vision for the project was to conceive a building that adopted an organic and curvilinear form to the northern portion that faces the Lane Cove National Park," <a href="https://www.apartments.com.au/architects/cox-architecture">Cox Architecture</a> Director Felipe Miranda said.

"The residents that reside in the northern portion of the building benefit by having beautifully crafted curved balconies that speak to the natural context and heighten the relationship of their internal living spaces to the external balconies."

[smartcode_project:default project_id=134951 project_image_fid=358802]

La Vera offers a diverse mix of one, two, three, and four-bedroom configurations, with prices currently starting from $740,000. Buyers so far have been a mix of Sydney-based investors,&nbsp;metro commuters, owner-occupiers and downsizers from surrounding North Shore suburbs.

Both investors and owner-occupiers have been drawn to La Vera's proximity to Macquarie University, Macquarie University Hospital, Macquarie Centre and the Sydney Metro, infrastructure that supports both strong rental demand and a convenient lifestyle for residents.

The apartments feature full-height glazing, timber flooring throughout living areas, stone kitchen benchtops, SMEG appliances, floor-to-ceiling bathroom tiling and ducted air conditioning.

Residents will have access to a rooftop recreation level featuring a swimming pool, sauna, barbecue facilities and landscaped relaxation areas, complemented by additional communal space at ground level. Many apartments enjoy uninterrupted views across Lane Cove National Park, reinforcing the project's connection to its natural setting.

[smartcode_project:default project_id=134951 project_image_fid=364551]

<a href="https://www.apartments.com.au/developers/urban-property-group">Urban Property Group</a>, a family-owned developer and builder with nearly four decades of experience, holds a 4.5-star iCIRT rating and was Australia's first developer to introduce 10-Year Latent Defects Insurance (LDI). La Vera is the first apartment development in <a href="https://www.apartments.com.au/developments/macquarie-park-nsw-2113">Macquarie Park</a> approved to offer the additional insurance protection, alongside a five-year warranty on SMEG appliances.

Urban Property Group CEO Patrick Elias said the additional protection reflects changing buyer expectations in the off the plan market.

"Consumers are a lot more weary and a lot more concerned in buying off the plan than they ever have been. Having LDI is a tool to portray the confidence that we have in our product, and a confidence we want buyers to share," Elias said.

Following completion of the building later this year, buyers will move into their apartments well before Christmas.

[smartcode_project_cta:default project_id=134951]

La Vera closes in on completion as Macquarie Park continues residential transformation

Brisbane developer Red &amp; Co's decision to include dual key apartments in its debut Gold Coast apartment development, <a href="https://www.apartments.com.au/new-apartments/como-varsity-lakes-22-lake-street-varsity-lakes-qld-4227">COMO Varsity Lakes</a>, is proving to be one of the project's biggest drawcards, with buyers quickly snapping up the flexible residences.

More than half of the project's 36 dual key apartments have already sold, helping drive COMO beyond the 50 per cent sold mark within the first month of launch.

The strong response highlights growing demand for apartment designs that can adapt to changing lifestyles, with buyers increasingly looking for homes that accommodate multi-generational living, provide rental income opportunities or simply offer greater flexibility over time.

Located on the shores of Lake Orr, COMO will deliver 156 apartments across 16 levels, with the dual-key residences forming a limited release within the broader development.

Each combines a primary two-bedroom apartment with a fully self-contained studio on a single title, connected by a shared foyer and lockable internal door. The design allows owners to house ageing parents, adult children or guests while maintaining privacy, or lease the secondary residence to generate additional income.

Just 17 of the original 36 dual key apartments remain available.

[smartcode_project:default project_id=135546 project_image_fid=367096]

The innovative configuration combines two fully self-contained residences on a single title, typically comprising a primary two-bedroom apartment alongside a separate studio residence, connected via a shared foyer and lockable internal door.&nbsp;

The model is proving particularly attractive to owner occupiers navigating changing family dynamics and the realities of the current housing crisis.&nbsp;

[smartcode_project:default project_id=135546 project_image_fid=363511]

<a href="https://www.apartments.com.au/project-marketer/npa">NPA</a>&nbsp;CEO Andrew Erwin said dual key living was resonating strongly with modern buyers because it delivered both financial flexibility and practical lifestyle benefits.&nbsp;

“The housing crisis and rising cost of living are fundamentally changing how Australians think about home ownership,” Erwin said.&nbsp;

“Dual key apartments provide a genuine solution for families who want to stay connected while maintaining independence. Parents can help adult children save for a future home, ageing parents can remain nearby without moving into aged care, and owners still retain privacy and flexibility.

“Importantly, buyers are also recognising the financial advantages. It creates the opportunity to generate additional income from part of the home without the holding costs associated with owning a separate investment property.”&nbsp;

[smartcode_project:default project_id=135546 project_image_fid=363509]

Unlike traditional dual occupancy arrangements, the residences operate under a single title, meaning owners only incur one set of body corporate fees, council rates and holding costs.&nbsp;

The secondary residence can also evolve over time - functioning as guest accommodation, a home office, creative studio or private retreat before later becoming an income-producing asset.

<a href="https://www.apartments.com.au/developers/red-co">Red &amp; Co</a>&nbsp;Director and Co-Founder David Laverty said the strong early sales reflected growing buyer urgency and changing priorities within the market.&nbsp;

“Securing more than half of COMO’s residences within such a short timeframe is an outstanding result and a clear endorsement of both the design and location,” Laverty said.&nbsp;

“Buyers are responding to the combination of location, connectivity and amenity, but ultimately it’s value relative to other East Coast markets that is driving enquiry.”&nbsp;

“We’re also seeing strong interest from owner occupiers looking for homes that can adapt with them over time. Flexibility has become one of the most important considerations for buyers in today’s market.”&nbsp;

[smartcode_project:default project_id=135546 project_image_fid=363515]

Designed by <a href="https://www.apartments.com.au/architects/bda-architecture">BDA Architecture</a>, COMO features a mix of one-, two- and three-bedroom residences with 2.7-metre ceilings and larger-format floorplans aimed at owner occupiers, downsizers and lifestyle-focused buyers.&nbsp;

The development will feature an extensive rooftop recreation and wellness offering including a 25-metre lap pool, sundeck, barbecue and dining areas, gym, sauna, plunge baths, landscaped gardens, wellness spaces and rooftop pickleball and paddleball courts.

The remaining dual key apartments range from 137 sqm to 167 sqm and include generous three-bedroom layouts with separate self-contained studio accommodation and dual parking.&nbsp;

Erwin said the dual key concept represented a broader shift in how Australians would live in the future.

“People want homes that can evolve with their lives,” he said.&nbsp;

“A dual key apartment can suit a family today, support an ageing parent tomorrow, and potentially generate income later on. That adaptability is becoming incredibly valuable in the current environment.”

Prices currently range from $2,115,750 to $2,583,000.&nbsp;

[smartcode_project_cta:default project_id=135546]

Inter-generational living drives demand for COMO’s dual key apartments as housing pressures reshape buyer priorities 

Builder-developer&nbsp;<a href="https://www.apartments.com.au/developers/ceerose">Ceerose</a> has doubled down on its Leichhardt ambitions, lodging its second State Significant Development Application (SSDA) in the suburb in the last six months.

Their newest proposal seeks to transform a former industrial precinct into a new residential community centred around the adaptive reuse of one of the site's heritage warehouse buildings.

The new project, on a 6,930 sqm block at&nbsp;<a href="https://www.apartments.com.au/new-apartments/40-76-william-street-leichhardt-nsw-2040">40–76 William Street</a>, will bring more than 200 apartments to a suburb that has seen little to no new supply in recent years. It follows Ceerose's late 2025 SSDA for a mixed-use apartment project on nearby Parramatta Road, signalling the developer's growing investment in Sydney's Inner West.

Ceerose Founder Edward Doueihi told Apartments.com.au the developer’s long-standing presence in Leichhardt and the Inner West had given it a strong understanding of how the area has evolved and where its future opportunities lie.

“Ceerose has had a long-standing presence in Leichhardt and the Inner West, giving us a unique understanding of the area’s evolution and future potential,” Doueihi said.

“Having delivered projects throughout the region, we have witnessed the suburb’s transformation first-hand and understand the opportunities for its continued growth.”

Doueihi said that understanding also informed the planning process, with a comprehensive Stakeholder Engagement Outcomes Report prepared before the application was lodged.

The report identified the key issues and concerns raised by neighbouring residents and other stakeholders, allowing those matters to be considered and incorporated into the design where appropriate.

He said the delivery of additional housing would also play an important role in supporting the revitalisation of Norton Street and the Italian Forum.

“By increasing the local residential population, the development is expected to strengthen demand for local businesses, encourage further investment, and help restore the vibrancy that made the precinct a thriving destination in the early 2000s.”

<img alt="First look: Ceerose returns to Leichhardt with 203-apartment adaptive reuse proposal at former warehouse site" data-entity-type="file" data-entity-uuid="7258c54c-8167-479e-8361-2d5fca9915b4" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Appendix%2010B%20-%20CGI%20-%20View%202.jpg?VersionId=S9DQfxu_jpcB5LrAEYFUbyMzg5odW6i5" />

Designed by <a href="https://www.apartments.com.au/architects/woods-bagot">Woods Bagot</a>, the redevelopment would involve the demolition of four existing industrial buildings while retaining and adaptively reusing the site's most significant warehouse. The retained structure would anchor a new residential precinct comprising five interconnected buildings arranged around a large central landscaped courtyard, with heights stepping from five storeys along the surrounding residential streets to 11 storeys at the William Street corner.

According to the Architecture Design Report by Woods Bagot, the proposal "seeks to create a residential village centred around a generous green heart while celebrating the site's industrial heritage through the adaptive reuse of the existing warehouse building."

The development would comprise 203 apartments, with 188 proposed as build-to-sell residences, alongside 15 affordable housing apartments.

Rather than treating the retained warehouse as a standalone heritage object, Woods Bagot has sought to weave the site's industrial history throughout the masterplan. The proposal retains the north and west facades of the landmark corner warehouse, while new buildings reinterpret the site's brick-and-steel industrial language through their material palette and architectural expression.

<img alt="First look: Ceerose returns to Leichhardt with 203-apartment adaptive reuse proposal at former warehouse site" data-entity-type="file" data-entity-uuid="9e8c64c2-881b-49e1-8c90-6b6acaaa45b6" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Appendix%2010C%20-%20CGI%20-%20View%203.jpg?VersionId=Qm8_8H_Xrg_sc4Mdjc59vlAcKF_5wRTb" />

The design is organised around what Woods Bagot describes as a "green heart", a landscaped communal open space that reinstates the leafy character removed when the site became an industrial storage facility. A new pedestrian laneway running through the site would improve permeability between William, North and Francis streets, linking residents through landscaped public spaces while activating the ground plane.

Residents would have access to communal gardens and shared recreation areas distributed throughout the development. Sustainability has also been prioritised, with the project targeting an average 7.9-star NatHERS rating. Proposed initiatives include rooftop solar generation, rainwater harvesting, passive solar design, naturally ventilated lobbies, extensive cross-ventilation and the reuse of existing building fabric to reduce embodied carbon.

The adaptive reuse strategy became a defining feature of the application after heritage investigations found only one of the site's industrial buildings could feasibly be retained. The Heritage Impact Statement concludes that preserving the key warehouse façades while referencing the site's industrial character throughout the new development provides an appropriate balance between renewal and conservation.

<img alt="First look: Ceerose returns to Leichhardt with 203-apartment adaptive reuse proposal at former warehouse site" data-entity-type="file" data-entity-uuid="efffafdb-594f-4e2b-a067-921fd51c05e1" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Appendix%2010D%20-%20CGI%20-%20View%204.jpg?VersionId=DPmE4.k16YRt0i27hEZVtJAffarpvUfx" />

"Retention and adaptation of the site buildings has been explored but found not to be feasible except for the tallest building, whose street facades will be retained," the heritage report states.

"The proposed building will interpret the brick and steel character of the subject site, including reuse of some components and construction of a large 'sawtooth' structure in the proposed open space."

<img alt="First look: Ceerose returns to Leichhardt with 203-apartment adaptive reuse proposal at former warehouse site" data-entity-type="file" data-entity-uuid="3bfef2b5-83f5-40cd-9cab-767092f34266" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Appendix%2010E%20-%20CGI%20-%20View%205.jpg?VersionId=7asb3i_ql4ybbuJOUb5UHBEIy0Q9t.DF" />

The William Street site is located around 300 metres from Leichhardt North Light Rail station and a short walk to Norton Street's retail, dining and hospitality precinct. The surrounding area has increasingly become a focus for urban renewal given its proximity to public transport and the Parramatta Road corridor.

Doueihi founded Ceerose in 1998 and has grown the business to become one of Sydney's more active apartment developers in recent years, with completed projects including The Alex Collective in Alexandria, Abbie's Lane in Annandale, and the award-winning Munro House in Elizabeth Bay. They are currently delivering Belgravia, 17 luxury apartments in Potts Point.

First look: Ceerose doubles down in Leichhardt with adaptive reuse of former warehouse site

Property News

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The average holiday rental property is rented for an average weekly rate of $1,143 for 23 weeks a year, according to a new report from a holiday rental website.
The <a href="https://www.stayz.com.au/" target="_blank">Stayz</a> report says the average traveller takes two to three domestic holidays a year for an average of five nights at a time, with 53% of holiday makers traveling with their family.
According to Stayz marketing director David Dunstan, travelers may have used caravan parks or motels in the past, but are increasingly turning to holiday homes for accommodation.
“This is reaping rewards for property managers or private owners," said Dunstan.
"The average holiday home is netting over $1,000 a week with an average occupancy rate of 23 weeks per year. That’s not a bad return on investment!” 
But according to Dunstan, fewer than half of holiday rental owners generate profits after maintenance and mortgage expenses. However, he does predict further growth for the sector. 
Travelers tend to plan well in advance, a habit rental property owners should take into consideration, commented Dunstan.
“Stayz sees enquiries for summer holidays spike in July and August so property owners and managers need to make sure their holiday rentals are listed as early as six months in advance of peak season to make sure they capitalise on that.
“Word-of-mouth recommendations and personal experience are also important to building trust and we know that once people have a good experience, they are likely to return to the same property again in the future – sometimes multiple times.” 
Dunstan said that some locations were more popular than others on the website, with a strong preference for beachside holidays.
“We have a reputation for being sun-lovers and our bookings bear that out,” he said.  
“Beach breaks are by far still the most popular holiday option for Australian travellers with floods of visitors descending on coastal towns like Surfers Paradise, Port Douglas, Terrigal, Lorne and Fremantle every year to enjoy the sun, sand and surf.” 
The Stayz website sees about 14 million visitors each year.
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jrichardson-uRX5hFdKfN

Average holiday home occupied for 23 weeks a year: Stayz

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A five bedroom, four bathroom house at Yowie Bay topped RP Data's list of sales this week, selling through McGrath Estate Agents for $3,425,000. 
Only one Queensland home made it on this week's 10 most expensive sales list, according to RP Data.
The Noosa Springs home sold for $2.85 million, coming in at fourth place. All the other properties on the list were from New South Wales or Victoria.
The 10 most expensive sales of this week:
<ol>
<li>
<a href="https://www.realestate.com.au/property-house-nsw-yowie+bay-116811735" target="_blank">220c Attunga Road, Yowie Bay, NSW </a> <img src="/images/2014/08/05/1%20copy.jpg" alt=""> The contemporary waterfront home, set on a 3,329 square metre block, features a one bedroom retreat with a sound studio, living spaces that spill out onto an infinity pool and balconies with views over Yowie Bay and an entertaining terrace. 
</li>
<li>
<a href="https://www.realestate.com.au/property-house-vic-albert+park-117203651" target="_blank">61 Merton Street, Albert Park, Vic </a> <img src="/images/2014/08/05/2.jpg" alt=""> An Albert Park terrace house was sold for $3,235,000 through Cayzer Real Estate last week. The five bedroom, two bathroom Victorian terrace has undergone a renovation, with a three room fully fitted studio, two car garage, pool and sauna at the rear. 
</li>
<li>
<a href="https://www.realestate.com.au/property-house-nsw-cabarita-117429755" target="_blank">36 Dorking Road, Cabarita, NSW </a> <img src="/images/2014/08/05/3.jpg" alt=""> Raine and Horne Concord sold this four bedroom, four bathroom house for $2.85 million. Set on a 1,100 square metre block, the main residence has multiple formal and informal open plan living areas with timber beech floors. The bedrooms include a master suite with 180 degree water views, a walk in robe and en suite with double shower. Behind the main house, there is an undercover entertaining terrace, a spa, sauna and steamroom, a saltwater pool and a fully fitted outdoor kitchen and bar. 
</li>
<li>
<a href="https://www.realestate.com.au/property-house-qld-noosa+springs-115499511" target="_blank">517/61 Noosa Springs Drive, Noosa Springs, Qld</a> <img src="/images/2014/08/05/nossa-spring-aug-5-one.jpg" alt=""> A house in Noosa Springs sold for $2.85 million through ONE Noosa Sunshine Coast. The only Queensland property to make the top 10 list this week, the lakefront house has four bedrooms and four bathrooms, with a multiple living areas including a main living room with six metre high ceilings. The north facing home on a 1,239 square metre plot offers views over the Noosa Springs Championship Golf Course and includes a substantial outdoor entertaining area, with a pool bordered by palm trees. 
</li>
<li>
<a href="https://www.andrewblake.com.au/1P0847" target="_blank">9 Hansford Parade, Bilgola Plateau, NSW </a> <img src="/images/2014/08/05/5.jpg" alt=""> Sold through Andrew Blake Real Estate Avalon, this Bilgola Plateau offering secured $2.7 million for the vendors. The colonial style home has four bedrooms and four bathrooms, including a master suite with its own private deck and an outdoor shower. Sitting on a 910 square metre parcel, the home has waterfront views, with an pool that sits in a hardwood deck which spans the property's entire width. 
</li>
<li>
<a href="https://www.realestate.com.au/property-house-vic-wheelers+hill-117311915" target="_blank">23 Winterton Drive, Wheelers Hill, Vic </a> <img src="/images/2014/08/05/6.jpg" alt=""> Located a half hour's drive from the Melbourne CBD, this six bedroom house was sold for $2.66 million through Harcourts Judd White. The three level Wheelers Hill home has a five bedroom garage in its basement, a games room, a gym and storage. On the ground floor, there is a guest bedroom and multiple living areas which open onto an elevated rear garden and paved entertaining area. Upstairs, there are four more bedrooms and a study or retreat. 
</li>
<li>
<a href="https://www.realestate.com.au/property-house-vic-balwyn+north-117517559" target="_blank">51 Sutton Street, Balwyn North, Vic </a> <img src="/images/2014/08/05/7.jpg" alt=""> This five bedroom, four bathroom house was sold for $2.43 million through Hocking Stuart Glen Iris. The listing information states that the home is "enhanced with a sense of Feng Shui", and notes the home's location in the Balwyn High school zone. The house has both formal and casual living areas, and city views from the front balcony. There is also a garden studio with separate entry on the 820 square metre plot. 
</li>
<li>
<a href="https://www.realestate.com.au/property-house-nsw-pymble-117477487" target="_blank">70 Pymble Avenue, Pymble, NSW</a> <img src="/images/2014/08/05/8.jpg" alt=""> A restored art deco home in Pymble sold for $2.3 million through Chadwick Real Estate Turramurra. The five bedroom, two bathroom double brick home includes a foyer with a cathedral window and limestone washed floors. Outside, there is a solar heated pool and outdoor entertaining area. 
</li>
<li>
<a href="https://www.realestate.com.au/property-house-nsw-wahroonga-117468291" target="_blank">123 Boundary Road, Wahroonga, NSW </a> <img src="/images/2014/08/05/9.jpg" alt=""> This north shore home was sold by Keith Soames Real Estate Wahroonga for $2,238,000. The full brick residence has five double bedrooms with built in robes, with a master bedroom which features an en suite with a sunken spa. The north facing home is set on a 1,486 square metre block, with the listing information noting that the property is near to Knox Grammar, Loreto, Abbotsleigh Girls, Barker College and The Bush School. Outside, there is a north/south facing tennis court and a swimming pool. 
</li>
<li>
<a href="https://www.realestate.com.au/property-house-vic-hawthorn+east-117421719" target="_blank">1a Wiseman Street, Hawthorn East, Vic </a> <img src="/images/2014/08/05/10.jpg" alt=""> A four bedroom, three bathroom house in Melbourne's Hawthorn East sold for $2,156,000 through Jellis Craig Hawthorn. Widford Mews was built in 1883 as the stables and coach house for a neighbouring mansion. Now, it exists as a four bedroom, three bathroom home, with north facing gardens on a 708 square metre block. It is within the Auburn Primary School district and close to many of Melbourne's private schools.</li>
</ol>
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Yowie Bay waterfront tops the 10 most expensive sales of the week: RP Data

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Divergent trends are apparent in the housing market of late, with investors continuing to show momentum, while credit to owner-occupiers has consolidated since the end of last year.
Andrew Hanlan, the Westpac senior economist was commenting after investment property loan growth accelerated sharply last month, at the fastest year-on-year growth since the first quarter of 2008.
<img src="/images/2014/08/01/wp-aug-1-one.gif" alt="">
The surge in investment loan lending to pre-GFC levels saw loans to investors in June jump 0.9%, according to Reserve Bank of Australia data published Thursday.
Annual investment loan growth has now hit 8.7%.
<img src="/images/2014/08/01/wp-aug-1-two.gif" alt="">
Loans to households – including owner-occupiers – rose by a more modest 0.6%, taking the annual gain to 6.4%.
"Notably, low and falling interest rates in 2013 triggered a sharp lift in new lending for housing," Andrew Hanlan noted.
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jchancellor-FAypfDUnLy

Investor property loan growth back to pre-GFC levels: RBA

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I like to take a helicopter view; a wider lens often shows the truer picture.
I find myself taking this stance more often – actually saying something like, “let’s take a step back for a second and take in the broader view” – the older I get.
And the Monocle Magazine has done just that.
Monocle has just issued its eighth annual Quality of Life Survey of the top 25 cities in the world and three Australian cities have made the cut.
Firstly, Monocle is well worth a read. The July/August issue is their 75th. Go to <a href="https://www.monocle.com/" target="_blank">www.monocle.com</a> to find out more. Their app is also worth downloading – fantastic podcasts about urban issues, among other things.
Ranking
According to Monocle the best cities in the world fall in this order:
<ol>
<li>Copenhagen</li>
<li>Tokyo</li>
<li>Melbourne</li>
<li>Stockholm</li>
<li>Helsinki</li>
<li>Vienna</li>
<li>Zurich</li>
<li>Munich</li>
<li>Kyoto</li>
<li>Fukuoka</li>
<li>Sydney</li>
<li>Auckland</li>
<li>Hong Kong</li>
<li>Berlin</li>
<li>Vancouver</li>
<li>Singapore</li>
<li>Madrid</li>
<li>Paris</li>
<li>Amsterdam</li>
<li>Hamburg</li>
<li>Barcelona</li>
<li>Lisbon</li>
<li>Portland, Oregon</li>
<li>Oslo</li>
<li>Brisbane</li>
</ol>
The Monocle survey seeks to measure the quality of cities in terms of the intangibles that light up their communities, as well as the infrastructure that supports them.
Important criteria include safety/crime; climate, medical care, public transport, tolerance, urban design, architecture, government policy, business conditions, and access to nature.
What they think about us
Melbourne
This year it is ranked third; last year second.  Melbourne has proved, says Monocle, that coffee and cricket aren’t the only things it does well.  Public transport upgrades, low crime, plus a compelling new weekend paper help to explain why the city has retained its top three ranking.
Melbourne’s cultural credentials are second to none – and the success of ‘Melbourne Now” – the largest exhibition in the history of the National Gallery of Victoria, has cemented the city as an art capital.
And it is home to a number of brands that have made Melbourne their first port of call in Australia.  As Monocle concludes: "Sydney may have the Harbour Bridge, but it still doesn’t have a Muji."
Sydney  
This year it ranked 11th; last year ninth.  Let’s face it, for many, Sydney is Australia.  It is the world’s most popular destination for international students.  Monocle calls it Australia’s face to the world – pretty, and architecturally outstanding, with breakthroughs like the North Bondi Surf Life Saving Club and One Central Park.
Downfall – public transport servicing Sydney’s suburbs.  Upside around the harbour – the $2 billion in planned infrastructure spending and ambitious vertical garden strategy that has already yielded 96,000 square metres of greenery.  
Brisbane 
This year it ranked 25th; last year, not ranked.  Here’s what Monocle has to say about the Sunshine City:
This year, Australia’s third-largest city steps out from behind the shadows of Melbourne and Sydney and into the spotlight, playing host to the G20 Leaders Summit.
Delegates will find a sun-drenched destination with a flourishing start-up scene; fine subtropical climate; and leafy parks which boast 906 council-operated barbeques.
The good stuff:  low cost of living compared to other Australian cities; a spacious inner city, which leads to an ease of doing business; an encouraging business environment; interesting cafes and thriving restaurants.
Downfall – Brisbane’s violent binge-drinking culture and the strict policing that comes with it.
What would Monocle fix?
<ul>
<li>
Melbourne: the state premier’s promise of a rail link to the airport should come sooner rather than later.
</li>
<li>
Sydney: pick up the pace on the long-awaited second airport.
</li>
<li>
Brisbane: create a livelier city centre similar to Melbourne, as it is pretty unexciting outside of business hours.
</li>
</ul>
Tolerance – around half of those Brisbane residents recently surveyed admitted to being anti-Muslim; while a quarter had anti-Aboriginal concerns.  Yet, the city is hugely multicultural, with a third Brisbane residents having been born overseas.
Public transport – an efficient network, but expensive.
IsBrisbane a libertarian paradise or stickler for rules?  Bit of a stickler, reports Monocle.
So what do others think?
Auspoll in Australia has also developed a subjective measure of city liveability for its MY City survey conducted for the Property Council of Australia last year.
A sample of residents from 11 different cities are surveyed on 17 attributes about liveability in their cities and their responses are combined into an overall liveability score.
My City Liveability Index
The latest My City study results are charted below.
<a href="https://matusikmissive.com.au/wp-content/uploads/2014/07/PCA-liveability-index.jpg"><img class="alignnone size-full wp-image-7511" src="https://matusikmissive.com.au/wp-content/uploads/2014/07/PCA-liveability-index.jpg" alt="PCA liveability index"></a>
Adelaide has consistently been rated the most liveable city, closely followed by Canberra.
Both Hobart and Newcastle ranked higher in 2012 than 2011 (third and fourth place), while Perth and Melbourne fell slightly in the rankings.  Sydney and Darwin were ranked as the least liveable cities.
Brisbane falls somewhere in the middle of the pack.
The most important of the 17 attributes that make up the liveability index were:
<ul>
<li>safety – a safe place for people and their property</li>
<li>cost of living – affordable for a good standard of living</li>
<li>health – good health care services</li>
<li>employment – good employment and economic opportunities</li>
<li>quality of the environment – clean city, well maintained and unpolluted 
</li>
</ul>
What do we think?
Well firstly, beauty is in the eye of the beholder.  What looks crappy to some is fantastic to others.
I have just been to several of the cities that the My City survey suggests are Australia’s most liveable and well, let me say….. I don’t get it.
But we agree with the My City results in that safety; cost of living; health; employment and quality of the environment are the most important aspects behind an area’s liveability.  And I dare say, a property market’s overall performance.
Too much commentary, and we are very guilty of this too, is about economic things; new infrastructure and the hard elements like transport systems.  It is very often the soft stuff that matters the most.
Also, it interesting to see how others have pigeon-holed us.
When it comes to Monocle and Brisbane, we don’t disagree – and particularly in view of the need to attract residents to the plethora of inner city apartment towers slated for Brisbane.
While there is a trend both in Australia and overseas to accept less private dwelling space in order live in a better location or place, the higher the density, the better the local amenity needs to be.
Or, as I often say – “density needs to be offset”.
The concept of trading “space for place” is incumbent upon an area being attractive and with a high degree of amenity and lifestyle offerings.
It is what Brisbane needs more of, and it’s a concept upon which our decision-makers and planners should focus.
Visit Michael's <a href="https://www.matusik.com.au/" target="_blank">website</a>, read <a href="https://www.matusikmissive.com.au/" target="_blank" rel="nofollow">his blog</a>, follow him on <a href="https://www.facebook.com/ThinkMatusik?fref=ts" target="_blank" rel="nofollow">Facebook</a> and <a href="https://www.twitter.com/michaelmatusik" target="_blank" rel="nofollow">Twitter</a>, or connect via <a href="https://www.linkedin.com/in/michaelmatusik" rel="nofollow">LinkedIn</a>.
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michaelmatusik-49YzLvdmNv

Australia has three of the world's "most liveable" cities: What does this really say about us?

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It’s commonly said that property buyers, particularly those in Gen Y, are not keen to compromise on their lifestyle.
However, if you wanted to get your foot into the property market what would you be willing to sacrifice?
The recently released realestate.com.au Housing Affordability Sentiment Index (HASI) conducted by independent research company Research Ink, asked broadly what home buyers would be willing to sacrifice in order to afford a property.
They found that 65% would be willing to sacrifice a pool, consistent with previous years.
Meanwhile, 44% would not be willing to buy/build further than 10 kilometres from their selected ideal locality. Fascinatingly, investors were more likely to consider purchasing 50 kilometres or farther from their ideal investment location.
One in two of Gen Y respondents were willing to increase their debt level to achieve their desired standard of living.
Over a quarter of current/previous property owners surveyed received financial assistance for their first property, with the majority of the help coming from their parents.
{module What features of your ideal home would you be willing to sacrifice?}
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jduke-EHk3XBmHkn

What would you be willing to sacrifice to afford your next home?

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For those who think houses will always outperform units, this week’s top 10 most expensive sales might offer some food for thought.
It was a three bedroom unit that took out the top sale in the country this week, clearing the second most expensive home, a four bedroom house, by almost $4 million.
These are the 10 biggest sales of the week, from RP Data.
<ol>
<li>
<a href="https://www.propertyobserver.com.au/https://www.myrp.com.au/property/2/3_loftus_road_darling_point_nsw_2027/16165997">2/3 Loftus Road, Darling Point, NSW</a>
<img src="/images/2014/07/29/1.jpg" alt=""> This three bedroom unit sold for $6.4 million through 1st City Hasemer and Caldwell.Eyes and LJ Hooker Double Bay. The full floor, 326 square metre, residence in The Bower was designed by JPRA and Collins Vanguard.
The luxury apartment has an en suite for each bedroom, a family room that extends to a wrap around terrace and 21 metre frontage to the harbour. 
</li>
<li>
<a href="https://www.propertyobserver.com.au/https://www.myrp.com.au/property/4_roslyn_street_brighton_vic_3186/10020852">4 Roslyn Street, Brighton, VIC</a>
<img src="/images/2014/07/29/brighton-july-29-one.jpg" alt=""> This four bedroom house in the Melbourne bayside suburb of Brighton sold for $2.475 at auction through Nick Johnstone Real Estate Brighton. The contemporary two storey home has three bathrooms and a powder room and three living spaces. Outside, there is a solar heated pool and spa. The vendors purchased the house for $1.58 million just last year.
</li>
<li>
 <a href="https://www.propertyobserver.com.au/https://www.myrp.com.au/property/23_beaufort_street_croydon_park_nsw_2133/2031134" style="line-height: 1.3em;">23 Beaufort Street, Croydon Park, NSW, 2133</a>
<img src="/images/2014/07/29/3.jpg" alt=""> 
In Croydon, a five bedroom house was sold for $2.19 million by Elders Inner West Enfield. The full brick home has a formal living and dining area with a curved glass wall, a casual meals and family room and a lift servicing all three levels of the house. It sits on a 614 square metre corner plot.
The vendors purchased the home for $1,275,000 less than a year ago. 
</li>
<li>
<a href="https://www.propertyobserver.com.au/https://www.myrp.com.au/property/28_sevenoaks_street_balwyn_vic_3103/9568809">28 Sevenoaks Street, Balwyn, VIC</a>
 <img src="/images/2014/07/29/4.jpg" alt="">
Another five-bedroom house, Balwyn offering secured $2.16 million for the vendor through Bekdon Richardson and Hawthorn. In a prime school district, the house sits on a 797 square metre block. The house has multiple living spaces, including a formal living and dining room and open plan family areas, with a sandstone wrap around terrace and a glass enclosed pool and spa with its own private bathroom. The house was purchased by the vendors in April 2006 for $1.73 million.
</li>
<li>
<a href="https://www.propertyobserver.com.au/https://www.myrp.com.au/property/18_tutus_street_balgowlah_heights_nsw_2093/1231539">18 Tutus Street, Balgowlah Heights, NSW</a>
<img src="/images/2014/07/29/5.jpg" alt="">
Sold on July 23 by Richardson &amp; Wrench Seaforth, this three bedroom house secured for $2.1 million. Adjoining a bush reserve, the house is set on a 701 square metre “gently undulating” plot with a North Easterly aspect. The house is a few minutes’ walk from Forty Baskets Beach. The house has been held by the same vendors for 23 years – they purchased it for just $262,500 in 1991.
</li>
<li>
<a href="https://www.propertyobserver.com.au/https://www.myrp.com.au/property/38a_crescent_road_mona_vale_nsw_2103/4381359">38A Crescent Road, Mona Vale, NSW, 2103</a>
<img src="/images/2014/07/29/6.jpg" alt="">
This five-bedroom house was sold at auction on July 24 by L J Hooker Avalon for $2,095,000. Overlooking Pittwater, the house has interconnected living spaces around a central outdoor terrace and a pool. Despite making the top 10 list, the vendors made a loss on the sale – they bought 38A Crescent Road for $2.2 million in 2007.
</li>
<li>
<a href="https://www.propertyobserver.com.au/https://www.myrp.com.au/property/1_francis_street_naremburn_nsw_2065/4728487">1 Francis Street, Naremburn, NSW, 2065</a>
 <img src="/images/2014/07/29/7.jpg" alt="">
McGrath Real Estate Agents sold this four bedroom, three bathroom house for $2,053,000. A few minutes away from St Leonards Railway Station, the single level home sits on a 727 square metre block. It has floorboards through the living areas which transition to a north-east facing deck. The vendors purchased the house five years ago, for $1.73 million.
</li>
<li>
<a href="https://www.propertyobserver.com.au/https://www.myrp.com.au/property/116_fifth_avenue_windsor_qld_4030/8251326">116 Fifth Avenue, Windsor, QLD</a>
 <img src="/images/2014/07/29/8.jpg" alt="">
The only Queensland home to make the top 10 list this week, this house secured $2,005,000 when auctioned by Ray White Alderly. The four bedroom Queenslander has high cathedral ceilings and polished floorboards throughout. The property also features a salt water pool and three 3,000 litre water tanks on its 1,045 square metre plot. It was bought by the sellers for $1.14 million in November 2005.
</li>
<li>
<a href="https://www.propertyobserver.com.au/https://www.myrp.com.au/property/1/3_drummoyne_avenue_drummoyne_nsw_2047/2124490">1/3 Drummoyne Avenue, Drummoyne, NSW</a>
<img src="/images/2014/07/29/9.jpg" alt="">
The second unit on this week’s list, this three bedroom Drummoyne offering sold for $2 million through Patterson Rizzo Biviano. The renovated townhouse has panoramic water views from its large entertaining terrace. The complex comes waterfront gardens, a pool and pontoon. The vendors purchased the townhouse for $1,515,000 in 2007.
</li>
<li>
<a href="https://www.propertyobserver.com.au/https://www.myrp.com.au/property/17_castle_street_randwick_nsw_2031/5744260">17 Castle Street, Randwick, NSW</a>
 <img src="/images/2014/07/29/10.jpg" alt="">
This two storey four bedroom house sold through Phillips Pantzer Donnelley for $2 million. Close to Centennial and Queens Park, the modern home has a northerly aspect, a swimming pool and secure parking. All the bedrooms are on a single level, freeing up the other floor for living spaces. The home also has a saltwater plunge pool.
The sellers made a loss on this house. It was bought for $2.15 million in 2009.
</li>
</ol>
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Darling Point unit takes top place in the 10 most expensive sales of the week: RP Data 

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Developers need to challenge resistance to their planning proposals and encourage community collaboration with projects to address the housing shortage in Australia, the head of a major land development company has said.
Planning processes had moved from being administrative, objective and evidence-based to a situation where agreements were brokered between stakeholders, Investa Land chief executive Cameron Holt told delegates at the 2014 HIA Building Better Cities Summit in Sydney last week.
“The development industry and housing industry needs to push back to objective and evidence-based research,” Holt said.
He cited ANZ and Australian Bureau of Statistics data that suggested there was a looming shortage of around 350,000 dwellings a year in Australia.
In some regions the community accepted there was a need for more housing but in other areas there was strong opposition to extra development, which led to missed opportunities to ease the supply shortage.
Holt said housing developers had a tendency to give in to stakeholder pressure and make concessions with their projects because of the need to quickly deploy capital.
“The cost of capital is burning a hole in their pockets,” he said.
Rather than a combative or deal-brokering approach, greater collaboration between developers, local councils and the community was needed to deliver better development outcomes, he said.
“We can work together and work collaboratively to address the common goal of addressing the housing shortage in Australia.”
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zfielding-GvX3Uq9KTa

Development company chief calls for greater community collaboration to meet housing shortfall

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A short drive out of the city are a number of apartment blocks, just a few years old, that Property Observer recently visited.
The apartment blocks are investor dominated, rumours say by mainly offshore buyers and were built to attract high-paying investor clients – some around the $800,000 to $1 million plus mark.
Despite these price tags, however, the buildings are crumbling.<a href="https://www.just-think.com.au/%20" target="_blank"> Just Think Real Estate</a>’s Edwin Almeida was shocked with the state the properties were in when he received a management from an offshore landlord.
Waterproofing issues, render coming away, broken lights and potentially compromised electrical work were just some of the issues he noticed in his first visit to the apartment block.
“Most of these property investors have never attended the property nor seen it, other than on glossy brochures and via the internet photos,” said Almeida.
“Sydney has made headlines as being the gateway into making the booming property market, a sure way to double your money and be in a safe political haven at that.”
When Property Observer visited, the issues were numerous and hugely visible. Readers are asked to remember that this apartment block is about four years old, and that achievable market rent on individual two-bedroom apartments was initially around $690 to $720 per week, despite some agencies asking for much less than this. Now, they're sitting around $620 plus per week.
Almeida explains that it was initially bought by an investor for $550,000 off the plan five years ago. Similar apartments in the area are now selling for $840,000 off the plan. Initially, the apartment was appraised at $720,000, however offers are not even being made at $680,000 due to the strata report detailing the issues in the apartment block. Almeida expects this will see the re-sale value drop to $650,000, which will affect comparables for new apartments in the area.
The one we visited originally cost $550,000 off the plan but this was five years ago. Like apartments are now selling for $840,000 off the plan.
In the bathroom of one apartment in the complex, the ceiling had previously collapsed (see photos below).
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2014/07/28/cracks-july-28-one.jpg" alt="">
It's worth noting that while the tenant complained about this, the previous property manager did not fix the problem until the tenant stopped paying rent and the management was passed on.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2014/07/28/cracks-july-28-two.jpg" alt="">
Now in the bathroom, with the ceiling fixed for sale, the floor is starting to show signs of damage (see below).
This is a sign of compromised waterproofing, where the water pushes through from the shower towards the door - and brings sediment along with it. The metal rim that has been moved here, when you try to move it yourself, is solid - and quite incredible that leaking could have caused it to move away from the tiles.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2014/07/28/cracks-july-28-three.jpg" alt="">
Internally, cracks can also be seen appearing.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2014/07/28/cracks-july-28-four.jpg" alt="">
Outside the building, the issues were also obvious. Cracks and marks in the render had begun to appear - signs of movement and water leakage from the walls inside - and in some cases the render was coming right off the wall.
Heading to the basement car park, somewhere investors are urged to look at whenever considering buying an apartment block, the dampness is overwhelming. There are puddles, and there hasn't been rain for a couple of days. In fact, it's clear that it has been wet for a long time - the cement is coming away to the touch (see below) and the dipping is causing signs of rust.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2014/07/28/cracks-july-28-nine.jpg" alt="">
Article continues on the next page. Please click below.
<hr class="system-pagebreak">
Almeida said that there are hidden liaisons between the real estate agencies and the developers that are a recipe for these ‘million dollar ghettos’.
To explain this, he draws a diagram before taking Property Observer to the apartment block.
In the centre, he draws a circle, which he calls the “developer”. He then draws a line out from this circle to the selling agent, to whom a commission is paid. Another line is drawn to the property management team, who offer the development with a 12 to 18 month rental guarantee – often insuring the investor will stay with them. He then draws a third line out to the strata management team.
Then he circles these three. They’re all from the one real estate agency, and this, says Almeida, is the ‘dangerous liaison’ making it possible.
“All such parties more than likely are a part of the same office,” he explains.
“Coupled with this, is the office relationship with the developers themselves. These are relationships that have created an underlying weakness in what I believe to be the catalyst that will inevitably crack the dam, and usher in the property bubble burst,” he says.
The selling
In his opinion is that the resales and valuations when the property purchases are funded by the local banks will see those who bought the new properties outright lose huge amounts of money.
He warns that for investors who do not visit the property post-purchase, who, in fact, buy sight unseen, are at danger in these situations.
He also warns that Home Owners Warranty Insurance is not in place when the complex is four levels and higher, and that he has still heard selling agents incorrectly tell buyers that their apartment will have their insurance for seven years.
The property management
After purchase, he says that the same agency then rents the apartments out. He warns that in some situations the properties are overcrowded and the tenants are not correctly screened – something he seems regularly when he takes over the management.
“Periodic inspections are next to non-existent,” he explains, saying that tenants have confirmed to him that the property manager has not seen the apartment since they moved in.
Bad management, and a lack of notice of any defects in the units – which would normally be fixed by the developer within 30 days if the investor claims – affect the maintenance of the property. The investor, after this time, will then have to bear the cost.
The strata management
Often, again, the strata management team is also part of the same real estate agency.
Checks for defects in common areas within timeframes required are not undertaken so cannot be claimed to the developer. This is then a bill footed by the Owners Corporation, again the investors.
But why do some agencies allow this to happen? It comes back to the developer.
The developer
Almeida notes that the developer gives high sales commissions to real estate agents to sell at high prices. These commissions could be in the range of 8% to 10% when sold off the plan.
When rectification works notices are not provided to the developer by the aforementioned professionals on behalf of the investor in the timeframes required, then they can make a good case that the damage is wear and tear.
A developer may also be able to liquidate their Special Purpose Vehicle (SPV) company.
Where is this happening in Sydney?
The locations identified are largely where there is a high concentration of highrise development. From the balcony of the apartment visited by Property Observer, there were others being built visible through cranes on the skyline.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2014/07/28/cracks-july-28-twelve.jpg" alt="">
Areas identified by Almeida as having these sorts of properties include:
<ul>
<li>Mascot 
</li>
<li>Hurstville 
</li>
<li>Chatswood 
</li>
<li>Strathfield 
</li>
<li>Zetland 
</li>
<li>Homebush 
</li>
<li>Parramatta</li>
</ul>
Source: Just Think Real Estate
Not every development in these areas is going to fit the profile, and there may be good investment opportunities. However, Almeida specifically warns about apartment blocks where the vast majority are offshore investors.
How can you avoid buying into one of these apartment blocks?
Five top tips to help you avoid these situations:
<ol>
<li>Do a background search of development/building company before purchasing 
</li>
<li>Find out what Strata Management company takes care of the developments previously built by developer/builder 
</li>
<li>Walk through other developments that the developer/builder has constructed and check for wear and tear as well as construction integrity 
</li>
<li>Avoid buildings that are 4 stories and above as they do not have HOWI (in NSW) 
</li>
<li>Avoid where and when possible, developments that are primarily rendered; they may be colourful and look good at first, but maintenance is costly.</li>
</ol>
{qtube vid:=XXZBkThEdkQ}
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What are Sydney’s “million dollar ghettos” and where are they?

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A new report from OnTheHouse has released new predictions data presenting the top 10 suburbs nationwide with opportunities for residential buyers.
Unsurprisingly, New South Wales dominated the top 10 list, while Victoria didn't scrape in a single mention.
Based on rental and capital returns, outer city regions were found to provide the best investment opportunities, explained OnTheHouse consulting analyst John Edwards.
“Buying in a regional area might not be for everyone but with strong predicted growth and high rental yields, it’s certainly an option to consider. With more expensive areas, such as Sydney, outer city regions can be much more affordable – pair that with strong growth and it could be a good fit for investors wanting to get good rental returns and capital growth over time," he said.
To come up with the list they looked at five year capital growth predictions, industry surroundings, confidence ratings and employment opportunities.
“Investors should be looking for locations that have good employment opportunities, education options, are well connected to transport and have planned developments in the area that will attract the population. The latest Best Rent Report highlights 58 areas around Australia that meet this criteria, each offering returns of better than 10% per annum," he said.
He also urged investors to look at data in conjunction with local knowledge.
“Our research draws on industry and environmental surroundings and employment opportunities, which will influence property prices. These areas are the suburbs we think will perform well. However, it’s crucial that buyers do their own personal research and build on this statistical information.”
Turn over page for the top 10 list.
<hr class="system-pagebreak">
<a href="/images/2014/07/28/suburbs-chart-july-28-one.gif" target="_blank"><img src="/images/2014/07/28/suburbs-chart-july-28-one.gif" alt=""></a>
Source: Onthehouse.com.au. Click to open in new window.
In total, 58 suburbs made the <a href="https://www.residex.com.au/best-rent-report" target="_blank">Best Rent Report</a>.
Queensland’s Wynnum was one of those which also made the list as one that was flying under the radar but with growth fundamentals.
Wynnum was named one of Australia’s best more quiet achievers, with capital growth in the past 12 months of 3.13%, and forecasts that over the next five years this will look more like 7.56% per annum.
Harcourts Green Living in Wynnum principal David Green said that demand has been coming in from interstate investors and families who want to rent.
“Wynnum is a strong growth market for investors looking to expand their property portfolio, located just 16 kilometres to the Brisbane CBD, 20 minutes to the domestic and international airport and less than an hour to the surf beaches of the Gold Coast,” he said.
“Our property managers who have worked in the Bayside for decades are experiencing a high demand for rental properties from young families moving to the area, as well as investors from Sydney and Melbourne.”
The area is well-serviced by a train line running through its centre, including Wynnum Station, Wynnum North Station and Wynnum Central Station.
Within the boundaries on the area include parks, a police station, a school, a golf club, shops and the area’s own RSL club.
It appears property pundits and individual investors have been discussing the area for years – with forums including threads about buying in the suburb for many years. Peter Koulizos has previously suggested Wynnum for growth, and Australian Property Investor magazine tipped the area last year.
According to SQM Research, the vacancy rate for the area is 1.8%.
Wynnum West previously had a mention in RP Data's Buy vs Rent report in December 2012 as <a href="/expert-insights/investing/brisbane-cbd-among-494-suburbs-where-you-could-be-better-off-buying-then-renting-but-very-few-inner-city-options-rp-data">one of the few places in Brisbane where it was, in fact, better to buy</a> when looking at overall financial outcomes.
{module Would you invest in Wynnum?}
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Are these really Australia’s 10 best rental suburbs?

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In just 10 days, a six storey $22 million apartment building has been built in Perth, bringing cost savings of up to 12% and 50% less building waste through Perth’s first modular housing project.
Bringing 77 homes to the market, Housing Minister Bill Marmion said that it was also 30% more energy efficient, and expressed the potential for it to reduce the cost of housing.
“The one-and two-bedroom apartments - each weighing 22 tonnes and measuring 16 metres by 4.5 metres - are factory fabricated, meaning the apartment complex can go up in just 10 days,” Marmion said.
“The whole project will take 12 months to complete, from sod-turning to market.  Already there has been keen buyer interest in these apartments and I firmly believe this project gives us a glimpse into the future of quality, affordable housing.”
Per day, 15 apartments can be constructed. These apartments are from 50 to 77 square metres, with purchase prices from $335,000.
This is now the Stella Village project near Cockburn Central station as part of the Affordable Housing Strategy 2010-2020: Opening Doors to Affordable Housing project.
It appears this may be rolled out for higher density and urban infill projects.
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