<p>Bottega House has completed settlement of a landmark riverfront site in Macquarie Street, St Lucia, representing its first major Brisbane development.&nbsp;</p>

<p>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;</p>

<p>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;</p>

<p>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;</p>

<p>Exclusive sales for the project will be led by Keenan &amp; Byrne, ahead of an anticipated launch later this year.&nbsp;</p>

<p>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;</p>

<p>“This is an incredibly rare riverfront opportunity and one we have approached with a long-term perspective,” Malloch said.&nbsp;</p>

<p>“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."</p>

<p>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;</p>

<p>"Demand is expected to be strong given the scarcity of premium riverfront opportunities of this nature within Brisbane’s inner-west."&nbsp;</p>


Joel Robinson

Bottega House secures landmark riverfront site in St Lucia 

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<p data-end="157" data-start="0">The arrival of the first piling rig officially marks the commencement of construction at SIERA’s new beachside apartment development, Exhale, in Northcliffe.</p>

<p data-end="459" data-start="159"><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.</p>

<p data-end="459" data-start="159">[smartcode_project:default project_id=112661 project_image_fid=359603]</p>

<p data-end="651" data-start="461"><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.</p>

<p data-end="950" data-start="653">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.</p>

<p data-end="1081" data-start="952">“The façade was designed to maximise panoramic coastal views while creating a distinctive architectural identity,” Thompson said.</p>

<p data-end="1081" data-start="952">[smartcode_project:default project_id=112661 project_image_fid=355935]</p>

<p data-end="1307" data-start="1083">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.</p>

<p data-end="1522" data-start="1309">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.</p>

<p data-end="1522" data-start="1309">[smartcode_project:default project_id=112661 project_image_fid=361052]</p>

<p data-end="1714" data-start="1524">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.</p>

<p data-end="1945" data-start="1716">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.</p>

<p data-end="1945" data-start="1716">[smartcode_project:default project_id=112661 project_image_fid=359607]</p>

<p data-end="2220" data-is-last-node="" data-is-only-node="" data-start="1947">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.</p>
</section>
</section>

<p>[smartcode_project_cta:default project_id=112661]</p>


SIERA kicks off construction at Northcliffe tower Exhale

<p data-end="320" data-start="79">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>.</p>

<p data-end="638" data-start="322">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.</p>

<p data-end="864" data-start="640">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.</p>

<p>[smartcode_project:default project_id=112343 project_image_fid=352689]</p>

<p>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.</p>

<p><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."</p>

<p>“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.</p>

<p>[smartcode_project:default project_id=112343 project_image_fid=352687]</p>

<p><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.</p>

<p>“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.”</p>

<p>[smartcode_project:default project_id=112343 project_image_fid=352690]</p>

<p>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.</p>

<p>“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.</p>

<p><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.</p>

<p>[smartcode_project_cta:default project_id=112343]</p>


Eastern Suburbs buyers snap up ESTE Little Bay apartments

<p data-end="256" data-start="0"><a href="https://www.apartments.com.au/developers/sunland-group">Sunland Group</a> has officially lodged plans for its first Gold Coast apartment project since the departure of the Abedian family from the company three years ago, unveiling a new high-rise proposal for a prominent Broadbeach corner site on Old Burleigh Road.</p>

<p data-end="446" data-start="258">The application was submitted by an entity directed by Tom Jamieson, stepson of longtime Sunland leader Soheil Abedian, and Riaz Rezvanipour, brother-in-law of Sahba Abedian, Soheil’s son.</p>

<p data-end="645" data-is-last-node="" data-is-only-node="" data-start="448">Sunland acquired the 1,283 sqm site on the corner of Old Burleigh Road and Armrick Avenue for $9.5 million late last year and is now seeking approval for a <a href="https://www.apartments.com.au/new-apartments/99-101-old-burleigh-road-broadbeach-qld-4218">42-storey tower with 81 apartments</a>.</p>

<p><img alt="First look: Sunland Group returns to Broadbeach with new Old Burleigh Road tower plans" data-entity-type="file" data-entity-uuid="fea2946d-90ee-4cfc-babe-2a8ad5db2cb6" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/pers.png?VersionId=BV0fihJw31nDIQ8ozY_h3GbS8mxDyhnm" /></p>

<p>Designed by <a href="https://www.apartments.com.au/architects/contreras-earl-architecture">Contreras Earl Architecture</a>, the proposed tower at 99-101 Old Burleigh Road would deliver a predominantly larger-format apartment mix aimed at the owner-occupier market. Plans include 17 two-bedroom apartments, 55 three-bedroom apartments, and nine four-bedroom residences across 35 residential levels.</p>

<p>The development also incorporates three basement levels, four podium parking levels, two levels of communal recreation facilities, and rooftop plant and equipment. A total of 189 car spaces are proposed, significantly exceeding the 90 spaces required under the planning scheme.</p>

<p>The architecture adopts a sculpted, curvilinear form, with deep wraparound balconies and integrated landscaping intended to soften the tower’s vertical expression. The planning report states the building’s “slender footprint/form provides a complimentary yet varied built form within the local streetscape” and contributes to “a varied, yet ordered skyline.”</p>

<p data-end="626" data-start="350">Contreras Earl noted in its Architectural Statement that from the early stages, the project addressed a fundamental challenge: how to accommodate the required residential yield while avoiding the conventional model of a tower sitting on a rigid, fully resolved parking podium.</p>

<p data-end="928" data-start="628">“The most direct response would have been to consolidate parking into a singular, flat podium and extrude a repetitive tower above,” the statement said. “While efficient, this approach would result in a consolidated built form with limited engagement with the surrounding landscape and public realm.”</p>

<p data-end="1147" data-start="930">Instead, the conventional podium model was “deliberately rejected”. The architects described the base of the building as “a landscaped architectural condition where structure, planting and circulation are integrated”.</p>

<p data-end="1510" data-start="1149">“Rather than presenting a continuous built mass, the base of the building is articulated through a series of concrete planter elements that organise the podium into a fragmented system,” the statement said. “This approach reduces the perceived bulk of the lower levels while establishing a more permeable interface with the streetscape and adjacent open space.”</p>

<p data-end="1510" data-start="1149"><img alt="Sunland" data-entity-type="file" data-entity-uuid="923fad8d-c960-4527-8fbe-975cf1ddf88d" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-25%20at%2010.32.03%E2%80%AFAM.png?VersionId=pngwb0hYOIUpq9vDw6F2EsOiVuHF3DiX" /></p>

<p>&nbsp;</p>

<p>The site sits within the High Density Residential Zone and inside the City of Gold Coast’s unrestricted “HX” building height area, where the planning framework anticipates intensified residential development tied to the expanding light rail corridor. The planning report notes the area is undergoing “transition toward more intense development forms” given its proximity to Broadbeach, Surfers Paradise, and high-frequency public transport infrastructure.</p>

<p>Positioned directly opposite Broadbeach Park and within walking distance of Florida Gardens light rail station, the development would sit among a rapidly evolving stretch of Old Burleigh Road that has become one of the Gold Coast’s most active apartment development corridors.</p>

<p>The application joins a growing pipeline of luxury residential projects reshaping Broadbeach, including nearby developments by 5Point Projects, Polycell, and Graya.</p>

<p>The planning report argues the project contributes toward the Gold Coast’s long-term housing targets under the South East Queensland Regional Plan, which forecasts the need for more than 100,000 additional high-rise dwellings across the city by 2046.</p>

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<p data-end="305" data-is-last-node="" data-is-only-node="" data-start="0">The Abedian family departed Sunland Group in late 2023, ending a four-decade association with the company, and subsequently established the private development firm Abedian &amp; Co. The group is currently delivering <a href="https://www.apartments.com.au/new-apartments/greenmount-residences-cnr-hill-street-and-marine-parade-coolangatta-qld-4225">Greenmount Residences</a> at Rainbow Bay and recently launched <a href="https://www.apartments.com.au/new-apartments/18-mary-avenue-14-18-mary-avenue-broadbeach-qld-4218">18 Mary Avenue</a> in Broadbeach.</p>
</section>


First look: Sunland Group returns to Broadbeach new apartment market with new Old Burleigh Road tower plans

<p style="text-align:start">The Minns Labor Government has established the new Bays West Delivery Authority to lead the development&nbsp;of the Bays West Precinct and Blackwattle Bay Precinct.&nbsp;</p>

<p>The Authority is charged with creating Sydney’s newest precinct, a thriving, connected, sustainable hub with White Bay Power Station as its cultural heart. Its vision is to build on the area’s natural, cultural and industrial history to shape a vibrant new neighbourhood.</p>

<p>The precinct will deliver up to 8,500 well-located homes, including a minimum of 10 per cent affordable and essential worker homes. Combine new housing with public open space, opening public access to the waterfront for the first time in more than 100 years, while retaining important deep-water facilities to support Sydney’s working harbour.</p>

<p>Located just minutes from the Sydney CBD and connected to a world-class metro, ferry, walking and cycling links, the Bays West precinct will rebalance housing growth towards well-serviced inner-city locations and help tackle the state’s housing crisis.</p>

<p>The Bays West Delivery Authority,&nbsp;an agency of the Department of Planning, Housing and Infrastructure, will report to the NSW Minister for Lands and Property who already has oversight of major precinct renewal projects including at Blackwattle Bay and Barangaroo.</p>

<p>As part of the broader Bays West transformation, the Minns Government recently announced that a proposal from Lendlease to redevelop part of the Bays West Precinct has progressed to Stage 2 of the NSW Government’s unsolicited proposals process.</p>

<p><img alt="Sydney" data-entity-type="file" data-entity-uuid="2ed71eb9-d8e8-4fa7-b9d1-de4531dcf2f3" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-25%20at%209.42.31%E2%80%AFAM.png?VersionId=IDryFIbped9SNDg72LEN_EecvhUsOPvp" /></p>

<p>The Minns Labor Government has also confirmed the Bays West precinct will have a new suburb name. This will be the first major suburb built in close proximity to Sydney’s CBD in decades and will encompass the area currently being referred to as Bays West, including Glebe Island and the White Bay Power Station. Served by a new Metro station just five minutes from the CBD, it will become one of the most populous suburbs in the Inner West and one of Sydney’s premier cultural destinations.</p>

<p>An early works program is taking shape, which&nbsp;includes the first stages of an international design competition.&nbsp;</p>

<p>The aim of the Bays West&nbsp;International&nbsp;Design Competition is to&nbsp;ensure design excellence is embedded in the project from the start. The competition will deliver an&nbsp;urban framework that defines the character, ambition and long-term identity of&nbsp;this&nbsp;former industrial precinct as it transitions to a vibrant, inclusive and sustainable residential&nbsp;neighbourhood.</p>

<p>The competition will be led by the Bays West Delivery Authority in partnership with Government Architect NSW.&nbsp;</p>

<p>It will launch with an invitation for a global Expressions of Interest, before moving to an invitation-only stage that will be assessed by a panel that&nbsp;will provide advice to Cabinet who will select a winner.</p>

<p>Premier of NSW, Chris Minns said the establishment of the new Authority is the first step in transforming the Bays West precinct into a vibrant, livable suburb minutes from the Sydney CBD and two stops from Hunter St Station on the Metro West line.</p>

<p>“The Authority will deliver well-located homes close to the heart of the city and integrate the new precinct with Blackwattle Bay and the new Sydney Fish Market.</p>

<p>“This is a generational opportunity to build a new suburb on the city’s edge and open the harbour foreshore to the public for the first time in a century.”&nbsp;</p>

<p>Minister for Lands and Property Steve Kamper said the new Bays West Delivery Authority established by the Minns Government will turbocharge the development of Sydney’s newest suburb.</p>

<p>“The Authority is working at a record pace to deliver an international design competition, planning pathways and a financial model so that this development benefits Sydney with well-designed homes in a central location, close to public transport, jobs, entertainment and essential services.</p>

<p>“If we want Sydney to stay liveable and affordable, we need to be bold about using underutilised government-owned land to deliver homes for the future while making sure essential working harbour functions can be accommodated.”</p>


Bays West Delivery Authority established to "turbocharge" Sydney’s newest suburb

Residential Market

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<div>It's almost becoming an annual tradition that the Treasury scrambles until 4.59pm on a Friday before pinging out the Foreign Investment Review Board (FIRB) Annual Report and nipping off for a few cold ones.</div>
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<div>And this year the finance team surely did not disappoint scrimmaging until mere moments before "schooner o'clock" on Friday before delivering the goods!</div>
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<div>Broadly as expected total foreign investment in Australia was very strong in FY2015, increasing by +16.3 percent to $194.6 billion, with real estate (both commercial and residential) the largest sector at $97 billion.</div>
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<div>The total number of real estate approvals increased from 23,428 to 37,347 in FY2015, mainly for new dwellings.</div>
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<div>Real estate approvals have more than tripled in only two years. Bazinga. </div>
<p><a href="/images/2016/04/11/FIRB1.jpg" target="_blank"> Click to enlarge</a></p>
<div class="separator"><img src="/images/2016/04/11/FIRB1.jpg" alt=""></div>
<p> </p>
<div>Proposed investment in real estate soared to $96.9 billion, incorporating $36.2 billion of commercial real estate proposals.</div>
<p><a href="/images/2016/04/11/FIRB2.jpg" target="_blank"> Click to enlarge</a></p>
<div class="separator"><img src="/images/2016/04/11/FIRB2.jpg" alt=""></div>
<p><br><strong><span style="text-decoration: underline;">Foreign investment in residential real estate</span></strong></p>
<div>Proposed foreign investment in residential real estate ripped from $34.7 billion in FY2014 to $60.8 billion in FY2015, a level that could even not have been imagined only two years earlier.<span style="line-height: 1.3em;"> </span>
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<div>No proposals were rejected in FY2015 following three rejections in the preceding year, although 40 percent of approvals were granted with conditions attached, such as time periods for development or the requirement for temporary residents to sell should they depart Australia (approvals are filtered by specific questions, and therefore are to a large degree self-selecting).</div>
<div> </div>
<div>One divestment order was made in May 2015 by the FIRB, with an established $39 million residential Sydney property having been purchased illegally by a foreign company.</div>
<div> </div>
<div>Thereafter in May last year responsibility for divestment orders was assumed by the Australian Taxation Office (ATO), and a further 26 divestment orders were actioned.</div>
<div> </div>
<div>There was a massive 60 percent increase in the number of residential real estate approvals, with about 80 percent of those approvals for purchases of under $1 million in value (i.e. apartments).</div>
<div> </div>
<div>The bulk of this monster increase in foreign investment related to new real estate, including developer off the plan purchases, meaning that in aggregate foreign investors accounted for nearly 60 percent of all new residential construction.</div>
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<div class="separator"><a href="/images/2016/04/11/A2.jpg" target="_blank">Click to enlarge</a></div>
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<div><span><strong><span style="text-decoration: underline;">China's rise</span></strong></span></div>
<div> </div>
<div><span>The value of total FIRB approvals for China has increased by around 68 per cent since the prior year and accounted for around 33 per cent of the total value of approvals by foreign country in FY2015.</span></div>
<div> </div>
<div><span>Approvals for all Chinese investment in real estate, incorporating residential and commercial investment, all but doubled to $24.3 billion.</span></div>
<p><a href="/images/2016/04/11/FIRB4.jpg" target="_blank">Click to enlarge</a></p>
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<div>Finally, Melbourne retained its crown as the king of foreign investment in terms of residential real estate, reflecting the huge volumes of residential construction in that city, with Sydney comfortably  bopped into second place.</div>
<div> </div>
<div>There was also enormous foreign investment in vacant land in Victoria at $3.4 billion, far exceeding the $1 billion seen in New South Wales, for example.</div>
<div> </div>
<div>The above having been said, Queensland saw far larger increases in foreign residential real estate investment in percentage terms.</div>
<p><a href="/images/2016/04/11/FIRB5.jpg" target="_blank"> Click to enlarge</a></p>
<div class="separator"><img src="/images/2016/04/11/FIRB5.jpg" alt=""></div>
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<div><strong><span style="text-decoration: underline;">The wrap</span></strong></div>
<div> </div>
<div>Foreign investment in Australian residential real estate is something of a double-edged sword.</div>
<div> </div>
<div>It is abundantly clear that foreign investors became more active in the purchase of new dwellings in FY2015, and monumentally so, with most of that foreign interest coming from China.</div>
<div> </div>
<div>Foreign investment has thus been a crucial factor in the strength of this residential construction boom, accounting for more than half of the investment in new dwellings, helping in turn to keep rental growth subdued.  </div>
<div> </div>
<div>On the flip side, foreign developers in Sydney have shown a willingness on occasion to pay prices for development opportunities far in excess of what locals are generally prepared to pay, putting significant upwards pressure on land values.</div>
<div> </div>
<div>Whether this can level of investment in new dwellings can be sustained is less clear as the residential construction cycle passes its peak imminently.</div>
<div> </div>
<div>Clearly there is vast foreign interest in Australian property from China, and it seems reasonable to me to suggest that any holes in the FIRB Annual Report are likely to be errors of omission rather than errors of commission.</div>
<div> </div>
<div>As such, the above information acts as a useful indicator, but it may not be complete.</div>
<div> </div>
<div>With immigration now rising again, the share of overseas born Aussies at a 120 year high, and as the number of international students in Australia skyrockets, the potential pathways for foreign capital to ultimately find its way into established residential property markets are multiplying, particularly in the largest capital cities.<br><br>A final thought or question for you - what percentage share of these new apartments bought by investors from the Chinese mainland ever make it to the local rental market?</div>
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<div>
<p><span><em>PETE WARGENT is the co-founder of <a href="https://allenwargent.com/" target="_blank" rel="nofollow">AllenWargent</a> property buyers (London, Sydney) and a best-selling author and <a href="https://petewargent.blogspot.com/" target="_blank" rel="nofollow">blogger</a>.</em><br></span></p>
<p><em>His latest book is <a href="https://www.bigskypublishing.com.au/Books/General-Interest/Four-Green-Houses--and-a-Red-Hotel/1015/productview.aspx" target="_blank" rel="nofollow">Four Green Houses and a Red Hotel</a>.</em></p>
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pwargent-M4siyDbqQY

FIRB real estate approvals triple in two years: Pete Wargent

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<p><span>The fringe property market of Canberra has undergone significant development within the past 24 months, say valuation firm Herron Todd White in their April 2016 property clock. </span></p>
<p><span>The once greenfield sites on the fringes of the city are now being developed into well planned and flourishing suburbs providing opportunity for owner-occupiers, investors and government housing alike.</span></p>
<p><span>The Gungahlin district near the ACT and NSW border is considered a fringe location by many locals due to its relatively new development and up until 2010 consisted of only five suburbs which were developed in the mid 1990s. Gungahlin is now a thriving area with half a dozen new suburbs emerging in the past five years.</span></p>
<p><a href="/images/2016/04/11/Screen%20Shot%202016-04-11%20at%209.35.44%20AM.png" target="_blank"><span>Click to enlarge</span></a></p>
<p><span><img src="/images/2016/04/11/Screen%20Shot%202016-04-11%20at%209.35.44%20AM.png" alt=""></span></p>
<p><span>One of the newest suburbs to be developed is Moncrieff which is still under construction. Local demand for vacant land in Moncrieff was so high that 77 residential blocks were sold within three minutes and many potential purchasers missed out. The average price of a vacant land in Moncrieff was $280,000. Naturally one of the factors causing such high demand in the fringe areas is the high prices being achieved in areas closer to the CBD.</span></p>
<p><span>In the past 24 months, we have seen a massive hike in prices for older stock within the Inner north and inner south precincts. For example, buyers have been purchasing older dated homes for $700,000 plus and then knocking them down in order to build a more modern custom-designed home, which essentially means they are paying $700,000 just for land.</span></p>
<p><span>For entry-level buyers it is hard to compete in these areas therefore they have ventured to areas such as Gungahlin which allows them to buy vacant blocks and build their dream homes at a much more affordable price. Gungahlin is tipped for strong growth in the next decade with the first stage of the light rail designed to cater to the Gungahlin region and due to be complete by 2020. With transport being a key factor in the success of a fringe area the long-term expectations for Gungahlin are strong in relation to other fringe areas in Canberra.</span></p>
<p><span>Property Observer found a few examples of recent sales in Canberra's fringes:</span></p>
<p><span><img src="/images/2016/04/11/700_canberra.jpg" alt="" width="550" height="334"></span></p>
<p><span>1. A two-bedroom apartment at <a href="https://www.realestate.com.au/property-apartment-act-gungahlin-120611081"><span>24/80 Gozzard Street Gungahlin ACT 2912</span></a> (above) </span><span style="line-height: 1.3em;">sold for $331,000</span></p>
<p><span style="line-height: 1.3em;"><img src="/images/2016/04/11/main-1.jpg" alt="" width="656" height="492"></span></p>
<p><span>2. A three-bedroom villa at <a href="https://www.realestate.com.au/property-house-act-gungahlin-121991866" target="_blank"><span>78 Mary Gillespie Gungahlin ACT 2912</span></a> (above) sold for $522,000 recently.</span></p>
<p>Across Canberra 69 auctions were held this week with a 64 percent sales success including the $1,515,000 sale of the former bolthole of the former Federal Treasurer Joe Hockey.</p>
<p>Over the three months to December 2015, 7.6 percent of Canberra homes re-sold at a loss compared to 11.2 percent over the previous quarter and 10.9 percent a year earlier, according to the latest Pain &amp; Gain report from Core Logic RP Data.</p>
<p>The median price for a house in Forrest is $2,150,000, according to CoreLogic RP Data.</p>
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Canberra's fringe suburbs seeing spike in home prices: HTW

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<p><span>Broken Hill tops CoreLogic RP Data's latest list for top NSW investor rental yields.</span></p>
<p><span style="font-family: Arial, Helvetica, sans-serif; font-size: 1em; font-weight: bold; line-height: 1.3em;">Median Gross Yield</span></p>
<table class="table">
<thead><tr>
<th>Suburb</th>
<th>Median Rent</th>
<th>Gross Yield</th>
</tr></thead>
<tbody>
<tr>
<td>Broken Hill</td>
<td>$230</td>
<td>10.1%</td>
</tr>
<tr>
<td>Cobar</td>
<td>$280</td>
<td>9.1%</td>
</tr>
<tr>
<td>Tuross Head</td>
<td>$580</td>
<td>8.6%</td>
</tr>
<tr>
<td>West Wyalong</td>
<td>$240</td>
<td>8.5%</td>
</tr>
<tr>
<td>Malua Bay</td>
<td>$700</td>
<td>8.2%</td>
</tr>
<tr>
<td>Condobolin</td>
<td>$238</td>
<td>8.0%</td>
</tr>
<tr>
<td>Darlington Point</td>
<td>$228</td>
<td>7.9%</td>
</tr>
<tr>
<td>Wellington</td>
<td>$210</td>
<td>7.8%</td>
</tr>
</tbody>
</table>
<p>Property Observer profiles Broken Hill in NSW from a rental perspective.</p>
<p><span style="color: #000000;">The median sale price of a house in Broken Hill was $118,000, compared with a national average of $485,000. </span></p>
<p><span style="color: #000000;">The median price change over one year was 10.50 percent.</span></p>
<p class="glance"><span style="color: #000000;">While Median Rent was $230pw against a national average of $395, the median gross yield was 10.1 percent.</span><span class="growth visible-lg" style="color: #333333; font-family: Tahoma, Helvetica, Arial, sans-serif; font-size: 12.16px; line-height: 1.3em;"><br></span></p>
<p><em>Property Observer</em> went looking for dwellings around the median price up for rent or rented and came up with these: </p>
<p><img src="/images/2016/04/11/Screen%20Shot%202016-04-11%20at%208.43.05%20AM.png" alt="" width="830" height="537"> </p>
<p><span>1. A furnished three-bedroom house at <a href="https://www.realestateview.com.au/rental-properties/10-king-street-broken-hill-nsw/property-details-rent-residential-9844026" target="_blank"><span>10 King Street</span></a> (above) is up for rent for $250 pw, at a rental yield of about 13 percent. This property sold for $99,000 in June 2015.</span></p>
<p><span style="font-size: 12.16px; line-height: 1.3em;"><img src="/images/2016/04/11/hill2.jpg" alt="" width="574" height="381"></span></p>
<p> </p>
<p><span>2. A two-bedroom house at <a href="https://www.realestateview.com.au/rental-properties/49-bonanza-street-broken-hill-nsw/property-details-rent-residential-9844025" target="_blank"><span>49 Bonanza Street</span></a> (above) has a rental of $240 pw. This one sold way back in 2004 for $55,000, according to CoreLogic RP Data.</span></p>
<p><span style="font-size: 12.16px; line-height: 1.3em;"><img src="/images/2016/04/11/hill3.jpg" alt="" width="575" height="349"></span></p>
<p><span>3. A three-bedroom house at <a href="https://www.realestateview.com.au/rental-properties/628-argent-street-broken-hill-nsw/property-details-rent-residential-9844024" target="_blank"><span>628 Argent Street</span></a> (above) matches the median rental of $230 pw, and yields 13.3 percent. This one last traded for $90,000 in 2014.</span></p>
<p><span style="font-size: 12.16px; line-height: 1.3em;"><img src="/images/2016/04/11/hill4.jpg" alt="" width="578" height="379"></span></p>
<p> </p>
<p><span>4. A three-bedroom house at <a href="https://www.realestateview.com.au/rental-properties/38-cummins-street-broken-hill-nsw/property-details-rent-residential-9835311" target="_blank"><span>38 Cummins Street</span></a> (above) is also available for $230 pw. The last sale price for the property was $142,000 back in 2005.</span></p>
<p><span style="font-size: 12.16px; line-height: 1.3em;"><img src="/images/2016/04/11/hill5.jpg" alt="" width="563" height="342"></span></p>
<p> </p>
<p><span>5. Another three-bedroom house at <a href="https://www.realestateview.com.au/rental-properties/627-chapple-lane-broken-hill-nsw/property-details-rent-residential-9810772" target="_blank"><span>627 Chapple Lane</span></a> (above) is available for $220 pw. This last traded price for this property was $35,500 in 2003, CoreLogic RP Data shows.</span></p>
<p><span style="font-size: 12.16px; line-height: 1.3em;"><span style="font-size: 12.16px; line-height: 1.3em;"> </span></span></p>
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Broken Hill tops property rental yields at 10 percent

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<p>I’m not sure just how closely you have been following Australia’s property markets but what I can add is we are now starting to see some amazing trends emerging that will have both negative and positive outcomes.</p>
<p>This week we read that despite our national apartment building boom rents continue to rise. With approximately 30,000 apartments nearing completion in Sydney I predict that we have seen the rental peak. Unbeknown to many the major banks have already started black spotting many areas across Australia – where they are now no – go areas for future lending. For example, where you have an area that has undergone unprecedented new apartment high density developments you can expect values to start decreasing quite rapidly.</p>
<p>In Sydney the areas on ignore include, Darling Harbour, Dawes Point, Haymarket, Millers Point, Sydney, Sydney South, Waterloo, Annandale, Zetland, Homebush and Arncliffe. It will only be a matter of time before these areas spread further given the sudden – impact of oversupply where the vast majority of these properties will be left fighting it out in this newly created competitive rental market. It is quite unprecedented to see the lenders adopting this strategy given they are creating their own problems although they did approve the respective loans.</p>
<p> </p>
<p>Gen Y (or Gen Why? as I call them) should stop complaining and consider themselves lucky that they missed most of this modern day apartment investment boom. Since December 2008, when the Rudd government moved the off – the – plan apartment overseas buying ratio from 50 per cent to 100 per cent where the large percentage of these buyers came from Asia, which has a combined population of approximately 4 billion people compared to our 24 million. Whilst I certainly don’t agree with this decision we have introduced foreign owners although the debt remains local – another big problem.</p>
<p>Then of course it would be remiss of me not to mention that the Australian Taxation Office (ATO) has gladly accepted the role of “Big Brother” where every single property transaction in Australia dating back to 1985 now being scrutinised. Whilst the ATO has been remarkably quiet on the announcement side of developments this is an election year and the decision to hand the ATO total ownership of Australian property data was a decision by the present government, so we can expect this to figure prominently in the forthcoming election debate.</p>
<p>Now if developments were not getting interesting we now have the Panama Papers (the largest leak in journalistic history) which the ATO would be all over given 800 Australians managed to make guest appearances as a direct result from the leaked papers.</p>
<p>Just what the exposure to Australian property markets is remains to be seen although I did read in <em>The Guardian</em> this week – “Which is exactly why today’s revelations about the connections between tax havens and property ownership are so important. Revealed in the leaked documents was the fact that 2,800 Mossack Fonseca companies are connected to more than 6,000 UK title deeds, worth at least £7bn. On top of this, according to Guardian analysis, more than 90,000 properties in England and Wales are listed in the Land Registry to overseas owners, at least 75,000 of which are owned by companies or individuals registered in tax havens.”</p>
<p>Now can you start to see why raising the overseas buyers’ ratio from 50 per cent to 100 per cent could have a serious impact on our Australian property markets? Given all that is presently going on it would be sage advice to closely monitor exactly what is going on in these areas of high density development.</p>
<p>To be fair many areas saw very little development so they will go through this with minimum downside to property prices and rental returns. Having said that the property aggregators bundle all the statistics into the one bundle so rents will then show signs of easing although in some areas it will be quite the opposite.</p>
<p>I have no doubt that the role the ATO is currently playing within the tapestry of the Australian property markets will have a defining outcome that will result in many forced sales. Just what effect this will have on property prices is way too early to call although I see the investment market under significant pressure with all presently going on. Then again there will be a knock – on effect with all the new developments which are presently in the re – zoning and planning stages more particularly, those areas that already that are already marked as being over developed – over supply.</p>
<p>On the other hand the owner operated housing market has just been ambling along and looks to have well and truly dodged this modern day investor bullet. If there were to be an investor market collapse the owner occupiers would then be placed again with the opportunity of a lifetime with record low cash rates coupled with an investor market collapse. Yes, we have seen such markets before although never on this grand scale.</p>
<p>In my opinion, these are the markets you should be closely following on high visual alert.</p>
<h5>MOSMAN – 2088</h5>
<p>• Number of houses on the market this time last year – 56</p>
<p>• Number of houses on the market last week – 45</p>
<p>• Number of houses on the market this week – 43</p>
<p>• Number of apartments on the market this time last year – 53</p>
<p>• Number of apartments on the market last week – 46</p>
<p>• Number of apartments on the market this week – 48</p>
<h5>CREMORNE – 2090</h5>
<p>• Number of houses on the market this time last year – 0</p>
<p>• Number of houses on the market last week – 5</p>
<p>• Number of houses on the market this week – 6</p>
<p>• Number of apartments on the market this time last year – 8</p>
<p>• Number of apartments on the market last week – 26</p>
<p>• Number of apartments on the market this week – 14</p>
<h5>NEUTRAL BAY – 2089</h5>
<p>• Number of houses on the market this time last year – 0</p>
<p>• Number of houses on the market last week – 7</p>
<p>•Number of houses on the market this week – 11</p>
<p>• Number of apartments on the market this time last year– 42</p>
<p>• Number of apartments on the market last week – 26</p>
<p>*Number of apartments on the market this week – 24</p>
<p> </p>
<p><em><span>ROBERT SIMEON</span> is a director of </em><em><a href="https://www.rwm.com.au/" target="_blank" title="RWM" rel="nofollow">Richardson Wrench Mosman and Neutral Bay</a> </em><em>and has been selling residential real estate in Sydney since 1985. <br>He has also been writing real estate blog </em><em><a href="https://www.rwm.com.au/news/" target="_blank" title="Virtual Realty News" rel="nofollow">Virtual Realty News</a> </em><em>since 2000. </em></p>
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robertsimeon-hRNTwJyXkQ

Why property markets keep confusing us: Robert Simeon

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<p><span>The only good thing about mistakes is that we can all learn from them. </span></p>
<p><span>Otium’s team of financial advisers, accountants and administration specialists guide clients through big property investment decisions on a day-to-day basis. They have also experienced the ups and downs of investing in property personally. We decided to round up the team and asked them to share the most common property investing mistakes and things to consider, so you can avoid making the same mistakes:</span></p>
<h2>1.Fixing rates</h2>
<p><span>“I remember pre-GFC when rates were high, I got caught up in the hype of needing to own a property.  The problem was debt was easy to obtain and I got a house way before I could afford it.  Not only was it outside of my affordability, I locked rates at a ridiculous 7.5%.  It was just not the time to be fixing and I was caught with high rates until I sold the house a few years later.  When in doubt, use the variable rate until there are extraordinary low interest times.  Even then, consider hedging your bets.  Use a good mortgage broker who is willing to advise you and always check with your accountant.”</span></p>
<p>CEO Drew Grosskreutz</p>
<h2>2. Inspecting the property</h2>
<p><span>“When making the biggest investment decision of your life, it sounds simple but care should be taken to fully inspect the property. Consider location, target rental market, condition of property and whether it fits in with your criteria, eg.new, near new, run down for renovation, etc.  Hire a professional building and pest inspector. No matter how new a property is, there could be an issue with the build that would not be uncovered in any other way.”</span></p>
<p>Managing Director of Accounting David Mason</p>
<h2>3. Signing a contract without having discussed the correct finance clause</h2>
<p><span>“When negotiating a finance clause ensure you obtain enough time for your mortgage broker to gain a formal approval, this might include a valuation and obtaining access via tenants which takes time. If the finance period expires without a formal approval, the agent may have been approached with a higher bid and you could lose the property.”</span></p>
<p>Finance, Gavin Frith</p>
<p>4.The Importance of Rent<br><span>“Long term capital growth is the aim of many property investors, however, this strategy can be undermined if the property has poor rental yield (or worst case, struggles to rent at all).  Where debt has been used to secure the property, the rental income is used to manage the interest expense or depending on your specific strategy, can also pay down the principle.  Poor rental yield can force the investor to sell which could occur during a market dip, thereby destroying the original aim.</span></p>
<p><span>When looking to purchase an investment property it is imperative to research the rental yields on comparable properties in the local region.  This includes vacancy rates.”</span></p>
<p>Managing Director of Financial Planning Adam Storey</p>
<h2>5.Getting the Correct Entity name for your Purchase</h2>
<p><span>“It is vital to ensure the correct ‘purchasing entity’ is listed on a super fund property contract from the start.  This entity will depend on if you are buying with borrowing or buying outright through super.</span></p>
<p>This should be discussed with your adviser or contact as there are often various fees and charges to prepare a deed of rescission if this purchasing entity is not correct.  These fees can be between $200-$1000 depending on the deed required.”</p>
<p>For more information, <a href="https://www.otiumgroup.com.au" target="_blank">click here</a>.</p>
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po-LsXgBTHBmX

Property 101: Five property mistakes to avoid

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<p class="x_MsoNormal"><span lang="EN-US">Your patch needs to be special, and buying in a great location offers plenty of pluses, says ME Head of Home Loans, Patrick Nolan.</span></p>
<p class="x_MsoNormal"><span lang="EN-US">“No matter whether you prefer the inner city vibe or out-of-town tranquility, your choice of location matters,” he said.</span></p>
<p class="x_MsoNormal"><span lang="EN-US">“Where we live can shape our lifestyle and a quality neighbourhood can give you five valuable benefits:</span></p>
<p class="x_MsoNormal"><strong><span lang="EN-US">1.    You’re likely to enjoy higher capital growth</span></strong></p>
<p class="x_MsoNormal"><span lang="EN-US">"Good neighbourhoods tend to top the capital growth league tables. Sure, you may pay more to buy into a desirable neighbourhood but it’s likely to be a brilliant investment as local value growth should outpace less appealing areas over time.</span></p>
<p class="x_MsoNormal"><strong><span lang="EN-US">2.    The community is safer, more secure</span></strong></p>
<p class="x_MsoNormal"><span lang="EN-US">“We all want to live in a safe neighborhood where there’s little or no crime. A good neighborhood is a place where you are free to walk around, explore, chat with locals and know your neighbours are there for you in a pinch.</span></p>
<p class="x_MsoNormal"><strong><span lang="EN-US">3.    A choice of quality schools</span></strong></p>
<p class="x_MsoNormal"><span lang="EN-US">“A neighbourhood with highly regarded schools offers valuable pluses even if you don’t have school-age kids. Families always look at the calibre of local schools as part of their buying decision, and the better the school district, the more sought after your home will be if you choose to sell up further down the track.</span></p>
<p class="x_MsoNormal"><strong><span lang="EN-US">4.    Easy access to shops, cafes, restaurants</span></strong></p>
<p class="x_MsoNormal"><span lang="EN-US">“Like to grab a latte on your way to work? How about Sunday brunch at your favourite eatery? Having a good selection of nearby shops, cafes, restaurants and maybe a gym or cinema won’t just boost your lifestyle, it may also give your home the edge in terms of future capital growth.</span></p>
<p class="x_MsoNormal"><strong><span lang="EN-US">5. Access to transport links</span></strong></p>
<p class="x_MsoNormal"><span lang="EN-US">“A good location offers easy access to public transport and/or decent road links. Being near a train or bus is handy, but when a commute by car is inevitable having nearby freeway access can help your home hold its value.</span></p>
<p class="x_MsoNormal"><span lang="EN-US">“The key thing is to never lose sight of what is important to you in a neighbourhood. If you’re a footy fan, you may love owning an apartment that overlooks the major sporting grounds. If you’re a nature lover, having access to bush reserves may top your wish list. It’s all about what works for you while still being mindful of what’s attractive to other buyers because at some point you’re likely to upgrade to your next home. That’s when the value of a great neighbourhood translates into money in your pocket.”</span></p>
<p class="x_MsoNormal"><span lang="EN-US"> </span></p>
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Property 101: Five benefits of buying into a good neighbourhood

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<p><span>As many property investors know, the city you currently call home isn’t always the best location to invest.</span></p>
<p><span>But there are many steps to the buying process, and they can differ from state to state.</span></p>
<p><span>There are plenty of reasons to purchase property interstate.</span></p>
<p><span>You may want to diversify your portfolio to lower your risk profile.</span></p>
<p><span>Perhaps you're planning a move next year, but you know that now is the right time to buy.</span></p>
<p><span>Or maybe you've heard that the next big up and coming suburb isn't on your doorstep, but 2,000 kilometres away.</span></p>
<p><span>Even if you are a seasoned property investor in your local area, there are some key differences between buying locally and purchasing further away.</span></p>
<p><span>Investing interstate can be difficult, especially if you're not experienced and you're looking to invest somewhere you haven't lived before.</span></p>
<p><span>There are a range of experts who can assist you with an interstate purchase and help alleviate the costs of travelling back and forth.</span></p>
<p><span>Conveyancers or specialist lawyers can help prepare and lodge your legal documents (including your contract), handle your deposit, research the property and calculate your expenses. They can also assist in the settlement process.</span></p>
<p><span>A buyer's agent can help you inspect properties and do a lot of the footwork for you. They may also be able to refer you to reputable local experts to help carry out inspections.</span></p>
<p><span>Make sure you communicate honestly and often with those helping you invest interstate, and make the most of the experts available.</span></p>
<p><span>While buying property interstate can seem like a daunting task, there are a lot of benefits to developing your property portfolio beyond the bounds of your local neighbourhood. Make sure you contact reputable, independent experts and do your homework.</span></p>
<p><span>Don’t forget that stamp duty or land transfer taxes change from state to state, and depend your property’s intended purpose.</span></p>
<p><span>Each state’s revenue office website has a stamp duty calculator that can help you estimate how much you’ll be charged.</span></p>
<p><span>Purchasing interstate is a great way to spread risk across your property’s portfolio or capitalise on growth areas – just make sure you do your homework.</span></p>
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Property 101: Buying property interstate

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<p style="text-align: left;" align="center">A former industrial field support centre in Sydney's outskirt suburb Minto has sold to the Anglican Retirement Village for $16.6 million through an expressions of interest campaign.</p>
<p style="text-align: left;" align="center">The 5.88 hectare property, located on the corner of Sark Grove and Pembroke Road Minto was sold on behalf of Endeavour Energy by Savills agents Robert Lowe and Ray Trimboli.</p>
<p style="text-align: left;" align="center"><span style="line-height: 1.3em;">Future development of the site may include up to 100 residential lots with a size range expected to be from 300 square metres to 476 squares metres (approximately) subject to Council approval.</span><span style="line-height: 1.3em;"> </span></p>
<p> </p>
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Anglican Retirement Village buys Minto site

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<p>GUEST OBSERVER</p>
<p>The Australian Bureau of Statistics (ABS) has released demographic data for the September 2015 quarter recently.</p>
<p>The data showed a continuation of the trend towards a slower rate of population growth at a national level. At the end of the quarter, it was estimated that there were 23,860,133 residents of Australia, an increase of just 0.3 percent over the quarter and 1.3 percent over the past year.</p>
<p><a href="/images/2016/03/30/Chart-1-4-580x206.jpg" target="_blank">Click to enlarge </a></p>
<p><img src="/images/2016/03/30/Chart-1-4-580x206.jpg" alt=""></p>
<p>The 12 months to September 2015 saw an additional 313,237 residents of Australia which is 7.3 percent lower than over the same quarter in 2014.  In fact, the annual increase in population for the country is the lowest it has been since the June 2011 quarter.</p>
<p><a href="/images/2016/03/30/Chart-2-3-580x205.jpg" target="_blank">Click to enlarge</a></p>
<p><img src="/images/2016/03/30/Chart-2-3-580x205.jpg" alt=""></p>
<p>At a national level, there are two components of population growth, natural increase (births minus deaths) and net overseas migration.  Over the past year, there was a natural increase of 145,585 persons and net overseas migration of 167,652 persons.  As the above chart shows, the two measures are converging due to a sharp decline in net overseas migration.  Annual net overseas migration is now at its lowest level since September 2006, is -7.0 percent lower over the year and -46.9 percent lower than its peak in December 2008.</p>
<p><a href="/images/2016/03/30/Chart-3-4-580x206.jpg" target="_blank">Click to enlarge</a></p>
<p><img src="/images/2016/03/30/Chart-3-4-580x206.jpg" alt=""></p>
<p>Looking at population growth across the states and territories, the rate of growth has been strongest over the past year in Victoria at 1.7 percent and lowest in the Northern Territory at 0.3 percent.</p>
<p>The annual rate of population growth is above 1 percent in all states and territories except the Northern Territory, Tasmania and South Australia. In terms of raw number population increase over the year, New South Wales and Victoria are way out in front of all other areas with increases of 102,243 persons and 102,311 persons respectively. </p>
<p>Queensland (55,232) and Western Australia (32,542) were the only other two regions to record annual population growth of more than 15,000 persons.  Across the remaining states and territories the annual population increase was recorded at: 12,396 persons in South Australia, 5,491 persons in the Australian Capital Territory, 2,159 persons in Tasmania and 826 persons.</p>
<p>The four most populous states accounted for 93.3 percent of total population growth over the year with New South Wales and Victoria accounting for 65.3 percent.</p>
<p>The mining states and territories in particular have felt the full brunt of the slowdown in population. At its peak in December 2008, Queensland recorded a population increase of 115,561 with annual growth now less than half this figure.  In Western Australia, annual population increases peaked at 88,156 persons in September 2012 and in Northern Territory the annual population increase peaked at 7,073 persons in March 2013.</p>
<p>It is also worthwhile at the state and territory level to have a look at the interstate migration trends.  As well as net overseas migration there is net interstate migration across the states and territories which affects population growth.</p>
<p><a href="/images/2016/03/30/Chart-4-4-580x206.jpg" target="_blank">Click to enlarge</a></p>
<p><img src="/images/2016/03/30/Chart-4-4-580x206.jpg" alt=""></p>
<p>Firstly if we look at annual net overseas migration, New South Wales (66,540) and Victoria (55,447) account for an overwhelming majority of the population increase.  In fact, 72.8 percent of all net overseas migration was into these two states which is the highest proportion since December 1984.</p>
<p>Elsewhere the number of net overseas migrants has been recorded at: 16,725 persons in Queensland, 10,255 persons in South Australia, 14,249 persons in Western Australia, 1,119 persons in Tasmania, 975 persons in the Northern Territory and 2,333 persons in the Australian Capital Territory. Annual net overseas migration into Queensland is at its lowest level since December 2000 and South Australian net overseas migration is at its lowest level since December 2011.</p>
<p><a href="/images/2016/04/5/Chart-5-2-580x205.jpg" target="_blank">Click to enlarge</a></p>
<p><img src="/images/2016/04/5/Chart-5-2-580x205.jpg" alt=""></p>
<p>Turning to net interstate migration, movement between the states and territories is slowly starting to rise again; the above chart shows the annual movements between states and territories.  The chart shows that since 2003 there has been a fairly consistent decline in the proportion of the population moving interstate.  I have to admit this is a little surprising given that it coincides with the end of Sydney’s and Melbourne’s housing boom and is pretty much the beginning of the mining boom.  Although, the sudden slowing of interstate migration coincides with the substantial ramping-up of net overseas migration and with net overseas migration we are now seeing a pick-up in interstate migration.</p>
<p><a href="/images/2016/04/5/Chart-6-1-580x210.jpg" target="_blank">Click to enlarge</a></p>
<p><img src="/images/2016/04/5/Chart-6-1-580x210.jpg" alt=""></p>
<p>Over the past 12 months, Victoria and Queensland are the only two states or territories to have recorded a positive net inflow of population form other states.  Net interstate migration to Victoria was a record high 11,187 persons over the past year compared to 6,890 persons to Queensland. </p>
<p>Net interstate migration into Queensland seems to be turning a corner after hitting a trough of 5,598 persons over the year to December 2014. </p>
<p>Across the remaining states and territories there have been losses from net interstate migration of: -7,451 persons in New South Wales, -4,125 persons in South Australia, -2,721 persons in Western Australia, -180 persons in Tasmania, -3,019 persons in the Northern Territory and -581 persons in the Australian Capital Territory.  The net loss of persons from interstate migration is at its highest level since March 2014 in New South Wales, its highest since June 2009 in South Australia and its greatest since March 2003 in Western Australia. In Tasmania the loss of residents to interstate migration is at its lowest level since June 2011 and it is at its lowest level since December 2013 in the Australian Capital Territory.</p>
<p>The more up-to-date overseas arrivals and departures data indicates that net overseas migration is likely to trend even lower next quarter which will dampen the national rate of population growth further.  At the same time, the data shows that Victoria (which would seem to be a proxy for Melbourne) is the migration epicentre of the country attracting large numbers of both overseas and interstate migrants. </p>
<p>Meanwhile the outflow of residents leaving New South Wales is picking up pace while interstate migration to Queensland is starting to build.</p>
<p>Perhaps we are seeing the impact of high housing costs in Sydney and fairly strong jobs growth in Victoria and Queensland starting to attract Sydneysiders to other parts of the Eastern Seaboard.  Weaker economic conditions in Western Australia are seeing residents leave with Victoria and Queensland the benefactors.  Meanwhile, Tasmania’s outflow of residents is slowing on the back of the booming tourism sector and a recent improvement in economic conditions.</p>
<p>Finally with population growth slowing we are seeing a better relationship between housing supply and housing demand.  After recently hitting record high levels, it is reasonable to expect that the slowing population growth will see property developers respond by seeking fewer approvals for new residential properties.</p>
<p><em>Cameron Kusher is research analyst for CoreLogic RP Data. You can contact him <a href="https://blog.corelogic.com.au/about/">here</a>.</em></p>
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Population growth continues to slow due to ongoing decline in net overseas migration: Cameron Kusher

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<p><span>The recent property boom in some markets brought with it the usual batch of property opportunists – using the favourable circumstances as a way of marketing otherwise dodgy investments, says best-selling author Margaret Lomas in her recent column on Switzer. </span></p>
<p><span>Here's a list of the five hot dangerous things to avoid in 2016 from Lomas.</span></p>
<p><span>1. Now might be a bad time to buy off-the-plan, she warns. Off-the-plan carries more than the usual degree of risk, the best example being those who bought years ago on the Gold Coast and were forced to settle on properties worth $100,000 less than they paid.</span></p>
<p><span>2. Inner city apartments. Yields will decline, vacancies will rise and values will stagnate due to another glut expected in the coming years. The most important feature of house price growth in the next few years will be population growth, and one that is growing faster than the national average.  </span></p>
<p><span>3. Holiday properties.  The new APRA (Australian Prudential Regulation Authority) requirements has impacted lending to investors and as such the resale market for such property is shrinking even further.  </span></p>
<p><span>4. Self-managed superannuation fund investing.  Unless one has significant funds to roll over into super (more than $300,000), this one's best avoided, Lamas says. The lengthy ATO compliance requirements, the costly maintenance of these funds, the fact that non-recourse borrowings severely limit the amount you can borrow and so the number of properties you can buy (being probably only one) and the fact that you can only secure each property once, which makes them unavailable for leverage. </span></p>
<p><span>5. Overseas properties.  There’s not enough room here to list all of the reasons why you shouldn’t be buying an overseas property, even if it is cheap. Remember, when locals won’t buy their own property, there has to be something very wrong!     </span></p>
<p><span> </span></p>
<p class="p1"><span class="s1"><em>For more real estate traps and tips visit </em><span class="s2"><em><a href="https://realestatetraps.com.au/">realestatetraps.com.au</a> </em></span></span></p>
<p><span> </span></p>
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