Residential Focus: In the media, In practice and courts, Published articles, papers & reports, Cases and Legislation – Real Estate

In the media

House prices continue to rise as number of landlords
increase

Data from the Australian Bureau of Statistics shows
lending to investors – otherwise known as landlords –
has jumped almost 20 per cent in the past year. Almost four in 10
people taking out a mortgage now are landlords. Mr Lawless
suggested the increase in investors could potentially help to ease
the rental crisis (2 April 2024). Read more here.

Higher density housing in western Sydney could be in
store for your local shops as Minns chases deals with
councils

The western Sydney suburbs set to skyrocket in population
under a bold six-storey proposal to boost housing supply have been
revealed. The “diverse and well-located homes” policy
would seek to increase density around “town centres”
– which could mean shopping strips with a supermarket and a
few restaurants. The planning reforms by the NSW government would
allow buildings up to six storeys within 400 metres of a town
centre. Land within 800 metres of a town centre would be eligible
for higher density housing, including terraces and two-storey
apartment blocks (2 April 2024). Read more here.

What’s the best way to ease rents and improve
housing affordability? We modelled 4 of the government’s
biggest programs

Australian state and federal governments spend money in
many ways to ease rental stress and get more Australians into home
ownership. However, none can simultaneously lift affordability for
renters, lift affordability for owners, get more Australians into
home ownership, and boost economic efficiency (19 March 2024). Read
more here.

‘I’m home’: how co-operative housing could
take pressure off Australia’s housing crisis

During Australia’s housing crisis, little attention
has been given to housing co-operatives. A housing co-op consists
of a group of people (who meet certain criteria) who share in the
management and running of their accommodation. While only a small
provider of accommodation in Australia, new research reveals how
developing the sector could relieve some of the pressure (15 March
2024). Read more here.

New home design mistake costing Aussies $700 a year in
wasted energy

Aussie homeowners are falling for a home design trend that
will cost them hundreds of dollars every year. Australian
homeowners are wasting hundreds of dollars on energy bills because
of darker-coloured rooves which absorb heat. New research from UNSW
and Western Sydney suggests a darker-coloured roof could be driving
up the power bills of Sydney homeowners by at least 38 per cent (1
April 2024). Read more here.

Australia’s home values keep rising despite
cost-of-living pressures

Australian home values have risen for a 14th consecutive
month. Over March, values rose across most capital cities, but the
size of the increase varied widely. In Melbourne growth was flat in
March. Melbourne was also the only capital to record a negative
quarterly movement, with values down 0.2 per cent in the first
three months of the year (2 April 2024). Read more here.

Granny flat fever

In space-constrained capital cities, building a
well-designed granny flat could provide respite to an already hot
housing market. On current trajectories, the federal government
isn’t seeing its housing targets met. As such, small secondary
dwellings, more commonly known as backyard granny flats, have
received attention amid the housing conundrum (22 March 2024). Read
more here.

Shifting the tide

The housing industry has received a range of negative
stories directed our way over the past 12 months. These stories
tell only one side of the story, rather than highlighting all the
fantastic work our industry does. It’s time to shift this
narrative and embrace the positive (22 March 2024). Read more here.

Looking ahead

There are an array of reforms and proposed changes on the
go, and the HIA has released their submission to the Federal
Budget. There key initiatives aim to advocate for greater support
for the residential building and to grow and bolster the sector (24
March 2024). Read more here.

Applications now open for $500 million Housing Support
Program

Stream 1 of the Australian Government’s $500 million
Housing Support Program is now accepting applications from state,
territory or local government for planning capability projects that
will bolster much-needed housing supply. Projects must demonstrate
how they will align with planning, zoning and regulatory reforms
through National Cabinet’s National Planning Reform Blueprint,
land-use planning for disaster resilience and the aims of the
National Housing Accord (27 March 2024). Read more here.

Finding Australia’s Missing Tradies

The building and construction industry needs more workers
if we are going to build 1.2 million homes over the next five
years, says Master Builders Australia CEO Denita Wawn. Master
Builders Australia has made recommendations to help migrants
navigate complex and unnecessary barriers to work in the industry.
Migrant workers are the key to ease the domestic workforce which
cannot keep up with the building and construction industry’s
demand (27 March 2024). Read more here.

Capital city growth the highest on record

The Australian Bureau of Statistics (ABS) has recorded the
population of Australia’s capital cities grew over 500,000 in
the year ending June 2023. Beidar Cho, ABS head of demography
explains this is “largely driven by net overseas
migration” (26 March 2024). Read more here.

In practice and courts

Designing the Central West Recovery Housing Program
– Have Your Say

The 2022 flood events were devastating to communities in
the Central West region and those communities are still on the
recovery journey. The NSW Government has committed $40 million to
design and implement a housing program for those who were impacted
by the floods. We would like you to share your experience of the
floods and your ideas on what type of options you want to see
included in the housing program. Consultation period open until 30
April 2024. Read more here.

NSW pushes for more funding amid housing and
homelessness crisis

The Housing and Homelessness Ministerial Council will meet
today to discuss the Commonwealth’s contribution to the
National Housing and Homelessness Agreement. The NSW Government
stands ready to work with the Commonwealth as an equal partner but
funding trends over the last 10 years need to be turned around if
that hope is to become a reality (25 March 2024). Read more here.

Published – articles, papers, reports

Engineering Construction Activity, Australia – ABS
Report

The Australian Bureau of Statistics has published its
latest release of Engineering Construction Activity in Australia.
It contains value of engineering construction work done, commenced
and yet to be done, for the December 2023 period. 27 March 2024
Release. Read more here.

Cases

McDonald v MAK Constructions and Building
Services Pty Ltd
[2024] NSWCA 63

CIVIL PROCEDURE – stay of proceedings – whether the
home owner’s proceedings claiming damages should be stayed
until payment of the judgment debt in favour of the builder
obtained by filing an adjudication certificate under s 25 of the
Building and Construction Industry Security of Payment Act 1999
(NSW) (SOP Act) – operation and effect of s 32 of the SOP Act
– whether the home owner’s proceedings are properly
characterised as a “cross-claim” for the purposes of Pt 3
of the SOP Act – where the primary judge failed to consider
the strength of the home owner’s case – where the builder
has delayed in enforcing the judgment debt.

BUILDING AND CONSTRUCTION – contract – damages –
need to reconcile the policy of the SOP Act that a builder should
receive progress payments promptly with the preservation of common
law rights in s 32 of that Act.

Building and Construction Industry Security of Payment Act 1999
(NSW) ss 3, 8, 9, 13, 14, 15, 17-25, 32; Commercial Arbitration Act
2010 (NSW) s 47; Corporations Act 2001 (Cth) s 459H; Home Building
Act 1989 (NSW); Supreme Court Act 1970 (NSW) s 23.

Delt Constructions Pty Ltd ABN 49604204015 v
Able Business Pty Ltd ACN 246456948 & Anor
[2024] NSWDC
91

COSTS – where plaintiff achieved overall success –
whether presumption in favour of costs following the event should
be departed from in whole or part.

Home Building Act 1989 (NSW); Uniform Civil Procedure Rules 2005
(NSW).

PJ Cook Building Pty Ltd v Reid [2024]
NSWCATAP 45

APPEALS – building and construction – statutory
warranties – onus of proof – no issue of principle
– no error of fact.

Civil and Administrative Tribunal Act 2013 (NSW), ss 80, 81, Sch 4,
cl 12(1); Home Building Act 1989 (NSW), s 18B.

Coulter v Bush; Coulter v Domain Residential
Northern Beaches Pty Ltd
[2024] NSWSC 267

TORT – CONSUMER LAW – Civil Liability Act 2002 Part 1A,
Part 4 – Australian Consumer Law s 60 – duty of care
– negligence – where an employee of the real estate
agent retained by the owner of a house causes a fire and the house
burns down – claim by tenants and occupiers for damages for
the loss of personal property in the house and by the owner for
damages for the loss of the house – claim by the owner that
the real estate agent breached the warranty given in s 60 of ACL to
render services with due care and skill – whether the real
estate agent caused the fire and acted negligently and without due
care and skill – liability established.

Civil Liability Act 2002 (NSW); Competition and Consumer Act 2010
(Cth).

Legislation

Bills assented to by Government

Environmental Legislation Amendment (Hazardous
Chemicals) Bill 2024 – Act No 10 of 2024 – assented
to on 25 Mar 2024

This publication does not deal with every important topic or
change in law and is not intended to be relied upon as a substitute
for legal or other advice that may be relevant to the reader’s
specific circumstances. If you have found this publication of
interest and would like to know more or wish to obtain legal advice
relevant to your circumstances please contact one of the named
individuals listed.

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