🏠 July Highlights: National Home Values Rise, Tricky Refinance with Lender Policy Change Request Unconditionally Approved in 13 Days, and QLD’s New Boost to Buy Scheme

In this month’s update, we’re diving into three key developments shaping the property landscape.

🏡 Cotality Home Value Index Update.

🏡 Tricky Refinance unconditional approval story.

🏡 QLD Boost To Buy Scheme.

📊 Cotality Home Value Index – July 2025 Report:

• National: +0.6%

• Capital Cities:

  • Sydney: +0.6%

  • Melbourne: +0.5%

  • Brisbane: +0.7%

  • Adelaide: +0.5%

  • Perth: +0.8%

  • Hobart: -0.2%

  • Darwin: +1.5%

  • Canberra: +0.9%

• Regional Areas:

  • Regional NSW: +0.3%

  • Regional VIC: +0.5%

  • Regional QLD: +0.8%

  • Regional SA: +0.9%

  • Regional WA: +0.6%

  • Regional TAS: +0.4%

• Combined Capitals: +0.6%

• Combined Regionals: +0.5%

Key Highlights:

📈 Housing Market Overview

• National home values rose 0.6% in June, the fifth consecutive monthly gain.

• Quarterly growth: +1.4%, driven by falling interest rates and improving sentiment.

• Only Hobart saw a monthly value decline (-0.2%).

• Darwin led quarterly capital city growth at +4.9%, reaching a record high.

• Regional Tasmania was the only area with quarterly declines (-0.4%).

Market Drivers

• Two RBA rate cuts (February & May) boosted confidence and market momentum.

• Despite growth, the pace remains milder than mid-2023 and well below pandemic highs.

• Sales activity is modest (4.9% turnover), slightly below the 10-year average.

• Stock levels are low, 5.8% below last year and 16.7% below the 5-year average.

Capital vs Regional Trends

• Regional markets still edge out capitals in quarterly growth (+1.6% vs. +1.4%) but capitals are gaining ground.

• Over 5 years, Perth (+81.1%) and Brisbane (+75.1%) lead capital city growth.

• National 12-month change: +3.4%, with an annualised rate of 5.8%.

Rental Market

• Rental growth is easing, with the national index up just 1.3% in Q2 (lowest since 2020).

• Annual rental growth has dropped to 3.4%, from peaks above 8% in previous years.

• Darwin and Brisbane posted the strongest rental increases in Q2.

• Vacancy rates remain tight (~1%), keeping rental supply limited.

• Rental affordability constraints are slowing demand, as households now spend ~1/3 of income on rent.

Interest Rates & Outlook

• Inflation has returned to the RBA’s target band (2–3%), prompting forecasts of further cuts.

• The market expects the cash rate to fall to 3.1% by December 2025 and possibly to 2.9% in early 2026.

• Lower rates are expected to support borrowing, sentiment, and prices, but affordability may cap gains.

• New housing supply is not keeping pace, with approvals below long-term averages.

Risks & Constraints

• High household debt may limit lending growth.

• Lending policy remains cautious: only ~6% of new loans have debt-to-income ratios >6x.

• Lower migration and global geopolitical risks (e.g., Middle East, US-China tensions) could dampen demand.

• Despite improving conditions, affordability remains a major barrier to significant price acceleration.

Top Performers (Annual Value Growth):

• Capital Cities:

  • Darwin: +6.0%

  • Adelaide: +8.0%

  • Brisbane & Perth: +7.0%

• Regions:

  • Regional WA (Mid West): +22.6%

  • Regional QLD (Darling Downs West): +21.2%

  • Regional SA (Murray & Mallee): +15.8%

✅ Unconditional Approval Granted for a Tricky Refinance!

We’re thrilled to announce an unconditional approval for one of our more complex refinance clients — all within just 13 days!

🧩 The challenge?
Our client was on unpaid leave from their regular PAYG role, temporarily working as a consultant on a major infrastructure project in another state, invoicing weekly. However, they did not have two years of self-employed financials — a typical requirement.

💡 Our strategy:
We worked with the lender to treat the situation like a parental leave scenario, demonstrating that the client:

• Had sufficient savings to cover mortgage repayments and living expenses during the leave period,

• Could service the loan for the next 3 months, and

• Had a guaranteed return to PAYG employment at the end of the contract.

🛠️ Behind the scenes:
Before submission, we ran the scenario past the lender’s credit team to confirm it would be approvable with the right documents in place. This proactive approach paid off!

🎉 The result:
✅ Unconditional approval in just 13 days
🏡 $1,089,000 refinanced
📉 New interest rate: 5.49%
🙌 One very happy and relieved client!

🏡 QLD Boost to Buy Home Ownership Scheme

Helping First Home Buyers Get Into the Market Sooner

The Boost to Buy scheme is a significant initiative by the Queensland Government to help first home buyers overcome the deposit hurdle and secure a home of their own sooner.

🔍 How It Works

Boost to Buy provides a shared equity contribution toward your home purchase:

• ✅ Up to 30% for new homes

• ✅ Up to 25% for existing homes

This means you could buy a home with as little as 2% deposit saved, making homeownership far more accessible.

👤 Who’s Eligible?

• 🧍 Singles earning up to $150,000

• 👥 Couples/households (2 adults) earning up to $225,000

• Property must be valued up to $1 million

• You’ll need to contribute at least 2% of the property price from your own savings

📝 More eligibility criteria will be announced closer to launch.

📅 When Can You Apply?

• Applications are expected to open later in 2025

• In the meantime, register your interest to receive updates from the QLD Government

📦 Can You Combine This With Other Support?

Yes! Boost to Buy can be used alongside:

• The $30,000 First Home Buyer Grant (for new builds)

• Stamp duty concessions for first home buyers

💬 Need help navigating your options?

If you’d like to understand how these updates could impact your plans — whether you're refinancing, investing, or buying your first home — I’d love to chat.

👣 As your mortgage broker, I can help assess your eligibility and prepare you for launch. Let’s work together to put your Best Foot Forward toward homeownership, refinance, or property portfolio growth.

📅 Book a complimentary discovery call to discuss your current situation and future goals — no obligation, just a straightforward, honest knowledge-sharing session to help you now or in 3, 6, or 12 months’ time.

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