Can foreigners buy property in Australia?
This is a very common question that most people living in the US, UK, Singapore, Hongkong and other countries ask me.
It can be answered in many differnt ways depending on the context. I will keep things simple and try to give a plain, YES/NO answer followed by the conditions and the restrictions.
Yes, foreigners can buy property in Australia, but there are certain restrictions and requirements. Foreign investors, temporary residents, and short-term visa holders are allowed to buy investment properties and residential real estate, provided they are granted permission by the Foreign Investment Review Board.
The FIRB has a set of rules that only allow foreigners to purchase certain types of property, specifically new dwellings, vacant land, or off-the-plan properties. Existing homes cannot be purchased for the purpose of investment.
In order to buy property in Australia, foreigners must submit an application to the FIRB, which assesses non-Australian citizens who want to buy or invest in Australian property
It’s important to note that buying a property in Australia can be challenging if you’re not physically present in the country. This can be mitigated by hiring a Buyers Agent who will search the property for you and do all due diligence before you buy.
Who is a foreign person?
The simplest definition of a foreign person in Australia is; “A person who is not an Australian citizen or Permanent Resident”. I found this goverment website that gives simple definitions of different entites.
Scenario 1 : You already have a PR
You are moving from the UK or The US and have decided to retire in Australia. You plan to live here permanently and have your PR (permanent residency) visa approved. In this case you are not a foreign resident even if you are not physically present here. You can buy property like any other Australian. Check the following link to find a suitable property. It is the most popular and widely used website. You can compare it with Zillow (for US Citizens) or Rightmove if you are coming from the UK.
Alternatively, you can engage a Buyers agent who can search the property for you. Please send an email to [email protected] if you want to engage us.
Scenario 2 : You will have your PR soon.
You plan to live here permanently but your PR Visa application is under process. While you are waiting, you want to utilize this time and buy a home so that you can move into your dream house as soon as you arrive here. Just like previous scenario you, have the option to search yourself or engage a buyers agent.
It is important to note that you should not pay any deposit or initiate the sales process till you get your residency permit, to avoide extra fees and complications. You should seek the advice of a specialist before doing so. Send an email to [email protected] and get answers to your specific questions for free.
Scenario 3 : You want to invest in Australia.
You do not intend to live permanently in Australia but want to buy property as invesment. Australia is a hot desination for property investing due to its location, political stability, good economy and excellent capital growth. According to a NAB survey in 2022, almost 5% of the Australian property market is owned by overseas investors. It is a simple 4 step approach.
1. Decide the entity that will buy the property. It could be an individual, company, Trust or a partnership with local individual/company/Trust.
2. Get approval from Foreign Investment Review Board
3. Search and finalise the property.
4. Buy the property and complete all paperwork.
Ambyy Buyers Agency can take care of all the 4 steps above. Send an email to book a [email protected] free consultation session.
About the Author : Ambarish Jaiin is the Founder and CEO of Ambyy Buyers Agency. He has extensive experience in buying property for international clients. If you have a very specific question about buying property in Australia, you can connect with him directly at [email protected].