Foreign Investment in Australian Residential Real Estate
Navigating the complexities of non-residents wanting to invest in Australia
At Tina James, we have first-hand experience navigating the complexities of foreign investment in Australian residential real estate. This short blog will provide insight into the minimum considerations required by non-residents wanting to invest in Australia.
Depending on individual circumstances, foreign investors should consider the following:
FIRB Approval Requirements: The Foreign Investment Review Board (FIRB) oversees foreign investment in Australia. In most cases, foreign investors need to apply for and receive FIRB approval before purchasing residential property. There are different rules depending on whether you're buying a new property or an established one.
Tax Considerations: Consult with a tax advisor regarding tax implications for foreign investors, including property taxes, capital gains tax, and any withholding taxes on rental income.
Legal Advice: Consult with a local solicitor or conveyancer who specialises in property law to help navigate the legal aspects of purchasing property in Australia and the FIRB application process.
Financing: Foreign investors may face stricter lending criteria and higher interest rates from Australian banks compared to domestic buyers. Explore financing options early in the planning process.
Resale of Property: Understand the regulations and potential costs associated with selling the property in the future, including any capital gains tax liabilities.
Compliance: Ensure ongoing compliance with FIRB rules and any other regulatory changes that may affect foreign property ownership.
Contact us to find out more about how we can assist you enter the Brisbane property market through our buyer’s agent services and to also be connected to our network of tried and trusted Finance and Legal professionals to expertly guide you through the legislative process.