With the globalization of the world market, there are foreign investments in all the countries across the globe. With Australia being one of the most important markets in real estate, there are certainly many prospective buyers of property in the Australian market that are foreign buyers.
These foreign buyers would want to buy property as a personal home; some as for commercial use but the major buying goes down for the investment purposes. This is mainly because of the rates of the Australian real estate. The returns on the investment earned are higher than other markets.
Rules For All
But there are certain rules and regulations that one needs to follow in order to buy a property in Australia. For someone who is not a resident in Australia, there are certain restrictions that are necessary to consider. The non-residents must get approval from the Foreign Investment Review Board (FIRB) before they can start the process of buying a property. Moreover, there are certain rules and regulations that are to be considered. These are to be considered as the primary conditions for someone looking to live in Australia for the people who are non-resident and looking to change their permanent residence in Australia, it is a must that the home they live in is their primary residence.
For someone who does not intend to live in Australia and make the estate as their primary residence, such people are put into the category of investors. For the investors, buying of the house is not permitted. For them, it is necessary that they build their own home from scratch. Thus, the investors can buy land in the country but developing an estate is a whole different job which they will need to undertake.
Major Conditions To Look Into
Thus, the major conditions to take care of for foreign buyers of real estate in Australia are as follows:
- Any non-resident must get approval from the Foreign Investment Review Board (FIRB) before starting the process of buying property in Australia.
- A non-resident can buy a property for themselves as their home but it must be their primary home, they should reside there with their family.
- For someone who is looking for an investment in the property in Australia, they must build a new property. For someone who does not intend to live there but only wants to use it as an investment purpose, laws are designed such that they have to build a new estate. The stock for the raw materials is available throughout the country.
The national housing demand for the year was up to 5.2 per cent but that also differs from place to place where the property is to be brought.
Different Region For Different Purpose
For each motive, there is a different region to buy the property. The primary step is to make sure the motive of the purchase of the land and estate in Australia. The selection of a region is based solely on the purpose of buying.
There can be only so many reasons that people choose to buy a land in Australia- for their family and as their primary home, for their retirement, for students, for commercial office purposes and for the investment purpose who does not want to use it as their primary home.
Choice Of Location
The choice of the region is severely based on the location of the choice and the purpose. For someone who has decided their place of primary home and their retirement home, the location is already decided. For someone who is looking for commercial purposes, most parts are decided like the budget and the location, what is left is to make the right choice based on the available data for valuations in Brisbane. For students pursuing higher education in the country, the only places to live would be the most affordable ones. For investors however, the main thing to see is the cost that is incurred on making the real estate. The higher the cost the more time it will take to earn returns on investment. Thus, the choice made shall be smart based on the financial viewpoint.
Thus, Australian government and policies allow the foreigners to buy the land and develop their real estate based on certain conditions and these conditions are to be abided by. The country provides all the necessary supplies as there is a sufficient supply of new housing stock throughout the country.