New rules attracting international buyers to Australia's real estate market

Australian property is starting to gain allure with oil and mining rich Russian buyers, who have been driven from the troubled Dubai market. Joining these investors in the Australian residential property market are buyers from South Africa, Malaysia and Singapore - all looking to take advantage of the recent change permitting full foreign ownership in new residential construction.

Research shows that Chinese and Russian investors are now the biggest foreign buyers of residential property in Australia - especially on the Gold Coast in Queensland. After the collapse of the property market in Dubai, investors are looking for safer markets. Last year, Chinese buyers finalized deals for approximately $22.8 million worth of houses and apartments, while Russian property investors signed for $22.7 million worth of property on the Gold Coast.

According to Harry Triguboff from Meriton - Australia’s biggest apartment developer - the proportion of Chinese buyers in some locations could be as high as 60%.

‘I would estimate that around $200 million of my sales come from buyers from China each year,’ said Triguboff, whose company, Meriton, has built thousands of apartments in Sydney, Brisbane and the Gold Coast.

The demand from overseas buyers has been boosted by changes introduced in 2008 by the Foreign Investment Review Board allowing 100% of a new residential project to be sold to offshore buyers. Foreigners could previously purchase only up to 50% of a new development.

For more information about buying property in Australia, speak to one of the property specialists at Intellichoice on +61 7 3624 1900. We have a range of property developments all around Australia, including Brisbane, Sunshine Coast, Gold Coast, Melbourne and Sydney and will be able to find a property to suit your lifestyle needs. Any property we recommend have also been FIRB approved, thus saving you time and hassle of having to fill out extra paperwork with the FIRB to purchase property in Australia.