Overseas buyers

HI
I was just wondering how do the chinese buy property here, when they are not Australian residents? I thought overseas investors were only able to buy a block of land or off the plan, so how can they already established properties?

Thanks Sue
 
Whilst I want the Asian market to continue spending money here on new projects it's an absolute travesty that so many are bloating our established residential market with obscene prices.

The FIRB clearly states that for foreign nationals, buying established property is illegal and I'd call for any real estate agent or lawyer aiding in this transaction to have their licence disqualified...

This issue is especially prevalent in the upper echelons ($10mil+) where Chinese mainland buyers can pay up to 30% more of what a property is worth, causing a ripple affect with other home owners that in turn locks out a good portion of our permanent residents from that market.

It needs to stop. Creation of property bubbles at it's finest.
 
I manage properties for a few Chinese cash buyers - people who have purchased and settled investment properties in cash - relax max they are all Australian citizens and prominent business people in Australia and overseas.

They make fantastic landlords because they have money, and culture, and ethics and clarity!

I was also born overseas and have bought a lot to Australia as did a lot of other foreign people.

Personally I LOVE working with people from Asia and Europe.
 
What if you thrive on property bubbles?...I love what I am seeing in Sydney...lambs to the slaughter.....:D

Whilst I want the Asian market to continue spending money here on new projects it's an absolute travesty that so many are bloating our established residential market with obscene prices.

The FIRB clearly states that for foreign nationals, buying established property is illegal and I'd call for any real estate agent or lawyer aiding in this transaction to have their licence disqualified...

This issue is especially prevalent in the upper echelons ($10mil+) where Chinese mainland buyers can pay up to 30% more of what a property is worth, causing a ripple affect with other home owners that in turn locks out a good portion of our permanent residents from that market.

It needs to stop. Creation of property bubbles at it's finest.
 
HI
I was just wondering how do the chinese buy property here, when they are not Australian residents? I thought overseas investors were only able to buy a block of land or off the plan, so how can they already established properties?

Thanks Sue

Foreign nationals can buy 2nd hand properties as long as they apply to FIRB and are approved. They have to sell when their visas expire and they leave.
You can read more here http://m.afr.com/p/national/facts_about_foreign_property_investors_eMWELkL22oEqQWlsFG3dWM
On the other hand, my question for you is how can you recognise 1) a local ABC buyer (australian born chinese) 2) an asian buyer with PR or citizenship but have only settled down for a few years or 3) a true overseas buyer?

Is your question pertaining to all foreign buyers or just the chinese community? This has already been discussed extensively here and on whirlpool.
 
Because our government is weak and lets them do what they want. Whats this new fee 5k? Ohh awesome thats gunna help heaps to fix overseas millionaire investors from buying houses here.
 
It is a shame yes that the government, when introducing those new foreign buyer breach fees, did not then detail how the extras revenue it'll earn from said fee collection, will be invested in improving housing affordability for Australian citizens and first home buyers.

I completely agree that the fee system will not prevent foreign buyers buying illegally and simply paying the fee as a 'cost of doing business'. That point is obvious. But these $5k+ fee collections add up and I wonder where that revenue will be out to his use by the government in the context of provision of more affordable housing...
 
It is a shame yes that the government, when introducing those new foreign buyer breach fees, did not then detail how the extras revenue it'll earn from said fee collection, will be invested in improving housing affordability for Australian citizens and first home buyers.

I completely agree that the fee system will not prevent foreign buyers buying illegally and simply paying the fee as a 'cost of doing business'. That point is obvious. But these $5k+ fee collections add up and I wonder where that revenue will be out to his use by the government in the context of provision of more affordable housing...
A parliamentary committee on foreign investment has already made recommendations as detailed here:

http://www.macrobusiness.com.au/2014/11/parliament-acts-on-dodgy-foreign-property-money/

And now they are consulting the public here:

http://www.treasury.gov.au/Consulta...ening-Australias-foreign-investment-framework

If there is a national register (& other measures) introduced as recommended and government start forcing some sales, with up to 25% of the property value that can be seized in fines, I'm not sure it will be so likely that illegal purchases continue or the consequences seen as "cost of doing business".

Hopefully they start cracking down on any corrupt Australians helping to make the illegal purchases, real estate agents, mortgage brokers, buyers agents and any others.
 
I manage properties for a few Chinese cash buyers - people who have purchased and settled investment properties in cash - relax max they are all Australian citizens and prominent business people in Australia and overseas.

They make fantastic landlords because they have money, and culture, and ethics and clarity!

I was also born overseas and have bought a lot to Australia as did a lot of other foreign people.

Personally I LOVE working with people from Asia and Europe.

Generalisations much? I'd like to think that you would not group people just because they have the same origin!

This is interesting

http://news.domain.com.au/domain/re...r-mansion-villa-del-mare-20150303-13twhs.html

edit: I see it has already been posted. Sorry!

Can foreign buyers just buy the property under a company name? I assume there are some more rules about it.
 
The OP was referring to non residents and non citizens NOT Aussies born overseas.

As Jake mentioned in an answer to the OP's question, non citizens generally buy established residential property by breaking the law.

The FIRB is a bit of a paper tiger but there was news recently about tighter enforcement and harsher penalties. Not holding my breathe though.

I manage properties for a few Chinese cash buyers - people who have purchased and settled investment properties in cash - relax max they are all Australian citizens and prominent business people in Australia and overseas.

They make fantastic landlords because they have money, and culture, and ethics and clarity!

I was also born overseas and have bought a lot to Australia as did a lot of other foreign people.

Personally I LOVE working with people from Asia and Europe.
 
Overseas Buyers can also buy secondhand property with a view to demolishing and re-developing. This is what was going to happen to Gough Whitlams old house in Kew.
 
Whilst I want the Asian market to continue spending money here on new projects it's an absolute travesty that so many are bloating our established residential market with obscene prices.

The FIRB clearly states that for foreign nationals, buying established property is illegal and I'd call for any real estate agent or lawyer aiding in this transaction to have their licence disqualified...

This issue is especially prevalent in the upper echelons ($10mil+) where Chinese mainland buyers can pay up to 30% more of what a property is worth, causing a ripple affect with other home owners that in turn locks out a good portion of our permanent residents from that market.

It needs to stop. Creation of property bubbles at it's finest.

There is a lot of misinformation around this issue and whilst I agree that regulation (particularly in regards to FIRB approvals) needs to be tightened, policed and accordingly dealt with (via fines, prosecution etc) it's important to get the facts straight here.

There is no "blanket rule" that foreign nationals can't buy established property. Since the introduction of the SIV in late 2012 (significant investor visa) which allowed foreign nationals to buy a PPOR if, amongst other stipulations, they invested a min. amount of funds ($5m and this excludes the PPOR purchase) into the relevant state economy via bonds and other govt complying funds there have been (obviously wealthy) upper end purchases that have occurred as a result here. Many members of the public are unaware of the existence of this SIV that was introduced.

We have assisted SIV holders in the past (as we have 457 visa holders) however, and as is common practice with any reputable buyers agency, we certainly require all evidence of visas, passports and other relevant documentation upfront before entering into any agreements with purchasers engaging our services. If they cannot provide, we simply don't take them on as clients. We also ensure that if FIRB approval is required, the purchase is subject to this occurring and an application is submitted via our client's solicitor.

I think it is very poor form to assume that all buyers agents are involved in illegal practices here in assisting non-conforming purchasers, as this is far from the truth. Indeed, at at a recent REBAA get-together, as buyers agents we were lambasting the selling agents and solicitors who are known to transact without cross-checking or obtaining FIRB approval. When we bought a property for a client recently that required FIRB approval (thus making the conditions subject to before going unconditional) the REA complained no end, making it clear that he had plenty of other buyers who didn't need to go through the "legal route to make a sale happen".....

I am in full agreeance of more accountability via regulation 100% but it needs to be policed diligently via this proposed register, by both state govts and FIRB (which badly requires more funding and staff if this is to work) and all property professionals and conveyancers/solicitors to be held accountable for confirming the residency/visa status of their clients before proceeding with any purchase or property transaction.
 
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