SMH : New fees, fines for foreign property investors
[The scheme could raise about $200 million a year by charging foreign home-buyers $5,000 for properties valued under $1 million and an additional $10,000 for every additional $1 million, Treasurer Joe Hockey said on Wednesday.]
[Mr Hockey said a register of foreign nationals buying real estate would be established and those who break the law would face a fine up to a quarter of the value of the property and could be forced to sell.
These integrity measures are absolutely essential for reassuring Australians when they go to an auction they are on a level playing field, Mr Hockey said.]
[Australian property has long been a popular choice for Chinese money - both legitimate and illegitimate - but the flow of investment appears to have accelerated.
Australia's foreign investment review board says China was the No.1 source of foreign capital investment in real estate in 2013, approving nearly $6 billion of investment, up 41 per cent from a year ago.]
[They will be subject to discussion for four weeks before they are finalised.]
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Will this have any effect on the property market? looks like the coming month is gonna get very interesting, especially for Sydney / Melbourne market. 1/4 of property price fine followed by a force sell is gonna really hurt.
If there is a sudden surge in listings then we'll know there is a lot of rule flouting by "foreigners".
[The scheme could raise about $200 million a year by charging foreign home-buyers $5,000 for properties valued under $1 million and an additional $10,000 for every additional $1 million, Treasurer Joe Hockey said on Wednesday.]
[Mr Hockey said a register of foreign nationals buying real estate would be established and those who break the law would face a fine up to a quarter of the value of the property and could be forced to sell.
These integrity measures are absolutely essential for reassuring Australians when they go to an auction they are on a level playing field, Mr Hockey said.]
[Australian property has long been a popular choice for Chinese money - both legitimate and illegitimate - but the flow of investment appears to have accelerated.
Australia's foreign investment review board says China was the No.1 source of foreign capital investment in real estate in 2013, approving nearly $6 billion of investment, up 41 per cent from a year ago.]
[They will be subject to discussion for four weeks before they are finalised.]
==============================================
Will this have any effect on the property market? looks like the coming month is gonna get very interesting, especially for Sydney / Melbourne market. 1/4 of property price fine followed by a force sell is gonna really hurt.
If there is a sudden surge in listings then we'll know there is a lot of rule flouting by "foreigners".