Question 1

Q1  Can non-residents purchase property in Australia?

Accepted Answer

A: Yes, but non-residents must first obtain approval from the Foreign Investment Review Board (FIRB). Generally, non-residents are only permitted to purchase newly built homes or off-the-plan properties, and must pay the applicable FIRB application fees. Permanent residents or holders of certain types of visas are subject to fewer restrictions.

Question 2

Q2  What additional taxes are involved when buying property in Australia?

Accepted Answer

A: In addition to the standard stamp duty, foreign buyers are required to pay the Foreign Purchaser Additional Duty (FPAD), which varies by state (typically 7%–8% of the purchase price). Buyers may also incur land tax, local council rates, strata fees, and ongoing utility costs.

Question 3

Q3  What is the process of buying property in Australia?

Accepted Answer

A: The standard buying process includes:
 • Selecting a property and signing the purchase contract (usually includes a cooling-off period);
 • Submitting a FIRB application if required;
 • Engaging a solicitor or conveyancer to manage legal procedures;
 • Applying for a mortgage (through an Australian or international bank);
 • Completing settlement and making final payment.

Question 4

Q4  Can overseas buyers apply for home loans in Australia?

Accepted Answer

A: Yes.Non-residents can apply for loans, but the Loan-to-Value Ratio (LVR) is typically limited to 60%–70%, and interest rates may be higher. Some banks accept foreign income for loan assessments, although the criteria are usually stricter.

Question 5

Q5  Which Australian cities are ideal for property investment?

Accepted Answer

A: Popular choices include:
 • Sydney: High property prices but strong capital growth potential;
 • Melbourne: Great living environment, suitable for both self-use and investment;
 • Brisbane: More affordable housing and stable rental yields;
 • Adelaide and Perth: Suitable for long-term investment and increasingly attractive to international buyers.

Question 6

Q6  What risks are involved in investing in Australian real estate?

Accepted Answer

A: Common risks include:
 • Currency fluctuations (e.g., between HKD and AUD);
 • Interest rate increases, which can raise mortgage repayments;
 • Policy changes, especially those affecting foreign buyers.
 • Market volatility in local housing prices.

Question 7

Q7  What kind of rental yield can I expect in Australia?

Accepted Answer

A: This varies by location:
 • Brisbane / Adelaide: Approx. 4% to 5% rental yield;
 • Melbourne / Sydney: Around 2.5% to 4%, with greater potential for capital growth.

Question 8

Q8  What are the advantages of investing in Australian property?

Accepted Answer

A: Key benefits include:
 • Stable political and legal system;
 • Transparent real estate market with strong transaction protections;
 • Can serve as retirement income or part of long-term financial planning;
 • Supports children’s education and future immigration plans

Question 9

Q9  What are the ongoing costs after purchasing a property?

Accepted Answer

A: Ownership costs may include:
 • Council rates;
 • Utilities and insurance;
 • Property management fees if rented out;
 • Land tax, depending on the state.

Question 10

Q10  Do I need to be in Australia to buy a property?

Accepted Answer

A: No, you do not need to be physically present. You can authorise a local solicitor or agent to handle the entire process on your behalf. Contract signing and bank transactions can all be completed remotely.

FAQs
Buying Property in Australia

Frequently asked questions

Q1 Can non-residents purchase property in Australia?

Q2 What additional taxes are involved when buying property in Australia?

Q3 What is the process of buying property in Australia?

Q4 Can overseas buyers apply for home loans in Australia?

Q5 Which Australian cities are ideal for property investment?

Q6 What risks are involved in investing in Australian real estate?

Q7 What kind of rental yield can I expect in Australia?

Q8 What are the advantages of investing in Australian property?

Q9 What are the ongoing costs after purchasing a property?

Q10 Do I need to be in Australia to buy a property?

FAQs Buying Property in Australia