The more we dive into the Australian property market, the more it becomes fascinating. Due to its stable economy & vigorous real estate market, it has become a popular option for investors around the world. And talking about Queensland, its promising lifestyle and growth opportunities are the main reasons why global property investors are drawn to this golden state. However, one of the most commonly asked questions is whether foreigners can buy property in Queensland or not.
The answer to this question is simply yes! Foreigners can buy a property in Queensland keeping certain terms & conditions in mind that are set by the Foreign Investment Review Board (FIRB).
In this post, we’ll explore some of the basics you need to know as a foreigner looking to buy property in Queensland.
Foreign Investment Review Board (FIRB) Approval
Whether you are a non-resident or a temporary resident you certainly need approval from FIRB. The FIRB evaluates foreign investment proposals to ensure they are in line with the best interests of the nation.
The properties encompass houses, apartments, and vacant land. FIRB approval is typically essential for both new and existing dwellings.
Types of Properties
A non-resident can only invest in properties such as new dwellings and vacant land. As per the definition of FIRB, new dwellings refer to properties that have not been previously sold as dwellings and have not been previously occupied.
The FIRB approves the purchase of vacant land on the condition that a property is built within four years of the approval date. After the construction is finished, it is necessary to submit the proof to the FIRB within 30 days.
And as long as there are motives to redevelop the property and expand the number of available housing units. So, with this motive, foreigners can also invest in already established dwellings.
Application Process
Before you sign in a contract to purchase a property, it is recommended to apply for FIRB approval. The application can be submitted online through ATO (Australian Tax Office). However, you need to be prepared with the required information about the property & yourself. The application fees may vary on the property value and are subject to change annually. For further details, you can go through their website.
Taxation
Foreign investors may also have to pay additional taxes. Like the Foreign Investment Surcharge Duty and Land Tax Surcharge, depending on the state or territory.
According to the most recent statistics from January 2024, here are the approved number of dwellings in various states and territories in Australia.
Based on this data, it is clear that an array of factors, including economic drivers, investor motives, and government policies, significantly influence the approval of dwellings.
Source: Australian Bureau of Statistics
Seek Professional Advice
Considering the complicated regulations surrounding foreign property ownership in Queensland and Australia as a whole, it is recommended to consult with real estate professionals before making any purchases.
Remember that, it is only a simplified overview for buying a property as a foreigner in Queensland. Whereas, it’s crucial to stay updated on FIRB regulations and consult a professional for step-by-step guidance.
