Are you an Australian Foreign Resident looking to get started in property investment? You may be able to find strong returns and stability if you do it right. Consider these tips on how you, as a foreign resident, can get into the Australian real estate market.
Get a team of registered professionals
It is essential to seek advice from a reliable team of registered professionals for such a big investment. To start, you should consider hiring a conveyancer or a solicitor so you won’t have to worry about all the legal work needed to purchase property. They will conduct the appropriate searches and inquiries on the property, organise the transfer of ownership, and review the contract before you sign it.
In addition, getting a mortgage broker that has experience in helping foreign residents to apply for a mortgage will increase your chances of getting approved. Furthermore, you’ll be on top of any home loan restrictions for foreign investors which will help you with your investment decisions.
If you want to save on tax on your property investment, then a professional property tax accountant is a must. At Chan & Naylor, our property tax accountants across Australia are renowned for their reliable tax advice and property tax accounting services. Contact a Chan & Naylor accountant here and we’ll help you to legally lower your taxes on your property investment.
Seek approval from the Foreign Investment Review Board (FIRB)
Non-residents who want to purchase properties in Australia must seek approval from the FIRB. Those who do not may face fines of up to $135,000, three years’ imprisonment or both. You can go to the FIRB website here to apply online.
It is important to note that non-resident buyers can only invest in new properties and not existing homes. There will also be application fees, and they vary depending on the value of the property:
- Properties that are $1 million or less: $5,000 application fee
- Properties that are $1 million to $1,999,999: $10,000 application fee
- Properties that are $2 million to $2,999,999: $20,000 application fee
- Properties that are $3 million or more: $10,000 per every $1 million application fee
- For each further $1 million increase: $10,000
Do the necessary research on their requirements so that you don’t buy any unqualified property for foreign residents. Visit the FIRB website and get approval before purchasing any property.
Find your ideal property investment
Once you get your loan pre-approved and have qualified with the FIRB, it’s time for you to find your ideal property investment in Australia. Australia is known all over the world for its charming diverse cities and natural beauty. With the migration trend expected to increase, now is a great time to invest in property. Just make sure you do it right by seeking professional advice and doing your research.
If you need assistance with property tax and home loans, contact a Chan & Naylor specialist near you, and we’ll be more than happy to help.
Aside from property tax compliance and loans assistance, have a look at our other accounting and advisory services that we do to help you achieve greater success.
Chan & Naylor Group has nationwide offices in North Sydney, South West Sydney, Sydney, Pymble and Parramatta in New South Wales, Melbourne, Moonee Ponds and Hawthorn in Victoria, Brisbane and Capalaba in Queensland, and East Perth in Western Australia that can assist foreign residents in Australia with lowering your taxes, home loans, as well as any other business or personal tax enquiry that you may have. Contact us today.