23 December 2008

Overseas investors to benefit from property investment changes

The Australian Government has made amendments to the regulations regarding property sales for overseas businesses and temporary residents, reports The Australian.

The changes have ensured the process is easier for residents on temporary Australian visas and overseas businesses to purchase property more easily by relaxing previously stringent rules.

The changes, which would affect around 7,500 overseas buyers and will be introduced in 2009, would update foreign investment screening arrangements.

Assistant Treasurer Chris Bowen said market flexibility would be enhanced when the new changes have been implemented, and costs for temporary residents and the construction industry will be reduced.

The definition of temporary residents will also be aligned with contemporary Australian visa categories.

Currently, if a foreign investor or temporary resident wishes to purchase property in Australia they need permission from the government to do so and must comply with post-purchase conditions.

The Foreign Investment Review Board is the assessing body for the government and 92 per cent of the applications it receives are for residential properties. 

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The Australian Visa Bureau is an independent consulting company specialising in helping people with emigrating to Australia.

Article by Jessica Bird, Australian Visa Bureau.