Overseas Buyers

What You Need To Know:

Australian Government’s foreign investment policy has been developed to encourage foreign investment consistent with community interests in Australia.

Foreign purchasers intending to acquire real estate in Australia must seek prior approval from the Government through the Foreign Investment Review Board unless specifically exempted by the Foreign Acquisitions and Takeovers Regulations.

Entering Into A Contract
If an acquisition is not exempt, foreign purchaser(s) must notify the Government prior to acquiring the interest. If they enter a contract, it should be conditional upon foreign investment approval, and they should ensure that it remains conditional until after foreign investment approval is granted.

Foreign persons are in breach of the FATA if they enter an unconditional contract to acquire property (or if their conditional contract becomes unconditional) before approval is granted and may be subject to significant penalties.

Who Is Exempt?
Exemptions include:

• acquisitions by Australian citizens resident abroad;
• acquisitions of property zoned residential by foreign nationals who hold permanent resident visas or hold, or who are eligible to hold, a ‘special category visa’ (eg a New Zealand citizen); and
• foreign persons purchasing, as joint tenants, with their Australian citizen spouse property that is zoned residential.

Under the Act, a foreign person is:

• a natural person not ordinarily resident in Australia;
• a corporation in which a natural person not ordinarily resident in Australia or a foreign corporation holds a controlling interest (that is, a holding of 15 percent or more);
• a corporation in which 2 or more persons, each of whom is either a natural person not ordinarily resident in Australia or a foreign corporation, hold an aggregate controlling interest (that is, a total holding of 40 percent or more);
• the trustee of a trust estate in which a natural person not ordinarily resident in Australia or a foreign corporation holds a substantial interest; or
• the trustee of a trust estate in which 2 or more persons, each of whom is either a natural person not ordinarily resident in Australia or a foreign corporation, hold an aggregate substantial interest.

How To Apply
Please refer to the How to Apply section to download the applicable forms or refer to the Urban Land Policy Guidelines for further information on restrictions and applications.

Email – firbapplications@treasury.gov.au

Phone 02 6263 3795
Fax – 02 6263 2940
Post – The Executive Member
Foreign Investment Review Board
c/- The Treasury
Langton Crescent
PARKES ACT 2600

Official FIRB website www.firb.gov.au