AUSTRALIA
Foreign persons should also notify for review if
they have any doubt as to whether an investment
Australia (Commonwealth, State or Territory, or
local) or a statutory corporation formed for a public
Further information about buying real estate
The government has decided that some t y pes
of investment in real estate are contrary to the
national interest. This section outlines these
prohibitions as well as the t ypes of real estate
that foreign investors may buy and whether they
need government approval to do so. If you are
intending to buy real estate in Australia, you
should make your purchase contracts conditional
on foreig n investment approva l, un less you
already have approval or you are exempt from the
Foreign Acquisitions and Takeovers Act 1975.
Signif icant pena lties may apply to ineligible
owners of real estate.
Other exemptions may apply if you are:
· A company, trust or managed investment scheme
(primarily) for the benefit of individuals ordinarily
resident in Australia;
· An Australian corporation that is owned by
individuals who are exempt15 or an Australian
trust for the benefit of such individuals;
· A corporation that is providing custodian
services; or
· Buying shares in certain Australian urban land
corporations that are publicly listed on an
· Australian Stock Exchange, or units in certain
Australian urban land trusts,
· Buying residential real estate in Integrated Tourism
Resorts.
is notifiable.
Who is exempt?
You do not need government approval to buy
residential real estate if you are:
· an Australian citizen (living at home or overseas) or
·
·
·
you are ordinarily resident in Australia;
a New Zealand citizen;
a foreign national who holds an Australian
permanent resident visa; or
a foreign national buying a property as joint tenant
with an Australian citizen spouse.
Regardless of your citizenship or residency,
you do not need government approval for:
· New dwellings bought from a developer that has
pre-approval to sell them to foreign persons;
·
·
·
·
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An interest in a time share scheme that allows you
(and any associates) to use it for up to four weeks
per year;
Certain residential real estate in Integrated
Tourism Resorts – see below;
An interest acquired by will or devolution by
operation of law; or
An interest acquired from a government in
Offshore Handbook 2013
purpose.
You do not need the government’s approval to
buy residential property that is within the bounds
of a resort designated as an Integrated Tourism
Resort prior to September 1999. For resorts
designated from September 1999, the exemption
only applies to developed residential property
that is subject to a lease of 10 years or more to
the resort operator and that is available as tourist
accommodation when the owner does not occupy
it. The normal foreign investment rules apply to all
other property within the resort, including vacant
land for development. Conditions must be met to
qualify for designation.
WHEN SHOULD YOU APPLY?
You should lodge an application in advance
of any transaction, or you should make your
purchase contract conditional on foreign
investment approval. A transaction should not
proceed until the government advises you of the
outcome of its review.
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