18/03/2025
Foreign investors banned from purchasing established homes in Australia
From 1 April 2025 to 31 March 2027, the Australian Government will impose a temporary ban on foreign purchasers (including temporary residents and foreign‑owned companies) of established dwelling unless an exception applies.
Property lawyers or conveyancers acting for purchasers should acquaint themselves with the meaning of ‘foreign person’ and the exceptions that are in place for permanent residents, New Zealand citizens and partners/spouses of Australian citizens, permanent residents or New Zealand citizens when purchased as joint tenants.
Definition of foreign person
Foreign person is defined in section 4 of the the Foreign Acquisitions and Takeovers Act 1975 (the Act) and the Foreign Acquisitions and Takeovers Regulation 2015 (the FAT Regulation), as modified by section 104J of the Duties Act 1997 (NSW).
Individuals who are New Zealand citizens
A New Zealand citizen who, on the relevant date, holds a special category visa within the meaning of section 32 of the Migration Act 1958 (Cth), and has actually been in Australia during 200 or more days of the 12 month period preceding the relevant date, is not a foreign person. A New Zealand citizen who does not hold a special category visa and is not ordinarily resident in Australia is a foreign person.
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