Welcome to the Terra Australis, southern land, New Holland, or today known as Australia. Australia, a land down below. Land of people we all make jokes about until we meet them and realize we are all the same. Have you ever think about moving and how you are going to get used to something new? The answer is simple, you can do it, but, of course, there are some rules and regulations about the home buying process.
Try to apply and move
First, you must apply to Foreign Investment Review Board to get approval for buying a house or property. Choose some of the nicest towns there. Foreign Investment Review Board policy is to channel foreign money (investment) into creating jobs in construction to bolster the economy of Australia. So according to this, the home buying process for non – residents of Australia is a thing to do. In Australia you can:
- Buy a home to live in – Buying a home to live in will be approved if you are a temporary Australian resident. When you leave without becoming a permanent resident, you must be sold the home.
- Vacant land – Buying Vacant land will be approved when you provide documentation and plans for construction that will be done in the next four years.
- New Buildings – Buying a new building are usually approved without a condition.
- Established dwellings – Buying Established dwellings can only be bought if you plan to demolish existing ones and build new ones but only if the number of dwellings is higher than the demolished ones.
The Foreign Investment Review Board application process
Non – residents must have approval from FIRB to acquire an interest in the property and to start the home buying process. To get apply for approval from FIRB follow the next simple steps:
- Go to the Australian Tax Office (ATO) website and click ‘Start your application’ on the ‘Foreign Investment in Australia’ page.
- Fill out the form with all relevant personal details, passport, and visa details.
- Provide details of the dwelling you wish to purchase.
- Sign and submit the application, paying the appropriate fee. State to State Move can help you with the rest. They will make this relocation process eas
- Wait to hear back on the decision of your application. There is a statutory period of 30 days available for the decision to be made and a further 10 days to notify the applicant of the outcome.
Exemptions for Australian resident abroad
If you’re an Australian resident these rules won’t apply to you. Also, some groups do not need approval from FIRB.
- Australian citizens
- New Zealand citizens
- Australian permanent visa holders
- Foreigners purchasing property as joint tenants who have a spouse who satisfies one of the above.
Loans for buying home or property for foreigners
This one is a bit hard what if you’re leaving the US for good and you’re not an Aussie citizen. Many lenders require to be an Aussie citizen. They see foreign loans as a great risk, and when you manage to find some that offer loans without citizenship with very strict restrictions. And you may have to deposit in many cases greater than 20% of property value. In some cases, lenders may require foreigners to have an income earned in Australia.
But in the end, Australia is a great opportunity for investment and for starting the home buying process. If you are planning to live there first apply for citizenship to avoid a lot of FIRB rules. And you are an investor, 20% won’t be trouble for you.