Owning a family home in Australia
Owning a family home is the embodiment of the modern American dream, and it’s also become an important life step for families in Australia.
Why bring up Australia? The Australian dollar has picked up which means a number of American families are now considering relocating their families overseas for work. Australia offers a high standard of living and quality of life, with an attractive 4 weeks’ annual holiday leave minimum.
If you are looking at relocating to Australia, you’ll be thinking about what your residence options are. Do I rent a home overseas and take on a tenant here? Can I buy a home for my family in a new country? What else do I need to know?
Buying a home in Australia as a foreigner
If you’re relocating and are looking to purchase a new home in Australia, as a foreigner, you’ll need to get prior approval from the Australian Government. The Australian Government looks to foreign property investment as a way of increasing the existing supply of homes for Australian residents overall. This means that foreign purchases will usually need to be for vacant land where new homes can be constructed or they’ll be investment in new developments and land packages. If you’re looking to get approval to buy a home in Australia, you can find out more at www.firb.gov.au
Buying a home in Australia as a permanent resident
For some, the overseas move could be a permanent decision and there are a few opportunities for workers to permanently relocate to Australia for work.
If you do opt to become a permanent resident in Australia, there will be a few more options available to you when it comes to home purchasing.
In Australia, first home buyers that are permanent residents or Australian citizens will often qualify for the First Home Owners Grant of $7000, which has been designed to help new home owners get some of the funds they need to make that first home purchase. Many states also offer stamp duty concessions to first home buyers, where you’ll have to pay less duty and tax on your home purchase.
In terms of the state of the market, Australian house prices in capital cities have been fluctuating as of late, with an article in The Economist claiming that house prices are over inflated. If you are looking at purchasing property in Australia it’ll be worthwhile to do your research to understand the different circumstances and conditions that surround the purchase.
If you’re reaching for the American dream – there’s nothing that says it has to be in America.
(Optional Author Bio): Paige Green writes for a finance and home loan provider in Sydney, Australia.