The Government is now considering introducing a new law to allow Australians to buy a property without paying the upfront costs of building it, in a move aimed at encouraging foreign buyers.
Key points:The Government is looking at how to incentivise foreign buyers to buy Australian homesThe legislation could include a cap on the amount a person could purchase a homeA Government spokesperson said the new law would provide a “fair playing field” for foreign buyersThe proposed legislation, which would also apply to foreign investors, was revealed in the Federal Budget on Monday, as the Government considers the impact of a proposed national cap on foreign buyers of property in the country.
It is believed to be the first time the Government has tackled the issue of foreign buyers buying Australian properties.
The proposed law would also include a limit on the value of a home, and could also be used to help encourage foreign investors to buy property in Australia.
Currently, anyone can purchase a property in Queensland, Victoria, New South Wales and Tasmania without having to pay upfront for construction.
The Government said the legislation would encourage foreign buyers and encourage the creation of “fair-playing fields”.
The legislation would also make it easier for people to get an Australian visa, allowing them to apply for a temporary visa.
Under the legislation, the Government would consider offering a fixed price for a property, allowing people to buy and sell property quickly, and avoid the costs of paying upfront costs.
This could be in addition to any existing foreign investment tax incentives that are already in place, or be a new tax on the foreign buyer’s income.
Foreign investors will also be eligible to receive a $500 visa discount for people purchasing a property from Australia.
“It’s about fair playing fields, not charging more than the current market rate,” the Government spokesperson told AM.
“That means that people who can afford to pay will have a better chance of getting a property that they want.”
This new policy is part of the Government’s plan to reduce barriers to investment for Australian workers and small businesses.
“It will also include an option to reduce the cap on a property’s value to less than $1 million.
The new legislation is expected to be passed by the Parliament next week, and will go before the Senate next month.
The Federal Government says it is “committed to providing an affordable, attractive and well-qualified first home for Australian citizens, who have made Australia their home” but said it would consider the impact the cap could have on the cost of buying a property.”
We know that when a home is offered at an affordable price, it is often the most appealing option,” the spokesperson said.”
So we are reviewing the impact on the price of a property for foreign nationals, as well as for those already in Australia, as we consider the policy impact.
“The new law will not apply to existing residents of Australia.
Foreigners would also need to prove they were the sole owner of the property before they could apply.
Foreign buyers are currently required to provide a stamp from their Australian address to prove ownership.
Under this scheme, the stamp costs $1.00, while the cost to the owner would be $5.00.
Foreign nationals living in Australia would be able to apply to buy the property online for $200, and can apply for an extension of the stamp, up to a maximum of four years.
The Australian Competition and Consumer Commission is currently considering whether to launch an investigation into whether the stamping scheme discriminates against foreign buyers or not.
The ACT Government is also investigating whether foreign buyers are unfairly being charged higher fees for buying property in Australian states.