Foreign property buyers are back in the market after a downturn during the Covid pandemic. The value of transactions hit almost 5-billion dollars over the past financial year with most of the buyers coming from China, but experts say discretions of the effect of foreign buyers on the market is often overblown.
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TVTranscript
00:00The latest data is from the Australian Taxation Office and the Foreign Investment Review Board.
00:07And what it's showing us is the past financial year that transactions both in terms of number
00:14and volume increased in terms of foreign buyers.
00:17So you saw almost $5 billion worth of transactions in the past financial year.
00:23Now that's up from $3.9 billion a year earlier.
00:27It's important to remember that this is just a fraction of the total transactions that
00:32go on in Australia every year.
00:34So over the past financial year, we saw more than $407 billion worth of transactions in
00:41residential real estate.
00:42So the foreign buyers are just about 1% of that.
00:46However, there has been an increase in interest from foreign buyers.
00:49So you're seeing more people from China, Hong Kong, and India looking to buy here.
00:55There are two types of foreign buyers that they're seeing come to the market.
00:58I've been speaking to real estate agents about it.
01:01They said the first category is your sort of investors, your more businessmen, your
01:06Chinese billionaires even who are buying luxury apartments in Sydney and Melbourne.
01:11And then you have another category of buyers who want to send their kids here to work,
01:17to study, to live here, to set up lives here.
01:20And so they're buying with a view to moving here in the future.
01:23So I'm currently in the southeastern suburb of Glen Waverley in Melbourne.
01:28This is where there's a lot of already Chinese, Indians, Sri Lankans that have established
01:34communities here.
01:35And behind me, there's a newly built property that is being targeted to foreign buyers.
01:40Now the price points here are quite high.
01:43So you're talking well over a million, getting closer to the $2 million mark.
01:47But it is the lifestyle that they're seeking.
01:50And that's why they're moving here.
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