Can a foreigner buy a property in Victoria?
Can a foreigner own a property in Australia? It is one of the frequently asked question. Short answer is yes. But..
There are some restrictions on the types of properties a non-resident can buy in Australia. Refer to our Foreign Property Investor page for more information.
In addition, a non-resident acquiring a property in Victoria, might be subjected to additional duty on the share of the property being acquired.
When does additional duty apply?
Additional duty applies to any arrangement or transaction involving the transfer of an interest in residential property to a foreign purchaser, including:
Buying a residential property at, for example, auction or by private sale.
Buying a non-residential property with the intention of converting it to residential property.
Being given a residential property as a gift.
Certain leasing arrangements in respect of residential property.
Rates of additional duty
For contracts, transactions, agreements and arrangements entered into on or after:
1 July 2015 but before 1 July 2016 (even if the settlement date is on or after 1 July 2016), the additional duty rate is 3 per cent.
1 July 2016, the additional duty rate is 7 per cent.
1 July 2019, the additional duty rate is 8 per cent.
More information can be found on the Victoria State Revenue Office website