Can Foreigners Buy Property in Australia? 2026 FIRB Rules
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Can foreigners buy property in Australia? Yes, but the rules that govern how foreigners buy property in Australia changed fundamentally in 2025, and most APAC investors are still operating on outdated information.
This guide answers the question completely: what foreigners can and cannot buy, how much it costs, how the FIRB process works, and which Australian states make the most sense for APAC buyers who want to move forward in 2026. Every section is written in plain English, because the confusion around whether foreigners can buy property in Australia is costing APAC investors real opportunities every month.
If you are also evaluating New Zealand, read this first: What Is “Foreign Buyer Eligible” Property in New Zealand?
Why the Question “Can Foreigners Buy Property in Australia?” Has a New Answer in 2026
The short answer used to be: yes, with FIRB approval, foreigners can buy most types of Australian property. That answer is no longer complete.
From 1 April 2025 to 31 March 2027, the Australian Government introduced a temporary ban preventing foreign persons from purchasing established dwellings. This ban was confirmed by the Australian Taxation Office and applies to all foreign persons, including APAC investors, temporary residents, and foreign-owned companies.
So when APAC investors ask “can foreigners buy property in Australia?”, the honest 2026 answer is: yes, but only new builds, off-plan developments, and vacant land. Not existing homes. Not resale apartments. Not established townhouses.
This is not a technicality. It is the starting point for every APAC buyer who wants to understand whether and how foreigners can buy property in Australia right now.
Rule 1: Can Foreigners Buy Property in Australia, What Is and Is Not Permitted
Understanding what foreigners can buy property in Australia comes down to one dividing line: new or existing.
Foreigners can buy property in Australia if it is:
- A newly built dwelling not previously occupied or sold as a residence
- An off-the-plan development purchased before practical completion
- Vacant residential land, with a condition to commence construction within four years
- An existing dwelling purchased specifically for demolition and replacement with new supply (developer pathway, requires specific FIRB approval)
- Commercial real estate, separate rules, generally more accessible than residential
Foreigners cannot buy property in Australia if it is:
- An established (existing) residential dwelling, banned until at least 31 March 2027
- Agricultural land above certain value thresholds, separate foreign investment regime
- Residential land without a genuine build commitment
If you are asking whether foreigners can buy property in Australia and your target is an existing apartment in Sydney or a resale house in Melbourne, the answer is no, until March 2027 at the earliest.
Rule 2: Who Is Exempt, The 3 Nationalities That Do Not Need FIRB to Buy Property in Australia
When asking can foreigners buy property in Australia without FIRB approval, only three categories qualify:
- Australian citizens, full market access, any property, no FIRB required
- Australian permanent residents, full market access, no FIRB required
- New Zealand citizens, full exemption under the Trans-Tasman bilateral arrangement
No other nationality holds a residential FIRB exemption. Free Trade Agreements between Australia and the United States, Singapore, Japan, South Korea, China, and others apply only to commercial and business investments, not residential property.
Every other APAC investor, Korean, Singaporean, Taiwanese, Malaysian, Indian, Chinese, Japanese, Vietnamese, Thai, Filipino, and Hong Kong buyers, requires FIRB approval and pays the foreign buyer stamp duty surcharge on top. This is the most frequently misunderstood point when APAC buyers ask can foreigners buy property in Australia.
Rule 3: How FIRB Works, What Every APAC Buyer Asking Can Foreigners Buy Property in Australia Needs to Know
FIRB stands for Foreign Investment Review Board. It is the Australian Government body that assesses and approves foreign residential investment. Understanding FIRB is the core of answering can foreigners buy property in Australia in practice.
Who must apply for FIRB approval?
Any person who is not an Australian citizen, permanent resident, or New Zealand citizen must obtain FIRB approval before purchasing residential property in Australia. Temporary visa holders currently living in Australia must also apply, even if they are physically present in the country.
When do you apply?
FIRB approval must be obtained before contracts are exchanged. Purchasing Australian property without required FIRB approval is a serious legal breach, with penalties including forced divestiture and significant financial fines. Do not exchange without approval in place.
How long does it take?
Standard FIRB processing time is 30 days from receipt of a complete application, though complex applications can take up to 90 days. The Foreign Investment Review Board publishes current processing timeframes and guidance.
What does FIRB approval cost?
FIRB application fees are set by the government and are based on property value. Per the ATO’s current fee schedule:
| Property Value | FIRB Application Fee (AUD) |
|---|---|
| Up to $1,000,000 | $15,100 |
| Up to $2,000,000 | $30,300 |
| Up to $3,000,000 | $60,600 |
These fees are non-refundable, payable whether or not the purchase proceeds. On a $1 million Sydney apartment, the FIRB fee alone is $15,100 before stamp duty is calculated.
Rule 4: The True Cost, Can Foreigners Buy Property in Australia Without Paying a Surcharge? No.
This is the question most APAC buyers do not know to ask: even after FIRB approval, can foreigners buy property in Australia at the same price as a domestic buyer? The answer is no, every Australian state adds a foreign buyer stamp duty surcharge on top.
Three layers of upfront cost for every APAC buyer:
Layer 1: FIRB Application Fee
Non-refundable. $15,100 on a sub-$1M purchase.
Layer 2: Standard Stamp Duty (Transfer Duty)
Varies by state. On a $800,000 NSW purchase, approximately $31,335.
Layer 3: Foreign Buyer Stamp Duty Surcharge
Each state charges an additional surcharge on foreign buyers:
| State | Foreign Buyer Surcharge | Annual Land Tax Surcharge |
|---|---|---|
| New South Wales | 8% | 4% per year |
| Victoria | 8% | 2% per year |
| Queensland | 8% | 2% per year |
| South Australia | 7% | 0.5% per year |
| Western Australia | 7% | None |
| Tasmania | 3% | None |
| ACT | 0% | N/A |
| Northern Territory | 0% | N/A |
Rates are subject to change. Verify current rates with a qualified Australian tax adviser before purchasing.
What this looks like on a real purchase:
On an $800,000 Sydney new build apartment, a Korean, Malaysian, or Taiwanese buyer faces:
| Cost Item | Amount (AUD) |
|---|---|
| Standard stamp duty | ~$31,335 |
| Foreign buyer surcharge (8%) | $64,000 |
| FIRB application fee | $15,100 |
| Legal fees | ~$2,000–$3,500 |
| Total acquisition cost above purchase price | ~$112,435–$113,935 |
That is approximately 14% of the purchase price in acquisition costs alone, before the first mortgage payment is made.
Every APAC buyer asking can foreigners buy property in Australia needs to see this number before making a decision.
The New Zealand comparison:
An APAC buyer purchasing a Foreign Buyer Eligible new build in New Zealand pays no FIRB equivalent, no stamp duty, no foreign buyer surcharge. Legal fees only: approximately NZD $1,500–$3,000. Total acquisition cost: under NZD $5,000.
For APAC investors evaluating both markets through AsetraX, this is the defining cost comparison.
Rule 5: Can Foreigners Buy Property in Australia, Which States Make the Most Sense for APAC Buyers?
Once an APAC buyer understands what foreigners can buy property in Australia and what it costs, the next question is where. State selection materially affects both acquisition cost and investment return.
Western Australia (Perth), Lowest Surcharge, Highest Yield
WA’s 7% foreign buyer surcharge is slightly lower than NSW, VIC, and QLD’s 8%. No annual land tax surcharge applies to foreign buyers in WA. Perth new build houses and apartments from approximately AUD $500,000–$750,000. Gross residential yields of approximately 3.8%, the highest of any Australian capital city in 2026. This makes Perth the most cost-efficient answer to can foreigners buy property in Australia for yield-focused APAC buyers.
Queensland (Brisbane), Best Capital Growth Trajectory
Brisbane’s 2032 Olympics infrastructure pipeline is the strongest medium-term capital growth driver in Australia. Gross yields of approximately 3.3%. New build apartments in Brisbane’s inner ring from approximately AUD $650,000–$850,000. For APAC investors with a 10+ year horizon, Brisbane is the most compelling capital growth story.
New South Wales (Sydney), Premium Entry, Compressed Yield
Sydney is the most internationally recognised Australian property market. Gross yield approximately 3.0%, the lowest of any major Australian city. The 8% foreign buyer surcharge plus FIRB fee on a $900,000 Sydney apartment adds approximately $90,000+ in acquisition costs. Sydney’s investment case for APAC buyers asking can foreigners buy property in Australia is long-term capital growth, not yield.
Victoria (Melbourne), Strongest Liquidity, Recovering Market
Melbourne is recovering from its own correction cycle more slowly than Brisbane and Perth. Gross yields approximately 3.2%. Victoria’s 2% annual land tax surcharge is a meaningful holding cost for long-term APAC investors, a key factor when evaluating whether foreigners can buy property in Australia in this state with a positive return profile.
Tasmania (Hobart), Lowest Surcharge in Eastern Australia
Tasmania’s 3% foreign buyer surcharge is the lowest of any major eastern Australian market. Hobart waterfront new builds delivering 6%+ gross short-term rental yields are now accessible to APAC buyers at entry prices from approximately AUD $600,000–$700,000. An underutilised answer to can foreigners buy property in Australia for buyers who want yield without the east coast cost stack.
Rule 6: Can Foreigners Buy Property in Australia, The Step-by-Step Purchase Process
Understanding whether foreigners can buy property in Australia is the first step. Completing the purchase is the second. Here is the process in order:
Step 1: Appoint an Australian Solicitor or Conveyancer
State-registered, before anything else. Typical fee: AUD $1,500–$3,500. Your solicitor confirms eligibility, checks the property qualifies as new build, and manages the FIRB application.
Step 2: Submit Your FIRB Application
Via the ATO’s foreign investment portal. Pay the non-refundable fee. Await approval before proceeding. Do not exchange contracts first.
Step 3: Exchange Contracts, After FIRB Approval
Cooling off: 5 business days in NSW and QLD, 3 in VIC. Deposit: typically 10%. Settlement: 30–42 days for completed properties; at practical completion for off-plan.
Step 4: Arrange Currency Transfer
For purchases above AUD $500,000, engage a currency specialist and consider a forward contract to lock in exchange rates.
Step 5: Settle and Register Title
Your solicitor manages settlement. Title registers on the relevant state land titles register. You do not need to be physically present in Australia to complete settlement.
Step 6: Set Up Property Management and Tax Obligations
Standard management fees: 7–9% of gross weekly rent plus GST. Lodge annual FIRB compliance return. File Australian tax return for rental income. Check double tax agreement (DTA) relief with your home country tax adviser, Australia has DTAs with most APAC nations.
Rule 7: The Annual Vacancy Fee, A Cost Unique to Australia That Most Guides Miss
When foreigners buy property in Australia and leave it vacant, a second fee applies. This is one of the least-understood obligations for APAC investors asking can foreigners buy property in Australia.
Per the ATO, foreign buyers of Australian residential property face an annual vacancy fee if the property is unoccupied for more than 183 days in any 12-month period. The fee equals double the original FIRB application fee.
On an $800,000 apartment: annual vacancy fee if vacant 6+ months = AUD $30,200.
Ensure your Australian property is actively tenanted or genuinely available for rent. This is not optional compliance, it is a statutory obligation for every APAC investor who has asked can foreigners buy property in Australia and proceeded to purchase.
Can Foreigners Buy Property in Australia vs New Zealand, The Honest Side-by-Side
AsetraX is the ANZ property marketplace, which means we list both Australia and New Zealand. If you are asking can foreigners buy property in Australia, you should also be looking at this comparison.
| Factor | Australia (new build, APAC buyer) | New Zealand (new build, APAC buyer) |
|---|---|---|
| Ban on existing homes | Yes, until March 2027 | No |
| FIRB/OIA consent required | Yes, mandatory | No, Foreign Buyer Eligible pathway |
| Application fee | AUD $15,100 (sub-$1M) | None |
| Foreign buyer stamp duty surcharge | 7–8% of property value | None |
| Standard stamp duty | Yes (varies by state) | None |
| Total acquisition cost (APAC buyer) | ~AUD $80,000–$115,000 | ~NZD $2,000–$4,500 |
| Gross yield (new build) | 3.0–3.8% | 5.0–7.0% |
| Capital gains tax | Yes (CGT on sale) | No (hold 2+ years, no CGT) |
| Annual vacancy fee | Yes (if vacant 6+ months) | No |
The answer to can foreigners buy property in Australia is not simply yes or no. It is: yes, with significant upfront cost, compressed yield, and an established dwelling ban until March 2027. For APAC buyers who want yield now at low acquisition cost, the New Zealand case is materially stronger. For APAC buyers with a 10+ year capital growth horizon in Brisbane or Perth, Australia’s case still holds.
AsetraX lets you compare and search both.
Frequently Asked Questions: Can Foreigners Buy Property in Australia?
Can foreigners buy property in Australia in 2026?
Yes, but only new builds, off-plan developments, and vacant land. Foreigners cannot buy existing residential dwellings in Australia until at least 31 March 2027 due to the temporary foreign buyer ban.
Do New Zealand citizens need FIRB to buy property in Australia?
No. New Zealand citizens are fully exempt from FIRB requirements for Australian residential property, the only foreign nationality with this exemption. All other APAC nationalities require FIRB approval.
Can foreigners buy property in Australia without paying stamp duty?
No. Even with FIRB approval, all Australian states charge a foreign buyer stamp duty surcharge of 3–8% of property value on top of standard stamp duty.
Which Australian state is best for foreigners buying property in Australia?
For yield and lowest combined surcharge: Western Australia (Perth). For capital growth: Queensland (Brisbane). For lowest eastern state surcharge: Tasmania.
How long does FIRB take for foreigners buying property in Australia?
Standard processing is 30 days from a complete application. Complex cases may take up to 90 days. Apply before exchanging contracts, do not exchange first.
Can foreigners buy property in Australia off-the-plan?
Yes. Off-plan purchases qualify as new builds and are eligible for FIRB approval. Off-plan is the most common purchase pathway for APAC investors in Australia in 2026.
What happens if foreigners buy property in Australia without FIRB approval?
Forced divestiture and significant financial penalties. Enforcement has increased in recent years. Do not proceed without confirmed FIRB approval in writing.
Browse Foreign Buyer Eligible and FIRB Eligible Listings on AsetraX
AsetraX lists Australian properties with a FIRB Eligible filter, and New Zealand properties with a Foreign Buyer Eligible filter. Search exclusively for accessible inventory without wading through stock you cannot legally purchase.
For APAC investors comparing both markets:
- Australian listings, FIRB required, state stamp duty applies, strong long-term capital growth, yields 3.0–3.8%
- New Zealand listings, no FIRB equivalent, no stamp duty, yields 5.0–7.0%
Browse FIRB Eligible Australian listings on AsetraX →
Or read the full comparison:
- New Zealand vs Australia Property Investment for APAC Buyers 2026 →
- What Is Foreign Buyer Eligible Property in New Zealand? →
Questions before you search? Contact AsetraX directly. No sales pitch, no obligation.
This guide is for general information purposes only and does not constitute legal, financial, or tax advice. Australia’s foreign investment rules, FIRB fees, stamp duty surcharges, and the established dwelling ban are all subject to change. The foreign buyer ban on established dwellings applies from 1 April 2025 to 31 March 2027, confirm current rules with a qualified Australian solicitor before purchasing. This guide is updated regularly as rules and market conditions evolve.
