Australia is to outlaw foreigners from purchasing established homes, a step set to have extensive implications for Indians and other foreigners. The measure is part of proposed legislation directed at tackling Australia's housing affordability and foreign investment issues.
Chief Implications for Indians and Foreigners:
Home Ownership Restrictions: The ban will limit the buying of existing homes by foreigners, including Indians. This may affect migrants who intend to settle in the country and invest in property.
Effect on Property Market: The ban might result in a fall in property prices, making it easier for residents to purchase homes. It may, however, lower demand and impact the overall property market.
Exceptions and Loopholes: There is no word on whether exceptions or loopholes will be available for some, like those with Australian spouses or permanent residents. The government might clarify this in the next few days.
Reasons Behind the Ban:
Housing Affordability: The Australian government seeks to deal with issues of housing affordability, which has been a major concern in recent years. By limiting foreign ownership, the government is optimistic that it will make homes more available to locals.
Foreign Ownership: The prohibition is also meant to cut back foreign ownership of property in Australia. The government would like locals to have top priority access to homes and would like to keep foreign ownership from causing housing prices to inflate.
What's Next?
The planned legislation is due to be brought before parliament in the next few months, with the government giving more information about the ban and how it will work. Indians and other migrants looking to invest in Australian property or move to the country should remain alert to developments and take professional advice if necessary.