How Aussie Expats Can Buy Australian Property Remotely
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Living and working abroad is exciting and challenging – but it can also mean you miss out on owning your piece of Australia while you are away! And potentially miss out on significant capital growth if you are away for a long period of time. The Australian property market has performed well over the long term and has shown exceptional resilience and growth. Over the past 30 years, Australian property has increased on average by 7.25% pa, according to an RBA research paper (Kohler & Merwe).
If you are like most expats, planning a 3 to 5-year jaunt – this often becomes ten years or more once the perks of overseas living kick in. Meanwhile, the property market in Sydney, Melbourne, Brisbane, and other capital cities continues to double in value every decade.
As an Aussie expat, whether you’re in New York, London, Singapore, Hong Kong, or Toronto, you’re probably keeping up to date on local news and seeing reports on rising house prices, new infrastructure projects, booming populations, and tightening in the supply and demand equation in many of our capital cities.
How Can You Get a Slice of the Action?
How can you buy your next home or investment property while living overseas? It’s not like shopping online and doing click and collect for your next property!
There are plenty of hidden dangers at stake buying remotely, and buying well requires a smart strategy and plenty of due diligence.
It’s vital that you have finances pre-approved before starting the search process, and the team at Odin Mortgage are best placed to assist with specialist services to expats and foreign buyers.
Using a professional buyer’s agent is the sensible way for an Australian citizen non resident buying property in Australia from overseas. Looking at online photos will never give you a real perspective of the aspect, the views, the smell, the height, the street appeal, the light, the feel, and the context of the property. A local expert buyer’s agent can check out the neighbours, the extent of renovation works, the extent of suburb gentrification, and local development activity.
How to Buy Your Dream Home in Australia as an Aussie Expat
A licensed buyer’s agent at propertybuyer (Australia’s most awarded and trusted Buyers Agents) will undertake these seven steps to help expats find their dream home.
- Create a Buyers Brief: This is the strategy document outlining the target suburbs, budget, type of property, key features and other requirements that are most important to you.
- Suburb Profiles: Once the target locations that suit your budget are determined, we give you a research report on key suburbs, including median prices, historical growth, yields, vacancy rates, and the most recent comparable sales in the local area.
- Research and Shortlist: We review and inspect hundreds of properties each week to create a suitable shortlist of the best available properties that meet your brief. Via our extensive network, we also uncover many off-market and pre-market opportunities to put you at the front of buying queue. We provide objective comments and advice and recommend the best ones to perform further due diligence.
- Evaluate: Once the best property is identified, we complete a detailed market appraisal, including a comparable sales analysis, pros and cons commentary and, if an investment, the projected yield and growth.
- Due Diligence: We organise independent pest and building inspections (or strata inspections for apartments), coordinate contract review by your solicitor and complete other research steps to ensure you are making the best decision to move forward.
- Auction and Negotiations: Based on our independent appraisal of value – we guide you on what price to offer and negotiate via private treaty or attend the auction on your behalf. This important step removes any emotion from the negotiation process and saves you from being worked over by the selling agents.
- Settlement Phase: The final step is getting ready for settlement. By now, your finance would have been unconditionally approved. If you are buying an investment property, we assist in selecting a local property manager to find and screen prospective tenants for you. We also attend the final pre-settlement inspection.
Get a free Australian mortgage assessment today.
Why Use a Buyer’s Agent
Buying property is not like buying a car or a pair of shoes – yet some people spend more time planning their annual holidays than researching the property market. The benefit of having a local buyer’s agent on the side means they save you huge amounts of time searching and can quickly pinpoint the right suburbs and opportunities.
Buyer’s agents also understand how selling agents act, think, and use that inside knowledge to their advantage. They get access to multiple off-market opportunities that the average buyer will never know about. They know how to negotiate the lowest possible price – even in the midst of stiff competition. They know the right moves to make at auction to make the winning bid and appear as if they have limitless money.
Whether you have $500k or $20 million to spend, our team at propertybuyer is here to help you. We have specialist buyer’s agents in Sydney, Melbourne, Brisbane and Newcastle (and more connections around Australia). We search high and low and leave no stone unturned for our clients.
We offer a specialised service with total discretion and anonymity for diplomats, celebrities or other public figures. We can be your eyes and ears on the ground (but without the paparazzi following you around). For families, singles, professionals, executives and all other types of buyers, we treat them like family. We understand that buying a property is one of the most significant financial decisions and requires professional support. With over 35 awards for excellence and multiple accreditations, you can be assured you are in safe hands with the propertybuyer team.
Please reach out today if you would like to find out more and visit https://www.propertybuyer.com.au/
About the Author
Rich Harvey is a buyer’s agent, economist, property investor and CEO of www.propertybuyer.com.au – a totally independent buyer’s agent that specialises in searching, appraising and negotiating real estate exclusively for buyers.
Rich and his team at propertybuyer have purchased over 3000 properties for their clients and won 35 major awards, including the prestigious National Telstra Business and National Buyer’s Agent “Award for Excellence”.
Rich has served as President of the Real Estate Buyers Agent Association of Australia (REBAA) and Chairman of the Buyers Agent Chapter of the Real Estate Institute of NSW to improve the professionalism and standards within the buyer’s agents industry.
Get a free Australian mortgage assessment today.
Frequently Asked Questions
How can Australian expats living in Singapore buy property in Australia remotely?
Here are some ways that Australian expats living in Singapore can buy property in Australia remotely:
- Work with a Buyer’s Agent: A buyer’s agent is a professional who can help you find and purchase property in Australia, even if you are not physically present. They will have the knowledge and experience to negotiate the best deal for you and to manage the entire buying process on your behalf.
- Use Online Property Portals: There are a number of online property portals that allow you to search for properties in Australia and to contact real estate agents. This can be a convenient way to start your search, but it is important to do your due diligence before making an offer.
- Attend Virtual Property Auctions: Virtual property auctions are becoming increasingly popular, as they allow you to bid on properties from anywhere in the world. However, it is important to be aware of the risks involved in bidding on a property without seeing it in person.
- Hire a Property Manager: Once you have purchased a property, you will need to hire a property manager to manage it on your behalf. This will ensure that the property is rented out and maintained properly, even if you are not physically present in Australia.
Can Aussie expats living in Hong Kong buy Australian property remotely?
Yes, Aussie expats living in Hong Kong can buy Australian property remotely. However, there are some things to keep in mind:
- You will need to apply to the Foreign Investment Review Board (FIRB) for permission to buy property in certain areas, such as near sensitive infrastructure or in areas with high demand for housing.
- You will need to provide evidence of your financial capacity to repay the loan, such as bank statements and pay slips.
- You may need to have a guarantor for the loan, such as a family member or friend who is an Australian resident.
- You will need to get a foreign resident loan from an Australian bank. These loans typically have higher interest rates than loans for Australian residents.
- You will need to pay foreign exchange fees when you transfer money from Hong Kong to Australia.
- You will need to pay stamp duty on the purchase of property in Australia. The amount of stamp duty you pay will depend on the value of the property.
- You will need to pay land tax on the property each year. The amount of land tax you pay will depend on the value of the property and the location of the property.
It is also important to be aware of the time difference between Hong Kong and Australia. This can make it difficult to communicate with real estate agents and other professionals involved in the buying process.
What can Aussie expats living in the UAE do to invest in Australian property remotely?
Here are some things that Aussie expats living in the UAE can do to invest in Australian property remotely:
- Work with a buyer’s agent: A buyer’s agent is a professional who can help you find and purchase property in Australia, even if you are not physically present. They will have the knowledge and experience to negotiate the best deal for you and to manage the entire buying process on your behalf.
- Use online property portals: There are a number of online property portals that allow you to search for properties in Australia and to contact real estate agents. This can be a convenient way to start your search, but it is important to do your due diligence before making an offer.
- Attend virtual property inspections: Virtual property inspections are becoming increasingly popular, as they allow you to view properties without having to travel to Australia. However, it is important to be aware of the limitations of virtual inspections and to make sure that you are comfortable with the process before making an offer.
- Hire a property manager: Once you have purchased a property, you will need to hire a property manager to manage it on your behalf. This will ensure that the property is rented out and maintained properly, even if you are not physically present in Australia.
- Consider investing in a property syndicate: A property syndicate is a group of investors who pool their money together to buy a property. This can be a good option for Aussie expats who want to invest in Australian property but do not have the time or expertise to do so themselves.
- Invest in a property investment trust (REIT): A REIT is a company that owns and manages a portfolio of properties. This can be a good option for Aussie expats who want to invest in Australian property but do not want to be involved in the day-to-day management of the property.
It is important to note that there are some restrictions on foreign investment in Australian property. You will need to apply to the Foreign Investment Review Board (FIRB) for permission to buy property in certain areas, such as near sensitive infrastructure or in areas with high demand for housing.
You will also need to provide evidence of your financial capacity to repay the loan, such as bank statements and pay slips. You may need to have a guarantor for the loan, such as a family member or friend who is an Australian resident.
You will also need to pay foreign exchange fees when you transfer money from the UAE to Australia. You will need to pay stamp duty on the purchase of property in Australia. The amount of stamp duty you pay will depend on the value of the property.
You will also need to pay land tax on the property each year. The amount of land tax you pay will depend on the value of the property and the location of the property.
If you are considering investing in Australian property, it is important to speak to a financial advisor or mortgage broker to get specific advice on your situation. They can help you understand the risks and rewards involved and can recommend the best way to proceed.
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