Buying property in Australia as a foreigner

2026 to 27 schedule, residential land other than established dwellings:

• AUD 4,600 under AUD 75,000
• AUD 15,600 up to AUD 1m
• AUD 31,300 up to AUD 2m
• AUD 62,600 up to AUD 3m
• AUD 93,900 up to AUD 4m
• AUD 125,200 up to AUD 5m
• then AUD 31,300 for each further AUD 1m band

Established dwellings (only in the exception cases) cost three times as much for bands from AUD 75,000: AUD 13,800 under AUD 75,000, AUD 46,800 up to AUD 1m, AUD 93,900 up to AUD 2m, AUD 187,800 up to AUD 3m. Fees are indexed each 1 July. The Treasurer generally has 30 days to decide an application, extendable by up to 90 days (Guidance Note 2).

Fee applies only to foreign persons

9% of the dutiable value, in proportion to the share acquired by foreign persons, on top of ordinary transfer duty (Revenue NSW example: AUD 90,000 surcharge plus AUD 39,187 duty on AUD 1 million in 2026 to 27).

9% for residential related property bought by foreign persons; Australian citizens, ordinarily resident permanent residents (200 days in the previous year), exempt permanent residents and certain retirement visa holders are not foreign persons; exemptions for eligible build to rent and Australian based developers.

8% for agreements entered into on or after 1 July 2019

8% additional to ordinary land transfer duty, on the dutiable value of the foreign purchaser's share, for agreements on or after 1 July 2019. A New Zealand citizen counts as a foreign natural person unless ordinarily resident in Australia for 6 consecutive months in the 12 months before or after settlement.

Additional duty of 7% on residential property bought by foreign persons, plus landholder acquisitions

7%; exemptions include building 10 or more dwellings

An extra 8% of duty on transactions liable for transfer duty, landholder duty or corporate trustee duty, for foreign individuals, foreign corporations and trustees of foreign trusts.

8%. A foreign individual is anyone who is not an Australian citizen or permanent resident; a New Zealand citizen with a special category visa counts as a permanent resident.

7% on residential land

7%

8% of the dutiable value of residential property (section 30C Duties Act 2001) and 1.5% of primary production property (section 30E), for agreements on or after 1 April 2020; 3% for agreements before that date.

8% residential, 1.5% primary production; applies in proportion to the foreign share.

• An annual fee is due if a dwelling is not residentially occupied or genuinely available for rent (lease of at least 30 days; short stays under 30 days do not count) for at least 183 days in a 12 month period.
• It applies to foreign persons who applied for residential land approval on or after 9 May 2017.
• For vacancy years starting on or after 9 April 2024 the fee is generally double the application fee; the return is due within 30 days of the end of each vacancy year (Guidance Note 10).

Applies only to foreign owners

5% of land value for the 2025 land tax year onwards (4% for 2023 and 2024, 2% for 2018 to 2022), with no tax free threshold, proportional to the foreign owner's share.

Applies to foreign owners only; principal residence, build to rent and Australian based developer exemptions exist; a permanent resident abroad 165 or more days in a calendar year may be treated as foreign

• 4% from the 2024 land tax year (2% for 2020 to 2023), on top of general land tax and trust surcharge.
• Notice to the State Revenue Office is due by 15 January after the 31 December on which a person is an absentee owner.
• The page states that, following a High Court decision in October 2025, surcharge payable on or after 1 January 2018 is valid.

Applies to absentee individuals, corporations and trusts; build to rent developments can be exempt.

3% on land valued at AUD 350,000 or above owned by absentee individuals, and by foreign owned corporations and trustees of foreign trusts.

Absentee owners only, including foreign individuals (New Zealand citizens among them) without a permanent visa who do not usually live in Australia; Australian citizens and permanent visa holders are not absentees.

• 2% of the assessed land value of the foreign owned portion of general land, with no tax free threshold, for interests acquired on or after 1 July 2022.
• Applies to vacant land that could lawfully be used for housing and to land with a residential capable building.
• Short term accommodation businesses, industrial land, principal residence land and primary production land are excluded.

Foreign persons only (Land Tax Act 2000 Division 1A, sections 16A to 16J).

0.75% a year of the average unimproved value of residential land owned by a foreign person on the first day of a quarter, charged quarterly. The Land Tax Act 2004 (Part 2A, section 17E) imposes the surcharge.

Foreign individuals (not an Australian citizen, permanent resident or ordinarily resident), foreign corporations and trustees of foreign trusts; personal representatives of a deceased estate are excluded.

Foreign residents for tax purposes pay Australian tax on Australian rental income at the foreign resident scale: 30% on taxable income up to AUD 135,000, 37% from AUD 135,001 to AUD 190,000 and 45% above AUD 190,000, with no tax free threshold, for 2024 to 25 and later income years. The 32.5% rate to AUD 120,000 that applied before 1 July 2024 is out of date.

An Australian tax return is lodged each income year to declare the rental income and claim allowable deductions.

• Foreign residents are taxed on capital gains only from taxable Australian property, which includes taxable Australian real property (section 855 to 10 of the Income Tax Assessment Act 1997 disregards gains on other assets).
• The CGT discount is denied to the extent a gain accrued while a foreign or temporary resident after 8 May 2012 (sections 115 to 105 and 115 to 115, 0% if non resident for the whole holding period).
• From 1 July 2027 the compiled Act replaces the 50% discount for Australian resident individuals with indexation of the cost base (section 110 to 36(1A)), except a 50% discount for new residential dwellings (section 115 to 102); the indexation does not extend to foreign or temporary residents (section 114 to 25).

• Foreign resident capital gains withholding: for acquisitions on or after 1 January 2025 the purchaser pays 15% of the first element of the asset's cost base (generally the price) to the Commissioner on or before the day it becomes owner, with no value threshold (section 14 to 200 of Schedule 1 to the Taxation Administration Act 1953, as amended by Act No.
• 135 of 2024).
• The earlier AUD 750,000 threshold and 12.5% rate no longer apply.
• A Commissioner clearance certificate (section 14 to 220) or varied amount (section 14 to 235) changes the amount.

Main residence exemption (section 118 to 110): not available if at the time of the CGT event the person is an excluded foreign resident (continuously foreign resident for more than 6 years) or is a foreign resident who fails the life events test (foreign resident 6 years or less and, during that time, a terminal medical condition of the person, spouse or child under 18, the death of the spouse or a child under 18, or a relationship breakdown sale). An asset passing on death to a foreign resident beneficiary triggers CGT event K3 unless it is taxable Australian property (section 104 to 215).

Capital gains consequences on death exist: the deceased's assets are generally not taxed on death, a foreign resident beneficiary receiving non taxable Australian property triggers CGT event K3 (section 104 to 215), and the Foreign Acquisitions and Takeovers Regulation exempts acquisitions by devolution by operation of law (section 29), such as inheritance, from foreign investment screening.

Stream was AUD 5 million in approved investments; closed to new applications from July 2024

closed

Invitation only permanent visa for exceptionally talented applicants; not an investment route

open