Bringing back stricter rules for foreign investors in Australia is a good thing!

There’s been plenty of discussion in recent months about the increase of foreign buyers pushing up Australian real estate prices in established areas after the Federal Government relaxed the regulations last year.

You don’t have to be a rocket scientist to understand that relaxing the FIRB laws was always going to increase demand and apply pressure on prices to rise for the limited stock that is available already. After realising the consequences of its decision the Federal Government has announced more changes – some reverting back to the previous policy position while others are new.

You could be excused for being confused as to what the current state of play actually is when it comes down to the finer details. The best summary that I’ve found is on the Mallesons website which gives you a snapshot of the new requirements, the policy reversals and the regulations that are to remain the same: Foreign investment rules for residential acquisitions tightened - 28 April 2010