Foreign investment to increase - but not in housing
Minister for Trade and Investment, Andrew Robb has said that Austrade is now calling for submissions on proposed changes to the complying investment framework for certain visas.
In a November 27 statement, Mr Robb noted that the aim was to consult with stakeholders including government and industry bodies, with regards to changes to the Significant Investor Visa (SIV) and the creation of the new Premium Investment Visa (PIV).
What about real estate investment?
If you're busy applying for your first home loan and had a minor panic at the thought of more buyers entering the market, don't worry.
"The government has reaffirmed that direct investment in real estate has never been a complying investment under SIV and this will not change under the new complying investment framework," read the statement from Mr Robb.
Free trade agreements
In other news, the Prime Minister recently sealed the deal on some new Free Trade Agreements with Asian nations including China. Again - there is no danger to your home ownership goals from this quarter.
During a recent inquiry into the effect of foreign buyers in the domestic property market, the Standing Committee on Economics commented on the trade agreements entered into by the government. According to the official report issued on November 27:
"Given the recent success in delivering free trade agreements for the benefit of Australia, lest there be any confusion, it is important to note that residential property has never been part of any free trade agreement. Accordingly, none of the recent agreements with Japan, South Korea and China impact the screening arrangements for residential property."
When it comes to investment into Australia's economy, it's important to remember that stronger businesses often mean stronger markets for housing. As new commercial prospects take hold, surrounding developments could hold opportunities for local Australian property investors.
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