The Role of Foreign Investment in Australia’s Real Estate Market

What Is Foreign Investment in Australian Property?

Foreign investment refers to the purchase of Australian property by non-residents or temporary visa holders. Most overseas buyers are required to seek approval from the Foreign Investment Review Board (FIRB) before purchasing property.

Foreign buyers can typically:

• Buy new dwellings or off-the-plan properties
• Purchase vacant land for development
• Invest in build-to-rent or commercial real estate

They cannot usually buy established homes unless they are temporary residents planning to live in the home while in Australia.

Why Australia Attracts Global Property Buyers

Australia is seen as a safe, stable, and liveable country. Cities like Sydney, Melbourne, Brisbane, and Gold Coast have long been favourites for overseas buyers.

Key reasons include:

• Strong economic performance
• Stable legal and financial systems
• High-quality education and healthcare
• Lifestyle appeal with clean cities and natural beauty
• Potential for long-term capital growth

With ongoing migration and global interest, foreign investment plays an important part in supporting new housing supply, especially in the off-the-plan sector.

The Impact on First Home Buyers

Foreign investment increases activity in the new-build market, which can help fund construction and support housing supply. This is especially true for:

• Apartment towers in major cities
• Masterplanned communities
• Urban renewal precincts

These projects often set aside stock for local buyers, including first home buyers who are looking to purchase off the plan.

While foreign demand can place some pressure on prices, the Australian Government regulates access to ensure balance. For example, foreign investors are encouraged to add to housing supply, not compete directly in the established housing market.

Off-the-Plan Opportunities for Local Buyers

Because overseas buyers can only purchase new dwellings, they help increase the feasibility of off-the-plan projects. This means more developers can launch projects, creating:

• More choice for local first home buyers
• Increased housing stock in growth areas
• Better amenities and shared infrastructure

Suburbs across Western Sydney, South-East Queensland, and Inner Melbourne have all benefited from this kind of demand-led growth.

How Coposit Makes Local Buying Easier

While foreign buyers typically need full deposits and government approval, local buyers can take advantage of smarter purchase tools like Coposit.

Coposit allows first home buyers to:

• Secure a new home with just $10,000 upfront
• Pay the rest of the deposit in weekly instalments
• Avoid loans, interest, or debt pressure
• Buy off the plan while the property is being built

This approach makes it easier for Australians to compete in markets where new builds are in high demand, and where foreign investment may accelerate development timelines.

Balancing Global Demand with Local Access

Foreign investment continues to shape the real estate market by driving new supply and encouraging innovation in apartment design and masterplanning. For local buyers, this creates more options and broader access to brand-new homes.

With tools like Coposit, first home buyers can secure their place in the market, take advantage of off-the-plan opportunities, and enter growing suburbs that benefit from global demand and investment.

Off-the-Plan Buying in a Globally Backed Property Market

Australia’s property market is supported by both local and international investment. For first home buyers, this means more off-the-plan developments, better lifestyle precincts, and improved infrastructure.

With Coposit, you can enter this dynamic market with lower upfront costs, flexible payment plans, and access to brand-new homes across Sydney, Brisbane, and the Gold Coast.