However, a lot of this talk has been based purely on speculation rather than hard facts.
So it was interesting to see that in amongst all the information coming out of the “Federal Parliamentary Inquiry into Foreign Investment into Residential Real Estate”, (try saying that quickly three times in a row!), well known property market analysts, RP Data, put in a submission that put a lot of this speculation in perspective.
According to figures from RP Data, buyers who were residents of foreign countries represented just 6% of all purchasers of residential property in 2013. Even more interesting was the fact that of the 6,567 foreign buyers who purchased a new residential property, the average purchase price was $1,644,587.
The average purchase price for overseas buyers purchasing an established residential property was $1,254,656. So based on these figures, it seems that your average first home buyer has very little to worry about where overseas buyers are concerned…they’re clearly not competing for the same properties in any substantial numbers at all.
For those locals looking to buy at the upper end of the market, however, it could be a slightly different story.