FIRB, full name is Foreign Investment Review Board, is an agency founded by the Australian Government to review applications from investing to invest in Australian assets (invested real estate).
Simply put,It is a legal certificate for overseas buyers to buy a home in Australia. Overseas can buy, own or transfer Australian properties only after receiving FIRB approval.
The purpose of this system is to ensure that foreign investment does not maintain the stability and fairness of the local housing market, while considering a balance in the supply of property to local residents.
Non-Australian citizens, non-permanent residents (PR), or temporary visa holders, such as a student or work visa holder, must apply for FIRB approval before purchasing a home.
Only Australian citizens and permanent residents can purchase properties without restrictions. This is also why, when buying a home, most overseas buyers often seek help from a lawyer or property consultant to process FIRB applications to ensure a smooth and compliant process.
For overseas persons, FIRB has clear opinions on the types of property purchases.
First of all,New Property is the most common and popular option, including a presale house, a newly completed apartment or villa.
Second,Buy Vacant Land It is also allowed, but construction must begin within four years, subject the approval conditions will be agreed.
Comparable,Second Hand Room (Established Property) It is forbidden for overseas buyers to purchase unless they are self-employed by foreign students or demolished after purchase. If an international student purchases a self-contained property, it must also be sold after graduation.
Promises, the “FIRB pre-approved” label, which is common in the market, argues that the project has been approved by the government and can be approved by overseas buyers, Making the process easier and faster.
FIRB application fees vary depending on the room price.
If the room price is Under AUD 100 million, cost estimate 14,700 AUD;
If the room price is between Between $100 million and AUD 200 million, then the fee is due 29,500 AUD.
THE HIGHER THE AMOUNT, THE HIGHER THE COST, AND THIS FEE ISnon-refundable, even if the last transaction is not completed.
Review time is required 30 days. Most buyers enlist a lawyer or intermediary to assist with the application to ensure that the documentation is complete and the process is correct. If you buy a FIRB pre-approved construction, the overall process can be completed in as little as two weeks.
Some people mistakenly believe that you can sign with a developer before discussing for a FIRB, which is actually one of the most common concerns.
The correct process should be:FIRST APPLY FOR FIRB → WAIT FOR APPROVAL → BEFORE Signing PURCHASE.
Signing an agreement without approval may result in invalidity of the transaction and even the risk of fines or legal risks.
You can think of FIRB”Visa to buy a home in Australia”.
It is not only a mandatory procedure for the legal purchase of a home, but also symbolizes the Australian government's regulatory mechanism for foreign investment in the housing market .
For buyers who want to invest, immigrate or plan to live in Australia,FIRB is the first ticket to open the way to buy a home.
