While there is an increasing amount of overseas investors purchasing homes in Australia, local buyers are still well placed to navigate the market amidst the heightened pressure, according to Ms Ceresa.
Australian Bureau of Statistics 2022 data revealed that foreign real estate investments accounted for 12.9 per cent of the total foreign direct investment – the second-largest industry after mining.
Ms Ceresa said overseas investors, particularly those from Singapore and other Asian countries, were drawn to purchasing in Australia due to proximity, a stable economy, economic growth, quality of life, real estate market performance and cultural connections.
“Perth is only about five hours away from Singapore, with education, weather, a shared time zone and a lifestyle appealing to foreign buyers” she said, adding that Australia’s emerging real estate developments and skills shortages in key industries drawing more migrants to the country has also proven to be appealing to international investors.
While the increase of foreign buyers has resulted in a challenging market, Ms Ceresa said local buyers were advantageously positioned and, while they should be aware of potential impacts on the real estate market, it was not productive to be overly concerned.
“Local buyers often have better insights into the local market dynamics and may be better positioned to navigate changing conditions” she said.
“For buyers planning to stay in a property for the long term, short-term fluctuations caused by migration or foreign investment might have less impact on their overall homeownership experience.
Ms Ceresa gave a number of tips for potential buyers to successfully attain a property.
“Working with experienced professionals and taking a proactive approach will increase your chances of fi nding the right property” she said.
“Consider consulting a local real estate agent who has in-depth knowledge of the market, as a skilled agent can provide insights, help you to find suitable properties and assist you in the whole process.
“Research market trends and neighbourhoods, have clear goals, get your finances in order, and define your property criteria and any specific preferences.
For the full article, see the Saturday 16 September edition of The West Real Estate.