European homebuyers outperform China in Australia’s property market
https://www.news.com.au/finance/real-estate...d309d73c7bebaa4
New data has revealed the top seven countries vying for Australia’s affluent property market, with international homeowners from one continent unexpectedly taking out the top spot.
When it comes to foreign buyers investing in the private real estate sector Down Under, commonly Chinese, Indian and Singaporean investors come to mind.
In fact, several polls conducted in the past highlight that Australians believe the Government is “allowing too much investment from China”, and buyers with an Asian background are driving up property prices.
However, research collated by global property insight platform Knight Frank has revealed that while investors from China and Singapore form part of Australia’s foreign buyers market, the country with the largest number of homebuyers purchasing Australian properties priced over $US2 million ($A3 million) is in a different continent altogether.
According to The Wealth Report 2023, the UK has the highest number of residents who own a multimillion dollar property in Australia, followed by the US.
While the report doesn’t specify the exact number of residents who have invested in the Australian property market from these two countries, market data from realestate.com.au shows search interest for Australian properties on its site has increased by 30 per cent collectively.
Nadine Goldfoot, managing partner at immigration legal group Fragomen in the UK, told Knight Frank the Covid-19 pandemic was a leading factor for Europeans who decided to relocate to Australia.
“The number of people who were suddenly able to do their existing work in a new country expanded rapidly,” she said.
“The ‘digital nomad’ boom has brought many more people into Across the globe, a large portion of foreign buyers purchasing properties valued over $US2 million ($A3 million) in the Switzerland, Spain, Portugal, Italy and South Africa markets were from the UK.
Meanwhile Australia’s foreign buyer market is also composed of residents from Spain, Canada and Hong Kong, with these three nations rounding out the Knight Frank’s buying patterns list for Australia.
Looking back at foreign buyer patterns in Australia, third and fourth places in Knight Frank’s analysis went to Singapore and the Chinese mainland respectively.
Senior director and head of residential and private office at Knight Frank in Singapore, Nicholas Keong, said Australia’s proximity to Singapore and Asian nations makes it appealing to foreign buyers living in such countries.
“Outbound capital has always been very UK-centric, and that will continue to be the case through 2023,” he said.
“[But] the US and Australia are also significant draws – Perth is just five hours away, Melbourne and Sydney around eight. They all have the education, weather and lifestyle to attract more investment.”
Chinese property-seekers are largely interested in purchasing a home in Melbourne, according to PropTrack data, followed by Sydney, Adelaide, Box Hill (Victoria) and Brisbane.
However looking into the future, Knight Frank’s Attitudes Survey reveals 86 per cent of ultra-high-net-worth individuals (UHNWI) – someone with a net worth of $US30 million ($A45 million) – from Malaysia are looking to purchase a home in Australia soon.
This is followed by 36 per cent of UHNWI’s from Singapore and 34 per cent from the Chinese mainland.
https://www.news.com.au/finance/real-estate...d309d73c7bebaa4
New data has revealed the top seven countries vying for Australia’s affluent property market, with international homeowners from one continent unexpectedly taking out the top spot.
When it comes to foreign buyers investing in the private real estate sector Down Under, commonly Chinese, Indian and Singaporean investors come to mind.
In fact, several polls conducted in the past highlight that Australians believe the Government is “allowing too much investment from China”, and buyers with an Asian background are driving up property prices.
However, research collated by global property insight platform Knight Frank has revealed that while investors from China and Singapore form part of Australia’s foreign buyers market, the country with the largest number of homebuyers purchasing Australian properties priced over $US2 million ($A3 million) is in a different continent altogether.
According to The Wealth Report 2023, the UK has the highest number of residents who own a multimillion dollar property in Australia, followed by the US.
While the report doesn’t specify the exact number of residents who have invested in the Australian property market from these two countries, market data from realestate.com.au shows search interest for Australian properties on its site has increased by 30 per cent collectively.
Nadine Goldfoot, managing partner at immigration legal group Fragomen in the UK, told Knight Frank the Covid-19 pandemic was a leading factor for Europeans who decided to relocate to Australia.
“The number of people who were suddenly able to do their existing work in a new country expanded rapidly,” she said.
“The ‘digital nomad’ boom has brought many more people into Across the globe, a large portion of foreign buyers purchasing properties valued over $US2 million ($A3 million) in the Switzerland, Spain, Portugal, Italy and South Africa markets were from the UK.
Meanwhile Australia’s foreign buyer market is also composed of residents from Spain, Canada and Hong Kong, with these three nations rounding out the Knight Frank’s buying patterns list for Australia.
Looking back at foreign buyer patterns in Australia, third and fourth places in Knight Frank’s analysis went to Singapore and the Chinese mainland respectively.
Senior director and head of residential and private office at Knight Frank in Singapore, Nicholas Keong, said Australia’s proximity to Singapore and Asian nations makes it appealing to foreign buyers living in such countries.
“Outbound capital has always been very UK-centric, and that will continue to be the case through 2023,” he said.
“[But] the US and Australia are also significant draws – Perth is just five hours away, Melbourne and Sydney around eight. They all have the education, weather and lifestyle to attract more investment.”
Chinese property-seekers are largely interested in purchasing a home in Melbourne, according to PropTrack data, followed by Sydney, Adelaide, Box Hill (Victoria) and Brisbane.
However looking into the future, Knight Frank’s Attitudes Survey reveals 86 per cent of ultra-high-net-worth individuals (UHNWI) – someone with a net worth of $US30 million ($A45 million) – from Malaysia are looking to purchase a home in Australia soon.
This is followed by 36 per cent of UHNWI’s from Singapore and 34 per cent from the Chinese mainland.
