The residential development market scenario in Sydney and many parts of Australia are active in this year. There was a transaction over $1.30 billion of residential sites across the metropolitan city of Sydney and most of the important contributors of this investment are Chinese and Hong Kong-based investment companies. There was a slight change in the end rate of all the new apartment prices in comparison to the fast growth in the prices that the people saw in the last few years. However, the residential sales and the permanent established housing price growth are both increasing in higher rates.
Australia is one of the top three important destinations for the Asian property buyers mainly for the Chinese investors. The other two destinations are United Nations and Britain. In the entire country of Australia, Sydney is considered as the first choice for the property buyers and the demand is increasing in a larger extend. To cope up with such situation, Chinese investors are finding interest in other properties of Melbourne and Brisbane. Normally all the cities of Australia are of great demand and the Chinese buyers are investing the large amount of Australian Dollars on these properties.
In the recent real estate properties market, there is a massive emergence of the major Chinese investment organizations and groups who have significant thrust for residential development properties in the city of Sydney. This appetite for real estate properties will not come to an end in the future, rather it will increase in the upcoming days. The capital coming from the Chinese investors in Sydney are increasing in a great extent. The Foreign Review Board approvals in the FY 2013 has estimated that the total value of the capital related to the property investment by the Chinese investors was $5.9 billion, which increased from $4.2 billion as declared in FY 2012.
This evaluation is increasing day by day as more of the Chinese buyers are investing their money on the Australian lands. The larger investment organizations tend to invest their money on the large residential projects on a scale of more than 50 apartments or more and some small scale investors are making offices to develop multiple projects in the upcoming year of 2015. The investment is increasing as there are many beautiful properties in the cities of Melbourne, Brisbane and Sydney.
The number of Chinese property investors is increasing in Sydney due to several factors. The attractive factors that are driving the continuous Chinese investment in the Australian market include Significant Investor Visa, for those investors who can spend more than $ 5 million in the real estate properties. This SIV law was introduced in the year 2013.
Other factors like encouraging foreign investment legislation, weather of the place end lifestyle of the people, many educational facilities and low-interest rates from the local banks of Australia. One of the advantages of staying in Sydney and other cities in Australia is a good time difference between Asia and Australia than the United Nations and Britain. These all factors provoked the investors, and they have started their business in Australia.
In addition to all these factors, china’s decision to lower the interest rates in November 2014 adds to the interest of the investors remaining promptly active in the Sydney market.
Finally, it is concluded that the Australian real estate property market has underestimated the impact of the China-Australia Free Trade Agreement. Based on the above-discussed factors, it is clear that the Sydney’s housing development market activities have a long way to go.
Author’s Bio: Simon is an investor and invest on various residential and commercial properties and also writes articles related to real estate properties. He have a wide knowledge about the Properties for sale in Burswood.