Chinese buy $68bn of Australia homes06 June 2015 by News Desk
Chinese buyers purchased $8bn of residential property in Australia in the past 12 months and this figure is expected to rise by a further $60bn over the next six years.
Demand for housing from Chinese buyers has risen 60% in the past year and now represents 15% of national housing supply in Australia, according to a new report by Credit Suisse that shows residential property purchases by Chinese buyers has more than doubled over the past six years.
Darrell Todd, CEO of thinkingaustralia, says: “Proposed new foreign investment rules will refocus foreign investment demand into new housing and away from established housing. This will boost construction of new homes, which will be good for the jobs market and good for the economy”.
The report showed that purchases by Chinese buyers are concentrated in Sydney and Melbourne with the two cities receiving $7 billion or 80% of Chinese demand.
Growth in Chinese demand for Australian property will be driven by two per cent annual growth in new settlers from China and Hong Kong, while investment from Chinese buyers is set to rise at 5% per annum.