Pauline Hanson has called on the Albanese government to ban foreigners from owning property in Australia.
The One Nation leader told 2GB host Chris O’Keefe that the amount of housing foreigners were buying was ‘disgusting’.
Senator Hanson claimed that a low exchange rate and weak government policy had exacerbated the country’s housing crisis and made it easier for foreigners, particularly from China, to buy property.
“I have been calling for this for a long time,” said Senator Hanson.
‘It has increased, and the problem is actually worse. Look, the American dollar is about 70 cents to our dollar, even in the UK it’s about 54 cents to the dollar so they’re getting more value for their money.’
Pauline Hanson has called on the Albanese government to ban foreigners from owning property in Australia.
‘China is buying so much property and housing in Australia and it’s disgusting and it makes me so angry that politicians are doing nothing about it,’ added Senator Hanson.
Senator Hanson claimed Chinese investors were leading the foreign investor pack, spending about $7 million a day on accommodation in Australia.
He also claims that foreign investors are buying old and established properties despite government policy allowing only new housing purchases.
Foreigners buying property in Australia can only buy new properties or vacant lots unless they apply for approval from the Foreign Investment Review Board.
They can only buy an existing property if it has undergone a major renovation that increases the housing stock, such as turning one house into two townhouses.
Senator Hanson called on the government to ensure that properties bought by foreign investors comply with the law.
‘There is no proper investigation. That’s the problem,’ said Senator Hanson.
But the government wants it because it brings money into the country. The state government doesn’t want to get rid of it because they get stamp duty on housing.’
The One Nation leader claims foreign investors drive up housing costs resulting in high property prices that are out of reach for many Australians.
‘Owning your own home has been the Australian dream… people coming in won’t know it’, Senator Hanson said.
‘We have an estimated housing shortage of around 600,000 across Australia. People are living in tents, caravans, parks, it’s ridiculous in a country like this.
‘Stop foreign investment! Don’t allow them to have it… it drives up the cost of housing, putting out of reach for young people or those who want to buy their own home.
2GB host Chris O’Keefe (left) asked Senator Hanson if the problem was being ‘blown out of proportion’ but he argued the housing crisis was serious, claiming Chinese investors were making the crisis worse.
O’Keefe asked the senator if the issue was being ‘blown out of proportion’, claiming figures revealed foreign investment represented less than 1 per cent of Australia’s housing market in 2021 to 2022.
Senator Hanson argued the problem was serious, citing data from the Foreign Investment Review Board, which revealed Chinese investors spent $2.3 billion on housing in Australia from January 2022 to March 2023.
‘When you look at it, we have low housing stock for Australians. That’s it. What about it,’ said Senator Hanson.
‘Don’t allow foreign investment, you’ve got Chinese, Vietnamese, you’ve got Indians, you’ve got other people buying property across Australia.’
Many social media users agreed with the One Nation leader and suggested that foreign investors should be allowed to buy property if Australians could also buy a home in their country.
the poll
Should Australia ban foreigners from buying property?
One person wrote, ‘I have no problem with foreign nationals owning property in Australia, as long as Australians can own property in their own country.’
‘If their country won’t let us own land there, why should we let them own land here?’
Others claim the idea works in theory but would crash the Australian housing market if implemented.
‘If they do that, the housing market is likely to collapse. Without foreign buyers all Aussie homeowners would be stuffed,’ commented one person.
‘I think if you want to crash the property market then yes. So does he have a plan to prevent this or is this just another noisy thought bubble,’ wrote another.
A third chimed: ‘Great idea in theory, but in practice, the mother of all property accidents.’
Hanson argued that foreign investors were responsible for driving up house prices (pictured, the auction where the price was $400,000 above the guide).
Australians have also called on the government to adopt a policy similar to that introduced in January by Canadian Prime Minister Justin Trudeau, which bans foreigners from buying property in Canada.
Known as the Ban on the Purchase of Residential Property by Non-Canadian Acts, the bill seeks to address the country’s housing crisis by banning all outsiders — especially investors — from buying property across its 10 provinces.
China was the largest source of investment in Australian residential real estate with $2.3 billion invested from January 2022 to March 2023, according to government figures.
After China, the largest sources of residential investment came from Hong Kong and Vietnam – both at $0.4 billion.
India, where Antony Albanese is currently trying to attract investment, is ranked sixth according to the Foreign Investment Review Board.
How foreign investors can buy property in Australia
Foreigners are allowed to buy property in Australia, as long as they apply for approval from the Foreign Investment Review Board.
This makes Australia an attractive prospect for foreigners, especially the Chinese.
Generally, there are four ways to buy property.
1) New property: Australia encourages foreign investors to purchase new property as it allows them to finance construction and other industries.
2) Resale Property: If a foreigner has permanent resident status, they can buy ‘resale property’.
3) Student Visa: Student visa holders can buy property in Australia.
4) Wealthy: If you have a high income, you can become an Australian resident with a substantial investor visa.
This visa requires the holder to invest at least $5 million in Australian funds and hold it for at least four years.
Source: FlashFX