Buying property in Sydney: what foreign buyers need to know

By the ULTIMATE Sydney Editorial Team

The federal rules

The Australian Government’s policy is to channel foreign investment into new dwellings, so that it increases the housing stock. From 1 April 2025 to 30 June 2029, foreign investors are generally prohibited from purchasing established dwellings, with limited exceptions set out in the Guidance Note. Generally, foreign investors notify the Australian Taxation Office before acquiring residential land, regardless of value (foreigninvestment.gov.au).

Registering and the vacancy fee

When you buy or sell residential land you must notify the Register of Foreign Ownership of Australian Assets, and you pay an annual vacancy fee if the property is not residentially occupied or genuinely available for rent for more than 183 days in a year (foreigninvestment.gov.au). For help with applications, call the ATO on 1800 050 377.

Surcharge purchaser duty

Foreign individuals, trusts and corporations who acquire an interest in residential-related property in New South Wales may need to pay surcharge purchaser duty to Revenue NSW, on top of ordinary transfer duty; use its calculator, as the rules change with the state budget.

Where people live

See our property guide for the harbour east, Paddington and Woollahra, Mosman, Bondi, Manly and Barangaroo. We don’t publish prices or yields.

Questions and answers