As developed nations such as the United States and Canada become more attractive to international investors, Australia’s prime real estate areas have also increased in market value on the global scale. Due to the altering investment strategies, which have been more involved in Australia’s real estate market, several factors attribute to the fact this large, developed nation in the Asia/Pacific region has continued to entice increased foreign investment from Sydney's suburbs to the Queensland region in the northeastern part of the country.
One particular that arguably makes Australia an incredibly attractive country to invest in is the nation’s current 4th place international ranking in relation to the “Index of the Economic Freedom.” This
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In addition, to these economic based factors, foreign investors are also attracted to the varied landscape of the country, which ranges from modern, financially convenient cities to stunning beaches which develop into other kinds of commercial business.
According to a recent study conducted by Property News, data has shown Chinese investors are the largest percentage to invest in Australian real estate, followed by United States’ citizens and business people from Malaysia, Canada and/or Singapore. As a result of the common interest for banks and the government to favor the housing industry, the majority of private banking assets are held in the residential real estate industry.
With investors incentivized to allocate funds into the lower-risk, often more stable housing market sector, the Australian Bureau of Statistics confirmed that two large cities, both Sydney and Melbourne are expected to see a large population increase through 2050. While investors could become more involved in commercial real estate in addition to the housing market, these business ventures prove to be far more expensive, riskier and often times not as financially beneficial for their