Foreign Buyers Of Australian Property Could Be Hit With Extra Stamp Duty

A house in Stamore, Sydney.

A parliamentary committee investigating housing affordability is reportedly looking at a proposal to charge foreign property ­buyers extra stamp duties or fees.

Australia’s housing market has been rising for the last two years with the latest forecasts suggesting another 10% rise in the next 12 months.

The parliamentary committee is looking at a number of options, ­including a charge on Foreign ­Investment Review Board approval for residential property.

The joint-Coalition and Labor committee is also looking at whether extra stamp duty should be imposed on all foreign buyers.

Committee chair Kelly O’Dwyer told AFR Weekend that the committee would look at what other countries are doing to address distorting impacts of foreign investment.

The Reserve Bank of Australia says it believes that the influence foreign buyers have in driving up house prices is being overstated.

Housing affordability has been deteriorating faster in Sydney than any other state capital.

Business Insider Emails & Alerts

Site highlights each day to your inbox.

Follow Business Insider Australia on Facebook, Twitter, LinkedIn, and Instagram.