Chinese Again a Significant Force in the Australian Property Market

While there is still strong local buyer activity in the apartment market in Australia, founder and managing director of Meriton, the largest apartment developer in Australia, Harry Triguboff, says Meriton’s recent sales results show a returning significant interest in the Australian market by Chinese buyers.

“Historically, the Chinese have had a strong desire to invest in Australia,” Mr Triguboff says.

“Due to stricter capital controls in China, sales plummeted over a number of years but Chinese investment in Australia has increased over recent months.

“It is not surprising.  The same fundamentals are still there,” he says.

Factors driving Chinese Investment in Australia include strong Australian economy and stability, weakening Australian dollar, excellent private schools and universities, potential for permanent residency and desire for overseas investment.

According to a recent story in Australian Broker News, “Chinese buyers are now more likely to search for property in Australia than in most other countries, according to new figures from Juwai IQI, as China’s domestic property market slows.

Australia ranked as the second-highest destination for inquiries on the Chinese-language listings website. In contrast the United States fell from top spot to seventh,” it reads.

In the story it quotes Kashif Ansari, Juwai IQI, co-founder and group chief executive of the largest Asian and Chinese international property portal in the world as saying Australia had climbed the ranking due to its strong fundamentals.

“The move reflects long-term realities like strong schools, political calm, lifestyle appeal, and a soft Australian dollar,” Ansari told journalist Mina Martin from Australian Broker News.

“Chinese buyers want schools, sun, and stability, and the lucky country delivers all three.”

It has been reported recently by America’s largest trade association, The National Association of Realtors that “between April 2023 and March 2024, Chinese buyers purchased $7.5 billion worth of US residential property, making them the second-largest group of foreign buyers by dollar volume, following Canadians.  This represents a significant decrease from the $13 billion spent the previous year, reflecting a drop of more than 40 per cent,” it reports.

“I think we have a very good balance now,” Mr Triguboff says.

“We need both local and international investors to better strengthen our economy.

“And it is not only the Chinese, we also welcome Indian, Nepalese and Korean buyers across our projects.

“There is plenty of room for everyone, particularly in Australia,” he says.