Online petition to toughen foreign investor rules hits 30,000 signatures
A petition on Change.org to toughen regulations on foreign investment in Australia has reached 30,000 signatures.
Just over a month ago signatures hit 6,000 and since then it has continued to gain popularity, putting further pressure on the Foreign Investment Review Board (FIRB) to tighten their rules.
With supporting information from Today Tonight and The Australian, Simon Hosking, the man who launched the petition, noted that he is unable to purchase property in China, Japan and many emerging economies, yet foreign buyers are able to purchase in Australia.
“Foreigners are laughing at us. Australians and our companies are not able to buy any property in China, as an example. Why foreigners should then be allowed to flout our flimsy FIRB rules in an almost unregulated way, threatening the viability of local buyers by forcing up prices,” Hosking said.
The petition, which will be sent to the executive members of the FIRB, asks for the introduction of more thorough testing of foreign buyers and their purchases, closer scrutiny of each purchase for irregularities and the toughening of regulations surrounding foreign investment in Australian properties.
Hosking says that the issue has been largely ignored by politicians, but noted that media interest and rising house prices have increased pressure on MPs to make a change.
Comments from those that had signed the petition expressed major concerns.
“I would not just be concerned about these illegal purchases in the cities. Foreign ownership of our arable farming land is increasing at an alarming rate also. Our food source is in danger of being controlled by foreign interests. Only limited and controlled foreign investment is good for Australia,” says Lorraine Apap.
“Only let Australian citizen purchase properties in Australia otherwise our children will never be able to purchase their own home,” writes Marilyn Hansen.
“If it’s impossible to buy property as a foreigner in China or Japan...or any other country, then it should also be the case for that would be foreign buyer. I say that the corruption going on within the real estate industry is an outrage. In china you would be shot for this... on the other hand, the people doing the shooting are probably doing the buying,” says Murray King.
To counter these issues a $1,500 foreign investor fee has been proposed by the Abbott government, leaving local investors even more unhappy.
“This is cruel joke on all Australian families," said Hosking.
"My research indicates clearly, foreign investors are paying sometimes $100, 000 to $400,000 above the reserve price. So a $1,500 application fee is hardly going to stop them from buying; is it?
"Hong Kong foreign investors pay 15% stamp duty. This type of impost implemented here, would provide a valuable revenue source and create a level playing field.
"At the moment foreign investors are getting a free ride and a free entry; at the locals' expense.”
