The Federal Government’s decision to change the nation’s foreign investment framework to permit foreign buyers to purchase off-the-plan dwellings when other foreign buyers fail to reach settlement has been lauded by the Real Estate Institute of Western Australia (REIWA).

Neville Pozzi, chief executive officer of REIWA, said Australia’s national real estate body, the Real Estate Institute of Australia (REIA), has been instrumental in ensuring that these changes were passed into law. Pozzi believes these changes will greatly reduce the negative ramifications when off-the-plan sales to foreign buyers fail to push through.

“Off-the-plan developments are very prominent in Perth, so these changes will have a big impact on our local real estate industry by helping to eradicate the element of risk currently inherent with off-the-plan developments and foreign purchasers.  

“We commend REIA for their advocacy efforts on this issue and are thrilled with how quickly it has been addressed by the Federal Government,” he said.

The changes to the foreign investment framework went into effect on Monday, 28 November 2016.

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