real estate, Australia

Chinese property buyers face tighter rules as real estate agents go for broke in 'Golden Week'

www.first2move.com.au 

Cashed-up Chinese property hunters will be treated to helicopter rides and "money-can't-buy" experiences when they flock to Australia next week, but higher taxes and tighter regulations have forced many of them to slash their budgets.

Key points:

About 6 million Chinese tourists will travel abroad during an eight-day national holiday

Sellers targeting Chinese buyers could see a 20 per cent increase in activity over that period

Chinese property buyer interest has already cooled because of tighter rules on money transfers out of China

The Chinese national holiday known as Golden Week is a lucrative time for many Australian real estate agents, who have been lining up some of the east coast's best homes to show.

One agent is hoping to ink more than $100 million worth of contracts after the week-long holiday, which has been extended to eight days this year because it coincides with China's mid-autumn festival, also known as the Moon Festival.

Chinese travel company Ctrip estimates about 6 million Chinese tourists will go abroad during the holiday, and Australia is one of the top five destinations.

Many of the travellers combine tourism with property hunting, and some have already been working with Australian real estate agents to source the perfect property.

Monika Tu, the director of Sydney-based real estate firm Black Diamondz, said she had undertaken a four-week campaign in local newspapers and on social media to find properties for her buyers because of a shortage of prestige properties in the $10–25 million bracket.

Her advertisements lists individual buyers' budgets and their criteria.

For example, a buyer with a $60-million budget wants a waterfront house in Sydney's eastern suburbs, with Harbour Bridge and Opera House views.

Another buyer, also interested in the eastern suburbs, has a $3-million budget to buy a two-bedroom apartment with two car parks.

Ms Tu said she had 17 prospective buyers booked during the holiday and they all had visas — mostly 188 significant-investor visas.

(Source: Australian Broadcasting Corporation )