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Buying property in Queensland as a foreign person involves extra costs and, in some cases, extra approval steps beyond what an Australian citizen or permanent resident faces. This guide covers the basics of Queensland’s additional foreign acquirer duty, the foreign land tax surcharge, and federal foreign investment rules, and why your own status needs to be confirmed properly rather than assumed.
Who May Be Treated as a Foreign Buyer
Whether someone counts as a foreign person for Queensland duty purposes, and for federal foreign investment purposes, depends on specific rules around citizenship, visa status, permanent residency, and how an entity such as a company or trust is structured and owned. These rules are genuinely technical, and two buyers in seemingly similar situations can end up with different outcomes. The Queensland Revenue Office (QRO) publishes definitions and guidance specifically for this purpose, and that is the appropriate place to confirm your status rather than relying on assumptions or general advice from a friend or a real estate listing.
Additional Foreign Acquirer Duty (AFAD)
AFAD is an additional 8 percent of duty, on top of standard transfer duty, that applies when a foreign person acquires AFAD residential land in Queensland, and it can also apply to landholder duty and corporate trustee duty transactions. AFAD is administered by the Queensland Revenue Office, which provides an interactive tool to help work through whether a specific transaction is affected.
Foreign Land Tax Surcharge
Separately from AFAD, Queensland applies a land tax surcharge for foreign owners of land, which is not limited to residential property. This surcharge is an additional 3 percent on top of the general land tax rate. AFAD and the land tax surcharge are separate charges assessed under separate rules, so being liable for one does not automatically tell you your position on the other.
Federal Foreign Investment Approval
Beyond Queensland’s own duty and land tax rules, foreign persons generally need approval from the Foreign Investment Review Board (FIRB) process to buy Australian residential property. A significant recent change is a temporary federal ban on foreign persons buying established dwellings, in effect from 1 April 2025 and extended in the 2026-27 Budget through to 30 June 2029. Limited exceptions exist, including redevelopment that adds at least 20 additional dwellings, housing delivered at a commercial scale such as build-to-rent or student accommodation, and certain acquisitions supporting worker housing from Pacific Island countries and Timor-Leste. New Zealand citizens are exempt from this particular ban.
Why This Needs Individual Verification
Because AFAD, the land tax surcharge, and federal foreign investment rules are assessed separately, under separate legislation, and depend on your specific citizenship, visa, residency, or entity structure, a general summary like this one cannot tell you your personal position. Confirming your status against QRO’s own AFAD guidance and the current federal foreign investment rules, for your specific circumstances, is essential before you commit to a purchase.
When Legal or Tax Advice Is Necessary
Given the financial stakes, an additional 8 percent duty and a 3 percent land tax surcharge are significant amounts on a Queensland property purchase, and the potential federal approval requirements and restrictions, this is a situation where a solicitor or conveyancer experienced in foreign buyer transactions, and where relevant a tax adviser, should be engaged before you sign a contract, not after.
Where This Fits Into Your Research
See our guide to choosing a conveyancer or solicitor and our broader guide on what to check before making an offer.
Where Narevella Can Help
Our free Queensland Property Research Checklist covers the wider pre-purchase research process. For a specific address, our Property Review can help with independent research, alongside the specific advice you obtain on your foreign buyer status.
Disclaimer
This guide provides general research information only and is not tax, legal, or migration advice. Foreign buyer rules are complex, assessed on an individual basis, and can change. Always confirm your current position with the Queensland Revenue Office, the relevant federal foreign investment authority, and a qualified solicitor or tax adviser before signing a contract.
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