The government says less than 1% of houses are bought by foreigners. I don’t believe them. State governments say it’s at least double that, real estate agents say it’s 10%!
I have been asking for detailed data on how they get to that number for 9 months now without answers.
The government is hiding the true extent of foreign ownership from Australians while we’re in the middle of a housing crisis.
Transcript
Senator ROBERTS: My question is to the Minister representing the Treasurer, Senator Gallagher. Overwhelmingly, Australians don’t believe foreigners should be allowed to own residential property in our country. I first asked at Senate estimates in November last year how many potential foreign buyers the ATO is detecting through its data-matching program? The government failed to answer. In February, Senator Bragg asked and was given no answer. In June estimates, I asked again and did not get an answer. Answers to my questions on notice for how many potential foreign buyers are detected are now overdue, again. Minister, why is your government hiding from the Australian people the data on potential foreign buyers of residential property? And when will you actually answer the question I’ve been asking for nine months?
Senator GALLAGHER:I recall you asking these questions, Senator Roberts, and I understood they were answered at the time by officials when I was sitting at the desk. If there have been follow-up questions you have asked notice that have not been answered, I can certainly follow that up. I think the evidence we gave during Senate estimates was that foreign investment plays an important role in bolstering Australia’s housing stock and creating additional jobs in the construction industry. But it is monitored very closely for good reason. It is tightly regulated, with foreign persons generally requiring foreign investment approval before acquiring an interest in residential land, regardless of its value, with a few exceptions. Foreign investors make up a very small proportion of the total Australian residential property market, accounting for approximately 0.93 per cent of new and established dwelling purchase transactions in 2022-23. Out of 479,257 transactions, based on ATO data from 2022-23 only 4,463 transactions were by foreign investors. It is a very small component—less than one per cent—of new and established dwelling purchase transactions in the 2022-23 financial year. I think senators have raised this through estimates as something they are interested in—raising concerns about foreign investors squeezing out local residents from being able to purchase housing. But the evidence would show that it’s a very small component of the residential property market in the transactions that are being monitored, as was explained in estimates by the ATO. (Time expired)
The PRESIDENT: Senator Roberts, first supplementary?
Senator ROBERTS: The New South Wales state government reported more than twice the number of overseas purchases of property that the Foreign Investment Review Board recorded in 2021. The board claims foreigners buy less than one per cent of residential property—and you just confirmed that. Yet in the first quarter NAB property survey, real estate agents say they’re selling 10 per cent of Australian housing to foreigners. Minister, if you have confidence in the Foreign Investment Review Board, why won’t you hand over the data?
Senator GALLAGHER: Again, I’m not sure which part of the data hasn’t been answered. I was sitting at estimates when you were given figures, Senator Roberts, so I’m not sure which data is the data you’re seeking. The ATO data I just read out—and I can provide this in writing to you—shows that it is 0.93 per cent for the 2022-23 financial year, and that it has come down, as I understand it, from a peak in 2015-16. The ATO do residential real estate compliance investigations—so they follow this up and check that people are compliant with the requirements of foreign ownership of residential property. They identified 428 properties for compliance, they did 410 investigations and found 145 properties in breach, and 55 of those resulted in— (Time expired)
The PRESIDENT: Senator Roberts, second supplementary?
Senator ROBERTS: Minister, you want foreign investment, yet foreign ownership is against Australians’ interests. Minister, this country is in a housing crisis. When will you ban foreign ownership of residential real estate and put Australians in Australian houses first?
Senator GALLAGHER: We’re not going to do that, Senator Roberts. The numbers show we need good strong rules around it, and there are strong rules around it. We need compliance with those rules, and there are good compliance processes. It’s less than one per cent, and this country has benefited from foreign investment. We benefit in terms of our economy and in terms of jobs—
Senator Whish-Wilson interjecting—
The PRESIDENT: Senator Whish-Wilson, order! Please continue, Minister.
Senator GALLAGHER: So it isn’t something we are seeking to ban. It would help if some of our housing programs, which are currently stalled in the Senate, were given approval by the Senate because then we could build more supply, which is the actual issue. I know there wants to be a lot of distractions about who’s to blame, and it’s easy to blame foreign ownership. The statistics don’t support that. I say to the Senate that there are a couple of bills that are stuck in this chamber that would help people into home-ownership and help increase the supply of housing in this country, and I say: let’s get on with that job
Questions on notice from 17 June 2024. Still unanswered and overdue as of 21 August 2024
This is YOUR chance to have your voice heard! Bring your questions, share your concerns, and hear directly from Brenda Turner, who is seeking to be your representative in the Queensland parliament after this election. Let’s dive into the key issues shaping Queensland and Australia, and other matters of concern.
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https://i0.wp.com/www.malcolmrobertsqld.com.au/wp-content/uploads/2024/08/image-2.png?fit=1080%2C1080&ssl=110801080Senator Malcolm Robertshttps://www.malcolmrobertsqld.com.au/wp-content/uploads/2020/04/One-Nation-Logo1-300x150.pngSenator Malcolm Roberts2024-08-21 19:35:042024-08-22 11:54:41Ravenshoe: Join Us for a Q&A Session!
Since November, I have been trying to get a very simple answer out of the Australian Taxation Office (ATO): How many potential foreign buyers are they detecting?
The ATO runs a data matching program that checks the details of more than 2.4 million sellers and buyers to detect if they might be foreign.
The ATO claims only 1% of purchases are foreign, but they won’t tell me how many of those 2.4 million matches they get are flagged as potentially foreign. Watch as they again refuse to tell me how many foreigners they identify in the 2.4 million records.
They claim to have manually checked over 230,000 records every year that can’t be automatically matched to confirm whether they are Australian. With other evidence like the NAB property survey indicating up to 11% of new housing stock is purchased by foreigners, I believe the ATO figures are completely understating the level of foreign buying in the country.
Transcript
Senator ROBERTS: Thank you for appearing again tonight, and congratulations to you, Mr Heferen. I don’t think we’ve seen you since your appointment. My first question is about foreign buyers of real estate. Radio 2GB reported in April that foreign buyers accounted for 11 per cent of newly built homes in the final quarter of last year. This is a disaster for Australian homebuyers. Can you please provide that data for each quarter over the previous 12 months—the proportion of newly built homes bought by foreigners?
Mr Thompson: I think the 2GB article would have been using the National Australia Bank—
Senator ROBERTS: That’s my understanding.
Mr Thompson: As I think I’ve talked about at the committee before, there are a number of differences between the National Australia Bank survey and our data. So the National Australia Bank’s data is from a survey, so it asks real estate and other real estate professionals to estimate. I think the exact question in that survey is about overseas buyers. Our numbers are coming from state and territory land title offices, which are matched against Home Affairs data and Australia Electoral Commission data. There is a very significant gap between the numbers that appear in that survey and the numbers that we get. Our numbers are based on the definition of a foreigner under the Foreign Acquisitions and Takeovers Act. I think last week we released the 2022-23 numbers, which would put the estimate at around one per cent.
Senator ROBERTS: Moving onto the first home super saver scheme, I’m quoting from the eligibility requirements in guidance note 2018/1: There is no requirement for you to be an Australian citizen, Australian resident or an Australian resident for taxation purposes. Why are we allowing foreigners—not even residents for taxation purposes—access to this scheme, which is meant to be for getting Australians into their first home?
Mr Heferen: That would be a policy question for our colleagues at the Treasury.
Ms Brown: It is a policy question for Treasury, but the appropriate group for it to be directed to is markets group. That is administered by our Retirement, Advice and Investment Division in markets group. We can take it on notice and have them provide a reply.
Senator ROBERTS: I want to come back to foreign ownership again. I refer to table 3 of the answer to question on notice SBE106 from the November estimates. Through the Department of Home Affairs visa data- matching program, how many of the real property transfer report entities records that are automatically matched to ATO records are foreign?
Mr Thompson: As we’ve answered previously, we’re not able to—the question was, ‘How many do we automatically match?’ and ‘How many do we have to go away and do additional things to match?’
Senator ROBERTS: I’m coming to that.
Mr Thompson: If you think about it coming through the system: if it’s an exact match, that’s all automated. There would be a range of circumstances where we don’t get an automatic match. It could be that the date of birth’s the wrong way. It could be a maiden name. In those circumstances, we have additional processes to match. We work down through every record. In the automatic matches, there will be some foreigners. In the ones we can’t automatically match, there will be some foreigners.
Senator ROBERTS: What percentage?
Mr Thompson: At that point—
Senator ROBERTS: You can’t tell us?
Mr Thompson: The numbers in that answer to the question on notice were addressing how many we automatically match versus how many we perform additional—
Senator ROBERTS: Correct. How many that were matched were foreigners?
Mr Thompson: If the question is about the compliance results that we get, they’re published—
Senator ROBERTS: My question is: what percentage of buyers are foreigners?
Mr Thompson: One per cent.
Senator ROBERTS: Could you provide to me on notice the numbers of foreign buyers for the last five years.
Mr Thompson: We publish that. I’ve got the latest public—
Senator ROBERTS: Okay, if you could take it on notice for the last five years.
Mr Thompson: I’ll take it on notice.
Senator ROBERTS: From table 4, immediately below that from the same question on notice from November estimates, how many of the entity records that were not able to be automatically matched to ATO records remain unverified or unresolved?
Mr Thompson: None.
Senator ROBERTS: How many unmatched records from the data-matching program remain unresolved from 2018 to date?
Mr Thompson: I think that’s the same question.
Senator ROBERTS: I want to go right back to 2018.
Mr Thompson: I’ll take that one on notice.
Senator ROBERTS: How many residential properties in Australia are owned by foreigners today?
Mr Thompson: I think that is the question around the register.
Senator ROBERTS: I just want to know how many foreigners own real estate. We’ve got a housing crisis. We’ve got people in Brisbane and all up and down the east coast of Queensland in major provincial cities sleeping under bridges and in cars, taking families home.
Senator Gallagher: Yes, but I think it’s very simplistic to say that that housing shortage is a result of foreign investment in residential housing. We’ve had a number of hearings where you’ve been told how relatively low that level is in comparison to non-foreign owned.
Senator ROBERTS: I’d like the exact numbers.
Senator Gallagher: And we’ll provide that number to you, but the link that you are saying—that foreign ownership of properties equals some of what you’ve been talking about and is a real issue in Brisbane—is not right. The issue is supply. We’ve got to build more houses for people, not blame foreigners for it.
Senator ROBERTS: I’ve never said it’s entirely due to foreigners, but that is one—
Senator Gallagher: We need to make sure that the rules are tight, that there are restrictions in place, which there are, so that that arrangement works properly. But it’s not fair to say that the housing crisis is because we’ve got some small foreign-owned investments.
Senator ROBERTS: I didn’t say that. I said that’s one contributing factor.
CHAIR: I’ll just do some committee administration here. I’ll table three documents—the three articles referenced by Senator O’Neill earlier. The committee has agreed to a time management plan to conclude questions, so last question, Senator Roberts.
Senator ROBERTS: I’d like to make the point that the witnesses have provided answers so late, in the past, that they’ve been distributed at 8 pm on the day before they appear in Senate estimates, 100 days after the last hearing, and failing to raise any public interest immunity claims on answers they don’t give. That’s a clear frustration of the committee’s work.
Senator Gallagher: We will try and do better, Senator Roberts. We have had a long discussion about the number of questions on notice which are coming in and having to be managed by departments, but I agree: it’s an important accountability measure, and departments should work to meet the timeframes.
Senator ROBERTS: When it’s 100 days, it’s way late, and then it suddenly comes in at 8 pm on the night before.
Senator Gallagher: Yes. I understand your frustration.
Daily Telegraph Article: Foreigners buying homes at twice the rate claimed in official figures, according to real estate agents and state tax data
https://img.youtube.com/vi/gamy1bETaVU/maxresdefault.jpg7201280Senator Malcolm Robertshttps://www.malcolmrobertsqld.com.au/wp-content/uploads/2020/04/One-Nation-Logo1-300x150.pngSenator Malcolm Roberts2024-08-15 13:55:002024-08-15 13:59:04How Many Foreign Buyers Are Really Snatching Up Australian Homes?
Australians are sleeping on the street and the Government doesn’t care.
Hundreds of thousands of arrivals are flowing into the country while we don’t have houses for the Australians that are here.
Rent prices are up 40% and house prices are 10x the average income, completely out of reach for most of Australians. We need to cut immigration, ban foreign ownership, give Australians more savings, introduce some competition to the banking cartel and open up construction as well.
Australians deserve their own home, One Nation will make sure they get one.
Transcript
The housing and rent crisis is a national tragedy. In Australia, one of the richest countries in the world for resources, we have working families homeless, sleeping in their cars or under bridges. In August 2020, the national average rent was $437 a week. It’s now $627, an increase of 40 per cent in just a few years. The national rental vacancy rate is just one per cent—actually slightly under that—far below the three per cent rate that’s considered a healthy market. House prices are out of control. In 1987, the average house cost 2.8 times the average income.
Today, a house costs 9.7 times the average income. This is why there are hardworking Australians sleeping on the street—families on the street. People under 30 have given up hope of ever owning a home, yet we oldies are meant to hand our young people a better life than we had.
One Nation promises to fix this housing crisis for all Australians. We will make the tough decisions that the Liberal and Labor uniparty won’t. Two point eight million temporary visa holders are in the country today, up from 2.3 million pre COVID. That’s an additional 200,000 homes needed for these new arrivals. While Australians can’t afford roofs over their heads, we need some of these people on visas to leave. An Australian can’t buy a house in China, yet foreign investors can buy both new and existing houses here.
One Nation would ban all foreign ownership of residential housing. Australians must come first. We would allow people to use some superannuation to invest in their homes. After all, it’s your money. We will ditch Labor’s facade, its pathetic, bureaucratic Housing Australia programs. Instead, we’ll use the same funds to create cheap 30-year mortgages fixed at five per cent interest to get Australians into homes.
https://img.youtube.com/vi/P3x0fzcDcxM/maxresdefault.jpg7201280Senator Malcolm Robertshttps://www.malcolmrobertsqld.com.au/wp-content/uploads/2020/04/One-Nation-Logo1-300x150.pngSenator Malcolm Roberts2024-08-13 13:05:572024-08-13 13:06:02Australians Deserve Their Own Home
The housing supply and affordability crisis is upon us and debating how we arrived here won’t help.
One Nation’s housing policy ‘looks to the future,’ offering common-sense solutions to help more Australians purchase their own home, while at the same time, reducing rent.
Overview
Lower immigration to sustainable levels to reduce housing demand.
Ban foreign ownership of residential property to increase housing supply.
Allow a portion of your superannuation to be invested in a home purchase.
Ditch Labor’s Housing Future Fund and invest those funds into creating a new People’s Mortgage Scheme, offering 5% deposit and 5% interest rate.
Allow people with a HECS debt to roll their debt into a People’s Mortgage account, improving their ability to obtain and service a housing loan.
Implement a 5-year moratorium on charging GST for new home construction, which will make new homes more affordable.
The Role of Interest Rates in the Housing Crisis
The Reserve Bank understands that slowing down construction is an effective tool in reducing inflation and is doing so knowing it will make the housing crisis.
This is what I mean when I say the Government is “stepping on the accelerator with handouts and government-sponsored construction,” at the same time the Reserve Bank is tightening the reins with higher interest rates.
The result is a shambolic government from Anthony Albanese and Jim Chalmers.
A shortage of home construction firms is also contributing to the problem. As of May 2024, there have been 2,500 building company bankruptcies | May of 2024 financial year.
These failures are a result of rising material costs, approval delays, high interest rates affecting both the builder and the customer and a shortage of skilled labour. Our immigration policy has brought millions of people into the country, however only a fraction of those migrants are qualified in construction trades.
The Government’s answer involves a set of measures that “promise” many new homes, yet so far, only a few thousand have been delivered and they are mostly homes that were already in the pipeline.
In other words, the Albanese’ Government’s efforts have made no meaningful impact on the crisis.
One Nation’s approach will tackle inflation without relying on interest rate rises. Refer to our inflation policy.
The Role of Immigration in the Housing Crisis
One Nation’s policy to address the housing shortage involves reducing immigration until the housing market stabilises.
This strategy is grounded in logic that if we already have a limited supply of houses and we increase demand faster than new homes can be constructed, it will only lead to a worse housing shortage. Even those who support high immigration should recognise that this approach makes sense.
Anthony Albanese has overseen the arrival of 2.4 million new residents in just the last 2 years, creating a demand for 700,000 homes. With home approvals at just 160,000 per annum, our housing shortage continues to get worse. In turn, the worsening shortage will cause higher rents and higher home prices, putting home ownership or rentals out of reach for many everyday Australians.
Rent controls discourages construction, making the problem worse.
The graph below illustrates new housing approvals against population growth. Under Anthony Albanese’s Labor/Greens government, the number of home approvals has decreased while new arrivals have increased. This trend suggests that without the implementation of One Nation’s housing policy, the problem is going to get significantly worse for everyone currently living here.
The Role of Foreign Buyers in the Housing Crisis
During COVID, with immigration at such low levels, there was an opportunity for a “’catchup” – a period of construction without the pressure of increased demand.
Despite this opportunity, no significant catch-up occurred, yet new homes were built. So where did these homes end up?
Part of the answer can be found in the August 2021 Census, which revealed that one million of Australia’s 10.8 million homes were empty on Census night.
One Nation believes that part of the issues stems from foreign buyers purchasing new housing stock and locking it up, so that it can be sold as “brand new” when values rise. Much of the construction during this COVID period was removed from the market in this manner. The Greens also highlighted this issue: read here.
One Nation’s housing policy includes measures to end foreign ownership of residential and agricultural property, aiming to help Australians secure homes.
Another contributing factor are owners that decide tenants are too troublesome and choose to forgo rental income. This problem would likely be more common among foreign or corporate investors who view real estate as a speculative investment – focusing on fast capital appreciation rather than rental returns.
Why wouldn’t foreign investors pour capital into Australian real estate, given how fast property prices are increasing?
Rising Australian real estate prices were an irresistible target for international and local capital. Additionally, superannuation firms are increasingly investing in residential property, potentially adding to the demand and contributing to rising prices.
Is Short-stay Accommodation Contributing to the Housing Crisis?
The short-stay rental market, such as Airbnb, is often highlighted in discussions about housing. There are approximately 100,000 short-stay properties in Australia, which adds to the 280,000 rooms available in the conventional accommodation sector.
In comparison, Australia’s total housing stock comprises 10.8 million homes, meaning short-stay properties represent less than 1% of the overall market.
The short-stay rental market caters to people seeking holiday or business rentals and is an industry with a finite growth curve. Many short-stay rentals are not stand-alone units. Often, they are converted spaces like garages or spare rooms. These types of properties would not typically qualify as permanent rental accommodation under existing planning regulations.
Many of these properties have always been used for short-stay purposes. In the past, these properties would have been managed by local real estate agents and legacy websites like Stayz. Therefore, the actual number of rental properties removed from the market for short-stay use in the past 5 years, is much less than the 100,000 figure suggests.
While some on the left are fixated on short-stay rentals, it appears to be more an ideological abhorrence of Australians that use entrepreneurship to get ahead.
We Need a People’s Mortgage Scheme!
The Housing Future Fund (HFF) is an Albanese Government initiative to create a fund that invests in mortgages. Currently valued at $10 billion, it is expected to be increased to $20 billion. However, this scheme has not delivered a single new home and is limited to just a few thousand properties per year.
One Nation proposes to turn this scheme into a low-deposit, low-interest Government-backed mortgage scheme for Australians, especially those with a HECS debt. This proposal would help people secure homes years sooner.
One Nation will convert the HFF into a mortgage fund, offering government-backed loans to Australians who fail to meet traditional banking criteria. This is aimed primarily at the three million HECS debt holders in Australia. These individuals, HECS repayments can restrict their ability to buy a home, manage a mortgage or save for a deposit, as their HECS debt impacts their income.
We propose offering People’s Mortgages with fixed terms of up to 25 years at a 5% interest rate, with the option for early repayment, and requiring only a 5% deposit. This is in line with the Government’s own low-income deposit scheme.
Applicants will also have the option to use up to one-third of their superannuation for the deposit, with the condition that the funds must be repaid when the home is sold.
For Australians who have been employed for several years, have a reasonable income and superannuation balance, and qualifies for the first home buyers grant, it’s likely that no cash deposit will be required for an entry level property. Additionally, the mortgage repayments will be comparable to current rent payments.
People’s Mortgages for HECS Debt Holders
One Nation will offer HECS debt holders a simple and straightforward choice:
Continue paying off your HECS debt while managing a mortgage as you do now; or
Roll your HECS debt into your mortgage, extending the repayment period over a longer period. This option allows you to secure a mortgage sooner if your income and eligibility for a First Home-Owner’s grant, along with a superannuation top-up, support it. While this option increases the total cost of your HECS debt over time, it enables you to purchase a home much earlier.
Mortgages will only be issued if the applicant meets the lending criteria, including the ability to make the repayments through gainful employment or a self-owned business.
These mortgages will be administered through an Authorised Deposit-taking Institution (ADI) or approved intermediary, such as mortgage brokers.
Case study: Blake has the average HECS debt of $25,000 and is paying that off over the average duration of 9.5 years. The debt increases every year with indexation, Blake will most likely repay a total of $29885 at $300p/m before being eligible for a home loan. Under One Nation’s low deposit mortgage, Blake can roll the $25,000 debt into their mortgage and pay the debt off over 25 years at 5% interest for a total repayment of $43,800. This will add $146 per month to the mortgage, a much more manageable figure.
For more details on how One Nation plans to make HECS fairer, refer to our HECS Policy.
Suspend Charging of GST to Buyers
According to the Australian, government fees, charges and taxes account for 50% of the cost of a home in Sydney and 32% in Queensland. Housing has become a cash cow to maintain bureaucratic empires and social agendas, making it increasingly difficult for everyday Australians to afford to build their own home.
One Nation policy will strip away red, green and blue tape, allowing tradies to get on with the job.
I have requested the Parliamentary Budget Office cost our proposal to suspend collection of Goods and Services Tax (GST) on new home construction. The policy is straighforward – builders will be able to claim back the GST on all building materials they used in the construction of the homes, rather than passing the GST cost onto home buyers.
This measure will cost $1.4 billion over 5 years and will lead to a corresponding reduction in the purchase price of new homes.
Since GST revenue is collected on behalf of the states, the Federal Government will compensate the States for the reduced GST revenue. This practical measure provides direct assistance and rewards the completion of new, ready-to-sell homes.
Addressing Building Materials Shortages
Amid discussions about building houses, the Prime Minister is ignoring a critical issue: the availability of building materials.
At the same time the Prime Minister is trying to build homes, the Greens and the Prime Minister’s own Net-Zero cabal are obstructing essential industries. These groups are targeting forestry for timber, steel production for frames and supports, and cement manufacturing. Of note, a major ingredient in cement is fly ash, a byproduct from burning of coal for power. Therefore, eliminating coal power will also decimate Australia’s cement industry.
One Nation’s Strategy to Tackle the Building Materials Shortage
Approve the harvesting of plantation timber for the domestic construction industry, with conditions for adequate replanting and regeneration.
Building new, clean steel plants at Abbot Point and Port Hedland to capitalise on Australia’s competitive advantage in steel production. This will lower costs, improve the quality and increase the availability of steel for the construction industry.
Utilise steel mills to provide fly ash for cement production and provide heat for production of ceramic tiles and other building materials.
Promote the development of an Australian hemp industry to produce hemp-based particle board, building bricks and insulation.
https://i0.wp.com/www.malcolmrobertsqld.com.au/wp-content/uploads/2024/08/Housing.jpg?fit=999%2C553&ssl=1553999Senator Malcolm Robertshttps://www.malcolmrobertsqld.com.au/wp-content/uploads/2020/04/One-Nation-Logo1-300x150.pngSenator Malcolm Roberts2024-08-08 15:50:002024-08-09 09:22:17How One Nation Will Make Home Ownership a Reality for You!
The government’s lies about how many foreigners are buying houses during a housing crisis are coming back to haunt them.
Firstly, the government claims ‘foreign buyers are barely making a dent in the market’. The truth? 11% of new houses in Australia were bought by foreigners (Q4 2023). Secondly, ‘foreign buyers only go for luxury homes’. Reality: the average price of a home bought by foreigners is almost the exact same as the average house price across capital cities. That means foreign buyers are directly outbidding average Australians for an average house. Thirdly, despite saying the don’t make an impact on the housing crisis, the government is now implementing small fines for vacant homes.
Why does the government go through all of this deflection and lying when they could just take One Nation’s policy: BAN Foreign Ownership completely.
That’s just the problems with foreign ownership of housing! Never mind the next topic I asked about: letting a foreign company takeover Australia’s military warship builder…
Does this government understand anything about putting Australians first?
Transcript
Senator ROBERTS: I’d like to table the transcript of a broadcast by Ben Fordham. Reporting from radio station 2GB indicates that foreign buyers bought 11 per cent of all new housing stock in this country. How are you letting this many foreign buyers snap up houses out of the hands of Australian homebuyers?
Ms Kelley: As we’ve talked about previously, our latest statistics show that foreign investors purchased around 5,360 houses in the 2022-23 financial year.
Senator ROBERTS: It’s been claimed by some that foreign buyers don’t make a material impact on the average Aussie because they’re only buying trophy homes—$30 million mansions down at Point Piper and so on. Looking at the $5.3 billion for 4,700 properties purchased by foreigners, according to these figures, that’s an average price of $1.1 million. The combined capital cities average median house price is $1 million. Those foreign buyers are actually directly competing in the middle of the market, aren’t they?
Ms Kelley: I should note again that the level of foreign investment in residential real estate is under one per cent of the total purchases that occur in Australia. In terms of residential properties with values under $1 million, that accounted for about 78 per cent of the purchases.
Senator ROBERTS: Minister, your government is increasing the fines and fees for foreign buyers of Australian houses. You’re acknowledging that it needs to be controlled. Why don’t you just stop fiddling around and ban foreign ownership of Australian houses altogether, like we’ve advocated, like the Canadians are now doing and like the Kiwis are now doing?
Senator Gallagher: We welcome foreign investment in our country. It plays an important role across our economy. But those changes we have announced to foreign investment, both for the application fees and double vacancy fees, are about ensuring foreign investment aligns with our agenda to lift housing supply. It’s aligning it with the other work we’ve been talking about this morning in Homes for Australia.
Senator ROBERTS: Working families who are returning home at night to sleep in their car won’t be encouraged by that. But let’s move on. How does the Foreign Investment Review Board treat defence-related companies in its approvals? If a company is producing a defence-related product, how is it treated?
Ms Kelley: The foreign investment review framework takes a case-by-case risk based approach. On 1 May the Treasurer announced a range of reforms to the framework. Under that framework we were very clear about the areas we would scrutinise more strongly. The government has made some decisions around those areas, and we are now actively implementing them.
Senator ROBERTS: It doesn’t sound like being a part of the defence industry enlivens a specific criterion in your approval process.
Mr Tinning: Yes. If it’s a national security business, which includes defence industries, then it’s subject to a zero-dollar threshold under our framework. So all foreign investment approvals—
Senator ROBERTS: So shipbuilding would be part of that, if they’re building defence vessels?
Mr Tinning: Correct. That’s right.
Senator ROBERTS: Do the current rules ever allow you to approve the sale of a sovereign defence industry asset to a foreign buyer?
Ms Kelley: That would depend.
Mr Tinning: As Ms Kelley said, it’s on a case-by-case basis, so we would need to see a specific application.
Senator ROBERTS: Why would we ever allow that?
Ms Kelley: As the minister has said, foreign investment is essential to our domestic economy and has been for decades. What the framework does is—we assess every foreign investment application in terms of our national interest and in terms of national security.
Senator ROBERTS: I understand that the potential sale of Austal to a South Korean bidder, Hanwha, had pretty much fallen off the radar. Then Minister Marles reignited it by saying, ‘I don’t see why there’d be any concerns.’ Does the defence minister’s view factor into your assessment at all—that the sale of Austal, the company that builds Australia’s warships, wouldn’t be a problem?
Ms Kelley: We take into account a range of factors when foreign investments are assessed, and the national security aspects are very important. We liaise across government for views on the issues associated with a foreign investment application and then the advice is then put forward to the Treasurer for a final decision.
Senator ROBERTS: Minister, why would the defence minister say that the sale of Austal, the company that builds Australia’s warships, wouldn’t be a problem? He’s the defence minister and he’s looking at selling a maker of some of our warships.
Senator Gallagher: I haven’t seen those comments, but the defence minister would be very well briefed on all matters relating to that.
Senator ROBERTS: I’ll come back to the Treasury after the opposition asks questions.
There are 500,000 more temporary visa holders (migrants) in the country than before COVID. That’s an extra 200,000 homes needed just to cater for those arrivals.
Whenever I ask government about their flood of immigration, they claim we’re “just catching up” after the COVID lull. The reality is, temporary visa holders in the country has gone from 2.3 million to 2.8 million.
That’s not a catch up – that’s a new record. While the Treasury Secretary claims they got immigration forecasts wrong by 24%, I cover in a separate video that they actually got it wrong by 120%.
Cutting immigration isn’t enough. We need to start telling temporary visa holders to leave. We won’t get cheaper rent and cheaper houses until this is done.
Only One Nation has the guts to do it and put Australians first.
Transcript
CHAIR: Senator ROBERTS
Senator ROBERTS: My questions are to do with immigration numbers. I want to know whether Treasury got it wrong or if the government isn’t telling us the truth, basically. I’m not going to ask you to decide! Right up and down our coast—and we’ve got a very long coastline in Queensland—we’ve got thousands of people without houses. We’ve got working families going home to their car to sleep. And we’re a wealthy state. There is a statement that has often been made by the government in relation to its high immigration—that we’re just catching up. Pre-COVID, the number of temporary visa holders in the country was roughly 2.3 million. It’s now at 2.8 million. That is 500,000 more people in the country. A lot of them will need a house. We haven’t just caught up; there is a record number of temporary visa holders in the country, isn’t there?
Dr Kennedy: I did some numbers in my opening statement. They’re a little different to yours, but, certainly, the current number was similar. The earlier number that you cited was a bit lower. I’ll find it in a moment. But it has been the case that Treasury significantly underestimated the recovery in temporary visa holders—I pointed that out in my opening statement—in the order of nearly 25 per cent. That is, frankly, poor performance on our behalf. We simply underestimated how many students would flow back into our universities and our higher education sector more broadly, and students were the most significant part of that increase. I just want to add that it’s an incredibly important sector, generating—I possibly won’t have the number quite right—over $8 billion, from memory, in export services. I’ll confirm that number for you. On the question ‘did Treasury get the numbers wrong?’ yes. Temporary migration recovered from the pandemic much more rapidly than we anticipated. It was predominately driven by students. The other thing that’s happened is that they came for the first year of their course and now will stay for three years. Normally we’d have a pattern of the first years coming and the fourth years leaving. We haven’t got that at the moment because they left during COVID. So we’ve got this quite substantial inflow. And, overall, the numbers as you described have comfortably recovered the levels that we were at pre the pandemic.
The government is in complete denial that migration has fuelled the housing crisis, keeping Australians out of affordable houses.
518,000 net overseas migrants arrived to Australia in the 2022-23 financial year. In October 2022, the government predicted net migrants would be 283,000 less than that. That means an additional 110,000 homes are needed just for the extra 283,000 arrivals that weren’t forecasted alone, plus all of the other arrivals.
There are 2.3 million visa holders likely to require housing in the country right now, yet the government won’t accept responsibility for causing the housing crisis.
Transcript
Senator ROBERTS: Thank you. Going back to my questions on immigration numbers—and I acknowledge the Treasury secretary admitted quite clearly that Treasury had made a mistake—specifically, do you realise that the number of people who arrived here above your forecast meant that 100,000 extra homes were needed? You basically got the immigration forecast wrong by 100,000 homes and now we’re in a housing crisis, Minister.
Senator Gallagher: Sorry; I thought that was to Treasury. Please repeat it.
Senator ROBERTS: Do you realise that the amount of people who arrived here above the Treasury forecast error meant that an extra 100,000 extra homes were needed? You got the immigration forecast wrong by 100,000 homes, and now we’re in a housing crisis and working families are sleeping in their cars.
Senator Gallagher: I think the housing crisis and the challenges in the housing market have been coming for some time. I don’t think it’s happened overnight, and so fixing it does not happen overnight.
Senator ROBERTS: I accept that, but why did you get the immigration so wrong? You’re still getting record immigration when you’re adding 100,000 new houses to the demand.
Senator Gallagher: I think Treasury has explained about forecasting, the fact that it wasn’t foreseen and that many other countries have experienced a similar phenomenon in terms of population and pressure on population coming from migration and from people remaining in country. I think that was explored earlier in the day. So we have to do two things One is to get the numbers back to a more sustainable level. That’s happening through a variety of interventions. The other thing is that we have to build more houses—and that is happening as well—to take the pressure off the housing situation in Australia.
Senator ROBERTS: The number was wrong. It means 100,000 more houses needed just in one year.
Senator Gallagher: I don’t know that you can just say that that is the number. I accept there is absolutely not enough housing at the moment and that that is placing people under enormous pressure and we have to fix that. That’s why a big focus of the budget is on homes for Australia.
Adam Maslen, our state candidate for the seat of Nanango, will be joining me in Kingaroy. This is your opportunity to ask questions and learn about his plans as your state representative in the Queensland Parliament.
We will discuss the destructible renewable energy projects that are emerging throughout regional and rural Queensland, and many other pressing issues.
https://i0.wp.com/www.malcolmrobertsqld.com.au/wp-content/uploads/2024/06/Malcolm_backwards_D1_V4.jpg?fit=1080%2C1080&ssl=110801080Senator Malcolm Robertshttps://www.malcolmrobertsqld.com.au/wp-content/uploads/2020/04/One-Nation-Logo1-300x150.pngSenator Malcolm Roberts2024-06-04 14:46:322024-06-04 14:57:30Kingaroy – Voice Your Concerns on Renewable Energy and More!
Peter Dutton’s immigration proposal still involves importing more people into the country in the middle of a housing crisis.
A cut isn’t enough, we need to start deporting temporary visa holders now.
Transcript
Liberals promise a huge cut to immigration. That’s the news headline – but is it actually huge? And is it even a cut? Not really – the devil is in the detail.
Peter Dutton has promised a small, temporary change to the permanent migration number. It’s important to remember there are two types of immigration, permanent and temporary. Dutton hasn’t made any promises about temporary migration and that’s our biggest problem. He’s proposed to make permanent migration 140,000 a year for two years. That’s still 140,000 additional people a year coming here permanently.
Considering permanent migration used to be 80,000 a year, it’s still too high. Temporary migration is another kettle of fish that even Dutton won’t touch. Temporary migration are the temporary visa holders in the country.
Prior to COVID there was about 2.3 million temporary visa holders in the country. As of February this year, that number has exploded to 2.8 million.
Government keeps saying we’re “just catching up” on migration, but that is obviously a lie. All of those extra people in the country are fighting Australians for a roof over their head.
Peter Dutton’s proposal won’t even get us close to normal, he’s still talking about accepting more! If we want cheaper houses, cheaper rent and less Australians sleeping in tents, we need about half a million temporary visa holders to leave the country, not the increase Peter Dutton is talking about.
There’s only one party who’s talking about a real cut to immigration, to make sure Australians have a roof over their head —– that’s One Nation.
