Melbourne is now the number one choice for international property hunters in Australia, with rental interest from China almost doubling the levels before the pandemic across the country.
The latest data from PropTrack indicates a significant increase in searches by global buyers and renters on realestate.com.au in the past quarter.
Melbourne stood out as the top-searched location, especially for renters from China and the UK.
It was also revealed that Torquay on the Surf Coast, as well as Mulgrave in Melbourne’s southeast, as the most popular suburbs for overseas rental interest.
PropTrack senior analyst Karen Dellow said Torquay’s proximity to Geelong, Deakin University and Melbourne were key factors for those looking to rent.
She further said:
“Torquay is attractive for its proximity to Geelong and its coastal lifestyle.
Geelong is a thriving hub just over an hour’s drive from Melbourne’s CBD, and is home to a variety of businesses, hospitals and a major university.”
This comes after the Foreign Investment Review Board’s most recent quarterly foreign investment report revealed foreign investors from China spent an additional $1bn on Aussie homes in the past financial year, with up to a third of the buyers seeking properties in Victoria.
According to PropTrack's data, searches to purchase homes in Australia from China increased by 36.9% compared to the previous year.
Additionally, rental searches from China almost doubled the pre-pandemic levels, rising by 25% since September 2022.
The report also showed that inner-city suburbs Brunswick East and Carlton North were the most popular search destinations for overseas buyers.
Ms Dellow said this was likely due to significant apartment development in both areas over the past few years, making them attractive options for students and investors.
She also added at current construction rates, there soon won’t be enough new properties to accommodate the forecast increase in population.
She further commented:
"Solutions to ease the housing shortage included building more properties in the areas people want to live in, making use of spare rooms in existing homes, and implementing build-to-rent models similar to those seen in the UK and the US to increase supply."
