The short version
Americans are taxed on worldwide income wherever they live, so Australian rent and any gain on sale are reportable to the IRS regardless of what the ATO charges; the treaty and the foreign tax credit manage the overlap. Foreign bank accounts above the threshold are reportable on FBAR. Get a US adviser who knows Australian property before you buy, not after.
Are US citizens foreign persons in Australia?
Yes. US citizens are foreign persons unless they hold Australian citizenship or a permanent visa.
Tax treaty
Yes — a double tax agreement has been in force since 1983, and Australia has a FATCA agreement with the US.
Home loans and USD income
US dollars are a top-tier currency with Australian lenders. How much you can borrow depends mainly on whether you are an Australian citizen or permanent resident living in the US, or a US national with no Australian status — see the home loans page.
Lender policy changes. See our home loans guide for how lenders generally treat overseas borrowers.
Visas
Skills in Demand (482), points-tested skilled (189/190) and partner visas are the usual pathways. On a temporary visa you are still a foreign person.
Next steps
- Check the application fee and your state’s surcharge.
- Read the FIRB approval guide.
- Look at new homes foreign buyers can purchase.
Need a loan from the United States?
We can introduce you to a licensed broker who works with overseas buyers. Free to you.
Frequently asked questions
Do I need FIRB approval to buy property in Australia from the United States?
Yes, unless you are an Australian citizen or permanent visa holder (or a New Zealand citizen with a Special Category visa, or buying as a joint tenant with such a spouse). Foreign persons need approval to buy a new home or vacant land, and cannot buy established homes until 30 June 2029.
Does Australia have a tax treaty with United States?
Yes — a double tax agreement has been in force since 1983, and Australia has a FATCA agreement with the US.
Sources
- IRS — US citizens and resident aliens abroad
- Treasury — Income tax treaties
- Treasury — Guidance Note 2: Key concepts (v5, 12 December 2025)
- ATO — Banning foreign purchases of established dwellings
- ATO — Tax rates for foreign residents
- Home Loan Experts — Foreign income home loans (broker page)
- Odin Mortgage — Australian expat home loans (broker page)
Checked 5 October 2026.
firbapproval.com.au is an independent guide. It is not affiliated with, endorsed by or connected to the Foreign Investment Review Board, the Australian Treasury or the Australian Taxation Office. We do not lodge or process applications. Applications are made to the ATO. General information only, not legal, tax, migration or financial advice.