Can a 188 Visa Holder Buy Property in Australia? FIRB Rules Explained

One of the first practical questions for 188 holders settling in Australia is whether they can buy a home. The answer is yes, with restrictions — and those restrictions have tightened significantly since April 2025. If you're on a 188 and planning to purchase residential property, you need to understand FIRB rules before you make any commitments.

Who FIRB Rules Apply To

The Foreign Investment Review Board (FIRB) governs property purchases by foreign nationals and temporary residents in Australia. As a 188 holder, you are classified as a temporary resident for FIRB purposes (not a citizen or permanent resident). This classification applies regardless of how long you've been in Australia or how close you are to your 888 PR application.

FIRB rules for temporary residents apply to:

• Established dwellings (existing homes)
• New dwellings (newly constructed properties)
• Vacant land intended for residential development
• Investment properties

The Established Dwelling Ban (April 2025 – March 2027)

In a significant policy shift, the Australian government introduced a temporary ban on foreign nationals (including temporary residents) purchasing established dwellings for residential use. The ban is in effect from April 1, 2025 to March 31, 2027.

Under the ban, 188 holders cannot purchase an established dwelling — a home that has already been built and occupied — for use as their primary residence or as an investment property. This includes houses, apartments, and townhouses that are not newly constructed.

This ban was introduced in response to housing affordability pressures and follows a period of sustained criticism that foreign and temporary resident investment was constraining supply for Australian buyers. The two-year period is nominally a policy review window; whether it will be extended beyond March 2027 is uncertain.

What 188 Holders Can Still Purchase

The established dwelling ban does not prohibit all property purchases. 188 holders can still:

Buy new dwellings: Newly constructed homes (houses, apartments, townhouses) that have not been previously occupied or sold as established dwellings are exempt from the ban. You can purchase off-the-plan or upon completion of construction.

Buy vacant land for residential construction: If you intend to build a new home, purchasing vacant residential land is permitted. Construction must typically commence within a specified timeframe.

Purchase commercial property: FIRB rules for commercial property are separate from residential FIRB rules. 188 holders can purchase commercial property (offices, retail, industrial) subject to separate FIRB approval thresholds (which are generally higher value thresholds and different criteria).

FIRB Approval Requirements

Even for permitted purchases, most property purchases by temporary residents require FIRB approval (with some streamlined pathways for qualifying new dwellings). Key points:

Application fee: FIRB approval requires an application fee, which is calibrated to the purchase price. Fees range from approximately AUD 14,100 for a residential property under AUD 1 million up to much higher amounts for premium properties.

Approval conditions: FIRB approvals for residential purchases by temporary residents typically come with conditions, including that the property is used as your primary residence (not rented out), and in some cases that the property is sold when you leave Australia permanently.

Processing time: FIRB applications are supposed to be processed within 30 days, but complex cases can take longer. For off-the-plan purchases, FIRB approval is typically obtained before exchange, not after.

When FIRB approval is NOT required: Temporary residents who hold a joint interest with an Australian citizen spouse (including de facto partners) may be exempt from FIRB requirements for a primary residence purchase, provided specific conditions are met.

Property and the CIF: An Important Distinction

For 188C (Significant Investor Visa) holders, it is worth being explicit: residential property does not qualify as a CIF investment. Even though you may be purchasing property in Australia as part of establishing your household, those property assets are separate from your CIF portfolio and cannot be counted toward the AUD 5 million investment requirement.

Commercial property similarly does not qualify for CIF allocation in most circumstances (some managed fund structures that hold commercial property may qualify for the balancing bucket — this is fund-specific).

This is a common source of confusion. Having Australian property assets is a positive indicator of your connections to Australia and may support your source of funds documentation, but it does not substitute for CIF compliance.

Planning Your Property Purchase

For 188 holders who want to buy a home to live in during the provisional visa period:

1. If you're interested in a new development or off-the-plan purchase, the established dwelling ban does not apply. This is currently the most accessible path to home ownership on a 188.

2. If you want to buy an established dwelling to live in, you must wait until after the ban expires (March 31, 2027) — assuming it is not extended — or until you receive permanent residency through the 888 (at which point FIRB restrictions no longer apply to you).

3. If you're considering purchasing through your spouse who is an Australian citizen, the FIRB exemption pathway is worth exploring with a property lawyer.

4. For any purchase, FIRB approval needs to be factored into your purchase timeline. Do not exchange contracts without FIRB approval already in hand or confirmed to be forthcoming.

The Australia Business Innovation Visa (188) Guide covers the practical setup requirements for 188 holders in Australia — including property, banking, and how to structure your Australian personal assets in a way that supports (rather than complicates) your eventual 888 application.

On a 188 and making decisions about living in Australia? The complete guide covers FIRB rules, the established dwelling ban timeline, and the broader picture of establishing yourself in Australia while progressing toward permanent residency.

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