Overseas interest in Australian residential real estate softened in the six months to December, according to new Treasury figures of Foreign Investment Review Board applications, suggesting the post-pandemic recovery in transaction activity is on the wane.

Approved housing purchases by overseas buyers softened to 2954 in the first half of FY24 from 3196 in the same period a year earlier, as sales to buyers from China, Hong Kong, Vietnam, Singapore, Indonesia, South Africa and the UK fell below half of their previous year’s total, the FIRB figures show.