Expectations that China's currency will continue to fall will drive increased purchases of Australian residential property by Chinese buyers this year, according to a new survey by Melbourne-based off-the-plan website Investorist.
But it notes that tightening lending policies in Australia are "becoming a concern for some Chinese investors".
The survey of some 150 Chinese-based real estate agencies who sell Australian property shows there is increasing demand from Chinese investors for offshore properties this year, with expectations that both property prices in China and the Chinese yuan will drop. 
The survey shows that Australia continues to be high on the list for Chinese looking to buy real estate offshore given the perception of political stability and the lower Australian dollar.
Investorist chief executive Jon Ellis said yesterday that the survey showed a strong desire in China to buy Australian off-the-plan property.
But he said tighter lending policies by Australian banks towards foreign buyers could start limiting the potential of Chinese investors to buy local property as funding was sought to settle on off-the-plan sales.
He said the impact of the tighter lending policies of the Australian banks was yet to show up in the buying habits of Chinese investors in Australia, given that many off-the-plan buyers did not have to settle until 18 months after their agreement to purchase.
"There is strong demand amongst Chinese investors to buy property offshore, driven by a combination of a desire for safe investments and a belief the Chinese currency has more to fall," he said.
"But what will make a difference to foreign purchasers will be their ability to finance those properties.
"We are not finding it at the moment, but there is a risk that some individuals might struggle to get finance as they come to settle. It is definitely a risk." "The tightening of lending policies from the banks is of concern to everyone." Mr Ellis's comments come in the wake of reports by the National Australia Bank that demand from foreign buyers had fallen to 11.8 per cent of the new and established residential property market in Australia, down from a high of 16.8 per cent two years ago.
It also follows last week's warning by the Reserve Bank in its semi-annual financial stability report of the risks to the apartment market building boom if Chinese investment were to fall away.
The Investorist survey of Chinese-based agents, whose clients bought 11,000 properties offshore last year, said "risk mitigation" was the main reason that Chinese investors were looking to buy properties offshore.
"International property in prime markets has historically shown less volatility compared with local Chinese property and the Chinese stockmarket," the report said.
"The recent volatility and downward trend of the yuan has only served to strengthen this demand, with locals concerned that the bottom has not yet been reached.
"More and more Chinese investors are beginning to understand the benefits of investing overseas, so the demand will continue to grow, especially with the background of the Chinese domestic real estate market now at its peak," said Vida Lu, Shanghai-based sales manager with the Property Alliance Group.
"I don't think the new policies in certain overseas countries (such as tighter requirements by the Foreign Investment Review Board) will hold back the Chinese investors, because their strong motivations for going abroad have not changed."The report shows that investment and education are the two main drivers of international real estate purchases. An increasing number of Chinese investors are linking their international property purchases with plans for their children's education.