Foreigners who have bought Australian properties without proper approval have until the end of November to come forward or face tough penalties, under a crackdown on foreign property investment.

The package announced today includes fines of more than $100,000 and up to three years jail for individuals, and fines of more than $600,000 for companies.

They will apply to foreign buyers and those who facilitate illegal property sales, including developers and real estate agents.

Prime Minister Tony Abbott says there are rules controlling foreign acquisition of real estate, but they hadn't being enforced under the former Labor government.

Mr Abbott says there is no doubt illegal foreigner buyers were driving up housing prices, and the government wanted to ensure locals are getting a "fair go" in the property market.