diff --git a/src/Parser/ForeachTrait.php b/src/Parser/ForeachTrait.php
index b352eb91..1e0ce341 100644
--- a/src/Parser/ForeachTrait.php
+++ b/src/Parser/ForeachTrait.php
@@ -145,6 +145,28 @@ trait ForeachTrait
         return $code;
     }
 
+    protected function parseForeachIterableRef(Foreach_ $node): ?string
+    {
+        $expr = $node->expr;
+        if ($expr instanceof Expr\PropertyFetch) {
+            return $this->emitDynamicPropertyFetchRef($expr, $node);
+        }
+
+        if ($expr instanceof Expr\StaticPropertyFetch) {
+            return $this->emitStaticPropertyFetchRef($expr, $node);
+        }
+
+        if ($expr instanceof Expr\ArrayDimFetch) {
+            if ($expr->dim === null) {
+                $this->fatalError($expr, 'Cannot use [] for reading');
+            }
+            $array = $this->parseWritableIdentifier($expr->var);
+            return $array . '.itemRef(' . $this->parseIdentifier($expr->dim) . ')';
+        }
+
+        return null;
+    }
+
     protected function parseForeach(Foreach_ $node): string
     {
         if ($this->isVarExpr($node->expr)) {
@@ -162,11 +184,13 @@ trait ForeachTrait
         }
 
         $code = '';
-        $expr = $this->parseIdentifier($node->expr);
+        $expr = $node->byRef ? $this->parseForeachIterableRef($node) : null;
+        $iterableType = $expr === null ? Type::VAR : Type::REF;
+        $expr ??= $this->parseIdentifier($node->expr);
         $code .= $this->parseBeforeStmtLines() . PHP_EOL;
 
         $iterableVar = $this->genTmpVarName();
-        $this->addLocalVar($iterableVar, Type::VAR);
+        $this->addLocalVar($iterableVar, $iterableType);
 
         $code .= $iterableVar . ' = ' . $expr . ';' . PHP_EOL;
         $code .= $this->parseForeachIterable($node, $iterableVar);
diff --git a/tests/compiler/loop/foreach-reference-property.phpt b/tests/compiler/loop/foreach-reference-property.phpt
new file mode 100644
index 00000000..70ba77f8
--- /dev/null
+++ b/tests/compiler/loop/foreach-reference-property.phpt
@@ -0,0 +1,136 @@
+--TEST--
+foreach by reference supports live mutation of object array properties
+--FILE--
+<?php
+
+class ForeachReferenceNode
+{
+    public array $children = [];
+}
+
+function main(): void
+{
+    $node = new ForeachReferenceNode();
+    $node->children = ['a', 'b', 'c'];
+    $copy = $node->children;
+
+    foreach ($node->children as &$child) {
+        $child = 'X' . $child;
+    }
+    unset($child);
+
+    var_dump($node->children, $copy);
+
+    $node->children = [1, 2];
+    $copy = $node->children;
+    $seen = [];
+    foreach ($node->children as $key => &$child) {
+        $seen[] = [$key, $child];
+        if ($key === 0) {
+            $node->children[] = 3;
+        }
+        $child *= 10;
+    }
+    unset($child);
+
+    var_dump($seen, $node->children, $copy);
+
+    $node->children = [1, 2, 3, 4];
+    $seen = [];
+    foreach ($node->children as $key => &$child) {
+        $seen[] = $key;
+        if ($key === 0) {
+            unset($node->children[1]);
+        }
+        $child *= 10;
+    }
+    unset($child);
+
+    var_dump($seen, $node->children);
+
+    $root = new ForeachReferenceNode();
+    $original = new ForeachReferenceNode();
+    $root->children = [$original];
+
+    $replaceChildren = static function (ForeachReferenceNode $current): void {
+        foreach ($current->children as &$child) {
+            $child = new ForeachReferenceNode();
+        }
+        unset($child);
+    };
+    $replaceChildren($root);
+
+    var_dump($root->children[0] !== $original);
+}
+?>
+--EXPECT--
+array(3) {
+  [0]=>
+  string(2) "Xa"
+  [1]=>
+  string(2) "Xb"
+  [2]=>
+  string(2) "Xc"
+}
+array(3) {
+  [0]=>
+  string(1) "a"
+  [1]=>
+  string(1) "b"
+  [2]=>
+  string(1) "c"
+}
+array(3) {
+  [0]=>
+  array(2) {
+    [0]=>
+    int(0)
+    [1]=>
+    int(1)
+  }
+  [1]=>
+  array(2) {
+    [0]=>
+    int(1)
+    [1]=>
+    int(2)
+  }
+  [2]=>
+  array(2) {
+    [0]=>
+    int(2)
+    [1]=>
+    int(3)
+  }
+}
+array(3) {
+  [0]=>
+  int(10)
+  [1]=>
+  int(20)
+  [2]=>
+  int(30)
+}
+array(2) {
+  [0]=>
+  int(1)
+  [1]=>
+  int(2)
+}
+array(3) {
+  [0]=>
+  int(0)
+  [1]=>
+  int(2)
+  [2]=>
+  int(3)
+}
+array(3) {
+  [0]=>
+  int(10)
+  [2]=>
+  int(30)
+  [3]=>
+  int(40)
+}
+bool(true)