Chinese Buyers Inquiries for the United States were up 55%admin
Chinese buyers are set to become a $220-billion market by 2020, and have a renewed interest in US real estate. Chinese buyers aren’t shying away from the US real estate market in light of President Trump’s trade war.
“The Chinese are basically politically agnostic,” San Francisco-based real estate agent Michi Olson told CNBA’s Diana Olick. “What I mean by that is even though there is a great tension between [the] US government and Chinese, the Chinese citizen seems to be able to separate the political turmoil with the sound real estate investment.”
Wealthy Chinese people have long been drawn to the US real estate market, and now is as good a time as any to throw a hat in the ring.
Securities firm China International Capital Corporation (CICC) said 2019 is forecasted to be the “year of recession” for real estate in China. As home sales fall and local panic sets in, Chinese citizens appear to be ramping up their foreign real-estate investments.
Even middle-class Chinese buyers are “searching for lower-priced homes” in America, and “using mortgages much more often,” Olick wrote.
California is a top location for Chinese buyers, with a specific demand for San Francisco, and there’s growing interest in Texas, Florida, and Georgia, Olick reports.
As Jay Xiao, general manager of the East-West Property brokerage in Shanghai, told the Financial Times, “It’s more annoying to move money out, but the vast majority feel it’s worth it to secure their kids’ health and education.”