Foreign buyers are affluent and looking to buy US real estate...
Foreign buyers interested in U.S. luxury real estate provide tremendous opportunities for high-end agents.
Market volatility in other nations means that these buyers are seeking politically and economically stable locations to invest.
The foreign countries with the top three largest shares of high net worth homeowners in the U.S. are Canada, the U.K. and China.
It’s easy to fall into the rut of just observing what’s directly in front of you. My advice: don’t do that — broaden your horizons. When it comes to luxury real estate, be willing to reach out to the international market as well as the local sector.
Foreign buyers are interested in high-end U.S. real estate. International gateways can provide tremendous opportunities for luxury real estate and high-end agents.
FOREIGN BUYERS ARE INTERESTED IN HIGH-END U.S. REAL ESTATE.
As a first-class luxury real estate agent, you should keep up-to-date about the latest trends in foreign purchasing, the buyers’ motivation and their preferred places of investment.
International buyers have a reasonfor their interest in U.S. property — and you should understand that motivation. In other words, stay informed about the state of affairs in foreign countries and economic circumstances in the U.S.
Such research on your part leads to a better understanding of the luxury and ultra-luxury markets and global lifestyles. In addition, you will gain a greater appreciation for the overall significant role that real estate plays in society.
Be aware of the situations that cause buyers to want to invest in American property or become a resident. The Americas offer citizenship or residency programs to individuals who are interested in purchasing domestic residential real estate.
Foreign homeowners may have a different focus than local buyers who are strongly concerned about the property’s value and its potential for capital appreciation.
Of course, international homebuyers are also interested in these matters as well as opportunities for a luxury lifestyle and all the amenities that come with that status.
Obviously, they prefer strong markets exhibiting steady growth. International purchasers are confident about investing in luxury real estate located in consistent markets.
Foreign homebuyers are influenced by global events and local happenings. Different areas can present unique possibilities for growth and development.
FOREIGN HOMEBUYERS ARE INFLUENCED BY GLOBAL EVENTS AND LOCAL HAPPENINGS.
They are also drawn to the stability and potential portfolio diversification in real estate, and the citizenship advantages of buying real estate in certain countries.
Market volatility in several nations, especially China, means that these buyers are seeking stable locations — politically and economically — for real estate investment. The decision to buy U.S. property is in response to the market uncertainty in their own country. Certain fluctuations in emerging market nations will encourage investment in American real estate.
Luxury and ultra-luxury real estate statistics
According to World Property Journal, 12 percent of second homes bought by ultra high net worth investors in BRICS emerging economies (Brazil, Russia, India, China and South Africa), are located outside their nation.
These decisions are fueled by market fluctuations and political upheaval in their countries as well as the current state and future outlook of their own businesses.
According to Wealth-X, Chinese individuals make up the third largest share of foreign ultra high net worth homeowners in the U.S. Canadian and U.K. buyers take the top two spots.
In October, several news organizations including CNN Money reported that the number of Chinese billionaires has overtaken those in the U.S. There are nearly 600 billionaires in China — potential buyers of U.S. real estate.
THERE ARE NEARLY 600 BILLIONAIRES IN CHINA — POTENTIAL BUYERS OF U.S. REAL ESTATE.