It’s not all about luxury: Chinese buyers now scooping up lower-priced homes

More middle-class buyers are making investments

National /
Jan.January 09, 2019 11:00 AM

(Credit: Pixabay)

While Chinese companies continue their retreat from commercial real estate in the U.S., it’s a different story when it comes to residential.

Chinese consumers have been the top foreign buyers in both units and dollar volume of residential housing for six years, CNBC reported, citing data from the National Association of Realtors. And now, more middle-class buyers are buying lower-priced homes and often financing them with mortgages. Previously wealthy buyers were snagging high-end properties in all cash.

“The Chinese people still see the United States as a safe harbor where they can take their assets and park their money not only for their money but also for the future of their children,” said San Francisco-based real estate agent Michi Olson.

The median price of a home sold to a Chinese buyer dropped from just under $530,000 in 2017 to $439,000 in 2018, according to the National Association of Realtors. California is still a top destination, but buyers are also heading to Texas, Georgia and Florida.

Many are following the path of technology jobs, which have become more spread out throughout the U.S. Chinese buyers headed to Long Island City, for example, after Amazon announced plans for a campus in the Queens neighborhood. [CNBC] — Meenal Vamburkar


Related Articles

arrow_forward_ios
Carl Liebert, CEO of kwx and Marc King, president of Keller Williams (V Foundation, Keller Williams)
Keller Williams has its best Q1 ever with $98B in sales
Keller Williams has its best Q1 ever with $98B in sales
Better.com CEO Vishal Garg (Better.com, iStock)
Mortgage lender Better to go public via SPAC merger
Mortgage lender Better to go public via SPAC merger
The Penthouse at 60 Broadway in Williamsburg. (Compass)
Brooklyn sees 41 luxury deals inked last week
Brooklyn sees 41 luxury deals inked last week
26 Bank Street and Connie Milstein (Google Maps)
Connie Milstein’s $20M West Village townhouse tops Manhattan contracts
Connie Milstein’s $20M West Village townhouse tops Manhattan contracts
(iStock)
Drop in home refinancing crimps mortgage firms’ profits
Drop in home refinancing crimps mortgage firms’ profits
Douglas Elliman's Scott Durkin and Connie Mui-Reilly (Douglas Elliman, iStock)
Elliman launches portal to streamline agent resources
Elliman launches portal to streamline agent resources
WATCH: How viral videos helped build this real estate agent’s business
WATCH: How viral videos helped build this real estate agent’s business
WATCH: How viral videos helped build this real estate agent’s business
The reopening of NYC has created a surge of demand for apartments. (Getty)
Reopening sparks signs of a real estate rush
Reopening sparks signs of a real estate rush
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...