Watch: Breaking down the Ukraine invasion’s impact on US real estate

Sanctions have hobbled Russia’s economic standing. But what will that mean for those already in the market?

New York /
Mar.March 02, 2022 08:45 AM

Russia’s invasion of Ukraine has led to some of the most punitive economic sanctions imposed on one nation since the Cold War. Russia’s currency and stock market has tanked, with its ability to participate in the global banking system hobbled. Energy giants BP and Shell announced that they were exiting joint ventures with Russian energy companies, and you might see the same thing play out in other industries.

What might that all mean for U.S. real estate?

Russian buyers have been a small but headline-grabbing force in the luxury market, snapping up pricey abodes in Manhattan, Los Angeles, South Florida and beyond. But new buying activity from Russia has already been severely curtailed after sanctions imposed following the annexation of Crimea. And on the commercial front, Russian investment in U.S. property is miniscule.

As for existing holdings: Both the federal government and local politicians have made noise about seizing assets connected to Russian oligarchs. Current property ownership laws in the U.S., however, make that easier said than done.

Watch the video above for a quick breakdown.


Related Articles

arrow_forward_ios
HomeLight CEO Drew Uher (HomeLight, iStock)
HomeLight lays off a fifth of its workers, weeks after raising $60M
HomeLight lays off a fifth of its workers, weeks after raising $60M
Berkshire Hathaway HomeServices' Steven James (right) and Brad Loe (BHHS, iStock)
Berkshire Hathaway HomeServices wants to be a New York contender
Berkshire Hathaway HomeServices wants to be a New York contender
Amy Schumer and 19 Cranberry Street in Brooklyn Heights (Zillow, Getty Images)
No joke: Amy Schumer strikes deal for “Moonstruck” home
No joke: Amy Schumer strikes deal for “Moonstruck” home
CoStar's Andy Florance and REBNY’s James Whelan (Getty, iStock)
REBNY, CoStar launch Citysnap listing portal
REBNY, CoStar launch Citysnap listing portal
Stake co-founders Rowland Hobbs and Jimmy Jacobson (LinkedIn, iStock)
Pay rent, make bank: Stake pioneers cash rewards for renters
Pay rent, make bank: Stake pioneers cash rewards for renters
Carlton Hobbs with 60 East 93rd Street (Getty, Google Maps)
One of NYC’s widest townhouses sells for $53M
One of NYC’s widest townhouses sells for $53M
From left: Jon Bon Jovi, CAA co-founder Michael Ovitz and 155 West 11th Street (Getty Images, Compass Real Estate, iStock)
Ovitz revealed as Bon Jovi’s Greenwich Village condo buyer
Ovitz revealed as Bon Jovi’s Greenwich Village condo buyer
(iStock, Illustration by Kevin Cifuentes for The Real Deal)
U.S. home price growth slows for first time in five months
U.S. home price growth slows for first time in five months
arrow_forward_ios

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

Loading...