Senators introduce bill to incentivize foreign homebuyers

TRD MIAMI /
Oct.October 20, 2011 02:00 PM

New York Senator Chuck Schumer and Utah Senator Mike Lee are introducing a bipartisan bill aimed at improving the housing market by offering an incentive to foreign buyers, the Wall Street Journal report. The senators want to offer residence visas to any foreigner that spends at least $500,000 on residential real estate in the United States. The measure compliments existing rules that offer visas to foreign investors that create jobs in America.

“This is a way to create more demand without costing the federal government a nickel,” Schumer said.

During the current downturn, foreign investors have become a growing part of the U.S. real estate market. In New York, buyers from China and elsewhere are increasingly shopping for condos, while in South Florida, Latin American and Canadian buyers are driving an otherwise stagnant market. In the 12 months ending in March 2011, foreigners accounted for $82 billion of U.S. home sales, compared to $66 billion in the trailing 12 months.

As a result, some opponents of the idea, including Realogy CEO Richard Smith, say it’s an unnecessary measure as foreign buyers have shown they don’t need incentive to make purchases. But restrictive immigration laws are hindering some would-be purchasers, real estate agents say, and any increase in housing sales could improve confidence in the market and in turn ignite a recovery. [WSJ]


Related Articles

arrow_forward_ios
Rendering of Belmont Village Coral Gables and Baptist Health South Florida CEO Brian L. Keeley

Baptist, Belmont gain approval for luxury senior living in Coral Gables

Baptist, Belmont gain approval for luxury senior living in Coral Gables
9885 Palomino Drive (Credit: Google Maps)

Resort Lifestyle Communities scores $36M construction loan for Lake Worth senior housing project

Resort Lifestyle Communities scores $36M construction loan for Lake Worth senior housing project
5010 Nob Hill Road (Credit: Google Maps)

Sunrise affordable senior housing facility sells for $30M

Sunrise affordable senior housing facility sells for $30M
Mark Zilbert

Let’s make a deal? Some resi sellers in Miami-Dade slash asking prices

Let’s make a deal? Some resi sellers in Miami-Dade slash asking prices
(Credit: iStock)

Home sales dropped big time in South Florida in April

Home sales dropped big time in South Florida in April
 Rendering of Father Marquess-Barry Apartments with Matt Rieger

HTG scores financing for senior affordable housing in Overtown

HTG scores financing for senior affordable housing in Overtown
Renderings of different versions of the project with Matt Rieger

HTG plans 1,000-unit affordable housing complex in Miami’s Overtown

HTG plans 1,000-unit affordable housing complex in Miami’s Overtown
Pharrell Williams (Credit: Ethan Miller/Getty Images)

South Florida by the numbers: Bright spots in a challenging market

South Florida by the numbers: Bright spots in a challenging market
arrow_forward_ios

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

Loading...