China spends most on US real estate, but Brazil dominates Miami

  • 9 years ago
  • Uncategorized
China is the biggest spender on US real estate, according to new figures. 
The country has become an increasingly dominate force in the global property market, as Russians decrease their activity following the devaluation of their currency. Indeed, Australia has become so concerned that demand from foreign investors, led by China, is inflating its house prices that the country has introduced restrictions on overseas investment. Many European countries, meanwhile, are courting Chinese buyers by offering residency in exchange for investment in their real estate.
In the US, five countries made up more than half of all sales to overseas buyers in 2014: China, Canada, Mexico, India and the UK. 
China, though, has now overtaken the other countries to become the biggest spender across the year, according to the National Association of Realtors. Chinese buyers spend an estimated $28.6 billion on American property in 2014, ahead of Canadians ($11.2 billion) and Indians ($7.9 billion).
Chinese buyers purchased the most expensive properties, at an average price of $831,800. Indeed, international buyers tend to purchase more expensive properties with the average purchase price being $499,600, compared to the overall US average of $255,600. 
Buyers focused on four states: Florida, California, Texas and Arizona. In Florida, though, another country in king. Indeed, Chinese buyers tend to gravitate towards to West Coast, which provides education, business and trade opportunities. In Florida, meanwhile, Brazil is the big spender.
Brazil has been the top foreign country searching for Miami properties in 13 of the last 15 months, according to the Miami Association of Realtors. The South American nation led global consumers using the Miami Realtors’ search portal in April 2015 for the 11th month in a row. Colombia was the second biggest group of users on in April 2015 for the fourth month in a row. Canada overtook Venezuela to finish in third place.
In 2014, Brazilians registered 11 per cent of all South Florida international real estate deals, according to a report conducted by the National Association of Realtors for Miami. Brazil had the third-most property transactions in Miami and Broward Counties among all global consumers last year, trailing only Venezuela (16 per cent) and Argentina (12 per cent).
Brazilians also spend the most on South Florida properties among foreign consumers, paying an average of $495,000. On average, Miami’s international buyers paid $444,000 per purchase, compared to $245,000 statewide.
“Brazilians moving to South Florida are often upper-middle-class families who want to enjoy their prosperity earned in their homeland as professionals and entrepreneurs,” explains the association.
Photo credit: Cyndie

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