Not much is said about China’s massive home purchases of American homes in the American news media.
According to a 2022 National Association of Realtors report, Chinese investors led the list of foreign buyers of American properties in terms of monetary value for ten consecutive years.
Chinese purchasers have spent $6.1 billion on existing U.S. homes in the last 12 months, a 27 percent increase over the $4.5 billion they spent on existing U.S. homes a year before.
6 percent of purchases made by overseas purchasers are from China.
58 percent of Chinese buyers paid for all of their purchases in cash.
According to the survey, among all foreign buyers, Chinese investors pay the highest average buying price.
This is not merely a recent occurrence.
In fact, the pattern was covered by The Toronto Star in 2013.
It appeared that the Chinese were outpacing the Canadians in the purchase of real estate.
At the time, Canadian real estate investors saw that Chinese investors were purchasing Florida homes and condos ahead of Canadian buyers.
Buyers from North America’s neighbor have a history of favoring Florida real estate; they are known as “Canadian snowbirds.”
In the 12 months leading up to March 2022, foreign purchasers invested $58 billion in the acquisition of American homes, an increase from the previous year when they paid $54.4 billion.
Although Canada is a nice country, other less friendly countries are boosting their purchasing.
Particularly China, who is considered to be the United States’ main foe abroad, raised their real estate purchases by $1.6 billion.
According to a research by the National Bureau of Economic Research, “House prices grew 8 percentage points more in U.S. zip codes with high foreign-born Chinese populations from 2012 to 2018.”
Chinese investors spent $6.1 billion on real estate purchases in the United States last year.
They largely purchased properties in California and Florida, according to the National Association of Realtors.
This IS a national security issue.
— Breanna Morello (@BreannaMorello) July 20, 2022
According to a National Association of Realtors (NAR) survey from 2022, Canadian investors bought 45 percent of the land in Florida. The rivalry then arrived from Beijing.
According to rumors, investors from Beijing have recently aimed their real estate endeavors towards a new target.
China has been purchasing homes in a few states, but it is now extending to more.
More on this story via The Republic Brief:
Moving beyond only making purchases in states like California and New York, Chinese investors are buying up vast swaths of real estate in Florida — a state that has made headlines in recent years for opposing COVID-19 lockdowns and adopting other right-of-center policies at the state level.
In some cases when competing with Americans for purchases, U.S. citizens have lost out to the Chinese, since the Chinese will seal the deal sight unseen over electronic communication.
“Some of our clients got beat out recently because they were waiting to book flights. Some Chinese investors bought up 35 (townhouse-condo) units without even flying in first,” Wayne Levy of the Toronto-based Florida Home Finders told The Star.