Investors From China?
Do investors in China actively buy property here in America? What, if any, effect will a looming trade war have with Chinese and American trade and investments? Why “Buy American?” These questions are all answered in a recent report produced by Juwai.com.
For those who are unaware; This website differs from others in the sense that “Juwai.com is a Chinese website for buyers of overseas property, which takes advertising from international property marketers, including developers and agents.”
To put it simply… many search engines, and other real estate indexing sites are not able to penetrate “The Chinese Firewall.” Currently, Chinese policy does not allow for complete Internet access as we enjoy in the United States. Only certain websites are allowed to be seen. Juwai, being a Chinese website, is able to disseminate property listings to all areas and buyers in the Chinese market.
What the Report Says
You can feel free to download the entire Juwai China Market Trend Report by clicking here. I read the report myself, and there are five quick takeaways that I thought you might want to know!
- Personal wealth has grown quickly in China. For example, for every dollar in China in 2000, there were more than 14 more in 2018. Even Credit Suisse points out that China has grown at TRIPLE the rate of weath.
- Chinese investors do not like to invest at home. It’s counterintuitive to many, but for the Chinese investor, there are many reasons including:
- Few appealing investments at home.
- Currently, Chinese banks provide a low rate of return.
- The immaturity of the Chinese Stock Market.
- Perhaps the most important of all, the Chinese Government wants to reserve homes for Owner Occupants.
- Chinese Residential and Commercial Purchases in 2018 was approximately $129.38 BILLION US dollars. Since 2010, Chinese investors have aquired over $550 Billion in International Property.
- In America, over 30 Billion was invested in residential real estate last year alone by Chinese Investors.
- Despite threats of “Trade Wars”, most Chinese buyers do not feel that will affect them in any way. In fact, the top 7 United States Metropolitan areas have experienced massive amounts of Buyer Inquiries in 2018. For example Atlanta Georgia; who’s inquiries went up 700%!
What Does This Mean For You?
There is no telling if the Buyer or Investor for your property is in China. One thing is certainly true and we can agree on with some degree of certainty. Chinese investors are buying more properties overseas, (especially in America) than ever before. If you have a few minutes, I would recommend you check out this informative report for yourself…