Chinese Buyers Abroad

By Jason Cohen Pittsburgh

Background

• Property prices in major cities in Australia, the US and the UK have begun to skyrocket as Chinese buyers invest in homes.!

• Experts predict this isn’t going to change any time soon.!

• With a troublesome economy at home, wealthier Chinese citizens think foreign real estate is more stable than Chinese banks.

In the US• Chinese are currently the leading foreign buyers of

US homes.!• Sales reached a record $29 billion in the 12 months

leading up to March 30.!• Makes up for over a quarter of all foreign

purchases by value.!• Most purchases occur in major US cities,

particularly New York.

In the UK• Chinese buyers make

up more than a quarter of all home purchases in London.!

• They’ve started to invest in London suburbs, such as Surrey.

In Sydney

• Sales of homes to Chinese buyers are predicted to total $60 billion between now and 2020.!

• This is double the amount spent in the past six years.

Methods• There’s a limit of

$50,000 on the amount of money somebody can move out of China.!

• Chinese buyers team up with local partners.!

• They move out money over a long period of time or pool cash together.

Going forward• Chinese investors don’t seem to be

going anywhere soon.!• Knight Frank predicts Chinese

investors will spend $20 billion on major deals this year.!

• Compare that to just $5.5 billion from back in 2012!