Why Are Chinese People Eyeing Texas Real Estate?
Is it any wonder that the state of Texas is making waves (granted, not as much as California) in the national real estate market for 2016? Want to know why? Chinese buyers. That’s right. Both investor and buyer alike from the Orient have been trying their hand at the rawhide and Alamo when it comes to properties.
Word Is the Reason’s Because of China’s Stock Market
Those are some turbulent times there in China, skyrocketing demand for U.S. real estate, and oddly enough, they’ve set their sights on the Lone Star state, of all places, with regions in Houston seeing a 30% increase in Chinese clientele according to Shirley Mei Qing of Keller Williams over there. And the biggest reason why is this: prices in Texas are comparably much better than anywhere else on the East or West Coasts.
In fact, Chinese buyers this past year have shoveled in a staggering $28.6 billion, an amount that’s double that of Canadian immigrants, and the second most active in the buying market as reported by the National Association of Realtors. While California still ranks up there, no doubt, it just so happens that the too-high prices for some of those oriental buyers are steering them clear of the Cali and going for some Texas pride as far as international home buying demand. The state currently ranks in third for the entire nation, only behind Florida and California, with a massive percentage of those buyers being Chinese.
But Why Is That? Why Are the Chinese so Interested in Texas Real Estate?
Two words: strong employment opportunities and educational advancement. Only Latin American and Mexican buyers remain in number one for international sales in Texas for the past year; the Chinese sit at number two, and we’re thinking it might close in on that gap and hit the number one spot.
Of course, while the Chinese buyers invested in U.S. real estate seem to be getting a little turned off by Cali’s high prices, they’re not apparently against spending a bit more than the national average. It’s been statistically documented that the average home price for a Chinese buyer has been upwards of $831,800 — pretty high, about four times the national median home price, something that Nationwide Property Values would have a field day over, plus Texas actually ranks in number one for home construction — a major draw for Chinese buyers as well.
What Does That Mean for Home Sellers?
You have a specific demographic in Texas to think about when it comes to selling homes, basically. Look at the demand. Then zero in on it. Target it. And get that boost for the real estate market! Learn more about property values and sign up with your email and U.S. phone number for information about how to invest in real estate right now.