No More Travel Restrictions
What does that mean for the California Real Estate market?
As travel restrictions become a thing of the past, investors are again looking at international property opportunities! While some argue that we are witnessing the end of globalization, others have pointed out that cross-border capital is increasingly on the move.
In 2021, the Americas saw a record $124 billion of cross border capital invested. Much of it was invested in logistics and living properties.
Real estate brokers in the high-end and luxury market have expected a flood of eager international buyers since travel restrictions ended.
Douglas Elliman CEO Scott Durkin says that buyers are looking for properties in cities like Los Angeles, New York, and Miami where owners can use them or rent them out. Many of these are “trophy” properties, where newly acquired gains from the stock market can materialize.
Overseas buyers tend to prefer new construction. Newer homes require less maintenance, and investors abroad feel more secure in knowing their investments don’t need a constant watchful eye. Oftentimes, however, their family studying in the U.S. take up residency in the property. Proximity to a top university is a factor.
International buyers are primarily from China, Canada, Mexico, India, and the U.K.. The top states they bought properties in are Florida, California, Texas, Arizona, New Jersey, and New York.
As the world continues to open up, international investors are likely to capitalize on opportunities here in the United States.
