The World Buys American (Homes)
International buyers accounted for around 7 percent of all U.S. home sales between April 2015 and March 2016, according to a release from the Texas Association of Realtors.
That added up to about $102.6 billion of investment during that period – or 6.75 percent of all the money spent on U.S. homes.
When it comes to houses, at least, the world still likes to buy American.
Of course, while all of this international attention is somewhat flattering, many wonder if these international buyers are driving up the cost of homes in certain markets.
This is a concern, since demand by overseas buyers is dependent on the strength of the buyers’ home economies.
Economists generally like to see residential real estate markets that are driven by local demand for housing, based on local economies.
For now, it’s safe to say that international investors are probably appreciated by existing homeowners and somewhat resented by would-be home buyers.
Copyright Today’s Credit Unions