Chinese money is becoming a major force in real estate around the world and in America, with a recent luxury development 35 miles northwest of Dallas being only the latest frontier, according to an article in the New York Times.
For example, the article noted that Chinese investors are purchasing high-end apartments in wealthy neighborhoods in London and paying $1 million for modest Vancouver bungalows.
In the United States, the home-buying spree began on the coasts, where Chinese buyers snapped up luxury condos in Manhattan and McMansions in Silicon Valley, pushing up home values in big cities. It is now spreading to the middle of the country, where prices are more modest and have room to run.
The homes here in Corinth will feature two master suites, one for the buyers, the other for aging parents. A concierge service will help new arrivals from overseas order Internet service and pay electric bills. Chauffeurs will ferry homeowners until they learn to navigate the loops and spurs of Texas freeways.
The future of Chinese homebuyers was brought into question back in August on Black Monday when the stock market collapsed.
In a blog post on LinkedIn, John Burns, CEO and owner of John Burns Real Estate Consulting, explained that Chinese homebuyers comprise roughly 2% of U.S. housing demand — although far more in than that in the gateway metro areas with excellent airport access. As a result, he expressed his increased uncertainty about the level of future Chinese homebuying.