Homes sales are up across the board, which means that the economy is steadily growing. However, one demographic stand out as having a huge growth in home buying since 2007, and that is the Chinese. A lot of these residents are in Southern California, but across the United States the sale of homes to Chinese to Chinese-Americans has grown. There are many reasons for this growth, but whatever the buyers reason is, it is good for the overall economy.
One reason that Chinese nationals could be buying in the United States is for investment property. Property in China and Hong Kong is notoriously pricy, as well as scarce. The housing market in the United States always has plenty to offer, as well as buyers who are more than happy to drop the price a little to get cash payment. Cash payments are more common with overseas buyers than with stateside buyers, and with little else attached, owners are usually happy to cut a bit of the price to get cold hard cash. Many come to the United States to find jobs or to attend college, and China and Hong Kong are hard pressed for jobs right now, unless someone is highly educated. While they may not make as much money working in the United States, the lower cost-of-living expenses helps even out the lower wages.
One obstacle of foreign homebuyers is how American homes are set up. If you have ever flipped through an international architecture magazine, or watched “House Hunters International” on HGTV, you know that homes overseas are sometimes vastly different from American homes. Our homes have much more space than homes in Asian countries, and are set up completely different. While a massive staircase in the foyer may be a status symbol to Americans, it is Feng Sui no-no to those who practice it. Feng Sui is a system where the placement and colors of objects help move energy through the location. Therefore, for the massive staircase in the foyer, it can press energy from upstairs downward and out the door, which you do not want. This can be combatted with a red rug, which keeps the energy upstairs, flowing freely. Homes in the United States are usually freestanding structures, even in large cities, and the opposite occurs in China and Hong Kong. Even though the United States has condominium and apartment options for habitation, they are usually much larger, and with more amenities, than homes overseas. The size, costs, and amenities drive many to look at the United States as a place to live, or at least a place to invest in.
Home sales overall have increased, but the one demographic that stands out are sales to those that are Chinese-American or Chinese nationals. There are many possible reasons for this jump in sales, from our economy to our cheaper home prices to our home amenities and sizes that are not available elsewhere. Regardless of the reason, the influx of international buyers is helping our economy gain steadily.
About the Author: Blair Thomas is the co-founder of eMerchantBroker.com the #1 high risk Credit Card processing company and he could tell you how to get a merchant account with bad credit at amazing rates! He has been in the electronic payments industry for over 10+ years. When he is not running his business he spends his time writing and producing music, which has been featured in a variety of films.