Foreign investment in United States hits high note.
Foreign investment into the United States (U.S.) luxury residential real estate market has jumped to a new 5.78 [pounds sterling] billion ($7.48bn) high with Miami, Manhattan and Los Angeles as the key locations, says a new report by Beauchamp Estates, in association with Leslie J Garfield & Co.
Entitled U.S. Ultra Prime Real Estate the new report focuses on Manhattan, Los Angeles and Miami with analysis by Dataloft, the market intelligence group. The report uses local market intelligence provided by Manhattan headquartered Leslie J Garfield & Co and California based Trulia, with overseas enquiries/deals for the U.S. from London based Beauchamp Estates.
The report findings are supported by data from WealthX and the U.S. National Association of Realtors.
In the 12 months to March 2017 non-resident foreign sales in the U.S. for property priced over $1 million (770,000 [pounds sterling]) hit 5.78 billion [pounds sterling] ($7.48 billion), up 72 percent from 2016. Of these transactions 44 percent were all-cash purchases. (U.S National Association of Realtors).
The new report reveals that for premium residential real estate priced above 2,000 [pounds sterling] ($2,700) per sq.ft the key locations in the U.S. for foreign buyers are Miami, New York and Los Angeles.
Gary Hersham, Managing Director at Beauchamp Estates says: "Despite the vast geographical size of the United States, data from the NAR shows that almost 40 percent of overseas buyer transactions are made in just three U.S. locations--Miami/Florida (26 percent), Los Angeles/California (9 percent) and Manhattan (3 percent) - and for ultra-prime property these three locations are the U.S. destinations of choice for the world's wealthy."
Jed Garfield President at Leslie J Garfield & Co says: "Data from the NAR shows that just five overseas countries dominate investment into U.S. residential real estate, accounting for 50 percent of all transactions, they are Canada, the UK, China, Mexico and India."
The new report reveals that the Miami property market is dominated (80 percent) by international buyers and occupiers, with just 20 percent of the market being attributed to domestic U.S. buyers.
The average $ per sqft price for luxury Miami residential property is now $2,749 (2,121 [pounds sterling]) with overseas buyers typically buying a 13,107 sqft luxury residence with the most popular addresses being Miami Beach, Palm Beach and North Bay Road.
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|Comment:||Foreign investment in United States hits high note.(NEWS)|
|Publication:||Real Estate Weekly|
|Date:||Jan 31, 2018|
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