Follow the money ... for U.S. hotspots

Chinese investors are increasingly in the know come time to select the next best real estate market, with a new report on their preferred U.S. locations offering Canadian investors a roadmap.

The report, published by property consultancy Cushman & Wakefield, shows that, between 2008 and 2014, institutional Chinese real estate investors in the U.S. have focused on New York, with $6.7 billion invested.

The other American states making the list are California ($1.6 billion), Illinois ($362 million), Texas ($305 million), Maryland ($150 million), New Jersey ($140 million), Arizona ($133 million), Florida ($95 million), Washington ($44 million) and Delaware ($42 million).

Canadian investors are expected to turn to the U.S. market in a big way with the decline of the loonie against the dollar, which comes after a period of currency parity that eroded snowbird interest in U.S. properties.

While their traditional haunts have long been California, Florida and Arizona, Canadian investors should perhaps follow the in-the-know Chinese investors in embracing other hot spots in the U.S. market.

 

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Investment Hot Spots:
Lévis, New Harbour, Blewett, Travellers Rest, Deseronto

COMMENTS

  • by David L 2014-10-30 10:48:20 AM

    I remember when the situation was headed to a similar direction back in 2005, when the <a href="http://www.washingtonpost.com/blogs/wonkblog/wp/2014/09/30/why-one-investor-bought-land-instead-of-homes-during-the-housing-bust/">U.S. housing bust began</a>
    . I remember a lot of investors walking away from the situation, but when David Lichtenstein bought the land, nobody understood why. It seems that he was right even before this began.

  • by Wildwest 2014-11-01 12:23:11 AM

    US still looks pretty attractive - have a buddy who bought in Denver of all places - he reckons 8% gross rental return and he let the house first weekend he had it shown (he has family there). There's cap gain on top of that and he's got a 5-year ARM with HSBC at 2.95%

  • by ross 2014-11-17 9:05:01 AM

    The best place in my opinion is Westwood an area in West Hollywood Los Angeles. Close to the Pacific and to the two universities in LA. There are always tons of things to do and the weather is terrific. Remember OJ Simpson? He lived in Brentwood, the area next to Westwood. Expensive area for no particular reason. Most people are not aware that LA has a subway system. And a very good bus system also. You can travel around LA easily.

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