Overseas Buyers Snapping Up Homes in USA
The dropping dollar has shifted some interest to overseas buyers, who are finding US real estate a bargain.
"When you consider how the U.S. dollar has slid in value compared to other international currencies, you begin to understand why investors are purchasing real estate in this country," said Mitch Creekmore, senior vice president of Stewart Title Co. "Real estate prices here are a bargain compared to many areas in western Europe and Asia."
The currency environment probably played a major role in the proportion of foreign buyers who paid cash for their homes. The cash group (28 percent) was much greater than that of the general U.S. home buyer population (8 percent). In addition, international buyers who can afford a home abroad often are from wealthier households with higher monthly incomes and cash reserves. Also, the tax benefits of mortgage-interest deductions may not apply -- depending on the buyer's home country's tax code -- which lowers the incentive to take out a mortgage. [source article]
The Internet has undoubtedly been a boon for overseas buyers seeking information on homes in the States. Is your real estate agent able to do marketing that reaches these potential buyers? You might want to ask.
Labels: currency rates, dollar value, foreign buyers, home prices, market conditions, olympia real estate
posted by Pru-Oly at 11:12 AM
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