Chinese Buyers Set Their Sights on Miami Condos
Three years it's been wealthy buyers from Brazil and South America that have fueled the real estate frenzy in Miami. This causes luxury condominium prices to increase rapidly but now Miami developers and real estate agents are looking towards China for more condominium owners and investors. Many large real estate investors and brokers are traveling to China to attract wealthy Chinese to look at these international properties in Miami.
South American buyers, who have made up the majority of foreign buyers in Miami, are simply not buying as often as they used to. The Miami Downtown Development Authority states that condo unit still under construction have slowed in their sales because many South American investors have less buying power due to the increase of the US dollar.
However, Chinese buyers are beginning to take a closer look at Miami and Miami looks relatively inexpensive compared to some of the other cities like San Francisco and New York. According to the China-based website Juwai.com, the average budget for Chinese buyers is $2.3 million. Many of these buyers are looking for one-bedroom condominiums in the US as an investment property. A downtown Miami condominium could cost between $500,000 and $750,000. With the Chinese average budget of $2.3 million, you can do the math to figure out exactly how many a buyer could purchase.
Currently only 2% of international buyers in Miami are from China but just 2 to 3 years ago prices in Manhattan and New York were affordable and now they're simply being priced out. According to the Wall Street Journal, the "Chinese government is expected to begin raising annual limits on how much an individual can invest overseas. Currently it's a $50,000, a rule often skirted." [Source]
According to the National Association of Realtors, Chinese buyers have surpassed Canadian buyers as the top foreign buyers of homes in the US. In Miami the OneWorld Properties was one of the top attractive developments in Miami with over 500 units priced from about $650,000. This appeals to Chinese buyers as does Miami's luxurious image of their thriving cultural scene.
For more information on Chinese buying Miami condos please contact me at any time. I would be happy to help you find the right condo for your investment needs.