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December 7, 2015 at 11:42 AM #21802December 7, 2015 at 11:52 AM #792203CoronitaParticipant
Oh please… stop the blame game will you? Asian purchases account for 20-30% of new home purchases, and mostly at the higher end where most of you are not shopping.
Even in socal, the concentration of purchases are in the markets that are $1million+. If you want to blame foreign purchases maybe you should get your fvcking facts straight and blame canadians, since as a group, theyve are the largest foreign buyers even more than chibese. And their purchase price points are considerably lower, probably in the submarket where most of you would be looking.
Just another case of envyfluenza when some foreign buyer has more money than some domestic light skinned color person. Sheesh.
December 7, 2015 at 11:57 AM #792206bearishgurlParticipant[quote=flu]Oh please… stop the blame game will you? Asian purchases account for 20-30% of new home purchases, and mostly at the higher end where most of you are not shopping.
Even in socal, the concentration of purchases are in the markets that are $1million+. If you want to blame foreign purchases maybe you should get your fvcking facts straight and blame canadians, since as a group, theyve are the largest foreign buyers even more than chibese. And their purchase price points are considerably lower, probably in the submarket where most of you would be looking.[/quote]
I saw that article yesterday. Chinese buyers are also scarfing up condos in CA coastal counties for all cash, as well. These properties aren’t in the $1M+ range. They buy them for their kids future use to go to college. IIRC, there is a couple in that article on the tour bus who brought their 8 year-old with them and stated they wanted it for him to use for college. In the meantime, they’ll lease it out.
I realize that US buyers with minor children really don’t want to raise their own kids in condos but in some (expensive) sub-markets, that’s all they can afford unless they want to add a lot of extra commute time to their workday.
December 7, 2015 at 12:06 PM #792210bearishgurlParticipantHere is the same article posted yesterday by FIH on the “Best Family Areas” thread. This one has a video link.
December 7, 2015 at 12:07 PM #792209CoronitaParticipant[quote=bearishgurl][quote=flu]Oh please… stop the blame game will you? Asian purchases account for 20-30% of new home purchases, and mostly at the higher end where most of you are not shopping.
Even in socal, the concentration of purchases are in the markets that are $1million+. If you want to blame foreign purchases maybe you should get your fvcking facts straight and blame canadians, since as a group, theyve are the largest foreign buyers even more than chibese. And their purchase price points are considerably lower, probably in the submarket where most of you would be looking.[/quote]
I saw that article yesterday. Chinese buyers are also scarfing up condos in CA coastal counties for all cash, as well. These properties aren’t in the $1M+ range. They buy them for their kids future use to go to college. IIRC, there is a couple in that article on the tour bus who brought their 8 year-old with them and stated they wanted it for him to use for college. In the meantime, they’ll lease it out.
I realize that US buyers with minor children really don’t want to raise their own kids in condos but in some (expensive) sub-markets, that’s all they can afford unless they want to add a lot of extra commute time to their workday.[/quote]
Look at the percentage of Canadian buyers. Even so who the fvck cares..some has money, its legal, buy. Its called capitalism.
Maybe if more people would save and invest instead if spending their paycheck buying useless crap at Walmart, they too could afford a place to live.
December 7, 2015 at 12:14 PM #792211bearishgurlParticipant[quote=flu][quote=bearishgurl][quote=flu]Oh please… stop the blame game will you? Asian purchases account for 20-30% of new home purchases, and mostly at the higher end where most of you are not shopping.
Even in socal, the concentration of purchases are in the markets that are $1million+. If you want to blame foreign purchases maybe you should get your fvcking facts straight and blame canadians, since as a group, theyve are the largest foreign buyers even more than chibese. And their purchase price points are considerably lower, probably in the submarket where most of you would be looking.[/quote]
I saw that article yesterday. Chinese buyers are also scarfing up condos in CA coastal counties for all cash, as well. These properties aren’t in the $1M+ range. They buy them for their kids future use to go to college. IIRC, there is a couple in that article on the tour bus who brought their 8 year-old with them and stated they wanted it for him to use for college. In the meantime, they’ll lease it out.
I realize that US buyers with minor children really don’t want to raise their own kids in condos but in some (expensive) sub-markets, that’s all they can afford unless they want to add a lot of extra commute time to their workday.[/quote]
Look at the percentage of Canadian buyers. Even so who the fvck cares..some has money, its legal, buy. Its called capitalism.[/quote]
I understand. I believe you. I honestly don’t care because the type of properties the Chinese buyer is attracted to do not generally interest me. So the fact that they’re buying every listing they like in coastal counties which is not nailed down (and immediately contracting them with local property mgrs) doesn’t bother me in the least.
In the SGV, this started happening en masse in early 2009, except that it was Chinese, Taiwanese and Vietnamese buyers (all cash). This subset of mostly prospective small business owners (who already had relatives settled in the area clueing them in that a RE “free-for-all” was going on there at the time) didn’t buy new homes/condos (cuz there aren’t any there) and didn’t pay $1M for 95% of those properties.
Some of them bought 4-6 (distressed) units at once in ONE condo complex.
You’re right, flu. It’s capitalism at work and survival of the fittest.
December 7, 2015 at 1:39 PM #792219FlyerInHiGuestWe live in a globalized world.
In Chinese, America translates as “beautiful country”.
There are thousands of Asian business people who have legit money and they all want an American education for their kids. That want what they call “wall street English” (it’s advertised on bill boards everywhere. British English is a little anachronistic and England is cold (plus only the top universities are widely known). Australia has a bad reputation as a diploma mill. American universities are the best if only to learn English and go back to work for dad’s company. It’s the status factor.Lots of foreign investors in hotels to qualify for eb5.
It’s really a wonderful deal. Assuming your principal does not dimisnish and you earn a little return, it’s better than leaving your money in the bank + you get a green card for you and your family.December 7, 2015 at 1:45 PM #792220FlyerInHiGuestTrue that Canadians are the biggest buyers. They are Americans so it’s very familiar to them. Plus they don’t need visas and can stay here 6 months at a time. they have special status and can open bank accounts without withholding with their Canadian tax ID.
December 7, 2015 at 1:47 PM #792222spdrunParticipantGood thing is that Canadian purchasing power just got cut by 25-30% owing to the low price of oil and collapse of their dollar. Hopefully this, plus higher rates, will have a corrective effect in markets where Canadians like to buy.
December 7, 2015 at 1:50 PM #792223poorgradstudentParticipant[quote=flu]
Look at the percentage of Canadian buyers. Even so who the fvck cares..some has money, its legal, buy. Its called capitalism.
Maybe if more people would save and invest instead if spending their paycheck buying useless crap at Walmart, they too could afford a place to live.[/quote]
*hands flu a Snickers*
As for “who cares”, it’s pretty relevant as to answering part of the question of “Why is demand steady even as prices keep rising?”. 20-30% is far from trivial. Also, Chinese demand is likely to fluctuate a lot more than Canadian demand. Yes, if oil prices skyrocket again the Canadian Dollar may gain ground on the US dollar and tip the scales, but Canadian appetites are a lot more steady and stable than Chinese.
December 7, 2015 at 1:53 PM #792221The-ShovelerParticipantEastvale CA and Cornoa CA,
These are really the two new hot spots for foreign Asian buyers in SoCal.
Follow the ranch 99
The Rich ones will be found in San Gabriel or Irvine however or Pasadena and Arcadia.
I have not seen them buy condos really they tend to like Big new homes.
December 7, 2015 at 2:02 PM #792224bearishgurlParticipantI wonder how much longer new exurban TX “mcmansion subdivisions” will remain relatively cheap, now that the Chinese buyer is interested. Nearly all of them seem to be built around some kind of a manmade lake or pond, lol ….
There are a lot of good colleges in TX, as well and I’m sure that is attractive to the Chinese buyer.
December 7, 2015 at 2:12 PM #792225FlyerInHiGuest[quote=bearishgurl]I wonder how much longer new exurban TX “mcmansion subdivisions” will remain relatively cheap, now that the Chinese buyer is interested. Nearly all of them seem to be built around some kind of a manmade lake or pond, lol ….
There are a lot of good colleges in TX, as well and I’m sure that is attractive to the Chinese buyer.[/quote]
Feng shui principles highly favor water features.
Dallas and Houston are big. If I were starting from nothing, it’s go there. Pay cash for a 1 bedroom condo and then move on up.It’s a little redneck (ok, not a little, very much so) away from the big cities, but that’s the price for lots of land.
December 7, 2015 at 2:14 PM #792226bearishgurlParticipant[quote=FlyerInHi][quote=bearishgurl]I wonder how much longer new exurban TX “mcmansion subdivisions” will remain relatively cheap, now that the Chinese buyer is interested. Nearly all of them seem to be built around some kind of a manmade lake or pond, lol ….
There are a lot of good colleges in TX, as well and I’m sure that is attractive to the Chinese buyer.[/quote]
Feng shui principles highly favor water features.
Dallas and Houston are big. If I were starting from nothing, it’s go there. Pay cash for a 1 bedroom condo and then move on up.It’s a little redneck away from the big cities, but that’s the price for lots of land.[/quote]
Geographically, Dallas and Houston Metro areas are HUGE! The population in those areas are less than major CA cities because the density there is much lower. They’re still BIG cities, though, with sophisticated freeway systems. Their highways are in much better shape than Cali’s, as well.
December 7, 2015 at 2:14 PM #792228FlyerInHiGuest[quote=spdrun]Good thing is that Canadian purchasing power just got cut by 25-30% owing to the low price of oil and collapse of their dollar. Hopefully this, plus higher rates, will have a corrective effect in markets where Canadians like to buy.[/quote]
My Canadian friends/acquaintances bought at the low. They want to sell and take the money home, but they don’t really want to pay US taxes. So there’re stuck.
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