Top 10 Real Estate Markets for Foreign Investors
Posted Aug 15, 2008 @ 6:41 pm, Viewed by 755 Visitors, Read 801 Times.
The global real estate industry is truly in an interesting time. The sluggish property market in the United States has found its way to influence all other real estate markets all around the world. Foreign investors to properties are definitely finding it hard to determine which markets thy can logically and safely infuse their highly sought after investments.
Global property analyzing group Association of Foreign Investors in real Estate or AFIRE is conducting a yearly poll to find out an updated list of hot property markets around the world. As a standard practice, the survey is asking about 200 foreign property investors from across the globe. Such investors are estimated to infuse up to $700 billion in offshore property investment opportunities.
It is interesting to note what the list has especially for 2008, when real estate is pronounced with numerous challenges. The global property market is in a downturn and the economic slowdown of major economies is making situations worse. Analysts and experts estimate that there can be a major and drastic shakeup to the list, especially because leaders the United States and the United Kingdom are very much having real estate challenges these days.
Another interesting highlight is the rise of Middle Eastern and Russian property investors. Because per capita income in the areas is higher due to the oil boom, opulent individuals from the regions are eyeing different real estate assets and opportunities all around the world. Middle Easterners and Russians definitely have independent and different tastes and preferences when buying real estate.
The economy in Japan is also a cause for interest. In the past years, there has been somehow a state of recession. Now, the tides have turned as Japan emerges strong as ever. Japanese property investors are also flexing their muscles to show might, while other countries for now fright.
The list of best places where offshore investors can put their real estate investments is interesting enough. AFIRE said the top 10 real estate markets for foreign investors are as follows:
1. New York City – This site has always been a winner. Amazingly, investors still see New York as the most ideal place to own assets.
2. London – Following NYC is always London. The city has always been seen as a capital not just of the United Kingdom but also of the entire Europe. Middle Eastern and Russian property investors love London.
3. Washington, DC – The US capital is a good and secured site for a property investment, no wonder.
4. Paris, France – Bonjour. The most romantic city on earth is a popular real estate destination. The fashion capital is also a sought after property market.
5. Shanghai, China – Mainland has always been a sleeping dragon. Shanghai is a promising real estate market, though many are concerned about worsening pollution problems.
6. Tokyo, Japan – Japanese investors love to patronize their own.
7. Singapore has always been a boom city, in all aspects.
8. Munich, Germany
9. Sydney, Australia is not just home to the Opera House. It is the banner real estate market from down under.
10. Hong Kong
1 Responses to Top 10 Real Estate Markets for Foreign Investors
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I don't follow AFIRE so I don't know their criteria but for anyone looking to invest in Canada, the St. John's real estate market is hot!
There's new offshore oil projects, an LNG plant is in the final approval stage, a massive hydro electric development will be onstream in a couple of years.
Overall prices are up 16% in the past year, but certain segments of the market are up 25%. These price increases are in anticipation of the projects, once they start rolling it's anyone's guess as to where it'll all settle.
It would be interesting for other people to jump in here and identify other localized hotspots that investors might not be aware of.