Chinese buyers pull out of US real estate
The biggest consumers of New York based assets used to be majorly the Chinese. But it is not the case any longer. There has been a steep decline in the purchases made by Chinese buyers in past few years, partly, due to the increasing tensions between the United States and China. This alongside a host of different factors has helped in pushing the costs lower in New York. This once used to be a hot market.
The Founder of major real estate organisation, Olshan Realty, Donna Olshan states, “You have to know that China was a very dynamic buyer and an aggressive player in the real estate market in New York, and in this country, but they’re out.”
By 2018, industrial investment in New York based properties by Chinese nationals had fallen to a low of under 350 million dollars. Based on the report of Real Capital Analytics, the decline in investments began in the year of 2017 before plummeting in a dramatic fashion in 2018. The beginning fall coincided with stricter holds on capital owned by Chinese nationals abroad. However, Olshan believes that international relations have also featured a part in this trend.