“The Chinese have become a major force in markets around the world,” said Anthony Keep, Corporate Broker with Mainfair Realty Inc. in Las Vegas. “We want to appeal to a broader market of wealthy, upper middle-class and middle-class Chinese.”
The Chinese aren’t new to real estate investing in the United States.
Since the recession, Chinese nationals looking for value buys in recovering economies have snapped up U.S. real estate. By mid-2016, China ranked No. 2 among international feeder markets for investors in U.S. real estate, behind only Canada, according to a July 2016 survey from the National Association of Realtors. From March 2015 to March 2016, Chinese real estate buys across the United States surged 72 percent, to $22 billion a year.
But Chinese interest in U.S. real estate kicked into even higher gear in late 2015, after the Shanghai Stock Exchange shed 30 percent of its value in three weeks as investors who borrowed to buy stocks sold holdings to satisfy their loans. China’s stock markets swooned another 18 percent in January, activating trading halts.
What’s more, China’s economy saw its slowest annual growth in 25 years in 2016, though gross domestic product still grew at a healthy 6.9 percent, China’s National Bureau of Statistics said in January.
“The Chinese have become a major force in markets around the world,” said Anthony Keep, Corporate Broker with Mainfair Realty, Inc. in Las Vegas. “We want to appeal to a broader market of wealthy, upper middle-class and middle-class Chinese.”
“As the economy slows in China, the question around the world becomes, ‘Where’s the most stable place to invest today?’ The United States is a much less risky place to invest than many others,” Keep said.
“Las Vegas in particular has investment upside”, Keep said. “The market is still roughly 30 percent below 2006 peak housing prices, and that means both value and the potential to capitalize on an improving market”.