China World’s Biggest Real Estate Investor ?
After China’s richest man made a bid to buy historic Madrid skyscraper, its now American online property site Zillow Inc. which entered into the partnership with Chinese real estate portal Beijing Yisheng Leju Information Services (Leju) to cater the oozing demand of Chinese investment in American real estate industry. One of the trending Commercial Real Estate news, Zillow’s is an online website which helps users find information about homes and mortgages and connects homeowners with agents.The partnership with Leju will give Chinese investors access to home search information in the US.
Chinese property developers are extensively investing abroad to cater to demand from the country’s buyers and to diversify their assets.Chinese home buyers have been increasingly looking to foreign countries as prices soar up at home. Their hot spots are not only countries like us or Britain, Australia, South Africa, New Zealand are also high on their list.according to an Australian real estate agent -Chinese buyers are currently investing more than $ 5bn into the residential market every year, pushing up prices.They are pouring in money to 18% of new housing supplies in Sydney and 14% in Melbourne.
trailing the $ 2.6 billion invested in Britain over the same period as quoted by a real estate consultancy Savills to Reuters.Major Chinese business firms like state-backed Greenland Holding, China Vanke Co Ltd, Guangzhou R&F Properties Co Ltd and Country Garden Holdings Co Ltd have been investing in real estate projects in cities from London and New York to Sydney and Pattaya in Thailand.New York City and Los Angeles in the US are popular destinations for Chinese buyers.
Chinese retail and institutional investors are targeting the developed countries as they not only see market but the prices of land is soaring like jet sky at home. Population pressure and easy investment process abroad has oozed the demand of cross over real estate in vestment in china . according to an article in Reuters, last year itself a total of $ 11.5 billion was invested in overseas property.
As reported in an edition of BBC news – Seattle-based Zillow said in a statement that Chinese investors made up 18% of the $ 68.2bn (£40.9bn) of foreign money spent on homes in the US during the 12 months ending in March 2013.
The firm said that Chinese buyers spent an average of $ 425,000 on a home in the US and that 69% of those purchases were reported as all-cash investments. On development of this Real Estate News it was found that the site will operate from early summer this year, giving users of Leju, an affiliate of E-House (China) Holdings Ltd , access to home search data in the U.S.