The 2021 International Transactions in U.S. Residential Real Estate

The 2021 International Transactions in U.S. Residential Real Estate

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According to the National Association of REALTORS®, the 2021 Profile of International Transactions report in U.S. Residential Real Estate shows information regarding REALTOR® transactions with international clients who purchased and sold U.S. residential property from April 2020–March 2021. Information about the characteristics of international clients is based on the most recent closed transactions of the respondents during the 12-month period. The report also covers information regarding U.S. clients seeking to purchase property abroad. 

There are two types of international or foreign clients:

1. Non-resident foreigners (Type A) - These are non-U.S. citizens with permanent residences outside the U.S.

2. Resident foreigners (Type B) - These are non-U.S. citizens who are recent immigrants (less than two years at the time of the transaction) or non-immigrant visa holders who reside for more than six months in the U.S. for professional, educational, or other reasons.

Highlights from the Report:

  • The dollar volume of foreign buyer residential purchases during the period of April 2020–March 2021 is $54.4 Billion (2.8% of $1.96 trillion of the dollar volume of existing-home sales).
  • The number of foreign buyer existing-home purchases during the period of April 2020–March 2021 was 107,000 (1.8% of 5.79 million existing-home sales).
  • 58% of foreign buyers who reside in the United States are resident foreigners (Type B) - recent immigrants (less than two years at the time of the transaction) or non-immigrant visa holders.

Top 5 Foreign Buyers

  • Canada (8% of foreign buyers, $4.2 B)
  • Mexico (7% of foreign buyers, $2.9 B)
  • China (6% of foreign buyers, $4.5 B)
  • India (4% of foreign buyers, $3.1 B)
  • United Kingdom (4% of foreign buyers, $2.3 B)

Top Destinations

  • Florida (22%)
  • California (16%)
  • Texas (9%)
  • Arizona (5%)
  • New York (4%)
  • New Jersey (4%)

Other Highlights

  • The Foreign buyers' median purchase price is $351,800 (compared to $305,500 for all U.S. existing homes sold).
  • 39% of foreign buyers paid all-cash (compared to 19% among all existing-home buyers).
  • 42% of foreign buyers purchased a property for use as a vacation home, rental, or both.
  • 65% of foreign buyers purchased a detached single-family home or townhome.
  • 49% of foreign buyers purchased in a suburban area.
  • Total of 65% fraction of leads and referrals from personal or business contacts.
  • 2% percent of respondents had a client who leased a U.S. residential property.
  • 8% percent of respondents had a client, whether international or not, seeking foreign property outside of the U.S.

Reference:

The 2021 Profile of International Transactions U.S. in Residential Real Estate is available on the National Association of REALTORS® website.

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