Foreign US Home Buying Hits Second-Lowest Level Amid Weaker Dollar
Foreign purchases of US homes fell to their second-lowest level on record between April last year and March, according to a report by the National Association of Realtors in the US. The decline represents a 14% drop from the same period in the previous year, with international buyers acquiring 67,100 properties. This marks the second-lowest level since the association started tracking foreign buyer activity in 2009.
Chinese buyers remained the largest spenders in dollar volume at $7.6 billion, indicating an average purchase price of roughly $1 million. However, they fell to third place in terms of home buying volume, behind Canada and Mexico. India and the UK were in fourth and fifth spots, respectively.
The median purchase price was $465,000, according to Lawrence Yun, chief economist at the National Association of Realtors. He attributed the decline in foreign homebuyer activity to high prices and tight inventory, outweighing a favourable exchange rate. Yun also noted that even a slightly weaker US dollar over the past year did not induce more activity.