Real estate agents in the United States are seeing growing interest from their clients looking overseas, with the Philippines seeing an increasing proportion of interest.
A total of 31 percent of surveyed U.S. real estate agents said they worked with international clients, a decrease from the 34 percent share in last year’s survey but up from two years ago (27 percent). Some 17 percent had one to two foreign clients, while 5 percent of respondents had six or more.
This year’s survey asked seller’s agents for the first time about their international clients who sold residential property. With Florida and California leading the way, the list of states where foreign buyers sold or bought their U.S. property was very similar.
The median price of a sold U.S. home was US$245,331, and respondents reported several cases of Canadians selling their U.S. home to take advantage of the stronger U.S. dollar.
Approximately 14 percent of responding agents reported that they had a client who was seeking to purchase property in another country, which is more than double the amount in last year’s survey (6 percent).
Mexico – at almost triple the amount (13 percent) – generated the most inquiries about purchasing abroad, followed by Costa Rica, Philippines, Colombia and Canada (each at 4 percent). Most U.S. clients interested in buying in another country (87 percent) were looking to use the property as a vacation home or residential rental unit.
“Especially in the local markets attracting a hefty share of international buyers and sellers such as those in California, Florida and Texas, it’s advantageous for realtors to consider earning the Certified International Property Specialist, or CIPS, designation,” said (National Association of Realtors) NAR President Tom Salomone, broker-owner of Real Estate II Inc. in Coral Springs, Florida.
“The specialized training on critical aspects of an international transaction such as exchange rate and tax issues and regional market conditions best prepare Realtors® for the increasingly globally connected world of real estate.”
NAR’s 2016 Profile of Home Buying Activity in U.S. Residential Real Estate, conducted in April 2016, surveyed a sample of realtors to measure the share of U.S. residential real estate sales to international clients, and to provide a profile of the origin, destination, and buying preferences of international clients, as well as the challenges and opportunities faced by realtors in serving foreign clients.
The survey presented information about transactions with international clients during the 12-month period between April 2015 and March 2016. A total of 5,960 real estate agents responded to the 2016 survey.
