Foreign buyers see big opportunity in housing bust

Foreign buyers see big opportunity in housing bust

The Viceroy, a swanky condominium complex in downtown Miami, gives the impression that the United States is in another real estate boom. The sales office is strangely exuberant. Buyers gush about the glam condos — designed by hipster tastemaker Kelly Wearstler — and their hotel-like amenities: poolside libations, daily housekeeping and room service food stirred up by a celebrity chef.

Since January, 262 of the Viceroy’s 372 units have sold. But there’s a twist: Almost 90 percent of the buyers are foreigners. And they all paid cash.

The Viceroy’s story is playing out across Miami. Individual investors from as far as Argentina, Canada, Colombia, France, Israel, Italy, Norway and Venezuela are swarming the city’s sales offices to get in on what they see as one of the greatest real estate fire sales in the history of the United States.

At one time, these people would have invested in the U.S. stock market. Now they see the opportunity of a lifetime in the nation’s debilitated housing market. The idea is to rent out the properties and then sell them once the economy turns around.

This says a lot about where we are with the housing market. I’ve mentioned this before. The rest of the world sees us as being on sale and they are buying real estate investments left and right.

Posted on Calabasas Homes-Calabasas Real estate – Santa Monica Homes-Santa Monica Real Estate

  • Madison homes

    What a fascinating development. I wonder if these investors know that some market pundits are predicting the U.S. housing market may go down another 20% (or more) before the dust finally settles. Also, I wonder how Realtors are targeting foreign buyers. There are still many practitioners who lack even the most basic web presence, let alone have one that is optimized to attract foreign nationals flush with cash!

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