Year after year, U.S. real estate attracts international buyers from nearly all over the globe. In a recent study conducted by the National Association of REALTORS® (NAR), 51 percent of the reported transactions came from China, Mexico, India, the United Kingdom and Canada. Let’s focus on Canada – what brings our Northern friends south?
Canadians are Top Investors in U.S. Real Estate
According to NAR’s Profile of International Home Buying Activity, the number of Canadian buyers purchasing U.S. real estate has increased by 113% from 8.9 billion in 2016, to 19 billion in the twelve-month period ending in March 2017 – making Canadians the 2nd largest investor in American homes behind China.
What Brings Canadians to the U.S.?
Canadians are often in search of warmer climates for vacation homes during the colder months in Canada. Around 37 percent of purchases were in Florida, 17 percent were in Arizona, and in others warm states like California, Texas and Georgia.
How Do Canadians Invest?
On average, Canadian buyers purchased properties valued at $288,600 and approximately 76 percent of Canadian home buyers purchased on an all-cash basis, with only 21% seeking mortgage assistance from American sources. The report also shows there’s a strong preference for Canadians to purchase in suburban areas, with 46% preferring this type of location.
