Don’t despair. Even though the drop in oil prices has reduced the probability that a Russian Billionaire might have an eye on your latest luxury listing, there may yet be a foreign buyer in your future. Especially if your listings are in San Francisco, Los Angeles, or Las Vegas.
Guess who’s coming to town? Chinese bargain hunters. The Financial Times reports that SouFon, the organization which created the largest real estate website in China, is organizing a January trip for Chinese investors to look at properties in California and possibly Nevada. The group plans to bring a small group over for its first bargain hunting event.
To give you a sense of the level of interest, the company’s CEO, Liu Jian, reported that in the first 72 hours after the trip was advertised, about 300 people responded. This is an indication that wealthy Chinese may view the US residential housing market as a desirable place to put their money (yuan).
SouFou is reportedly owned by Australia’s Telstra and provides information on property markets in more than 100 markets.
As international prospects grow in importance, You may wish to look for ways to develop the international niche. Remember that as an Institute member, you can join The International Real Estate Federation (FIABCI-USA) and save the application fee. Learn the appropriate ways to deal with people of different cultures through books like "Kiss Bow or Shake Hands" by Morrison, Conaway and Borden. Find a Title Company - like Stewart Title - that can provide interpreter service at closing and provide documents translated into foreign languages.
By the way, $1 million US converts to about 75 million Chinese Yuan Renminbi.
