A surge of international buyers, mainly from China, have picked up homes in the U.S. over the past year as U.S. households continue to face mounting challenges in the market. The number of existing homes purchased by foreign buyers from April 2024 to March 2025 increased for the first time since 2017, according to a recent report from the National Association of Realtors (NAR). The report highlights that Chinese buyers represented the largest portion of foreign investors in terms of total spending and transaction volume, purchasing $13.7 billion worth of existing homes – an 83% increase from the prior year. That is a significant uptick from the $7.5 billion worth of purchases in the prior year, according to NAR. These buyers also have the highest average purchase price at $1.2 million, with the majority of purchases being concentrated in states with hefty price tags. For instance, about 36% of Chinese buyers purchased a property in California, while 9% purchased property in New York, according to the report. The persisting U.S. housing affordability crisis, which has been making it particularly hard for American buyers and sellers to enter the market, is creating more opportunities for overseas buyers, according to real estate experts. HOUSING CRISIS DEEPENS AS 47 MAJOR METRO AREAS NOW REQUIRE HOMEBUYERS TO SPEND MORE THAN 30% OF INCOME Roughly 78,100 properties were purchased by foreign buyers, representing a 44% increase from the prior year, though it is still the second-lowest level since NAR began estimating foreign buyer purchases in 2009. While foreign buyers aren't necessarily edging out American buyers, they are capitalizing on the weak demand in the market as mortgage rates remain one of the biggest barriers to entry for U.S. buyers and sellers, according to Realtor.com senior economist Joel Berner.

Click to read the full article