55% of Seattle’s Real Estate Transactions Involve Foreign Investors

Foreign real estate investors, especially from China, are increasingly focusing on Seattle, according to an article in CNN. Chinese investors are targeting Seattle, after other traditional markets such as Vancouver, Canada, Los Angeles and New York become too pricey. Additionally, Vancouver recently levied a 15% tax on foreign home buyers.

As a result, many Chinese investors are looking at the relatively cheap prices in Seattle. Because of inflated home prices in China, many investors are able to sell one of their properties and make an all-cash offer in Seattle, one agent told CNN. Another agent told CNN that “foreign buyers are 55% of all transactions in the state”.

The new competition from overseas has helped puch prices have up 11.2% since last year, the second biggest gain in the nation, according to S&P CoreLogic Case-Shiller Indices.