An ample amount of international business is waiting tp be tapped in to for real estate sales professionals. A recent U. S. Census Bureau Population Survey, shows that over 9% (nine percent) of U. S. population were born in a foreign country and now reside in the United States. Nearly half of these people live in the Western States. According to a National Association of Realtors, one out of every five dollars in residential mortgages and one out of every ten dollars in commercial mortgages are coming from overseas.
There is a push from some companies, organizations and countries for a single market environment. This one market concept is called globalization. Global investors are now freer to enter and exit real estate markets around many parts of the world, including the United States. Transactions may be transpiring now on property in your local real estate market involving such global investors and buyers. This is the impact of globalization on real estate and the real estate market in your community, state and country. Good agents and brokers need to have knowledge, marketing prowess and experience in international economics, international markets, and international business deals. With nearly one in ten properties in the United States, owned by foreign country born owners, a real estate agent or broker needs to understand how to market and sell to and for these types of buyers and sellers.
The United States has attracted investors with is longer term – stable economic climate. Traditionally, a reasonable rate of return on real estate as an investment has been enjoyed. And as the value of the American dollar has declined and other currencies around the world have increased, America continues to attract foreign investors for homes, land, timber, cropland, farms, ranches and commercial investment properties.
International investors often assemble a team of advisors (broker(s), managers, bankers, attorneys, accountants) with local and international knowledge, to advise and assist them in their purchases. Such buyers often seek property investments in the United States that offer a quality property that seems safe for long term investing. They often consider more closely properties that included extensive research in the marketing they receive from a listing agent or broker. They will also perform their own detailed and extensive research as they investigate the property. International buyers are often location sensitive. They know what they want and where they want to be, either in general of sometimes very specifically. If a friend or family member invested somewhere specific an inexperienced international investor may simply also invest in the same area without the critical eye he or she should have. Most of these investors are all-cash buyers neither needing or wanting financing.
If you are marketing a farm, ranch, home, building, or any type of investment quality property, yourself or with the use of a professional broker, don’t overlook international buyers. They represent about ten percent of the market. How many foreign investors have contacted you or your broker since you started marketing your property? If your marketing program, or your broker’s marketing program, doesn’t include marketing and selling to these international buyers, its time to rethink your marketing approach.
Knipe Land Company and other brokerage firms associated with the World Organization Land Federation (WOLF) market farms, ranches, timber, land, cropland, and other more exclusive real estate holdings to both domestic and foreign buyers and seller. Buyers, sellers, agents, and brokers wanting more information on marketing nationally and internationally are encouraged to contact a WOLF web site or a WOLF member.