Foreign buyers prominent in South Florida

Today's Miami Herald reports foreign buyers in southeast Florida are apparently "dominating" the market. So much so, the article even presents the example of a developer that's started their own mortgage company to help provide loans for foreigners - as they may often find loans hard to come by. Whilst numbers of foreign buyers have actually dropped since the peak years, "foreign sales still outpace the activity of U.S. buyers".

One real estate sales director says:

"International buyers are activating this market and reactivating sales."

whilst the partner of a real estate consultancy claims:

"Investors are aware that assets have never been so depreciated in a country like America."

Foreign buyers are taking advantage of the weak dollar versus their own currency and, in many cases, want to strike as property in the region has never been cheaper. Whereas a few years ago, during the boom in the housing market, many thought they'd never be able to afford purchasing something in southeast Florida, they are now finding that the opposite is true. In some cases even, some buyers are finding property in Florida cheaper than their home country. Depending on their home country, of course; the article suggests this is true for some Latin American countries. It's hard and perhaps not wise to do a comparison with the UK (waterfront condos aren't exactly common in this country), but in many cases, some southeast Florida condos and hosues can seem to be a complete bargain.

Those that already have an interest in the area - perhaps by already owning property there - are also using the current economic conditions to further their investment, perhaps by buying a second (or even third) property. Swiss, Spanish, Italian and English nationals are named in the article as doing this. Overall, any foreign national that's buying at the moment is doing so for a long-term investment, and not to make short term gains.

Overall, southeast Florida is popular with Canadians, Latin Americans (unsurprisingly, the top buyers, making up 52% of foreign buyers) and West Europeans, though Brits seem to prefer the Orlando area, the article claims. That's certainly something that I keep coming across though I'm not sure why that area's preferred with my fellow countrymen and women - why choose theme parks and a slightly tacky setting over a beautiful coastline, gorgeous beaches, and a cosmopolitan city with plenty to see and do?

Article: Foreign investors dominate in South Florida real estate purchases (2nd November 2009, Miami Herald)