Chinese home buyers are the number one grossing international investor in US real estate. However, substantial circumstances have seen a major slide in regards to investment growth. The war on trade under President Trump has caused trade relationships between China & the US to falter. This has caused Chinese investors to seek more desirous nations for international trade, seeing a drop of 27.5% in Chinese property purchases in the United States in the first quarter of 2019 (CNBC).
Dwindling trade relations is not the only cause for concern. China has started to place tighter holds on capital leaving the country for international trade in hopes to protect itself from the on-slot of trade wars. Another concern for Chinese buyers is the constant jousting between President Trump and President Xi Jinping. When Trump places a travel warning on China, Xi Jinping follows suite in an effort to maintain control in the battle on trade. The problem with this is that it scares buyers out of the market in search of more stable regions. The current volatility in the market, along with administrations has led to a much more weary [Chinese] Buyer.
It will be interesting to see how the Chinese Market plays into effect with the expected recession approaching.
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