Chinese Investors Ate Up the US Housing Market Last Year

"China" by Tomas Roggero

This week’s report from the National Association of Realtors showed that foreign investors bought up over $59 billion worth of property in the US. China was the biggest buyer, spending over $6 billion in 2021 alone.

This sudden surge in real estate investments from the Chinese amounts to a 30% increase, compared to the year before.

If Biden doesn’t do something about it fast, the US housing market may end up being in a worse state than we originally thought it would.

“Florida” by Luca Sartoni

Our foreign policy needs some updates

Other countries have already banned Chinese investors from buying properties. They drove up house prices exponentially; with the way it already is here, soon, it’ll practically be impossible to become a homeowner.

According to the NAR, the surge came as other countries started implementing the aforementioned ban on Chinese investments, with 31% of them being in California.

This has been the hotspot for China’s real estate buys over the past six months.

Aside from being the biggest buyers, China is also spending the most on these homes. Chinese investors are paying up to $1 million for property, whereas the average price for a home in the US is still around $400k.

This means sooner or later, Americans will be priced out of buying their first forever home. The effects of this are already being felt across the US, as housing prices in areas with a large number of foreign buyers have gone up 10% on average.

Chinese investment poses a threat to the US

Following NAR’s report, Florida Governor Ron DeSantis spoke up on the matter, addressing the fact that Florida took the third spot on the list of states with the largest amount of Chinese investors.

DeSantis called it a huge issue that America needs to deal with right now.

DeSantis believes foreign investments shouldn’t be plaguing the local real estate market. With the companies’ ties to the CCP, buying property just for the value may not be their final goal with these purchases.

A handful of US lawmakers also chimed in after it was revealed the Chinese bought several large farmlands. One of the companies involved bought a plot of land only 12 miles from a military base in South Dakota and is directly backed by the Chinese Communist Party.

In light of these increasingly shady purchases, a number of Republican senators, led by Florida’s Marco Rubio, demanded the Committee on Foreign Investment do a review of the Chinese company, Fufeng Group, for their 370-acre property acquisition.

Tensions between China and the US have been growing for the past couple of years.

Fufeng Group’s purchase could potentially become a threat to national security, considering the fact our relationship with the country deteriorated ever since Biden was put into power.

This article appeared in Our Patriot and has been published here with permission.