International homebuyers add $8.32 billion to Texas economy from 2014 to 2015
Texas Association of REALTORS® releases 2015 Texas International Homebuyers Report
FOR IMMEDIATE RELEASE—
CONTACT: Danielle Urban - Pierpont Communications, 512-448-4950
Sep 01 2015 — Austin
Texas home sales purchased by international homebuyers contributed $8.32 billion to the Texas economy between April 2014 and March 2015, according to the 2015 Texas International Homebuyers Report released today by the Texas Association of REALTORS®.
“With more international homebuyers in Texas now originating from China, Europe, and Africa than Latin America and Mexico, Texas truly has a global reputation as a great place to live, work, and raise a family,” said Scott Kesner, chairman of the Texas Association of REALTORS®. “International homebuyers see Texas real estate as a strong investment, whether that be as an investment property, a vacation home, or a primary residence.”
Homes purchased by international buyers accounted for 4% (209,000 home sales) of all U.S. home sales and 8% ($104 billion) of total U.S. home sales dollar volume between April 2014 and March 2015. This is a 10.15% decrease in international home sales but an 11.4% increase in international home sales dollar volume from the same time last year. Approximately 8%, or 16,720 home sales and $8.32 billion, of this activity occurred in Texas—a 4% decrease from the same time frame last year.
For the first time in the Texas International Homebuyers Report history, homebuyers from Latin America (including Mexico) were not a clear majority of international homebuyers in Texas—comprising only 41% of international buyers. Homebuyers from Asia/Oceania (including China), conversely, doubled from 18% from April 2013-March 2014 to 31% from April 2014 to March 2015.
Texas homebuying activity among European and African buyers doubled during the same time, rising from 9% to 15% and 4% to 8% from April 2014 to March 2015, respectively. Meanwhile, Texas home sales from Canadian homebuyers decreased slightly from 5% to 4%.
Naturalized U.S. citizens in Texas continue to be significantly more likely to own a home than their native counterparts. Three in four naturalized U.S. citizens in Texas are homeowners compared to only 63% of native citizens in Texas. This trend does not apply nationally, where homeownership rates among naturalized and native U.S. citizens are virtually equal. However, non-U.S. citizens are 11% more likely (44.3% vs. 33.3%) to own a home in Texas versus nationally.
Chairman Kesner concluded, “The increasing diversity of homebuyers in Texas reinforces the importance for buyers to have a trusted advisor on their side to help them navigate the homebuying process. Texas REALTORS® with a Certified International Property Specialist (CIPS) designation are specifically trained to understand the unique language, qualification, and financing challenges international homebuyers sometimes face and can be instrumental in de-stressing the homebuying process for these families.”
Texas continues to be a hub for immigration to the United States. The Lone Star State is home to the third-largest immigrant population size and ranks seventh in the nation for percentage of foreign-born residents among the statewide population. In addition, two of the top 10 metro areas for immigration in the U.S. are in Texas—Houston/Sugar Land/Baytown (No. 6) and Dallas/Fort Worth/Arlington (No. 8).
About the Texas International Homebuyers Report
The Texas International Homebuyers Report is based on survey data from the Profile of International Home Buying Activity and the Business Data for Engaging in International Real Estate Transactions in Texas studies by the National Association of REALTORS®, the American Community Survey by the U.S. Census Bureau, and the Yearbook of Immigration Statistics by the U.S. Office of Immigration Statistics. The Texas Association of REALTORS® distributes insights about the Texas housing market each month, including quarterly market statistics, trends among homebuyers and sellers, luxury home sales, condominium sales, and more.
About the Texas Association of REALTORS®
With more than 100,000 members, the Texas Association of REALTORS® is a professional membership organization that represents all aspects of real estate in Texas. We advocate on behalf of Texas REALTORS® and private-property owners to keep homeownership affordable, protect private-property rights, and promote public policies that benefit homeowners. Visit texasrealestate.com to learn more.