The US real estate market has suffered the exodus of foreign property investors. While New York and other cities have this problem, it's spreading into other markets, such as Boston.
Real Estate Boston reported that NSA data revealed a 36% drop in buyers that happened between April 2018 and March, with sales going down from $121 billion to $77.9 billion.
The Chinese aren't the only one whose departure has been felt. US real estate properties were also sought after by Britain, Canada, India, and Mexico, which has also shied away from the American property market.
It was the Chinese, however, who were the biggest purchasers of US properties. Boston was a prime market for them, and their departure showed a 56% plunge in the foreign buyer segment.
Patty Chen of the PattyC Property Group, which helped Asian investors find US real estate properties to invest in, said that Boston is one of the "primary markets of interest" for these Chinese buyers and investors.
Boston possessed something that the Chinese held high when searching for real estate properties-the presence of world-class educational institutions, as well as health care providers and an innovative economy.
While the market for residential real estate seems pale, the retail market appears to be doing well. Capital Group Properties announced its newest retailer, Code Ninja.
They are the newest tenant at their Northborough Crossing property, according to Boston Real Estate Times. The property is a premier open-air development located at Northborough, MA.
Northborough Crossing is already home to other tenants. The St. Vincent Medical Group, Sports Clips, Margaritas, Pure Barre, Jimmy Johns, Med Post Urgent Care, U-Break I Fix, and Mooyah Burger and Fries are some of those already taking up space in the retail mall.
The new location is measured at 1,683 sq ft and will offer a new place where kids can learn to code. It is also presented in an engaging game-based curriculum at a safe and encouraging environment. The kids will learn teamwork and problem solving, as well as understand logic and math through the easy-to-do, kid-friendly exercises. Code Ninja already has different locations in Wellesley, Medfield, and Canton, all in Massachusetts.
The US-China trade war, as well as China's local spending policy, has led to the Chinese moving away from the US real estate market. While China and the US have yet to continue their trade talks and with the economic slowdown, the problems facing the US real estate market will take a long time to go away.