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WORKING WITH

INTERNATIONAL
HOME BUYERS IN
CALIFORNIA

Presented by
Carmen Hirciag
Senior Research Analyst

THINK GLOBALLY
What is going on in the world economy?

GLOBAL GDP EXPECTED TO IMPROVE

US GDP GROWTH HAS BEEN MODERATE


ANNUAL PERCENT CHANGE, CHAIN-TYPE (2005) $
6%

2014 QUARTERLY

ANNUAL

5%

4.6%

5.0%

4%
3%

3.1%

2.7%
1.9%

2%

2.8%

2.4%

1.9%

1.8%

1%
0%
-0.3%

-1%
-2%

-2.1%

-3%

-3.1%

-4%
2005

2006

2007

2008

2009

2010

SERIES: GDP
SOURCE: US Dept. of Commerce, Bureau of Economic Analysis

2011

2012

2013

Q1-14 Q2-14 Q3-14

GLOBAL UNEMPLOYMENT DECLINING

US & CA UNEMPLOYMENT RATES FALLING SLOWLY

14%

CA

US

12%
10%
8%

7.2%

6%
5.8%
4%
2%
0%

SERIES: Unemployment Rate


SOURCE: US Bureau of Labor Statistics, CA Employment Development Division

US & CA LABOR FORCE PARTICIPATION RATE ALSO


FALLING SLOWLY
CA
69%

67%

65%

63%

61%

59%

SERIES: Labor Force Participation Rate


SOURCE: BLS, Data Buffet

US

GLOBAL INFLATION STEADY

US INFLATION IS HEALTHY
6%
5%
4%
3%
2%
1%
0%
-1%
-2%
-3%

SERIES: Consumer Price Index


SOURCE: US Bureau of Labor Statistics

DOLLAR VALUE RISING


Value of Dollar Vs Basket of Currencies

140
130
120
110
100
90
80
70
60

SOURCE: Federal Reserve Board

2014.01

2013.01

2012.01

2011.01

2010.01

2009.01

2008.01

2007.01

2006.01

2005.01

2004.01

2003.01

2002.01

2001.01

2000.01

50

FDI NET INFLOWS GROWING


$350.0
$300.0

Billions of $

$250.0
$200.0
$150.0
$100.0
$50.0
$0.0

Source: The World Bank

FDI IN REAL ESTATE DOWN


$4,000.0
$3,500.0

Millions of $

$3,000.0
$2,500.0
$2,000.0
$1,500.0
$1,000.0
$500.0
$0.0

Source: Bureau of Economic Analysis

INTERNATIONAL HOME BUYERS IN


THE U.S.

INTERNATIONAL PURCHASES ACCOUNT FOR 7% OF


REAL ESTATE TRANSACTIONS IN U.S.
Sales (Billions)
Foreigners (nonUS resident)
3%

Foreigners (US
resident)
4%

Non-internation
al
93%

Source: NAR 2014 Profile of International Home Buying Activity

COUNTRY OF ORIGIN OF INTERNATIONAL BUYERS


Canada

19%

China

16%

Mexico

9%

India

5%

UK

5%
0%

5%

10%

Source: NAR 2014 Profile of International Home Buying Activity

15%

20%

INTERNATIONAL BUYERS PREFER FL


25%

23%

20%
15%

14%
12%

10%
5%
0%

Source: NAR 2014 Profile of International Home Buying Activity

6%
4%

CALIFORNIA HOUSING MARKET


The Impact of International Home Buyers

SURVEY METHODOLOGY
email to random sample of CA REALTORS in OctoberNovember 2014
466 respondents
closed escrow within 12 months prior to October/November
2014 with an international client (one who is not a citizen or
permanent resident of the US)

AGENTS GENERAL
INTERNATIONAL BUSINESS

CLOSED TRANSACTIONS IN THE PAST 12 MONTHS


DECLINED
Median
12

11
9

10
8
6
4
2
0
2013
Q. How many real estate transactions did you close during the past 12 months?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

2014

SLIGHTLY MORE REALTORS CLOSED A TRANSACTION


WITH AN INTERNATIONAL CLIENT IN 2014
18%
16%

17%

16%

14%
12%
10%
8%
6%
4%
2%
0%
2013

2014

Q: How many of those closed transactions involved an international client (one whose permanent residence is located outside the
United States)?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

# OF TRANSACTIONS CLOSED DECLINED


Median

3.3
2.9

3.5

# of Transactions

3
2.5
2
1.5
1
0.5
0
2013

2014

Q: How many of those closed transactions involved an international client (one whose permanent residence is located outside the
United States)?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

LAST TRANSACTION

MAJORITY ARE BUYERS


Buyer
100%
80%

Seller

Both

12%

8%

30%

22%

57%

70%

60%
40%
20%
0%
2013
2014

Q: Which side did you represent?


SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

MAJORITY BOUGHT IN SOUTHERN CALIFORNIA


2013

70%
60%

2014

65%
54%

50%
40%

29%
23%

30%

12%

20%
10%
0%
Southern CA

Northern CA

Q: Where was the property in your closed transaction with an international client located?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

Other CA

18%

TOP COUNTIES FOR INTERNATIONAL BUYERS


County

Percentage of Clients

Los Angeles

20%

San Diego

9.3%

Riverside

9.0%

Orange

8.7%

Alameda

7.9%

Santa Clara

5.4%

Sacramento

5.1%

Contra Costa

4.5%

San Mateo

3.7%

San Francisco / San Bernardino

2.8%

Q: Where was the property in your closed transaction with an international client located?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

MOST SALES NOT DISTRESSED


2013

2014

89%
90%

79%

80%
70%
60%
50%
40%
30%
20%

8%

10%

4%

7%

3%

5%

0%
Equity Sale

REO Sale

Q: What type of purchase did your last international client(s) make?


SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

Short Sale

Other

4%

MEDIAN LISTING PRICE UNCHANGED


$500,000

$500,000

2013

2014

$500,000
$450,000
$400,000
$350,000
$300,000
$250,000
$200,000
$150,000
$100,000
$50,000
$0

Q: What was the initial listing price of the property in your last closed transaction with an international clients?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

MEDIAN FINAL SALE PRICE: $490,000

6%

$2M+

16%

$1M to $1.9M

4%
4%

$900,000 to $999,999
$800,000 to $899,999

5%

$700,000 to $799,999

7%
6%

$600,000 to $699,999
$500,000 to $599,999

14%
13%
12%
13%

$400,000 to $499,999
$300,000 to $399,000
$200,000 to $299,999
Less than $200,000
0%

2%

4%

6%

8%

10%

12%

Q: What was the final sale price of the property in your last closed transaction with an international client?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

14%

16%

18%

MEDIAN FINAL SALE PRICE DROPPED 1.5%


Median
$500,000
$450,000

$497,500

$490,000

$400,000
$350,000
$300,000
$250,000
$200,000
$150,000
$100,000
$50,000
$0
2013

2014

Q: What was the final sale price of the property in your last closed transaction with an international client?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

SALE PRICE 2% LOWER THAN LIST PRICE


Median
$500,000
$450,000

$500,000

$490,000

List

Sale

$400,000
$350,000
$300,000
$250,000
$200,000
$150,000
$100,000
$50,000
$0
Q: What was the final sale price of the property in your last closed transaction with an international client?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

MAJORITY INTEND TO USE THE PROPERTY AS A


PRIMARY RESIDENCE OR INVESTMENT
43%

Primary Residence

36%
33%

Investment/Rental Property

29%
20%

Vacation/Second Home

Other

2013

29%
4%
0%
0%

5%

10%

2014

15% 20% 25% 30%

35% 40% 45% 50%

Q: What was the intended use of the property in your last closed transaction with an international client?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

MORE BUYERS PURCHASING PROPERTIES BELOW


$500K FOR INVESTMENT
120%
100%

2%

80%

40%

20%

4%

4%

34%

33%

25%

60%
40%

3%
17%

19%

21%

20%

Other
Investment
Vacation/2nd home
Primary residence

56%
37%

43%

43%

0%
below $500k $500k-$1M Above $1M
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

All buyers

MORE BOUGHT CONDOS/TOWNHOMES


67%

Residential detached SFH

59%
23%
28%

Residential condo/townhome
4%
5%

Residential MFH

2014

4%
6%

Other
Comercial retail space

1%
2%

Commercial office space

1%
1%
0%

10%

2013

20%

30%

Q: What type of property did your last international client purchase/sell?


SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

40%

50%

60%

70%

80%

NEARLY HALF BOUGHT IN THE SUBURBS


48%

Suburban

42%
33%

Central city/urban

38%
10%
9%

Small town/rural area

2014
2013

9%
9%

Resort area
1%
2%

Other
0%

10%

20%

30%

40%

Q: Please select the category that best describes the location of the property in your last
closed transaction with an international client?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

50%

60%

MEDIAN SQUARE FEET: 1,900


5,000+ ft

8.2%

4,000 - 4,999 ft

2.9%

3,000 - 3,999 ft

9.6%

2,000 - 2,999 ft

28%

1,000 - 1,999 ft

45%

< 1,000 ft

6.6%
0%

5%

10%

15%

Q: How many square feet did the property have?


SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

20%

25%

30%

35%

40%

45%

50%

MEDIAN SQUARE FEET 5% LOWER IN 2014


Median
S
q
u
a
r
e
F
e
e
t

2,000
1,800
1,600
1,400
1,200
1,000
800
600
400
200
0

2,000

2013

Q: How many square feet did the property have?


SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

1,900

2014

WHY BUY NOW?


2014

2013
23%

To rent out property

14%
15%

Changed jobs/relocated

12%
10%

Change in family status

4%

To flip for profit


0%

5%

Q: What was your clients main reason for buying now?


SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

10%

15%

20%

25%

MAJORITY ONLY CONSIDERED THE U.S.


Only US

100%
90%

Other countries

22%

25%

78%

75%

80%
70%
60%
50%
40%
30%
20%
10%
0%
2013

Q: In which cities outside the U.S. did your buyer consider purchasing real estate?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

2014

WHY THE UNITED STATES?


2014

2013

To be closer to friends and family

21%

30%

22%

Other
Investment/tax advantages

20%

8%
13%

Child attending college

13%

Business
6%

Acquire legal status


0%

5%

10%

Q: Why did your last international buyer choose to purchase in the U.S.?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

15%

20%

25%

30%

35%

MORE BUYERS PURCHASING PROPERTIES ABOVE $1M


FOR INVESTMENT & BUSINESS
To be closer to family/friends
Investment/tax advantages
$1M+
Business

$500k-$1M
below $500k
All buyers

Child attending college


Acquire legal
status/immigration
0%
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

10%

20%

30%

40%

50%

FEWER FIRST TIME BUYERS

60%

59%

50%

54%

40%
30%
20%
10%
0%
2013

2014

Q: In your last closed transaction with an international client, was that the buyers first home purchased in the U.S.?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

96% OF INTERNATIONAL BUYERS OWN OTHER


PROPERTIES
30%

26%

27%

25%

19%

20%
15%

11%
10%

6.8%

5%

2.7%

0%
1

Q: How many other properties does your last international buyer own?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

6+

AVERAGE NUMBER OF OTHER PROPERTIES OWNED


DECLINED
3.2

3.5

2.8

3.0
2.5
2.0
1.5
1.0
0.5
2013

Q: How many other properties does your last international buyer own?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

2014

MORE CLIENTS HIRED PROFESSIONALS TO HELP


FACILITATE TRANSACTION IN 2014
25%
23%
20%
15%

13%

15%
Attorney
Accountant

10%
7%
5%
0%
2013

2014

Q: Did your client hire any of the following professionals to help facilitate the transaction?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

FEWER PROPERTIES FOUND OFF THE MLS


MLS
My listing
Other
Client found property
2014

Off-MLS Listing

2013

Open house
Builder
Advertisement
From seller directly
0%

10%

20%

Q: How did you find the property for your international buyer?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

30%

40%

50%

60%

70%

BUYERS INTEND TO KEEP THE PROPERTY LONGER


Median
7

# 6
o
f

Y 3
e
a 2
r
s 1
0
2013

Q: How many years does your last international buyer intend to keep the property?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

2014

MORE PROPERTIES MANAGED BY PROPERTY


MANAGERS IN 2014
Owner

100%

Property Manager

Other

11%

13%

36%

38%

53%

49%

90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
2013

2014

Q: Who will manage the property in your last closed transaction with an international client?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

FINANCING

FEWER INTERNATIONAL BUYERS PAID CASH


All cash

100%
90%

Cash from financing in home country

31%

Obtained financing in US

35%

80%
3%

70%
60%
50%
40%

69%

63%

30%
20%
10%
0%
2013

Q: How did your last international buyer pay for the property?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

2014

MORE BUYERS PURCHASING PROPERTIES BELOW


$500K PAID CASH
100%
90%
80%
70%

31%

40%

39%

2.8%

1.5%

3.2%

60%

35%
3.0%

50%

Cash from financing in


home country

40%
30%

66%

57%

60%

63%

20%
10%
0%
below
$500k

Obtained US financing

$500k-$1M Above $1M All buyers

SERIES: 2014 International Home Buyer Survey


SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

All Cash

DOWN PAYMENT DECLINED

30%

30%

25%

23%

20%
15%
10%
5%
0%
2013

2014

Q: How much was the down payment for the home purchased (as a percentage of the sale price)?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

DOWN PAYMENT CAME MOSTLY FROM PERSONAL


SAVINGS
2014

2013
85%
82%

Personal savings
11%
15%

Proceeds from a sale of previous property

7%
5%

Gift

5%
2%

Sale of personal assets (other than real property)

3%
2%

Other
0%

10% 20% 30% 40% 50% 60% 70% 80% 90%

Q: What was the source of the down payment in your last closed transaction with an international buyer? N=87
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

MORE ACQUIRED FIXED RATE LOANS IN 2014


2013
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%

80%

2014

84%

16% 14%
5%
Fixed rate

Adjustable rate

Q: What type of loan did your last international buyer acquire?


SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

Other

2%

MORE ACQUIRED 30-YEAR LOAN TERMS


2013

80%

2014

78%
71%

70%
60%
50%
40%
30%
20%

10%

10%

15%
8%

8%

5%

6%

0%
30 years

10 years

Other

Q: What is the duration of the loan in your last closed transaction with an international buyer?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

15 years

OBTAINING FINANCING IS LESS DIFFICULT

6.0

5.0

5.0

4.6

4.0
3.0
2.0
1.0
0.0
2013

2014

Q: Please rate how easy or difficult it was for your last international buyer to obtain financing. (1=Very easy, 10=Very difficult)
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

MAJORITY DIDNT HAVE PROBLEMS WITH


TRANSACTION

16%

Finding a property

15%

Bringing funds into the US


3%

Immigration
2%

Finding insurance
1%

Figuring out property taxes


0%

2%

4%

6%

8%

10%

Q: What, if any, other problems did your last international buyer encounter with the transaction?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

12%

14%

16%

CLIENT / AGENT RELATIONSHIP

REFERRALS ARE BEST WAY TO FIND


INTERNATIONAL BUYERS
Referral from a friend

22%

Referral from a previous buyer

21%

Client found me online

15%

Client is a friend

7%

Open house

7%

Referral from another agent

6%

Client responded to my ad

5%

"For Sale" sign

4%

Prior dealings with my brokerage

2%
0%

Q: How did you find your last international client?


SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

5%

10%

15%

20%

25%

INTERNATIONAL WEBSITES ARE GOOD WAY


TO REACH FOREIGN BUYERS

38%

International websites

2%

International magazines

2%

International social media

0%

5%

10%

Q: How did you market yourself to international clients?


SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

15%

20%

25%

30%

35%

40%

EMAIL IS MOST POPULAR FORM OF


COMMUNICATION
60%
55%
50%
40%
30%

30%
20%

8%

10%

6%
1%

0%
Email

Telephone

Text Message

Q: How did you primarily communicate with your last international client?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

Other

Video Calls

MOST AGENTS & CLIENTS COMMUNICATE IN


ENGLISH

80%

English
11%

Chinese
6%

Spanish

4%

Other
0%

10%

20%

30%

40%

50%

Q: In which language did you primarily communicate with your last international client?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

60%

70%

80%

MAJORITY AGENTS & CLIENTS


COMMUNICATE VIA SMARTPHONE
2014

2013

Smartphone

45%

54%

31%
31%

Laptop
5%
7%

Mobile phone

4%
6%

Other

3%
4%

Desktop
Tablet

2%

Landline

1%
2%
0%

4%

10%

20%

30%

40%

Q: Which technological device did you utilize the most in communicating with your last international client?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

50%

60%

HALF FOUND PROPERTY IN 1 MONTH OR


LESS
50%
50%
45%
40%
35%
30%
25%

18%

20%

14%

15%

8%

7%

10%
5%

2%

2%

17-20

21-24

0%
0-4

5-8

9-12

12-16
# of Weeks

Q: How many weeks did you spend looking for a property with your last international buyer?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

24-52

FEWER WEEKS SPENT LOOKING FOR


PROPERTY
Average
12
10

11.1

8.4

# of Weeks 6
4
2
0
2013

2014

Q: How many weeks did you spend looking for a property with your last international buyer?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

MAJORITY VIEWED < 9 PROPERTIES


30%
24%

25%
20%
15%

13%

10%
5.1%

5%

6.6%

8.1%

9.6%

8.5%
3.7%

2.6%

5.5%

6.6%

6.6%

20-30

30-50

0%
1

6
7
# of Properties

9-15

16-20

Q: How many different properties did you view with your last international buyer prior to the client making a purchase?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

FEWER PROPERTIES VIEWED IN 2014


Median
9.0
8.0

9.0
8.0

# of Properties

7.0
6.0
5.0
4.0
3.0
2.0
1.0
2013

2014

Q: How many different properties did you view with your last international buyer prior to the client making a purchase?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

70% MADE MULTIPLE OFFERS

25%

20%

20%

18%

15%

11%

10%

5%

5%

6%

7%
3%

0%
1

3
4
5
Number of Other Offers

6-10

11+

Q: How many offers did your last international buyer make on other properties (in addition to the one purchased)?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

FEWER OFFERS MADE IN 2014


Average

4.1
O
t
N
h
u
e
m
r
b
e
O
r
f
f
o
e
f
r
s

5
4
4

2.5

3
3
2
2
1
1
0
2013

2014

Q: How many offers did your last international buyer make on other properties (in addition to the one purchased)?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

WHO ARE INTERNATIONAL


BUYERS?
Demographics

TYPICAL INTERNATIONAL BUYER

81%
Married
81%
College
Educated

74%
Male

43
Years Old
47%
Asian

$200K
Median
Income

MANY INTERNATIONAL CLIENTS FROM


CHINA
2014

2013
36%
35%

China
11%

Canada

14%
9.1%
8.3%

Mexico
UK

4.7%
3.5%

India

4.7%
3.8%
0%

5%

10%

15%

20%

25%

30%

Q: Please tell us about your last closed transaction with an international client. What is your clients country
of permanent residence?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

35%

40%

CHINESE REMAINS TOP LANGUAGE AMONG


INTERNATIONAL BUYERS
Chinese

38%

English

29%

Spanish

10%

Japanese

2.9%

German

2.9%

French

2.6%

Russian

2.2%
0%

5%

10%

15%

Q: What is your last international clients primary language?


SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

20%

25%

30%

35%

40%

MAJORITY ARE INDIVIDUALS

LLC 6%

Other
Corporation 4% 5%

Individual 84%

Q: Was your last international client a(n):


SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

MAJORITY OF INDIVIDUAL BUYERS ARE MALE


74%
80%
70%
60%
50%
40%
30%
20%
10%
0%

Q: What is your (last international) clients gender?


SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

26%

INTERNATIONAL BUYERS ARE GETTING


YOUNGER
Median

45

45

43

40
35
30
A 25
g
20
e
15
10
5
0
2013

Q: What was your (last international) clients age at the time the transaction closed?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

2014

MOST INTERNATIONAL BUYERS ARE


MARRIED
Other 1%
Single 18%

Married 81%

Q: What was your (last international) clients marital status at the time the transaction closed?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

> 8/10 INTERNATIONAL BUYERS ARE COLLEGE


EDUCATED
46%

50%
45%
40%

35%

35%
30%
25%
20%
11%

15%
10%
5%

1%

2%

5%

0%
Grade school
or less

Some high
school

High school

Some college 4-year college

Graduate
school

Q: What is the highest level of education your (last international) client had completed at the time the transaction closed?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

OCCUPATION OF INTERNATIONAL BUYERS


15%

Business/owner
12%

Engineer
11%

IT
Finance

5.0%

Doctor

5.0%

Attorney

5.0%

Teacher

4.0%

Manufacturing

4.0%
3.0%

Banker
Investor

2.0%

Developer

2.0%
0%

2%

4%

Q: What does your last international client do for a living?


SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

6%

8%

10%

12%

14%

16%

NEARLY 1/2 INTERNATIONAL BUYERS ARE


ASIAN
E
t
h
n
i
c
i
t
y

47%
Asian

27%

White

14%

Other
Hispanic

11%

Black

1%

0%

10%

20%

30%

Q: How would you describe your (last international) clients ethnic background?
SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

40%

50%

ANNUAL INCOME/REVENUE
$200,000

$200,000

2013

2014

$200,000
$180,000
$160,000
$140,000
$120,000
$100,000
$80,000
$60,000
$40,000
$20,000
$0

Q: What is your (last international) clients annual income/revenue?


SERIES: 2014 International Home Buyer Survey
SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

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