Chinese Investors are actively purchasing Asian Real Estate

The demand for Asian real estate from Chinese investors has seen a significant increase as the country reopened after several months of being in lockdown.

As the world slowly recovers from the COVID-19 pandemic, the real estate market appears to be making a comeback as well. The demand for Asian real estate from Chinese investors has seen a significant increase as the country reopened after several months of being in lockdown.

Data from real estate companies in Singapore and Australia shows that Chinese buyers are pouring money into foreign real estate. This increased demand has resulted in skyrocketing property prices in Singapore, and Chinese international students in Australia are actively exploring apartment buildings in Sydney and Melbourne. The Thai real estate market is also receiving a lot of attention from Chinese investors.

Chinese Investors are actively purchasing Asian Real Estate

The domestic Chinese market is still fragile after the aftershocks of the COVID-19 pandemic, and tighter tax regulations have led many to believe that foreign investment is becoming more attractive. For a long time, wealthy Chinese individuals have sought to transfer their money abroad to diversify their investment channels. However, the Beijing government has taken measures to tighten domestic and foreign capital flows since 2016, making it difficult for people to transfer money out of the country. This has put pressure on the yuan and made people feel less confident in the strength of the country's economy.

Brokers in Australia say that recent demand from overseas buyers has helped stabilize property prices in the country. The percentage of homes sold in Sydney increased significantly in February, recording the highest increase in a year. Similarly, Singapore is also a popular choice for foreigners to invest in. Though there has been a decrease in Chinese tourist's buying properties in Singapore due to border closures and increased property taxes, analysts have noted that this decrease is insignificant.

In recent years, Thailand has emerged as a potential market for real estate investment in Asia. Chinese investors have turned to Thailand after Canada passed a new law that imposes a two-year term on foreigners buying real estate in the country. Real estate prices in Thailand and Malaysia are relatively cheap compared to some third-tier cities in China. A luxury apartment in China's third-tier city costs around 2 million yuan ($300,000), while apartment prices in Thailand and Malaysia are only 25% of that.

The resurgence of the real estate market in Asia, coupled with the willingness of Chinese investors to explore foreign markets, presents an opportunity for real estate companies in the region. As more and more investors enter the market, it is vital for policymakers and investors to work together to ensure a stable and sustainable real estate market.