U.S. Home Prices Lure Foreigners

Wall Street Journal (05/27/08) P. D6; Todorova, Aleksandra
Home price declines and the weak dollar are drawing foreigners to the U.S. housing market, with the National Association of Realtors reporting that 18 percent of members handled transactions with international clients during the 12 months ended in April 2007. While foreigners once snapped up luxury properties in such markets as Miami's South Beach or Manhattan, they now are looking at homes in various price ranges and locations--from inland South Florida to Washington state near the Canadian border. David Michonski of New York-based Coldwell Banker Hunt Kennedy says foreigners are taking advantage of great deals and expect the U.S. housing market to post strong results over the long term. He says, "The foreign buyer has an unbridled confidence in the U.S. market that is lacking in the domestic purchaser today."