One in four purchases by a foreign buyer in the U.S. last year was made by a Canadian, according to an annual survey by the National Association of Realtors (NAR). That was more than double the share of any other nationality for purchases, with China coming in second at 11% of all international buyers. The survey counted the 12 month period ending March 31st. With a favourable exchange rate and sunken prices, Canadians have increasingly found U.S. real estate an affordable investment.
Most international investors have focused primarily in locations favoured by tourists. Arizona, Florida, California and Texas accounted for 51% of all U.S. purchases last year by foreign buyers; but most states have seen at least some international purchases recently. While proximity to relatives or friends was one leading factor for location, the survey pointed to one obvious reason for Canadians which is warmth. Canadians purchase homes in the south for the weather!