In recent years, Chinese investors have been active in U.S. coastal markets like New York City and San Francisco, but now, a second wave of Chinese investors are targeting markets in middle America as well, reports HousingWire staffer Dan Ganguly.
Through greater access to data and information, foreign investors have discovered that higher-yielding real estate assets are located far from the iconic cities they once coveted.
Although these investors are more familiar with big cities that are popular tourist destinations, they’re realizing there are better places for their investment dollars. Some savvy investors are even exploring SFRs in tertiary metros like Cleveland; Columbia, South Carolina; Birmingham, Alabama, Pittsburgh; and Milwaukee, where yields ranged between 8% and 11% annually as of mid-year 2016. Comparatively, yields for SFRs in New York City, San Francisco and Seattle, ranged between 2% and 3% during that same time period.