Chinese buyers: Loving Palo Alto
For investment reasons, Chinese are buying more and more properties in the US, and also to have a better life for their kids. But now there target is not Los Angeles or New York but there attention has shifted to Bay Area enclaves like Old Palo Alto, according to agents who work there.
Palo Alto is a very good example of what the Chinese are looking for and what they value the most. Palo Alto is in Silicon Valley. According to the recent rankings Palo Alto is the ninth most expensive area for real estates in Silicon Valley while it is on 38th No. on national level. Ken DeLeon is claiming to be the number one sales agent for the year of 2013 on the basis of his MLS sales. He argues that demand is driving up sales prices in a hyper local way. He further said that, in 2006, the average home sales price in Palo Alto was only 3.34% higher than neighboring Menlo Park, and now it’s over 38.96% higher.
DeLeon who has had two or three trips to China to increase his potential buyers has ultimately brought a lot of growth to the region of Palo Alto and he is expanding business as he recently hired an Asian Director Operations who takes the potential clients to Palo Alto for a tour of the real estate they have to offer. Builders have also came into action by replacing old homes with the new ones to attract the Asian Buyers. The number one sales agent of the area DeLeon said that, Builders know that the Chinese buyers will pay a premium for new constructions.
More Chinese are buying land in Palo Alto, the reason for this likeness from Chinese is that, They want to buy to diversify their portfolio, because they think the United States is a safe haven. Also, they want their kids to be educated. With its weather, business opportunities, and public education system, Silicon Valley is a natural target.
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