As a result of the recent collapse of the Chinese stock market, experts and real estate brokers in Australia, Britain and Canada have predicted an increased interest in their country's real estate markets by wealthy Chinese investors who withdrew their money from their country's collapsing stock market, as reports say that 20% of the value of Chinese stocks has lost value since last June due to the severe turmoil that plagued the stock exchange in Shanghai.
In the same vein, Michael Pallier (real estate agent) said that last week he sold two new condominiums and offered a house of 13.8 million Australian dollars to Chinese clients looking to invest in the real estate market. In the same vein, Michael Pallier (real estate agent) said that in the past week he sold two new condominiums and offered a home worth A$13.8 million to Chinese clients looking for an alternative investment to stocks.
Michael Pallier (real estate agent) said he sold two new condominiums and offered a home worth A$13.8 million to Chinese clients looking for an alternative investment to stocks. “A lot of wealthy people have pulled their money out of the stock market because of the increased risk in the market, so there's a lot of uninvested money in China and I think a lot of it will go to the real estate market in Australia,” said Pallier, director of Sotheby's International Realty in Sydney.“
In a similar reaction, he said he sold new condominiums and offered a home worth A$13.8 million to Chinese clients looking for an alternative to stocks. <In a similar reaction, Ed Meade, managing director of Douglas & Gordon in London, said his firm had received two clients from China seeking to buy entire apartment buildings. The Chinese are not used to buying whole buildings. In the U.S. market, Brian Ward of commercial real estate firm Colliers International said Chinese investors have already bought about $5 billion in U.S. real estate in the first half of this year, compared with $4 billion in total real estate investment in 2014.
In London, Alex Alex Gordon said his firm has received two clients from China seeking to buy entire apartment buildings. <In London, Alex Newall, managing director at Hanover Private Office, a real estate agent for luxury condominiums, said he has noticed increased interest from Chinese investors in expensive properties but added that no deals have been made yet. “They want to try to invest large sums of money, I'm talking about sums from £25 million ($38.5 million) to £150 million,” Newall said, "They want to invest money in houses in London."
In the meantime, Chinese investors have moved to invest in expensive real estate. Meanwhile, the Australian government has moved to appear tough, imposing fees and jail sentences for those found to be violating foreign investment regulations, and a Chinese owner of a A$39 million home was forced to sell it earlier this year after it emerged he had bought it illegally through more than one shell company.
