The Association of Foreign Investors in Real Estate (AFIRE) has released its 24th annual survey of members which shows that 64% of respondents say they expect to have modest or major increases in their investment in US real estate in 2016, with another 31% indicating they expect to maintain or reinvest their investments. According to the survey, none of the members, who are among the largest international institutional real estate investors in the world and have an estimated $2 trillion or more in real estate assets under management globally, have plans for a major decrease in the US commitment. The survey was conducted in the fourth quarter of 2015 by the James A. Graaskamp Center for Real Estate, Wisconsin School of Business.
"The investment opportunity is the United States, itself," said James Fetgatter, chief executive of AFIRE, in a press release. "The real estate fundamentals are sound; the economy continues to remain strong; there are opportunities across all sectors of the real estate spectrum and in both gateway and secondary cities. The recent legislation bringing welcome relief from certain FIRPTA taxes should provide additional incentives for foreign investment into the US. In an environment that is regarded both as the safest and most secure in the world, with a strong currency and the best opportunity for capital appreciation, the US is the safest harbor."
Highlights of the AFIRE survey include:
60%t of respondents said the US was the country providing the most stable and secure real estate investments. By comparison, Germany, which came in second, had only 19% of the vote.
With 46% of the vote, the US was also cited as the country providing the best opportunity for capital appreciation. Brazil, second in this category, received 17% of the vote.
85% of respondents said their perspective on the viability of the US real estate market was unchanged over last year, although 80% of respondents said it was "very" (35%) or "somewhat" (45%) difficult to find attractive US real estate investment opportunities.
To reviews graphs of the survey data, click here. For more news and information visit Blumberg Partners.
No comments:
Post a Comment