Hat tip to HB John for alerting us to the story on Ben’s Blog about the Chinese investors in America buying up U.S. real estate:
http://thehousingbubbleblog.com/?p=5602
It is just one story, but it talks about Chinese buying U.S. REITs, and also sending their kids here, who then marry an American – making it easier to buy U.S. real estate. Worth a read.
Jim Klinge
Klinge Realty Group
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CA DRE #01527365, CA DRE #00873197
Trustindex verifies that the original source of the review is Google. We sold a home with Jim and Donna and from beginning to end they were consummate professionals. Their initial walk through the property resulted in a list of items to be repaired or updated. They supplied a list of vendors and job quotes to do the repairs and updates. We originally wanted to sell ‘as is’ and just get it over with. They gave us a selling price for ‘as is’ and options for doing a few updates/repairs to doing it all with the selling price for each option. We agreed to do all they suggested and we sold for the exact price they predicted. For every dollar spent we got back more than $2 back in the selling price. And they got that price in a rising interest rate environment! Donna and Jim are extremely detailed and guide you through ever aspect of the sale. There were no surprises thanks to their guidance. We couldn’t be more pleased with their representation. Thank you Donna and Jim, Jerry and MaryTrustindex verifies that the original source of the review is Google. We have known Jim & Donna Klinge for over a dozen years, having met them in Carlsbad where our children went to the same school. As long time North County residents, it was a no- brainer for us to have the Klinges be our eyes and ears for San Diego real estate in general and North County in particular. As my military career caused our family to move all over the country and overseas to Asia, Europe and the Pacific, we trusted Jim and Donna to help keep our house in Carlsbad rented with reliable and respectful tenants for over 10 years. Naturally, when the time came to sell our beloved Carlsbad home to pursue a rural lifestyle in retirement out of California, we could think of no better team to represent us than Jim and Donna. They immediately went to work to update our house built in 2004 to current-day standards and trends — in 2 short months they transformed it into a literal modern-day masterpiece. We trusted their judgement implicitly and followed 100% of their recommended changes. When our house finally came on the market, there was a blizzard of serious interest, we had multiple offers by the third day and it sold in just 5 days after a frenzied bidding war for 20% above our asking price! The investment we made in upgrades recommended by Jim and Donna yielded a 4-fold return, in the process setting a new high water mark for a house sold in our community. In our view, there are no better real estate professionals in all of San Diego than Jim and Donna Klinge. Buying or selling, you must run and beg Jim and Donna Klinge to represent you! Our family will never forget Jim, Donna, and their whole team at Compass — we are forever grateful to them.Trustindex verifies that the original source of the review is Google. WeI had the pleasure of working with Klinge Realty Group to sell our home in Carmel Valley, and I cannot recommend them highly enough! Jim and Donna demonstrated exceptional professionalism, offering expert guidance on market conditions and pricing strategy, which resulted in a quick and successful sale. Communication was prompt and we were well-informed throughout the entire process. For anyone looking for a dedicated and knowledgeable real estate team, look no further! ---Trustindex verifies that the original source of the review is Google. Donna and Jim Klinge of Klinge Realty Group have our highest possible recommendation. From Donna and Jim’s first visit to our house through closing their advice and counsel was candid and honest in all dealings. They kept us fully informed throughout the process. The house sold less than three days after listing with a two-week closing. My wife and I have sold several houses during our lives. This was by far the best experience. Klinge Reality is a premium service realtor. You can’t make a better choice for someone to sell your home fast and for top dollar.Trustindex verifies that the original source of the review is Google. Donna and Jim provided exceptional support and professionalism throughout the entire process. We couldn't have been happier with their efforts. They made our house shine, and thanks to their expertise, it sold above the listing price in the very first weekend! Truly a fantastic experience from start to finish.Trustindex verifies that the original source of the review is Google. This year has been difficult on our family, mainly due to having to sell our home. Thankfully we knew God had a plan for us and working with the Klinge team was a key part of it. It was an obvious decision to work with them again after such an amazing experience when purchasing the same home we needed to sell. The challenge was, how will we do this in so little time with so much going on? Jim and Donna held our hand every step of the way. Whenever an unexpected issue arose they found and provided a solution. Never once did we feel pressured to make a decision and the Klinges were always reassuring after providing the information that the decision was ours to make. Despite the curve balls, they never panicked and exemplified the “can do” attitude, making us feel optimistic and taken care of. Their expertise and professionalism was superb. But of all the reasons to work with the Klinges, the most impactful and valuable is their compassion and genuine care for their clients. We pray that we can one day purchase our forever home and you better believe that Jim and Donna will be representing us - as long as they will have us of course. Thank you again Klinge team! Your execution, experience, and care are unmatched.Trustindex verifies that the original source of the review is Google. Jim and Donna were fantastic! Jim understanding my needs, recommending potential places, pointing out the pros and cons of each property was invaluable. Then when the offer was accepted Donna’s organized guidance through the inspections, paperwork etc made the whole process seem effortless. So grateful that I had them on my side!Trustindex verifies that the original source of the review is Google. We first found Jim through his blog at bubbleinfo.com, which really showcased his knowledge of SoCal real estate. Since then we've done three transactions with Jim and Donna, and they are an incredible full service agency, with Jim's deep market insight and Donna's deft contract and project management. We trust them implicitly in their analysis and strategy, which is based on years of experience. They're always available and on top of things, and we strongly recommend them to anyone.Trustindex verifies that the original source of the review is Google. The Good The Klinge Realty Group operates like a finely tuned machine, with a very personal touch. We contacted them on a Sunday and they were talking to us about our family and our needs on our living room couch the following day. They carefully listened to us and worked with us to identify the best and quickest path to listing within 2 weeks to take advantage of the low inventory conditions in our South Carlsbad neighborhood. They knew our tract specifically and had many previous sales there over the years - they came prepared with a thorough analysis of comparative sales and recommended a pricing strategy that they felt confident would yield offers the first weekend on the market. The Great Over the next two weeks Donna coordinated a range of vendors who she knew from experience could get the preparation to list work we needed done on time and with high quality. Our light tune-up involved excellent experiences with their stagers, landscapers, contractors, electricians, and plumbers. Throughout this period Donna's daily communication was clear, concise, and responsive. Any time we had questions Donna picked up the phone or texted immediately - but almost always, she answered our questions before we even knew we had them. The Outstanding We had a tricky situation with a shared fence that could have delayed our escrow. Donna used superb mediation skills to negotiate the terms of replacement and was personally on site with the fence contractor to make sure everything went smoothly. The fence looks great and escrow closed on time. The Truly Exceptional Our house came on the market on a Wednesday and between then and Monday morning Jim was personally at all three open houses. He was in constant communication explaining potential buyer reaction and strength. As he predicted offers began to come in on Saturday and each one was incrementally higher than the last. At the end we had 5 offers, 4 of which were over list, and the final accepted offer was $100,000 over list. In addition to being over list it included rent back terms that met our needs. The Recommendation For all of these reasons we would strongly recommend The Klinge Team to anyone wanting to sell in North County Coastal San Diego. I had been reading Jim's bubbleinfo.com blog for 15 years and knew when the time came to sell that he would be our first call. Jim Klinge is not your standard realtor. He is keenly aware of market conditions and sales strategies. And, works his tail off - though not as hard as Donna . At this point he's gone from realtor to friend and I plan to have him over to grill and chill at our new place to talk real estate, but also just about life and raising kids in San Diego. He's more interested in relationships than his sales numbers - and that's why his sales numbers are so high. We have already recommended the Klinge's to some close friends and another successful sale is on deck right around the corner...Trustindex verifies that the original source of the review is Google. We recently had the pleasure of working with Jim and Donna from Klinge Realty Group to sell our house, and we couldn't be more satisfied with the experience. From the initial meeting, they listened attentively to our needs and provided invaluable guidance on specific improvements to get our home market ready. Their responsiveness throughout the entire process was truly impressive. Anytime we had questions or concerns, they were quick to address them, ensuring we felt comfortable and informed every step of the way. What stood out the most was their team and extensive network of tradespeople, which made addressing any necessary repairs or updates seamless and stress-free. Thanks to their expertise and dedication, our house sold quickly and at a great price. We highly recommend Jim and Donna to anyone looking to buy or sell a home. They are a fantastic team who truly care about their clients and deliver exceptional results.Load more
Very interesting article.
The people who live without borders-the Goldman Sachs types(GMS)-are only governed by their net worth. Where they make their money is less important than how they make it, and how much they make. The rest of us are forced to deal with the consequences of their bottom line decisions.
Since where we live and real limits are things most of the rest of us are acutely concerned about, I think the buying and selling of huge parcels of real estate by absentee land owners is something worth worrying about.
The housing bubble in the 1920’s and the current one, essentially destroyed neighborhoods. It uprooted vast numbers of people and created havoc throughout the rest of the economy.
What makes the current housing collapse so bad is that we’ve been here before and have little to show in the way of having learned something.
Our spot on Nightline west coast is going to get bumped by Ted Kennedy.
It’s a great time to buy.Smart people buy low and sell high.We are in a new era folks.Grab your piece of america before the rest of the world does.
So, that’s why wife married me!
azdude you should try to add something constructive or thoughtful every few posts
I know a few of these investors. I try to discreetly tell each one to keep their Yuan tucked under their mattress because it’ll be worth a lot more when they pull it out. Come back in 2010.
For citizens and permanent residents, it’s a whole different equation because of several tax benefits (even for all cash investors).
That said, a number of these “investors” are really buying houses for their children to go to school from. It’s only an investment in the sense that they’ll rent it out or sell after their children graduate. I’m serious, I’ve known dozens of families like this growing up.
In one example, I knew someone who lived in a $3 million home, had a chef, butler, driver, and a tutor. This is only an investment in terms of “recouping” costs. They’re actually losing money if they don’t count the benefit of a US education for their children. That said their parents made the right move, seeing as how it was either this or become Chinese subjects (They were from Hong Kong, back when it reverted to China).
Oh, and they were 100% cash.
The Chinese got it going on don’t they! They are like the Russians and us combined in our own hay days of yesteryear. With our US debt going to 17 trillion estimated by the end of Obama’s second term, China should own us completely by then!
Like he says, “Japanese Redux”. People said the same thing when the Japanese were running high in the eighties. Nothing to worry about, they’re having their turn in the sun.
We should be pleased that they are putting cash into the US. Obviously they recognize that there are deals here to be had right now.
The Chinese and Russians are actually taking cash out of US debt. It’s compensated for other countries, and has more to due with currency vs. yield than anything else. I.e. Yen and Yuan actually appreciate under your mattress, unlike most currencies of the world.
All I know, is that once my inheritance is mailed to me from a great uncle in Nigeria, I’m retiring. Gee, I sent them $1200 3 weeks ago as a processing fee, so should be any day now.
Jim, how’s your Mandarin? 🙂
It was interesting to read that blog on Chinese people/agency investing in U.S. real estate. I read a book in 2006 called Crash Proof by Peter Schiff. He correctly predicted the bursting of the housing bubble as well as our general economic meltdown. He also wrote then that Chinese investors would come in later and start buying up our real estate, pretty much for exactly the reasons mentioned in the blog. It’s fascinating to watch that play out now- especially considering how many people in the financial media tried so hard to paint Schiff as a crackpot before the bubble burst.
China will have the fortune of living through a lost decade soon enough. Whoring kids out in order to buy RE is one of the funnier things I’ve heard in a while.
Is it really like Japanese redux? Japanese brought all their stuffs during the bubble and at the peak. Chinese is moving in after the crash and near the valley. At this point, buying US treasures is riskier because the exchange rate changes could literally wipe out your gain plus more. Also, Chinese believes in controlling lands controls the worth of the nation.
Also culture wise, Chinese is a lot less xenophobic than Japanese. That’s why you will find less objections if a rich Chinese son want to marry a woman of other race. Also, if you know a little bit about Chinese history, you will realize that the current Chinese culture is the mergers of several foreign Asian cultures assimilated by the Han Chinese culture (the five great culture mergers). As a closet Trekkie, I always thought the Borg is model after Chinese “We are Borg. You will be assimilated. Resistance is futile.” LOL
All we care about is if you make grandkids. You can marry a white man/woman, you can be gay, but you must have grandkids. No kidding.