The Texas population boom isn’t only being driven by out-of-state buyers. International homebuyers are looking to make a home in Texas, too.
Those sales helped solidify the Lone Star State as the third most desirable for international buyers, with 12% of international homebuyers purchasing Texas property. Texas trailed behind only Florida and California.
Foreign buyers spent almost $4 billion on Texas homes. While this was a slight dip from the previous year’s $4.8 billion total spending, that drop reflects a decline in prices.
The median price of homes bought by international buyers dipped to $375,000 from $420,800 the year prior. Still, that was more than the $333,600 median price of a Texas home during that time.
The majority of buyers came from Mexico, making up 35%. Homebuyers from India accounted for 14%, while 9% of buyers were from China. Homebuyers from Nigeria and the United Kingdom made up 5% of the total foreign buyers purchasing Texas property.
“The relative affordability in Texas is one reason for high international interest,” Texas Realtors Chairman Jennifer Wauhob said in a statement. “But our strong economy and quality of life are also persuasive recruiting tools on the world stage.”
While the idea of foreign buyers can conjure up visions of someone overseas snatching up prime property, the reality was that 62% of the buyers already lived in the U.S. as recent immigrants or through visas. The report found that more than half were looking to make the newly purchased home their primary residence, with 38% paying in cash.
Nearly 60% of foreign homebuyers sought homes in the suburbs, the Houston Chronicle reported, with 83% purchasing detached single-family homes. While international interest in U.S. property was high, the report showed that 27% found that finding a suitable property, cost or immigration laws were barriers to purchasing a home.