March 15th, 2015 | Millenials Home-Buying Trends
The Wall Street Journal reports:
U.S. Regained Top Spot for Real Estate Investment in 2014 - We’re number one – again!
For the first time since 2009, the U.S. was the top destination for capital going into real estate markets, according to Cushman & Wakefield’s annual report, leapfrogging over China. But it came as the global market actually got smaller, not bigger.
The market-share gains in the U.S. came more because of a drop in investment in land in China, the firm said, which led to a 6.4% drop in global real-estate investments to $1.21 trillion. “This decline in activity can be solely attributed to a drop in Chinese land purchasing,” the firm wrote. The report was released at the annual real-estate conference sponsored by MIPIM.
Investment in real estate in the Americas rose 12% to $410 billion. Even with that increase, the market is still only at 71% of its 2007 peak. In the U.S., total investment came to $324 billion, a 16% increase. China, the U.K., Germany, and Japan were the other top destinations.
New York City was the top destination, followed by L.A., San Francisco, Washington, D.C., Chicago, and Boston. Globally, New York was still number one, followed by London, Tokyo, L.A., and San Francisco. In a nod to the youngsters, the survey found that the top markets offering “the right live/work/play environment” for millennials were Nashville, Brooklyn, Portland, and Memphis.
For 2015, the firm projects the global real-estate market will rise 11%, to $1.34 trillion, with the largest gains coming in central and eastern Europe (30%), followed by western Europe (19%), and North America (15%). But the report was cautious about the current year. “While growth may be better, it will be volatile and divergent market by market.”
Wall Street Journal
by Paul Vigna
March 11, 2015