This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Rich Foreigners Buy U.S. Homes: Unreal Estate

MIAMI ( TheStreet) -- The nation's real estate market is starting to show a pulse again, and international buyers have been partly responsible for its improving health.

Price reductions in the U.S. have made its real estate offerings more attractive to foreign buyers who see an entry point into purchases they have long coveted. On a routine basis, tour groups from China are visiting New York, Boston and San Francisco to scope out potential buys. Investors from Spain and Italy have emerged among their European peers. Latin American countries are taking advantage of bottomed-out prices in Miami.

Rodrigo Nino, president of the global real estate firm Prodigy International, is among those betting on the trend to continue and grow. He recently launched Prodigy Network to purchase residential condominiums for international investors. The company will initially buy approximately $100 million worth of new condominiums on behalf of investors located in Latin America, Europe and Asia.

A Russian billionaire bought a mansion in Miami from NBA star Shaquille O'Neal earlier this year.

He is focusing on projects with units that cost $350,000 to $3 million in Manhattan, Brooklyn, New Jersey and Miami.

Miami, a city whose property prices have been pummeled, is of particular interest to Latin American buyers, he says. Home prices have been slashed by as much as 65% to 70%. Even beachfront condos are selling for a song.

"You are making the money the developer is losing," Nino says. "That is something the investors like and they are coming in at full swing."

Nino says his Miami buyers hail mostly from Venezuela, but Mexico, Colombia, Panama and Argentina are also represented. European buyers largely come from Spain and Italy. The majority of buyers from these countries pay cash and don't need loans, Nino says.

1 of 3

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,856.24 +78.09 0.44%
S&P 500 2,073.80 +12.57 0.61%
NASDAQ 4,772.9150 +24.5190 0.52%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs