In a real estate twist, Austin seems to be a new real estate capital for foreign investors. Austin is the U.S. city that attracted and is the interest of foreign real estate investors this year. Experts say that this is possibly the ramification of the coronavirus pandemic. As people have shifted their priorities to remote areas. And metropolises like New York and Washington are not that great attractive.
Forbes recently revealed the details of the survey. According to that report, nearly one in four survey respondents ranked Austin as the top market. While a third-ranked it within the top three cities. The Association of Foreign Investors in Real Estate has released this survey like they conduct every year.
About the New Real Estate Capital:
Austin was on the 12th position in last year’s list. And has improved its ranking substantially by grabbing the first position. Austin’s top ranking in real estate attraction is a huge jump for Texas’s capital city. Not just that, it is the first time in history. That a tertiary city has ever ranked in the top three in three decades of AFIRE surveys, reported the Forbes.
Tertiary cities are new haven for investors as more than 60 percent of the people who responded in survey preferred to choose tertiary cities for investment. Survey respondents showed little interest in the major cities like Chicago and New York.
On the property side, as previously, multifamily property dominated the top position. 86% of respondents saying they intend to increase multifamily property exposure over the next three to five years.
Due to higher relative affordability, younger demographics, and highly skillful workers, Smaller cities like Austin are experiencing healthy growth in populations. Austin, with its relative affordability, high quality of life and Texas’ low tax rate have made the city an attractive destination for workers and businesses alike. However, the influx of new residents may be driving up prices for locals.