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Detroit, a land of opportunity for Chinese investor

China’s Newest Real Estate Investment Craze: Detroit’s Housing Crisis

International Business Times July 26 2013

 

Downtown Detroit’s housing market was hit hard by the recession, as well the collapse of manufacturing and the long-term exodus of people. Currently one of the nation’s worst housing markets, the prices of homes have plummeted, while foreclosures continue to skyrocket. While the city is struggling to recover, China’s real estate-hungry buyers see an investment opportunity. In true Chinese fashion, they are looking to buy up in bulk. “I have people calling and saying, ‘I’m serious — I wanna buy 100, 200 properties,’” Chen said in the report, adding that another colleague had just sold 30 properties to a single Chinese buyer. The report on CCTV received millions of comments. One user joked that on paper, Detroit sounded like an upgrade from China’s increasingly expensive cities. “700,000 people, quiet, clean air, no pollution, democracy — what are you waiting for?” the commenter said. In reality, however, buyers seem to be only viewing the purchases purely as investment, and don’t plan on moving to Motown anytime soon. Because of this reality, buying real estate from remote China has become relatively easy. “They say, ‘We don’t need to see them [the properties], Chen added. “Just pick the good ones.’”