Think of a posh, luxury penthouse in Midtown Manhattan. Wine glasses clink, and perhaps the music of a jazz trio serenades the guests. Such a party characterizes the height of the American dream—or not. The owner of that penthouse, like the owners of many other luxury Manhattan homes, may very well be a foreign investor. Foreign ownership of properties in New York City is growing, as global investors increasingly turn to the city as an attractive investment.
Edward Langley, founder of The Hollingsworth Group, shared with us some of his knowledge and expertise on the foreign buyer scene in New York. He has worked in New York City real estate for more than 12 years, and he says that just recently the buying market has started to heat up again. In fact, properties in New York City are selling faster than they were before the bubble burst in 2007 and 2008. Significantly, about half of his clients are foreigners interested in the city’s properties. Below, he sheds some light on foreigners who just can’t get enough of the Big Apple.
Why do people want to buy property in New York?
They love the culture of Manhattan. They are attracted by the vibe, action, and diversity of this melting pot city. Those ingredients make them feel at home in New York City.
Foreigners also know that the real estate market is stable and that it appreciates. They often have friends who have lived in New York City or bought there before.
Some are world travelers or own homes in various cities, so they feel that their "journey" is not complete until they own a part of New York City. But I would say the culture, coupled with the fact that it is a good stable investment, are the main reasons.
Can you tell us about your foreign clients who invest in New York City real estate?