Buying to attract Chinese investment

Hello all

Does anyone have experience in dealing with Chinese investors? Do you know what's their preference?

I know some like places with big block of land, some just want to buy land... is there anything we can do as small investors to capture this growth opportunity?

Or am I too late?

 

I read today that they like the number 8.

My PPOR is number 8. If I ever sell it, I'll make sure it gets some focused marketing towards the Chinese demographic.

 

Buy in places with a large Chinese population and also... they like good schools.

 

I know a couple of Chinese (or Malay Chinese) real estate agents in Perth. They tend to do road trips in Asia to sell.

I can put you in touch with them. They mainly sell apartment projects however.

The FIRB rules clearly sway a non-residents purchasing habits.

Otherwise I think the Chinese want the same as Malays as do Germans - land close to the city, close to the beach, close to good schools, close to good transport and in a safe suburb.

 

I hear that the younger Chinese set like nice cars.

Access to good roads is essential.

 

This was in a Chinese publication but if you click on the Australian flag, it will bring up the English version of the article.

Part 1:
http://sydneypropertyexperts.com/en/中国买家偏爱哪类房产？（上）/

Part 2:
http://sydneypropertyexperts.com/en/中国买家偏爱哪类房产？（下）/

 

Number 8 is good luck in chinese, anything with a 4 in it is bad as similar to Death. No houses where if you open the front door it goes straight out to the back door. Close to the 'good' schools. Not near cemeteries.

 

Y

Yes i believe they prefer $8m in rental to $4m

 

These articles are spot on.

 

If you are talking about the China buyers, you might be a little too late, their government has been clamping down in a big way on fund outflows. There are now reports of high-end buyers not completing their purchases due to difficulty with getting the funds over.

 

True, some suburbs in Melbourne such as Kew & Glen Waverley which were Chinese favourite and have experienced very high growth in the past few years all had price drop to 10% or so in the past 12 months due to Chinese unable to get money out of China.

 

I know a Chinese family who wanted to buy but the mortgage fell through as they are new immigrants and have no Australian income, so the whole family ended up make multiple trips to China and bring back cash to pay, that's a very expensive transaction cost.

 

I've personally seen transaction history of 'student' who received $50k a month from their parents for spending money to 'study'.

 

Well I always want to go back to school so if the parents want to subsidize another student, let me know.

 

that's probably how students who usually bid on ebay for action figures, end up bidding at auctions for million dollar homes lol. Hopefully ATO continues to mop up these illegal purchases.

 

It's tough being a student and only being responsible to attend classes and get good grades but even that's too tough for some silly sausages.

I am not a fan of allowing this practice to keep happening and believe in fair play. I don't mind losing in an auction or a property to someone else who has worked hard but I do have issues with people 'winning' when the money was dirty to start off with.

 

When you look at the prices in a place like this that the high end Chinese target ..
Real Estate & Property For Sale in Binalong Bay, TAS 7216 (Page 2) - realestate.com.au

Hotels urged to give condoms to Chinese guests

 

Some may have won the money through political connections. Some are just rich through business. Can't really judge who made the money legally or not. There are people who bid who made their money through legitimate means.

 

yeah not surprised when single level villa unit can go to 1.6-1.8mil on bogong avenue. That's the favorite Chinese rd. Lawyer whose main business was getting FIRB approvals told me since December last year the regs came in, he seen his enquiries drop to 10%. Anyway the impression that Chinese only comes from china where there is capital controls is not necessarily true (as they all look alike In Melbourne some of the biggest players are the Chinese Indonesian, Malaysian Chinese, Singaporean Chinese. Also you are not including the Indians (the gujaratis), they buy sites 10 million without even blinking in like weekly trips.

 

Yep me too, have no 8 on IP in Brissy, when the time is right I will market it for $888,888 !