Chinese nationals once again dominated foreign purchases of U.S. homes over the past year, according to a new report by the National Association of Realtors (NAR), with their expenses increasing by 83 percent compared to 2024.
In its latest report on international transactions in U.S. residential real estate, NAR found that Chinese buyers accounted for $13.7 billion of the total $56 billion spent by foreign buyers in the U.S. housing market between April 2024 and March 2025.
It was more than double the investment that Chinese buyers made a year earlier, $7.5 billion, and a little more than they spent in 2024, at $13.6 billion.
In terms of the number of existing homes purchased by foreign buyers, Chinese buyers snapped up 11,700 of the total 78,100. They represented 15 percent of all foreign buyers, followed by buyers from Canada (14 percent), Mexico (8 percent), India (6 percent), and the United Kingdom (4 percent).
Chinese buyers also paid the highest purchase price of the top five foreign buyers, according to NAR. Over the last year, their average purchase price was $1,168,800, while their median purchase price was $759,600.
Why Are Chinese Buyers So Interested In U.S. Homes?
Matt Christopherson, the director of Business and Consumer Research at NAR, believes that China’s real estate crisis is partially to blame for the surge in interest in U.S. homes among Chinese buyers.
China’s real estate sector, which at its peak contributed 25 percent of the country’s total GDP and 38 percent of Beijing’s government revenue, played a significant role in driving the country’s spectacular economic growth over the past few decades.
But excessive borrowing and speculation brought the sector to a breaking point. In 2021, Evergrande defaulted on its debt, shaking confidence in the sector. Other developers, like Country Garden, followed in its footsteps, further destabilizing the market.
Since then, China’s real estate sector has been navigating troubled waters, with declining prices and stalled construction. The crisis is having a negative impact on the entire Chinese economy, slowing growth despite authorities’ efforts to prop up the housing market.
According to Christopherson, these challenges at home are prompting Chinese buyers to seek alternative investment opportunities for their hard-earned money.
“The Chinese housing market has been slow to recover following the pandemic, so Chinese buyers see a beneficial opportunity in diversifying their investment portfolios with exposure to stronger U.S. markets,” Christopherson told Newsweek.
“China’s continued investments in U.S. mortgage-backed securities further shows their interest and confidence in the American markets. Investment buyers from China find strong cash flow investment opportunities with residential rentals, as our affordability shortcomings are putting upward pressure on rental demands,” he said.
“Additionally, Chinese students more often purchase housing during their studies, with nearly one-fifth of Chinese buyers purchasing for this use.”
The data contained in NAR’s report covers the period from April 2024 to March 2025, before President Donald Trump announced tariffs against China, sparking a budding trade war between Washington and Beijing.
Where Are Chinese Buyers Purchasing Homes?
California was the top U.S. destination for Chinese homebuyers, accounting for 36 percent of all their purchases in the country. It was followed by Maryland and New York (each representing 9 percent of all Chinese buyers’ purchases in the U.S.), Hawaii (5 percent), Georgia, Idaho, Louisiana, North Carolina, and Washington (4 percent each), and Arizona, Delaware, and Florida (3 percent each).
“Chinese buyers are drawn to California due to its proximity to China, business opportunities from moving to the world’s 4th largest economy, and stronger cultural ties to the population in certain markets,” Christopherson said. “Additionally, low affordability in California brings strong rental demand, presenting an opportunity for those investment buyers purchasing residential rentals.”
Maryland is also a top destination for Chinese buyers, despite not being as popular among buyers from other nationalities, representing the majority of foreign buyers in the U.S.
“Given that the majority of Chinese buyers (57 percent) are resident buyers, more often purchasing detached single-family homes for primary residence or residential rental, these buyers are likely wishing to live in the D.C. or greater DMV area.”
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