Business
Vietnamese pour USD3bn into US property
  • | dtinews.vn | July 22, 2017 03:26 PM
Vietnamese are surprisingly among the citizens of the top 10 countries that spend the most on US property, pouring in a gigantic USD3bn, according to a recent report by the US National Association of Realtors.


  

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The report about real estate activities in the US 2017 show that from April 2016 to March 2017, foreigners have spent USD153bn to buy 284,455 US properties. China was the top buyer with USD31.7bn and followed by Canada with USD19bn. Vietnam ranks sixth with USD3.06bn, the same as Germany, Japan and Venezuela. Vietnam has been on the top 10 list for five consecutive years.

Vietnamese buyers are also interested in real estate market in Canada and Australia and some countries with open policies that encourage immigrants. The interest in US and Australian markets has risen recently due to affordable prices.

According to Vietnam Sotheby’s International Realty, many people showed interests in buying houses in the US after attending showroom events.

Le Hoang Chau, head of HCM City Real Estate Association, said that people with green cards would be interested in buying houses and some might want to invest in the real estate market in the US.

Dr Bui Quang Tin from Banking University of HCM City agreed that buyers wanted to explore opportunities in the US as it is easier to invest in the US.

Vietnam does not ban individuals from owning overseas property but does restrict the amount of money that can be transferred abroad. USD3bn is huge money and many experts think that the money has been illegally transferred or laundered out the country.

Individuals must ask for investment licence, establish a company in the US and then follow various procedures to make investment with money from Vietnam. Buying private houses with huge money is almost impossible, which points to criminal activity. Currently, money transfers can only be used to pay school or university tuition fees, buy cars or rental fees for overseas students.

Chau worried that there might be problems with foreign exchange management.

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