Photo: Olin Gilbert/Flickr
Florida remains the preferred state for Canadians flocking south of the border to buy property. A report released Tuesday from the National Association of Realtors (NAR) looked into the US real estate purchases of Canadians from April 2014 through March 2015 and found the sunshine state handily took the top spot, making up 41 percent of all transactions.
Arizona was the second most popular state for Canucks. However, it only made up 16 percent of purchases. With these warm and sunny destinations making up over half of all Canadian purchases, it’s unsurprising that 47 percent of the homes bought were for vacation purposes.
Overall, Canadian buyers were a well-heeled bunch with 73 percent making all-cash purchases and the average value for their new US home coming to $380,292.
The property types were fairly varied though the highest percentage (46 percent) opted for a detached single-family home and 35 percent chose a condo/apartment.
Snowbirds have long made up a significant part of international buyers in the US. But last year, their size declined. According to NAR, Canadians purchased an estimated $11.2 billion in total property value, a decrease from $13.8 billion the year before.
As it stands, Canadians made up approximately 11 percent of total international sales in dollar volume. Altogether, total unit sales from all international home buyers decreased by 10 percent from last year, though the total dollar volume rose by 13 percent to $104 billion.
In other words, there were fewer actual properties purchased by outside buyers, but the amount they spent was notably higher.
For the first time, Canadians were no longer spending the most or snapping the highest amount of US properties. In an international buyers report released in June, NAR noted that China has taken over Canada’s ranking as top international buyer. US properties acquired by buyers from China tallied an estimated $28.6 billion. Canada trailed behind in second place with $11.2 billion in real estate purchases.
International buyers tend to spend an average of $499,600. However, buyers from China typically purchased the most expensive properties, at an average sale price of $831,800.
Aside from China and Canada, the United Kingdom, India and Mexico made up the top five countries for international buyers. Together, they accounted for 51 percent of all purchases by international buyers.