The Reasons Why Realtors LOVE International Buyers and Sellers

As real estate evolves more all over the world along with the increased transparency and potential of the constantly evolving world wide web, real estate agents have immense possibilities to obtain profitable international, long-distance business to which they didn’t until now have access to.

The business of selling foreign real estate is increasing, mostly as a result of the connectivity of the world and the Web.

Foreign buyers acquired $153 billion of U.S. domestic real estate in the 12 months thru July 2017, a rise of virtually 50 percent from the previous twelve months and in excess of 10 percent of the market industry by sales volume! Considering that the National Association of Realtors (NAR) is reporting these numbers then certainly you must agree with the fact that the international buyer is deserving of consideration when selling real estate.

A really appealing factor to sourcing one’s own international real estate clientele is how profitable it could be for the agent. A significant portion of international buyers and sellers are wealthy global elites searching for promising opportunities and grand vacation residences.

However introducing the foreign trader to your menu definitely won’t be as easy as acquiring them can be complicated.

Touching this part of the industry however will involve alleviating various challenges such as language and currency to name a few. Customarily though lots of international investors are not likely to invest in a country without at least some sort of research and having methods in place to try to avoid any “lost in translation” problems.

international real estate

Image is courtesy of Costa Rica Real Estate

For instance, China — a nation with a much differing customs, language and residential property etiquette then the USA — dominated the USA foreign market with $75.6 billion in activity in 2017, approximately half of all U.S. property sold to international buyers that year.

Right about now you’re probably wondering how to tap this exceptionally profitable segment of the real estate market.

CPROP’s end to end electronic transaction management suite is designed to present real estate agents to international prospects and help them to securely and transparently close deals.

The company makes use of blockchain to authenticate and report actions related to deeds and closing paperwork. Additionally it intends to build a formidable, user created specialized network by supplying its utility tokens to buyers and sellers who leave scores and recommendations of the real estate agents, brokers and professionals they choose on the system.

Technology is certainly critical for virtually any purchase from beginning to end. Listed here are a few ways real estate professionals can break into this lucrative and expanding component of the industry.

Sign Up For A Crystal Clear International Platform

Hedging in on the international real estate sector is not really straight forward for realtors who’ve not ventured here previously. Realtors aiming to obtain high-dollar international investor attention and confidence will want to look for platforms with an international audience and deliver a smooth association to buyers in a user friendly, efficient and authentic environment.

Keep in mind also that given your platform also provides automatic translations, this may also be a big advantage.

“We’ve relied heavily on our inhouse platform for process international deals and the one element we appreciate the most about it is infact the built-in translator from Spanish to English and vice-versa.” states reknown international realtor Don Albert of Galvan Real Estate Services.

“We appreciate all our SaaS solution offers especially in the case of our Puerto Vallarta real estate rentals division.” added Don.

international realtyThink Trust And Security

A long distance deal, especially amongst individuals in different countries, are generally a course for miscommunication plus, to some degree, fraud.

That is why agents wanting to build their international deal-flow need a platform to facilitate these deals with security and confidence mechanisms inclusive to the platform.

Blockchain has been shown to be by far the most safe way to electronically make deals. Blockchain technological advances enables safeguards at ranges never recognized before now. Real estate deals when written utilizing this technology, are forged permanently in the encrypted shield and protecting against any changes to the contract from going unnoticed.

Probably one of the greatest factors to using block-chain innovation is for deposits and money kept in escrow.

Locate Trusted, Efficient Alliance

Securing sales with national buyers is difficult enough, however when investors are from outside the country, brokers have to take much greater caution to provide a unwrinkled transaction.

Allow me to ask you one thing: at any particular time do you know, in real-time, the state of any one of your leads in your pipe?

Consider this though, as a realtor doing business in foreign transactions, wouldn’t it be beneficial to have a SaaS program that managed all the digital areas from start to finish for any kind of international real estate contract? Let’s face it, any real estate agent doing work with international investors and vendors could perhaps take advantage of an extensive SaaS software that not only makes easier communications but also ensures security for all sides.

A Handful of Helpful Tips to Success in International Real Estate

Just a few years ago, real estate brokers didn’t have the knowledge and resources the Internet now provides to them, to get through to international real estate investors.

Which is the case within any business, when opportunity presents itself like it has in international real estate, it cannot go disregarded.

foreign buyers of real estateConsidering the data files from 2017 we know that foreign real estate traders accounted for around $153 billion of the entire sales in the USA which subsequently was an upturn of the former year of a massive 50%. Similarly this represents 10 percent among all national real estate deals in the United States. All these statistics are sourced from the National Association of Realtors and should be considered a very good indication of what the future holds for real estate deals to foreign investors.

A really attractive factor to finding your own international real estate clients is how lucrative it can also be for the agent. And then there is the stats revealing that of all foreign clientele, the lion’s share of them are affluent individuals interested to increase their riches in foreign real estate marketplaces.

Still adding the international investor to your menu won’t be as straight forward as finding them can be difficult.

Getting in front of promising international buyer leads is tricky that can also involve added complications including language barriers that stateside buys just don’t face.

Among all countries actively taking part in the United States real estate segment, China unmistakably dominates and is responsible for over half the entire international sales volume in the US alone. Everything despite the many variations in culture, language and investing protocols.

With such a profitable marketplace in existence, how do you get yourself in on it?

CPROP’s end-to-end electronic transaction administration suite is made to present real estate agents to international prospects and enable them to safely and transparently close deals.

Technology is certainly vital for any deal from start to finish. Let’s lay out a couple methods any brokers could hedge in to this market segment.

Be part of a transparent international base

Breaking in on the international real estate market is not simple for real estate brokers that have not ventured here before.

Mike Wilson, a condominium realtor in Kelowna, Canada, had this to say…

International real estate investors are by far our most common client for higher end condos in Kelowna!

You should not go getting all dollars signs in your eyes as opposed to thoroughly researching where on the net these groups might exist. Once you have located them you will definitely have to hedge inwards and earn trust within the international real estate trader community.

If the platform boasts a service provider directory with unfiltered consumer ratings and ratings and even automated translations, better yet.

Think confidence and safety

Remember the film Lost in Translation? Well like with international real estate transactions this is certainly the case whereas the two parties involved speak different languages.

Robert is a renown San Pancho, MX realtor who’s no noob to this sector, After a few international deals went badly for them, the agency [Galvan Real Estate Services], they quickly realized safety and security needed precedence over all else when dealing in international real estate.

Two remarkably significant things to start thinking about when doing business in international real estate are security and trust. It’s essential to cover yourself and your client while retaining the trust of the other party.

Technology progresses at an awesome speed and today blockchain technology has joined the mix and everlastingly changed the way that real estate professionals do business over the internet. Anytime a contract is finished and executed, it will be recorded to the blockchain, producing an immutable delivered leger confirmed by a system of perhaps thousands of computers, thus effectively combating any unknown changes to a contract.

“Technology has really helped us avoid sour international transactions here in Costa Rica and we’ve seen a rising number of closings involving digital currency here.” says Fernando Lopez, a Costa Rica attorney.

Perhaps among the finest aspects to using blockchain technology is for down payments and payments held in escrow.

Look for trustworthy, effective alliance

One thing is closing deals within the country however it’s always a totally different thing when finalizing international deals and these sales need more care to ensure a clean closing.

Can you tell your transactions status in realtime, what is left to finish and who should next do what in the process?

An online transaction administration system manufactured for international contracts that walks parties through every step of the closing process is often very powerful here. Transactional transparency spanning any real estate transaction is important however couple that with a technology that can enhance your flow like assuring security, would indefinitely change the industry.

For years Costa Rica, in Central America, was referred to as the Switzerland of the Americas. Naturally a large portion of higher [than local] priced real estate was becoming attractive to foreign buyers. So for a 5 year period between 1995 and 2000, the country saw a huge boom in their real estate niche.

Top ranking Costa Rica realtor Brett Elliott saw the writing on the wall and made moves to adapt on the fly, to ever changing technology and how that could help improve real estate deals from foreign investors.