In the aftermath of one of the most contentious presidential elections in recent US history, the world has its eyes on Donald Trump’s relationship with China. The president-elect has taken strong stances on global trade and foreign relations, favoring views that have been labeled protectionist.
Dr. Jin Zhao – CEO of JinList™, a company that links Chinese buyers with US real estate professionals – reflected on this uncertainty during an Asian Real Estate Association of America event earlier this month.
When asked how either a Trump or Clinton presidency would affect US policy towards Chinese investment in US real estate, Dr. Zhao responded:
“JinList believes that President-elect Trump will not make a significant difference with regard to Chinese investment in US real estate.”
Whereas Clinton would have continued Obama’s policies, Trump will also likely to maintain Obama administration’s 2014 policy to grant 10-year multiple-entry visas and 5-year student visas to qualified Chinese. This will bring more investment in US real estate. Dr. Zhao states, “After taking the office, Trump is likely to become more moderate as far as it comes to Chinese investing in US real estate because Chinese investment is good for the US real estate industry. Trump himself has said during this campaign that he has no problem selling high-priced condos to the Chinese.”
Trump or not, JinList™ sees unabated interest in the U.S. real estate among Chinese buyers, who spent over $27.5 billion on US properties during the 12 months ending March 2016. In the next 5 years, China’s direct investment in commercial real estate and residential properties in the US will reach $218~220 billion. These numbers will not include new developments.
So long as Chinese demand for high-end US real estate exists, JinList™ CEO believes that Trump will supply it.