With Chinese housing prices starting to slide, Chinese investment in international real estate is increasing dramatically, and it’s a lot easier than you thought to be able to sell to them.
Only two things are required to make these sales: you must be a realtor, and you must be willing to learn how.
Paul Salo has coached hundreds of realtors on how to sell to the Chinese since 1999, and has now produced a series of online videos to make it easier for realtors around the world to learn how, without having to go to China.
Bruce McDonald of Wailea Realty in Hawaii said: “I met Paul on a trip to Shanghai when I only had a dream of selling to Chinese buyers. Now I not only have Chinese contacts here in Hawaii, I also have a group of Chinese who look to me for help in buying overseas… and I can’t speak a word of Chinese.”
Marie Murphy of San Francisco said: “My experience with Paul has always been top notch. Paul has always taken the time to explain to me how I can move my business forward. I thought it would be as simple as getting leads and closing deals just like a domestic buyer. But after meeting Chinese buyers, I quickly realised I needed more. Paul gave me that.”
The first thing to understand is why Chinese are so zealous about buying real estate. That’s simple – it is the only investment in China that actually makes money. Most large industry is owned by the government, and it is almost impossible to get into business without government contacts.
The entire financial system, including banks, is dominated by state owned and tightly regulated institutions, that pay little or no return. Real estate prices, on the other hand, have risen dramatically in China, and it is the only investment where ordinary people make profit.
The Chinese government have now opened the way for ordinary investors to invest and buy overseas, and many want to take advantage of the greater security in foreign markets. As real estate is the investment most are used to, this is naturally the investment that most want to go to.
Many more Chinese just want to buy residential properties for themselves, and move to a more secure life in developed countries. With the rapid increase in China’s rich, the opportunities for western realtors are now greater than ever.
One thing to remember is that Chinese buyers rarely look at listings on the internet. They prefer the store front approach, and dealing with people in person. This is why Century 21 has been so successful, because it is the only realtor that is rich enough to be able promote its brand name in China. Smaller realtors need a different strategy.
Many Chinese buyers rely on relatives in developed countries to do the shopping for them, and this is often the first contact realtors have with potential Chinese buyers. For that reason, it is important to know how to attract these buyers, what the Chinese buyers expect and how to maintain their interest.
Paul Salo’s videos, under the name China Cash Buyers, can show you how to do that.
You will need to invest some time in learning how to sell to the Chinese. It is a different culture, and they have different expectations and a different way of doing business. However, for those that are prepared to put in the effort, the rewards are more than worth it.