Warren Buffet’s real estate company partners with Chinese property giant

by Anna Sobrevinas21 Apr 2017
Berkshire Hathaway announced Monday its marketing partnership with Chinese international property giant Juwai.com to attract rich Chinese buyers into the U.S. housing market, according to Reuters.

Berkshire Hathaway HomeServices CEO Gino Belfari said in a statement that with two million monthly Juwai.com users, the agreement will make the browsing process of U.S. properties “much easier.”

The Chinese were the largest foreign buyers of U.S. residential property in 2013, according to the National Association of Realtors.

"The United States is a safe, attractive investment opportunity for foreigners, especially the Chinese," Peter Turtzo, senior vice president of international operations for Berkshire Hathaway HomeServices, told Reuters.

The Chinese, including Hong Kong buyers and the Taiwanese, were responsible for $27.3 billion – or 26.7% – of international sales in the year ending in March 2016, Reuters reported.

The purchasing power of Chinese investors is evident in the amount they spend on U.S. homes – in the “mid-$900,000s” on average, Turtzo said. That’s three times what an average U.S. buyer spends on a home. Many Chinese property buyers use these properties as their second home or for children attending college in the States.

Berkshire Hathaway HomeServices also hopes Berkshire Hathaway CEO Warren Buffett’s popularity in China will help boost the agreement.

"There is no way our brand would be as successful without the endorsement and support of Warren Buffett," Turtzo said. "He is iconic in China as well as in the United States, and he comes with a high level of credibility and trust. People believe in him, and we find that extremely advantageous in the marketing of our properties globally."

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