While many have taken to bemoaning the apparent drawbacks of widespread foreign investment in domestic real estate, there is an obvious failure to acknowledge the many benefits of these investments for all of the parties involved. The most common reaction is that foreign investors are pricing domestic buyers out of the real estate market, but that is not necessarily true and may overlook the fact that there are countless ancillary benefits to foreign investment.
Luke Weil of RUNA is a close observer of real estate markets all over the globe, and he has noted on many occasions that there is a danger in making any sort of sweeping declaration before truly analyzing the effects a trend may have on a particular market. In keeping with the advice that thorough analysis is needed before arriving at a particular position, it seems that the involvement of speculative investors from abroad in the domestic real estate market could result in the generation of new builds and the establishment of wider economies. These developments are undeniably positive and are the result of foreign real estate investment.
So while there are many factors at play, it remains important to consider all of the potential outcomes of a particular trend before arriving at a judgment one way or the other.