Home sales weaken as Chinese investors sour on US real estate!!!

Irvine Dream said:
hello said:
irvinehomeowner said:
if you google the IHB, I was the one who coined the term FCB in the first place
Click to expand...

wow you are a housing blog legend :)
Click to expand...
Awesome IHO.  Could you please educate me as to what FOB means?
Click to expand...

i think you meant FCB = foreign cash buyer

as for FOB.. that's just fresh off the boat (eg new immigrant)
 
Bullsback said:
A big factor for Irvine is the jobs.  Schools and everything else are great, but most everyone in Irvine still works and there are a ton of good jobs in the general vicinity. FCB or not, the demand for Irvine is ultimately there because of the total package of quality jobs (in multiple sectors) along with the safe city, good schools, etc. 

Irvine's challenge is more in the sense that it is just so pricey that a lot of people that would usually live in Irvine have moved south and you are starting to attract less of the white collar work force (as it is getting so pricey).  But then again, everything is and somewhere you need that balance to where companies can actually still attract and hire the right labor force to fit within the area (i.e., young people who are more entry level...cause every company needs entry level, can still afford to live in the area and ultimately grow up and be able to start families, etc. in the area). 
Click to expand...

Best post in this thread.  Jobs are going to the #1 driver for Irvine real estate.  As I tell my clients, Irvine is the center and job hub of Orange County.  I last counted 6 new office buildings going up (including the 2 large glass towers by the Spectrum).  Those office buildings don't get build if there isn't demand for Irvine office space.  FCBers will continue to buy in Irvine, many of them look at Irvine homes as putting their money into a bank account.  Unless something crazy happens, I wouldn't expect a 10%+ price decline any time soon.  There are many positive factors for Irvine real estate right now....low resale inventory levels, strong employment growth, increasing rental prices, increasing incomes, low interest rates, etc.
 
I was hoping for a more UNBIASED answer..However, as most people commenting on this post are Irvine residence, all the "fluff" and mirage is to be expected! True, the Irvine homes are not likely to crash like other parts of OC have historically, however the 2+mil market is hurting bad and it is ONLY due to the fact that there has been a serious FCB missing case!! If you guys want to be delusional go head but we all know why the Hidden Canyon homes are not selling like last years madness!!!! Let's be real people the luxury market is hurting due the missing Chinese $$$$!!!!
 
RHOC said:
I was hoping for a more UNBIASED answer..
Click to expand...
So you think Larry's opinion is UNBIASED? C'mon, I don't think he actually believes some of the stuff he writes, he's trying to get people to visit his site and become a client of his real estate business.
However, as most people commenting on this post are Irvine residence, all the "fluff" and mirage is to be expected! True, the Irvine homes are not likely to crash like other parts of OC have historically, however the 2+mil market is hurting bad and it is ONLY due to the fact that there has been a serious FCB missing case!! If you guys want to be delusional go head but we all know why the Hidden Canyon homes are not selling like last years madness!!!! Let's be real people the luxury market is hurting due the missing Chinese $$$$!!!!
Click to expand...
So do you have data to prove that the buyers in Hidden Canyon are mostly Chinese nationals? Some of the people who posted in the HC thread that they were buying didn't sound like Chinese nationals to me, in fact, I don't think Chinese nationals would have the time to post here.

The $2m+ market will always have ebbs and flows, but not just from Chinese not being able to get their cash over through back channels. Back during the last bubble pop, Shady Canyon was taking some hits... but as you can see, it's all nice and pricey again.

There will always be people with money and there will always be people willing to spend it in Irvine.
 
RHOC said:
I was hoping for a more UNBIASED answer..However, as most people commenting on this post are Irvine residence, all the "fluff" and mirage is to be expected! True, the Irvine homes are not likely to crash like other parts of OC have historically, however the 2+mil market is hurting bad and it is ONLY due to the fact that there has been a serious FCB missing case!! If you guys want to be delusional go head but we all know why the Hidden Canyon homes are not selling like last years madness!!!! Let's be real people the luxury market is hurting due the missing Chinese $$$$!!!!
Click to expand...

I agree about the luxury market. Luxury housing isn't a need. That's different than what most people here are talking about--that there will be persistent demand for middle/upper middle class workforce housing in Irvine from people that were formerly priced out.

I feel >$2M market in Hidden Canyon and Orchard Hills will stagnate, taking a LONG time to sell with little to no price increases, or come down in price until it meets the demand and ability to pay of homegrown buyers. I just don't think there's enough  domestic buyers who can afford >2 million and actually want to live in Irvine,  to absorb all the  inventory at that segment of the market. (I mean, there's >$2 million dollar listings in places like Woodbury! Don't get me wrong, I like Woodbury very much, but its not a "trophy" property kind of neighborhood, and neither are Northwood Pointe, old Turtle Rock, or Portola Springs/Lambert Ranch, yet we have delusional sellers think their upper middle class tract housing should command that kind of $$$. 





 
nyc to oc said:
RHOC said:
I was hoping for a more UNBIASED answer..However, as most people commenting on this post are Irvine residence, all the "fluff" and mirage is to be expected! True, the Irvine homes are not likely to crash like other parts of OC have historically, however the 2+mil market is hurting bad and it is ONLY due to the fact that there has been a serious FCB missing case!! If you guys want to be delusional go head but we all know why the Hidden Canyon homes are not selling like last years madness!!!! Let's be real people the luxury market is hurting due the missing Chinese $$$$!!!!
Click to expand...


I agree about the luxury market. Luxury housing isn't a need. That's different than what most people here are talking about--that there will be persistent demand for middle/upper middle class workforce housing in Irvine from people that were formerly priced out.

I feel >$2M market in Hidden Canyon and Orchard Hills will stagnate, taking a LONG time to sell with little to no price increases, or come down in price until it meets the demand and ability to pay of homegrown buyers. I just don't think there's enough  domestic buyers who can afford >2 million to absorb all the  inventory at that segment of the market. (I mean, there's >$2 million dollar listings in places like Woodbury! Don't get me wrong, I like Woodbury very much, but its not a "trophy" property kind of neighborhood, and neither are Northwood Pointe, old Turtle Rock, or Portola Springs/Lambert Ranch, yet we have delusional sellers think their upper middle class tract housing should command that kind of $$$.
Click to expand...


THANK YOU!!!! The "luxury" market was what I was talking about here...perhaps I wasn't as clear. Finally, someone with some sense of reality here!  ;)
 
RHOC said:
nyc to oc said:
RHOC said:
I was hoping for a more UNBIASED answer..However, as most people commenting on this post are Irvine residence, all the "fluff" and mirage is to be expected! True, the Irvine homes are not likely to crash like other parts of OC have historically, however the 2+mil market is hurting bad and it is ONLY due to the fact that there has been a serious FCB missing case!! If you guys want to be delusional go head but we all know why the Hidden Canyon homes are not selling like last years madness!!!! Let's be real people the luxury market is hurting due the missing Chinese $$$$!!!!
Click to expand...


I agree about the luxury market. Luxury housing isn't a need. That's different than what most people here are talking about--that there will be persistent demand for middle/upper middle class workforce housing in Irvine from people that were formerly priced out.

I feel >$2M market in Hidden Canyon and Orchard Hills will stagnate, taking a LONG time to sell with little to no price increases, or come down in price until it meets the demand and ability to pay of homegrown buyers. I just don't think there's enough  domestic buyers who can afford >2 million to absorb all the  inventory at that segment of the market. (I mean, there's >$2 million dollar listings in places like Woodbury! Don't get me wrong, I like Woodbury very much, but its not a "trophy" property kind of neighborhood, and neither are Northwood Pointe, old Turtle Rock, or Portola Springs/Lambert Ranch, yet we have delusional sellers think their upper middle class tract housing should command that kind of $$$.
Click to expand...


THANK YOU!!!! The "luxury" market was what I was talking about here...perhaps I wasn't as clear. Finally, someone with some sense of reality here!  ;)
Click to expand...
Just to be clear, nowhere in your initial post or actual thread title did you ever mention the luxury market. 
 
Has anyone ever seen a neighborhood that once it becomes heavily one ethnicity reverse course and become more integrated in Southern California suburbs?  I'm not talking about gentrification of center city downtowns here. I would like to think fewer foreign investors would mean more local families being able to afford Irvine and bring back more diversity to the community.



 
nyc to oc said:
Has anyone ever seen a neighborhood that once it becomes heavily one ethnicity reverse course and become more integrated in Southern California suburbs?  I'm not talking about gentrification of center city downtowns here. I would like to think fewer foreign investors would mean more local families being able to afford Irvine and bring back more diversity to the community.
Click to expand...
That only happens if prices were to drop. 
 
Sold my house in Northwood Pointe several months ago for over $2 million to a Chinese couple and it even had bad FS.

They did take out a mortgage but they had plenty of cash in USD to pay for two of my houses.
 
nyc to oc said:
Has anyone ever seen a neighborhood that once it becomes heavily one ethnicity reverse course and become more integrated in Southern California suburbs?  I'm not talking about gentrification of center city downtowns here. I would like to think fewer foreign investors would mean more local families being able to afford Irvine and bring back more diversity to the community.
Click to expand...

A diversified community= Finally I can actually have a conversation with a neighbor and have a sense of community!!
 
Ready2Downsize said:
Sold my house in Northwood Pointe several months ago for over $2 million to a Chinese couple and it even had bad FS.

They did take out a mortgage but they had plenty of cash in USD to pay for two of my houses.
Click to expand...

I just don't understand why such rich people want to live in Irvine.
I used to have a nanny when the kids were young. Before she worked for us, she worked for a family which owned oil wells in the western part of China. They were living in a Carmel tract house in Woodbury...
 
Those are FCB starter homes.  Who plops down $2mill w/o living in the place and understanding the dynamics first?
After they figure out orange county a bit more, they'll move to Shady Canyon or Newport Coast.
 
You must log in or register to reply here.
Back
Top