End of a myth; Should you target Chinese to market residential European real estate?

For years, we hear stories of Chinese who buy property in Europe. Marketing experts in the real estate industry claimed that we have to focus more on the Chinese market. We have always wondered how many Chinese buy in Europe and weather the marketing experts claim is justified. We have experts, including marketing experts, asked about numbers but never received. If we were skeptical, we were laughed off.

However, it appears that we were right. From a survey in China itself.

Half of the more wealthy Chinese want to leave the country permanently. A study by the Chinese Central Bank and the authors of China’s rich list shows that 46% of the Chinese with a capacity of more than only 1.15 million euro’s want to emigrate.

The most popular destinations for the rich Chinese (82%) who want to leave are the United States and Canada. 14% of the group has even concrete plans. A total of 980 wealthy from 18 major Chinese cities participated in the study.

In the second home market it appears they only buy in the region. That is logical because of the travel distance and attractive destinations close to China.

The main cause of emigration plans to call the rich, better education for their children abroad and concerns about security of person and property. This year, China has 960,000 people who have more than 1.15 million euro’s.

So, let’s take a closer look at the numbers. 46% of 960.000 want to emigrate. Of the potential of 441.600, 14% has serious or concrete plans. That is 61.824 people. 82% of them prefer USA or Canada. Leaving 11.128 at the most preferring another region. Not necessarily Europe.

Now, the question to all real estate marketing experts; would you make a strategy for the maximum (that is if all the Chinese who do not prefer USA and Canada prefer Europe) of 11.128 potential clients for the whole of Europe?? The answer is no.

European realtors in specific regions should target their European home market. There are the extra potential clients. Not in Asia. Don’t let those ‘experts’ make you crazy.

More information on http://www.residence-eu.com