World-Renowned Real Estate

Texas properties are hot commodities among international homebuyers

A new report shows international homebuyers are snatching up Texas real estate at record pace. According to the 2014 Texas International Homebuyers Report released by the Texas Association of Realtors, international homebuyers contributed over $11 billion to the Texas economy between March 2013 and March 2014.

That’s the highest level in five years and 12 percent of the total $92.2 billion in U.S. sales generated by international homebuyers. The Lone Star State ranks third in the country (behind Florida and California) for international home sales, which are up 35 percent in total dollar volume compared to the previous period’s level of $68.2 billion. Last year, Texas accounted for 9 percent of that total.

The Lone Star State ranks third in the country (behind Florida and California) for international home sales.

“The Texas housing market is not only strong in sales volume, but in its diversity. The demand for Texas homes stretches around the world,” Dan Hatfield, chairman of the Texas Association of Realtors, said in a release. “International homebuyers increasingly view Texas homes as a good investment, and as our economy has grown, so has the number of international homebuyers in our state.”

The report also shows that more than half of all international homebuyers in Texas originate from Latin America or the Caribbean. Many are likely from Mexico, as over 65 percent of the U.S. homes purchased by Mexican homebuyers were in Texas.

Overall, Mexican homebuyers accounted for $4.5 billion, or approximately 5 percent, of all international home sales nationwide. And 46 percent of them paid cash. As for what they intend to do with their properties, 62 percent of Mexican homebuyers expect their U.S. home to be their primary residence, and 33 percent plan to use it as a vacation or rental property.

Texas continues to be a U.S. migration hub — 9.3 percent of those who immigrated to the U.S. in 2012 moved to Texas — and six Lone Star cities were in the top 50 designated market areas for immigration: Houston (No. 6), Dallas-Fort Worth (No. 8), Austin (No. 26), San Antonio (No. 27), El Paso (No. 28), McAllen (No. 40). Because naturalized U.S. citizens living in Texas are almost 12 percent more likely to own a home than native Texas residents and other immigrants in the U.S., researchers conclude that home sales by international buyers will naturally increase as this new influx of immigrants becomes more likely to purchase a home.

One last fun fact: Four of the top five most searched-for cities by Mexican homebuyers on Realtor.com were in Texas, including San Antonio, Laredo, El Paso and Houston. The fifth city was San Diego.

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Anna Land Buy

Cox Family sells 116 acres in Anna for mixed-use development

Courtesy photo

Anna, Texas

A major land sale in Anna is paving the way for new mixed-use development. According to a release, Frisco-based Rockhill Capital & Investments struck a deal with the Cox Family to acquire 116 acres at County Road 371 and SH-5, approximately two miles east of US-75.

Younger Partners Executive Managing Director John St. Clair, Vice President Tyler Hemenway, and Associate Davis Willoughby represented the seller in the transaction. The sales price was not disclosed.

Rockhill will sell fully entitled tracts of land to homebuilders, multifamily, and commercial developers.

The single-family portion will be built in phases with development of 325 single-family lots, says Rockhill Chief Development Officer Brent Libby in a statement.

“Construction will likely begin early in Q2 2025,” Libby said. “We’ve already sold 82 of the 116 acres to homebuilder Taylor Morrison and they should break ground first.”

The remaining acres are already being snapped up including 9.5 acres on SH 5 that is under contract to a commercial developer, and interest from a user/developer on the remaining 24 acres, which is zoned for multifamily.

The Cox Family owned the land for decades and had received multiple offers on the property over the years, but were never ready to sell.

“Ultimately, the family wanted to capitalize on the land market before unforeseen market factors took place,” said St. Clair of Younger Partners. “This deal took place at the right time with the right buyer.”

The acquisition nvolved a lengthy zoning process to acquire the land. Rockhill created a Public Improvement District (PID) on the single-family portion of the land, which helped the deal move forward.

Rockhill already has land holdings in nearby high-growth cities of Howe, Van Alstyne, and Sherman, and it ain't stopping here.

“We’ll continue to source and acquire land in the area where we can add value through entitlements, and either develop the property or hold it for some time and exit to another developer or end user,” Libby says.

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