The majority of international real estate investors intend to increase their investment in U.S. real estate in the next three to five years, according to the 2021 AFIRE International Investor Survey Report.
The top three U.S. cities for investment are Austin, Boston and Dallas. Survey respondents expect increased investment in secondary U.S. cities, which tend to be smaller than gateway cities, in the next three to five years.
However, 70% of survey respondents said the gateway cities will remain key investment locations over the next decade. Eighty percent of respondents expect fewer people will leave cities as the COVID-19 pandemic eases.
The most favored property sector is multifamily, followed by industrial.
Meanwhile, 93% of respondents said they consider environmental, social and governance criteria as important or required for new investments, an increase from 89% in the 2020 survey.
The survey was taken of AFIRE's 200 members in March and was underwritten by Holland Partner Group. AFIRE is a trade group of international investors focusing on U.S. properties.