Foreign purchases of U.S. existing homes declined over the past year, according to the National Association of REALTORS®’ 2026 international transactions report. Despite fewer transactions and lower sales volume, several states continued to attract overseas buyers, reflecting continued interest in selected U.S. housing markets.
Key Takeaways
- Foreign buyers purchased 67,000 U.S. existing homes between April 2025 and March 2026.
- Dollar volume of international home purchases fell nearly 20% compared with the previous year.
- Florida remained the leading destination for foreign home buyers.
- Canada and Mexico represented the largest share of international purchasers.
- Foreign buyers paid a higher median purchase price than the overall U.S. existing-home market.
The National Association of REALTORS reported that Foreign Home Buying declined between April 2025 and March 2026, with international buyers purchasing fewer U.S. existing homes than during the previous reporting period. The latest international transactions report found that overseas buyers acquired approximately 67,000 existing homes valued at $45.3 billion, reflecting lower transaction activity as housing affordability challenges and borrowing costs continued to affect purchasing decisions.
The report found that the total dollar volume of purchases decreased by nearly 20% from the previous year, while the number of homes purchased by foreign buyers declined by 14%. The transaction count marked the second-lowest level recorded since the National Association of REALTORS began tracking international residential purchases in 2009.
Higher home prices, elevated mortgage rates and limited housing inventory remained significant factors affecting international demand. The report also stated that geopolitical uncertainty, trade policies and inflation contributed to more cautious purchasing decisions among overseas buyers, adding to affordability pressures similar to those discussed in coverage of mortgage rates straining affordability.
Foreign Home Buying Declined in the Latest NAR Report
The latest report measured existing-home purchases completed by foreign buyers between April 2025 and March 2026. During that period, international purchasers accounted for approximately 67,000 transactions across the United States.
The total purchase value reached $45.3 billion, representing a substantial decline from the previous reporting period. Both the reduction in transaction volume and the lower dollar value reflected slower activity within the international segment of the residential housing market.
Real estate professionals who participated in the survey identified several obstacles affecting international transactions. The most frequently cited challenge was the inability to find suitable properties, followed by elevated home prices. Immigration laws also remained a factor affecting some prospective buyers who ultimately did not complete a purchase.
Although international demand softened, the report stated that the United States continued to attract overseas buyers because many metropolitan housing markets remained comparatively affordable when measured against major cities in other countries. The report also noted continued interest in long-term property ownership and investment opportunities, even as starter-home inventory improves in parts of the country.
International Buyers Continued to Favor Select U.S. States
Top States for International Buyers
Florida remained the leading destination for international buyers, accounting for 20% of all foreign purchases reported during the survey period. The state’s established appeal among Canadian and Latin American buyers continued to support demand for residential properties.
California ranked second with 19% of foreign purchases. Buyers from Asia and Latin America continued to account for a significant share of transactions completed within the state.
Texas placed third, attracting 12% of international buyers. The report also identified New Jersey and Georgia among the leading destinations, with each state representing 4% of total foreign purchases.
The concentration of activity within these states demonstrated that overseas buyers continued to favor markets offering established residential communities, business opportunities and access to international transportation networks. Conditions in Texas also align with recent reports showing expanding housing inventory for buyers across parts of the state.
The report found that demand remained focused on specific regions rather than being evenly distributed across the country. Coastal markets continued to represent a substantial share of international residential transactions.
Purchase Values Remained Above the National Existing-Home Median
Foreign buyers continued to purchase homes at prices above the broader U.S. residential market.
The report stated that the median purchase price for international buyers reached $465,000. By comparison, the median price for all U.S. existing-home sales during the reporting period was $413,600.
Higher-priced properties represented an important segment of international purchasing activity. Fifteen percent of foreign buyers acquired homes priced above $1 million.
Property Types and Investment Purposes
The report also examined the intended use of purchased properties. Approximately half of all foreign buyers acquired homes for vacation use, rental investment or a combination of both purposes.
That proportion exceeded the share recorded among all existing-home buyers, where purchases intended for vacation or investment purposes represented a much smaller percentage.
These findings indicate that international buyers continued to participate in multiple segments of the residential market, including second homes and income-producing residential properties.
The report also showed that international purchasers generally invested larger amounts per transaction than the broader existing-home market, reflecting differences in purchasing objectives and preferred property types.
Buyer Origins Shifted Across Major International Markets
Leading Countries of Origin
Canada represented the largest share of foreign buyers, accounting for 16% of all international purchases completed during the reporting period.
Canadian buyers purchased approximately $5.2 billion in existing homes. Florida, California and Arizona remained the primary destinations for these transactions.
Mexico ranked second with a 14% share of foreign purchases and approximately $5 billion in residential acquisitions. California, Texas and Florida attracted the largest number of Mexican buyers.
China accounted for 11% of foreign purchases, down from the previous year’s share. Despite the decline in transaction share, Chinese buyers continued to record the highest average purchase price at approximately $1 million. California, Texas and Arizona remained the leading destinations for these buyers.
India represented 9% of international purchasers, with approximately $3.7 billion in existing-home purchases. Washington, Texas and New Jersey ranked among the primary destinations.
The United Kingdom accounted for 4% of foreign purchases. California, Arizona and Michigan remained the most common destinations for British buyers during the reporting period.
The distribution of buyer origins reflected continued participation from neighboring countries while also demonstrating sustained demand from several international markets purchasing residential property in the United States.
Market Conditions Continued to Influence Foreign Purchasing Activity
The report identified several market conditions that affected international residential purchases throughout the reporting period.
Limited housing inventory continued to reduce the availability of properties meeting buyer preferences. Survey responses from real estate professionals indicated that one-third of unsuccessful international buyers were unable to locate suitable homes.
Housing affordability remained another significant factor. Rising home prices reduced purchasing opportunities for many overseas buyers despite continued interest in U.S. residential real estate.
Borrowing costs also affected purchasing decisions as elevated mortgage rates increased financing expenses across the housing market.
The report further stated that geopolitical uncertainty, trade policies and inflation influenced buyer sentiment in several international markets. These factors contributed to more cautious purchasing decisions among prospective overseas buyers.
Even with lower transaction activity, the United States continued to attract international purchasers seeking residential ownership in selected markets. The report found that established destinations such as Florida, California and Texas remained the primary locations for foreign buyers completing residential real estate transactions.
Frequently Asked Questions
What did the 2026 NAR report say about foreign home buying?
The report stated that foreign buyers purchased approximately 67,000 U.S. existing homes between April 2025 and March 2026, representing a 14% decline in transactions compared with the previous reporting period.
Which U.S. states attracted the most foreign home buyers?
Florida ranked first, followed by California and Texas. New Jersey and Georgia also ranked among the leading destinations for international buyers.
Which countries accounted for the largest share of foreign buyers?
Canada represented the largest share of foreign buyers, followed by Mexico, China, India and the United Kingdom.
What was the median purchase price for foreign home buyers?
The median purchase price for foreign buyers was $465,000, which exceeded the overall U.S. existing-home median price of $413,600 during the reporting period.
What factors contributed to the decline in foreign home purchases?
According to the report, higher home prices, limited housing inventory, elevated borrowing costs, geopolitical uncertainty, trade policies and inflation contributed to lower foreign purchasing activity.
