HSBC Is Cutting US Mortgages For Chinese Investors
Europe’s biggest lender, HSBC, is limiting lending to some Chinese nationals buying US real estate.
The move comes as Beijing is trying to to stop the outflow of funds from the country, putting anyone who tries to buy over $50k in outside currency on a watch list, Reuters reports.
Chinese buyers have been storming to the US luxury market with realtors saying over 80% of buyers have Chinese roots. Chinese investors bought $28.6B of real estate in 2015, becoming the biggest foreign buyer—and they often pay in cash.
An HSBC spokeswoman says the bank's Canadian arm already has similar policies in place. [Reuters]