Pictured are SILVAR Executive Officer Paul Cardus, NAR Global Business Alliances Liaison Vicky Silvano and SILVAR President Bill Moody.

Silicon Valley REALTORS® this month learned how to best serve their foreign clients both here and abroad from National Association of REALTORS® (NAR) Global Business Alliances Liaison Vicky Silvano with Century 21sgr, Tim Tran with the The Ivy Group, and Kim Heng with Keller Williams Realty. All three speakers are NAR Certified International Property Specialist (CIPS) designees. The designation provides REALTORS® with the knowledge, research, network and tools to globalize and expand their business. From April 2016 to March 2017, foreign buyers purchased $153 billion of residential property, an increase from $102.6 billion during the previous 12-month period. China remains the top country of origin for foreign buyers, followed by Canada, the United Kingdom, Mexico and India. Silvano, who flew from Chicago to speak at the global real estate program held at the Silicon Valley Association of REALTORS®, said interest from foreign buyers is quite evident in Silicon Valley. San Jose is among the top 10 cities in the U.S. for real estate investment. California is one of five states that accounts for 54 percent of total residential property purchases. In order to be successful in global real estate, Silvano said REALTORS® need to educate themselves about other countries, current trends and economic indicators. Monitor the exchange rate because a seemingly minor change in a currency’s value can have a substantial impact on price, sale proceeds, buying power, return on investment, gain or loss on sale, and transaction costs. Get acquainted with the customs and traditions of their foreign clients. By understanding their culture, REALTORS® can gain their foreign clients’ trust, which is important to a smooth transaction. “Global is a business that never sleeps,” said Silvano. Anywhere in the world, someone is awake, so REALTORS® have to be flexible because responding right away to inquiries is important. Silvano and the other panelists also recommended the following: Earn the CIPS designation. The CIPS Institute, which the Silicon Valley Association of REALTORS® offers every year, provides training in international business issues, including currency conversion, cultural awareness, legal and tax requirements, transaction principles of international real estate, and specifics about the real estate markets in Europe, the Americas, and Asia. Network with other REALTORS® and potential clients here and abroad. Seek out global events domestic and abroad, travel to other countries, attend international conferences, participate in trade missions to other countries. Be patient. Patience and perseverance are keys to success with international transactions, since these transactions can take longer than domestic transactions.

Leverage international skills and advertise locally and abroad. Heng’s bio is in both English and Chinese. In addition to the CIPS designation, Tran, who focuses in commercial real estate, has a CCIM (Certified Commercial Investment Member) designation, which is often regarded as the “PhD of all the designations.” Get to know the client and their goals. Do they intend to use the property as a residence or investment? Tax considerations, obtaining client signatures or a power of attorney can delay a deal. “Global is not an overnight success. You need to be patient. Maintain your CIPS designation and be proactive,” said Silvano.