Abstract
Past research has suggested that some nonlocal buyers pay more than locals when purchasing homes. This is an example of information asymmetry and higher information availability for local buyers. Although there is relatively little research broadening nonlocals to foreign buyers, the premium should be even larger to account for the issues of information asymmetry and exchange rates. However, technology has revolutionized the availability of information about local housing markets. Many large companies provide potential buyers with information about local housing prices and neighborhoods (e.g., crime rates and noise levels), and Google imaging capability provides street views of distant properties. This article reconsiders the hypothesis that foreign buyers pay more than US buyers specifically within the Miami condominium market. We find evidence that technology has indeed reduced information asymmetry and that pricing premiums may be attributable to economic crisis in the buyers' home country.