Now playing
01:01
What to know before buying your first home
Now playing
04:56
How these startups are tackling high drug costs in the US
WASHINGTON, DC - MARCH 09: Elon Musk, founder and chief engineer of SpaceX speaks at the 2020 Satellite Conference and Exhibition March 9, 2020 in Washington, DC. Musk answered a range of questions relating to SpaceX projects during his appearance at the conference. (Photo by Win McNamee/Getty Images)
Win McNamee/Getty Images
WASHINGTON, DC - MARCH 09: Elon Musk, founder and chief engineer of SpaceX speaks at the 2020 Satellite Conference and Exhibition March 9, 2020 in Washington, DC. Musk answered a range of questions relating to SpaceX projects during his appearance at the conference. (Photo by Win McNamee/Getty Images)
Now playing
04:19
Bitcoin and crypto's 'Elon Musk problem'
Now playing
02:29
'Outrageous' used car prices amid highest inflation in 13 years
jeff bezos blue origin space launch cooper intv sot vpx_00021804.png
jeff bezos blue origin space launch cooper intv sot vpx_00021804.png
Now playing
03:05
Jeff Bezos reveals most surprising part of space mission
CNN
Now playing
03:05
These moms explain how child tax credit checks will help them
CNN/John General/Atom Smasher
Now playing
04:04
Here's everything you need to know about ransomware
Now playing
04:04
Subway CEO on menu changes: The one thing we did not touch is our tuna
Now playing
02:40
Gretchen Carlson tells Anderson about the bipartisan bill she's backing to help workers
Rachael Flores
Now playing
02:22
Employees go viral after resigning via Burger King sign
Virgin Galactic
Now playing
02:05
Richard Branson lands safely after rocketing to outer space
CNN/Shutterstock
Now playing
02:20
Prices are going up on almost everything. Here's why
A car drives by a Speedway gas station next to the Shell refinery on March 03, 2021 in Martinez, California. Gas prices have increased across the United States to a national average of $2.72 per gallon, an increase of 30 cents from one month ago. Gas in California has an average price of $3.68 per gallon, the highest in the nation.  (Photo by Justin Sullivan/Getty Images)
Justin Sullivan/Getty Images
A car drives by a Speedway gas station next to the Shell refinery on March 03, 2021 in Martinez, California. Gas prices have increased across the United States to a national average of $2.72 per gallon, an increase of 30 cents from one month ago. Gas in California has an average price of $3.68 per gallon, the highest in the nation. (Photo by Justin Sullivan/Getty Images)
Now playing
04:01
Gas prices are high. Here's why
Now playing
02:46
The US needs construction workers
BetterUp CEO Alexi Robichaux workplace mental health orig_00023111.png
BetterUp CEO Alexi Robichaux workplace mental health orig_00023111.png
Now playing
03:06
This CEO says leaders need to focus on mental health to boost productivity at work
A driver uses the Didi Chuxing ride-hailing app on his smartphone while driving along the street in Beijing on July 2, 2021. (Photo by Jade GAO / AFP) (Photo by JADE GAO/AFP via Getty Images)
Jade Gao/AFP/Getty Images
A driver uses the Didi Chuxing ride-hailing app on his smartphone while driving along the street in Beijing on July 2, 2021. (Photo by Jade GAO / AFP) (Photo by JADE GAO/AFP via Getty Images)
Now playing
02:13
Didi shares plummet after China bans it from app stores
New York CNN Business —  

Foreigners are buying less real estate in the United States, and sluggish global economic growth is to blame.

Residential home purchases by people from outside the country plunged 36% to below $78 billion in the year that ended March 2019, according to a report from the National Association of Realtors.

Since 2017, the number of foreign buyers of US residential property has basically halved from $153 billion.

“Rising economic growth improves the spending capability of foreign buyers,” Lawrence Yun, chief economist, and Gay Cororaton, research economist at NAR, wrote in the report, which was released on Wednesday.

The problem? The global economy has been slowing, thanks in part to escalating trade tensions. In 2019, worldwide economic growth is expected to slide to 3.3%, from 3.6% in 2018.

Looking more closely at the buyers, the country that was the biggest source of foreign cash was China — $13.4 billion, representing a 56% decline from the prior year.

“The dollar volume of purchases declined from all top five countries, with the steepest drop in Chinese purchases,” Yun and Cororaton wrote. Canada, India, the UK and Mexico rank behind China as top five buyer origins.

China, the world’s second largest economy behind the United States, is experiencing a steady slowdown in growth. In the second quarter of 2019, China’s economy grew at a 6.2% annual rate, its weakest performance in 27 years.

Buyers also might be holding back because of the strong US dollar, which makes homes more expensive for buyers whose income is in other currencies.

The dollar strengthened 5% against the Mexican peso in the year ended March 2019, for example, the report says.

More than half of foreign buyers, or 60%, are recent immigrants or visa holders, and nearly half are buying homes as their primary residence. The number No. 1 location by far is Florida, which accounts for 20% of the market share of foreign purchased homes. California, Texas, Arizona and New Jersey also make the top five.