A new report by the NAR (National Association of Realtors) shows that international buyer activity is up in several major real estate metropolitan areas including Greater Phoenix. 

"new research indicates that international buying activity in the U.S. is widespread. NAR estimates that between 150,000 and 190,000 homes were sold to foreign nationals from May 2007 to May 2008. Recent foreign buyers purchased properties in every state and the District of Columbia. The most popular states where international buyers purchased homes are Florida, California and Texas. Arizona..."
 

I can concur on this because we have had a flurry of interest from Europe and several active buyers from Canada.   This interest has been on the increase, especially from the E.U.  I even noticed that the Polish embassy is urging Poles to consider real estate investment in the U.S. 

As a comparison, 2 years ago the Zloty was valued to the dollar at 3.43 Zlotys for one Dollar.  The latest exchange was 1.87 Zlotys to one Dollar.  That means that esentially any real estate has decreased 45% in cost in addition to the strong buyer's market.  
 

" Four in 10 paid for their U.S. property with cash, compared with 7 percent for all domestic buyers."

This makes sense since Canadian nationals can still obtain financing but E.U. nationals have a more difficult time doing so, unless it is a commercial property.

"People from North America, Europe and Asia accounted for more than 85 percent of recent foreign home buying transactions. The top six countries of origin for foreign home buyers, in rank order, were Canada, the United Kingdom, Mexico, China, India and Germany. This year, Canada replaced Mexico as the country with the largest share of foreign buyers in the U.S. The percentage of Canadian buyers doubled from last year, from 11 percent to 23.5 percent."

What's driving international buyers?
 
Greater Phoenix real estate, especially in strong second home areas like Scottsdale have always been a draw due to the warm weather during the winter.  In addition ,the growth, development and increased tourist attractions and increasing population are making Greater Phoenix a more international city.  Over the years the diversity of Phoenix has improved making it a more diverse exciting city. 

Then of course real estate prices have decreased along with the weak dollar.  The prices for real estate are a bargain and a good calculated risk as an investment.  Imagine the return once the market cycles and the dollar strengthens!