"This is an indicator of what the foreign investor is currently thinking," Jim Fetgatter, CEO of AFIRE, tells GlobeSt.com. "If you look at the results over time you can tell what the trends are and where they are going. You get an idea of what kind of cities foreign investors like."

AFIRE has 155 members from 17 countries who have $45 billion invested in US real estate." These foreign investors represent significant real estate ownership in the country," notes Kathryn Hamilton, spokesperson for AFIRE. "The survey becomes a barometer for trends in investment dollars in US real estate."

According to Fetgatter, Boston has been a perennial favorite of foreign investors for a while. It's a European-looking city, he points out, which makes these investors feel comfortable. There are also many barriers to development, which, like San Francisco, makes the city appealing because it discourages competitors from developing products too easily. The emphasis on technology is also attractive. "All the schools in that area support upstart companies," says Fetgatter.