Global Luxury Housing: No Signs Of Slowing
In the first quarter of 2013, studies showed that the international luxury housing market has not been affected by local or standard housing market trends.
A recent study in ten of the world's notable luxury markets shows that international buyers are not slowing down. High end, luxury properties are fetching top dollar on the international marketplace, and wealthy buyers are putting money into real estate.
The study compared top sales prices with number of sales and percentage of international buyers. Statistics also included the number of high market value residences comparative to local populations.
What does this mean? In the high end, luxury housing real estate sector this means all kinds of good things.
First off, having international exposure is paramount with these statistics. High value individuals are putting money into property as investment, so it is important to market to these high value buyers. Local and global exposure increases your opportunities for transaction, regardless of value.
There are more buyers out there than before. In this economic climate, there are more billionaires than prior to the 2008 financial crash, and more millionaires as well. In many of the noted housing markets, more than 30 percent of luxury sales were from foreign buyers.
The markets studied were Los Angeles, New York, London, Hong Kong, Paris, San Francisco, Miami, the South of France, Dallas, and Toronto. Studies also showed that, with these higher priced luxury homes, a substantial amount of sales were all cash buyers. Almost all of the $5 million plus homes in Los Angeles were cash purchasers, with 90 percent in New York, and 70 percent in San Francisco and Miami.
With these kinds of statistics, it's no surprise standard market real estate numbers are also on the rise. Feel free to let us know how these figures affect you in our comment section below.
Have you seen these luxury housing markets rebound in your area? How is the standard housing market looking in your region?
Photo Courtesy of CarolinaDoug’s Flickr