Asia’s surprising contender overtook Dubai to take the title of most luxury real estate growth.
Manila was the world’s fastest growing luxury real estate market last year, according to a new Knight Frank Wealth Report. Mansion Global First reported.
The Philippine capital, widely known as the most densely populated city on earth, ranks second in the Middle East to the top honors in Knight Frank’s previous report, with a reported annual price growth rate of 26.3% for luxury real estate. Outperformed the shiny city.
Dubai, on the other hand, registered a 16% price increase and took home the silver medal. The Bahamas, which reported a 15% price increase, took home the bronze medal.
In Portugal, the far southern and tourist-popular region known as the Algarve recorded a 12.3% increase, tied for fourth and fifth place with South Africa’s Cape Town.
The report is generally positive for the luxury housing market, showing that the luxury housing market has managed to come out on top despite facing significant headwinds from rising global costs of living and rising interest rates. Mansion Global pointed out that.
“At the beginning of 2023, economists were predicting a further weakening outcome across the global residential real estate market,” said Kate Everett Allen, head of international housing and country research at Knight Frank, in the report. I commented inside. “Stock markets are heading for more pain, inflation is spiraling out of control, and the pandemic-fueled real estate boom could end in tears as borrowing costs hit 15-year highs in some markets. …But that never happened — we’ve seen it. It allows for a softer landing in terms of price performance around the world.”
Meanwhile, luxury goods prices fell in New York and London.
Times have not been so rosy for the commercial sector either, with global real estate investment falling 46% to $698 billion last year. written by Reuters Knight Frank research results.
The report attributed the main cause to the continuation of the work-from-home trend created by the pandemic.
