The super-rich prefer them American. Although the luxury home sales (those with premium prices, according to the terminology of the real estate sector) broaden their sights beyond US cities, regardless of the own resources of their purchasers.
The 2023 ranking of the research firm Altrata, specialized in the international real estate market, places NY as the most requested and popular for the acquisition of a first or second residence among the greatest fortunes in the world. This classification is made from the information collected by more than a hundred of the five hundred intermediation agencies and companies that operate in this sector, which handles data from more than 4 million millionaires around the world. Among them, some 400,000 form the select group of the UHMW (or Ultra High Net Worth), those who certify a heritage of more than 30 million dollars.
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A fallback.
US cities occupy 14 of the top 20 ranking positions
Specifically, 21,714 admit that they already have a first or second residence in New York. Next, almost in unison, they appear in this classification London y Hong Kong with 15,907 and 15,175 millionaires, respectively, with their own homes in these two enclaves. In a list with a near dominance of US cities (fourteen in the top twenty and six in the top ten), only Beijing, Singapore, Paris and Toronto accompany the capital of the United Kingdom and Hong-Kong in the top-twenty.
However, the highest concentration of super-rich with properties in their names in the US is located in Aspen, where one in 67 millionaires have possessions. The greatest claim in the entire federal territory to enjoy winter sports leaves this emblematic Colorado ski resort as the town with the highest population density of high net worth; up to almost fifteen times more than the New York ratio. It is, without a doubt, the biggest attraction for a second residence. However, Monaco is the place with the highest probability of having a wealthy neighbor, since one in 30 UHNWs have moved their habitual residence or alternative residence to the Principality.
Florida is positioned as the second state with the highest density of wealthy
For its part, Florida is the second state with the highest density of rich people with fortunes of more than 30 million in the US. The city of Naples, in the southwest, is positioned ahead of Miami, which confirms the north to south flow of american millionaires, who have moved from areas such as Boston or New York to the Atlantic Keys and their tourist towns or to Texas en masse in the last two decades to acquire a second home. The municipalities of northern California also stand out, especially San José, where millionaires from Silicon Valley or San Francisco direct their vacation preferences.
Two of Switzerland’s most populous capitals (Geneva and Zurich) also register high densities of UHNW thanks to their favorable tax system, political stability, their prestigious education or their easy access to investment funds and private financial services, says the report. .
Likewise, the document also highlights the overtaking from Beijing to Singapore in their 2023 ranking before the demand that the Chinese capital has received for second homes. In addition, he notes that the absence of Japanese must be attributed to the opacity of the real estate data in the third largest economy on the planet.
Finally, the null representation of German cities stands out, the third national market for the rich with more than 30 million per capita among the top 25 positions. A phenomenon that is explained by the dispersion of second homes among a wide range of urban centers in the country.
Dubai and Miami lead luxury investments
Another study, in this case from the consulting firm Knight Frankalso from 2023, places Dubai and Miami as the capitals with the greatest growth potential investments linked to their real estate sectors. Specifically, the enclave of the United Arab Emirates (UAE) gives a rise of 13.5% in sales of premium or high standing homes. Meanwhile, the most emblematic municipality of Florida will raise its prices by 5% and Dublin, Lisbon, Los Angeles, Madrid, Paris and Singapore will do so by 4%.
These predictions are prior to the banking crisis generated in the US by the Silicon Valley Bank bankruptcy (SVB) and the increases this year in the price of money in the US and Europe. But, even so, they realize that investments are still waiting for preferential destinations and with minimum security quotas.
Madrid and Barcelona, for their part, are climbing the top-ten of the diagnosis that, for this year, the experts of PwC and of his Urban Land Institute (ULI) for its investment potential in premium real estate. “In the full eye of the financial hurricane” and in the global housing industry, it is stated in its executive summary, and of the “high risks of recession” and maintenance of “inflationary spirals” on both sides of the Atlantic, according to the result of a survey that has been carried out among more than a thousand real estate professionals.
Specifically, Madrid is in fourth place, behind London, Paris and Berlin, and Barcelona in ninth, before Milan. The opinion poll evaluates the investment options and development opportunities for 2023 both in the residential segment, as well as in the logistics and commercial segment, as well as in the retail and retail real estate businesses.
Of Madrid justify the two positions gained compared to 2022: his urban expansiondespite the demographic pressures of its internal immigration, and the prominence that he takes on in his energy mix renewable sources for six years. This has made real estate investment discount the absence of energy disruptions in the immediate future, although the study mentions certain doubts about the evolutionary pace of its sustainability projects towards net zero emissions.
On the contrary, of Barcelona highlights a large part of the attributes of the capital of Spain, as well as a “extremely good” evolution of its markets office, logistics and commercial. All this, despite the fact that “constructors must pay 30% of the subsidies for social housing imposed by the City Council of Barcelona on properties that exceed 600 square meters”; which makes it “economically unsuccessful to carry out new works in the center of the capital”.
For its part, London highlights its housing pre-eminence for managers in the financial field and its recovered tourist attraction after the Great Pandemic. Finally, Paris stands out for the anticipated sales for the 2024 Olympic Games and the certain stability of the energy price that it registers due to the use of its nuclear sources.
