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The Wealth Report 2007, published today by UK property company Knight Frank, is the first report to examine the attitudes of high net worth individuals to prime residential property. The report also introduces the Knight Frank Prime International Residential Index. By comparing similar properties across 70 localities, the Prime International Residential Index provides a like for like analysis of capital values, rents and investment yields in the main global property markets. Knight Frank says that it has seen that central London property has outperformed the mainstream regional and national markets in recent years. This pattern has been repeated in the rest of the world, where prices for the most expensive properties rose on average by more than 14% in 2006 compared to a 9% rise in the mainstream market. Although London has seen prime market growth in excess of 30% in 12 months, this rate is dwarfed by the growth seen in the main Russian, Chinese and Indian city markets, where growth well above 40% and even 50% has not been unusual. These areas have seen high growth on the back of rapid economic development, together with the creation of new wealthy sections of society. This has led to intense competition for the best apartments and villas in secure prime neighbourhoods. "In terms of price growth, the crucial players to watch are St Petersburg and Moscow (Russia) and Delhi and Mumbai (India). Together with Guangzhou and Beijing (China), we are in the presence of the future key prime cities," Knight Frank says. Which is the most expensive city in the world? Whilst New York, Hong Kong and Tokyo are all in the running, the result is that London holds the number one position, just above Monaco. Dublin gets a 17th ranking. In the location ranking, Cork gets a 24th ranking. The list of expensive cities is dominated by the international markets. (locations where international buyers make up a minimum of 20% of all purchases). This domination by global locations reinforces Knight Frank's contention, examined in The Wealth Report, that it is footloose HNWIs (High Net Worth Individuals) who are controlling the fortunes of the top of the market across the globe. Global Cities
Top Global Locations by Cost
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