Wealthy homebuyers are choosing these global cities
Vancouver ranked 44th in global cities for luxury homes
Steve Randall
Canadian Real Estate Wealth
The luxury real estate market slowed in the third quarter of 2019 according to a new global index.
The Knight Frank Prime Global Cities Index shows that 76% of the 45 cities included saw static or rising prices in Q3 2019 compared to 12-months earlier.
The average annual prime price growth was 1.1% while the extended period of economic growth and wealth creation should have produced stronger gains.
Leading the pack is Moscow, where prices are up 11% during the 12 months to September 2019 amid stronger demand and several high-end projects being completed. Quarter-over-quarter growth was 1.3%.
Frankfurt (10.3%), Taipei (8.9%), Manila (7.4%), and Berlin (6.5%) complete the top 5 cities for luxury price growth.
In North America, Toronto is the best performer, in 19th place with growth of 2.2% year-over-year but it declined 1.4% quarter-over-quarter.
Miami (in 26th place with 1.3% year-over-year and 0.6% quarter-over-quarter growth), is the only other North American city to post both year-over-year and quarter-over-quarter growth.
Los Angeles (33rd place) has growth of 0.2% compared to 12 months earlier but declined 1.0% from Q2 2019; San Francisco (34th) saw no annual growth and a 1.5% quarterly decline.
New York, Vancouver decline The only other two North American cities included saw luxury residential prices slide in the third quarter.
New York (42nd) posted a decline of 4.4% year-over-year and 1.4% quarter-over-quarter; and Vancouver (44th) saw prices slide 10.2% year-over-year and 1.1% quarter-over-quarter.
The worst performer among all 45 cities included was Seoul with a 12.9% annual drop and a 1.5% quarterly decline.
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