New Figures Show Luxury Property Market Continues To Grow Despite Economic Crisis, With Peaks Of 10%
LONDON, April 18, 2013 /PRNewswire/ --
High-net-worth individuals seek safe haven for their assets
According to analysis conducted by LuxuryEstate.com, the international online platform dedicated to sale of high-end properties, the interest in purchasing luxury properties (valued to be worth above €1m) has increased by an average of 2% in the last 12 months, with peaks of 10% more sales enquires for high-end residences from individuals that reside in countries that are in a period of extreme economic instability, including Greece and Italy.
Through the analysis of buyer activity on more than 25,000 listings, spread over 30 different countries, Luxury Estate has been able to identify trends in the demand for luxury properties. While the largest demand overall comes from individuals from the UK, USA, and France, the countries that have seen the largest increases in demand have been Greece (+8%), Russia (+6%) and Italy (+5%).Commenting on this data, Silvio Pagliani, President of LuxuryEstate.com, said: " As expected, there is demand from countries which have a large number of high-net- worth individuals as residents, including Russia , Luxemburg , Switzerland . Our analysis also shows increased number of enquiries from countries going through an economic crisis, with statistics suggesting that many wealthy citizens are looking to invest in luxury property and seeking a safe haven for their assets." "We found it interesting that there are no Middle Eastern regions named in the list of countries with the most search activity. After looking at the data further, the reason for this became clear; wealthy Middle East buyers are using specialised brokers to purchase properties. In most cases, these are based in London, which contributes to such a high level of demand from the UK." As well as analysing the demand for luxury properties, LuxuryEstate.com has also collected data on what countries have the most high-end residences for sale. In countries with more stable economies the number of luxury villas, mansions and castles on the market has remained constant or even decreased. In contrast, countries that are going through a period of continued economic crisis have seen a notable increase in luxury properties on the market in the last year. For example, Italy has the largest offer in Europe and second in the world (14% more than the UK) with an increase of 8% per year, France is fourth with 12% (+4%) and Spain seventh with 3% (+6%). Below is a list that ranks the top ten countries where searches for luxury properties originated from (and comparing it to 2011 figures):
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