Worldwide growth in luxury real estate prices begins to slow

New York /
Aug.August 09, 2011 02:06 PM
alternate
text
Best-performing cities, from left: Hong Kong, St. Petersburg and Paris

Turns out the rich aren’t completely immune to a world that seems on the brink of economic disaster. Sure, luxury real estate prices in “prime global cities” continue to grow even as much of the rest of the world is underwater, but in the second quarter of 2011, that growth slowed. Prices rose just 7 percent year-over-year for the priciest real estate in the most coveted cities, which pales in comparison to the 14 percent growth experienced in 2010, according to data by Knight Frank cited by Business Insider.

More recently, quarter-over-quarter data shows further stagnation. Compared to last yer, prices skyrocketed more than 10 percent for the top three performing cities, Hong Kong (16.1 percent), St. Petersburg (12.2 percent) and Paris (10 percent). But compared to last quarter, St. Petersburg was the only market of those three to post gains of more than 2.5 percent.

Manhattan is bucking the trend of recent stagnation. Luxury prices in the second quarter jumped 6.8 percent compared to the prior year quarter, and a solid 3.6 percent over the first quarter, according to the report. Although, as local experts would be quick to point out, the spring buying season and an influx of foreign buyers capitalizing on the weak dollar have contributed to that. [Business Insider]


Related Articles

arrow_forward_ios
Clockwise from left: John D. Rockefeller, Izzy Englander, Steven Mnuchin, David Koch, Jacqueline Bouvier, and William Zeckendorf (Credit: Getty Images and StreetEasy)
For 15 years, David Koch lived at the world’s “richest building”
For 15 years, David Koch lived at the world’s “richest building”
Joe Tsai with 220 Central Park South, Vlad Doronin with 730 Fifth Avenue, Paul Allen with 4 East 66th Street, Michael Stern with 111 57th Street
Here are NYC’s 10 priciest homes of 2022
Here are NYC’s 10 priciest homes of 2022
Reed and Delphine Krakoff along with 54 East 64th Street (Getty, Google Maps)
Fashion bigwig sells townhouse for $36M after two price cuts
Fashion bigwig sells townhouse for $36M after two price cuts
Ian Bruce Eichner, 45 East 22nd Street
Eichner’s Madison Square Park saga enters final act
Eichner’s Madison Square Park saga enters final act
Piofrancesco Borghetti with 15 Central Park West (Getty)
Convicted cosmetics mogul relists 15 CPW pad with another price cut
Convicted cosmetics mogul relists 15 CPW pad with another price cut
188 Nelson Street and 483 13th Street
Zero deals signed for $4M homes in Brooklyn last week
Zero deals signed for $4M homes in Brooklyn last week
15 West 45th Street, CapitaLand’s Eaton Zhou
Midtown hotel trades for $38M in another slow week for midsize i-sales
Midtown hotel trades for $38M in another slow week for midsize i-sales
944 Fifth Avenue and Central Park Tower at 217 West 57th Street
Central Park Tower condo tops Manhattan luxury contracts
Central Park Tower condo tops Manhattan luxury contracts
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...