Recently, a report from Christie’s International Real Estate (CIRE) highlighted the “hottest” and “most luxurious” read estate markets across the world as well as the trends that have been captivating wealthy buyers.
According to “Luxury Defined”, a white paper that CIRE released earlier this month, the global luxury real estate market is actually showing an upward correction, with the prices of million-dollar-plus homes increasing by approximately 2% in 2016.
The luxury index, which evaluates a market’s overall prices and relative luxuriousness revealed this year that Hong Kong is the world’s top ranking city for Luxury real estate. The full list is as follows:
- Hong Kong
- New York
- Los Angeles
- San Fransisco
Hong Kong unseated London for the first time, also bumping New York to third place. Miami experienced a 3 point drop, going from 7 to 10 on the list due to an increase of new development and decrease in sales activity.
The “Luxury Defined” white paper also noted an increase in sales post the 2016 election. Many noted that a lot of people were sidelining their cash until the election was over, and that once the next four years was definite that cash was injected back into the market.
This report also featured a new section known as the CIRE Luxury Thermometer, which uses both demand and growth to determine the hottest markets in luxury real estate. The list is as follows:
- Victoria, BC
- San Fransisco
- Austin, Texas
- Charleston, South Carolina
- Portland, Oregon
- San Diego
As far as luxury home trends go, the CIRE research cited recreation, kitchens, and size as the hottest trends. The biggest trend in luxury is now having the kitchen as a sort of ‘theater’, where the counter space is considered the prime real estate, even more than stoves or appliances. Guests want to watch their hosts entertain in action and be able to chat while they prepare. In addition to more open kitchens, more elaborate farm-to-table garden options are being found in luxury households.
Affluent homeowners are adding indoor herb gardens and really take pride in the experience they provide for their guests. Entertaining in the kitchen is more intimate and welcoming. Other trends include increase sizes of closet space, sometimes resulting in them to eclipse other bedrooms, and an increase in recreational spaces as well, seeing everything from BMX courses, ice hockey rinks, and regulation soccer fields in the mix.