Dubai Leads in Luxury Real Estate Transactions
27.11.2024
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Dubai Leads in Luxury Real Estate Transactions
According to the latest quarterly report from Knight Frank's Global Super-Prime Intelligence, Dubai has secured the top position for the number of luxury real estate transactions valued at over $10 million. The study analyzed 11 key international markets.
The report indicates that over the past five years, the number of premium property transactions has increased by 66%. From April to June of this year, 463 transactions worth over $10 million were completed, which is 13 transactions fewer than in the previous quarter. However, compared to pre-pandemic figures, the number of transactions has risen by two-thirds. It is expected that volumes will continue to grow in 2025 as interest rates decrease.
The Dubai market performed best, with 436 transactions completed in the last year. In comparison, this figure was only 23 in 2019. In the second quarter of 2024 alone, 85 ultra-luxury properties were acquired, although this is less than the record of 131 transactions in the third quarter of 2023.
New York ranks second with 72 transactions, a record for the past two years. Hong Kong takes third place with 61 transactions during the same period, representing a 41% increase compared to the first quarter of 2024. The demand growth in this region is primarily driven by residents from China.
In Geneva, the number of transactions over the past 12 months has increased by 43 compared to 2019. In Palm Beach, transaction volumes rose from 50 to 138, while in Miami, they increased from 41 to 149.
▎Summary
The luxury real estate market has shown stability. Over the year, sales volume in the luxury segment reached $33.4 billion and has remained within the range of $32 to $34 billion since late 2022.
The post-pandemic situation continues to improve. Buyers are becoming increasingly active, particularly in Palm Beach, Miami, and Dubai, driven by capital migration. Annual figures show an increase of $13.4 billion in June 2024 compared to 2019.
The number of wealthy individuals is also on the rise. According to Knight Frank's Wealth Report, the number of rich people has increased by 19% since 2019. In 2023, their number grew by 8% in the United States and by 6.2% in Middle Eastern countries.
According to the latest quarterly report from Knight Frank's Global Super-Prime Intelligence, Dubai has secured the top position for the number of luxury real estate transactions valued at over $10 million. The study analyzed 11 key international markets.
The report indicates that over the past five years, the number of premium property transactions has increased by 66%. From April to June of this year, 463 transactions worth over $10 million were completed, which is 13 transactions fewer than in the previous quarter. However, compared to pre-pandemic figures, the number of transactions has risen by two-thirds. It is expected that volumes will continue to grow in 2025 as interest rates decrease.
The Dubai market performed best, with 436 transactions completed in the last year. In comparison, this figure was only 23 in 2019. In the second quarter of 2024 alone, 85 ultra-luxury properties were acquired, although this is less than the record of 131 transactions in the third quarter of 2023.
New York ranks second with 72 transactions, a record for the past two years. Hong Kong takes third place with 61 transactions during the same period, representing a 41% increase compared to the first quarter of 2024. The demand growth in this region is primarily driven by residents from China.
In Geneva, the number of transactions over the past 12 months has increased by 43 compared to 2019. In Palm Beach, transaction volumes rose from 50 to 138, while in Miami, they increased from 41 to 149.
▎Summary
The luxury real estate market has shown stability. Over the year, sales volume in the luxury segment reached $33.4 billion and has remained within the range of $32 to $34 billion since late 2022.
The post-pandemic situation continues to improve. Buyers are becoming increasingly active, particularly in Palm Beach, Miami, and Dubai, driven by capital migration. Annual figures show an increase of $13.4 billion in June 2024 compared to 2019.
The number of wealthy individuals is also on the rise. According to Knight Frank's Wealth Report, the number of rich people has increased by 19% since 2019. In 2023, their number grew by 8% in the United States and by 6.2% in Middle Eastern countries.
