London: Luxury homes capital of the world

March 5, 2013

London is the luxury homes capital of the world, and the global prime property market is more similar to the fine art market than to the mainstream property market, according to a new report from Christies International. Limited inventory, strong international buyer demand, and high-net-worth individual’s “increased appreciation for world-class lifestyle offerings” have pushed prices for luxury homes to “historic highs,” with London once again leading the field.

Christies’ report (Luxury Defined: An Insight into the Luxury Residential Property Market) compares 10 of the world’s top property markets— London, New York, Hong Kong, Paris, San Francisco, Cote d’Azur, Toronto, Dallas, Los Angeles, and Miami — and debuts the “Christie’s International Real Estate Index,” which promises to be “the first ever true global indicator for luxury residential real estate.” The Index ranks markets across “key metrics including record sales price, prices per square foot, percentage of non-local and international purchasers, and the number of luxury listings relative to population.”