Knight Frank has listed Shanghai, Sydney, Singapore, Monaco and Dubai as the top destinations for luxury property investment for the superrich, leaving Hong Kong out of the top five altogether.
Knight Frank’s Prime International Residential Index (PIRI) ranks luxury property prices in 100 cities worldwide.
According to PIRI last year, the value of urban luxury property increased on average by 2.4 per cent year-on-year, while beach or coastal property slipped marginally by 0.5 per cent. Average prices on the world’s prime residential market rose 1.4 per cent as compared to a 1.8 per cent growth in 2015.
Luxury property prices in Shanghai, the top commercial and most expensive city in China, are expected to rise by eight percent this year, whereas luxury property prices in the city soared by 27 percent for investors.
Sydney, Australian, the top city in terms of value of luxury real estate, is expected to increase by five per cent, according to various estimates. In 2016, Sydney posted a 9.3 percent price growth in high-end property and was ranked 11th in Knight Frank’s PIRI rating.
Monaco makes an appearance in third place in terms of the desirability for investment purposes. The general view is that the Principality’s top-end properties will rise by five percent this year after rising 1.03 per cent last year.
Dubai and Singapore took fourth and fifth place respectively.