Changing cost of real estate
March 4, 2021 - A global analysis of the cost of luxury living space by Knight Frank reveals the amount of real estate you can buy for US$1 million.
The annual Wealth Report 2021, published by London-based property consultancy Knight Frank, selected 20 prime city markets and calculated, based on typical luxury residential values and the exchange rate at the end of 2020, how many square metres $1 million will buy.
Monaco and Hong Kong are still the world’s most expensive residential markets -- positions they have held for the past decade. London retains its third spot, with New York in fourth place. Geneva has moved up the rankings this year, while cities in emerging markets such as Cape Town and São Paulo offer more space for your money than last year due to a combination of lower prices and currency shifts against the dollar.
London offers more than 40 per cent more luxury living space for your money, giving 31 square metres compared to 22 square metres in 2015. New York also offers an increase in area, offering 34 square metres in 2020 compared with 27 square metres in 2015 -- a 25.9 per cent increase. Los Angeles provided almost a third less space, 44 square metres, compared with 65 square metres in 2015, a 32.3 per cent decrease.
With cross-border travel halted mainly by the coronavirus pandemic, markets reliant on large inﬂows of international demand, such as Monaco and Dubai, saw prime apartment sales decline, Knight Frank reports.
Barbados’s new 12-month “golden visas” scheme -- aimed at a new breed of wealthy digital nomads -- saw almost 2,000 applications between July and November 2020. Dubai has implemented a similar golden visa programme.