Madrid has emerged as the world’s top-performing luxury property market, with values surging 20.3% over the past year, according to new research from prime London brokerage Jefferies James.
In contrast, London has recorded one of the most subdued rates of price growth among global property hotspots.
The analysis, which examined price trends across 15 leading international cities, reveals stark disparities in annual performance.
Madrid’s double-digit growth puts it well ahead of Dubai, which ranks second with a 16.5% rise in luxury property values. Mumbai (+6%), New York (+4.2%) and Singapore (+3.9%) round out the top five.
LONDON LUXURY HOMES
At the other end of the spectrum, London saw a mere 0.4% increase in luxury home prices over the past 12 months — on par with Berlin, Vancouver and Sydney. Meanwhile, prices have fallen in several major cities, with Paris down 3%, Auckland off by 4.8% and Hong Kong experiencing the sharpest decline, dropping 8.2%.
Geneva posted steady growth of 3.6%, while Los Angeles and Monaco saw more modest increases of 1.3% and 1.1% respectively.
GLOBAL LANDSCAPE
Damien Jefferies, Founder of Jefferies James, says: “The global landscape currently presents a rather mixed bag with respect to property price performance, as whilst a handful of cities have seen a respectable rise in values over the last year, there’s a good proportion where the market has remained fairly muted, with some even seeing a reduction.”
But he adds: “However, whilst this may seem negative on the face of it, we’re seeing a heightened degree of activity from luxury buyers, who recognise that now is the time to act in order to take advantage of less buoyant market conditions.
“This has particularly been the case across London, where property values have remained largely static year on year. Despite this, the city remains by far one of, if not the most desirable destinations for international buyers, many of whom are recognizing that now is the smart time to invest, before improving market conditions cause prices to rise.”
