Hong Kong: Top Location For Ultra-Wealthy Residential Transactions
Over a twelve month period this year the global wealthy spent $6.6 billion on ultra-prime homes valued at $25 million plus in a new report by Knight Frank. Leading for locations was Hong Kong followed by New York, London and Singapore.
The report reviewed by Quartz hows that as of August 2018 there were 47 ultra-prime residential transactions in Hong Kong at a value of $2.5 billion with New York having 39 transactions for $1.5 billion and London with 38 ultra-prime sales at $1.5 billion aa well.
In the value category Hong Kong again was the leader with ultra-prime sales averaging $53 million with $44 million for Singapore and Sydney.
Knight Frank reports that the favourability of Hong Kong is due to low property taxes and that there are no taxes claimed on capital gains and inheritances.
For London the ultra-prime market has been influenced by Brexit and the increase stamp duty on land and property with a decrease in sales. In 2015 London has 72 transactions which was double when compared to other cities. But this has not stopped London as being a leader along with Hong Kong and New York for the super rich buying the most expensive properties.
Liam Bailey, Knight Frank’s head of research, in The Guardian:
“The relentless creation of private wealth globally over the past decade has fueled the growth of ultra-prime residential markets."
Wealth-X, a research organisation on the wealthy finds in its analysis that the number of super wealthy worth more than $30 million plus has increased by 13% with the highest growth rate being in Asia for 2017.
As a result Wealth-X states that Hog Kong has over taken New York for the most ultra-wealthy residential location with most buyers in Hong Kong being local.