A Small World Getting Smaller – The Future of Luxury Real Estate Worldwide
I recently attended and spoke at a Who’s Who In Luxury Real Estate and Board of Regents conference held for members only at the Fairmont Hotel in Monte Carlo. The members attending came from all over the globe: the United Arab Emirates, China, France, Spain, Switzerland and the USA. It was a gathering of the best and the brightest in luxury real estate who actively do transactions in multiple countries.
The number of transactions done internationally has grown considerably in the past few years and 2013 was the most robust year to date. Yet, as sensational as last year was, the forecast for growth in 2014 for international transactions was staggering.
The strong, consistent growth and creation of wealth in the economies of China, India, Brazil and many of the former Eastern Bloc countries such as Russia has opened up a panoply of high net worth buyers who are mobile, looking for new opportunities and with the means to purchase that lifestyle that fits them best.
To further increase the pace of activity and to entice buyers to their market, many countries have launched programs for granting residency for purchases above a certain mark, such as $400,000 in St. Kitts – to site but one of many examples. Those who purchase there receive a residency permit and, most importantly, a passport, which allows them travel throughout many countries in the EU without having to get a visa every time. For many high net worth individuals, this is a huge benefit well worth the investment.
This conference drove home the point that, in luxury real estate, it is a small world that is getting smaller by the month.
* Photos courtesy of LuxuryRealEstate.com