Thanks to Chinese and American buyers, Victoria, British Columbia is considered to be today’s hottest primary global luxury market, according to the latest annual report published by Christie’s International Real Estate, Luxury Thermometer.
This Luxury Thermometer comparative report looks at cumulative data from 2016-2017 based upon “buying trends, destination preferences and lifestyle amenities” in Christie’s definition of luxury. Sales volume and days on the market are the two key indicators for Christie’s Thermometer
Victoria soared when it came to sales volume…a whooping +29% compared to 2016… and speed of sale with an average of only 32 days on the market.
Despite home sale prices increasing by +6% from 2016 to a median price of $1.2M, in 2017, Victoria was a real bargain when compared with luxury markets in New York ($3.6M) and Hong Kong ($360M)!
Victoria “…offers buyers a rare combination of clean, sea-swept air and outdoor beauty, year-round walking and golfing, an interesting culture and calm gentility,” said Mar Owen-Flood, an agent with Newport Realty. This city of afternoon teas and lush gardens is now experiencing the same rapid growth in prices and volumes that strengthened Toronto and Vancouver in recent years.
San Diego, another “real bargain” with a median luxury price of $1.8M, experienced a 26% year/year sales growth from 2016 to 2017. San Diego has a great center city, quality properties with ocean views, lush gardens and one of the most affluent neighborhoods in the country, Rancho Santa Fe.
Christie’s Luxury Thermometer placed California’s Orange County in third place. Sales volumes were strong and its speed of sales declined by 29% annually. Job growth and international interest are driving this market.
Washington DC was a “market to watch” in Luxury Thermometer 2016. This year, DC ranked fourth. The nation’s capital is drawing professionals in medical, technical and government related fields. Demand is strong, inventory is limited and “…it continues to be a solid investment,” according to Jeffrey S. Detwiler of Long and Foster Companies.
Paris is the only European market on the Luxury Thermometer list this year. New buyers from the UK and other parts of Europe are drawn to the City of Lights because of recent instability plus there is renewed domestic demand.
Paris has experienced an increase of 7.9% in sale prices and sales volume is brisk. “It’s as if a wind of newly found confidence has swept over the apprehension and pessimism that dominated the last few year…” said Charles-Marie Jottras of Daniel Feau Conseil Immoblier. “We have more than doubled our sales from the prior year.”