According to a new report, wealthy investors relying on luxury real estate would do best by placing their money in Dubai or Miami next year. Dubai holds the fort as the world’s top luxury, or “prime,” real estate market, with prices projected to rise 13.5% in 2023. Miami comes second, with a 5% anticipated raise in prices. Following with 4% anticipated rises were Dublin, Lisbon, and Los Angeles.

As Dubai proves itself to be the numero uno, what does it look like for luxury real estate 2023 investors?

Dubai Luxury Real Estate 2023: What to Expect?

Even the most robust luxury markets may possibly chill next year due to the shaking economy and rising interest rates. However, the same isn’t the case with Dubai, says Sohail Raja, leading our Valuations & Research Services in Dubai. The city is set to witness a 2% increment in luxury property prices.

The world’s wealthiest, who are safe from inflation and economic slowdowns, are delaying major real estate purchases globally. Whereas on the other hand, Dubai has witnessed something totally opposite. According to an analysis conducted by the team as well as previous reports, the city saw a 50% increment in prices in 2022, and it is likely to surge in 2023.

Influenced heavily by the Russians on the hunt for a safe residence, Dubai’s real estate thrived heavily, with a huge amount of interest in waterfront and golf course communities — the epitome of luxury in Dubai. In October, single-family home prices in Dubai increased 13% while total sales volume increased 73% when compared to the same month last year.

An Overview of Other Markets as per the Report

Miami continues to be a favorite destination for the wealthy due to its low tax rates and the increasing number of financial companies establishing headquarters or offices in South Florida. Seoul and London may have the poorest performances the next year, with price drops of 3% predicted for each.

According to the report, New York stands at number 13 and displays performance at a further fluctuating stage.  Even though New York is only anticipated to grow by 2% in 2019 as opposed to 5% in 2022, many brokers predict falling prices, particularly in Manhattan. Foreign purchasers who are seeking more, rather than less, exposure to the U.S. currency as the Federal Reserve ramps up rates will be advantageous for New York.

The number of cash buyers across all luxury markets will relatively surge and people making full payments in cash would be the first preference of several sellers.

Dubai Luxury Real Estate in 2023: The Right Choice

Given the tourist influx, economic stability, high-end living standards, and a wide array of uber-luxurious properties, there is no other place as opulent as Dubai. A luxury property investment here will bear sweet fruits in a matter of months, regardless of the economic slowdowns globally.

Would you like to make an investment in the city?

Hamptons International is an award-winning firm functioning in all major freehold communities in Dubai, offering a wide property portfolio to choose your dream home from. From the best vicinity for your children to a corporate office that’s strategically located to offer the utmost convenience, we boast a huge selection.

To know more, dial 800 HAMPTONS (42678667).

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