6-4-2024 (HONG KONG) Hong Kong, a bustling metropolis renowned for its skyscrapers and vibrant culture, is not only a global financial hub but also home to one of the world’s most expensive real estate markets. According to real estate agency Knight Frank, Hong Kong closely trails Monaco for this prestigious title.
With a budget of one million dollars, property seekers in Hong Kong can anticipate acquiring approximately 237 square feet (22 square meters) of living space. This figure places Hong Kong just behind Monaco, where the same amount of money secures a mere 172 square feet. Following closely behind is Singapore, claiming the third spot with 344 square feet.
The revelation stems from data extracted from the Knight Frank Wealth Report, shedding light on the scarcity of space within prime city and second-home markets. Despite a downturn in global luxury real estate sales last year, attributed to soaring interest rates, prices have remained exorbitant due to limited supply.
The concept of value in these premium markets, encompassing the top 5% in terms of worth, becomes apparent when considering the spatial allocation for one million dollars. In New York, this budget translates to approximately 366 square feet, while in Paris, it offers 431 square feet. Shanghai surpasses them both, providing 452 square feet within the same budgetary constraint.
Monaco’s diminutive square footage allocation can be accredited to the perpetual demand from affluent individuals seeking to bask in the city’s opulent casinos, lavish lifestyle, and favourable tax regime. This sustained interest has propelled property prices to astronomical heights, thereby elevating the threshold to be among the top 1% of the wealthiest individuals to a staggering $12.8 million.
Conversely, Dubai has witnessed an upsurge in demand for million-dollar residences, largely propelled by expatriates. However, Knight Frank asserts that, concerning space per dollar spent, more established prime markets offer considerably less value. For instance, one million dollars in Dubai yields three times the living space compared to London, underscoring the differing dynamics of global real estate markets.
