Trend: new buyer profiles in the high-end sector
BARNES, the specialist in luxury realty, investigates what type of properties clients can acquire with one million euros. New buyer profiles are beginning to emerge in Paris, a particularly dynamic market over the last three years. Richard Tzipine, Managing Partner of BARNES, gives us his take.
“The high-end sector has been very buoyant since the arrival of President Macron”, says Richard Tzipine. “It has risen 5% per year on average, boosting foreign investor confidence”. This favourable climate is reflected differently in the city’s different arrondissements.
“In the 16th arrondissement, for example, prices have shot up after remaining at a stable level for a number of years. Other arrondissements, like the 9th, the 18th and the Marais area have seen sharp price increases, notably due to their appeal among younger buyers”.
Prices have reached new - and “sometimes excessive” - heights, the specialist admits. “An interesting phenomenon is being seen”, explains Richard Tzipine. Inner Paris is in high demand, Neuilly also. People in their thirties are looking to move away from the “classic” arrondissements they grew up in. They are looking for luxury properties in the Hauts-de-Seine, Yvelines and Val-de-Marne areas.
“Paris ranks 5th internationally ahead of London and New York. It is one of the most expensive cities, but still has plenty of prospects for growth on the international stage. Paris remains reasonable in terms of prices in particular thanks to various political efforts to limit the price soars seen elsewhere”.
70 to 150 sq.m for the world’s major cities
The properties and surface areas that can be bought for €1 million vary from one capital to another. Some cities are attracting increasing numbers of upscale clients and offer genuine investment opportunities. Surface areas fluctuate between 70 and 150 sq.m for €1 million. This is notably the case in Paris, where such a sum will buy you properties in the 70 sq.m range, located in the Marais and Rive Gauche [Left Bank] areas, and in the 85 sq.m range on the rest of the Rive Droite [Right Bank]. €1 million will also buy a 100 sq.m apartment in Cannes, 120 to 150 sq.m in Mykonos, or a 123 sq.m duplex in Plan Gorret (Italian Alps).
“Not surprisingly, the smallest properties listed at 1 million are found in Hong Kong and Monaco. $1 million will buy 21 sq.m in Hong Kong’s Mid Levels, 26 sq.m in Happy Valley and 38 sq.m in Kowloon.”
© Immo Matin - published on Barnes on 01/10/2019
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