Columbus International

The transactions of luxury homes are experiencing a 9% increase, with demand surpassing supply, according to the report from the Gabetti Studies Office based on data from Santandrea Luxury Houses & Top Properties, specializing in the analysis of the prestigious real estate market. Foreign buyers represent 70%, while the remaining 30% are Italians. In most cases, the purchase is motivated by exclusive use, either as a primary residence or a second home. The average age of buyers ranges from 45 to 70 years for properties costing at least one million euros, and their maintenance can be costly. High floors and terraces are the most requested features, followed by parking spaces.

Milan stands out as the most expensive city, with prices averaging a 1.4% increase in 2023 compared to the previous year. In the Brera district, the average price per square meter exceeds 11,000 euros, while in the Quadrilatero, it stands at around 12,300 euros. In Rome, demand is increasing in the Prati and Salario-Trieste neighborhoods, with average prices for new/restructured properties around 6,000 euros per square meter. In the historic center, the average price per square meter exceeds 10,000 euros.

In Florence, the most expensive areas are central, such as the Lungarni, where a new/restructured residence costs an average of 6,200 euros per square meter. Genoa records price increases everywhere except in the Quarto/Quinto area. In Naples, prices remain essentially stable, and the number of transactions is slightly decreasing. In Turin, prices also remain stable, although the demand for purchases varies depending on the neighborhoods.

Source: Corriere della Sera

Foreign buyers accounted for 56% of all condominium sales in South Florida over the past year, a significantly higher figure compared to the rest of the country. Nationally, foreign buyers constituted 15% of condo purchases, while they made up 36% of condo sales elsewhere in Florida, according to the Miami Realtors Association. The sales volume attributed to foreign buyers in South Florida for the 12 months ending in July, covering single-family homes, townhouses, and residential condos, amounted to $5.1 billion, as indicated in the association’s annual international homebuyers report. Interestingly, the majority of buyers managed to navigate the challenges of higher interest rates, with 69% of residential purchases in South Florida being completed as all-cash transactions during that period, according to the report.

South Florida’s proportion of foreign buyers for all residential purchases stands at 18%, nine times larger than the rest of the country, where foreign buyers account for 2% of residential purchases, and twice as large as the rest of the state, where foreign residential purchases make up 6% of sales. Across the tri-county area of South Florida, the majority of buyers hailed from Latin America. In Miami-Dade County, the top five countries of origin for buyers were Argentina at 17%, Colombia at 14%, Venezuela at 13%, Brazil at 8%, and Mexico at 5%. In Broward County, buyers from Colombia represented 19% of purchases, followed by Argentina at 17%, Canada at 14%, Peru at 8%, and Venezuela at 4%. Palm Beach County saw Brazilian buyers make up 18% of purchases, followed by Costa Rica at 10%, Spain at 10%, Trinidad and Tobago at 10%, and Venezuela at 10%.

“Increasing global sales continue to be led by Miami,” stated Ines Hegedus-Garcia, chair of the board at Miami Realtors. She added that Miami’s unique combination of a vibrant lifestyle, cultural diversity, a burgeoning financial tech scene, modern architecture, eclectic shopping, proximity to Latin America, and iconic beaches were key factors driving the region’s sales among foreign buyers. In terms of dollar amount, Miami-Dade County accounted for $3.67 billion in sales, followed by Broward County at $1.07 billion, and Palm Beach County at $270 million. Overall, buyers from 52 countries participated in South Florida’s residential real estate market during the period covered by the report. While the total of $5.1 billion in South Florida falls short of the previous year’s $6.8 billion in sales, it remains consistent with figures from 2021.

Source: CoStars News