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Posted on July 31, 2022July 31, 2022 by Amazing Property

Global real estate market to reach $5.85 trillion by 2030

Govt reforms needed to enhance real estate market Warehouse, logistics, student housing to drive increase growth in Nigeria.

The global real estate market size is expected to reach $5.85 trillion by 2030, registering a compound yearly growth rate (CAGR) of 5.2 per cent from 2022 to 2030. The market was estimated to be valued at $3.8 trillion in 2022.

According to the report by Research and Markets, which featured some of the world’s real estate firms such as Brookfield Asset Management, Prologis and Coldwell Banker, rapid economic expansion in developing countries such as India, China, and several African countries including Nigeria, has increased income levels and favoured the real estate industry.

Property and condominiums are purchased, sold, rented, and leased in the market for business and personal household usage. Due to an expanded number of significant companies joining the area regional market, the commercial real estate business has risen dramatically in the recent decade.

Government reforms, reduced rentals, and lower mortgage rates in developing countries are expected to increase industry growth in the foreseeable future.

Factors, such as the rising demand for housing real estate space and increased urbanisation as a result of migration in quest of better amenities are likely to favour the growth of the market.

For instance, according to United Nations (UN), approximately 50 per cent of the population lives in urban areas and this figure is set to reach up to 65per cent in the forecast period owing to the migration into cities that turn into megacities with bustling urban amenities and lifestyle.

In terms of property, the commercial real estate segment is estimated to register a CAGR of 5.1per cent over the forecast period. The rising popularity of tourism owing to the increasing number of travellers seeking to unwind, while enjoying luxury amenities such as hotels are expected to drive the growth of the segment.

The Asia Pacific witnessed dominance in the market with a revenue-based market share of 52.6per cent in 2021. China accounted for the largest share in the Asia Pacific market and so does a large population support a hotspot for real estate development and investment. Moreover, various favourable regulations by the governments of various countries in the Asia Pacific including India are likely to favour the growth.

According to the report, the residential property segment is expected to reach $2.21 trillion by 2030, growing at a CAGR of 6.0 per cent from 2022 to 2030. Higher preference for homeownership among millennials is pushing the dominance of the segment in the market.

The rental type was valued at $1.92 trillion in 2021 and is expected to reach $3.04 trillion by 2030, owing to the higher spending of the Gen Z generation on rental real estate. Gen Z is the next generation of renters after the millennials and they are predicted to spend more than any other generation on rental services in their lifetime.

The Middle East region is expected to witness substantial growth over the forecast period with a revenue-based CAGR of 6.3per cent from 2022 to 2030. The growth is mainly attributed to the rising consumer spending on travelling and investment, Moreover, the rising number of travellers from developing countries, such as India, the Philippines, Vietnam, and Australia, is further a boost.

On Nigeria, the Chief Executive Officer, Knight Frank, Nigeria, Mr. Frank Okosun, said the experience and factors leading to growth of the real estate market size in Nigeria are slightly different from the points above.

“We expect growth based on the following factors- encouraging production and use of local building materials that will create affordability, enabling business environment that will guarantee increased Foreign Direct Investment (FDI) and in turn drive the real estate market growth.

“I think we should embrace innovation and technology in the real estate market space that’ll deepen retail investment in real estate.”

Okosun said what will favour the growth of the market is warehouse and logistics, students and young professionals housing, as well as data centres.

A property developer and Managing Director, NISH Affordable Housing Limited, Mr. Yemi Adelakun, said factors enumerated by the report that will enhance global real estate market size are applicable to Nigeria, especially government reforms, lower mortgage rates and urbanisation.

He said: “Government reforms urgently required to enhance real estate market in Nigeria include improved access to land at affordable prices, ease of necessary approvals / titles, and revolving fund for both construction and mortgage finance.

“Similarly, mortgages have to be made available and easily accessible at single digit interest rates to catalyse real estate market. In addition to transformation and recapitalisation of Federal Mortgage Bank of Nigeria (FMBN) for effectiveness and efficiency, there is need for special dispensation that allows commercial and other specialised banks to offer mortgages at preferential rates as was the case with the sectors like agricultural, aviation and small and medium entreprises.

“In addition, policies, strategies and incentives must be instituted to promote innovative building technologies, local production of building materials, capacity building among Nigerian building artisans and professionals, empowerment of real estate off-takers as individuals and cooperatives, and participation of social impact investors.

Posted on July 1, 2022July 1, 2022 by Amazing Property

The advantage of using a certified roofing contractor for your house

Valuable information, What a certified roofing contractor can do for you.

The life expectancy of your roof depends on several factors; type of roofing, quality of material, and exposure to harsh weather elements among the top. With regular maintenance and normal weathering factors, a roof can last anywhere from 10 – 100 years.

Common roofing material such as built up roofing usually lasts 12 – 20 years, metal roofing 15 – 40 years, wood shake or shingles 10 – 40 years, asphalt shingles 15 – 20 years, and specialty material like slate up to 100 years under good conditions.

Leaks start as small cracks in roofing material that may not be visible; water may collect in an adjacent area. To detect such damage, a close inspection of the roof may be necessary.

A certified roofing contractor can be called to avoid further damage to the roof, or personal injury to the homeowner caused by trying to inspect it his or her self. A roof inspection should be performed annually; constant weathering by sun, heat, rain, snow, hail, wind, and cold can cause roofing material to break down. A certified roofing contractor will know what to look for.

A roof and soffit system should be properly vented to prevent over-heating and moisture retention, two factors that can cause a roof to break down prematurely.

A certified, experienced contractor offers various services. From completely tearing off an old roof and replacing it with a new one, to inspecting and “certifying” an existing roof. The latter is a process in which the roof is inspected and “guaranteed” to function properly for a certain period of time; usually 2 years. The contractor takes responsibility for any necessary roofing repair during that period.

A certified contractor is knowledgeable of roof system types, materials, and installation procedures best suited to each project, and will ensure there is adequate venting.

Ask potential roofing contractors questions such as whether or not they are licensed and bonded. What liability insurance coverage they carry, and whether it is up to date. Ask which roofing product manufacturers they are licensed and approved by, for installation of products and warranty purposes. Also ask if they are a member of any regional or national trade organizations.

Posted on June 29, 2022October 12, 2022 by Amazing Property

Refinance for a Second Home

Cash-out Refinance for a Second Home.

There are ways to put the equity you have in your home to use. One way is to use it to buy a second home.

Specifically, one option is to use a cash-out refinance for a second home, but there are some things to know first if you’re doing so.

What is a Cash-Out Refinance?

A cash-out refinance a way to refinance your mortgage, converting your home equity to cash. You get a new mortgage for more than your previous balance, and then the difference is paid to you in cash.

In a general sense, one of the most popular reasons people refinance is to want more favorable terms than they have with their existing loan. For example, you might refinance to lower your monthly payments or take advantage of a lower interest rate. With a cash-out refinance, your primary goal is probably tapping into the equity in your home in the form of cash.

Your home is collateral for a new loan in a cash-out refinance. Then, you’re getting a new mortgage for a larger amount than what you owe currently.

Buying a House with a Cash-Out Refi

You can only do a cash-out refinance if the value of your home currently is significantly more than your remaining balance left on your mortgage.

A lender will let you withdraw up to 80% of the current value of your home, minus your remaining balance.

You can then use what you’re able to receive as a down payment on the next property.

You still have to qualify, as with a conventional refinance loan.

Lenders, at a minimum, will require a credit score of 620 or higher in most cases and a debt-to-income ratio of 50% but preferably less.

If you’re going to use the proceeds you get from your cash-out refi to buy an investment property, you’ll have to plan on putting down anywhere from 15 to 25%.

A lower down payment will be accepted if you buy a primary residence usually.

Lenders don’t have any guidelines against using the proceeds you get from a cash-out refinance to put toward the down payment of another property.

Considerations to Keep In Mind

When applying for a cash-out refi, you select between either a fixed-rate or a variable-rate loan. If you get a variable-rate loan, your payments can go up, depending on the interest rate.

If you do a cash-out refi, your new loan’s interest rate can be higher than the interest rate on your original loan so that you could be paying more overall through the duration of your loan.

You have to decide whether you’d be able to make up for the additional interest you’d pay when you buy another property. You’re also extending your current debt’s repayment period, meaning it’s not always the right choice.

You’ll pay closing costs of anywhere from 2-5% on your new refinance mortgage, which are taken from your cash payout. You can’t roll them into the mortgage.

Another alternative to explore is a home equity loan that you take out against your house. Home equity loans have no closing costs, which is a big upside. This could be less expensive than a cash-out refinance if your current mortgage has a lower interest rate than what you’d qualify for.

Finally, the biggest downside you have to remember with a cash-out refi is that your primary home becomes your collateral, even if you’re using it to buy another home. If you default, your lender can avoid foreclosure on your primary home.

Posted on May 29, 2022June 6, 2022 by Amazing Property

New Homes For Sale

Search or browse our latest new homes for sale offers, Search to find a new home today .

Here at amazing property it is our commitment to ensure a professional and enjoyable new home buying experience for you . Browse the latest new homes for sale added , Everyday we receive new properties for sale, Rent and lease in and around Nigeria .

No matter what your need is in real estate we have you covered. Amazing property have been connecting homeowners and buyers since 2010 to date with plenty satisfied customers. Collaborating is the way to go for you .

we are always open to form a new partnership with reputable developers , homeowners and professional master agents and renowned local agents. Have a new homes for sale ? Partner with us at Amazing Property to start selling your properties .

For Amazing Property to have been in business since 2010 serving customers across different countries, This means we have all it takes to sell, rent and lease your property in the shortest period of time. No matter how ideal or beautiful a home is will definitely not sell if its not properly advertised .

At Amazing Property we have a robust marketing plan in place to ensure your new homes for sale get seen by prospective buyers and sold in the shortest period of time. Contact us if you have new homes for sale let’s see how we can help you.

Posted on May 26, 2022 by Amazing Property

A real estate company set to deliver over 1000 homes to Nigerians

A real estate company in Nigeria has promised to deliver over 1000 homes to Nigerians.

In furtherance of its commitment to tackling Nigeria’s housing deficit, Landwey Investment Limited has announced plans to deliver 1000 premium homes starting from the end of the second quarter of 2022.

Shola Bello, managing Director, LandWey, made this known in a chat with newsmen on Monday.

While speaking on the impact of the COVID-19 pandemic and the resultant economic recession on the real estate sector in Nigeria, Bello, however, noted that the company has been able to deploy measures to mitigate the challenges posed by the crisis.

“2022 began on a rough note for most real estate developers in Nigeria. This has been made obvious by the growing apprehension amongst some clients over the viability of their investment owing to delayed delivery of housing units and some publications addressing these issues,” said Ms Bello.

“Many developers in Nigeria have openly addressed some of the challenges experienced in the course of construction and delivery of housing projects, a challenge which is largely attributed to the impact of the 2020 Covid-19 pandemic and the resultant economic recession.

“In the past few years, many developers have had to navigate the harsh economy and its severe impact on all businesses across many industries. While it may appear that many of these businesses have recovered from the impact, the story is not quite the same for the real estate industry. The industry has felt its huge blow from resultant factors ranging from scarcity of labour, a challenge we have since overcome, scarcity of building materials, unfavourable importation policies, long project approval timelines as well as other environmental limitations.

“However, our clients are always at the forefront of everything that we do, therefore, we have had no other choice but to unearth new and creative solutions in order to mitigate the rippling effects of the pandemic and the harsh realities of the global economy.”

Speaking further, the company’s chief lamented that most real estate development companies had to reassess and adjust their operations to acclimate to the “new atmosphere by working and negotiating potential changes in project completion timelines and the management of their internal and external workforce, communicating challenges and progress updates routinely with investors and reviewing supply agreements with suppliers while also determining the impacts of delays in our delivery obligations as well as other potential risk factors.”

She added that after what appeared to be a challenging Q1, the company is now making a headway on housing project delivery with a mass delivery of homes scheduled to take place at the end of the second quarter.

“I can assure you, by the third quarter of 2022, we would be well on our way to completing at least 1000 homes,” Bello concluded.

Posted on May 20, 2022May 20, 2022 by Amazing Property

Homebuilding Slows as Buyers Hesitate

Rising mortgage rates and ongoing supply chain disruptions are pressing on new-home costs and taking a toll on construction, homebuilders report.

Single-family housing starts fell for the second consecutive month, dropping 7.3% in April to a seasonally adjusted annual rate of 1.10 million, the Commerce Department reported this week.

“Lower single-family construction starts in April reflects our recent builder surveys showing notably weaker confidence in the single-family market, as rising mortgage rates and building material costs are driving more potential buyers out of the market,” says Jerry Konter, chairman of the National Association of Home Builders. Building material costs are up 19% over a year ago.

Still, housing starts were nearly 15% higher than a year ago. But the gain was driven mostly by multifamily construction. That sector, which includes apartment buildings and condos, rose 15.3% to an annualized 624,000 pace, the highest pace in nearly 40 years, the Commerce Department reports.

“Builders are responding to higher mortgage rates and are chasing rising rents, with fewer home buyers and more renters being forced to renew their leases,” Lawrence Yun, chief economist of the National Association of REALTORS®, said in a statement in reaction to the latest new-home data. “Even before the rise in interest rates, apartment vacancy rates were at historic lows and rents were accelerating. Some degree of a return to the office is also fueling back-to-city living where high rises are concentrated.”

Robert Dietz, NAHB’s chief economist, says they are predicting flat conditions in new-home construction for the remainder of the year and a decline in 2023 as housing affordability challenges from higher mortgage rates and construction continue to batter the sector. Single-family permits, a gauge of future construction, fell 2.3% on a year-to-date basis so far in 2022.

Realtors

Posted on May 9, 2022February 5, 2023 by Amazing Property

How to Sell your House in Queens NY

How to sell your house in Queens NY, by George Herrera, Realtor and Co-Owner of the Queens Home Team at Keller Williams Realty.

If you want to know how to sell your house in Queens NY, you’re in the right place. Whether you’re thinking of selling now or in the future, you’ve probably wondered what the steps to selling are and what you should do in preparation for the sale. Fortunately for you we’ve sold over 200 houses in Queens so we’re extremely familiar with the process, and we understand all of the steps involved for different scenarios, situations and property types.

With that said, below are 24 of the most common steps involved with selling a house in Queens NY. Some steps may vary, but most of these will apply every time. If you have any questions or would like some advice on selling, feel free to contact us anytime.

Step 1

Find out How much your Home is Worth

The first step to selling a house in Queens is obviously knowing how much the property is worth. This valuation is vital because it helps you and your family plan for the next steps with a realistic sale price expectation. You can go about this in one of two ways: 1) You can hire an independent appraiser to conduct an appraisal for you (this typically costs about $300-$400). Or 2) You can have a local Realtor come by and tell you what the property is worth (typically free of charge). If you decide to go the Realtor route, make sure you get at least three opinions because some agents are more thorough than others. Either eay, this should give you a good idea of the value. Also, keep in mind that “Appraised Value” is different from “Market Value” so the idea is just to get an idea of the appraised value. Ultimately you won’t know the true “market value” until you hit the market and open the bidding up to all interested parties. This is your first step in knowing how to sell your house in queens ny.

Step 2

Calculate your Net Profit, Potential Tax Burden, Tax Options, etc.

Once you have a good idea of the property’s value, the next thing you want to do is find out how much you would walk away with after the sale. This is the number that really matters because your net profit is what you will have left over to proceed with the next chapter in your life. Seller closing costs in Queens include: NYC transfer taxes, NYS transfer taxes, your Attorney fee(s), Listing broker commission, Buyer broker commission, Mortgage payoff(s), Home Equity Loan Payoff(s), Title Fees, etc. Once you have an idea of your estimated net profit, you can then speak with a tax advisor regarding your potential tax burden (i.e. Capital Gains) and different Tax Options available (i.e. 1031 exchange). For a complete breakdown of this step on How to Sell your House in Queens NY, contact us and we can send you a Queens closing costs spreadsheet.

Step 3

Decide whether or not to Sell

At this point, you should have a family discussion and decide whether now is indeed the right time to sell. You should have all of the information you need to make this decision so it ultimately comes down to selling, or holding. Try not to speculate as to where the market is going to be 1 month, 6 months, or 1 year from now because at the end of the day, it is just that, speculation. We tell all of the homeowners we meet, selling is all about timing. Usually when people sell, it is because they are ready to unload their property, take their equity, and move in to a new chapter. Either that, or they are in a situation that requires them to sell. Either way, the decision to sell is usually pretty clear.

Step 4

Get your Ducks in a Row

Once you’ve decided to sell, now you need to get your things in order. A lot of these Queens’ houses are very old, and depending on whether you inherited the property or purchased it, there are a lot of documents that you want to gather in order to streamline the sale. You definitely want to locate your old title report, your property deed, any mortgage records, payoff statements, ownership/transfer documents, violation documents, lien documents, wills, administration/probate documents, surveys, certificate of occupancies, etc.

Tips: If you are handling an estate sale, you will need to make sure that the proper probate or administration proceeding is filed with the surrogates court before listing the house. If the person who passed away lived out of state and the probate was done in that state, you will still need to file an ancillary probate in New York State so you will need to get that filed before listing. If you are a non-resident of New York, you will need to pay a portion of capital gains taxes at closing so you should get an idea of the amount from a local CPA. If you have tenants, you should notify them of the sale asap and if they don’t have a lease or the lease has ended, we would advise sending a notice of termination and starting a holdover case if necessary.

We have seen so many issues pop up because these things were not looked into ahead of time. For more advice on this step of how to sell your house in Queens NY, feel free to reach out to us and we can give you some general advice.

Provided by HomeLight: sell a house fast in Queens, NY

Posted on May 5, 2022May 5, 2022 by Amazing Property

NYT Real estate and housing (residential)

Looking for new place in New york ? find beautiful houses at NYT Real estate, Real estate and housing New york city .

The nyt real estate features some nice properties for sale and rent for people looking to buy in new york , When you’re looking to buy or rent a new place in new york where do you look ?

NYT Real estate is a great place to find nice beautiful home to fit your style we just stumbled on nyt real estate as we are looking around the web to see what real estate in new york city look and how people finds their desired properties .

With nyt real estate you find beautiful homes in these areas Connecticut , New Jersey , New York City , properties in Brooklyn Heights on the upper east side, Brooklyn Queens ,Manhattan, Huntington Bay and many other choice locations NYT real estate have everything you look up in luxury home .

If city life is your thing, there’s a little, unassuming place called New York City for you where does one even begin to describe New York City? I’m not even going to try other than to say it is perhaps the dominant “big city” in the world. Space is at a premium and so are real estate prices.

Posted on April 28, 2022April 28, 2022 by Amazing Property

What is a duplex

What is the difference between a duplex and a house?

A duplex is a residential building containing two homes that share a common central wall. The pair of homes will either exist on one land title and be owned and sold together, or exist on separate titles and be individually owned and sold.

Owners must agree to a building insurance policy that covers both sides of a duplex.

A body corporate is not usually needed, although this depends on the age of the duplex and its jurisdiction.

You should contact the relevant authority in your state or territory for further details.

A house is different from a duplex because it only contains one dwelling under a single roof, rather than two dwellings under a single roof. In a duplex, the two dwellings share one common wall, but are entirely separate entities with their own entrances and amenities.

Can you own half a duplex?

Yes, you can – although it depends on whether the two dwellings are on the same title, or on different titles. You will only be able to buy one half if the duplex has been subdivided into separate titles.

Why buy a duplex?

Buying a duplex has a number of benefits for both investors and regular buyers. If you are an investor, buying a duplex means that you’ll receive two rental incomes from one asset. And building one means you’ll be able to earn almost as much rental income as you would from two detached houses while saving thousands on land costs, as a duplex requires much less land than two detached houses.

If you are a regular buyer, the main benefit is the price tag, which is often up to half of what you’d pay for a similarly located detached house. This is great news for first-home buyers, anyone on a moderate budget, or anyone wanting a low-maintenance lifestyle in a premium location, such as retirees and down-sizer.

Posted on April 6, 2022April 6, 2022 by Amazing Property

Luxury real estate increased in demand

The Nigerian luxury real estate market is getting a significant boost.

The Nigerian luxury real estate market is getting a significant boost from increasing number of wealthy individuals, who are seeking to own multiple homes and new portfolios.

The luxury residential market increased last year as a result of the impact of the COVID-19 pandemic, as many in the working class saw the need for better homes with access to facilities that encourage Work From Homes (WFH) policies.

Such facilities, include steady electricity supply and stable internet connections. Besides, increase in insecurity drove many to seek more secure neighbourhoods within gated communities.

The fall of the Naira relative to the dollar has also made purchase of houses more affordable for those in the diaspora, leading to an increase in demand, with its upward effect on the price of the residential units.

According to Knight Frank Nigeria, Port Harcourt, Abuja and Lagos recorded an increase in sale prices between 10 per cent to 12 per cent across the prime neighbourhoods in these cities.

“The motivations for price increase include adequate security and power supply as well as the quality of houses in these areas.

In 2022, Knight Frank anticipates a gradual increase in the demand for prime real estate, but not necessarily the super luxury class. “An expanding middle class desirous of quality housing will fuel increase in demand,” Chief Executive Officer, Knight Frank Nigeria, Mr. Frank Okosun said.

“As long as the offerings continue to match the expectations of the home purchasers, demand will remain sustainable. The growth of this demand is likely to be muted by the state of the wider national and global economy,” he said.

The Director, School of Environmental Studies, Moshood Abiola Polytechnic, Ogun State, Dr. Samson Agbato, said despite the country’s struggling economy and general unease, overall market activity in various residential sub-asset classes remained strong in the first half of the year.

Agbato, an estate surveyor and valuer, said Lagos and Abuja recorded an average of 25-30 per cent increase in price. The Lagos Island residential real estate market in H1 2021, for example, was characterised by the short let bubble, and the millennials’ rule.

“The increase in prices can be attributed to the all-time high price of land in prime locations on the Lagos Island (particularly in gated communities like Banana Island, Shoreline Estate, Cowrie Creek, and Pinnock Beach Estate).

“Fast-rising off-plan development activities, continuous rule of millennials, a short-let market bubble, an increasing number of off-market listings,” he said.

In 2022, Agbato said the residential real estate market would remain mostly unchanged from where it was in 2021 as fewer rooms will continue to be demanded in city centres as against four to five bedrooms.

“Short-term rentals will continue to receive upward reviews. Therefore, developers will make every effort to meet the highest possible standards in their projects, and some transactions will be completed for much more than the asking (and market) price, even though few ones may close for undisclosed sums,” he said.

The Guardian learnt there was “unexpected increase in demand for luxury real estate,” while wealth creation also played a big role in driving price and demand growth in 2021. There were five million new millionaires in the world in 2021, according to the yearly Knight Frank Wealth Report.

This newly generated wealth led more buyers to make real estate investments of varying kinds. “Access to technology and the digital democratisation of investments, including private equity, have led to greater levels of wealth creation and growth. This is something that will gain momentum over the coming years,” the report said.

MEANWHILE, Dubai saw the biggest gain in luxury-home prices of any major global city in 2021, as values around the world increased, according to a new report.

The increase in demand and rise in prices across 100 major hubs for luxury real estate were fueled by many factors including low mortgage rates, shifts in lifestyle choices due to the pandemic and more flexible working patterns.

Dubai led the list with a 44.4per cent increase in high-end sale prices from December 2020 to December 2021, according to the report.

“The U.A.E’s handling of the pandemic, strong take-up of the vaccine, the delivery of high-end turnkey projects as well as innovative new visa initiatives and economic reforms, have together boosted Dubai’s profile in the eyes of international buyers,” said Kate Everett-Allen, head of international residential research at London-based Knight Frank.

In the Middle Eastern city, sales above $10 million have historically accounted for two per cent of all transactions but in 2021, they equated to seven per cent, according to Ms. Everett-Allen.

Moscow was in second place with a 42.4 per cent yearly change, mainly due to Russia’s mortgage subsidy programme and tight supply, the report noted.

The next three spots were filled by U.S. cities: San Diego, California, with 28.3 per cent, Miami with 28.2 per cent and New York’s Hamptons with 21.3 per cent increase in luxury home prices.

“We are seeing increasing interest in both indirect exposures, by way of real estate investment trusts for example and direct investment in physical real estate, especially as a hedge against potential inflation,” Pierre-Yves Lombard, managing director and deputy head of private banking at Lombard Odier for the Asia region, said in the report.

The luxury housing remains on track for another boom year in 2022, according to experts.

“Dubai, Miami and Zurich lead our 2022 forecast, with prime prices expected to end the year between 10per cent and 12 per cent higher. Asian cities are expected to trail slightly, but even here, prices will grow,” Liam Bailey, global head of research at Knight Frank, said in the report.
“Key themes to watch: Agents will complain about stock shortages, buyers will complain about rising taxes and cooling measures, and city markets will be back in demand.”

The world’s affluent population—those with a net worth of more than $5 million—grew by nearly 20per cent in 2021, according to The Report: 2022 Global Luxury Market Insights, produced by Coldwell Banker Real Estate LLC and the Coldwell Banker Global Luxury programme. In the U.S. alone, the wealth growth rates pressed even higher, rising nearly 25 per cent during that period.

As a result, luxury real estate is growing. The sales of single-family luxury homes, defined as the top 10 per cent of any given market, climbed nearly 15 per cent in 2021, and prices increased 20 per cent from 2020, according to the report.

“Stock market gains, rising home equity, increased savings and the cryptocurrency boom have all contributed to a massive expansion of wealth and the sheer number of affluent individuals across the globe,” says Michael Altneu, vice president at Coldwell Banker Luxury. “This—combined with a renewed focus on home for fulfilling a range of needs from security, escape, community, work, and wellness—has led to unprecedented demand for bigger and better homes in new locations. As a result, luxury is no longer concentrated in a few major cities; it’s everywhere and we’ll continue to see the growth of secondary markets for years to come.”

International buyers are expected to add to luxury markets, returning to U.S. real estate as pandemic-led travel restrictions loosen. About 83 per cent of real estate pros surveyed by Coldwell Banker anticipate international buyers coming back to the U.S. market. They believe foreign buyers will most be drawn to turnkey properties that offer additional space and privacy. Real estate pros also believe they will target secondary or suburban areas.

Secondary markets are becoming an increasing draw to the luxury market. For example, markets like Denver; Boise, Idaho; Sacramento, Calif.; San Antonio; Raleigh, N.C.; and Salt Lake City are seeing increasing interest from luxury buyers, according to the report.

“Work-from-home opportunities, climate change considerations, and accessibility to dream locations mean luxury may continue to expand throughout the country as consumers search for the home that best fits their needs and desires,” the report says.

Also, secondary home purchases are increasing as the wealthy add to their real estate portfolios. About 70 per cent of individuals with a net worth of $5 million or more own two or more properties. More affluent buyers also are purchasing getaway homes—about 32 per cent in 2021, up from 23 per cent in 2020, according to the report.

“Double-digit wealth and affluent population gains have happened concurrently with a once-in-a-generation change in living patterns and migrations,” says Liz Gehringer, president of Coldwell Banker Affiliate Business and chief operating officer for Coldwell Banker Real Estate LLC.

“As luxury real estate represents a larger percentage of the total housing market than ever before, it is absolutely crucial that luxury real estate professionals have a firm grasp of all factors influencing wealthy buyers and sellers today. The agent has become the affluent buyer’s connection point to new locations around the world.”