Residential Real Estate News
Ultra Luxury Home Sales Globally Experience Slowdown in Q3
London was sole market to enjoy a rise in $10 million+ home sales
Based on Knight Frank's newly released Global Super-Prime Intelligence Report, a slowdown in luxury residential sales of properties priced over $10 million occurred across 12 major global cities during the three months leading up to September 2024. A total of 406 transactions were recorded, marking a decrease from 496 in the previous quarter and 464 during the same period last year. Uncertainty surrounding the U.S. election appeared to weigh heavily on the five American markets in the study, with none reporting a quarter-on-quarter increase. However, Los Angeles and New York City showed some year-on-year growth.
London was the sole market among the 12 cities to register a quarterly rise in $10 million+ sales. The city's 51 transactions slightly surpassed the 47 recorded in the second quarter, marking the first quarterly increase since Q3 2023. This improvement aligns with speculation that buyers were motivated to act ahead of the new Labour government's budget. Still, London remains well below its post-pandemic highs, when it averaged $1.5 billion in super-prime sales per quarter between 2021 and 2023. In contrast, 2024 has yet to see a quarter exceed $1 billion.
Dubai, as highlighted in the Prime Global Cities Index, is moving toward more sustainable growth following its pandemic-era surge. Despite recording 83 sales this quarter--well above the average since 2021--the figure reflects a nearly 40% year-on-year decline. Nevertheless, Dubai's annual performance remains strong, with sales more than tripling compared to 2021 and more than doubling compared to 2022.
In the U.S., super-prime markets showed a cautious approach, seemingly awaiting political stability post-election. Palm Beach recorded its lowest sales figures since late 2022, consistent with its seasonal peak in the first quarter. Similarly, Miami saw a sharp decline, with sales plunging nearly 60% compared to Q3 2023, a drop even steeper than usual seasonal variations.
