Global real estate hot spots: Where should you invest next?

When it comes to real estate investing, it’s important to work out where to invest your money next. Here, we examine the top up-and-coming cities for real estate around the globe.

Over the last decade, the world’s top residential markets have seen waves of strong investment. Forerunners in the real estate investment market, such as London, New York and Miami, are go-to choices for investors – but what cities are emerging ripe for investing?

Knight Frank’s Global Residential Forecast for 20181 outlines the current landscape for prime residential purchasers, examining cities from across the globe. Here’s a brief look at some of the most promising real estate hot spots.

Paris

In recent years, Paris has struggled to see strong price growth – but this is looking to change. Paris is back on the radar of global investors, particularly amongst those from the US, Middle East and Europe.

This increase in interest means a healthy price growth of up to nine per cent is expected in the French capital in 2018, mostly due to an improved economic outlook for the Eurozone. Also helping Paris move to the top as a global real estate hot spot is the recent annulment of rent caps throughout the city.2

Berlin

Berlin is currently riding high in terms of economic growth, driven by an explosion in higher-grade new real estate units that are priced relatively low. The German city’s economy is considered one of the best performing in the country. This, combined with the fact that the cost of living in Berlin is one of the lowest in Germany, has real estate investors turning their eye toward this city’s market.3

Dubai

As the government continues to invest in the economy and infrastructure ahead of Expo2020, employment levels are on the up. This has caused the demand for real estate in this Middle Eastern city to continue to rise. In 2018, Dubai is expected to see modest economic growth, an improvement after its weaker performance during the recent market cycle.

Are you interested in expanding your investment portfolio into the real estate market? Contact your Relationship Manager or Investment Counsellor to learn more.

1Paris leads our prime global residential forecast for 2018, Knight Frank, 2017
2What is ahead for the Paris property market in 2018?, Paris Property Group, 2017
3Hot property: Europe, Knight Frank, 2017

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