According to global property consultancy Knight Frank’s latest report, Prime Global Forecast 2021/2022, the luxury residential market of Sydney is going to rise 10 % this year, making it rank No.1 in the world for luxury property.
This rise of 10 % will make Sydney the world’s leading city for growth in prestige property. The forecast made by the global property consultancy is a clear jump on the 1 % forecast growth for 2021 made back in May last year and also the improved forecast of almost 3 % growth made later in the year.
The number of prime property sales, which are defined as the top 5 % of the total property market sales, were recorded in Sydney in the first quarter of this year was 1429, making it the highest quarterly number on record for Sydney.
Sydney boasts of a $20 million-and-up luxury property marketplace. The number of sales of luxury properties was more than 20 in the first half of 2021. This figure is high when compared to the 17 trophy sales in all of 2020.
The luxury property market may have got a push because of prospective city infrastructures, such as the new Barangaroo Railway Station and Circular Quay Renewal.
There seems to be an increase in demand for luxury property but since the supply hasn’t changed, the prices have skyrocketed. Also, many ultra-wealthy Australians are taking advantage of the low-interest-rate environment to grow their property portfolios.
Closed borders have seen many wealthy Australians make purchases in their homeland instead of abroad. Prime sales have also got a further boost by ex-pats returning to their country.
The bull run for Sydney’s runaway luxury housing market is expected to continue even for the rest of this year, despite lockdowns as exclusive viewings are custom when purchasing prestige residential property.
One of this year’s top sales is the Boyd Penthouse, worth $60 million atop the ANZ Tower in the CBD. This prime property was sold to Dial-a-Dump founder Ian Malouf by property developer John Boyd. Another big sale is the Point Piper house worth $40 million belonging to Sydney Football Club chairman Scott Barlow sold to Nick O’Kane who is a top-earning commodities executive off Macquarie Bank.