Tarpon Island, a private island in Palm Beach, Florida, was sold in May 2024 for $150 million.
CNBC
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Sales of ultra-luxury homes surged in the second quarter in New York, Miami and Palm Beach, Florida, while falling in much of the rest of the world, according to a new report.
According to a Knight Frank report, the number of homes priced at $10 million or more surged 44% in the second quarter in Palm Beach, 27% in Miami and 16% in New York.
Sales in New York topped $10 million, with 72 units sold, the most in the country and the highest in two years, the report said. Miami was second with 55, followed by Los Angeles (42) and Palm Beach (36). A 5.5% fee increase reports homes selling for more than $10 million.
The biggest deal of the season was the $150 million purchase of Palm Beach’s only private island in May, reportedly by Australian infrastructure investor Michael Dorrell. wall street journal. In June, a historic 3.2-acre estate in Palm Beach was sold to $148 millionwhile in Manhattan, the penthouse at the Aman New York hotel features $135 million July.
While demand in many top luxury markets has slowed from peaks in 2021, ultra-wealthy buyers continue to snap up rare prime properties at record prices, thanks in large part to finance, Knight Frank said. The market is rising.
Liam Bailey, global head of research at Knight Frank, said: “Significant wealth creation is underpinning the growth of the global super-prime sales market.” “The transformation of markets such as Dubai, Palm Beach and Miami is enough to offset some of the more mature markets. Slowdown experienced by venues.”
Across the world’s 11 top luxury markets tracked by Knight Frank, sales of homes worth more than $10 million fell 4% from last year to $8.5 billion.
Dubai leads the world in ultra-luxury real estate, with 85 units sold in the second quarter, the report said. The city is growing rapidly as the super-rich from Russia, China, Europe and elsewhere move to Dubai for its friendly tax and regulatory regime. 2019, Dubai Only 23 had sales exceeding $10 million. Knight Frank said it had sold 436 units in the past 12 months, although sales in the latest quarter were slightly down on last year and the first quarter.
Knight Frank said London had one of the world’s biggest declines, with sales of homes worth more than $10 million down 47% from last year amid concerns about higher taxes on Britain’s wealthy.
While ultra-luxury buyers typically purchase properties in cash, lower global interest rates are expected to help support sales in the second half of the year, the report said.
Last week, 29 contracts for properties worth more than $4 million were signed in Manhattan, according to the company. Olshan luxury market report –The strongest post-Labor Day week since at least 2006.
“As interest rates fall, total transaction volume is likely to rise through 2025,” Bailey said.
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