Indeed, property is one of interesting investment instrument. The profit that got, become magnet for super rich people that have “unlimited” fund. Their property products spread entire the world.
Property products in famous city like London, New York, Manhattan, Moscow, and Dubai become hunting target. But the super rich man increase yearly, make other city become next target.
Survey result from Knight Frank, property consultant in London, said that super rich man that called as High Net Worth Individual (HNWI), will increase their investment portion in property and real estate sectors. From 38% last year to 40% of their total worth in this year.
Knight Frank and Citi Private Bank give HNWI label for people who have asset allocation for property from 1 million to 10 millions US Dollars. And for people who have more than 10 millions US Dollars in property investment called as Ultra High Net Worth Individual (UHNWI).
These high net worth individual will increase their property investment asset, without care about property and real estate credit crisis that shot US and several countries in Europe.
Released data from Scorpio-partnership, strategic consultant for Wealth Management Industry, mentioned that new super rich people year ago growth from development countries. Rich people growth in China was 14%, and India had increased 9%. Amount of rich people from Kazakhstan, Singapore, Argentina, and United Arab Emirates, was growth 8% in average. Entirety, amount growth of rich people in USA is still the highest. Second country is Japan, then UK.
Beside watch on property business opportunities in famous cities like London, and New York, property products in emerging market also monitored. Brazil, China, and India are countries that soon included in their investment portfolio list.
There no first and second home term for super rich individual. They can spend their days in New York, Geneva, Ibiza, and Singapore with time in same amount every year.
Mostly (67%) of super rich individual in the world tend to buy property products in their country or near countries. But super rich individual from Asia, Australia, and Africa have contrary step, 40% of them tend to make direct investing to far countries like USA, UK, and Middle East.
Antigua, an islands country at Caribbean Sea, and Saint Jean Cap Ferrat, France are two favorite locations of super rich individuals. Sale properties price growth in those location bookmarked in highest value. Saint Petersburg and Moscow, Russia are in second place. Sell price in these cities growth for 38% and 35%. Based on Knight Frank data, increasing apartment price growth in Singapore was 31%.
Not all of super rich individual invest their fund in apartment or skyline in the middle of cities or trip locations. Trend investment in Farming field also increase.
Tax intensive for that sector in Australia and several Europe countries become interesting thing. Beside of that, super rich individuals from Brazil and Argentina are individual that have landlord history, so it is not surprising if they choose field farming for their investment.