World’s top 10 residential property sales break US$100m record

The world’s 10 most expensive residential real estate sales have hit more than $US100 million ($136m) apiece.

Waterfront properties on the Gold Coast. Worldwide, the average starting price of a luxury home is $US2.1m.

For the first time in history, the world’s 10 most expensive residential real estate sales hit more than $US100 million ($136m) apiece, with the top global residential sale negotiated in Hong Kong at a price tag of $US270m.

The number of $US100m-plus mansions available for purchase has rocketed to 33, up from 19 two years earlier, according to Christies International Real Estate’s report into the luxury residential property sector.

The report reveals a record 10 mansions sold for at least $US100m last year, double the number of homes sold in this price range in 2014.

“The past 15 months have yielded unprecedented sales prices and sales volumes, including many in new or re-emerging destinations for investment,” says Christie’s International Real Estate chief executive Dan Conn.

Worldwide, the average starting price of a luxury home is $US2.1m but the real estate broker notes that the definition of luxury real estate continues to broaden with a luxury property starting at $US10m in Monaco, while in Costa Rica it is defined at less than $US1m.

“The world’s fastest-growing and hottest luxury markets are Canadian,” said Mr Conn, noting that Canada is viewed as a “safe haven”.

“New markets that entered Christie’s top 10 rankings include Austin, Texas; Charleston, South Carolina; Paris, France; and San Diego, California,” he said.

Chinese buyers remain strong, despite restrictions to capital outflows, and are starting to penetrate areas such as North Carolina and Sardinia. Middle Eastern buyers remained strong across Paris and the Cote d’Azur.

Hong Kong is the top-ranking city for luxury real estate, according to Christie’s Luxury Housing Rankings. It is followed by London, New York, Los Angeles, Singapore, Sydney, San Francisco, Paris, Toronto and Miami, taking into account average price per square metre and the number of sales over $US1m.

Mansions priced in the $US100m range are typically adorned with the finest amenities and lifestyle features, including commercial kitchens, unparalleled views and panic rooms. They will also sport staff accommodations, grand entertaining spaces such as ballrooms, top-quality sporting or leisure facilities and unique amenities tailored to individual owners.

Properties priced in the $US250m range generally will sport more than 10 bedrooms, art gallery spaces, hi-tech security, showroom garages for 15-plus cars and extravagant entertaining spaces such as amphitheatres, as well as helipads and sporting or leisure facilities.

However, Christies notes that the luxury property marketplace is affected by sentiment.

“Uncertainty, in both major political events or economic shifts, leads buyers and sellers to reflect on what might be, resulting in hesitation and inaction,” according to the report.