After a year of being cooped up at home, the desire for new horizons and investment opportunities in international property is stronger than ever. Whether it's the allure of pristine beaches, breathtaking mountain vistas, or the vibrant energy of cities like London, New York, and LA, luxury property buyers are actively seeking out the best places to invest in 2022.
Based on a study conducted by Luxury Portfolio International (LPI), a global estate agents' network, it is clear that the fundamental factors influencing buyer decisions remain unchanged - location, quality, and family-friendly environments. However, compared to last year, buyers are taking a more measured approach and not rushing into hasty decisions.
Remote working and lifestyle changes prompted by the pandemic continue to shape the market, with buyers seeking properties that offer better living conditions and meet their changing needs. Additionally, the fear of missing out on potential interest rate and house price hikes has spurred many buyers into action, resulting in a predicted growth trend across all regions, particularly in Europe and Asia.
Interestingly, despite the rise of remote work and technology bridging distances, more than half of buyers prefer city locations, and over three-quarters want to be within commuting range, especially buyers from the Asia-Pacific region. Taking this into account, Luxury Portfolio International offers its top recommendations for investing in international property in 2022.
Where to Invest in International Property in 2022
1. Berlin, Germany
Berlin has undergone a remarkable transformation over the past four decades, evolving into a cosmopolitan hub with a vibrant culture and an exciting nightlife scene. In terms of property prices, Europe is expected to see significant increases this year, with Berlin leading the pack. Compared to other European powerhouses, Berlin has been relatively undervalued, but this gap is likely to narrow in 2022.
2. Seoul, South Korea
Made famous by the hit song "Gangnam Style," Seoul's affluent Gangnam district has become a global household name. The investment appeal of properties in this trendy area has been on the rise, and the trend is expected to continue in 2022. Luxury homes in Seoul are limited, making them highly sought after by discerning buyers.
3. London, UK
Despite initial concerns about the future of cities due to remote working, London remains an attractive destination. The city offers a rich cultural experience, from world-class theaters and art galleries to iconic landmarks like Buckingham Palace. As international buyers start returning, London's property market is expected to bounce back and thrive in 2022.
4. Singapore
Singapore, with its bustling streets and thriving economy, is a magnet for those seeking an urban lifestyle immersed in a global business hub. The country's property market has shown steady growth, and this upward trajectory is set to continue in 2022. With limited space and a high concentration of millionaires, Singapore promises great investment potential.
5. Milan, Italy
Known as the fashion capital of Italy, Milan seamlessly combines ancient charm with modern architectural marvels. The city's property market, reawakening from the slumber of the pandemic, is expected to experience strong growth in 2022. Milan's magnificent buildings and vibrant atmosphere make it an attractive choice for luxury property buyers.
6. Madrid, Spain
Often overshadowed by Barcelona, Madrid offers its own unique charm and cultural treasures. Majestic architecture, delectable cuisine, and world-class museums make Madrid a city worth investing in. With steady price rises in 2021, the Spanish capital's property market is poised for further growth in 2022.
7. New York City, USA
The Big Apple has an enduring appeal that transcends time. From its iconic brownstones and towering skyscrapers to its thriving culinary scene and world-renowned cultural institutions, New York City has it all. Despite initial concerns about population shifts during the pandemic, buyers have returned, and property prices are on the rise, with a lively growth forecast for 2022.
8. Los Angeles, USA
Los Angeles boasts the glamour of Hollywood, breathtaking beaches, and a year-round temperate climate. The city experienced robust property price growth in 2021, driven in part by the easing of Covid restrictions. In 2022, the market is expected to continue its upward trajectory, making Los Angeles an enticing investment destination.
9. Dubai, United Arab Emirates
Dubai is synonymous with opulence, offering an unparalleled blend of luxury and extravagance. The local property market has seen remarkable growth in recent years, further fueled by a well-implemented vaccination program and international buyers' interest. While prices may rise more moderately, Dubai remains an attractive investment option.
10. Sydney, Australia
Sydney's stunning harbor, iconic Opera House, and vibrant lifestyle have captured the attention of property buyers worldwide. Despite the challenges of the past year, Sydney's property market performed solidly in 2021, and prices are expected to continue rising in 2022. Investing in the Australian city offers both lifestyle and financial rewards.
In conclusion, the global property market is entering a new phase, and investors are keen to explore the top international locations for investment in 2022. As the world adapts to changing circumstances, these destinations offer both financial potential and the promise of a vibrant lifestyle. Whether it's the cultural richness of Berlin, the allure of Sydney's harbor, or the cosmopolitan energy of London, these top locations are set to drive growth in the international property market this year.