Did you know that in 2015… 36 percent of Total home sales in South Florida came with a $6.1 billion investment from International buyers?
Foreign buyers chose Florida above other states when buying homes from September 2014 to August 2015.
The survey covers Miami-Dade, Broward, Palm Beach and Martin counties, with Florida leading the country with 21 percent of the nation’s foreign purchases. Miami and Fort Lauderdale accounted for a whopping 50 percent of the state’s foreign sales.
It seems that foreign buyers tend to spend more than domestic buyers, according to the report. And 75 percent of their purchases are made with all cash.
In Broward, Canada and Venezeula, Colombia, Argentina, Brazil, India and Russia led the list, in Miami-Dade, Venezuela, Brazil, Argentina, Colombia, and Italy Mexico were the biggest international buyers. And in Palm Beach, Canada and Brazil were the top countries of origin for real estate buys.
Nearly US$3 trillion of the world’s private wealth is held in owner-occupied residential properties, a value greater than the GDP of India, a new report by Wealth-X and the Sotheby’s International Realty® brand released last week.
There are 211,275 ultra high net worth (UHNW) individuals – defined as those with US$30 million and above in net assets – in the world and 79% of them own two or more residences.
Some of the main hubs for luxury residential real estate are New York City, London and Hong Kong, but niche locations – such as Lugano, the Hamptons outside New York City, and rural areas around the world – are gaining in popularity.
The Wealth-X and Sotheby’s International Realty Global Luxury Residential Real Estate Report forecasts that the ongoing shift in the wealth creation cycle from the West to the East, and the growing significance of intergenerational wealth transfers will have significant consequences on the luxury residential real estate market – with a noted emphasis on new developments and a change in investment grade cities.
Below are other key findings from the inaugural report:
· The value of UHNW-owned residential real estate assets increased by 8% globally in 2014.
· On average, UHNW individuals own 2.7 owner-occupied residences.
· As of 2014, over 7% of the world’s UHNW population made their wealth through real estate, up from 5% in 2013.
· Ultra affluent women value real estate assets more than their male counterparts, holding 16% of the net worth in such assets, on average, compared to less than 10% for men.
· Luxury residential real estate is an asset class typically favored by UHNW individuals with inherited wealth: these individuals hold 17% of their net worth in such assets, compared to just under 9% for self-made UHNW individuals.
· UHNW individuals with net worth between US$30 million and US$50 million typically keep their primary residences for over 15 years and their secondary residences for over 10 years.
· Billionaires change one of their four properties, on average, once every three years.
· Secondary residences are typically 45% more valuable than primary residences; twice the square footage and have 10 acres of land.
· At 83%, Monaco has the highest density of foreign-owned UHNW residences.
· Over 6% of the world’s UHNW population have relocated their primary residence to a different country from which they were born – these individuals often keep a secondary residence in their home countries, and India is the leading country in this respect.
To read and download the full report click on Global Luxury Residential Real Estate Report 2015
Sotheby’s International Realty announced in October 1st that Immobiliare Fontana SA a very well known and recognized firm in Lugano, Switzerland has joined its network and will do business as Fontana Sotheby’s International Realty.
The firm serves the luxury residential real estate market though Tessin. The Sotheby’s International Realty is already represented in other location across Switzerland by deRham Sotheby’s International Realty.
The CEO of Sotheby’s International Realty, Philip White said “this affiliation, which strengthens our presence in Europe offers us entrance into this famous and attractive Swiss market near the Italian Border”. He is pleased to see the global clientele will have access to such a beautiful part of the world.
In recent studies Realtors® reported purchases from 68 countries, 5 of them outstanding historically; Canada (23 percent), China (12 percent), Mexico (8 percent), India (5 percent) and the United Kingdom (5 percent). These five countries had approximately 53 percent of transactions, with Canada and China the fastest growing sources over the years.
Canadian buyers were reported to purchase properties with a median price of $183,000, with the majority purchased in Florida, Arizona and California. Chinese buyers tended to purchase property in the upper price ranges with a median price of $425,000 and typically in California making their culture to be the one buying the highest average home in between international buyers in the US. Sixty-two percent of Mexican buyers purchased property in California and Texas, with a median price of $156,250.
International buyers tend to decide on a location based on the proximity to the home country. presence of relatives and friends, availability of job and education opportunities, and the climate,”
Foreign buyers continue to have a substantial interest in U.S. properties. Over a five year time frame more than 70 percent of Realtors® reported a constant or increasing level in the number of international clients contacting them.
According to ZipAtlas.com, more than 40,400 German-born and German-American residents live in Miami-Dade County and Broward County has a larger German population with roughly 62,100 German-born and German- American residents living in the Fort Lauderdale area. Primarily live in Cooper City, downtown Fort Lauderdale between Northeast 6th Street and Southeast 7th Street, and the Coral Shores area.
A little more than 3,000 Germans arrive in Miami every month from flights out of Frankfurt and Dusseldorf, Germany, according to Miami International Airport. While travel to Fort Lauderdale tends to be seasonal, Fort Lauderdale International welcomed roughly 2,400 German passengers between January to October 2012, airport officials said.
Described by the Beacon Council, there are at least 25 German companies with offices located and growing their businesses in South Florida. They include Audi Latin America, Deutsche Bank, Lufthansa Cargo, Porsche Latin America, SAP International, and Schenker in Miami; Hellmann Worldwide Logistics in Doral; Biotest Pharmaceuticals in Boca Raton; and DHL, which has offices throughout Miami-Dade and Broward counties.
Car dealer Rick Case plans to open the world’s largest Volkswagen dealership in Davie next year. It will be the largest and tallest Volkswagen dealership in the world. The dealership will feature 1,000 new and used cars and will open with 200 employees. The grand opening is slated for summer 2014.
Monaco yacht Show
One of the best times of the year to visit Europe and the French Riviera is during the month of September, perfect weather all around and luxury events like the Monaco Yatch Show will take you to a different level of wealth.
From September 25th to 28th, over 100 of the world’s most significant luxury yachts will be on full display in Port Hercules, either available for charter or being exhibited at the Monaco Yatch Show.
High-end clients and luxury yachting professionals consider the Monaco Yacht Show as the world’s major event in superyachting .
500 exhibiting companies amongst the most important ones in the world and 105 spectacular super and megayachts afloat exhibited every year.
With a record attendance of 33,000 participants in 2012, the MYS is the unique occasion in the year to meet the top managers of yachting companies and discover the latest high technology nautical products and luxury yachting services.
During the four days of the show, over 80 events are organized by the exhibitors in the palaces of Monte Carlo or onboard the yachts.
Prices Public: € 80 / day (on sale at the show), Professional visitor: € 250 / 4-day access, Media: access upon press accreditation.
If you can’t make it to the show this year start preparing for 2014 from Wednesday 24th to Saturday 27th September 2014.
See you there!
Five states made up 61 percent of reported purchases; with Florida being recognized as the number one (23 percent), and then followed by California (17 percent), Arizona (9 percent), Texas (9 percent) and New York (3 percent) by international buyers.
Florida continues to benefit from the strong presence of international buyers. Florida’s drop in market share on a national level does not mean international activity is declining in the state, particularly in areas like Miami and South Florida, where international activity surged in 2012 despite a similar national decrease.
About half of foreign buyers preferred to purchase in a suburban area, while a quarter preferred a more central city/urban area. A majority purchased a detached single-family home and 63 percent used all-cash. Based on the reported international transactions, the mean and median prices of purchases were higher when compared to purchase prices of domestic buyers. For the 12 months ending March 2013 the median international home price was $275,862 and for domestic buyers it was $179,867. The types of homes purchased by international buyers frequently tended to be different from the types of homes purchased by domestic U.S. buyers. International buyers are more likely to be substantially wealthier and looking for a property in a specialized niche.
A massive immigration bill being considered by the U.S. Senate has a rule change that could bring more Canadian snowbirds to Florida.
More than half a million Canadians own homes in Florida, according to an April report by BMO Financial Group of Toronto.
Legislation being debated in the Senate could change the migration patterns of some Canadian snowbirds.
The provision would allow retired Canadians 55 or older to receive a Canadian Retiree Visa allowing them to stay in the United States for up to eight months — two months longer than current law allows — if they own a second home in the USA, have a rental agreement or hotel reservation.
Younger spouses also would qualify for the three-year renewable visa.
Canadian citizens do not need visas to visit the U.S., but their stay is limited to six months minus one day — generally 182 days — within any 12-month period. That means Canadians who head to popular destinations in Arizona, California, Florida or Texas at the beginning of November need to get back home by late April.
“A lot of people want to stay longer,” said Bob Slack, president of the Canadian Snowbird Association. “They’d like seven months if they can.”
Canadians who exhaust their allotment of days for visiting the U.S. are barred from making day trips across the border for the remainder of the 12-month period. That translates into lost tourist revenue for places like New York’s Finger Lakes region in the East and Seattle on the West Coast.
The Canadian government didn’t ask for the measure, according to embassy spokesman Chris Plunkett.
“But we certainly support anything that can improve trade and tourism between Canada and the U.S.,” he said.
The impetus for the change came from the Canadian Snowbird Association based in Toronto, which estimates Canadian snowbirds made 1.08 million trips to the U.S. in 2011. The association defines a Canadian snowbird as someone 55 or older who spends 31 or more consecutive days in the U.S.
“The association estimates that 70% of Canada travelers spending over one month in the sunbelt states choose Florida as their destination,” Evan Rachkovsky, research officer for the Canadian Snowbird Association, said in an email.
However, snowbirds would need all but one of Canada’s provinces to loosen rules that require them to spend at least six months of the year at home in order to preserve their eligibility for national health insurance. Only Newfoundland and Labrador allow residents to keep their health coverage while spending eight months abroad.
The association also wants a change in U.S. tax laws that would let Canadians who spend up to eight months in the U.S. avoid paying income tax here… yet still to see if approved.
Real estate agents in the Sunshine State say the law would give the second-home market a boost, making real estate purchases more cost effective for Canadians who balk at buying due to poor exchange rates and restrictions on how long they can stay in the country.
What a better way to celebrate Mother’s day than by spending a nice gate away weekend in Fort Lauderdale, Florida.
Ft Lauderdale Beach
The weather has been wonderful, not one cloud in the sky, blue, sunny, gold color sand and the ocean as clear and blue as it can be with manatees nursing and swimming right next to the tourists, nature has a gracious way of Celebrating Mother’s day.
With so many specials going on for Mother’s day what could be better that being in Fort Lauderdale Beach? To find all the specials for Mother’s day in the area go to www.sunny.org
Happy Mother’s Day!
One Woman launches globally on March 8th of 2013
Every year around the world people Celebrate International Women’s day on March 8th, and thousands of events are held to World Wide to inspire women and celebrate their economic, social and political achievements.
The Holiday started at the end of the XX century as a socialist political event in countries mainly in the Eastern Europe, Russia, Soviet Bloc and North America. Later on in 1957, other regions adopted the theme designated by the United Nations as a political and social awareness of the struggle women around the world go to on a daily bases. In today’s world, most places celebrate the day as an occasion to express the love for women, in a similar way to Mother’s Day and Valentine’s Day honoring mothers, wives, girlfriends, colleagues, with small gifts and flowers.
On March 8th of 2013, from Australia to Colombia, from United Estates to Europe different singers and musicians, have come together to spread a message of unity and solidarity with the launch of the song “One Woman”; a song written for UN Women to celebrate their mission and work to improve women’s lives around the world.
Women’s Day has become to be a day for reflection, a call for progress and changed for all the women that have had important and extraordinary roles in the history of their communities. Even Google’s theme changes every year on March 8th, showing an image of different woman, regardless of their country of origin.
Either way politically or not politically it is a great idea to recognize all the women who have made a difference in your life. Happy International Women’s Day!
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