International Cities Enjoying Sales Recovery in July despite COVID Outbreak

Despite localized outbreaks, a number of global cities are seeing sales volumes continue to recover.  New research confirms where the most expensive homes in Spain are located. Data from online platform BrainesRe pinpoints the 25 Spanish towns where average prices exceeded €3,300 per square meter in the first quarter of 2020, including eight municipalities in the Balearic Islands.  Cities across Asia Pacific saw residential activity picked up in June, with China and Hong Kong leading the way. Melbourne and Jakarta saw sales volumes slip due to the ongoing challenges of COVID lockdowns. Asking prices are now increasing in five of the 19 cities we track and sales are edging higher in eight locations.

Activity across regions is expected to increase in the second half of 2020, supported by low interest rates, currency fluctuations and some discounts. With many investors looking for stability, diversity and developed markets, Singapore, Australia and the UK are likely to be three of the markets most heavily in demand.

Despite strict containment measures during lockdown, activity in Dubai’s residential market did not come to a complete halt. Whilst transaction activity has certainly slowed, the depth of the contraction has been relatively limited. In the year to June 2020, transaction volumes have decreased by 14.4% compared to the same period a year earlier. Average prices, which fell on average by 5.6% in the year to May 2020, are likely to remain under pressure, as a result of demand softening and the influx of supply expected in 2020.

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