London house prices fourth most expensive in the world

Graham_Devon

Billionaires’ homes in London now change hands for an average of more than £3,000 per square foot and our capital has the fourth most expensive house prices in the world, according to new analysis by international estate agents Savills.

Riots, banker-bashing and the threat of a mansion tax did not deter the global super-rich from investing more than £3.3bn in London property last year. While the ‘squeezed middle’ is suffering from frozen or falling incomes and rising taxes they cannot easily avoid, the rich are getting richer – partly because of above average house price inflation at the top of the market.

Billionaires’ property prices in 10 cities around the world increased by an average of 10pc in the first six months of this year, Savills calculates. That was more than half as high again as the average of 6pc for ordinary mortals’ homes in Hong Kong, London, Moscow, Mumbai, New York, Paris, Singapore, Shanghai, Sydney and Tokyo.

http://blogs.telegraph.co.uk/finance/ianmcowie/100012090/billionaires-boost-london-house-prices-to-fourth-most-expensive-in-the-world/

The writer is a bit of a tool IMO, but doesn't stop the underlying message from getting through.


Prices in order, per square foot:

Hong Kong - £6,700
Tokyo - £5,190
Paris - £3,270
London - "more than" ? £3,000

abaxas

Would have probably been more, if the currency hadn't been trashed.

HAMISH_MCTAVISH

Graham_Devon wrote: »

Prices in order, per square foot:

Hong Kong - £6,700
Tokyo - £5,190
Paris - £3,270
London - "more than" ? £3,000

He must be talking some super-prime areas of the city centre to be at that level, but assuming they've one the same for the other cities it's a fair comparison.

Interesting to note Tokyo, after a 20 year and 80% house price crash, is still almost twice the price of London.

Just goes to show that a real bubble in house prices looks like Mount Everest, and ours are barely a molehill in comparison.

ruggedtoast

I would like to know what they mean with the city designation. In order to make itself seem bigger, grander and far more populous than it is, "London" now stretches all the way out to places like Watford.

Watford is not London. It is not in London, people born in Watford are not Londoners. And neither is Sidcup, its in blimming Kent for Pete's sake. Is all of Kent London too now?

Tokyo does not technically stretch all the way out to Yokohama, although there being nothing but unbroken densely packed urban connubations between Shinjuku-ku and Yokohama harbour gives it more right to include Yokohama than London does Watford imo.

I suspect the other cities are skewed as they arent including much cheaper commuter belts and residential areas in their designation of their city.

London should give up at Zone 4 really.

the_flying_pig

HAMISH_MCTAVISH wrote: »

He must be talking some super-prime areas of the city centre to be at that level, but assuming they've one the same for the other cities it's a fair comparison.

Interesting to note Tokyo, after a 20 year and 80% house price crash, is still almost twice the price of London.

Just goes to show that a real bubble in house prices looks like Mount Everest, and ours are barely a molehill in comparison.

the numbers are worthless crap, obviously.

unless you believe in a 'stats fairy' who flies round at night:

(1) measuring square footage & market value for a sample of thousands of pwoperdees per country; and
(2) objectively devising cut-off points to enable true equivalence in international comparisons [e.g.'Île de la Cit!... in'; 'Hampstead - out']

i daresay the numbers are based on a few dozen expensive apartments that they happened to be able to easily get the information for.

more than £3000 per squ foot obviously implies more than [for example] £6m for a 2,000 squ foot house, which is very serious money indeed. of london's [say] 3m dwellings you're not talking about even hundreds of thousands that are that expensive.