Now in Cape Town, $1 million will purchase an additional 895 square feet

Read more: For $7 million, a freehold corner terrace on Hoot Kiam Road is on the market.

Buyers who purchase in London, Tokyo and Cape Town could receive 28% more premium residential space in comparison to the end of December 2021, according to a report from Savills on October 11.

“A 1 million dollars ($1.4 million) budget would now allow for an additional 895 square feet located in Cape Town, 132 sq feet within London as well as 127 square feet at Tokyo,” the report states. This accounts for the currency’s movements in relation against that of the US dollar.

Buyers can benefit from lower costs on similar property or the increase in size of homes with the same price.

However, buyers in Singapore can only benefit from an average of 6% growth in property size for the same $1 million budget, which is a testament to Singapore’s strong economy and stable currency.

“Investors ought to think about capitalising on favorable exchange rates in order to buy international top property that is backed by a strong Singapore dollar” advises Jacqueline Wong the head of the residential department at Savills.

“It is an ideal moment for international investors to look at central high-end London residences,” she adds.

London is ranked in the sixth spot on the list of cities that have the highest prices for psf in the Savills World Cities Prime Residential Index.

“Prime rent in London grew to 14% in value in the 3Q2022 quarter which was the largest annual increase seen since 1979,” the report states.

The increase in rents in prime areas is fueled by the intense competition for houses that are located in the capital because of the disparity between the lack of prime rental inventory and the rising demand for tenants, which has increased by 70% when compared to August 2019.

Savills agent in London have been reporting the slow return of high-net-worth international buyers to prime postcodes over the past few months, following the lifting of travel restrictions. A rise of activity was noted within Chelsea, Belgravia, Kensington, Mayfair, Notting Hill and Holland Park. There is also a lot of demand for London Square Nine Elms, to open later in the month.

With the prime central London prices dropping to 17.8% in British pound terms from 2014. Prices have dropped in 47.5% in US dollar terms. Buyers can now purchase 609 sq feet of premium London residential property worth $1 million.