Luxury Outlook

Sotheby's International Realty has just released the 2023 edition of Luxury Outlook, an analysis of the luxury real estate market in 2022 across the world, and the trends likely to shape the luxury real estate market in the months ahead.

While conventional wisdom about supply and demand and fluctuating interest rates would suggest that luxury real estate prices are starting to decline, that hasn't happened in 2022. Prices for the most part, and particularly on the Basque Coast, remained stable.

The reasons are many. The world has seen a surge in wealth creation in recent years and since most payments are made without borrowing, the luxury real estate sector remains somewhat insulated from interest rate fluctuations. Finally, there is a lifestyle shift resulting from Covid-19 that we believe can last: people are spending more time at home and putting more emphasis on quality of life and habitat. These high prices are supported by the rise in the price of materials and therefore of new constructions.

This report also offers analysis of the luxury market, beyond the real estate sector, from durable luxury items to record auctions, including investments in wine or art. Now more than ever, we know that wealthy people want to spend their capital wisely, and we're here to help them do just that.

To learn more: click here