Accommodation in Hong Kong has the highest price: reasons are expensive
Analysts presented a rating of the most expensive real estate in the world. The first place in it is occupied by housing in Hong Kong, which has been the leader of the list of houses and apartments with the highest value for 10 years. The second place belongs to Vancouver, and the third – to Sydney.
In general, if you analyze the TOP-10 rating, most cities have a decrease in the difference between the average price of real estate and the average salary. However, there is an exception – Toronto, where this indicator has just increased. Canadian megalopolis shared the 6th place with Auckland.
Experts note that in the current rating there is a noticeable slowdown in housing prices, especially among the leaders of the list. However, the dynamics is not so intense that housing in the megacities became significantly affordable.
Despite Hong Kong’s high development, one fifth of the city’s population lives below the poverty line. The huge value of real estate, which most people cannot afford, also aggravates the situation. One of the main factors of inaccessibility of housing in the megapolis is the lack of space for the construction of new facilities. The authorities are solving this problem; they plan to create several artificial islands to build new houses there.
In the rating of housing availability 92 large cities from different countries took part. As it turned out, the smallest gap between real estate prices and average income of citizens is observed in ten U.S. metropolitan areas.
Hong Kong not only has a huge price for houses and apartments, it also has the highest cost of luxury goods and services. It is a little cheaper than such products in Shanghai and Tokyo.
There are expensive restaurants, cosmetic services, and lawyers’ work in Hong Kong. Here you need to give a substantial amount for business class air tickets. Tokyo metropolis is ahead of the most expensive hotels.
Availability of premium goods and services was estimated in 28 cities, with the highest cost observed in Asian cities. This is due to the active development of the region, large investments and the emergence of an increasing number of rich people. The activity of Asian consumers is visible in the world market, especially in the segment of elite products. Influential people in the region buy premium cars, accessories, jewelry and much more.
North and South America is a little behind Asia, followed by Europe. The most expensive European metropolis is London, but the most affordable products of the luxury segment can be purchased in Barcelona and Frankfurt.
Despite the fact that Hong Kong is a leader in these ratings, the GDP growth rate of the island has decreased for the first time in 10 years. The fault for this is prolonged protests, confrontation with China, as well as the global situation, which is quite tense.