Ecuador, a country that has an array of delights to offer. The golden sands of the Pacific Coast, the Amazon rainforest, the foothills of the Andes, and the creme de la creme -The Galapagos Islands!
With an eclectic mix of cuisine, culture and climate, this country is defiantly one you should have high on your bucket list. Let Midas tell you why.
The Amazon Basin
Think Indiana Jones battling his way through dense vegetation with a machete. If you want to mimic your idol, then you are in the right place.
The Amazon Basin, accessible by boat, is an absolute wonder. Along the waterways, you will find beautiful Amazonian lodges scattered around the lakes, and jungle camps to accommodate all your needs. You can also learn how tribes, like the Huaorani, have adapted to westernisation.
The wildlife that thrives in this vegetation is diverse, sloths, monkeys, caiman, and (yikes) snakes are all common. If you are lucky, you will see some rarer species too, jaguars, pumas, peccaries and if you’re really lucky, the pink river dolphins!
Known locally as Boto, these beautiful creatures enjoy the freshwater of the Amazonian rivers. These dolphins are actually born grey and slowly turn pink as they age. And surprisingly the male dolphins are pinker than their female counterparts. Don’t be confused by their cute exterior though, these animals are tough and will eat pirañas for breakfast!
Pacific Coast
If you enjoy spectacular sunsets (who doesn’t), then you are defiantly in the right place. Playa de los Frailes, situated in the Machalilla National Park, has been rated as one of the finest beaches in the world. With its wonderful white sands, it is home to some very lucky Inca-defended families, who often take advantage of its therapeutic sulphur lake and mud baths.
Along the 200km pacific coastal stretch is the Ruta Spondylus, this road connects Manta in the north to Santa Elena in the south. Running parallel to the coast, you can discover along this track the most beautiful beaches, interspersed with quaint fishing villages.
A fact you may not know. Contrary to popular belief, Panama hats originated not in Panama, but in Ecuador’s Montecristi. In this charming colonial town, you can grab yourself a bargain and pick up a genuine straw brim at a fraction of the price.
Andean Highlands
Quito, the capital, is nestled in the slopes of the Andean volcano, Pichincha. Still active, it last erupted in 1999.
If mountain adventure excites you, then your first expedition needs to be an acclimatisation climb of the steep tower of the city’s Basilica del Voto Nacional.
For expert mountaineers only, Chimborazo (6,263m), which can be seen in the skyline to the south should be your goal. Its summit is the furthest point on the surface from the earth’s core, and if conquered you can boast that you have stood on the closest land to outer space!
If you still have the strength, why not ascend the rim of the Quilotoa crater, where you will witness South America’s striking three-kilometre-wide, uber blue, lake-filled caldera. If tropical rainforests excite you, then make your way straight to the Andean foothills.
The Galapagos Islands
As if Ecuador hasn’t given you enough, we leave the best to last! The Galapagos Islands. These 19 islands that inspired Charles Darwin’s theory of evolution when he visited in 1835 are on the UNESCO World Heritage list. Know as one of the most remarkable places for flora and fauna, these islands are a must for any botanists and wildlife lovers.
Home to 9000 species, you will be amazed by the vast range of plantations and wildlife. Witness flamingos, Sealion, Penguins, Frigatebirds, whose throats become red balloons, sea diving iguanas, ginormous tortoises and so much more.
We, at Midas, are sure our guide has got the fantasising about your Ecuadorian adventure. Now that you’re ready to organise this trip of a lifetime, let us assist you every step of the way. Adventure awaits!
In addition to tourism, the country is widely agricultural, which has seen over the last decade a significant tourism growth.
For those who are courageously looking for new opportunities, we have
land for your agricultural or residential developments.
As with many professions there are thousands of interior designers to choose from however, making the right choice for your project can make all the difference.
Designing a home is an incredibly personal experience and the process can take many months if not years to complete depending on the size of the project.For this reason, the chemistry and relationship between clients and the interior designer is so important.
Your interior designer must be able to relate to how you want to live and understand the personal requirements of your particular project.A designer needs to be able to adapt from project to project whether that is by changing styles or by functionality or how much communication clients want to receive.Certain clients like to be heavily involved in every aspect of the project however others take a more “hands off” approach.A good interior designer should be able to understand their clients and know which approach will work best.Likewise, with the design, the interiors of an apartment for a bachelor in central London is going to have very different requirements than a family home in the country.
Excellent service is such a crucial part of any interior design business.Any form of construction or change to your home has the potential to be stressful so having a fantastic, responsive, and understanding interior designer by your side is essential. Many of our clients end up becoming our friends due to the personal nature of the business and the trust that is built up through the process.
Ideally choose an interior design company who has been recognised within the industry by their own peers and industry judges.Design studios who have won awards and have received international recognition have done so for a reason.
Turnkey projects are becoming more and more popular with clients wanting us to oversee the project from concept through to completion.This includes the final furnishings, artwork and finishing touches.When choosing an interior designer it is important to understand the services they offer, is it mainly architectural or are they more inclined towards just light decoration and furnishing?At Jenny Allan Design we offer the complete solution for our clients, our services range from full interior design of a large new build or refurbishment, incl. kitchens, bathrooms, bespoke joinery and space planning to a furnishing/ dressing service where a client just requires furniture, curtains and/or minor redecoration for a new property.
An excellent interior designer should be able to add value to a home, so when the client does eventually want to sell, the property with the best interiors will outshine the competition.With a background in property development, Jenny Allan really understands how to add value to properties, in order to future proof them while also creating beautiful, practical family homes for the client to live in.We design homes that flow, are comfortable as well as stylish and have a calming, balanced vibe.When a new buyer walks into a property they often talk about the “feel” of the home, and they can’t always put their finger on why a home “feels” right or not, however that is the skill of a great interior designer, to turn what is just a property into a home.
Jenny Allan Design is a high end, award winning London based interior design studio.Named in the World’s Leading Design Names for the last two consecutive years, Jenny Allan and her team create beautiful interiors for private client homes throughout London, the UK and Europe and can adapt to any style or specific requirements.As a boutique design studio the personal service that they offer to clients is of the highest level whilst also having the in-house capacity to take on the larger projects.
It is known for sure that perfumes existed since Biblical times — in the Bible, there are several references to the use of aromatic oils.
Although perfumes also existed in India, most of their scents were based on incense. The earliest distillation of essential oil was mentioned in the Harshacharita text, written in the seventh century A.D. in Northern India. It also describes the use of aromatic eagle tree oil.
In order to smell the beautiful fragrance of jasmine, many girls in ancient Greece put small bags of jasmine extract and goat fat in their hair. Fat soon melted in the heat and slid down on their face, neck and shoulders, giving them the smell of jasmine.
The first chemist whose name remains in history seems to have been a woman named Tapputi, a perfume maker: she was mentioned on a cuneiform tablet of the second millennium B.C. in Mesopotamia. She conducted multiple distillations of flowers, oils, and calamus with other aromatic substances.
The Persian physician and chemist Avicenna conducted the process of extracting oils from flowers by distillation, a procedure most commonly used today. He first experimented with roses. Before its discovery, liquid perfumes were mixtures of oils and crushed herbs or petals that gave off a strong smell. Rosewater was more subtle and immediately became popular. Both raw materials and distillation technologies have greatly influenced Western perfumery and science development, especially chemistry.
In Europe, the first perfume was not for people at all. They were intended for leather goods (gloves, shoes, belts, etc.). Thanks to them, they got rid of the unpleasant smell of freshly made leather.
The Hungarians were the first to produce the first modern perfumes eventually. Made from scented oils mixed with alcohol, the first modern perfumes were created in 1370 for Queen Elizabeth of Hungary and were known throughout Europe as Hungarian water.
The art of perfumery flourished during the Renaissance in Italy, and in the 16th century, Italian products and developments were exported to France by Catherine de Medici’s personal perfumer Rene Florentine. His lab was connected to her apartment by a secret passageway so that no formulas could be stolen along the way.
France quickly became a European centre of perfume and cosmetics production. The cultivation of flowers for perfumery, which began in the 14th century, has become a leading industry in the South of France.
During the Renaissance period, perfume was used primarily by wealthy people to hide their body odour since people rarely washed then. By the 18th century, aromatic plants were being grown in Grasse’s vicinity to provide raw materials for the growing perfume industry. Today, France remains the centre of perfume production and trade.
In 1608, the world’s first perfume factory was established in the Convent of Santa Maria Novella, Florence. She became so famous due to the patronage of many princes and dukes and even the Pope himself.
Classical Perfumes
Genuine perfumes consist of perfume alcohol and aromatic oils. The fragrance and price depend on quantity, combination and concentration. For example, in Chanel No. 5, 80 aromatic components are mixed. By perfume standards, this is quite a lot.
French fragrances, which are considered to be classic, are revealed according to the triad principle: this is when there is a base note, a heart note, and a top note. First, we feel the base note components, which smoothly change to the ingredients of the heart note, and then we hear the plume of the top note.
Rose oil is one of the most expensive components in the perfume business. Its cost is more than $ 5,000 per kilogram, and this value is constantly increasing. To get 1 kg of rose oil, you need to process a whole tonne of petals.
Iris is also not cheap. Its price on the market reaches $ 40,000 per kilogram.
The most expensive perfume ingredient, perhaps, is musk. For 1 kilogram of this exotic musk, you need to pay $ 60,000. Naturally, musk is used exclusively in the most expensive perfumes.
Traditionally, the price of perfume is influenced by the number of ingredients used. Accordingly, the more components in the composition, the more expensive is the perfume.
Some flowers are completely odourless, but nevertheless, they are often used in perfumery, as combining them with other components gave them exciting and memorable combinations.
To preserve the smell, retainers are used. The best aroma fixers are: oakmoss, clove, mint, cedar oil.
There is the only perfume reserve in the world, which is called the Osmoteque (https://www.osmotheque.fr/en/). It was created in 1990 in Versailles when the great idea came to Jean Kerleo, one of the perfumers of the famous perfume factory-JeanPatou. At the disposal of the Osmoteque is a massive number of fragrances from various brands — about 1800 fragrances. Plus, there are still 170 particularly unknown perfume formulas.
Luxurious Perfumes
The most expensive fragrances in the history of perfumery are Clive Christians Imperial Majesty and Joy from Patou.
Clive Christians, the creators of Imperial Majesty, estimated this fragrance’s cost at $215,000 for one bottle. For sale, the perfume was poured into exquisite bottles, which were made of crystal with a diamond on the lid and gold foil on the neck of the bottle. In total, ten people expressed their desire to become the owners of this treasure.
There is also a fashion for fragrances. Patchouli was used to protect precious shawls from insects. This is the reason that Patchouli smell was famous back then and was considered expensive and en vogue.
The most popular perfume in the world is Chanel No. 5. According to statistics, this fragrance is the best-selling in the world: every half minute someone buys a bottle of Chanel No. 5.
Features of Perfume Marketing
The price of perfumes consists of spending on creating the fragrance itself, the cost of its composition, production costs, packaging, transport costs, advertising, plus a margin. That is, the scent itself will cost about 25-30% of the total cost. The mark-up on branded fragrances is about 180-200%.
It is believed that American perfumes are ideal for business style, and French ones will perfectly complement the image for a social evening. This is due to the fact that in these countries, there are different technologies for creating perfumes. French perfumes are revealed in stages, within 5-7 hours, and perfumes from America give out the entire palette of the fragrance at once.
Alcohol-Free Perfumes – The Fancy Wave of Today
This trend is particularly strong in the East, where perfumers often use oils and traditional local aromatic waters without alcohol. Although alcohol use in the Muslim religion is prohibited, it is allowed to beadded to a perfume. This is a global trend that is also noticeable in the West.
Some fun facts about perfume
Did you know that there is a swallowable perfume? It was coined by Sharef Mansy, a Harvard biologist, and Australian perfumer Lucy McRae (https://www.lucymcrae.net/swallowable-parfum). You need to swallow a kind of aromatic capsule for this experience, and later, along with the sweat, aromatic substances will be released. Such perfumes are not available for free sale, as they need to pass some testing.
A person’s sense of smell depends on gender – women usually outperform men in sensitivity to odours and the ability to recognise them.
Few people know, but women’s perfume can be selected by the colour of their hair, there is a logical explanation for this. The skin of girls with different hair colour has different properties. For example, the skin of blonde girls is quite dry, so it holds odours much better than, for instance, redheads.
Newborn babies have almost one hundred per cent sense of smell, but it is lost by 40-50% in the first year of life.
Up to 1000 neurones can participate in recognition of certain odours.
Perfume fragrances are associated with strong emotions, memories, and a person is able to remember all his life.
At exhibitions, scents have become more often used to touch the sensory channel and evoke emotions.
One of the most pleasant smells people consider is the aroma of vanilla, some smells of citrus, cinnamon, cookies and … coloured pencils. The author of this study is Dolores Malaspina, a professor of clinical psychiatry at Columbia University in New York.
Dry skin is much better at retaining odours than wet skin. Therefore, you should not use perfume immediately after a shower.
When we inhale, we hear the smell, but when we exhale, it immediately disappears!
If you’re tempted to create a unique fragrance for yourself, your home, yacht or jet, we are here to make it happen.
In the middle of the 17th century, the fashion for coffee came from France to England, and English gentlemen got into the habit of meeting and discussing important political and economic news over a cup of coffee. Places for such appointments began to be called closed Private Clubs. Later cigars and stronger drinks were added to the options.
In 1762, the first Club appeared, which was funded by its Members. The first such institution was the Club or Bar Boodle’s, in which its founder – Mr. Boodle first starts a register its Members, obliging them to pay a fee and observe certain rules of conduct.
The familiar to us decor of Sherlock Holmes films appeared later on. Carpets, fireplaces, and upholstered chairs were needed to give an atmosphere of comfort and coziness.
A closed private Club as a cultural phenomenon arises for a fairly simple reason – the local aristocrats wanted to have a place where people of “their circle”would spend their leisure time.
The mansion of the London Club White’s, which was established in 1693, has no sign, but only an inconspicuous door and a mysterious staircase and to keep its authenticity White’s still doesn’t have an Internet website. The Club is surprisingly elegant inside and just as past times has gentlemen reading newspapers in high back leather chairs, with a tiny bar that even offers sausages from a silver platter, and a Bartender who is willing to regale visitors with stories about the members of the Club.
It is actually the Bartender who performs the most important role – to connect Members. One Member of the Club turns to him when he wants to meet another Member with whom he has not yet had the honor of being personally acquainted, and the Bartender finds the right time to arrange this meeting unobtrusively and elegantly.
Clubs Emerged founded by representatives of the intellectual elite: The Royal Society (its backbone was Engineers) and in 1824 – the Athenaeum (Scientists and Artists), which from the very beginning could boast the best library in the city. Humphrey Davy and Michael Faraday were its first Chairman and Secretary, fifty-one Nobel Laureates have been Members thus far!
The famous Brook’s club, which was opened in 1778. Its first 27 founders were very young at the time – rich and extravagant London Dandies, the average age of which did not exceed 25 years!
Becoming a Member of Brook’s became paramount for the status of any socially aware gentlemen. Being a Member of this Club meant belonging to a respected closed private Club that promoted its values and cared about the reputation of its Members. The very intention of joining the Club helped many young and hot-headed people to significantly change their behavior, because the stakes were high. Membership was an official recognition into high society for any young man.
In the first English Clubs, white and black balls were used when voting for a Candidate for membership. Members of the Club could agree with the Candidate (white ball) or refuse (black ball). The term “blackballed” (a Candidate who received a black ball) meant a lot: often, in addition to the refusal of admission to the Club, this person would also, unfortunately, lose a number of business partners, sometimes status and influence, and as a result – also his fortune!
Closed Private Clubs: current trends
In the 1980s, in the UK, the emancipation revolution brought a new wave to the Club culture. In 1985, as an” antidote “to the traditional (male) closed private Clubs in the Soho area, the” electrifying ” club The Groucho, named after Groucho Marx, appeared.
During the Club’s heyday, its Members “openly snorted cocaine,” and some liked to talk about nowadays, the exotic behavior that made the Club so spectacular disappeared. Today, membership in Groucho is a privilege of the art and media elite. The Club’s admission committee receives thousands of applications every month.
Closed private Clubs are not always similar to each other, otherwise, they would lose their exclusivity. But most support the same idea – they are difficult to get into, and . For example, the modern closed private Club protects the privacy of its Members so much that the Club does not even give an approximate indication of the cost of its membership.
For this privacy, the Club is valued by George and Amal Clooney, Mick Jagger, Leonardo DiCaprio, Prince William, and Princess Eugenie Victoria Elena of York.
To join the already mentioned and well-known London club White’s, you will need a recommendation from 35 Club Members!
People want to plunge into the atmosphere of relaxation and intellectual freedom, leaving for a while” overboard ” all the charms of the world of the era of digital social networks.
A closed private Club for its Members is not only a place closed from casual visitors, but also a place where it is difficult to get too, where the best friends and people of their circle are invited.
Malta might not come to the top of your mind when discussing famous wine destinations, but the little island has started to get attention because of its wide selection of wines for any taste and preference, and some quite unique experiences for real connoisseurs.
To dig deeper in the topic, we have met Fabien Etienne, a professional sommelier and wine consultant of international scale.
– Fabien, working with wine has been your life long journey. How did you start yours?
– I got first inspired by wine when I was 16. My uncle and aunt were in love with white wines, especially from the Alsace region. As you may know, Alsace wines tend to be little more aromatic than dry, so it was easier to taste. Later, when studying hospitality business, I took some wine lessons and got really excited by wine. So I went to Saumur wine region for a whole year to become a Sommelier. At that time my background with wine was very limited, but I absolutely loved it, and the more I was studying, the more passionate I got. I soon realised it was my true calling.
– So, what’s about the wine industry in Malta?
– Being a tiny geographical area compared to the famous wine regions, Maltese wine industry is quite remarkable. The variety of wines you are able to experience on the island is impressive. For the sake of statistics, if you were to measure the number of wines in relation to the size of the population, you would get a number out of all proportions. While for you as a wine lover, it means that Malta can satisfy all tastes and preferences.
– What is the difference between wines from Maltese wineries compared to other regions?
– All winemakers from around the world have their own personal touch and knowledge. While France has always been recognised for producing very good quality wines due to extended skills and knowledge, other countries such as Italy, Spain, Australia, California etc also produce some excellent wines.
Maltese wine tradition goes back more than 2000 years, and in my humble opinion, today is really stepping up and marking its place in the global industry by producing delicious wines. There are some of the more famous local wineries as for example Marsovin, Meridiana Estate, Delicata winery, and some small boutique wineries who are doing an excellent job like Markus Divinus, Ta’ Betta Estate, Mar Cassar, San Niklaw. Boutique wines are produced in very small quantities that, together with their quality, makes them into real gems.
– With such a wide selection of wines on the island, what would you recommend to those who are yet to discover the local Maltese treasures?
– Discovering wine is a bit like discovering new territory – you can either plan it all knowing what you like and go for something specific, or let an experienced guide take you on a journey, showing you the best spots and letting you experience something completely new. With my over 15 years of experience as a professional sommelier, I like to create unique experiences for wine lovers. Be it a food and wine pairing dinner on a rooftop terrace overlooking Valletta, or a master class analysing wines from different regions in Europe and the new world, arranged in a beautiful wine cellar or a traditional Maltese house – all boasting an exciting theme and wine selection carefully chosen for the occasion.
– That sounds exciting. As you mentioned food and wine pairing, would you give some recommendations for the typical dishes of the Maltese cuisine?
– The traditional Maltese stewed rabbit, better known as ‘Stuffat tal-Fenek’, is considered to be Malta’s national dish. It’s been around the Maltese Islands since the Knights of St John, which makes it a cultural delicacy that contributes to Malta’s rich heritage. The dish is internationally famed, popular among locals and foreigners alike and is definitely one of the top Maltese foods. To pair with it I would recommend a Valpolicella Classico from Zymé of Veneto in Italy. This wine has a medium ruby red colour, tending towards garnet with ageing. The nose is ripe with hints of cherry, morello cherry, and semi-dried plum. The palate is smooth, seductive, with an appealing sapidity and impressions of ripe fruit and spices. And if you would like to have an all-Maltese taste experience, here are two local options to pair the famous rabbit with:
Markus Divinus, Adon, Ġellewża-Syrah
A dry, medium bodied, complex red wine, showing a youthful ruby colour of red fruit with aromas of strawberry, sour cherry and plum, oak maturation of smoke, toast, sweet spices of vanilla and coconut, and a stony mineral finish. This wine has signs of leather, making it complex to change to a meaty style with age. The medium levels of acidity are in combination with the levels of tannin giving a long aftertaste buttery finish on the palate.
Ta’ Betta Wine Estates, Antonio Manoel
This opulent wine is a blend of Merlot and Cabernet Sauvignon. It shows intense hints of cassis, strawberry and other red forest-fruit as well as a touch of earthiness. The palate has a great structure and complexity, confirming the fruits aromas of the nose with undertones of chocolate and caramel. Very well balanced and with a long after taste.
– How about some inspiration for the festive season?
– During the festive season we love to gather around the table with families and friends. While it is time full of cherished traditions, including our favourite food, I like to look at the festive season as an opportunity to excite our senses with high quality food and wine. A celebration of exciting tastes gives a wonderful festive feeling that ensures that your family and friends will enjoy not just a bottle of wine, but a complete experience when combined with sweet and savoury delicacies.
If there is one wine I will never be tired of, it would be champagne. For many, champagne is kept for those special occasions, like wedding, birth of a child, or a graduation. But I find champagne so unique and complex that it can shine at any time of year and for any occasion whether to celebrate an evening with friends or to see in the New Year.
If you are not a fan of bubbles, there are many options of high quality wines to choose from, take for example Barolo from Piedmont, Amarone della Valpolicella from Veneto, well-known Château from Bordeaux, rich and complex Syrah from Rhône Valley or even some full-bodied Shiraz from Australia. A festive season is also a great opportunity to choose something you have never tried before – giving or receiving wine as a present, or opening up a special bottle to make your dinner party extra special.
No matter what wine you choose – take the time to enjoy it this festive season.
Feel like discovering the wine treasures of Malta? An exclusive experience is just one call away – let us know what you have in mind.
The year 2020. Who could have predicted the upheaval? Covid-19 struck and effected each and every person on our planet. Every element of lives has been disrupted. Each business and industry has had to take a step back and reassess their survival and livelihood.
According to JP Morgan, before Social distancing made real estate viewings more difficult, the countries with increased high end buyers activity were the South of France, Belgium, Switzerland and Germany. Luxury Lifestyle Magazine stated in October 2019 that the best luxury overseas property were in Spain, Portugal and Dubai.
But how have things changed in post Covid time?
Andrew Amoils, author of a New Report from New World Health, states that High Net Worth Individuals (HNWI) globally were 14% worse off in the first part of 2020 compared to last year. He confirms that this is predominately due to the decline in real estate value.
Knight Frank’s Prime City Index, compiled in July 2020, gives some data to support this. The index, which looked at data for 3 months in 45 of the best high-end real estate concluded that the luxury housing market had had its lowest annual growth rate in just under a decade. Luxury Real Estate prices only moved up 0.9% in the year. The slowest reported growth since 2009.
Which countries in particular have been effected the most?
Knight Frank again studied 45 countries to forecast how Covid-19 is likely to effect global prime real estate markets. They identified that 9 were in Europe, 7 in Asia, 2 in Australia, 1 in the Middle East and 1 in Africa. 20 countries saw a declinein the Q2 of 2020 were then categorised into four price bands. A breakdown of these listings can be seen in the diagram below. It concluded that none are expected to grow more than 5%.
According to the November 2020 Forbes report, which also included data from Knight Frank, the top 5% of luxury homes in the most desirable cities in the world have dropped, these included London, New York and Dublin.
London’s luxury real estate prices fell by 3.7%. Although, not all blame can put on Covid, in this case, Brexit has had its part to play and pushed the central London workers straight into the neighbouring arms of Paris for example.
Further a field, Bangkok had a dramatic fall of 5.8% and Singapore has seen the biggest decline in price in the luxury real estate with a drop of 6.1% in the last year. Leonard Tay head of research from Knight Frank claims that this is “largely due to travel restrictions during Covid, which has slightly reduced the number of foreign buyers during the period”. Dubai, had a 3.7% fall in high end property sales. The government attempted to impose new measures to counteract the leaving of expats by relaxing their residential laws, although these results are still yet to be correlated.
Where is real estate increasing?
On the flip-side, some places, are actually becoming more desirable in luxury real estate. During Covid, affluent buyers are shifting their tastesand essentially looking for outdoor space and an abundance of fresh air. After lockdown, people are running from the confinements of their prison cities and looking for property by water, near lakes and the ocean. Countries with Iush green countryside or an inviting coastline are favoured. One example of this is Auckland, New Zealand, where with its idyllic countryside lifestyle, according to Knight Frank, luxury real estate has risen by 12% (October 2019 to October 2020). This theory can be evidenced again with the 3.7% increase in Cape Town, and Vancouvers’ 3.2%.This also explains why European cities with lot of parks and green spaces are becoming increasing popular. Worldwide, Sydney, Miami, San Fransisco and Los Angeles were the most resilient in the second quarter of the year. Plus Tokyo had a rise of 8.6% and Stockholm 4.4%.
Surprisingly, the most significant incline was actually in Manila, the capital of the The Philippines, it saw the largest growth of 14%!More specifically in a new spacious development in the Batangas area, south of Manila. Its new properties have an ocean view and have increased by 20-46% (according to Leechiu Property Consultants).
But where for the future?
According to Savills Global Prime Index, compiled in July 2020, Amsterdam, Lisbon, Seoul and Moscow will see the strongest increase in price during 2020. And over the next 5 years, Lisbon and Amsterdam are expected to remain the top performers joined by Berlin, Paris, Miami and San Francisco. And surprisingly, despite Brexit, London prices expected to gain 20% (JP Morgan).
Will the housing market crash?
It is good news, investments seems strong, but will Covid-19 cause the housing market to crash in 2021? Some in the real estate industry are nervousthat there will be a repeat of the housing market crash in 2008.
Sophie Chick head of Department at Savills World research states “Looking forward, we have to remember that this in not like the 2008 financial crisis, and we are not expecting the same falls that were during this period”.
Greg McBride, Senior Vice President and Chief Financial Analyst at Bankrate also agrees “Due to the increased standards of underwriting and capitalisation, I don’t believe the pandemic will cause the same housing market crash and liquidity crisis banks experienced in 2008. Banks and institutional investors have been predicting and getting ready for a decline in real estate prices for the last few years. Although no one anticipated COVID-19 would come along to do the dirty work, most analysts anticipated a large price drop as real estate hit record high levels year-over-year”.
The National Association of Retailers (NAR) reported that in America the demand for housing has increased by 9.4% in September, a 21% increase over the year and prices have continued to rise.
Experts believe it all depends on the balance of supply and demand. With mortgage rates at an all time low, buyers are back in the market and demand is higher than supply. In order for the housing market to crash, supply needs to increase whilst demand drops.
“There will be particular markets that experience price softness as people move out of the high-cost, high-tax city centres for more budget friendly and spacious confinement’s elsewhere. But most markets will continue to be hampered by lack of supply to meet the housing demand”. McBride
To draw a conclusion, the general consensus from those in the field, is that whilst Covid 19 has impacted luxury real estate, no housing crash will occur and that Luxury Real Estate will in prominent countries continue to thrive as it always has.
