In the realm of real estate, the cost per square meter holds immense importance. Certain cities stand out for their exceptionally high property prices, driven by factors such as soaring demand, robust economies, or prime locations. These cities present formidable challenges for those seeking to enter the housing market. Here are the top 5 cities where buying or renting properties per square meter can be particularly expensive:
Monaco, Monte Carlo:
In the real estate world, Monaco reigns as a global leader, driven by its small size and high population density. It attracts numerous multimillionaires and titled individuals. Securing residence here involves buying a home or apartment. In the city center, a square meter costs a staggering $102,700 USD, while outside, it’s still hefty at $71,900 USD per square meter. Renting a one-bedroom apartment in the city center costs $6,500 per month, and outside, it remains high at $5,500 per month.
Benefits of Buying in Monaco:
Pleasant climate, natural surroundings, robust construction market, top-tier real estate options, elite lifestyle, highest living standards, security, dependable banking system, and political stability.
Drawbacks of Buying in Monaco:
High pricing, especially during events, overcrowding during tourist peaks, and a bureaucratic paperwork process.
Hong Kong, China:
Hong Kong, known for its high cost of living, extends that high price tag to its housing market. According to Numbeo, the average cost of purchasing an apartment in Hong Kong hovers around $20,000 USD per square meter. Renting is similarly expensive, with the average one-bedroom apartment commanding approximately $4,000 USD per month. The city’s high demand for housing, coupled with limited supply, drives these steep prices.
Benefits of Buying in Hong Kong:
Low unemployment, rapid career opportunities, high salaries, favorable tax system, diverse cultural coexistence, excellent urban transportation, developed trade and entertainment, and natural beauty.
Drawbacks of Buying in Hong Kong:
High overall cost of living, city congestion, unfavorable climate conditions, including summer humidity and uncomfortable winters.
Seoul, South Korea:
South Korea, known for its advanced infrastructure and technology, offers profitable real estate investments due to steady economic growth and capital inflow. Modern high-rise residences with smart home features are highly sought after. In the city center, purchasing an apartment costs $22,350 USD per square meter, while outside the center, it’s $10,900 USD per square meter. Renting a one-bedroom apartment averages $800 per month in the city center and $550 per month outside.
Benefits of Buying in Seoul:
High safety standards, excellent business environment, well-organized public spaces, accessible transportation, quality education, vibrant social life, ecological emphasis, and well-maintained urban conditions.
Drawbacks of Buying in Seoul:
High cost of living, electronic waitlists, challenges in renting due to collateral requirements, and variable weather with frigid winters and hot, muggy summers.
Singapore:
Singapore is another city where housing costs per square meter can be notably high. The average cost of buying an apartment in Singapore is approximately $12,000 USD per square meter. Renting a one-bedroom apartment comes with a monthly price tag of around $2,500 USD. Singapore’s strong economy and status as a major financial hub contribute to the elevated cost of housing.
Benefits of Buying in Singapore:
High living standards, low taxes, excellent infrastructure, world-class education, planned urban layout, cleanliness, natural beauty, security, healthcare, and a diverse, law-abiding population.
Drawbacks of Buying in Singapore:
High overall cost of living, expensive cars, challenges in obtaining a residence permit, stringent public behavior regulations, and steep fines.
Zurich, Switzerland:
Switzerland, known for its appeal to foreign investors, offers a profitable real estate market, driven by the robust Swiss franc. However, property availability for foreigners varies, with specific sales policies in Geneva, Zurich, and Lake Geneva resorts. Swiss taxes, while generally reasonable compared to other European nations, exhibit significant cantonal variations. In Zurich, a square meter in the city center costs $17,000 USD, compared to $10,200 USD outside. Renting a one-bedroom city center apartment averages $2,000 per month, with outside rentals at $1,500 per month.
Benefits of Buying in Zurich:
Participation in immigration programs, residency options, robust banking system, high-tech economy, top-tier salaries, security, quality education, developed infrastructure, convenient public transportation, stunning natural surroundings, ecological focus, high-quality cuisine, and the stable Swiss franc.
Drawbacks of Buying in Zurich:
High cost of living, stringent rental regulations, challenges for non-EU job seekers, regulated lifestyle, and a 10-year lawful residency requirement for citizenship.