Luxury Rents Around the World Rose Faster Than Sales Prices 2023

Luxury residential rents remained strong globally in 2023, outperforming capital values in 28 of the 30 cities tracked in the Savills World Cities Index, according to a report from the British real estate company on Wednesday. On average, luxury rents increased by 5.1% last year, compared to the average home price growth of 2.2%. “In the face of economic uncertainty, the prime residential rental market proved resilient in 2023,” said Kelcie Sellers, associate at Savills World Research.

“Continuing a trend from the past year, prime rental value growth outpaced capital values, largely driven by a lack of stock in global prime markets and increased levels of demand from individuals and families who would look to purchase a property, but are holding off until the economic and interest rate situations stabilise.”

Lisbon was by far the leader in rental growth, with luxury rents increasing by an average of 39% over the year and by 22% in just the second half of 2023, according to the report.

“Lisbon has seen an influx of people moving to the city, attracted to its climate, the quality of life on offer and strong business environment. But some have been more reluctant to enter the purchase market in Lisbon due to rising house prices and increasing interest rates,” Sellers said. “While the supply of houses in the rental market has not kept pace with demand, leading to a rise in rental prices throughout Portugal, it remains comparatively priced compared to other rental markets in Europe and will likely continue to attract new renters and investors over the coming year.”

Singapore led the Asia-Pacific region, with its rental growth at 12.3%, though that was down from 32.3% in 2022. Hong Kong also saw luxury rents increase, jumping by 5.9%, as high deposit requirements, increased interest rates and an influx of buyers from Mainland China drove would-be buyers to the rental market, according to Savills.

As for the year ahead, a slight increase in luxury rents is expected across the 30 global cities, though the price growth may be less than usual.

“Looking at the year ahead, prime rental prices are forecast to record a slight increase for the 30 cities covered in the World Cities index, as would-be prime buyers continue to turn to rental markets, but this growth will likely remain below the historic average,” Sellers said. Savills predicts that Amsterdam will lead this year’s rental growth index, with a forecasted increase of 6% to 7.9%, as the city has seen a spike in demand in tandem with limited supply and increased regulations on the private rented sector.

Award-winning landscape designer and television host Jamie Durie has completed building his eco-friendly dream home on Sydney’s northern beaches.

Over a three-year journey, Durie and his partner Ameka Jane created what they call “Growing Home,” designed to prove that sustainability doesn’t have to mean sacrificing comfort or style.

The five-level residence includes five bedrooms, a gym, an office, landscaped gardens and an infinity swimming pool.

“The house is full of eco-innovation like our state-of-the-art geothermal heating and cooling system, this combined with our Solar system gives us the ability to be ‘grid independent’,” Durie said.

“Every element in this house has been engineered to serve a purpose – whether it’s saving energy, providing healthier air, or a greater connection to nature, the house was designed to be healthy for our family and the environment.”

Set on a steep 37-degree slope surrounded by native spotted gums, the home’s design responds closely to its environment.

“Building on a site like this means every decision has to respect the landscape,” Durie said. “It’s not just about fitting the house onto the land, but making sure the land feels part of the home.”

Large windows and open-plan spaces encourage airflow and blur the boundary between indoors and outdoors.

“We wanted the house to feel connected to the landscape through natural materials, textures, and light,” he added. “It’s about creating a calm, grounded space where we can grow as a family.”

Durie chose Bradford Gold High Performance insulation to help maintain stable temperatures, reducing reliance on artificial heating and cooling.

“Every detail in the home needed to elevate our quality of life and respect the environment,” he said. “With Bradford’s products, we’re able to create spaces that are peaceful, energy-efficient, and functional without sacrificing style.”

Other features include Luxaflex Duette Shades, crafted from 95% recycled materials, designed to regulate temperature while adding comfort and privacy.

“It’s not just about insulation,” Durie explained, “but about creating spaces that feel cosy and considered, no matter the time of year.”

Curved interior walls made possible with Gyprock Flexible add flow between spaces, while high-density Gyprock was used to reduce sound transmission.

“It’s all about layering softness and light,” Durie said of the use of Luxaflex® sheer curtains throughout the home. “The sheers run like waves along the track, wrapping the room in a way that feels both open and intimate.”

Outdoor living was another focus, with a patio leading to the pool and shaded by motorised Luxaflex Nordic Folding Arm Awnings.

“We knew we’d be spending a lot of time outside,” Durie said, “so it was important to have a solution that could handle Australia’s unpredictable weather.”

Durie describes the project as more than just a build, but an example of sustainable design in action.

“This project is about showing that sustainable design isn’t just possible – it’s beautiful,” he said.

“It’s about how thoughtful design and innovative products can make a house not just a home, but a legacy. Building smarter, creating homes that feel good to live in, and respecting the environment along the way.”

Luxury Rents Around the World Rose Faster Than Sales Prices 2023

Award-winning landscape designer Jamie Durie has completed “Growing Home,” an eco-focused residence that balances sustainability, comfort and style.