Sweetome Hurun Global House Price Index 2020

Source:胡润百富 Author:胡润百富 IssueTime:0001-01-01

The Hurun Research Institute today, in association with Asia’s leading homestay operator Sweetome Group, released the Sweetome Hurun Global House Price Index 2020, a list of the 50 cities with the highest house price changes in the twelve months to 31 December 2020.

Istanbul property is world’s fastest growing, up 23.3% over past year, topping Sweetome Hurun Global House Price Index 2020

 

St. Petersburg, Rotterdam and Berlin led 21 European cities that made the index

 

Yinchuan in Ningxia was the fastest riser in China, up 14.2%, only Chinese city in Top 10. Seven Chinese cities, down from 27 last year, made index. Others included Tangshan, Xuzhou, Xining, Jining, Huizhou and Jinzhou.

 

House prices in Wellington, NZ, rose 15.4%, rising 41 places to 5th. Wellington is up 31% in three years

 

Cities with property prices growing by over 30% in the past three years include: Xi’an (42%), Xuzhou (38%), Hohhot (36%), Dali (34%), Kunming (33%) and Budapest (33%)

 

San Jose, up 15.2% in the past year, to 6th led 11 cities from the US

 

Luxembourg rose 6 places to 11th, up 13.6% in the year and 25% over two years

 

Seattle and Bangkok back into the index

 

Rotterdam provided the highest return on overseas property investment, up 21.2% in the past year, topping the Sweetome Hurun China HNWI Global Property ROI 2020

 

Seoul and Pattaya only 2 cities in Asia to make the Hurun Global Property ROI

 

London most popular overseas investment destination for Chinese high net worth individuals for second year, followed by Sydney, Los Angeles and Seattle

 

 

Hurun Research Institute releases Sweetome Hurun Global House Price Index 2020 and Sweetome Hurun China HNWI Global Property ROI 2020

(25 February 2021, Shanghai, China) The Hurun Research Institute today, in association with Asia’s leading homestay operator Sweetome Group, released the Sweetome Hurun Global House Price Index 2020, a list of the 50 cities with the highest house price changes in the twelve months to 31 December 2020.  Today we also released the Sweetome Hurun China HNWI Global Property ROI 2020, a list of the cities that have provided the best returns on property investments for Chinese investors, taking into account the annual house price change, rental yields and exchange rate difference over the 12-month period ending 31 December 2020. This is the eighth time that Hurun Research Institute released the Global House Price Index & China HNWI Global Property ROI.

 

Of the Top 50 cities with the highest house price increases in the world over the past year, 30 of them rose more than 10%, 4 more than last year. The cut-off to make the list was a 7% rise.

 

Despite global property prices rising, the return on investment from overseas property for investors from China was not as good as last year, largely due to the appreciation of the Chinese yuan. Among the Top 50 cities with the highest return on investment, only 3 returned more than 20%, 2 less than last year. The highest rate of return was 21.8%, compared with 31.1% last year.

 

Rupert Hoogewerf, Chairman and Chief Researcher of Hurun Report said: “House prices have risen, mainly on the back of the world’s central banks printing a huge amount of money to keep the financial system functioning and help the economy cope with the fall-out from Covid-19.”

 

“Istanbul may have seen the fastest growth in housing prices, but at the expense of a sharp drop in the value of the Turkish Lira.”

 

“Government policies in China have managed to slow down the growth of property prices, with only seven Chinese cities making the Top 50 cities with the fastest property price increases, compared with 27 last year.”

 

“I am delighted to publish the Hurun Global House Price Index with Asia’s leading homestay operator Sweetome Group again. I hope this index will help more people choose which cities to buy houses in, especially from an investment return perspective.”

 

“In a year dominated by Covid-19, residential property is the investment of choice for China’s high net worth individuals, with 15% of respondents to a recent Hurun survey saying they were looking to increase their investment in residential.”

 

“China's economy has outperformed the rest of the world in the past year. The number of wealthy households in China with the equivalent of US$1 million of assets exceeded 5 million households for the first time, according to the FOTILE·Hurun Wealth Report 2020. 47% of respondents believed that domestic real estate prices will increase steadily.”

 

Justin Luo Jun, Co-founder of Tujia and Sweetome Group, said: “Despite Covid-19, global housing prices have increased. Sweetome recommends to investors to focus on the long-term and stable rental returns of the real estate industry, no matter whether domestic or international property. This is the fifth consecutive time that Sweetome Group and Hurun Research Institute jointly released the Sweetome Hurun Global House Price Index and the Sweetome Hurun China HNWI Global Property ROI. Sweetome operates and manages more than 60,000 houses in more than 280 destinations worldwide. We have an international-level solution for real estate value-added and income-increasing, which helps owners share the fragmented time of unused houses, obtain continuous rental income, and maintain and add value to assets.”

 

This is a brief English language summary of the full Chinese press release which can be found at www.hurun.net. For media enquiries please contact our public relations team whose contact details can be found at the end of this report.

 

 

Sweetome Hurun Global House Price Index 2020

 

Istanbul’s house prices rose fastest in the world, up 23.3% in the past year, followed by Canada's Ottawa-Gatineau region and Halifax, up 18.7% and 16.3%.

 

The Top 50 cities were from 19 countries, led by the US with 11, followed by China, with 7. Canada and Germany ranked 3rd, with 5 each. France ranked 5th, with 4. Sweden, Thailand, the Netherlands and New Zealand each have 2. The UK, South Korea, Russia, Turkey, Austria, Slovakia, Poland, Bulgaria, Luxembourg and Croatia each have 1.

 

Asia has 11 cities on the list. There were 7 China cities on the list: Yinchuan, Tangshan, Xuzhou, Xining, Jining, Huizhou and Jinzhou. Yinchuan is the only Chinese city in the Top 10 this year. Dali, Xi'an, Hohhot, Guiyang, Shijiazhuang and Kunming, which entered the Top 10 last year, did not make the Top 50 this year.

 

A total of 21 European cities on the list, with Germany, France, Sweden and the Netherlands among the countries where prices rose faster last year. St Petersburg continued to outperform, with the fourth-highest price increase in the world, up 3 places on the same period last year. New to the Top 10 is Rotterdam, ranked 8th. Budapest, which was topped the list last year, dropped out of the Top 50.

 

North America has 16 cities on the list. The US has 6 cities on the list this year, with the highest-ranked city, San Jose, ranked 6th. 5 Canadian cities made the list, 4 of them in the Top 10, with the Ottawa-Gatineau region ranked 2nd, Halifax ranked 3rd, Hamilton ranked 7th and Montreal ranked 8th.

 

 

The Oceania region has two cities on the list and one in the Top 10, Wellington.

 

Table: Sweetome Hurun Global House Price Index 2020

Rank

Rank Change

City

2020

% Growth of house prices in 12mths to 31 Dec 2020

2019

% Growth of house prices in 12mths to 31 Dec 2019

Country

1

NEW

Istanbul

23.3%

/

Turkey

2

↑43

Ottawa-Gatineau

18.7%

7.4%

Canada

3

NEW

Halifax

16.3%

/

Canada

4

↑3

St. Petersburg

16.2%

14.2%

Russia

5

↑41

Wellington

15.4%

7.3%

New Zealand

6

NEW

San Jose

15.2%

-8.1%

US

7

NEW

Hamilton

14.7%

4.3%

Canada

8

NEW

Rotterdam

14.5%

/

Netherlands

8

NEW

Montreal

14.5%

6.4%

Canada

10

NEW

Yinchuan

14.2%

9.0%

China

11

↑6

Luxembourg

13.6%

11.3%

Luxembourg

11

NEW

Seoul

13.6%

/

Korea

13

NEW

Pattaya

13.1%

/

Thailand

14

NEW

Hanover

13.0%

4.0%

Germany

15

↓5

Warsaw

12.9%

13.1%

Poland

16

↑19

Utrecht

12.3%

8.5%

Netherlands

17

↑1

Lyon

11.5%

11.2%

France

18

NEW

Tangshan

11.2%

12.8%

China

18

NEW

Berlin

11.2%

4.9%

Germany

20

NEW

Sacramento

11.0%

5.2%

US

20

NEW

Malmo

11.0%

/

Sweden

22

NEW

Seattle

10.9%

-2.3%

US

22

NEW

Tampa

10.9%

3.9%

US

22

NEW

San Diego

10.9%

2.4%

US

25

↑14

Hamburg

10.6%

7.9%

Germany

26

NEW

Toronto

10.3%

7.3%

Canada

27

NEW

Lille

10.3%

/

France

28

NEW

Los Angeles

10.1%

2.0%

US

29

NEW

Xuzhou

10.0%

15.9%

China

29

NEW

Stockholm

10.0%

2.0%

Sweden

31

↓8

Bratislava

9.9%

10.2%

Slovakia

32

NEW

Auckland

9.1%

-1.2%

New Zealand

32

NEW

Xining

9.1%

12.3%

China

34

NEW

Frankfurt

8.9%

5.9%

Germany

35

NEW

Bordeaux

8.8%

1.1%

France

35

NEW

Bangkok

8.8%

4.6%

Thailand

37

↓31

Zagreb

8.7%

14.5%

Croatia

38

NEW

Nashville

8.6%

3.6%

US

38

NEW

Sofia

8.6%

5.9%

Bulgaria

40

NEW

Portland

8.5%

0.6%

US

41

NEW

Phoenix

8.3%

6.7%

US

42

NEW

Jining

8.3%

13.0%

China

43

-

Vienna

7.7%

7.6%

Austria

44

NEW

Marseille

7.6%

/

France

44

NEW

Huizhou

7.6%

3.3%

China

46

NEW

Jinzhou

7.5%

12.0%

China

47

NEW

Manchester

7.4%

4.7%

UK

48

NEW

Las Vegas

7.2%

1.1%

US

49

NEW

Orlando

7.1%

3.2%

US

50

NEW

Stuttgart

7.0%

4.8%

Germany

Source: Hurun Research Institute

 

Sweetome Hurun China HNWI Global Property ROI 2020

 

Hurun China HNWI Global Property ROI is the sum of the annual increase in house prices, the net rental yield and the increase in the local currency against the CNY. For example, the annual increase in housing prices in Rotterdam is 14.5%, the rental yield is 4.6%, the exchange rate change rate is 2.1%, and the three items add up to an investment return of 21.2% for an investor from China.

 

Rotterdam has become the city with the highest return on overseas investment, followed by Malmo and Ottawa-Gatineau.

 

The Top 50 cities with the highest return on investment come from 24 countries, of which the US and Germany led by 6 cities each; followed by France, Australia and Canada each had 5; The Netherlands has 3; Sweden and New Zealand have 2 each; The UK, Italy, Poland, Denmark, Austria, Belgium, Luxembourg, Croatia, Malta, Bulgaria, Greece, Slovakia, Estonia, South Korea, Turkey and Thailand each have 1.

 

There are 30 European cities on the list, 16 of which new to the list. Rotterdam, new to the list, jumped to the top of the list with a return of 21.2% over the past year. Sweden's Malmo ranked 2nd and Stockholm ranked 5th, with the Swedish krona rising 6.7% against the RMB over the past year, even as the CNY strengthened. In addition, Utrecht, Luxembourg, Hannover and Lyon have all entered the Top 10. Hoogewerf said: "In the past year, European countries have higher rates of return on property investment, mainly due to rising housing prices and appreciation of the Euro against the Chinese yuan."

 

North America has 12 cities on the list, with 4 new to the list. Canada performed better on average than the United States. The Ottawa-Gatineau region ranked 3rd, up 2 places from last year. Halifax entered the Top 10. The best performing city in the United States is San Jose, ranked 21st.

 

 

6 cities from the Oceania region made the list, including 4 from Australia and 2 from New Zealand. Wellington entered the Top 10, ranked 4th, up 25 places from last year.

 

Table: Sweetome Hurun China HNWI Global Property ROI 2020

Rank

Rank Change

City

Global Property ROI (A+B+C)

A: Growth rate of house price (YOY)

B: Rental Yield (YOY)

C: Local currency against the Chinese Yuan (YOY)

Country

1

NEW

Rotterdam

21.2%

14.5%

4.6%

2.1%

Netherlands

2

NEW

Malmo

21.1%

11.0%

3.5%

6.7%

Sweden

3

↑2

Ottawa-Gatineau

20.3%

18.7%

6.0%

-4.4%

Canada

4

↑25

Wellington

19.2%

15.4%

3.6%

0.2%

New Zealand

5

NEW

Stockholm

18.8%

10.0%

2.2%

6.7%

Sweden

6

↑26

Utrecht

18.3%

12.3%

3.9%

2.1%

Netherlands

6

↑17

Luxembourg

18.3%

13.6%

2.6%

2.1%

Luxembourg

8

NEW

Hanover

17.5%

13.0%

2.4%

2.1%

Germany

9

NEW

Halifax

16.8%

16.3%

4.8%

-4.4%

Canada

10

↑16

Lyon

16.3%

11.5%

2.7%

2.1%

France

11

NEW

Lille

15.8%

10.3%

3.4%

2.1%

France

12

NEW

Berlin

15.5%

11.2%

2.2%

2.1%

Germany

13

↑36

Hamburg

15.2%

10.6%

2.5%

2.1%

Germany

14

↑32

Sofia

14.9%

8.6%

3.9%

2.4%

Bulgaria

15

↑15

Bratislava

14.7%

9.9%

2.8%

2.1%

Slovakia

16

↓6

Hamilton

14.5%

14.7%

4.2%

-4.4%

Canada

16

NEW

Seoul

14.5%

13.6%

0.9%

0.0%

Korea

18

NEW

Frankfurt

13.9%

8.9%

3.0%

2.1%

Germany

19

NEW

Bordeaux

13.8%

8.8%

2.9%

2.1%

France

20

↓10

Montreal

13.7%

14.5%

3.7%

-4.4%

Canada

21

NEW

San Jose

13.4%

15.2%

4.5%

-6.3%

US

22

NEW

Marseille

12.8%

7.6%

3.2%

2.1%

France

23

NEW

Copenhagen

12.6%

6.5%

3.6%

2.4%

Denmark

24

↓11

Zagreb

12.5%

8.7%

2.7%

1.1%

Croatia

25

↓13

Warsaw

11.9%

12.9%

3.4%

-4.4%

Poland

25

↑24

Vienna

11.9%

7.7%

2.1%

2.1%

Austria

27

NEW

Amsterdam

11.8%

6.4%

3.4%

2.1%

Netherlands

27

↑16

Milan

11.8%

6.7%

3.0%

2.1%

Italy

27

NEW

Stuttgart

11.8%

7.0%

2.7%

2.1%

Germany

30

↑10

Nashville

11.7%

8.6%

9.4%

-6.3%

US

30

↑11

Tallinn

11.7%

6.6%

3.1%

2.1%

Estonia

30

NEW

Auckland

11.7%

9.1%

2.5%

0.2%

New Zealand

33

NEW

Canberra

11.4%

5.0%

3.6%

2.8%

Australia

34

↑8

Thessaloniki

11.3%

4.7%

4.6%

2.1%

Greece

35

NEW

Brussels

11.0%

4.7%

4.2%

2.1%

Belgium

36

NEW

Paris

10.8%

6.9%

1.9%

2.1%

France

37

NEW

Sydney

10.7%

5.4%

2.5%

2.8%

Australia

38

NEW

Melbourne

10.6%

4.7%

3.1%

2.8%

Australia

39

↓6

Tampa

10.5%

10.9%

5.9%

-6.3%

US

40

↓32

Pattaya

10.2%

13.1%

4.2%

-7.0%

Thailand

41

↓17

Manchester

9.4%

7.4%

5.5%

-3.4%

UK

41

NEW

Munich

9.4%

6.3%

1.1%

2.1%

Germany

43

↓21

Phoenix

9.3%

8.3%

7.3%

-6.3%

US

43

NEW

Valletta

9.3%

3.4%

3.8%

2.1%

Malta

45

↓12

Sacramento

9.2%

11.0%

4.5%

-6.3%

US

45

NEW

Brisbane

9.2%

3.1%

3.3%

2.8%

Australia

47

↓27

Toronto

9.1%

10.3%

3.2%

-4.4%

Canada

48

NEW

Las Vegas

8.5%

7.2%

7.6%

-6.3%

US

48

NEW

San Diego

8.5%

10.9%

3.9%

-6.3%

US

48

↓31

Athens

8.5%

3.2%

3.3%

2.1%

Greece

Source: Hurun Research Institute

 

 

The Top 10 cities for rental yields in the year to 31 December 2020

 

Bali has seen house prices fall 25% in the past year while rental yields rise 9%.

 

 

City

Rental Yield (YOY)

Country

1

Nashville

9.4%

US

2

Bali

9.0%

Indonesia

3

Las Vegas

7.6%

US

4

Phoenix

7.3%

US

5

Houston

7.2%

US

6

Dallas

6.6%

US

6

Chicago

6.6%

US

8

Orlando

6.1%

US

9

Hokkaido

6.0%

Japan

9

Ottawa-Gatineau

6.0%

Canada

Source: Hurun Research Institute

 

Related research

 

Residential is still the top investment choice to increase in the next three years, but overseas investment is not expected

Residential remains the most important future investment destination for HNWI individuals, with 15% of respondents choosing to increase their residential investment in the next three years, down 8% from last year. And 47% of respondents think domestic property prices will grow steadily in the next two years, up 3% from last year. While, the proportion of future overseas investments fell sharply, ranked first among the investments to be reduced over the next three years. (according to Hurun China Luxury Consumer Survey 2021)

 

Preferred Destinations for Overseas Property Purchases

London has become the most popular overseas investment destination for Chinese high-net-worth individuals for two consecutive years, followed by Sydney, Los Angeles and Seattle. 

 

Preferred Destinations for Overseas Property Purchases

Proportion 

1

London

38.5%

2

Sydney

33.3%

3

Los Angeles

26.2%

4

Seattle

25.6%

5

Tokyo

20.0%

5

Singapore

20.0%

7

Hong Kong

19.2%

8

New York

13.0%

9

Vancouver

12.8%

10

Boston

12.5%

11

Toronto

12.2%

12

San Francisco

7.7%

Source: Hurun China Luxury Consumer Survey 2021

The most popular tourist destinations

Japan, Switzerland, Maldives, and France continue to rank in the Top 4 most popular international tourist destinations for high-net-worth individuals. Among them, Japan continued to be the most popular international tourist destination, but the proportion dropped by 3%. Switzerland ranked second, with the proportion rising by 10%. Among them, women favor Switzerland significantly higher than men, reaching 47%, and men are 29%. In addition, people under the age of 30 favor Switzerland significantly higher than other age groups, with a proportion of 45%. The Maldives still maintains a stable attractiveness to high-net-worth individuals, ranked third. But in the female group, France surpassed Maldives in third.

 

 

Sanya, Yunnan, Tibet, and Xinjiang continue to rank in the Top 4 domestic tourist destinations most favored by high-net-worth individuals. Among them, Sanya has led the most popular domestic tourist destination for nine consecutive years. The proportion of Sichuan rose rapidly, from tenth to fifth.

 

International Tourist Destination

% (change) 

 

 

Domestic Tourist Destinations

% (change) 

1 -

Japan

50%-3%

 

1 -

Sanya

49%+5%

2 -

Switzerland

39%+10%

 

2 -

Yunnan

37%+5%

3 -

Maldives

31%+5%

 

3 -

Tibet

29%+0%

4 -

France

30%+6%

 

4 -

Xinjiang

22%+1%

5 ↑

Australia

23%+4%

 

5 ↑

Sichuan

20%+8%

6 ↑

United Kingdom

22%+6%

 

6 -

Hong Kong

19%+3%

7 ↑

Hawaii

21%+6%

 

7 ↑

Macao

18%+7%

8 ↓

Italy

20%+0%

 

8 ↓

Taiwan

17%+0%

8 ↓

US

20%-2%

 

9 ↓

Changbai Mountain

16%+4%

10 ↓

New Zealand

18%-1%

 

10 ↓

Hangzhou

15%+1%

11 ↑

Thailand

16%+3%

 

11 ↓

Xiamen

14%-1%

11 -

Dubai

16%+2%

 

12 ↓

Chongqing

13%+2%

13 ↓

Singapore

12%-2%

 

13 -

Shanghai

10%+0%

14 -

Germany

11%-1%

 

14 ↓

Qingdao

9%+0%

15 -

Canada

10%+1%

 

15 ↓

Beijing

6%-2%

Source: Hurun China Luxury Consumer Survey 2021

↑ Rank increase yoy  ↓ Rank decrease yoy  - No Rank change yoy  * New

The most popular destination for studying abroad

The United Kingdom (46%) surpassed the United States for the first time as the most popular study destination for high-net-worth individuals. The proportion of the United States dropped from 54% to 43%, dropping to second place. Switzerland and Germany replaced Australia and Canada last year, ranked third and fourth (according to Hurun China Luxury Consumer Survey 2021).

 

 

Methodology

 

Sweetome Hurun Global House Price Index 2020 surveyed 179 cities that are favored by China's high net worth individuals, made up of 70 cities from mainland China (first- and second-tier cities and some popular tourist cities such as Sanya) and 109 cities outside mainland China, which are popular with China's high-net-worth individuals. Of the 109 overseas cities, 51 are European capitals and major cities, including 8 from the UK, 6 from Germany and 6 from France; 23 in the US; 7 in Canada; 19 in Asia; 5 in Australia; 2 in New Zealand; 1 in Africa and 1 in South America.

 

* The information in this article is for reference only, investors operate on the basis of risk.

 

 

About Sweetome Group

 

As the world's leading sharing accommodation operation and management group, Sweetome is committed to providing a maintenance and profit model for high-quality, chain-orientation idle assets including apartments, villas, and stylish homestays. Sweetome was derived from China’s largest “Unicorn” vacation rental booking platform Tujia which was founded in 2011.

 

Currently, Sweetome manages over 60,000 vacation rental houses in 280 domestic destinations, with well-known accommodation brands such as Sweetome Service Apartment, Hi-Villa, City-home. By providing rich, personalized travel accommodation experience, Sweetome aims to share warmness and loveliness of time and space with every customer.

 

Meanwhile, Sweetome provides house owners with standard in-house maintenance service and promising earnings. Sweetome has reached strategic cooperation with over 200 domestic government agencies and most of the TOP100 real estate developers to exploring over 1 million manageable properties. Since 2018, Sweetome has speeded up its oversea expansion to Australia, Canada, Cambodia, the United States, Greece and Thailand.

 

 

About Hurun Inc.

Promoting Entrepreneurship Through Lists and Research

Oxford, Shanghai, Mumbai, Sydney

 

Established in the UK in 1999, Hurun is a research, media and investments group, which generated 8 billion views on the Hurun brand in 2020, up 50% year on year, on the back of providing lists and research reports.

 

Best-known today for the Hurun Rich List series, ranking the most successful entrepreneurs in China, India and the world, Hurun’s other key properties include the Hurun 500, a ranking of the world’s most valuable companies, and the Hurun Unicorn Index, a comprehensive listing of the world’s start-ups worth US$1bn or more.

 

Hurun provides research reports co-branded with some of the world’s leading financial institutions, real estate developers and regional governments.

 

Hurun hosted high-profile events in the last year across China and India, as well as London, Paris, New York, LA, Toronto, Vancouver, Sydney, Luxembourg, Istanbul, Dubai and Singapore.

 

For further information, see www.hurun.net.

 

For media inquiries, please contact:

Hurun Report

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