Luxury Property News - Indian luxury real estate developers go down-market, Cityscape Dubai attracts thousands of investors, U.S millionaires choose timeshares over mansions

Dwindling demand, rising interest rates and high inflation means many well-known Indian luxury property developers are shifting their focus down-market in major Indian property markets. “Affordable housing,” is becoming the new “luxury.”

Key real estate players like DLF, Ansal API, Omaxe, Unitech, Puravankara, Matheran Realty, Indu Projects, Shriram Properties, Jain Heights & Structures, Shapoorji Pallonji and Hiranandani Constructions are shifting their focus from luxury segment to mid-segment and affordable housing.The Financial Express

A luxury real estate auction in Florida attracted a decent crowd, with a $2 million+ home sale. Luxury property auctions are perhaps the most realistic way of kick-starting the sluggish market. The entertaining thing though, is that the organisers, Concierge auctions’ press release states:  “The program benefits both buyers and sellers, as they can participate with confidence knowing the properties will sell on Auction Day regardless of the high bid.” Yet a few sentences later, “Concierge Auctions has made the determination that it is in the best interest of the seller and registered buyers of 850 Mangrove Point Road to re-offer the property in the next Sarasota auction in December.” This must be some strange new meaning of the words “Will sell regardless,” that I was previously unaware of. Luxury real estate auction in Florida.

Investors spent hours in their cars battling for parking spaces at the Dubai Cityscape exhibition. When one considers the fact that many planned projects have recently been cancelled; a rash of arrests and scandals in the real estate sector were made following allegations that Damac were involved in selling property they did not own (amongst other allegations); recent changes in the laws regarding visas for foreign buyers meaning a residence visa is by no means a given; and the fact that several banks have admitted being heavily involved in the sub-prime mess, one comes to one of two conclusions - denial is alive and well in the UAE - Or they are paying cash.

Despite concerns triggered by the international credit crisis, traffic backed up for kilometres yesterday as drivers battled for hours to reach the Dubai International Exhibition Centre, home to Cityscape, the international property investment and development show. The National

This apparent surge of confidence is at sharp odds with other news coming from the region. The Saudi stock market fell a massive ten percent in value yesterday - the biggest single day drop in years, and the Dubai Financial market fell 14% this week alone.

Closer to home, Bloomberg is reporting an an upswing in the amount of million-dollar timeshares, and suggesting that America’s wealthy are redeeming their reward points in an effort to save money, which they feel indicates a cutback in the luxury real estate market.

Seventy-one percent of America’s wealthiest households — representing the top 10 percent of incomes — say the real estate and banking crises have hurt their sense of financial security, and 48 percent are now worried about running out of money, up 13 percentage points from April, American Express Co.’s publishing unit and Harrison Group said in a survey released Oct. 2 Bloomberg

In Vancouver, analysts at Re/Max are suggesting that the luxury property market in Victoria is showing signs of slowing down. there is some good news at the very top end of the luxury markets though. Following the recent record sales of property in France, an un-named Russian buyer has just purchased a seven-storey, 1,300 square meter apartment within walking distance of the Kremlin in Moscow for the almost-unbelievable sum of $99 million. And the most expensive apartment on Australia was sold in Sydney. Another secret buyer reputedly paid $20 million for a two-storey, 350 square meter penthouse in Potts Point - off plan.