The global luxury housing market is getting even pricier as of late — and Toronto leads the way.  

According to a recent report from global real estate agency Knight Frank, price growth for luxury homes around the world surged ahead of the mainstream market in the second quarter of 2021. 

According to Knight Frank’s Global Price Index (GPI), average prices for luxury homes rose 8.2% year-over-year between April and June, an increase from 4.6% in the first three months of 2021. The Global Price Index looks at 46 urban areas. 

Throughout the US and Canada, cities saw an average luxury market price growth of 16% in the second quarter. 

Coming as no surprise to anyone in the Greater Toronto Area (GTA), Toronto leads the global index; here, luxury home prices increased 27%. According to the data, thirteen cities saw a double-digit prime price growth. These findings are consistent with the recent Engel & Völkers 2021 Mid-Year Canadian Luxury Real Estate Market Report, which revealed that Canada’s luxury market experienced unprecedented levels of growth in the first six months of 2021.  

“The pandemic has made all of us question the ability of our present homes and amenities, [and whether we can] exist and thrive in our current properties. At the same time, [COVID-19] has made those who have thought about rightsizing be wary of any changes,” says Richard Silver of Sotheby’s International Realty Canada of the price growth in the luxury market.

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