Switch to the dark mode that's kinder on your eyes at night time.

Switch to the light mode that's kinder on your eyes at day time.

Menu

Menu

RCG GLOBAL REAL ESTATE INDEX 2021

The RCG Global Real Estate Index ranks the property markets in more than 180 world cities. The index factors in market stability, market strength, affordability, and taxation affecting each city’s real estate market. In the index, you will find important information such as the average rental and purchase prices of a 100-square-meter residential property and all the property taxes. It’s important to understand that the average price is different from the median price. As such, certain property markets can experience large price differences from one neighborhood to another. This is typically true in countries experiencing high inequality. As such, these prices might not reflect the actual cost of renting or purchasing experienced by HNWI and their family.

The RCG global real estate index covers all major housing markets across the globe, making it easy for you to track real estate. Our global real estate price index that tracks the price movements of the most expensive residential properties around the world.

METHODOLOGY

All the data were collected in December 2020. 

Price-to-Income Ratio is the basic measure for housing affordability. It is calculated as the ratio of median apartment prices to median familial disposable income, expressed as years of income (although variations are used elsewhere). The lower the ratio is, the better. Our formula assumes net disposable family income is 1.5 times the average net salary (50% is the assumed percentage of women in the workforce) and a median apartment size of 90 square meters. The price per square meter is the average price per square meter of homes in the city center and outside the city center.

Mortgage as Percentage of Income is the monthly mortgage cost relative to average net income. Average monthly salary is used to estimate net income. It assumes a 20-year mortgage on a house (or apartment) of 90 square meters. The price per square meter is the average of housing prices in the city center and outside the city center.

Gross Rental Yield is the total yearly gross rent divided by the house price (expressed as a percentage). The higher it is, the better.

Rent 110m2 is the average monthly rent of a three-bedroom 110m2 apartment in the city center.

Buy 110m2 is the average price per square meter of an apartment in the city centre.

 

Tax information was collected in January 2021, mostly from each municipality’s website.

Property Tax Residential is the annual tax payable to the municipality on a residential property. It will usually exclude the cost of water and electricity but generally include waste management. Some municipalities don’t directly levy property tax but instead may levy an income tax or a wealth tax on assets. The tax is based on a 110m2 residential property.

Property Tax Commercial is the annual tax payable to the municipality on a commercial property. (In this case, we used office space.) This tax will usually exclude water & electricity consumption but generally include waste management. Some municipalities don’t directly levy property tax but instead may levy an income tax or a wealth tax on assets. The tax is based on a 50m2 residential property or 1m USD market price.

Transfer Tax Residential Property, also referred to as Stamp Duty, is the fee levied on the transfer of a residential property. In this case, the home is inhabited as the principal residence and is transferred after 5 years of ownership. The % amount includes both the buyer and seller fees. Fees can be paid in numerous forms such as a tax, stamp duty, and registration fees. The amount excludes notary fees, agent fees, and documents fees. The estimated tax is based on the price of a 110m2 residential property.

Transfer Tax Commercial Property, also referred to as Stamp Duty, is the fee levied on the transfer of a commercial property. We assume that the office space and is transferred after 5 years of ownership. The % amount includes both the buyer and seller fees. Fees can be paid in numerous forms such as a tax, stamp duty, and registration fees. The amount excludes notary fees, agent fees, and document fees. The estimated tax is based on the price of a 50m2 office space property or 1m USD in value.

Rental Income Tax on Residential Property is the tax payable on the annual income earned from leasing a residential property as an individual. The amount does not include a deductible. Entries labelled with “Income tax” means the tax is based on your income tax bracket (refer to our Taxation Index).

Rental Income Tax on Commercial Property is the tax payable on the annual income earned from leasing a commercial property as an individual. The amount generally does not include a deductible. Entries labelled with “Income tax” are based on your income tax bracket (refer to our Taxation Index).

Capital Gain Tax on Main Residence is the tax payable on the gain made from the sale of one’s main residence after 5 years of holding. It’s the sale price minus the original purchase price but does not include other deductibles.

Source

The information related to real estate (excluding tax) was taken from Numbeo.com. https://www.numbeo.com/property-investment/

Tax information was taken from municipal websites, or in some cases from http://www.doingbusiness.org/rankings

Back to Top

Log In

Forgot password?

Forgot password?

Enter your account data and we will send you a link to reset your password.

Your password reset link appears to be invalid or expired.

Log in

Privacy Policy

To use social login you have to agree with the storage and handling of your data by this website. %privacy_policy%

Add to Collection

No Collections

Here you'll find all collections you've created before.