Global Buyer Nationalities and Borrowings – Enness in Monaco Life

Global buyers borrowed €3.4bn to fund luxury property purchases during the first half of 2020, according to research from Enness Global.

The research examined high-net-worth mortgage borrowing and identified the most prominent international buyer nationalities active at the top end of the property market.

Excluding UK buyers, Enness saw the highest levels of mortgage activity from American, Australian, Russian, French and Indian buyers. There was also significant demand from buyers in Italy, Germany, the UAE, China and Nigeria.

Enness recorded a 44% increase in the total value of borrowing between the first and second quarters of 2020.

High-net-worth mortgage borrowing totalled almost €1.4bn in the first quarter. Following the reopening of the property market during the second quarter, the total value borrowed increased by 44% to more than €2bn.

The increase reflected a return in activity at the top end of the market, with international buyers continuing to use mortgage finance to support high-value property purchases while preserving liquidity and maintaining broader investment positions.

Although market activity remained below pre-pandemic levels, favourable mortgage rates and the gradual reopening of property markets supported renewed confidence among high-net-worth buyers during the second quarter of the year.

International demand has remained an important component of the luxury property market, particularly among buyers seeking to finance property acquisitions without unnecessarily tying up significant amounts of capital.

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