A $15 million penthouse was snapped up hours after it went up for sale. More than 200 homes priced from nearly $5 million sold in less than a day. Apartments worth $3.8 million were five times oversubscribed.
Shanghai’s luxury real estate market is a bright spot in China’s bleak real estate sector. It is the only one of the country’s megacities that continues to attract people to invest money in an asset class that would otherwise be deserted.
This move is being driven by wealthy Chinese – many living in the Yangtze River Delta region of which Shanghai is a part – who are only parking their money in surefire investments. Recent buyers still consider luxury homes as an optimal choice, given the status of Shanghai’s financial center, the scarcity of supply of such homes and the discount that new listings offer compared to existing homes.
