NZ

PHOTO: New Zealand. SUPPLIED

Proven Partners, specialists in luxury real estate marketing, have released a “league table” ranking 20 popular destinations based on their affordability for UK second-home investors. This comes at a time when UK regions are witnessing significant hikes in property taxes for second homes.

The rankings considered factors like property prices, taxes, fine-dining costs, premium car hire rates, flight costs from the UK, and potential Airbnb revenue.

The study, underpinned by data from 3,600 luxury property listings on JamesEdition and other sources, assigned each country an “affordability score” out of 10.

New Zealand, with an affordability score of 7.4, stands out for its unique combination of natural beauty, quality of life, and luxury living.

Despite a higher average price for luxury waterfront 3-bedroom properties at NZ$ 1,289,856 (£623,119), New Zealand offers a distinct value proposition. The country’s stunning landscapes, coupled with a high quality of life, make it an attractive destination for those seeking a luxury retreat.

One of the key highlights for New Zealand is its potential for Airbnb revenue (NZ$ 814 / £393 per night) during the peak months, which, along with a moderate property tax environment, offsets the higher property and living costs. This makes New Zealand not just a luxurious destination but also a practical choice for long-term investment.

Colin Hannan, Co-CEO at Proven Partners, commented, “New Zealand’s ranking is reflective of its growing appeal in the global luxury real estate market. It offers an unparalleled blend of adventure, tranquility, and exclusivity, making it a top choice for those who seek more than just a second home.”

This study gains relevance against the backdrop of recent announcements in the UK. Regions like Pembrokeshire are imposing a 100% council tax premium on second homes, and Scotland is set to double council tax on such properties.

These measures, aimed at addressing local housing shortages, are significantly increasing the financial burden on second-home owners in the UK.

Ronan Hannan, Co-CEO at Proven Partners, added, “The luxury property market is witnessing a shift, with buyers expanding their horizons beyond traditional markets. New Zealand, known for its breathtaking landscapes and high standards of living, is becoming a favored destination for discerning investors.”

He further noted, “While the price points in New Zealand are higher compared to other destinations, the overall experience and long-term value it offers are unmatched. It’s not just about owning a property; it’s about embracing a lifestyle.”

The complete rankings, showcasing New Zealand’s position, are available for review below.

CountriesRankAffordability Score
(10 = Most Affordable)		Avg. Price of Luxury Waterfront 3-Bed PropertiesPrice/ SqftAirbnb Avg. Nightly Revenue (During Jun-Aug)Avg. Flight Ticket Price From UK (Aug)Avg. Price of Tasting Menu At Top-Rated Fine Dining RestaurantAvg. Price For Premium Car Hire Per DayProperty Tax Score (5 = Very Low Tax)
Ireland110NZ$ 939,383NZ$ 526NZ$ 662NZ$ 141NZ$ 360NZ$ 2754
Cyprus29.3NZ$ 1,050,807NZ$ 596NZ$ 797NZ$ 555NZ$ 166NZ$ 2615
Mauritius38.9NZ$ 1,116,349NZ$ 658NZ$ 580NZ$ 2,554NZ$ 130NZ$ 2115
South Africa48.7NZ$ 1,141,607NZ$ 505NZ$ 472NZ$ 3,167NZ$ 215NZ$ 1284
Croatia48.7NZ$ 1,150,705NZ$ 787NZ$ 1,110NZ$ 364NZ$ 275NZ$ 1864
Greece58.6NZ$ 1,011,021NZ$ 621NZ$ 1,377NZ$ 520NZ$ 360NZ$ 4573
Portugal68.5NZ$ 1,034,062NZ$ 629NZ$ 789NZ$ 329NZ$ 368NZ$ 2283
Turkey68.5NZ$ 1,008,796NZ$ 565NZ$ 793NZ$ 842NZ$ 213NZ$ 3463
Malta78.4NZ$ 1,144,789NZ$ 731NZ$ 631NZ$ 263NZ$ 213NZ$ 1492
UAE78.4NZ$ 1,269,221NZ$ 712NZ$ 1,592NZ$ 886NZ$ 455NZ$ 2575
Canada88.2NZ$ 1,078,046NZ$ 644NZ$ 805NZ$ 1,745NZ$ 855NZ$ 1123
Montenegro98.1NZ$ 1,315,738NZ$ 936NZ$ 772NZ$ 375NZ$ 128NZ$ 3794
Spain98.1NZ$ 1,079,366NZ$ 776NZ$ 702NZ$ 277NZ$ 371NZ$ 2533
Sweden98.1NZ$ 1,298,060NZ$ 604NZ$ 565NZ$ 296NZ$ 555NZ$ 1183
Italy107.8NZ$ 1,110,830NZ$ 646NZ$ 973NZ$ 402NZ$ 433NZ$ 2502
New Zealand117.4NZ$ 1,289,856NZ$ 851NZ$ 814NZ$ 2,426NZ$ 215NZ$ 1883
Netherlands126.7NZ$ 1,947,073NZ$ 1,083NZ$ 667NZ$ 275NZ$ 402NZ$ 1614
France136.6NZ$ 1,348,110NZ$ 1,153NZ$ 791NZ$ 176NZ$ 509NZ$ 4021
Switzerland146.5NZ$ 2,657,530NZ$ 1,691NZ$ 1,014NZ$ 172NZ$ 495NZ$ 1082
Austria156.4NZ$ 1,855,664NZ$ 1,615NZ$ 1,269NZ$ 331NZ$ 391NZ$ 2503
ENDS
About Proven Partners:

Proven Partners are specialists in luxury real estate, collaborating closely with real estate developers, offering bespoke marketing solutions and expert advisory services to ensure development projects resonate with the elite luxury market.

Sources and Methodology:

To view all sources and details of methodology, click here.

Contact

For further information on this data or for additional quotes from our team of experts, contact jelo@position.digital.

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