Approximately 32% of India’s high-net-worth individuals (HNl’s) allocate a significant portion of their wealth to residential real estate, with about 14% invested overseas. Knight Frank’s The Wealth Report 2024 indicates that around 12% of Indian HNI’s are planning to purchase a new home in 2024, mirroring a similar percentage from the previous year.

Globally, 22% of ultra-wealthy individuals are expected to buy a home in 2024. The report also notes that, on average, Indian HNI’s own 2.57 homes, with a notable 28% renting out their second properties in 2023. By 2028, the number of HNI’s in India is projected to increase to 19,908, representing a 50.1% growth from 2023. Additionally, 90% of Indian HNI’s anticipate a rise in their wealth in 2024, with 63% expecting a significant increase of over 10%.

Globally, the number of HNI’s is forecasted to surge by 28.1% to 802,891 by 2028.

The report highlights that 11% of global HNI’s are women, showing a notable increase from less than a decade ago. Younger affluent demographics exhibit more confidence in the economic outlook compared to older groups, with Gen Z individuals particularly optimistic about wealth growth. However, there is a disparity in confidence levels between male and female HNI’s, with male millennials expressing more confidence than their female counterparts, while the reverse is true for Gen Z individuals.

Turkey leads the annual rankings with a 9.7% year-on-year increase in HNI’s members, followed by the US, India, South Korea, and Switzerland. Regionally, North America, the Middle East, and Africa experience significant growth, while Latin America sees a decline in the population of wealthy individuals.

Shishir Baijal, Chairman and Managing Director of Knight Frank India, emphasizes India’s remarkable surge in HNI’s population, indicating thriving prosperity and opportunities. Liam Bailey, global head of research at Knight Frank, raises questions about the future growth of wealth and talent mobility, particularly focusing on high-growth markets versus regions like Europe, Australasia, and North America.

In terms of luxury investments, art emerges as the best performing asset class, while watches are the preferred investment among indian HNI’s followed by art and classic cars. Globally, art remains the preferred luxury investment, followed by watches and classic cars.

The growing community of affluent individuals holds a positive outlook on real estate, with nearly 20% of HNIs intending to venture into commercial property investments this year. Additionally, over 20% are considering purchasing residential properties.

Contact Urban Plus for the best deals in Gurugram Real Estate.

Source : Hindustan Times