Following a year defined by complex political landscapes and shifting global economic dynamics, the luxury property market continues to demonstrate resilience and potential.
Bank of America Private Bank reports high-net-worth individuals are allocating 32% of their investment portfolios to real estate, while PWC (Price Waterhouse Coopers) predicts we are on the cusp of the next real estate cycle upturn. In other words, now is the time to begin planning.
Navigate the evolving luxury real estate market with the 2025 Luxury Outlook report, designed to offer insights to help you make informed investment decisions.
Here in the Cayman Islands the luxury market has been driven by strong demand from affluent international buyers seeking a slice of Caribbean island life.
This market segment is characterized by high-value transactions, with the average transaction value in Q1 2024 reaching a record $7,065,909 (CIREBA). Limited inventory, particularly for beachfront properties, contributes to rising prices and fuels competition among buyers. The market caters to discerning tastes, offering a range of options from opulent beachfront villas on world-famous Seven Mile Beach to secluded, sprawling estates in areas like Rum Point and Cayman Kai.
With its tax-neutral status, stable economy, and world-class amenities, the Cayman Islands continue to be a magnet for luxury real estate investment.
This report investigates the unprecedented intergenerational wealth transfer of US$84 trillion currently taking place and examines how Gen X and Millennial heirs may influence property markets and trends. There is no question that Cayman buyers include a new, higher demand from Gen X & Millennial home buyers, particularly along the Seven Mile Beach Corridor. As the trends in this report also reveal, the world’s wealthy are in motion again, with more than 135,000 high-net-worth individuals poised to migrate to new countries in 2025. We identify the locations they are moving to and what draws them there.
Here in the Cayman Islands there are many areas that appeal to the luxury investor, whether looking for their second or third home, or wanting to reside permanently on our beautiful isles. We’ve mentioned the appeal of white sand Seven Mile but as inventory is limited, buyers are gravitating to neighbourhoods that offer privacy, seclusion and waterfront views including canal front living areas like Salt Creek, Crystal Harbour and South Sound. All of these locations and many others in our market, are appealing with an abundance of property options that include resort lifestyle properties with private docks, tennis courts and oceanfront pools
Local Market Pulse
In 2025 Cayman Islands Sotheby’s International Realty is continuing to break sales records with two of the island’s most iconic luxury properties recently sold.
We invite you to explore all of the beautiful properties available on the market, in Cayman, today.
I trust that this collection of research and industry insights, exclusively curated by Sotheby’s International Realty, will guide you in making informed and strategic equity investments in the coming months.
POSTED WITH PERMISSION. COPYRIGHT SOTHEBY’S. Click to read original article.