Emerging Markets: Four to Watch in 2024

Key Takeaways

• Christie’s International Real Estate has identified four global real estate markets to watch, from the “next Dubai” to an ancient archipelago in the Mediterranean.

• These emerging markets beckon luxury investors with minimal taxes, low-threshold residency-by-investment programs, and highly desirable locations.

• Large development projects are helping to meet demand in several locations.

From the small island nation of Malta to the “next Dubai,” Christie’s International Real Estate has identified several markets around the world that stand out as top prospects for real estate investment in 2024. Here, we look at four global property markets to watch.

Ras Al Khaimah City/Al Marjan Island, United Arab Emirates (UAE)

Located on the Gulf of Arabia, a 45-minute drive from Jebel Jais, the UAE’s highest peak, Ras Al Khaimah City is growing at a rate that is drawing comparisons to Dubai, its neighbor to the south. According to Dinesh Chhatwani, managing partner of Christie’s International Real Estate Ras Al Khaimah, the rapidly developing city offers ease of foreign ownership, ample opportunities for expansion and a level of luxury on par with the City of Gold, but with lower prices. “By 2027, Ras Al Khaimah will need 27,000 new ‘keys’ to accommodate the high demand for residences and hotel rooms,” he explains. “Those looking to purchase here are smart to get in on the ground floor.”

High-end developers have zeroed in on RAK City, as it’s colloquially known, launching a slew of projects to meet the demand of a population that is expected to increase by more than 60% over the next six years. Nowhere is this more apparent than on Al Marjan Island, a group of four man-made islands extending nearly three miles (4.5 km) into the Persian Gulf and encompassing 667 acres (2.7M m²) of land area. Construction is underway on several hotels and branded residences from a who’s who of luxury brands, including Nobu, Le Meridien, Nikki Beach and the MASA Residence by Yoo, Inspired by Starck. The crown jewel is the under-construction Wynn Al Marjan Island, a US $3.9 billion (AED 14.3 billion) megaresort which will feature the UAE’s first casino.

Meanwhile, just north of Al Marjan Island, the recently launched US $272 million (AED 1 billion) Falcon Island development at Al Hamra Village is taking shape, offering luxury homes, shopping, dining and an 18-hole golf course. Residences range from two-bedroom condos to 11,000-square-foot (1,020 m²) waterside villas.

A host of economic incentives have helped drive international interest in Ras Al Khaimah, most notably the UAE’s Golden Visa program. Also known as residency by investment, the Golden Visa enables anyone who purchases a property worth a minimum of US $550,000 (AED 2 million) to obtain a 10-year renewable residency. In addition, UAE residents pay no personal income, capital gains, net-worth or withholding taxes, except for those levied in the domestic banking and oil sectors.

“There’s truly amazing momentum and untapped opportunity for buyers and investors in the region, which is poised to be the next center of luxury real estate in the Middle East and quite possibly the world,” adds Chhatwani.

Park City, Utah, USA

Since vaulting to popularity as the site of the Sundance Film Festival and the 2002 Winter Olympics, Park City, Utah has become one of North America’s premier mountain cities. Historically a winter resort, the region is now a year-round destination, thanks to the area’s wealth of outdoor activities, breathtaking topography, James Beard-nominated restaurants, and some of the best skiing in the world at the award-winning Deer Valley Resort.

Today, Park City’s real estate market is primed for growth, thanks to a major expansion of Deer Valley which will add 3,700 acres (14.9M m²) of skiable terrain, along with 1,700 residential units, including hundreds of new ski-in, ski-out homes. When completed, the project will be the largest-ever expansion of a North American ski destination, more than doubling the size of the resort.

“We have a lot of clients interested in new ski-in, ski-out homes, but these development opportunities have been extremely limited,” says Sam Cubis, co-founder of Christie’s International Real Estate Park City. “The Deer Valley expansion will be an amazing boon to our area.”

Utah’s low property taxes are another benefit for Park City homebuyers. The state’s average effective property tax rate is only 0.58% – well below the U.S. national average. Residential property also receives a 45% exemption if it is the taxpayer’s primary home, and there is no transfer tax on the purchase or sale of real estate.

The area’s ease of access and wide range of year-round activities beckon homebuyers and investors as well. Park City is located just a half hour from Salt Lake City International Airport, making Deer Valley the closest ski resort to a major airport in the U.S. Outdoor enthusiasts can enjoy nearly 400 miles (644 km) of hiking, extensive parkland and blue-ribbon fly fisheries, along with a vast network of mountain biking trails that have earned the city a spot on the International Mountain Biking Association’s list of Gold-Level Ride Centers™ – one of only six markets in the world with the designation.

Malta

Strong economic performance, attractive residency programs, a stable political environment and a beautiful coastline have put the Mediterranean island country of Malta on the map as an increasingly sought-after locale for luxury home buyers.  

Demand for luxury properties in Malta, a group of islands set in the central Mediterranean between Italy and the African Coast, has been driven by international buyers seeking investment opportunities and high-end residences, according to Miguel Bonello, owner of Oyster Christie’s International Real Estate.   

Malta offers numerous financial and lifestyle incentives for foreigners seeking a safe-haven investment, most notably advantageous tax incentives and its Permanent Residence Programme with a relatively low barrier to entry. For these reasons, Malta has one of the highest expatriate populations in the region, despite being the smallest member of the European Union.  

Additionally, Malta’s Special Designated Area (SDA) luxury lifestyle developments have become a magnet for foreign buyers seeking an exclusive living experience. SDAs aim to enhance Malta’s real estate market by providing ease of ownership for non-EU citizens, thus contributing to economic growth through foreign direct investment. These residences redefine luxury living on the island and offer advantageous buying rights for foreigners looking to make Malta their home.   

“With a strategic location in the heart of the Mediterranean, Malta is increasingly attractive for luxury home buyers and investors due to its strong and resilient property market,” Bonello says. “The country provides an excellent opportunity for capital appreciation, while Malta’s residency and citizenship programs offer easy access to the European Union and a coveted lifestyle amidst a safe and welcoming environment.” 

The country’s bustling cities and laid-back coastal towns offer a mix of historic and modern properties. The seaside towns of Valetta, Sliema, St. Julians and Madliena on the island of Malta are increasingly popular among high-net-worth buyers, while the southern and western regions of the island are expected to gain prominence due to improved accessibility and infrastructure. The demand for housing, both from locals and international buyers, and planned infrastructure projects have driven the construction of several new SDA developments on the island. 

Nicaragua and Panama

With stunning scenery, beautiful beaches, and an ingrained focus on health and wellness – along with favorable policies for expat buyers – the Central American countries of Panama and Nicaragua are coming into focus as hotspots for luxury real estate. While Costa Rica gets most of the region’s attention for its eco-friendly beauty and “Pura Vida” culture, Panama and Nicaragua offer many of the same qualities with considerable upside. 

Beset by political unrest during the latter part of the 20th century, today Nicaragua offers a safe, quiet lifestyle amidst lush tropical forests and pristine white sand beaches. Developers have taken notice, launching high-end projects along the Pacific coast including Guacalito de las Islas, which offers luxurious homes and a world-class golf course, and lower-key projects including Rancho Santana and Iguana Beach Resort. Alongside these developments, there’s a growing emphasis on significant environmental initiatives, including reforestation and wildlife reintroduction projects. This blend of luxury resort development and environmental conservation represents a novel direction for developers in the region. 

Making Nicaragua even more attractive to those looking for bespoke living with space, privacy, and ocean views is its value when compared with competing tropical resort markets.

“Nicaragua feels a lot like Costa Rica in the early 1990s. Its still a bit of a hidden jewel,” says Bob Davey, owner of Costa Rica Resort & Estate Properties, an affiliate of Christie’s International Real Estate. “High net worth investors are increasingly drawn to Nicaragua, for its luxury and value, along with amazing culture and hospitality. Those things, along with relatively easy travel here, make Nicaragua a great option for early adopters.”   

Directly south of Costa Rica, Panama has experienced significant growth over the past two decades and is becoming one of the leading destinations for international homebuyers and investors in Central America. The country offers political stability, first-world infrastructure, one of the fastest-growing economies in Latin America and an excellent quality of life, while its prime location, offering both Atlantic and Pacific coastlines, makes it a sought-after locale for those seeking waterside luxury. Additionally, the country’s Golden Visa program has one of the lowest thresholds of any country, requiring a minimum real estate investment of only $300,000 to obtain residency.  

According to Davey, the Pearl Islands, a group of more than 200 islands and islets off Panama’s Pacific coast, are emerging as an in-demand destination for high-net-worth buyers seeking privacy and solitude. The Pacific Riviera, a 50-mile (81 km) stretch of coastline fronting the Pacific, is also popular.  

“Overall, Panama is exploding with development,” adds Davey. “Huge projects are underway on the Pacific Riviera, including hotels, resorts, golf courses, and several new residential communities.” 

For more trends and insights, read the 2024 Global Luxury Real Estate Forecast here.