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Top spots to own a second home that are not Dubai
When it comes to building a property portfolio, the world is your oyster
- PUBLISHED: Fri 29 Aug 2025, 6:00 PM
There’s been a bit of a shake-up in international property. A lot of wealthy people are leaving London due to new tax rules introduced by the UK government. Henley and Partners’ latest private wealth migration report shows that the UK is, in fact, facing its largest-ever outflow of millionaires with approximately 16,500 expected to leave. The changes closed a loophole so foreign nationals living in the UK will now have to pay tax on their global income.
“The UAE is the top destination for these individuals and it’s projected it will attract nearly 10,000 of them,” says Mario Volpi, senior vice-president investment advisor at real estate firm Allegiance. There are reports the UK government may introduce a golden visa scheme to lure back wealthy individuals, but for now the exodus has begun. With London traditionally being a foreign millioniares and billionaires hub, where are the wealthy moving to?
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The favourites
A new report by wealth intelligence firm Altrata ranked the top 20 cities where ultra-high-net-worth individuals (UHNWIs) — those with a net worth of at least $30 million (Dh110 million) — are buying second homes in 2025. It also discovered that wealthy individuals will consider third and fourth homes as a safe store of value.
Switzerland is still one of the favourite destinations for the wealthy as it continues to offer financial privacy, stability, and attractive tax frameworks. Geneva and Zurich are popular with expats.
Portugal has also seen rising demand from wealthy buyers, with cities like Lisbon becoming increasingly attractive due to its lifestyle appeal and relative affordability.
Monaco is known for no income tax, exclusivity, and prestige. It is expected to welcome a significant number of wealthy residents in 2025.
Lake Como in Italy is popular with UHNWIs (including celebrities like George Clooney) and families are drawn by the region’s prestige, privacy, and proximity to fashion capital Milan.
Aspen, Colorado, is known for its alpine exclusivity and has one ultrawealthy resident for every 77 people, which is one of the highest concentrations globally.
Singapore offers a strong legal infrastructure, world-class education, low crime and favourable tax arrangements. Hong Kong is close behind.
Naples, the one in Florida, has an astonishing 95 per cent second-home ratio among its UHNWIs. Nearly all luxury property there is owned as a secondary residence.
Dubai, with its tax-free status, ease of doing business, and high quality of life, continues to rank high on the list.
“Personally, I see a huge gap here. Dubai continues to have enormous growth potential horizontally, outward. The luxury villa segment has strong demand,” says Nataliya Khudykovska, a luxury real estate advisor and UHNWI investment consultant.
The States
New York has always been attractive to the wealthy and is home to Wall Street, hedge funds, and top law firms. With its prime Manhattan real estate and thriving luxury lifestyle, it is still the world’s wealthiest city by number of millionaires. “I recommend America to my clients. It is entering a new phase of recovery, has a strong background, infrastructure, and legal protection of investments. For example, Texas — with its tax reliefs, open approach, and the possibility to, for example, build private mosques — has enormous potential,” says Khudykovska.
New hotspots
A growing number of the world’s ultrawealthy are venturing out of the places that have long been the haunts of the world’s richest people, like Monaco and St. Tropez. So, where are they going?
“Italy, Puglia specifically. This area is up-and-coming and cheaper than Tuscany and has strong value in renovations and great tax incentives,” says Volpi. “Further afield, some secondary cities in the United States, such as Indianapolis and Charlotte, offer affordable growth potential combined with lifestyle appeal. Going even further south, Costa Rica is now on the radar for eco-living with strong expat demand, especially from retirees,” adds Volpi.
When it comes to UAE residents, where are they more likely to own other homes? “Many clients tend to own property in their home countries, which for Dubai-based buyers often means the UK and India,” says Alec James Smith, head of sales and leasing at Savills Middle East. “For lifestyle investments, Portugal and Spain remain popular, with the South of France also seeing continued interest. In the US, New York and Miami are preferred, while Singapore and Istanbul are gaining traction among those seeking global connectivity.”
Montenegro
An unexpected addition to the list is Montenegro, which has quietly become a magnet for wealthy expats. It offers a unique mix of natural beauty, tax advantages, investment opportunities, and an emerging luxury lifestyle that rivals more established Mediterranean hotspots like Monaco or the Côte d’Azur. “I find Montenegro very interesting due to its proximity to Arab culture, friendly environment, beautiful nature, and growth opportunities, which make it a future gem on the investment map,” says Khudykovska.
Croatia is another popular Eastern European country for wealthy expats and offers stunning seaside and emerging authentic luxury. “I recommend collaboration with local developers and creating tailor-made projects,” she adds. Staying with Europe, Norway and Denmark still attract so-called ‘golden investors’ despite stricter conditions.
Golden ticket
UHNWIs typically maintain a global network of overseas homes, reflecting a blend of prestige, geo-security and access, so places such as New York, London, and Lisbon have always proved popular. For Dubai, a luxury trophy asset such as a villa on Palm Jumeirah or in Emirates Hills is a must for cachet and lifestyle.
While status is one thing, tax and residency are important considerations, too. “Many high net worth individuals keep their options open when it comes to international investing and if the purchase of a property comes with a golden visa or citizenship, this adds to the allure,” says Volpi. Locations such as Portugal, Malta and the UAE have benefited from offering golden visas, which, in turn, has boosted their respective real estate markets. “Tax might start the conversation, but lifestyle usually decides it. We’re having more discussions around education, healthcare, climate, and safety than ever before,” adds Smith. “While a golden visa often sparks interest, most of our clients are now also thinking about future flexibility, lifestyle, and real estate fundamentals.”
Growing wealth
When it comes to building a property portfolio, there is a notable trend towards income-generating assets. UHNWIs and family offices are increasingly investing in hotels and hospitality assets for stable income and protection against inflation, while investors are snapping up more buy-to-let properties. “While trophy assets still appeal to some, we’re seeing more clients prioritising long-term value and liquidity. Branded residences, short-term rental investments, and centrally located properties with consistent demand are leading the way,” says Savills’ Smith.
A recent Knight Frank report highlighted a new trend of serviced second residences — holiday homes within a community or resort that usually come with housekeeping, 24-hour security, leisure facilities, and a concierge. According to Knight Frank, this hybrid way of living — part-independent home, part-hotel, part-members’ club — is a growing sector with the biggest development pipelines in the US, the UAE, Mexico, the UK and Saudi Arabia.