Move over, Paris and London. In a quiet yet powerful reshuffling of global prestige, Madrid has emerged as the world’s most desirable city for ultra-wealthy property buyers, according to the latest Barnes City Index.
The Spanish capital’s rise is no fluke. A relaxed Mediterranean pace, enviable weather, and robust infrastructure have converged to make it the go-to destination for millionaires seeking more than just bricks and mortar. With world-class healthcare, an efficient transport network, top-tier schools, and low crime rates, Madrid ticks all the boxes—not just for luxury, but for living well.
It also doesn’t hurt that Madrid ranks fourth in Europe for multinational headquarters, giving it economic weight behind its beauty.
Inside Madrid’s Luxury Price Tags
Those eager to invest in Madrid’s upscale enclaves should expect to pay a premium—up to €7,000 per square metre in Chamartín, or roughly €1 million for a 100 m² flat in Chamberí. Yet, compared to prices in Monaco or Manhattan, these numbers feel… grounded.
“Madrid’s luxury market is thriving,” says Alvise Da Mosto, director at Barnes Spain. “A steady stream of international buyers and investor-friendly policies have cemented the city’s appeal.” That said, Da Mosto notes that proposed taxes on property purchases by non-European buyers could rattle the market’s current momentum.
Monaco: Prestige at a Price
Still a favourite for the ultra-rich, Monaco remains the undisputed heavyweight in price per square metre—ranging between €40,000 and €100,000. With a €1 million budget, buyers may only secure a modest 25 m² studio. But for many, the price of entry is worth the perks: no income tax, unrivalled personal security, and sheer exclusivity.
Milan: Historic Glamour Meets Modern Value
Another big climber in the 2025 index is Milan, which vaulted 17 spots to land in the top five. Italy’s financial and fashion capital offers a rare combination: old-world architecture and modern comfort at relatively reasonable prices. A cool €1 million can still buy you a 120 m² flat in the Centro Storico, where gothic charm meets Italian elegance.
With prices ranging between €9,000 and €21,000/m² for standout properties, Milan’s blend of history, lifestyle, and value has made it a darling among discerning buyers, according to Barnes Italy’s Luca Pietro Ungaro.
A Shift in What Wealth Wants
The latest index points to a deeper shift. Today’s elite aren’t just looking for flashy towers or sky-high penthouses. They want meaning. Provenance. A sense of place.
Cities like Madrid and Milan are tapping into that desire, offering renovated properties that respect the past while embracing the future. Think high ceilings, carved cornices, and repurposed palaces, brought to life through the lens of sustainability and craftsmanship.
The so-called “seven Rs”—resell, repair, renovate, rehabilitate, reuse, recycle and reinvent—are now guiding luxury investment decisions. It’s a quieter revolution, one steeped in soul rather than spectacle.
Elsewhere in the Rankings
Washington, D.C. experienced a steeper fall, plummeting 30 places to 50th overall.
Athens leapt 17 places to claim 16th, signalling growing investor interest in the Greek capital.
Lisbon, once a rising star, slid to 25th after a stellar performance in 2024.