Europe has long represented the pinnacle of lifestyle investment for affluent buyers in the US, thanks to its blend of timeless culture, stable value, and the kind of architectural beauty that simply can’t be replicated stateside. However, in today’s shifting U.S. landscape, characterized by evolving tax legislation, fluctuating markets, and broader questions about economic and political direction, the continent is attracting a new wave of high-net-worth and ultra-high-net-worth individuals seeking both security and enrichment in their global property portfolios.

What was once considered a dream purchase is now viewed as a strategic asset: a tangible investment that offers stability, personal freedom, and long-term value. And in a world where quality of life has become as important as financial return, Europe provides a compelling combination of lifestyle and liquidity. From vibrant cultural capitals to serene waterfront enclaves, the continent’s most coveted markets are redefining what luxury property and second home ownership mean.

Across Europe, several standout destinations are capturing the interest of wealthy US residents more than ever, including the city of Barcelona, Spain; the Côte d’Azur in southern France; Lisbon, the capital of Portugal; and the stunning Italian Lakes, such as Lake Como. Here, we take a closer look at why wealthy individuals from the US are seeking to purchase a luxury second home in Europe, and some of the destinations that are proving to be among the most popular real estate investment hotspots.

Why US investors are looking to Europe for a luxury property investment

There are several core reasons why US investors are seeking to invest in luxury European real estate for a second home.

One major driver is currency and portfolio diversification. By investing in euro-dominated assets, U.S. buyers can hedge against potential long-term softening of the dollar and reduce exposure to U.S.-only economic cycles.

In addition, some of Europe’s major property markets and rising stars remain among the world’s most liquid and stable. Investing in a luxury European second property across major capitals and resort regions helps preserve capital and offers potential for steady appreciation, even during global uncertainty.
Finally, beyond financial logic, many US luxury property investors and second-home owners are drawn to Europe for its lifestyle appeal. The continent offers an unmatched blend of culture, history, world-class amenities, and access to diverse travel destinations.


Top spots to buy a second home in Europe

Barcelona, Spain

Spain’s luxury housing market has increased by 150% in the last five years, with Barcelona now one of the country’s rising stars. Indeed, this vibrant capital city remains one of Europe’s most sought-after property markets, offering the amenities of a world-class city with the refined charm of Mediterranean coastal living.

For U.S. buyers, Barcelona offers exceptional value compared to other major European capitals, a robust long-term rental market (a report by Knight Frank points to the fact that the city’s rental yields are among the highest in Spain), and a lifestyle defined by its architecture, gastronomy, and year-round sunshine.

Luxury residences, like Antares Barcelona, which offers a range of luxury apartments for sale in Barcelona, are redefining the city’s property market. Set along the stunning Catalan coast, which is undergoing a metamorphosis that is being linked to that of New York’s Hudson River, it is the first Spanish residential property to be designed by the Pritzker-nominated architect Odile Decq. It offers an incredible selection of resort-style amenities, making it ideal for discerning US investors seeking a turn-key luxury second home in Europe.

Prime neighborhoods, such as Eixample, Sarrià-Sant Gervasi, and the Gothic Quarter, offer elegant apartments and restored historic spaces that appeal to international investors seeking both charm and capital appreciation.

Lisbon, Portugal

Lisbon has rapidly evolved into one of Europe’s most desirable second-home destinations for investors. Indeed, according to Savills’ World Cities Prime Residential Index, Lisbon’s prime residential property values rose 2.4% in the first half of 2025, outperforming the global luxury home average and confirming its status as one of Europe’s top destinations for high-end real estate.

Lisbon’s appeal lies in its blend of affordability, strong rental yields, and a vibrant lifestyle driven by culture, innovation, and coastal beauty. The city offers a compelling long-term investment story, featuring a growing tech ecosystem, steady international demand, and a property market that is still maturing compared to Western European peers. Prime districts such as Chiado, Avenida da Liberdade, Lapa, and Príncipe Real now have asking prices for luxury and new-build apartments that often exceed €6,100 per square metre, illustrating high demand and premium positioning.

The South of France

The South of France remains synonymous with glamor, privacy, and enduring stability and is often considered one of the world’s most exclusive destinations for the ultra-wealthy. For HNW and UHNW Americans, it offers a safe-haven market with limited supply, strong global demand, and some of Europe’s most iconic luxury real estate. And, this demand shows no sign of slowing down, with a report noting that property prices in the South of France rose by 6% in the first half of 2025.

Whether it’s a second home with panoramic Mediterranean views or a refined apartment on the Croisette in Cannes, properties in the Riviera’s most prestigious areas consistently retain value and appreciate over time. Add in Michelin-starred dining, world-class marinas, and effortless access to the Principality of Monaco, home to the world’s most expensive real estate and a superyacht haven, and it is clear to see why the region offers an unparalleled European retreat.

The Italian Lakes

The Italian Lakes, such as Lake Como, Lake Garda, and Lake Maggiore, offer a uniquely serene and sophisticated proposition for second-home buyers from the U.S. Here, investment is as much about lifestyle as it is about asset value. Historic villas, modern waterfront homes, and hillside estates provide a cinematic backdrop of deep-blue lakes and alpine peaks. With limited building permissions and continuous international demand, prime properties around Lake Como and Lake Garda hold their value exceptionally well.

This scarcity, combined with continued international demand, underpins long-term value retention and price appreciation, making it a strategic investment for a second home. For U.S. buyers seeking tranquillity, natural beauty, and Old World elegance, the Lakes remain one of Europe’s most refined property sanctuaries.


A final word: Buying a second home in Europe

For affluent U.S. buyers navigating an uncertain age, Europe offers something increasingly rare: stability with distinction. Europe’s prime destinations deliver not only substantial long-term financial gains but also the kind of lifestyle enrichment that transcends traditional investment metrics.
As interest from American investors continues to rise, the moment to act is now. Whether drawn by portfolio diversification, a desire for global mobility, or the pursuit of a more intentional way of living, Europe’s finest enclaves present an opportunity to secure both financial resilience and a life well-lived.
For those ready to invest beyond borders, Europe’s most coveted addresses are more attainable and rewarding than ever.