California is seeing an influx of interest from foreign real estate buyers as the state’s proposed wealth tax drives an exodus of billionaires.

The wildfires that devastated Southern California in January 2025 prompted an uptick in international demand for luxury homes in the Los Angeles area, which rose by 18.2% by the end of last year before easing to start 2026, an analysis by Realtor.com found.

“At its peak, nearly 1 in 5 luxury home shoppers in the LA metro was looking from abroad, reflecting the metro’s draw for high net worth individuals who view Southern California as a destination for residency, second homes, investment properties, and those seeking a form of wealth preservation,” said Realtor.com senior economist Anthony Smith.

The analysis found that would-be buyers from Canada represented the largest share of international housing shoppers in the LA market at 29%. The other largest shares of listing views from abroad originated from the United Kingdom (10%), Australia (8%), Germany (6%) and Mexico (3%).

CALIFORNIA’S ‘BILLIONAIRE TAX’ WILL BE ‘DISASTROUS’ AND CAUSE WEALTHY TO FLEE, ECONOMIST PREDICTS

An analysis by Realtor.com from March found that the Los Angeles metro area was the second most expensive market for luxury housing in the country, trailing only the metro area that includes Bridgeport, Connecticut.

The top 10% of listings in the Los Angeles market started at $4.255 million in March, just below the $4.299 million in the Bridgeport market and ahead of the third most expensive luxury market, Kahului, Hawaii, which was at $4.192 million.

CALIFORNIA TECH LEADERS CHALLENGE PROGRESSIVE POLICIES AS BILLIONAIRES, BUSINESSES FLEE: REPORT

BILLIONAIRES AND BUSINESSES FUEL GROWING EXODUS FROM BLUE STATES

The entry-level price point for luxury homes in the LA market is more than three times the national median at over $4.25 million, with the national benchmark at $1.25 million. That threshold is down 8.9% from a year ago.

While there isn’t data immediately available to determine whether foreign buyers are making cash purchases in the LA market, the National Association of Realtors reported in July that nearly half of all foreign buyers acquiring real estate assets in the U.S. paid all-cash to avoid high interest rates. 

That’s well above the 28% of domestic buyers who made all-cash housing purchases.

AMERICA’S 10 MOST EXPENSIVE ZIP CODES REVEALED

Victor Currie, a real estate agent at Douglas Elliman Real Estate, told Realtor.com that “Los Angeles remains a safe-haven market for global investors,” saying that while it “feels overpriced by average housing standards, we can be thought of as a relative bargain compared to other major cities like London or Sydney or Hong Kong.”

Currie added that the LA market’s appeal to wealthy American and international buyers remains the “mix of lifestyle, weather, culture, and global financial power, all in one place.”

California has seen an outflow of billionaires in the last year, ahead of the state potentially implementing a wealth tax. Meta CEO Mark Zuckerberg, Google co-founders Larry Page and Sergey Brin, Oracle founder Larry Ellison and PayPal co-founder Peter Thiel are among those who have moved assets or relocated from California.

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The proposed wealth tax, which would amount to a 5% one-time levy on billionaires who were California residents at the start of the year, is in the signature-gathering stage as advocates look to qualify the initiative for the November ballot.

Original Art Deco building was demolished but will inspire new build

An ambitious multi-million pound regeneration vision which ended up in the Blackpool dust is set to rise again.

Work is due to start “imminently” on the construction of a brand new Yates Bar on South Shore promenade, just months after the original Art Deco building had to be demolished.

Planners gave the go ahead to proposals to build a completely new version of the popular bar after the original plans to extensively revamp the locally-listed pub drastically changed.

The proposed multi-million pound regeneration was expected to see much of the original building retained, despite it falling into disrepair. Emphasis was made on keeping the distinctive Art Dec façade at the front.

But the condition of the property was much worse than originally believed. Chronic deterioration of the concrete and steel structure of the building meant that the original infrastructure could not be made safe.

This week a source close to the project said: “Everything is ready to start moving again and construction work on the new building is beginning to start imminently.

“Receiving planning permission so quickly will enable things to move forward in good time.”

The site is currently cordoned off with railings and the land has been levelled, ready for work to start.

The latest proposals lodged with Blackpool Council are for the erection of a three-storey building at 407-411 Promenade, Blackpool, comprising of a hotel and drinking establishment with extended food provision and function space.

A revised planning statement on behalf of the application, from architect firm Abbott Hull Associates, states: “The replacement building is to be of the same scale and footprint, together with a change of use to a hotel and drinking establishment with extended food provision.

“The proposal includes ancillary dining and events space, an additional storey, a roof terrace, a front canopy with roof terrace above, a three-storey rear extension, and a single-storey glazed rear seating area, along with external rendering and cladding.

“This addendum summarises the structural findings, sets out the rationale for demolition, and demonstrates that the proposal continues to comply with the relevant planning policy framework.”

A report from the planning officer at Blackpool Council, approving the new build, stated: “Economically the scheme would have a significant positive impact providing employment through its operation and during construction.

“Environmentally, the proposal would be acceptable, there would be no detrimental impact on drainage and environmental quality and biodiversity would not be materially affected. The scheme would bring a prominent site back into use having a very positive impact on the streetscene.

“Socially, the scheme would provide good quality holiday accommodation and facilities helping to regenerate the Inner Area and Resort Core, a goal of the Core Strategy.”

The application can now press ahead, although 13 planning conditions have been attached to the permission.

The former Yates bar on the Blackpool seafront (South Shore) was originally known as the Lion Hotel.

Opened in 1937 and designed by architect Halstead Best, it was an iconic Art Deco property with a circular tower and red brick façade before its closure in 2022 and subsequent demolition.

Although the original has gone, it won’t be forgotten, serving as the inspiration for the new building set to replace it.

To find all the planning applications, traffic diversions, road layout changes, alcohol licence applications and more in your community, visit the Public Notices Portal.

Britain’s solar sector delivered a statement of intent this week, smashing generation records on back-to-back days as ministers gave the green light to the country’s biggest solar installation.

Solar farms across England, Wales and Scotland produced 14.1GW of electricity at midday on Monday, eclipsing the previous benchmark of 14GW set last July. That mark lasted barely 24 hours before Tuesday afternoon’s output pushed the bar to 14.4GW.

The milestones landed on the same day the government confirmed approval for Springwell, a vast solar farm in Lincolnshire expected to generate enough power for roughly 180,000 homes at peak capacity. Energy minister Michael Shanks framed the decision as central to shielding consumers and businesses from volatile international fossil fuel markets, calling solar “one of the cheapest forms of power available.”

Springwell follows the approval of Tillbridge, another large-scale Lincolnshire installation backed six months earlier,  a notable doubling down in a county where Reform UK’s anti-renewables stance has been gaining traction. Together with 23 other major clean energy projects approved since Labour took office in 2024, the pipeline could supply the equivalent of up to 12.5 million homes.

The solar records come barely a fortnight after wind generation hit its own new peak of 23.9GW, pushing gas-fired output to a two-year low and providing a dry run for the government’s ambition of a virtually carbon-free grid by 2030. The electricity system operator is understood to be preparing to run the network without any gas generation for short spells as early as this summer.

For the thousands of smaller firms watching their energy costs with understandable anxiety, the direction of travel matters. The government has streamlined planning for so-called plug-in solar installations and updated building standards to require solar panels on all new homes from 2028, measures that should, in time, ease the burden on businesses operating from newer commercial and mixed-use premises.

Whether the pace of deployment proves fast enough to deliver the bill reductions ministers are promising remains the critical question. But with records tumbling and consents flowing, the trajectory is difficult to argue with.

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SYDNEY: Asian share markets were in a more sober mood on Thursday as cracks quickly began to appear in the fragile Gulf ceasefire, nudging oil prices back up and reminding investors the inflationary fallout will last for a long time yet.

There was scant sign that the Strait of Hormuz was open in any meaningful way, with Iran flexing its control ‌over the vital oil ⁠artery and ⁠demanding tolls for safe passage.

“You have a fifth of the world’s oil supply moving through a corridor that is still effectively under the influence of one of the parties to the conflict,” said Nigel Green, CEO at deVere Group. “That’s not stability.”

“You don’t need a full blockade to move oil markets sharply higher again,” he added. “Missiles are still being launched in the Gulf, Israel is still engaged on another front, and yet markets are behaving as though the region has normalised.”

As a result prices for U.S. crude futures edged up 2.8% to $96.99 a barrel, while Brent rose 2.1% to $96.74.

Japan’s Nikkei dithered either ⁠side of ‌flat, after jumping 5.4% the previous session. South Korea dipped 0.4%, following a leap of 6.8%. MSCI’s broadest index of Asia-Pacific shares outside Japan eased 0.3%.
On Wall Street, S&P 500 futures and Nasdaq futures were both ⁠off 0.2% as Wednesday’s surge petered out. For a mixed Europe, EUROSTOXX 50 futures inched up 0.1%, DAX futures fell 0.3% and FTSE futures rose 0.5%.

INFLATION IS INEVITABLE
With oil prices still around 40% higher than pre-conflict, an inflationary spike is about to show up in the hard data across the globe.

Figures on U.S. core prices for February due later Thursday are expected to show a chunky 0.4% rise for a second month, and that was before the surge in energy costs.

Minutes from the Federal Reserve’s last policy meeting showed a growing number of members felt a rate hike might be needed to contain inflation, though many hoped the next ‌move would still be a cut.

That tempered a rally in Treasuries, which proved modest compared to the big gains seen in European debt markets. Yields on U.S. 10-year notes sat at 4.29%, compared to 3.96% before the attack on Iran.

Fed fund futures imply ⁠only 7 basis points of easing for the rest of this year, having given up on 50 basis points of cuts since the end of February.

“The committee broadly agreed that it was too early to act, suggesting the Fed will likely remain on hold this year, in line with our view,” said analysts at JPMorgan in a note.

They also saw risks shifting to just one rate hike from the European Central Bank this year, rather than two.

The shifting outlook for rates saw the dollar pare some of its knee-jerk losses, with the euro flat at $1.1660 and off a top of $1.1721.

The dollar steadied at 158.60 yen, having fallen as far as 157.89 at one stage on Wednesday.

In commodity markets, gold was flat at $4,718 an ounce , after bouncing as high as $4,777 overnight.

Energy Secretary Chris Wright warned that California’s insufficient energy production could pose a national security risk as President Donald Trump moves to reduce the state’s dependence on foreign oil.

Wright criticized California politicians, including Gov. Gavin Newsom, for making California an energy-starved island by outsourcing oil and gas imports from places like Iraq and Brazil, even though resources could be developed in the state.

“President Trump is rightfully concerned about energy security for the military operations here in the state of California,” he told FOX Business’ Kelly Saberi. “This is also a launch pad where we should be supplying our assets across the Pacific Ocean… But by strangling California, he [Newsom] is not only harming California’s, he is harming United States national security.”

The energy secretary said that high energy prices in the Golden State are a “political choice” and accused leadership of undermining what was once an energy-dominant state.

‘ZERO PERCENT CHANCE’: ENERGY SEC. WRIGHT UNLOADS ON EUROPEAN CLIMATE ALARMISTS IN FIERY PARIS SPEECH

“When I started working in California, in the oil and gas industry 30 years ago, California was one of the top three producers of oil in the United States,” he explained. “It’s got a long history as a major oil and gas producer.”

“It’s just recent political decisions that have somehow decided to strangle this industry.”

California boasts the highest gas prices in the country, with one gallon of regular gas sitting at $5.93 as of Wednesday, according to AAA — a price exacerbated by geopolitical tensions.

NEWSOM KNOCKED FOR ‘INSANE’ CALIFORNIA GAS PRICES AFTER BLAMING TRUMP FOR RISING COSTS

Wright said there is “no reason” for California’s surging energy prices and regulations given the state’s vast natural resources.

“Why should California citizens pay more than 50% higher gasoline prices? Why should they pay almost twice as high electricity prices?” he asked.

Wright said that the administration is open to working with California leadership to revive the state’s energy production.

“The Trump administration wants to work with Gavin Newsom or anyone else in California that recognizes these threats to national security, to the national economy, and most importantly all to the lives of Californian citizens,” he said.

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However, Newsom’s office expressed disinterest in Wright’s plans, saying in part in a statement to FOX Business: “We wish America’s taxpayer-funded fossil fuel lobbyist Chris Wright well in his quest to drag America back to the Stone Age.”

“We hope he doesn’t suffer the same fate his shilling for big oil is forcing on Americans — asthma, toxic exposure, black lung, and other devastating costs,” the statement continued. 

Oil prices moved higher on Thursday, following a massive 15% fall in the previous session, as investors remained unsure that supplies from the Middle East may fully recover. Concerns persist over whether the two-week ceasefire between the U.S. and Iran will hold, while restrictions around the Strait of Hormuz continue to cloud the outlook.

The strategic waterway links oil exports from major Gulf producers such as Iraq, Saudi Arabia, Kuwait and Qatar to global markets and typically handles around 20% of global supply. However, uncertainty around the ceasefire remains high. Israel continued strikes on Lebanon on Wednesday, prompting Iran to call it “unreasonable” to move ahead with negotiations for a lasting peace agreement.

Crude oil price on April 9

Brent crude rose $2.6, or 2.74%, to $97.35 a barrel at 0048 GMT. U.S. West Texas Intermediate (WTI) gained $3.02, or 3.2%, to $97.43 a barrel. Both benchmarks had slipped below the $100 mark in the previous session. WTI posted its sharpest fall since April 2020, driven by hopes that the ceasefire involving the U.S. and Israel against Iran would lead to the reopening of the Strait of Hormuz.Meanwhile, risks to regional oil infrastructure continue. Iran reportedly targeted sites in neighboring countries even after the ceasefire, including a pipeline in Saudi Arabia that serves as an alternative to the Strait. Kuwait, Bahrain and the UAE also reported missile and drone attacks.

The durability of the ceasefire hangs in limbo, particularly due to Israel’s actions against Hezbollah in Lebanon. Ongoing attacks on energy facilities and conflicting signals surrounding the Strait of Hormuz continue to add to market uncertainty.

What are experts saying?

Experts say oil markets may be transitioning into a structurally higher price regime. In a base case scenario that assumes de-escalation of the Iran war, global brokerage Macquarie expects prices to remain elevated, with Brent finding support in the $85–$90 range and gradually inching back towards $110 as flows through the Strait of Hormuz normalise only slowly.Experts say if ongoing tensions persist, the outlook for crude oil remains volatile and tilted upward. Continued conflict in the Middle East, especially disruptions around the Strait of Hormuz, would keep supply chains constrained, pushing Brent and WTI prices higher and sustaining inflationary pressures worldwide.

“Even with a peace deal, Iran may be emboldened to threaten the Strait of Hormuz more frequently in the future, and the market will price in heightened risk to the Strait of Hormuz going forward,” MST Marquee analyst Saul Kavonic, told Reuters.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)