PREPARING FOR THE FUTURE

While it remains uncertain whether these lifestyle changes and migration trends will hold for the long-term, luxury residential professionals have an important role to play. Those who remain flexible, attentive and proactive during this time will be in a stronger position to help clients map a new path forward if priorities should shift yet again.

METHODOLOGY

The Coldwell Banker Global Luxury® program collaborated with WealthEngine, Wealth-X and The Institute for Luxury Home Marketing to provide insights into wealth creation, real estate and property investment, luxury spending preferences and new emerging trends regarding demographic and geographic changes.

Data was collected from the WealthEngine platform, which is powered by more than 1,500 wealth and lifestyle attributes that support half a trillion data points, and uses proprietary learning science to create unique WealthEngine Profiles for more than 250 million people in the U.S. Information was gathered on individuals ages 23 and above, with a net worth (assets minus liabilities) of over $1 million, between the periods of September 1, 2020 and October 6, 2020.

Explorer Markets identified and surveyed: Coeur d’Alene, ID; Columbus, GA; Edwards, CO; Fredericksburg, TX; Heber City, UT; Rock Hill, SC; Torrington, CT; Truckee, CA. New Suburbanite Markets identified and surveyed: Brentwood, TN; Carmel Valley, CA; Chevy Chase, MD; East Bay, CA; Hunters Creek Village, TX; Potomac, MD; Westfield, NJ; Winnetka, IL Resorter Markets identified and surveyed: Aspen, CO; Bonita Springs, FL; Boca Raton, FL; Hamptons, NY; Lake Tahoe, CA; Maui, HI; Seattle Islands and Inlets, WA; Stowe, VT

To profile the wealthy and their relationship to luxury, this report leverages the unique and proprietary Wealth-X Database. Graphs on pages 6 and 7: HNW Graph and Primary Industry Graph: High Net Worth Handbook 2019; VHNW Graph: Very High Net Worth Handbook 2020; UHNW Graph: World Ultra Wealth Report 2020 Note: The totals on Wealth-X graphs may not add up to 100% as a result of rounding.

Quotes on Pages 10 and 11: Wealth-X’s Global Luxury Outlook 2020: A World of Changing Preferences. The Wealth-X database provides insights into affluent financial profiles, career history, known associates, affiliations, family background, education, philanthropic endeavors, passions, hobbies, interests and much more. The Wealth-X proprietary valuation model (as defined by net worth) assesses all asset holdings, including privately and publicly held businesses and investable assets.

Statistical Data on Pages 14 and 15: Data contained is from December 1, 2019 to August 31, 2020 and has been computed by The Institute for Luxury Home Marketing’s data research partner and shared with Coldwell Banker Global Luxury® and based on information attained both privately and publicly. Data is based on closed and recorded sides of homes sold during December 2019 through August 31, 2020 and represents 90 markets across the U.S. The Top 10% is defined as homes (or in terms of inventory, list prices), matching or exceeding the 90th percentile sold price for homes sold from December 1, 2019 to August 31, 2020. Closed sales reported later than this analysis period will not be included. All active status listing records were downloaded and processed to the same standards, at the end of each calendar month, from December 2019 through August 2020. Property-specific active and sales records were standardized, inaccurate list and sale prices were corrected when necessary, and all duplicate records were manually excluded. As a result, statistics available via the source data providers may not correlate to this analysis.

RESOURCES

Page 24: 1Pew Research, “Telework may save U.S. jobs in COVID-19 downturn, especially among college graduates.” (May 6, 2020)

Page 25: ²Brookings Institute

Page 28: ³“Zoom Towns and the New Housing Market for the Two Americas.” NPR (Sept 8, 2020) 4National Association of Realtors 2020 Market Recovery Survey, conducted June 24-26 Realtors were asked to describe locations where home shoppers were looking among those who shifted searches in response to COVID-19.

DISCLAIMERS

©2020 Coldwell Banker. All Rights Reserved. Coldwell Banker and the Coldwell Banker logos are trademarks of Coldwell Banker Real Estate LLC. The Coldwell Banker® System is comprised of company owned offices which are owned by a subsidiary of Realogy Brokerage Group LLC and franchised offices which are independently owned and operated. The Coldwell Banker System fully supports the principles of the Fair Housing Act and the Equal Opportunity Act.

This report was compiled using the data platforms of WealthEngine, Wealth-X and The Institute for Luxury Home Marketing. Data is deemed reliable but not guaranteed for accuracy. The information contained herein has been compiled together for informational purposes. The Coldwell Banker® brand is not making any recommendations for action based on the data within this report. Readers are encouraged to engage with their appropriate legal, accounting and professional counsel before implementing any suggested actions. The Coldwell Banker® brand and WealthEngine, Wealth-X and The Institute for Luxury Home Marketing have no liability for errors, omissions or inadequacies in the information contained herein or for interpretations thereof and shall not be held liable for any claims or losses that may rise from the implementation of the data in this report. The data is subject to change at any time.