LUXURY REPORT EXPLAINED

NORTH AMERICAN LUXURY REVIEW

In recent reports released by world renowned luxury real estate experts Coldwell Banker Global Luxury, Wealth-X and Sotheby’s International, all agree that amid the COVID-19 pandemic and global political instability, ‘home’ has never been so important.

The combination of travel and multiple home ownership pre-COVID was significant on a percapita basis for the world’s wealthy. Post pandemic, priorities have changes from seeking out new experiences and adventures towards finding homes in markets that offered safety, more space, and well-being.

This transition was realized worldwide, creating unexpected demand for changes in property types, locations, and amenities. Coldwell Banker Global Luxury’s Report 2021, encapsulates the ongoing trends created in 2020, and showcases the significant resilience of luxury real estate.

“Home became the center of people’s lives in 2020. Agents became even more highly valued as clients relied on their expertise to guide them through their transactions. Industry strength carried over into other arenas, like real estate stock gains. Efforts to safeguard wealth led people to cast wider nets into real estate, stocks, art, technology, gaming, and other niches; many accelerated plans to move to tax friendlier locales. Ideas about wealth itself also shifted as the affluent set sights on ‘intangible luxuries,’ like family, health, safety, security and space.

The search for intangibles created new demographic groups, called ‘affluent trailblazers,’ who relocated from cities to small town hidden gems, suburbs, and popular second home destinations in 2020. These shifts also triggered a reversal of the ‘less is more’ trend of the last few years, with mega-mansions, compounds, private islands and large estates staging a comeback.”