Despite the covid 19 pandemic, it is an exciting time for the luxury real estate market, and it seems Millenials are one of the people driving the industry. According to a report by the Brookings Industry, Millenials are one of the most educated generations in history, with higher earnings, and are set to inherit more than any previous generations. Millennials are characterized by their savviness in technology and conscious environmental values poised to shape the real estate market significantly
The one thing about Millenials is that they are thinking about their overall lifestyle. More real estate investors and buyers have begun to flock to the luxury real estate that offers nature, walkability, and an all-rounded quality of life. Many researchers have noticed a surprising number of agents mentioning the uptick of interests they are seeing for luxury markets such as Mallorca real estate and the resilience of the local markets. Let’s look at some of the trends influencing the luxury real estate market.
Property list global advantage
With so many technological improvements in real estate, real estate listings are now available to millions of international buyers. According to many real estate agents, partnerships are essential in real estate because they provide their property listings with global exposure giving them a competitive advantage. This has massively influenced the growth of the luxury real estate market because luxury properties are accessible to millions of international buyers.
The covid 19 pandemic
The covid 19 pandemic has been a new experience for the whole world, but the good thing is that people are devising new ways to cope. The most notable change is that many people are now working from home. Despite all the covid 19 restrictions, the luxury real estate market has seen interesting changes. Luxury properties in major urban centers have flourished significantly, and many of the listed properties are coming off the market quickly.
Changes in consumer behavior
Millennials are approaching the real estate industry in greater numbers, and their approach is very different from prior generations. For instance, technology plays a huge role in today’s property searching and house hunting effort. Millennials use technology to communicate with realtors from different parts of the world, exposing them to more dynamic aspects of the real estate industry.
Mental health has been a common topic, especially in the covid 19 season. As such many people are leaving the stresses of urban life in favor of the suburbs, which is positively impacting the luxury real estate industry.
Changing work environments
As earlier mentioned, one of the notable changes brought by the covid 19 pandemic is that more people are now working from home. Zoom meetings have replaced boardroom meetings in most workplaces, and most home spaces are being reconfigured to support workspaces and other activities. Most of the luxury properties provide the much-needed space to accommodate the changing work environments this season, which is why many people consider it.
Luxury real estate is expected to experience significant growth in the next three years due to heightened demand. Generally, the luxury real estate market is ripe for dramatic growth.