Overall the Luxury Real Estate Market in North America has seen a greater number of listings entering into the market as well as the number of sales. This is no great surprise as the spring months still tend to be the largest selling months in the real estate calendar.
It’s fairly safe to say that we all recognize that the real estate market as a whole has shifted, but overall the market has now found its new norm, slowing from the fast-paced seller’s market of previous years. So, the key to selling and achieving the maximum return on your property lies in leveraging what the market is currently demanding.
While each market certainly has its own nuances, one trend has become very apparent in the luxury market – it’s all about the ‘experience.’ No matter who we talk to, savvy homeowners, luxury real estate professionals, developers, architects and designers, they are all putting their emphasis on defining the experience as part of their luxury marketing message.
“It’s part of a larger trend in which the affluent are increasingly investing in intangible goods like privacy, lifestyle, and education,” says New York Designer Andrew Kotchen.
And these sentiments are echoed as far afield as Paris where designer Dorothee Boissier of Gilles & Boissier shared her views on luxury “It’s linked to freedom, and feeling protected too. It’s also something that brings you wellness. It can be simple, but it makes you feel well.”
The general message is that luxury is not about throwing money around by adding more fancy materials, but rather about creating a comfortable experience that affords the feeling of luxurious wellness.
In an era where mass consumption means both the upper class and the middle class can own the same luxury brand, the rich are forgoing material goods to invest in the immaterial as a way to signify status. It also explains why luxury buyers are downsizing, quality over space has become their priority.
It is a sentiment that holds true no matter the demographic or property being sold or purchased. Members of The Institute are noticing that affluent customers are putting greater expectations on the service levels of their realtors. They are looking for innovation in the marketing of their properties and expertise in finding amenity-rich properties in preferred locations.
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