Connecting our Clients to the Lifestyle of their Dreams – ALLURE OF THE SECOND HOME: WHY AFFLUENT BUYERS ARE DISPLAYING CONFIDENCE IN RESORT MARKETS

The potential market for luxury property has never been bigger.

In our most recent research report, The Allure of the Second Home: Why Affluent Buyers are Displaying Confidence in Resort Markets, we explore the current state of the second home market, as it relates to the affluent consumer, focusing on the top 10% and above income earners in 26 countries, who are in the market to buy or sell a second or vacation home in the next three years.

Who is Considering Buying and Selling?

Buyers, age 40 and younger, are taking over the luxury second home market, but lack the experience of Gen X and Boomers

Luxury second home buyers and sellers have similar demographic profiles in terms of age, geography, education and professional status. As a result, their financial profiles are similar, with the only noticeable difference being that sellers have slightly higher asset levels.

Interestingly, this group has notably high assets for their age. About half of the qualified consumer market is under the age of 40, yet their aspirations for purchase are in the millions of dollars.

For most, this is not their first time purchasing a second home—the average number of residences is over three and 14% own at least five residences currently. Driven not by the Millennial group, but rather by Gen X and Boomers. Of Gen X luxury second home buyers, 17% have more than five homes, along with 19% of Boomers in this buyer group.

Current State of the Resort and Second Home Market

Affluent consumers are in acquisition mode

Those who are in the market to purchase a luxury second home are adding to their portfolio and unlikely to sell their existing second home at the moment—thus there are more buyers than sellers. Interestingly too, this means that sellers are also buyers, but buyers are not necessarily sellers.

LPI_AllureOfTheSecondHome_TotalGlobalAffluent

Buyers show more confidence in the market than sellers. More than half of buyers believe that now is a good time to purchase a second home, while relatively few think it is a good time to sell. As noted previously, these consumers are quite savvy when it comes to homeownership; 76% own two or more properties currently.

LPI_AllureOfTheSecondHome_GlobalWealthTrend

What are Second-Home Buyers Looking for?

Wellness is the New Luxury

Affluent consumers have begun living with wellness in mind and this also influences the second home market. In fact, 96% take at least one aspect of wellness seriously as part of their daily routine. Beyond physical and emotional wellness, which most affluent consumers focus on, luxury buyers are keen to improve their intellectual, social and even spiritual wellness.

Amenities that address these needs are sought by buyers and especially resort and second home buyers because of a growing demand for communities that take a holistic approach to overall wellness.

The Bottom Line

With more buyers than sellers, the demand for second homes is keeping home values high for luxury properties. Younger buyers are becoming more prominent, currently making up nearly half of the market, however, older generations have more experience buying second homes. Multiple residences, as well as customized experiences, including wellness amenities becoming a priority.

Would you like more information – just reach out and let’s chat:  214.769.2142

Advertisements

Connecting our Clients to the Lifestyle of their Dreams – VINEYARD PROPERTIES AROUND THE WORLD

If you could live anywhere in the world, where would it be? Ever thought about your very own Vineyard?   For wine connoisseurs, it’s essential to have a private winery at your disposal. Vino lovers from Spain to Switzerland and beyond can enjoy wine from their own backyards while taking in magnificent views and the finest flavors of their region. The following properties may inspire you to open your own vineyard and live a lavish life near the countryside.

Read on….and let’s get started!  Call us for more information  214.769.2142

Web ID: VDMZ

A LUXURY WINERY

DO RIBERA DEL DUERO, SPAIN | PRICE AVAILABLE UPON REQUEST

If you have ever dreamed of owning your own Spanish vineyard, look no further than this beautiful property. Built in the late 1990’s, this space has breathtaking scenery and spans 60 acres. Currently using a unique organic farming process, this vineyard produces grapes which have a distinct texture and flavor said to be unmatched by other producers. The expansive property also includes a barrel room, bottling plant and a wine storage cellar for aging and preserving bottles. Luxury Portfolio Web ID: VDMZ


Web ID: VQKW

PRIVATE ESTATE SURROUNDED BY VINEYARDS

CHIANTI, TUSCANY, ITALY | $9,000,00

Situated high on a hill in the beautiful Italian countryside, this breathtaking home exudes serenity and tranquility. Surrounded by olive trees, infinity pools and vineyards, this unique property offers incredible views of the Chianti hills and spreads over more than 12 acres of land. Amenities in this historic home include 18 fireplaces, a private garden and access to equestrian facilities. Luxury Portfolio Web ID: VQKW


Web ID: QWAZ

CALIFORNIA HOME WITH PRIVATE WINERY

SANTA ROSA, CALIFORNIA | $5,975,000

This remarkable Mediterranean style estate has incredible views and a spacious interior for entertaining. Adorned with rich wood beams and hard wood flooring throughout, this space has an intimate and cozy interior. The expansive kitchen and nearby dining area host one of three fireplaces found in the home. A 4-acre vineyard, wine cave and horse trail can also be found on this expansive property. Luxury Portfolio Web ID: QWAZ


Web ID: FIBB

MODERN APARTMENT NEAR A VINEYARD

GENTILINO, SWITZERLAND | Fr 1,560,000

This modern home situated two kilometers from the center of Lugano provides contemporary living with beautiful views. The 3-bedroom space includes a terrace, a cozy living area and two bathrooms. Residents will enjoy views of the vineyard adjacent to the complex and natural light through the home’s large glass windows. Luxury Portfolio Web ID: FIBB