Across all levels of the real estate market right now, demand and prices are rising like never before. Nowhere are the white-hot market trends of today so sharply pronounced as they are in the upper, upper tier of global real estate.
Flush with cash from a worldwide savings and consumer spending boom, some of the world’s wealthiest buyers are paying hand over fist for the best trophy homes available, with USA Today reporting that luxury home sales are skyrocketing everywhere.
While this might not come as a surprise to most, few people are actually aware of the most in-demand homes and features within this competitive market. Let’s take a look at the new home-buying trends of the super-rich.
Location, Location, Location
Some of the most noteworthy trends in the ultra-premium real estate market in 2022 concern location. It seems that many of the emerging playgrounds for the 1% from previous years, such as Hong Kong, Singapore, New Zealand, and San Francisco, are well and truly on their way out, owing to a multitude of factors. Meanwhile, the classic urban locales for the wealthy – namely New York, Paris, Monaco, and London – are more popular than ever, with high-end home sales smashing records over the past year. There are also some less well-trodden destinations that are climbing up the ranks, with Dubai, Ibiza, Sydney, Sardinia, and the Greek Islands all experiencing an influx of cash.
Urban Amenities at Home
While the 1% are moving back into the cities, it’s clear that they want the option to stay at home without having to set foot outside for their amenities. One of the top trends in high-end real estate right now is the demand for luxury in-building amenities such as supermarkets, hair salons, spas, and yoga centers, all fully-staffed seven days a week. This has been a major driver of popularity in markets such as New York and London, where buildings that can offer the perks of city living under one roof are selling apartments like hotcakes.
Genius Homes
Everyone wants a smart home these days. However, for the ultra-rich, an Alexa device simply won’t cut it. Today, demand for so-called “genius homes” is growing, with buyers demanding high-tech homes that can cater to their every whim. Comprehensive climate control is one of the most sought-after tech features, with buyers looking for homes where they can control the temperature, humidity, sunlight, and air quality down to the most minute detail. In addition, heated driveways have emerged as a surprisingly sought-after feature of the mega-rich, as have autonomous security features, climate-controlled wine cellars, and underground vaults.
Branded Properties
Branded properties designed by well-known luxury labels had something of a minor heyday before the financial crash, and now they’re back with a bang. The number of major developers launched by labels is hard to keep track of in 2022. We have new developments in Miami from Bentley, Porsche, Mandarin Oriental, and W Hotels. In London, we have new development from Bvlgari and Armani, while New York is now home to major developments from Aman, Ritz-Carlton, and Gucci. While some people might prefer to buy a home that they can leave their personal mark on, it seems that the ultra-rich gravitate towards the assurances of luxury, quality, and turnkey readiness that their favorite brands can promise.
In such a white-hot market, what happens in the 1% tier is often reflective of wider social, economic, and cultural trends. Much like the ultra-rich, homebuyers everywhere are putting a premium on amenities, space, and central locations. The difference is, of course, that the 1% can actually buy these things.
