Millennials are no longer following the stereotype of living in their parent’s basements. According to the Miami Herald, adults born between 1981 and 1996 now represent the largest share of real estate buyers in the country. However, they have excluded themselves from the concept of buying “starter homes.” Instead, millennials are purchasing multimillion-dollar properties. As a result, they are becoming a huge force in the luxury real estate market.
Remote work has given millennials the opportunity to purchase real estate in smaller and more affordable cities. Millennials form the most educated generation in history, and their preferences are shaping the market. Characterized by being tech savvy and having strong environmental values, millennials are looking for a well-rounded quality of life. In the future, developers are likely to integrate high-tech features into more homes and put more focus on sustainability to appeal to these buyers.
Overall, according to the experts, the luxury real estate market is on the rise. 63% of affiliates polled by Sotheby’s International Realty said they expected luxury home prices to rise over the next three years. However, the pandemic might also slow foreign buyer interest in the short term. Still, experts say that the future of luxury real estate looks promising.