Luxury real estate market was blooming before this crisis hit us all. While it will certainly affect the market in many ways, luxury real estate will quickly recover once everything is over, as it always does, so no fears there. Until we wait for some better times, here are a few luxury real estate trends for 2020 that will be on everyone’s lips.
Larger condo suites
Since younger buyers want walkability and sustainable design, it’s not a surprise they are often choosing condos. Larger condos can offer everything a luxury buyer might want from a place—views, space, practicality and chic design. A new trend among developers is to ditch retail spaces at the bottom of condos and replace them with facilities like community centers, daycares and elevated parks, which makes this housing option even more desirable for exclusive buyers. As online shopping continues to replace brick-and-mortar stores, many multi-family residential developers are creating spaces dedicated to deliveries, even cold storage for food deliveries.
In the past, co-living used to be the last resort for many people, but today, as the trend is growing and developing, co-living spaces are becoming very exclusive. Some developments cater only to luxury buyers and renters by equipping the residents with separate buildings for different activities and high-tech, chic-designed shared spaces. Of course, the demand is the highest when it comes to high-quality features and appliances, but housekeeping is also sought after by well-off younger people.
Luxury display homes
Modern buyers are highly visual. Since there is plenty of properties to choose on the market, builders need to provide their clients with a way to see what they are investing in beforehand with luxury display homes. This trend is especially present in Australia where interested parties can experience luxury display homes in Sydney first-hand and see what their lives might look like if they choose to buy. These homes are furnished to perfection and ready for people to start a new portion of their lives without any stress.
Modern starter homes
After the Great Recession, most homebuilders gave up on starter homes and only invested in custom homes for well-to-do buyers. But, since the market is recovering and younger buyers want to become homeowners, modern luxury homes are becoming more and more popular. Millennials are highly educated and skilled with good jobs and stable relationships, so luxury starter homes are back in fashion.
Private outdoor spaces
Luxury buyers always want what is scarce and right now, that’s private outdoor space. Properties with terraces, roof decks and large backyards are where it’s at. Today, luxury properties need to have these outdoor spaces for activities, parties and chill-out sessions.
Traditional homes can look very exclusive, but what most luxury buyers of today want is a contemporary design with modern finishes and features. Parquet floors used to be exclusive once, but now they are practically unsellable to wealthy Millennials. Wide plank flooring or even polished concrete will immediately attract attention.
Recently, there isn’t a part of our lives that’s 100% private. We are so used to everything being connected to the Internet and each other that “dumb homes” make us uncomfortable. In order to reach not just young, but also wealthy buyers, developers need to create comfortable, economical, entertaining and safe homes, and one way to do so is to implement smart technology. This trend will not stop growing any time soon and the smart device market is expected to reach $174 billion in the next 5 years. Simply put, what we consider as “smart technology” today is nothing when compared to the future.
As tech develops and our pace of life grows faster, home automation and AI needs to penetrate every part of domestic life to attract buyers. And the best thing is that people are ready to splurge on these luxury additions.
All younger buyers, not just rich ones, are looking to live in green and sustainable homes. Millennials are very eco-conscious and want to help the environment with their homes and reduce the carbon footprint they produce. One thing that’s been growing in popularity in the past few years is finishings made from hemp, but other features like solar panels and LED lighting are also super popular, especially with celebrities looking to leave a good impression and influence people to go green.
Real estate market knows how to satisfy its luxury buyers with plenty of additions that make everyday life easier and more beautiful and these trends should only make it more attractive to rich clients.11