Lea Williams Luxury Market Report NOV 2021

Some of the affluent are selling their vacation properties, while they are in prime demand, and reinvesting in a home that is closer to the city and still provides the larger footprint, amenities, and outdoor space they have grown accustomed to. Others are keeping their city properties but buying in previously less desirable suburbs or properties that need renovations, with an eye on the investment opportunity of a property with an easy commute.

Revitalization of communities, especially older neighborhoods in both primary and secondary markets, by developers looking to start in the spring of 2022 is predicted to be a great opportunity for investors this winter. The increasing number of new affluent entering the market has created a new record-high demand for new builds offering smart-home and high-tech features with luxury finishes.

This demand is also in direct correlation to the increasing number of younger affluent buyers, many of whom are working in the technology sector and have relocated to markets that offer an array of employment options.

In their move to more affordable hubs in locations such as Austin, Atlanta, Colorado Springs, Detroit, Phoenix, and Pittsburgh, tech companies have created large relocation problems, and demand for real estate is driving prices up as inventory levels continue to drop.

Many of these technology experts who are moving from more expensive markets, like Silicon Valley, with an expectation of affording a higher quality home. Buyers who are not ready to compromise are more than willing to outbid their competitors.

The art of selling and buying in this market needs a critical and analytical approach, understanding the realities and setting expectations accordingly will ensure that goals are achieved. For homeowners looking to buy or sell in today’s market, we recommend working with a realtor who can capitalize on the preferences, trends, and demands in this dynamic and evolving environment.