In the fifth part of the report, 84 trillion dollars Intergenerational wealth transfers, elite market changes, and migration patterns of wealthy individuals
new york, January 23, 2025 /PRNewswire/ — Today, Sotheby’s International Realty released the 2025 Luxury Real Estate Outlook℠ report. This report delves into the emerging trends and key developments that will shape the global luxury real estate landscape in the coming year. The report highlights key factors such as: 84 trillion dollars Intergenerational wealth transfers could impact the real estate market, where 135,000 high-net-worth individuals (HNWIs) are expected to move in, and the city’s “Best Places to Live” rankings It can also have a significant impact on inventory levels.
“When we launched our first Luxury Outlook Report in 2021, the definition of housing was undergoing a major shift due to the pandemic.With unprecedented changes in the real estate market, we are now able to provide real-time information from our report. The purpose of this report is to provide strategic insights to help clients make informed decisions in their investment portfolios. is. ” bradley nelsonChief Marketing Officer, Sotheby’s International Realty. “As we move into 2025, the global luxury real estate market remains resilient. Our report provides an in-depth analysis of a number of indicators that validate experts’ predictions about the impending upturn in the real estate cycle. We provide.”
The 2025 Luxury Outlook Report is based on insights from Sotheby’s International Realty agents around the world who specialize in transactions in the USD 10 million and above price category. Their expertise is complemented by data from industry leaders such as JPMorgan Private Bank, PricewaterhouseCoopers, Cerulli Associates, Henley & Partners, UBS, and the National Association of Realtors (NAR).
Key takeaways from the report include:
After years of pandemic volatility, the economy has returned to near normalcy, leading to a correction in the real estate market. Overall, U.S. home sales volume in 2024 lagged slightly behind 2023, but the top tier performed better than the average-priced market.
above January 7, 2025a devastating wildfire struck Los Angeles County, Californiadestroying thousands of homes and businesses. JPMorgan economist Abiel Reinhart predicts that the climate disaster could be the costliest climate disaster in U.S. history, due to its scale and the residential real estate it is destroying. Both have high value.
In 2024, an estimated 128,000 wealthy people will move to new countries, reaching record levels of large-scale wealth movements.
By 2045 84 trillion dollars Money will flow from the silent generation and baby boomers into the bank accounts of their children and grandchildren. Accordingly, the luxury goods market is changing to reflect the tastes and preferences of younger generations.
Women are becoming independent homebuyers. The presence of women in the luxury housing market will continue to grow. Women are expected to be in charge $34 trillionor about 38% of all U.S. investable assets by 2030. March 2024 A Bank of America Research Institute report suggests that future intergenerational wealth transfers “will help women control more wealth than ever before.”
Every year, several cities are ranked among the best places to live in the world. These lists can have real impact on the cities they champion.
Branded homes have been around for decades, but the trend particularly accelerated in 2020, according to global architecture firm WATG. Since then, the company has tracked 84 new projects launched around the world. As of 2024, the global branded housing market is valued at: 66 billion USD.
Buyers continue to seek homes that align with their personal aspirations and values. Trends such as hybrid work, increased demand for wellness amenities, and sustainability are shaping the luxury housing market and influencing buyer decisions.
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