- The demands of the luxury buyer change over time.
- Upscale clients have clear expectations of luxury real estate agents.
- High-end real estate agents must take the time to learn about the luxury lifestyle.
Contemporary luxury homebuyers are looking for certain high-end specifics. Once luxury real estate agents unravel this mystery, they are well on their way to understanding their upscale clients. Of course, agents can never rest on their laurels because the desires of luxury purchasers can change from year to year — and even from season to season.
How to feature luxury real estate
Listings of upscale properties differ from ones for run-of-the-mill homes. A previous Luxury Portfolio survey (The Emerging Class of Global Affluent) showed that even luxury listings across continents (North America, Asia, Europe) highlight similar features for high-end homes. Obviously, these listings reflect the wishes of luxury buyers.
Their desires include spas and saunas, security and systems and overall trophy homes for the world’s most affluent. These buyers have a clear idea of what they want from an upscale property.
Flowery language in a listing will not win over a luxury real estate buyer. They appreciate a distinctive property with attention to detail. Affluent homebuyers are interested in first-class amenities and superb locations.
Recognize the ultra-prime market
According to the Spring 2015 issue of Luxury Defined, a study by Christie’s International Real Estate about the global prime property market, more $100 million or higher properties were listed and sold in 2014 than ever before. As the number of billionaires increased around the globe, the price benchmarks for trophy homes experienced a rise.
The world’s rich seek out collectible properties in prestigious locations. Now $100 million is the billionaire benchmark in the ultra-luxury market. There is no shortage of high-end buyers in today’s luxury real estate market.
Get to know the luxury buyer
It is a universal belief among high-end real estate clients that an excellent agent protects them from risk. Indeed according to a Luxury Portfolio report, at least 87 percent view client protection as the primary role of luxury real estate agents.
Buyers vary, however, in their opinions about how an agent adds value. This same report indicates that:
- over 65 percent of all luxury clients agree on the advantage of having an effective agent
- 60 percent speak about the valuable information which agents can provide about neighborhoods
- 61 percent of upscale clients put their faith in the agent’s negotiating powers
- 65 trust a Realtor’s ability to navigate the entire real estate process
Potential buyers want to hear area statistics and learn about day-to-day life in the community. They expect agents to provide them with insight and knowledge about the property and local region.
Respect is the key
Respect goes a long way in the luxury real estate market. The affluent buyer looks for an agent who is well-respected by the community as well as their own organization. When affluent clients see that their luxury real estate agent is affiliated with a company connected to a global real estate network, it makes a powerful first impression.
Real estate agents can then continue on to make a lasting impression on luxury clients. Respect their time and privacy, and show an abiding interest in understanding their luxurious lifestyle.
Kevin M. Leonard is the founder of Luxury Agent and Valore Group. You can follow him on Twitter or LinkedIn.
