This month, I had the honor of speaking at Luxury Connect 2019, a premier real estate event for luxury agents and brokers, sponsored by Inman.com in Beverly Hills. While I was there, I spoke to industry leaders, along with Tiffany Mills, sales associate with Coldwell Banker Residential Brokerage in Beverly Hills and daughter of legendary real estate agent, Jade Mills. I was able to present our hot-off-the-presses report, “A Look at Wealth: Millennial Millionaires” (ALAW) for the first time. I was truly blown away by the audience response! I heard from agents who thought they knew everything about millennials. And they were glad to have the new data about the largest home-buying population in the country. The report delivers on so many fronts; after all, it is one of the real estate industry’s most comprehensive looks at the youngest generation of millionaires yet.
As I’ve been saying for a while now: It’s imperative that you understand this highly influential group of current and future luxury homebuyers if you want to stay relevant in real estate over the next few decades. We want our Coldwell Banker Global Luxury® Specialists to be in the know and armed with the best information, so they can provide the highest level of service to this up-and-coming generation of high-net-worth clients. It’s one of the many data-based resources and tools we provide our agents that enhance the luxury property buying and selling process.
There were a few interesting data points that emerged from our collaboration with WealthEngine as we compiled the ALAW report. For instance, 92% of millennial millionaires have purchased property, busting the existing myths that millennials are the “Rent Generation.” Obviously, as their wealth increases, this is not the case! All of the real estate professionals we interviewed for our report also noted that their affluent millennial clients view real estate as an important part of wealth creation. Another point of interest for us is where they are choosing to live. While the majority of them are concentrated in California (44%) and call Silicon Valley home (where new millionaires are seemingly being created on a daily basis), their top ZIP code is actually off the beaten luxury path: Traverse City, Michigan. This was surprising to us at first, but when we dug a little deeper, we realized that this finding actually jibed with millennial millionaires’ real estate buying trends. As it turns out, they are more willing to venture outside of traditional prestige neighborhoods to get more value for their money and the kind of lifestyle they want, whether it’s more walkability, better work-life balance or easier access to health, fitness and recreational amenities.
There is so much more included in the report beyond what I can outline here. So, do yourself a favor right now. Set aside everything you think you know about millennials and read our report for yourself!