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Friday, September 20, 2019

THE ALLURE OF THE SECOND HOME


A recent study of high-end consumers examined demographics, and reasons for buying second homes, including what target buyer views as important life-style characteristics.  Below are some of the results of the study and how it applies to buyers and sellers in our marketplace.

The North Fork fits in well with the findings.  Although the study is global, the buyers were looking for resort markets with beaches and boating, homes near lakes or creeks, golf courses, ski resorts, business convenience and seasonal living.  Other than skiing, our beautiful North Fork fits the bill! The average age of the second home buyer is 43.5 years, 71% have children under 18 years.  62% are business owners. 

The population of second home buyers is increasing, as global personal wealth continues to rise. In the past four years the number of people with a net worth of $1-5 million has grown 25%!  These high-net-worth individuals are “more reliant on agents than websites for information and are confident in the global economy,” although two-thirds of sellers “predict a recession is coming, though most believe it will last less than one year.”

Second home buyers in this study, want a second home that allows then to spend time getting together with family (65%), reading (62%), getting together with friend (58%), exercising – doing sports (57%), eating healthy (55%) attending events/parties (42%). Almost half, 43%, enjoy entertaining at home and 39% are passionate about wine!

All-in-all, looks like we have a most appealing marketplace for today’s second home buyer. Sellers may want to evaluate how their home addresses the needs and desires of these buyers and make it a focus in their marketing strategy.  If you are thinking of selling your home, give me a call at 631 765 5333. We can do a market assessment of your property and put together a plan that will appeal to the target buyer.

Source: Luxury Portfolio International, The Allure if the Second Home: Why Affluent Buyers are Displaying Confidence in Resort Markets, 2019.

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