Women claim a greater share of the luxury home market

Gender gap in owning $3.3M+ homes narrowing, survey says

(Photo Illustration by The Real Deal with Getty)

(Photo Illustration by The Real Deal with Getty)

The gender gap may be closing in luxury real estate home ownership.

More than half — 54 percent — of luxury homeowners under the age of 35 are women, reflecting a transforming luxury real estate market landscape, according to a survey by Luxury Portfolio International.

Men still represent the majority — 59 percent — of luxury homeowners between the ages of 35 and 64, but women are on the rise among the younger subset of wealthy buyers. 

In the fourth quarter of 2020, 44 percent of luxury homebuyers were female. Data from the report showed the figure steadily ticked up by two percent each year after that, before reaching 49 percent in the second quarter of 2023. 

The study compiled responses from just over 1,400 people from 24 countries on five continents who had a minimum income of $250,000 per year and an average home value of more than $3.3 million.

That there is a wealth gap between men and women isn’t exactly a new concept. 

Sign Up for the undefined Newsletter

In 2020, a published study by Yale University revealed single women who buy real estate see 1.5 percent lower annual returns on their investment compared to their male counterparts, according to a recently published Yale study. The researchers analyzed U.S. transactions from 1991 to 2017.

Mickey Alam Khan, president of Luxury Portfolio International, said the gains by women in the sector is “refreshing” and said agents in the high-end market should “adjust their marketing strategy accordingly.” 

The gender gap wasn’t the only noticeable change among the subset of buyers. In a sign of shifting attitudes toward technology and the digital world, the report found 46 percent of luxury home buyers under 35 said they found social media advertising to be the most effective platform.

The younger set of luxury buyers also place more importance on an agent’s brokerage affiliation, while buyers older than 35 prioritize local market knowledge. 

Additional findings show shifting priorities among generations, with 52 percent of luxury homeowners under the age of 35 owning extended-family properties (apparently placing a higher priority on family and communal living), compared with less than 38 percent of luxury homeowners aged 35 to 64. 

— Ted Glanzer

Recommended For You