I am still 'buzzing' over my last week's trip to Chicago! The Windy City played host to #LILChicago2023 - the yearly conference for the great Insititute for Luxury Home Marketing.
I got to exchange so many thoughts with other fellow luxury realtors, and even got to experience luxury at the Tribune Tower. If this isn't reason enough to follow me on Instagram, I sure hope you find another better reason. The Penthouse Queen is branching off, and I want you to come along.
I am inspired and want to push myself further, and across the border. So, I wanted to do some research. What exactly is the difference between the Canadian Luxury Market and the United States' Luxury Market?
1. Market Size and Demand:
Canada's luxury housing market, while substantial, is relatively smaller compared to its southern neighbor, the United States. The US luxury market has historically been larger due to its vast geographical size and a larger population. However, both countries have witnessed steady growth in demand for luxury properties, driven by high-net-worth individuals, foreign investors, and affluent retirees.
2. Regional Variations:
In Canada, luxury markets are concentrated in major cities like Toronto, Vancouver, and Montreal. These urban centers offer exclusive neighborhoods and waterfront properties, attracting affluent buyers. In contrast, the US luxury market is more diverse, with luxury properties spread across cities like New York, Los Angeles, Miami, and even upscale suburban areas.
3. Property Types:
Luxury housing in both countries encompasses a wide range of property types, including upscale condos, expansive mansions, and exclusive penthouses. Canada's luxury real estate often emphasizes modern, minimalist designs, while the US luxury market is known for its diversity, accommodating various architectural styles and preferences.
4. Price Points:
The price point for luxury homes varies significantly between the two countries. In Canada, luxury properties can range from $2 million to well over $30 million, depending on location and amenities. Meanwhile, the US luxury market can offer properties ranging from $1 million to extravagant estates worth hundreds of millions.
5. Foreign Investment:
Both Canada and the US have attracted significant foreign investment in their luxury real estate markets. Foreign buyers, particularly from China and the Middle East, have shown a keen interest in prestigious properties, contributing to market dynamics.
6. Market Trends:
Recent trends in the luxury housing market include a growing emphasis on sustainability, smart home technology integration, and wellness amenities such as spa facilities and home gyms. Both countries are adapting to these trends to meet the evolving demands of luxury homebuyers.
In the grand competition between Canada and the United States, each country's luxury housing market brings its unique charm and appeal. While Canada offers pristine natural landscapes and modern luxury, the United States boasts diversity in property types and locations. Whether you're considering a lavish property in Toronto's Yorkville or a penthouse overlooking Manhattan, the North American luxury housing market has options to cater to every discerning taste and preference.