What Luxury Buyers Look For: A Guide for Builders and Homeowners

Luxury Home

If you're a builder planning a spec home or a homeowner preparing to sell your luxury property, it's essential to understand what luxury buyers prioritize. This list, based on extensive research, ranks the most important factors from top to bottom.

1. Location: Location is, without a doubt, the most critical factor. If you're a builder, choose your location wisely. For homeowners, while you can't change where your home is, understanding the importance of location will help you market it effectively.

2. Architectural Design and Style: The architectural design and overall aesthetic of a home are pivotal for luxury buyers. The exterior and interior should exude quality, with consistent style throughout. The use of premium materials—such as a tile roof, high-quality doors, and top-tier hardware—can significantly enhance a home’s appeal.

3. Interior Space and Layout: Luxury buyers expect spacious rooms with high ceilings and abundant natural light. The layout should flow seamlessly, offering functionality along with ample storage and closet space.

4. Luxury Finishes and Materials: Even in homes listed at $50 million or more, there's often room for improvement. While cabinets and countertops generally meet expectations, sinks and faucets frequently fall short. Many luxury kitchens and baths feature low-cost fixtures, which can be a dealbreaker for discerning buyers. A small, basic sink in a large kitchen can alienate potential buyers, especially those who love to cook. These buyers are aware that upgrading to a high-end workstation sink could require a costly kitchen remodel, which might deter them from making an offer. High-end appliances like Miele, Sub-Zero, and Wolf are common, but they should be complemented by equally luxurious sinks and faucets. In my 25 years of experience, having spoken to over 10,000 people about their home buying and selling adventures, one thing is clear: A top-quality sink and faucet can be integral to a quick sale. Conversely, homes with subpar fixtures often lead potential buyers to factor in the cost of a remodel, which can make the property less attractive financially.

5. Outdoor Living Spaces: Outdoor living is a key element of luxury living. Patios, balconies, and well-designed gardens are must-haves. A luxury swimming pool and an outdoor kitchen are often considered essentials.

6. Security and Privacy: Gated communities, advanced security systems, and surveillance cameras are almost always expected. Buyers also look for secure access to the property and privacy features like high walls, hedges, or secluded locations.

7. Technology and Smart Home Features: The demand for smart home features is undeniable. Retrofitting an older home can be expensive, so factor this into your selling price—or consider adding valuable smart home upgrades to enhance your property’s appeal. In new construction, don't skimp here; your prospects may be comparing multiple homes and could easily look elsewhere if your property falls short in this area.

8. Amenities and Lifestyle Features: Luxury buyers often seek lifestyle amenities such as fitness rooms, spas, wine cellars, and home offices. Entertainment spaces, including game rooms, libraries, and private theaters, are also highly desirable. As vehicles continue to grow in size, ample garage space and perhaps a workshop area are important considerations.

9. Quality of Construction: Prospective buyers will often evaluate the reputation of the builder and the quality of construction, along with the durability and long-term value of the home. Avoid designs that feel overly tied to current trends, as they might lose appeal in 10 to 20 years. Instead, design with the future in mind. Maintenance and upkeep are crucial; buyers will be interested in the warranties on expensive items. For instance, a Waterstone faucet comes with a lifetime mechanical warranty, while some Kohler faucets offer only a one-year warranty. A Rachiele custom sink offers a lifetime transferable warranty, meaning a new homeowner can benefit from the warranty without any additional paperwork. If the Rachiele name is on the sink, it is under warranty!

10. Unique Features and Customization: Unique features and customization can sometimes tip the scale in favor of a sale, but they shouldn't be relied upon exclusively. While features like elevators, wine cellars, or indoor pools are highly appealing, they hold little value if the basics aren’t covered.