MADISON, N.J. (October 16, 2019) – Coldwell Banker Real Estate LLC and the Coldwell Banker Global Luxury® program today released its “Millennial Millionaires” report, part of the “A Look at Wealth” series. In order to help luxury real estate professionals better understand this influential group of current and future homeowners, the Coldwell Banker brand partnered with WealthEngine to analyze key aspects of the millennial[1] millionaire[2] lifestyle, including wealth creation, philanthropy, property investments, spending trends and more. The analysis was comprised of data collected from the WealthEngine platform.
Today, there are approximately 618,000 millennial millionaires in the United States. According to the WealthEngine data, the vast majority – 93 percent – have a net worth between $1 million and $2.49 million, but the generation stands to be worth even more. In the coming decades many more millennial millionaires will be minted as part of “The Great Wealth Transfer;” millennials are projected to inherit $68 trillion from predecessors.[3]
Notable report findings include:
- The top states for millennial millionaires: California (44%), New York (14%), Florida (5%), Massachusetts (5%), Texas (5%), Washington (4%) and New Jersey (4%)
- Eight of the top ten ZIP codes are concentrated in California’s Silicon Valley, but the surprise #1 ZIP code? Traverse City, Michigan
- Walkability is welcome: millennials value walkable neighborhoods over well-established luxury communities
- But they’re not giving up driving altogether. The top car model for millennial millionaires is the BMW 3 Series; compare that to the top car for all millennials, the Chevrolet Silverado
- Homeownership is high: 92% have purchased property, with 80% purchasing a single-family dwelling
- Home Improvement = Customization: 77% are interested in home improvement as a way to personalize their space
- Charitable causes are compelling: 56% of millennial millionaires donate to charities
QUOTES:
“Millennial millionaires are projected to become one of the richest and most influential generations in history. This report is a smart way to get a detailed look at this generation. Real estate professionals should take notice as understanding this generation will be key to growing your business in decades to come.”
- Charlie Young, president and CEO of Coldwell Banker Real Estate LLC
“This population of millennial millionaires is large and only getting larger – by 2030 millennials are projected to hold five times the wealth they hold today. How are they investing in real estate now? How will that change when the Great Wealth Transfer takes place? This report is a must read for any real estate professional looking to build life-long relationships with top clients today and tomorrow.”
- Craig Hogan, vice president of luxury for Coldwell Banker Real Estate LLC
About The Report
A Look at Wealth is a collaboration between the Coldwell Banker Global Luxury® program and WealthEngine. Released once a year, A Look at Wealth is a supplement to The Report, which combines industry research with anecdotal insights from local market experts affiliated with the Coldwell Banker® brand.
Methodology
*The Coldwell Banker Global Luxury® program collaborated with WealthEngine to provide insights on the millennial millionaire lifestyle, including wealth creation, property investments, luxury spending trends, giving and more. Data was collected from the WealthEngine platform, which is powered by more than 1,500 wealth and lifestyle attributes that support half a trillion data points, and uses proprietary learning science to create unique WealthEngine Profiles for more than 250 million people in the U.S. Information was gathered on individuals ages 23 to 37, with a net worth (assets minus liabilities) of over $1 million, between the periods of July 1, 2019 to September 16, 2019.
This report was compiled using the WealthEngine platform. Data is deemed reliable, but not guaranteed for accuracy. The information contained herein has been compiled together for informational purposes. The Coldwell Banker® brand and WealthEngine are not making any recommendations for action based on the data within this report. Readers are encouraged to engage with their appropriate legal, accounting, and professional counsel before implementing any suggested actions. The Coldwell Banker brand and WealthEngine have no liability for errors, omissions, or inadequacies in the information contained herein or for interpretations thereof and shall not be held liable for any claims or losses that may rise from the implementation of the data in this report. The data is subject to change at any time.
About Coldwell Banker Global Luxury®
Launched in early 2017, the Coldwell Banker Global Luxury® program legacy traces its roots to Coldwell Banker Previews International® and the Previews® program, a world leader in luxury real estate since 1933. Coldwell Banker Global Luxury Property Specialists are an exclusive group within the Coldwell Banker organization, making up under ten percent of independent sales associates affiliated with the brand worldwide. Coldwell Banker Global Luxury Property Specialists drove the approximately 30,700 transactions of homes priced at $1 million or more in 2018, more than any other real estate brand, with an average sales price of $1.9 million. On average in 2018, the Coldwell Banker brand sold approximately $161.8 million in $1 million or more luxury homes every day. Coldwell Banker®, the Coldwell Banker logo, Coldwell Banker Global Luxury® and the Coldwell Banker Global Luxury logo are registered service marks owned by Coldwell Banker Real Estate LLC. Coldwell Banker Real Estate LLC fully supports the principles of the Fair Housing Act and the Equal Opportunity Act. Each office is independently owned and operated.
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[1] The U.S. Census Bureau uses the birth years 1982 to 2000 to define millennials but has acknowledged that “there is no official start and end date for when millennials were born.” For the purposes of this report, WealthEngine is using the birth years 1982 to 1996 to define millennials, or ages 23–37 in 2019.
[2] WealthEngine defines millionaires as those who have a net worth (assets minus liabilities) of over $1 million.
[3] WealthEngine, “The 2019 Millennial Wealth Report.”
*Cerulli Associates
