Okay, even with Wall Street down a bunch and major segments of the New Economy hardly breathing, who would of thought there's actually a market for million-dollar homes among those aged 40 and below?
Amazingly enough, such a niche exists according to Architectural Digest. Its just-released Young Affluent Consumer Study shows that among such homeowners:
Sixty-seven percent have a higher standard of living than their parents, and 90 percent feel blessed to have achieved financial success. "The most prevalent theme found in the study," said the magazine, is "a firm balance between financial success and core middle-class values is of utmost importance to the new millionaire."
Family is a core concern to the young and wealthy -- and they want to pass it on to their kids. The study found that 62 percent put more energy into teaching their children good values as a result of achieving financial success.
Most of the well-to-do under 40 prefer not to display their wealth: 81 percent say they are the same person they were before financial success. 67 percent are careful not to show off or appear uppity.
"I don't want to live in a museum. If my kids spill something, it's okay-- I want them to enjoy my house," say survey respondents. More than half (53 percent) feel it's important to purchase quality home furnishings because it allows them to customize. Top home-related purchases planned in the next two years: new automobile, renovated kitchen, multi-media room, fine art.
This will distress Madison Avenue but the survey found that respondents were not especially loyal to brand names. Instead they
are "post-brand." If they are treated well they'll buy again. As to who is #1, respondents don't care.
Quality and experience, rather than brand names, are extremely important and rank high in these consumers' criteria for spending.
The price/value relationship is of particular importance in electronics/ high-tech products (69 percent) and autos (36 percent). Style/design matters most in electronics/high-tech (71 percent) and fine jewelry and watches (50 percent).
If you want a million-dollar home before age 40 get an education -- 89 percent of the respondents are college and/or post-college educated. From magazines to the Internet, newspapers to neighbors, young affluents are in need of a constant stream of information and learning.
Published: January 18, 2001
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