Luxury Portfolio International: Trends in Luxury Real Estate

The luxury real estate market continues to evolve at a rapid pace, but alongside it, buyer attitudes are also changing. According to the latest 2025 analysis by the global luxury real estate network Luxury Portfolio International (LPI), today’s investors and end users are no longer guided solely by location or property status. Lifestyle, functionality, and long-term value are becoming increasingly important. The study outlines a clear picture: luxury property is now a combination of investment, personal comfort, and strategic positioning.

A dynamic market with shifting priorities

According to LPI’s analysis, nearly all respondents plan to purchase, build, or renovate a property in the short term. This indicates high activity in the segment, as well as growing investor confidence. Notably, a significant portion of buyers are seeking a primary residence rather than just a vacation home, suggesting a longer-term vision and a desire to truly settle in a preferred destination.

A new understanding of location

When it comes to choosing a location, coastal properties remain the most preferred. Sea views, direct water access, and a sense of privacy continue to be key factors. These are followed by properties near lakes and natural areas, as well as those in established urban centers.

Luxury as an experience

Today’s buyer is not simply looking for square footage, but for a complete experience. LPI data shows that wellness areas are among the most sought-after property features - from home spa spaces to dedicated areas for relaxation and recovery.
At the same time, the kitchen is increasingly seen as the social hub of the home, with a preference for large, functional spaces equipped to a high standard. Technology also plays a key role - smart home systems are now perceived as a standard rather than an extra.

Architecture and design - a balance between modern and authentic

In terms of design, an interesting balance is emerging. On one hand, modern architecture with clean lines and minimalism remains dominant. On the other, a significant share of buyers are seeking homes with character and history.
This combination of contemporary comfort and individuality creates a new type of luxury product - one that not only impresses visually but also conveys a sense of identity.

Generational differences

The study also highlights differences between generations. Younger buyers are more inclined to invest in properties with future growth potential, while more mature investors place emphasis on security and long-term value. Interestingly, a considerable share of respondents are considering purchasing a second home - whether for vacation use, investment, or asset diversification.

The 2025 analysis by Luxury Portfolio International clearly shows that luxury real estate is entering a new phase. Buyers are more informed, more demanding, and are looking for much more than a prestigious address. In this context, it is not simply the most expensive properties that succeed, but those offering a balanced combination of location, functionality, design, and long-term value. This is the new standard in the global luxury segment.