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As the great wealth transfer shifts from a theoretical forecast to a tangible economic force, demand for luxury real estate is increasing.
An estimated $6 trillion was transferred intergenerationally in 2025, primarily from the silent generation and baby boomers to their heirs, Realtor.com reported. The massive liquidity event is changing market dynamics for high-end real estate, creating a class of buyers who are insulated from the pressures of the broader housing market.
An estimated $124 trillion will transfer through 2048, according to a December 2024 report by Cerulli Associates.
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“For inherited wealth, real estate is less about chasing returns and more about preserving value across generations,” Realtor.com senior economist Anthony Smith said.
That’s the sentiment that’s driving a surge in the $10 million-plus ultraluxury segment.
“Where typically someone aged 30 to 45 would afford a $3 million maximum, inherited wealth allows them to enter the $10 million-plus bracket immediately,” Manhattan broker Lisa Lippman said.
The influx of inherited capital is concentrated in specific “legacy” markets and lifestyle destinations, Coldwell Banker agent Cara Ameer told Realtor.com.
Heirs are not just buying properties — they are upgrading their lifestyles. Real estate agents in Miami and Palm Beach, Florida, report that beneficiaries often follow a specific pattern.
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They upgrade their primary residence, moving from rentals or smaller condos to estates valued at $10 million or more, or they purchase second homes in ski towns like Aspen, Colorado or international hubs like Italy and Dubai.
“Many of them view luxury real estate here as one of the safest tangible assets — especially in markets like Palm Beach where inventory is limited and long-term value is well protected,” Steven Presson, an agent with Corcoran in Palm Beach, told Realtor.com.
But some heirs find it challenging to find homes because many boomers are choosing to age in place and are holding onto their paid-off homes longer than previous generations, with 61% saying they will never sell their homes while they are still living, according to a Clever Real Estate poll published in September.
Read More: How $6T In Inherited Wealth Is Transforming the Luxury Real Estate Market
