From time to
time we have all heard and probably lamented over the old sayings “…. the rich
get richer” or “the haves versus the have-nots.” Due to sweeping economic
changes like reductions in the North American manufacturing sector etc., the
middle class appears to indeed be shrinking.
If anyone doubts this trend, the New York Times just ran an interesting
article attesting to this and while it speaks to the U.S. let’s face it, we are
pretty much cut from the same cloth here in Canada.
One only needs to look at our own local
economy which has changed dramatically in recent years with many of our
manufacturers closing their doors only to have those higher paying jobs
replaced by minimum wage retail or service sector employment. Not surprising we are not alone in this
situation as across Canada and the U.S. those businesses that cater to
“middle-of-the-road” consumers ie: retailers such as Sears are struggling while
high end stores like Saks Fifth Avenueand Neiman Marcus are flourishing and
for the first time, are moving into Canada staking their claim of the growing
high end retail sector in this country.
As further reported in the New York Times article,
General Electric is experiencing a significant growth in sales of its Cafe´ upper
end appliance line. Whether or not they
actually cook is irrelevant. Affluent Buyers
or those building a luxury property obviously want and are prepared to pay for high-end
appliances with features like double ovens, hot water dispensers and more. This fact relates back to my prior post wherein
I stated luxury properties need to have the requisite amenities such as these in
order to both attract a high net work buyer as well as to substantial your
asking price. I have found that among affluent Buyers, quality has now become more important than quality. A 6,000 or 7,000 square foot home with middle
of the road features, finishes and amenities will not command the same level of
interest as a 4,000 square foot residence that has been superbly finished and
contains the latest in high tech features. How does your home stack up?
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