In this podcast episode, JamesEdition’s CEO, Eric Finnas Dahlstrom, and Craig Hogan, a highly accomplished real estate professional with a background in luxury markets, engage in an insightful discussion about the vibrant Chicago real estate market and the emerging hotspot of Puerto Vallarta, Mexico.
Craig shares his extensive experience and deep knowledge of the Chicago market, highlighting its resilience and ongoing evolution. They explore trends shaping buyer preferences post-pandemic, emphasizing the importance of quality design and amenities in urban living. Additionally, Craig provides valuable insights into Puerto Vallarta’s real estate landscape, discussing changing demographics and the growing popularity of fractional ownership models in luxury resort communities.
Key Highlights
- Evolving Real Estate Trends:
- From shared ownership models to urban hotspots, the luxury market is adapting to meet the demands of modern buyers.
- Fractional Ownership Insights:
- This innovative approach is providing buyers with flexible options to enjoy premium properties.
- Chicago’s Luxury Appeal:
- A spotlight on Chicago as a thriving hub for high-end properties, where buyers are seeking exclusivity and convenience in an urban setting.
- Puerto Vallarta’s Growing Popularity:
- This resort destination stands out for its unique offerings in the fractional ownership space, attracting buyers from around the world.
- Buyer Behavior Shifts:
- As the luxury market evolves, high-net-worth individuals are increasingly prioritizing flexibility, diversity, and sustainability in their property choices.
Craig HoganLuxury Real Estate Advisor at Engel & Völkers - Chicago“Whether in Chicago’s bustling luxury districts or Puerto Vallarta’s serene beachfront settings, today’s buyers want access to exclusive properties on their own terms. Fractional ownership is just one example of how the market is responding to those needs.”
Transcript:
Eric:
Hello, and welcome to the JamesEdition Podcast! I’m Eric Finnas Dahlstrom, CEO of JamesEdition, where we bring you the finest luxury listings worldwide. Today, I’m joined by Craig, a real estate expert with valuable insights into fractional ownership and emerging market trends, particularly in destinations like Chicago and Puerto Vallarta. Craig, thanks for being here!
Craig:
Thanks for having me, Eric. It’s great to be here.
The Rise of Fractional Ownership
Eric:
Craig, fractional ownership is a concept that’s gaining momentum in the luxury market. Can you explain how it works?
Craig:
Of course. Essentially, fractional ownership allows multiple individuals to co-own a luxury property, sharing both the costs and the usage time. It’s becoming popular in resort destinations like Puerto Vallarta, where people can own a portion of a property and enjoy guaranteed time there, all without the need for a huge upfront investment.
Eric:
That sounds like an exciting option for those looking to own a piece of luxury real estate but not take on the full responsibility. What’s driving this trend?
Craig:
The main drivers are rising real estate prices and changing consumer preferences. Buyers are seeking more flexible options that still allow them to enjoy the luxury lifestyle. Fractional ownership makes it possible to own a part of an exclusive property while minimizing financial exposure, making it ideal for second, third, or even fourth homebuyers who don’t need a year-round presence.
Puerto Vallarta’s Emerging Market
Eric:
Craig, tell me a little bit more about Puerto Vallarta. What’s been driving the market there, and who is buying?
Craig:
Yeah, Puerto Vallarta is a place we’ve been watching for quite some time. It’s not the same as it was 15 years ago—it’s become far more expensive, but still very affordable compared to other luxury destinations. It’s climbed significantly in terms of property prices, especially since the pandemic. In fact, according to a recent IMF study, Mexico went from being ranked 8th globally for property price increases pre-pandemic to 2nd place today.
Eric:
That’s fascinating! Who’s buying in Puerto Vallarta now?
Craig:
Interestingly, the demographics have shifted. It used to be a spot for retirees, but now the primary age group searching for residential properties is between 35 and 44 years old. This shift reflects broader changes in the way people live and work, especially post-pandemic, as more individuals have the flexibility to work from different locations. Puerto Vallarta is becoming an ideal spot for those looking for a sunny, beachside lifestyle while still maintaining their professional commitments.
Eric:
That’s a significant shift! So, it’s not just retirees moving there anymore—it’s younger professionals too.
Craig:
Exactly, Eric. The market is evolving rapidly, and it’s exciting to see how people of all ages are now considering Puerto Vallarta as both a place to live and a viable investment opportunity. The demand is rising, not just from Americans and Canadians, but globally. It’s a fantastic time to be a part of this market.
Chicago’s Luxury Market
Eric:
Chicago is another market that’s drawing attention. Can you share what’s special about this city’s luxury real estate?
Craig:
Chicago is booming as a vibrant, high-end urban destination. Whether it’s lakefront condos or iconic skyline properties, the city offers unparalleled luxury and convenience. Chicago’s appeal as a cultural and economic hub makes it a top choice for buyers looking for exclusivity and convenience in an urban setting.
Eric:
It’s fascinating to see how fractional ownership extends beyond resort areas into major cities like Chicago.
Craig:
Absolutely, Eric. The luxury market is evolving to cater to diverse buyer needs, and Chicago’s cultural and economic significance plays a big role. Additionally, we’re seeing a growing trend toward sustainability, with buyers seeking energy-efficient homes and eco-conscious designs. Developers are responding with properties that integrate sustainable building materials and smart home technologies, creating a new wave of luxury real estate that balances elegance with environmental responsibility.
Eric:
That’s a great point, Craig. It’s clear that today’s luxury buyers are looking for both exclusivity and sustainability in their properties.
Craig:
Exactly. The demand for sustainable, energy-efficient luxury homes is reshaping the market, and it’s exciting to see how developers are rising to meet these needs.
Eric:
Thanks, Craig, for sharing your insights today.
Craig:
My pleasure, Eric. It’s exciting to see how this market is evolving.
Eric:
Thank you for listening to JamesEdition’s podcast. If you’re a luxury real estate agent or interested in fractional ownership, visit jamessedition.com to discover more and join the largest luxury real estate marketplace, connecting high-net-worth buyers and sellers worldwide.
