Why ‘trophy’ homes in California are where the titans of media and finance are choosing to live

In these uncertain economic times, the cream of the cream of high-end real estate – the so-called “trophy” home – has become a new global currency.

Affluent consumers around the world love real estate, Stephanie Anton, president of Luxury Portfolio International, the international luxury property agents, says.

The current economic and political climate “has created many interesting opportunities for those looking to take advantage of an historically well-performing market experiencing a downturn”, Anton says.

With Brexit uncertainty, tax law changes looming across Europe and escalating trade tensions, luxury real estate appears to be solid ground for those with the means to afford it.

Headline transactions, where the owner has made a large sum of money, also help.

“Look no further than the infamous Palm Beach mansion that Donald Trump bought in 2005 for US$41 million and then sold three years later for US$95 million,” Anton says. “The adage ‘location, location, location’ still holds.”

The wealthy view trophy homes as “a good investment, a reward for all their hard work, and as a private refuge for their families from the hectic world we live in today”, she says.

 “They have the money to invest and they love having multiple homes as it’s a great way to make their money work for them.”