What happens to real estate markets when tons of capital is pumped into the hands of consumers? Remember Covid Stimulus? That was around $7 trillion, spread amongst tens of millions of Americans. Today? Between July 2024 and July 2026, the total wealth of the U.S. stock market increased by approximately $20 trillion to $25 trillion! Simply speak to those working and living in California and Texas where recent IPO's are fueling an unprecedented level of wealth and multiple bidding on limited housing inventory, especially in prime locations.

The historic SpaceX IPO created approximately 4,000 to 4,400 new millionaires among current and former employees company-wide. Aside from IPO's, the broader stock market performance added over 730,000 new millionaires in the U.S. during the most recent 12-month reporting period, driven by the tech and artificial intelligence boom. Lots of this new capital has flowed into hard assets like real estate, that most consider an essential need. A million ain't what it used to be, where the crown of Billionaire has been upped to Trillionaire!

While those in the bottom 50% of the US struggle with rising costs, don't underestimate the challenges faced by those in the upper 50%, and yes, even the top 10%, where Luxe-flation is at unprecedented, double-digit levels. To all those bemoaning the above, it's when those who can afford much more start shopping in areas for those much less wealthy that real problems emerge!