Latest philanthropic trends of the high-net-worth individual
04/16/2019
Part of being a successful real estate professional in the upper-tier real estate market is knowing your clientele. What motivates them? How and where do they spend their time and money? These are all important things to understand so that you can better meet the needs of your client and market to potential clients.
One of the largest areas of spending for high-net-worth individuals is charitable giving. According to the U.S. Trust® Study of High Net Worth Philanthropy, a biannual study which examines the giving patterns of America’s wealthiest households, households earning $2 million and above gave approximately 14% of their income to charity, more than five points higher than households earning $200,000 to $500,000. How is this information useful to upper-tier real estate professionals? It all comes back to increasing your sphere of influence.
Here are five things you need to know about how high-net-worth individuals give to charity so that you can expand your sphere of influence and generate leads:
1. Charitable giving is on the rise
Although the number of households that give to charity has decreased in recent years, the amount given to charity by individuals is increasing. In 2017, Americans hit a milestone when they gave $410 billion to charity, 70 percent of which came from individuals—an increase of over five percent from the previous year. This shows that charitable giving, especially from high-net-worth individuals, is on the rise in the United States.2. High-net-worth individuals give more to education
With more than half of high-net-worth individuals sending their children to private schools and colleges, it’s no wonder that education is the top of the list for charitable giving categories. High-net-worth individuals also have a strong loyalty to their alma mater. Who wouldn’t want their name on your college’s new library?Want more insights into lead generation for upper-tier real estate? Attend one of our live or online training sessions!