How to spot an undervalued luxury market before everyone else

You may have heard the saying, “By the time the headlines catch on, the real opportunity’s already gone.” This applies to all types of things — job sectors, fashion trends and investments.

With the stock market tanking, there’s potential for money to pour into real estate. After all, values have been on a steady climb, and low inventory is poised to keep prices strong for years to come. 

Yet finding a market where you or your clients aren’t already priced out is no easy task. Most luxury buyers follow the crowd, but real wins from an investment perspective happen when you move early. That gives you a chance to get in at a great price and add value to build even more equity.

Here, I’ll lay out a simple framework to identify future-hot markets before they heat up, then make the most of the opportunity they provide through smart content marketing.

The myth of hot markets

We’ve all seen people buy into hype instead of buying into the real value of a hot market, paying peak prices for a luxury home and ending up with buyer’s remorse. LA, Austin, Miami and other post-boom luxury markets have all ridden the trend train and seen prices fall after their mini-bubbles burst.

At the same time, for many luxury buyers, the currently trendy neighborhood or ZIP Code is all that matters; this strategy isn’t for them. It’s for the buyer who’s motivated by either investment potential or the chance to set the trends rather than following them — or some combination of both.

For you as an agent, it’s an opportunity to raise your price point in the years ahead and establish a beach head in an up-and-coming market before your area’s luxury leaders are already entrenched.

5 signs of an undervalued luxury market

Here are five signals that a real estate market has built-in upside potential:

1. Lifestyle infrastructure is going in, not coming online

The idea here is to identify markets where things are about to happen rather than already up and running. Where is a Whole Foods or Trader Joe’s newly approved or breaking ground rather than hosting its Grand Opening? Where is a private school or magnet school opening or expanding? 

2. Wealth is moving (quietly)

Where do you see high-end architects and designers starting projects? Where is new luxury residential construction being approved? Track luxury car registrations and LLC property buys to see where wealthy newcomers are putting their money.

3. There’s a value gap compared to similar markets

Is this market significantly cheaper than similar ones while offering the same or similar assets like views, climate and amenities? If so, there may be an opportunity to build or renovate rather than buying into already-established luxury enclaves.

4. New money is moving in, not just old money

Look for places where startups, fund managers or content creators are moving in. One example is Raleigh, North Carolina, where many formerly California-based YouTubers and other content creators have relocated in recent years, buying not just residences but building out commercial space into studio and filming hubs.

5. Real estate insiders are available for networking

Connect with developers, top commercial and residential agents, and institutional investors to find out where they’re buying, not what they’re selling. Look for luxury projects breaking ground in areas that are currently on the fringes of existing luxury neighborhoods or in areas that are ripe for renewal and revitalization.

What to avoid when you’re looking for an early luxury market opportunity

Mistaking low price for value

Just because real estate is cheap or because a market is undervalued doesn’t mean it’s a good buy. Make sure that the low price is paired with a future-focused market where there’s momentum for growth and untapped potential.

Following influencer hype

Make sure you’re not just focusing on cool factor without taking into consideration the infrastructure improvements and other elements that are needed for a market’s growth to continue.

Ignoring zoning, taxes, insurability, long-term growth constraints

Do your due diligence on the markets that interest you and understand the other numbers that matter — not just price. For example, more and more markets are seeing their value and growth potential hampered by climate-change-related disasters and extreme events. Understand all of the financial factors that will impact your chosen markets’ potential.

How real estate agents can use content marketing to break into undervalued luxury markets

Spotted an undervalued market before the crowd? Good. Now don’t just expand your services there — become the [unofficial] mayor. Content is your leverage.

Here’s how top agents plant their flag and build authority before the market heats up:

1. Document the transition

Start showing what's changing: new developments, lifestyle perks, early buyer profiles. Post walkthroughs of neighborhoods before they're trendy. You're not selling yet — you're narrating the shift.

2. Get in early and own the best neighborhoods

Use direct mail to build name recognition in high-potential neighborhoods, and always include a QR code that links to your website’s seller page. Consider door-knocking or sponsorships at local events to get up-close-and-personal facetime with residents who may consider moving as new buyers enter the market.

3. Interview locals and builders

Talk to restaurant owners, architects, developers, local leaders — anyone shaping the market. Post it on your social channels, on YouTube and post a transcript on your website’s blog. You’ll get their audience too, and you position yourself as someone with their finger on the pulse.

4. Build a relocation funnel

Offer something targeted: “Relocating to [Emerging Luxury Market]? Here's What Smart Buyers Know.” Make it specific and value-added and gate it behind an email capture. Use the list to nurture leads as the area gains traction.

5. Show social proof — Even if you’re a new agent

If you’ve helped even one client buy there — or just toured a stunning off-market listing — post about it. Use phrases like “previewing for a client,” “early access” or “quiet listings” to signal advanced access and insider status.

The first one talking intelligently about a rising market becomes the expert. Don’t wait to have all the answers — share what you're learning, and let that transparency build trust.

Bottom line: Content lets you show up early, stay visible and build equity before the commissions roll in. Make yourself the luxury market expert by sharing your expertise and always staying ahead of the curve.