The global personal luxury goods market is showing early signs of recovery in the second quarter, even as geopolitical tensions continue to weigh on consumer confidence. According to Bain & Company, stronger-than-expected demand in the United States has helped offset weakness in other major markets.

In its latest annual outlook, Bain said its base-case scenario now forecasts personal luxury sales to grow by between 2% and 4% this year. That compares with a previous projection of 3% to 5%, published in November before the outbreak of the U.S.-Israeli war on Iran reshaped the macroeconomic outlook.

Follow THE FUTURE on LinkedIn, Facebook, Instagram, X and Telegram

Valued at €358 billion ($406 billion) in 2025, the global personal luxury goods market has contracted over the past two years. At current exchange rates, sales declined by 2% in 2025, although they increased by 1% at constant exchange rates, highlighting the impact of currency movements on the sector’s overall performance.

Experiences Continue To Outperform Products

Spending on experiences continues to outpace purchases of luxury goods, according to the report, which Bain prepared in partnership with Italian luxury association Altagamma. The findings suggest consumers are becoming more selective, directing discretionary spending toward travel, hospitality and other experience-led services rather than exclusively toward handbags, watches and apparel.

“We see growing uncertainty and turmoil at the macroeconomic and socio-political levels, but the market is there,” Bain partner Francesca Levato told Reuters.

The U.S. Leads While Europe Remains Under Pressure

Stronger-than-expected growth in the United States, supported by domestic brands and younger consumers, is helping offset weaker demand in Europe and the Middle East. China is also showing gradual signs of recovery, with ready-to-wear outperforming leather goods as consumer preferences continue to evolve.

“America is growing more than expected, and China is recovering faster than expected,” Levato said.

Europe, meanwhile, continues to face weaker tourist flows, although Bain reported signs of stabilisation in May.

Luxury Brands Face A Smaller Customer Base

According to Levato, the luxury industry has lost around 70 million consumers since 2022 as brands increased prices and focused more heavily on their highest-spending customers. While that strategy may have supported margins, it also reduced the industry’s consumer base.

“The industry should refuel the growth of the consumer base rather than focus only on the top 1 per cent,” she said.

AI And Resale Continue To Influence Buying Decisions

The report also points to the growing role of artificial intelligence in luxury shopping. Around half of luxury consumers already use AI during the purchasing process, primarily to discover brands and compare products.

Resale is also becoming increasingly influential. Half of luxury shoppers now consult second-hand marketplaces before purchasing new items, reflecting the expanding role of pre-owned goods in consumers’ buying decisions.

Businesses in Cyprus and across global markets are preparing for higher software costs as Microsoft raises prices across much of its corporate subscription portfolio from July 1, 2026.

The changes will affect most business subscription plans, with prices for some products increasing by as much as 33%. For many organisations, the new rates will take effect automatically when existing contracts come up for renewal.

Follow THE FUTURE on LinkedIn, Facebook, Instagram, X and Telegram

AI Features Drive Higher Subscription Costs

Industry analysts say the price increases reflect Microsoft’s decision to incorporate more artificial intelligence capabilities and additional security features into its products. As a result, organisations will pay higher subscription fees regardless of whether employees actively use those tools.

Standard workplace packages are expected to increase by between 12% and 16%. The largest adjustment, 33%, applies to Microsoft 365 F1, or Frontline, plans designed for employees in production, retail and field-based roles.

Those workers typically require communication tools and access to essential business applications rather than the full range of AI-powered features included in premium subscriptions. For organisations with large frontline workforces, the higher pricing could significantly increase software licensing costs.

Companies Reassess Licensing Strategies

According to software broker Forscope, Microsoft’s revised pricing is encouraging more organisations to consider hybrid software management models. These combine perpetual licences for core Office applications, often purchased through the secondary market, with lower-cost cloud subscriptions for communication and collaboration.

For many businesses, the objective is to align software spending more closely with employees’ actual requirements instead of paying for premium features that are not widely used.

Cost Comparison Highlights Potential Savings

Forscope compared software costs for a company with 100 users over three years. Maintaining Microsoft Office 365 E3 for all employees is estimated to cost €580,000 over that period. A hybrid model combining Office LTSC Professional Plus 2024 with Office 365 E1 would reduce that figure to an estimated €396,000.

According to Forscope, the hybrid approach could save a 100-user organisation as much as €190,198 over three years while continuing to provide the software needed for day-to-day operations.

Software Spending Comes Under Greater Scrutiny

Microsoft’s latest pricing changes are prompting businesses to review how they allocate technology budgets as subscription costs continue to rise alongside the rollout of AI features.

Organisations with large frontline workforces are expected to feel the greatest impact, since even relatively small increases in licensing costs can translate into significantly higher overall spending. As a result, hybrid licensing models are becoming one option for businesses looking to balance software costs with operational needs.

Energy demand in the European Union’s services sector continued to rise in 2024, reflecting the growing power needs of an increasingly digital and customer-oriented economy. According to Eurostat, final energy consumption reached 4,971 petajoules, up from 4,886 petajoules in 2023.

That marks a year-on-year increase of 1.7%. Over the longer term, energy consumption in the sector has grown by 25% since 1990.

Follow THE FUTURE on LinkedIn, Facebook, Instagram, X and Telegram

Services Still Trail Transport, Households And Industry

Despite that growth, services accounted for 13.5% of total final energy consumption across the EU in 2024. Transport remained the largest consumer at 32.3%, followed by households at 26.0% and industry at 24.5%.

Only agriculture, forestry and fishing recorded a smaller share, representing 3.6% of final energy consumption.

Electricity And Natural Gas Continue To Dominate

Electricity and natural gas remained the primary energy sources for the services sector, together accounting for more than three-quarters of total consumption.

More than half of all energy use came from electricity (52.0%), while natural gas accounted for a further 25.4%. Renewables and biofuels contributed 8.7%, heat represented 7.7%, and oil and petroleum products 5.6%. The remaining 0.6% came from other sources, including coal and waste.

Wholesale And Retail Trade Tops Energy Use

Wholesale and retail trade remained the largest energy-consuming services subsector in 2024, using 1,021 petajoules, or 21.2% of the sector’s total consumption.

Human health and social work activities followed with 506 petajoules, representing 10.5%, while accommodation and food service activities consumed 503 petajoules, also equal to 10.5%.

Professional, scientific and technical activities, together with other service activities, accounted for the remaining 492 petajoules, or 10.2%.

A Gradual Shift In Energy Demand

Although services are not the EU’s largest energy-consuming sector, their energy footprint continues to expand. Growing reliance on electrification and digital infrastructure across offices, retail, healthcare and hospitality is steadily increasing electricity demand while reinforcing the importance of energy efficiency and a more diversified energy mix.

Two new billionaires headline a starting XI that collectively earned an estimated $950 million over the 12 months leading up to the 2026 FIFA World Cup.

This year’s tournament will be marked by a series of firsts. For the first time in its 96-year history, the FIFA World Cup will feature 48 teams. It will also be the first edition hosted by three countries, the United States, Canada and Mexico, and staged across a record 16 cities.

Follow THE FUTURE on LinkedIn, Facebook, Instagram, X and Telegram

Another milestone will come on the pitch. Cristiano Ronaldo, who will captain Portugal at 41, and Lionel Messi, leading defending champions Argentina at 38, will become the first billionaire players to compete at a World Cup.

Attending the tournament may also become a milestone of its own. With ticket prices reaching unprecedented levels, the World Cup is increasingly becoming a luxury experience. FIFA recently listed a ticket for the July 19 final at MetLife Stadium in New Jersey for $32,970, three times the price offered in April and more than 20 times the price of an equivalent ticket for the 2022 final in Qatar. Resale prices have climbed even higher, with FIFA’s own platform at one point listing four final tickets at nearly $2.3 million each.

Here are the 11 highest-paid players competing at the 2026 FIFA World Cup.

The World’s Highest-Paid World Cup Players

1. Cristiano Ronaldo — $300 Million

Nationality: Portugal | Age: 41 | On-field: $235 million | Off-field: $65 million

Ronaldo remains football’s highest-paid player and the world’s highest-paid athlete across all sports. His estimated $300 million in earnings over the past year matches Floyd Mayweather Jr. for the largest annual income Forbes has ever recorded for an athlete, excluding inflation.

Forbes estimates Ronaldo’s net worth at $1.2 billion, making him one of only a handful of active billionaire athletes. He will compete in a record sixth World Cup while still chasing the only major title missing from his career. Confidence is also high after helping Al-Nassr win the Saudi Pro League last month, his first league title since joining the club in 2023.

2. Lionel Messi — $140 Million

Nationality: Argentina | Age: 38 | On-field: $70 million | Off-field: $70 million

Like Ronaldo, Messi has joined Forbes’ billionaire ranks, with an estimated net worth of $1.1 billion. He is also preparing for a record sixth World Cup as Argentina attempts to defend the title it won in 2022.

Individual history is also within reach. Four goals would see Messi overtake Miroslav Klose to become the tournament’s all-time leading scorer.

Away from the pitch, his commercial appeal remains as strong as ever. Messi appears in new campaigns for Adidas alongside Bad Bunny and Timothée Chalamet, as well as for Michelob Ultra with Christian Pulisic and Billy Bob Thornton. Lowe’s has also launched a 10-foot inflatable Messi for $99.

3. Kylian Mbappé — $95 Million

Nationality: France | Age: 27 | On-field: $70 million | Off-field: $25 million

Mbappé has played in three fewer World Cups than Messi but trails him by just one goal on the tournament’s all-time scoring list. That finishing ability also helped him become Real Madrid’s top scorer in the 2025–26 UEFA Champions League campaign.

Having won the World Cup with France at 19 before reaching another final four years later, Mbappé remains one of football’s most marketable stars. Ahead of this summer’s tournament, he signed a partnership with Fairmont Hotels & Resorts and joined health insurer Alan as both an ambassador and investor.

4. Erling Haaland — $80 Million

Nationality: Norway | Age: 25 | On-field: $60 million | Off-field: $20 million

Haaland signed a long-term contract extension with Manchester City last year, but speculation about his future has continued. Most recently, renewable energy entrepreneur Enrique Riquelme said he would try to sign the striker if elected Real Madrid president, prompting a legal response from City.

Attention now turns to the World Cup, where Norway will make its first appearance since 1998, two years before Haaland was born. Despite the expectations, he appears comfortable with the spotlight. As he recently told GQ, “It’s a lot of pressure on me, but I like the pressure.”

5. Vinicius Jr. — $60 Million

Nationality: Brazil | Age: 25 | On-field: $40 million | Off-field: $20 million

Vinicius has taken a realistic view of Brazil’s chances. Speaking to creator Ibai Llanos in February, he said Argentina, Portugal, Spain and France were ahead of Brazil, a view he repeated in March by saying the five-time champions should not be considered tournament favourites.

Brazil nevertheless enters the World Cup aiming to end a 24-year wait for another title. Off the field, Vinicius could soon add another commercial partnership after fans spotted what appeared to be a Fortnite skin inspired by the Real Madrid forward in a recent Nike advertisement, although no collaboration has been officially announced.

6. Mohamed Salah — $55 Million

Nationality: Egypt | Age: 33 | On-field: $35 million | Off-field: $20 million

After nine seasons, 257 goals and two Premier League titles, Salah is set to leave Liverpool. In March, he agreed to terminate his contract a year early, paving the way for a free transfer this summer.

The “Egyptian King” will now lead Egypt into its fourth World Cup appearance. Although the Pharaohs have won a record seven Africa Cup of Nations titles, they have never claimed a victory at the World Cup. That could change in Group G, where Egypt will face Belgium, Iran and New Zealand.

7. Sadio Mané — $54 Million

Nationality: Senegal | Age: 34 | On-field: $50 million | Off-field: $4 million

Mané has lifted two major trophies this year, although only one remains official. Before winning the Saudi Pro League alongside Ronaldo at Al-Nassr, he helped Senegal win the Africa Cup of Nations in January. The title was later revoked after players walked off during the final in protest over a disputed penalty awarded to Morocco.

Returning to the World Cup after missing the 2022 tournament through injury, Mané could help Senegal reach the quarterfinals for the first time in 24 years. A strong campaign would also come at an important time as his Al-Nassr contract approaches its expiration.

8. Jude Bellingham — $44 Million

Nationality: England | Age: 22 | On-field: $29 million | Off-field: $15 million

Bellingham is one of three Real Madrid players featured in this ranking, alongside Mbappé and Vinicius. Although only 22, he played a key role for England at the 2022 World Cup, becoming the country’s second-youngest scorer in tournament history and adding an assist in the round of 16.

That performance helped secure a transfer worth more than $100 million from Borussia Dortmund to Real Madrid. Even so, England manager Thomas Tuchel said this week that Bellingham will have to compete for playing time in a squad featuring “14 or 15 potential starters.”

9. Lamine Yamal — $43 Million

Nationality: Spain | Age: 18 | On-field: $33 million | Off-field: $10 million

Yamal missed the closing stages of Barcelona’s La Liga title-winning season with a hamstring injury but has since returned to training with Spain. Barcelona has reportedly placed restrictions on his involvement during the World Cup.

According to Spanish newspaper AS, Yamal could be limited to 15 minutes as a substitute in Spain’s opening match against Cape Verde and up to 60 minutes against Saudi Arabia. Even with those limitations, the teenager remains one of the tournament’s biggest commercial stars, appearing in World Cup campaigns for Coca-Cola, McDonald’s, Powerade and Visa after signing with American Eagle in January.

10. Harry Kane — $41 Million

Nationality: England | Age: 32 | On-field: $29 million | Off-field: $12 million

Kane is the only Bundesliga player in this ranking, representing Bayern Munich. He also remains England’s all-time leading scorer, with 79 goals in 113 international appearances.

England’s captain will be looking to build on the team’s runner-up finish at UEFA Euro 2024, where he shared the Golden Boot as the tournament’s leading scorer. His form has already carried into this year after scoring in England’s World Cup warm-up victory over New Zealand, taking his 2026 tally to 32 goals for club and country, 14 more than any other player in the world, according to ESPN.

11. Neymar — $38 Million

Nationality: Brazil | Age: 34 | On-field: $10 million | Off-field: $28 million

Neymar continues to recover from a calf injury that ruled him out of Brazil’s World Cup warm-up matches. Coach Carlo Ancelotti has said he will need to compete with Vinicius Jr. and Raphinha for playing time once he returns to full fitness.

Brazil has nevertheless handed Neymar the iconic No. 10 shirt for this summer’s tournament, making him the first Brazilian to wear the number at four World Cups. Legends including Pelé, Zico, Rivaldo, Ronaldinho and Kaká have previously worn the jersey.

Methodology

Forbes’ ranking measures earnings over the 12 months leading up to the 2026 FIFA World Cup. All figures are converted into U.S. dollars using exchange rates as of May and rounded to the nearest $1 million.

On-field earnings include salaries, bonuses and, where applicable, club-based image rights agreements during the 2025–26 season. Because Lionel Messi’s MLS contract follows a calendar-year schedule, his on-field estimate reflects the previous 12 months.

Off-field earnings include cash income from endorsements, licensing, appearances, memorabilia and returns from businesses in which the athlete holds a significant stake. For some players, including Messi and Ronaldo, subsidies from club or league sponsors are included in the on-field estimate.

Estimates are based on news reports, public databases such as Capology.com and information provided by industry sources, many of whom requested anonymity. Forbes also acknowledges soccer correspondent Tancredi Palmeri, DODICI Sports Management’s Mariano Trasande and Xeric Sports Management’s Shea Richard Soma.

Investment income, including interest and dividends, is excluded, while proceeds from the sale of equity stakes are included. Taxes, agents’ fees and transfer fees are not reflected in the estimates.

Hotel bookings in Cyprus are showing signs of recovery after months of disruption linked to tensions in the Middle East. However, the island’s tourism industry is still facing an average loss of about 20 per cent for the remainder of the season, according to the president of the hotel managers association.

Booking Momentum Returns, But Losses Persist

Christos Angelides said the wave of cancellations recorded over the past two to three months has eased, with bookings improving both in the short term and for the remainder of the season.

Follow THE FUTURE on LinkedIn, Facebook, Instagram, X and Telegram

Speaking to the Cyprus News Agency, he said demand has yet to recover sufficiently to offset earlier losses or deliver what would normally be considered a strong year for the tourism sector.

Hotels Adjust Pricing To Support Demand

Hotels and other tourism businesses are responding with more competitive pricing and targeted promotional campaigns, including offers aimed at the domestic market. Angelides noted that airfares and accommodation prices in competing destinations have also increased.

“Destinations which were previously considered cheaper than us no longer are,” he said. At the same time, he expects more Cypriots to weigh household budgets before choosing to travel abroad.

Airlines And Israeli Tourism Show Early Signs Of Recovery

Asked about flight cancellations and route adjustments, Angelides said airlines have reduced some services because of higher aviation fuel costs. He expressed hope that easing regional tensions would lower fuel prices and airfares, supporting a stronger autumn and potentially winter season.

Visitor numbers from Israel have also started to recover after falling to almost zero for roughly two to three months. Angelides said daily arrivals are increasing and that even short stays of two or three days would provide meaningful support to the tourism industry. Last-minute bookings, he added, are already helping to strengthen demand and could continue to support the sector through the rest of the season.

Protecting Cyprus’ Tourism Reputation

Despite weaker occupancy rates, Angelides said maintaining service quality remains essential. He identified two immediate priorities for the sector: recovering from the decline in hotel occupancy recorded in March, April and May, and safeguarding Cyprus’ reputation as “a quality and pleasant destination” built over many years.

Angelides also called for a sustained promotional campaign through the end of 2027 to help restore momentum in international markets and dispel any remaining concerns about Cyprus as a safe destination.

A cyberattack on Jaguar Land Rover that disrupted production for months is now being linked to Russian hackers, according to a report by The New York Times citing people familiar with the investigation. The breach is estimated to have cost the British economy $2.5 billion and prompted the U.K. government to back a £1.5 billion loan guarantee for the automaker.

Pressure On A Strategic National Asset

Jaguar Land Rover is one of the United Kingdom’s largest manufacturers and employers. The cyberattack disrupted production for months, affecting the company’s operations and wider supply chain.

Follow THE FUTURE on LinkedIn, Facebook, Instagram, X and Telegram

New Reporting Points To Russian Actors

For months, the identity of the attackers remained unknown. People familiar with the investigation told The New York Times that the hackers behind the breach were Russian. Whether they acted on behalf of the Russian government, operated independently or worked with tacit state support remains unclear.

An Investigation Involving Multiple Agencies

Microsoft identified the Russian hacking group and alerted Jaguar Land Rover, The New York Times reported. Authorities and cybersecurity firms involved in the investigation included the FBI, the U.K.’s National Crime Agency, the National Cyber Security Centre, Google’s Mandiant and Palo Alto Networks.

A Second Intruder Complicates The Investigation

The report also said a Jordanian hacker known as Rey gained access to parts of Jaguar Land Rover’s network, adding another layer to the investigation into the breach.

General Atlantic has appointed tennis icon Novak Djokovic as a global strategic advisor, bringing one of the most accomplished athletes in modern sport into its leadership circle as the firm expands its focus on wellness, innovation and sports-related investing.

Why Djokovic Fits The Mandate

According to a General Atlantic press release, Djokovic will work closely with the firm’s leadership, portfolio companies and investors, contributing perspectives on leadership, resilience and innovation. For a private equity and growth equity platform built on identifying durable long-term trends, the move is as symbolic as it is strategic.

Follow THE FUTURE on LinkedIn, Facebook, Instagram, X and Telegram

The announcement arrives just days before Djokovic is due to compete at Wimbledon, where he is pursuing a record-extending 25th Grand Slam title. The timing underscores the duality of Djokovic’s brand: still an elite competitor on the court, while increasingly active as an investor and operator off it.

A Growing Portfolio In Health And Wellness

Djokovic’s interests already extend well beyond tennis. He has backed a range of wellness-focused businesses, including Waterdrop, co-founded the supplement company SILA in 2024, and later helped launch the clean snack brand Cob Foods in 2025. He has also supported the wearables company Incrediwear.

That track record gives General Atlantic a credible entry point into the health and wellness economy, one of the most resilient consumer themes in private markets. As Bloomberg reported, the firm aims to leverage Djokovic’s network to broaden its reach in the sector.

Private Equity’s Growing Interest In Sport

General Atlantic is also expanding its presence in sports investing. Over the past two years, the firm has acquired stakes in a football club, a sports stadium and a sports media agency, reflecting broader interest from private capital in sports, entertainment and related infrastructure.

Tennis has also attracted growing investor attention, with General Atlantic becoming one of the latest firms to expand into the sector.

Speaking to Bloomberg, General Atlantic Chief Executive Bill Ford said Djokovic has “strong views about how professional tennis can be reshaped,” adding that “there’ll be opportunities there.”

President Donald Trump on Friday warned that countries imposing digital services taxes on U.S. companies could face tariffs of up to 100% on their exports to the United States.

A Direct Warning To Trade Partners

In a post on Truth Social, Trump said the tariff would “supersede Trade Deals made with the Country, whether implemented, signed, or not.”

Follow THE FUTURE on LinkedIn, Facebook, Instagram, X and Telegram

He also said the measures would be “immediately imposed” if governments proceed with plans to introduce digital services taxes.

Why Digital Taxes Have Become A Flashpoint

Digital services taxes are intended to tax revenue generated by large online platforms, many of which are U.S.-based companies such as Meta, Alphabet and Amazon.

Supporters argue the measures ensure multinational technology companies pay taxes where they generate revenue. Washington, however, has long argued that such taxes disproportionately target American firms.

Trump has repeatedly threatened retaliation against countries adopting digital services taxes. Last year, he warned Canada that it would end trade negotiations if Ottawa introduced its proposed digital levy. Canada later withdrew the measure before it took effect.

Europe Is In The Crosshairs

More than a dozen countries have already introduced digital services taxes, according to the Tax Foundation. In Friday’s post, Trump singled out “Numerous European Countries” that he said are considering similar measures.

That puts the issue squarely at the intersection of tax policy, trade policy and geopolitical leverage. For global businesses, the risk is not just higher costs, but the possibility that tariff retaliation could spill into broader commercial relationships.

Legal Authority Remains Unclear

Questions remain over the legal authority the administration could use to impose immediate country-specific tariffs on this scale. Earlier, the U.S. Supreme Court ruled that the International Emergency Economic Powers Act did not authorize the administration’s reciprocal tariffs.

Hours after that decision, Trump announced an executive order imposing a new global 10% tariff under Section 122 of the Trade Act of 1974. That provision allows tariffs to remain in place for up to 150 days unless Congress approves an extension.

The U.S. government has authorized Anthropic to provide its Mythos 5 model to a limited group of around 100 companies and federal agencies, easing restrictions imposed earlier this month on the company’s most advanced AI systems.

Commerce Department Eases Restrictions On Mythos 5

According to a letter seen by CNBC, U.S. Commerce Secretary Howard Lutnick said “appropriate safeguards are in place” to allow selected trusted partners to access Claude Mythos 5.

Follow THE FUTURE on LinkedIn, Facebook, Instagram, X and Telegram

The decision follows two weeks of discussions between Anthropic and the Trump administration over access to the company’s latest models, Mythos 5 and Fable 5.

For now, the authorization applies only to Mythos 5. Restrictions on Fable 5 remain in place.

A Narrow Opening, Not A Full Reversal

Addressed to Anthropic co-founder Tom Brown, the letter follows reports that he has led discussions with the White House after CEO Dario Amodei stepped back from direct negotiations.

Earlier this month, Anthropic suspended access to both models after receiving an export-control directive requiring the company to block access for all foreign nationals, including its own employees, regardless of whether they were inside or outside the United States.

Those restrictions came shortly after Anthropic introduced the two models. At launch, the company described them as state-of-the-art across multiple industry benchmarks, with Fable 5 including additional safeguards for high-risk applications.

OpenAI Moves Faster On Broader Rollout

On the same day, OpenAI introduced three new AI models, saying access would initially be limited to a small group of trusted partners in line with a request from the U.S. government.

The company said it plans to make GPT-5.6 Sol, Terra and Luna more broadly available in the coming weeks and confirmed that government officials had been briefed on the models before their release.

Anthropic’s Tense Relationship With Washington

Relations between Anthropic and the Trump administration have become increasingly strained this year.

Earlier, the Department of Defense designated the company a supply chain risk following disagreements over the use of its AI models, preventing certain defense contractors from using Claude models in military-related work.

Anthropic is challenging that designation in court, and the case remains ongoing.

A majority of U.S. consumers now say they would prefer to buy a home rather than rent or live with family, according to Bank of America’s latest Homebuyer Insights Report.

The survey marks the first time since 2023 that more respondents have favored homeownership than renting or living with family, despite continued affordability challenges.

Follow THE FUTURE on LinkedIn, Facebook, Instagram, X and Telegram

Sentiment Improves Even As Affordability Pressures Persist

Overall, 53% of respondents said they would rather buy a home, while 47% preferred renting or living with family. Gen Z and millennial respondents were among the strongest supporters of homeownership, according to the survey.

At the same time, affordability remains a key consideration. Bank of America found that 71% of respondents are waiting for interest rates and home prices to decline before purchasing a home, down from 75% in 2025.

The survey also found that 22% of current homeowners expect to purchase another property within the next year, compared with 15% a year earlier.

Buyers Are Moving From Waiting To Acting

“Despite real and persistent challenges in the market, buyers and owners are increasingly optimistic, and many are starting to move forward rather than waiting on the sidelines,” said Matt Vernon, head of consumer lending at Bank of America, which can be found at Bank of America.

“We are seeing meaningful changes in attitudes toward homeownership.”

Still, affordability remains the central barrier for would-be buyers. High home prices and elevated interest rates continue to rank among consumers’ top concerns, underscoring the gap between aspiration and execution in today’s housing market.

AI Is Entering The Homebuying Process

The survey also highlighted the growing use of artificial intelligence during the homebuying process. One in five prospective buyers and current homeowners said they had used AI tools or chatbots over the past year to estimate costs, evaluate neighbourhoods and monitor housing market trends.

The Homebuyer Insights Report is based on a survey conducted by Sparks Research on behalf of Bank of America between April and May, covering 1,000 homeowners and 1,000 renters.