Coldwell Banker Releases ‘State of Luxury’ Report
Curious to know the hottest luxury markets of 2018? While there was a moderation in the pace of luxury home sales in 2018, luxury market prices have held their ground since the housing boom began in 2013, says Coldwell Banker’s “The Report: State of Luxury 2019. The report, undertaken with Coldwell Banker Global Luxury, profiles 65 “Power Markets” where the wealthiest and most powerful players tend to own property.
“Power Markets” include both well-established and unexpected luxury markets offering a range of lifestyle amenities, cultural experiences and educational opportunities. Key indicators of “power” status include airport accessibility, ease of doing business, a prestige brand presence and a housing stock that prioritizes privacy, views and exclusivity.
“There are hotbeds of luxury home sales at the million-dollar price point and higher across the North American luxury market, and The Report provides high-level data on the markets to watch,” said Charlie Young, Coldwell Banker president and CEO.
To narrow down the top ten Power Markets for Buyers and Sellers in 2018, as well as other key trends for affluent investors, the Coldwell Banker Global Luxury program collaborated with The Institute for Luxury Home Marketing to analyze the top 5 percent and 10 percent of active and sold listings in 2018.*
2018 Top 5 Luxury Buyer “Power Markets” in Review
- Maui, Hawaii
- Palm Beach, Fla.
- Washington, D.C.
- Kauai, Hawaii
- Brooklyn, N.Y.
2018 Top 5 Luxury Seller “Power Markets” in Review
- LA Valley, Calif.
- Detroit, Mich.
- Las Vegas, Nev.
- Boulder, Colo.
- Raleigh, N.C.
Based on the median prices for the top 10 percent of homes sold in the Power Markets, key findings include:
- Shortest Days on Market: Raleigh-Durham, N.C. boasted the shortest median days on market – three days – for single family homes. For condos, Silicon Valley had the shortest median days on market at nine days.
- Most Affordable (Price per Square Foot): Collin County, Texas and Ft. Worth, Texas were tied for the most affordable luxury markets for single family homes, where the median price per square foot was $165. For condos, Orlando, Fla. had the lowest median price per square foot at $156.
- Most Expensive (Price per Square Foot): On the flip side, the most expensive market is the Los Angeles-Beach area, which includes coastal cities such as Santa Monica, Malibu and Manhattan Beach, where the median price per square foot was $1,398. Vail, Colo. took the top spot for condos at $1,629 median price per square foot.
- Evolving Market: Staten Island, N.Y. stands out as an Evolving Market for its striking value compared to the other four boroughs of New York City, as the proximity to Manhattan and Brooklyn appeals to many buyers who work or own businesses in these surrounding boroughs. 2018 saw impressive sold prices of single-family homes – 134 of the 139 homes closed above $1 million, four of which closed above $2 million.
“Now in its second year, The Report is an all-encompassing, timely resource for Coldwell Banker Global Luxury Property Specialists to prepare for the year ahead in luxury real estate,” said Craig Hogan, vice president of luxury for Coldwell Banker Real Estate LLC. “Our data confirms that wealthy individuals’ preferences are shifting, but demand for high-end properties remains high. Luxury home prices fluctuated month to month in 2018, but from a long-term perspective, sales were strong and stable.”