The Institute’s Luxury Market Report is your guide to an analysis on the trends and comparative data on the top-residential markets throughout Canada and the United States.
November’s report reviews the current statistics for the luxury market in North America month over month, as well as the 13-month trend.
The luxury real estate market is currently facing some interesting challenges as buyers and sellers hesitate in their home purchase decisions. We seek to unravel some of the contradictions and address what is influencing the current spending habits of the affluent.
If statistics still show that many of the luxury markets in our report remain favorable to sellers, then why are homeowners not putting their homes on the market? Are outside influences solely to blame, or are there other disruptors within the luxury arena that are the cause of the market’s slowdown? If the affluent perceive real estate as a safe investment option, and there has never been more liquidity on the buyers’ side for quality homes, then why are we seeing a decline in home sales? If many experts are saying that prices will fall, then why are others predicting they will not? Does the answer lie in the fact that all markets are not equal, and preferences by the affluent are on the change again?
While we acknowledge that the affluent are taking a more considered approach in their choices, and it is very unlikely we will see the frenzy of last year’s buying occur in our lifetime, there is still a strong belief that the luxury market will continue to remain robust. Both Nasdaq and Coldwell Banker Global Luxury state that their research shows that the value of luxury properties will continue to rise as the wealthy perceive real estate as a secure long-term investment.
It is important to understand that the art of selling and buying should always include an analytical approach to truly appreciate the realities, rather than just listening to the market rhetoric.
Click here to see The Institute’s full report.
For homeowners looking to sell or buy their luxury home in today’s market, we recommend working with a real estate professional who can provide you with critical knowledge about your local market, maintain a high level of security and safety during the process, and who knows how to leverage technology and strategies to provide maximum exposure and assistance.
Get exclusive insights into the upper-tier real estate market at one of The Institute for Luxury Home Marketing’s live or online training sessions. Enroll today!
