Reports Indicate an Improving Luxury Market

Photo Courtesy of Cindy Graf

Various real estate reports and surveys released in September & October are indicating that the national luxury property market is expected to experience an improved climate.  We found the following statistics to be indicative that the luxury home market will continue to be strong, despite what may happen in other categories of the real estate market.

• 1/3 of consumers with an income of $250k or more are considering an investment property or vacation home purchase in the next 12 months.
• Consumers in the luxury market considering a purchase believe the properties will increase 14% in value over the next 5 years.  
• The average luxury property purchase by wealthy consumers was averaged at $1.6 million.
• Of those consumers with a net worth of over $2 million, very few indicated that they view the luxury real estate market as risky.