Houlihan Lawrence Luxury Market Report Q2 2012

Page 1

Houlihan Lawrence 2nd Quarter 2012 Luxury Market Report

Westchester, Putnam and Dutchess Counties


HoulihanLawrence.com

Presented by Anthony Cutugno Senior Vice President Director of Luxury Country Properties Direct: 914.234.0308 ACutugno@houlihanlawrence.com


2nd Q–2012 Luxury Market Report houlihanlawrence.com

We are pleased to present our latest update on the state of the luxury market reporting activity through Q-2 2012 for properties priced at $2 Million or more in Westchester County and $1 Million+ in Putnam and Dutchess Counties. Building on the success reported in our Q-1 2012 report, the overall luxury market has continued to improve with substantial increases in both the number of sales as well as dollar volume. Houlihan Lawrence remains the undisputed luxury market leader with a 54% share of total dollar volume in our three-county territory. The statistics indicate that we are moving past the uncertainty that plagued our luxury marketplace in recent years and that high-end buyers are returning to the market with greater confidence. However, the level of activity varies widely depending on the locale. Southern Westchester markets have shown remarkable vitality and presently account for over 75% of all luxury transactions in the entire region year-to-date. In contrast, despite a few notable sales, demand for luxury homes in northern Westchester, Putnam and Dutchess Counties has been tepid at best. Nonetheless, we are encouraged by the recent activity in these markets and are seeing the re-emergence of the second-home buyer as affluent buyers seek to take advantage of the large number of well-priced properties for sale. We are also reporting sizeable gains for those properties listed in Houlihan Lawrence’s Luxury Division. Year-to-date, 30 of our 100+ Luxury Country Property listings have either sold or are pending, exceeding the total number of homes sold in all of 2011. Many of these sales represent the highest sale in their respective marketplaces as well. In the coming months, I will be attending conferences with our worldwide partners, Christie’s International Real Estate and Luxury Portfolio International, to identify new opportunities for our listings in the global luxury marketplace. Barring any seismic shift in the financial markets, we are cautiously optimistic that the luxury marketplace will continue to stabilize and that the energy of the southern Westchester markets will gradually expand to their neighboring towns to the north. In the meantime, if you have any questions about the luxury market, or would like any information on our wide range of distinguished properties for sale, please contact us at 914.234.0308 or email us at lcp@houlihanlawrence.com.

Anthony Cutugno Senior Vice-President Houlihan Lawrence Luxury Division


2nd Q–2012 Luxury Market Report houlihanlawrence.com

• Westchester County is continuing to enjoy an active luxury market with significant improvements reported for both Total Homes Sold and Total Dollar Volume. • The Q-2 2012 Median Sales Price in Westchester rose slightly vs. Q-2 2011, while in Putnam and Dutchess counties, dramatic declines were registered. • Total Home Sales increased in Dutchess County possibly fueled by stronger second-home buyer demand.

Westchester County Luxury Home Sales - $2 Million & Higher 2nd Q 2012

2nd Q 2011

% Change

Full Year 2012

Full Year 2011

80

64

25%

122

96

27%

Total Dollar Volume

$502,244,360

$382,556,340

31%

$747,240,960

$575,998,340

20%

Median Sales Price

$2,750,000

$2,640,000

4%

$2,675,000

$2,694,000

-1%

95.15

93.67

2%

93.22

92.97

––

208

250

215

253

Total Homes Sold

% Sale Price to List Price Days on Market

-17%

% Change

-15%

Putnam County Luxury Home Sales - $1 Million & Higher 2nd Q 2012

2nd Q 2011

% Change

Full Year 2012

Full Year 2011

% Change

3

4

-25%

5

7

-29%

Total Dollar Volume

$10,115,000

$20,170,000

-50%

$15,315,000

$30,800,000

-50%

Median Sales Price

$1,420,000

$1,917,500

-26%

$1,350,000

$1,495,000

-10%

91.83

89.51

3%

88.08

90.17

-2%

249

235

6%

251

229

10%

Total Homes Sold

% Sale Price to List Price Days On Market

Dutchess County Luxury Home Sales - $1 Million & Higher 2nd Q 2012

2nd Q 2011

% Change

Full Year 2012

Full Year 2011

6

3

100%

9

7

29%

Total Dollar Volume

$23,530,000

$16,800,000

40%

$31,880,000

$95,483,200

-67%

Median Sales Price

$1,825,000

$2,350,000

-22%

$1,700,000.00

$3,800,000.00

-55%

93.26

84.68

10%

82.74

83.03

––

348

596

-42%

329

363

-9%

Total Homes Sold

% Sale Price to List Price Days On Market

Source: Empire Access Multiple Listing Service & Mid-Hudson Multiple Listing Service

% Change


2nd Q–2012 Luxury Market Report houlihanlawrence.com

Houlihan Lawrence remains the leader in luxury home sales throughout the region.

Westchester County Luxury Home Sales $2 Million & Higher

Houlihan Lawrence 54%

18%

7%

Putnam & Dutchess Counties Luxury Home Sales $1 Million & Higher

Houlihan Lawrence 67%

8% 5%

Source: Empire Access Multiple Listing Service & Mid-Hudson Multiple Listing Service


2nd Q–2012 Luxury Market Report houlihanlawrence.com

• Nearly two-thirds of all luxury homes purchased in Westchester sold for under $3 Million so far this year. For luxury buyers in Putnam and Dutchess, the most popular price range was under $2 Million. • The $3-5 Million segment grew in importance as well registering a 35% increase in Westchester County vs. Q-2 2011. • On a regional basis, there have been few top-tier sales. As of Q-2, the highest reported sale was a Westchester equestrian estate that sold for $9.3 Million.

Westchester County Luxury Home Sales 2nd Q 2012

2nd Q 2011

% Change

$2,000,000 – $2,999,999

51

42

21%

81

60

35%

$3,000,000 – $4,999,999

23

17

35%

33

30

10%

$5,000,000 – $9,999,999

6

5

20%

8

6

33%

$10,000,000 and up

0

0

NA

0

0

0

Total

80

64

25%

122

96

27%

Price Range

Year-to-Date Year-to-Date 2012 2011

% Change

Source: Empire Access Multiple Listing Service, Single-family homes

Putnam & Dutchess County Luxury Home Sales 2nd Q 2012

2nd Q 2011

% Change

$1,000,000 – $1,999,999

7

2

250%

12

5

140%

$2,000,000 and up

2

5

-60%

2

9

-78%

Total

9

7

29%

14

14

--

Price Range

Source: Empire Access Multiple Listing Service & Mid-Hudson Multiple Listing Service

Year-to-Date Year-to-Date 2012 2011

% Change


2nd Q–2012 Luxury Market Report 2011 Luxury Market Report houlihanlawrence.com

houlihanlawrence.com

• Rye and Scarsdale continue to reign as the top luxury markets in the region • Bronxville enjoyed an especially active Q-2 and regained its traditional third-place ranking in terms of overall luxury sales. • Bedford reported the highest number of luxury sales in northern Westchester County. To the North, the Millbrook/Washington area was the most popular Dutchess County area. Top Luxury Markets Westchester County Luxury Home Sales $2 Million & Higher

School District

# of Sales

Median Luxury Sale Price

Highest Sale Price

Rye City

28

$2,715,250

$7,000,000

Scarsdale

27

$2,480,000

$5,300,000

Bronxville

15

$2,800,000

$5,450,000

Bedford

11

$2,900,000

$4,800,000

Mamaroneck

8

$3,105,000

$6,235,000

Harrison

7

$2,850,000

$4,000,000

Byram Hills

7

$3,250,000

$9,300,000

Putnam County Luxury Home Sales $1 Million & Higher

Town

# of Sales

Median Luxury Sale Price

Highest Sale Price

Kent

2

$1,278,750

$1,420,000

Patterson

1

$2,500,000

$2,500,000

Carmel

1

$1,250,000

$1,250,000

Phillipstown

1

$1,350,000

$1,350,000

Dutchess County Luxury Home Sales $1 Million & Higher

Town

# of Sales

Median Luxury Sale Price

Highest Sale Price

Washington

2

$2,750,000

$3,750,000

Clinton

2

$1,462,500

$1,700,000

Rhinebeck

1

$1,950,000

$1,950,000

Amenia

1

$1,950,000

$1,950,000

Source: Empire Access Multiple Listing Service & Mid-Hudson Multiple Listing Service


2nd Q–2012 Luxury Market Report houlihanlawrence.com

• Reduced inventories in many price segments have stimulated healthy demand for luxury homes in southern Westchester. • In contrast, the higher inventories and smaller pool of luxury buyers continue to present challenges in northern Westchester, Putnam and Dutchess Counties. Supply/Demand Snapshot Southern Westchester County - $2 Million & Higher

Price Range $2,000,000 - $2,499,999 $2,500,000 - $2,999,999 $3,000,000 - $4,999,999 $5,000,000 and up

As of June 30, 2012 SUPPLY DEMAND Supply/ Active Listings in Demand Listings Contract Ratio* 61 31 2 67 17 4 59 13 5 34 4 9

*Supply Demand Ratio Key

1-4: High Demand

As of June 30, 2011 SUPPLY DEMAND Supply/ Active Listings in Demand Listings Contract Ratio* 86 32 3 61 21 3 71 11 6 27 5 5 5-6: Balanced

7-9: Low Demand

2012 vs. 2011 % % Change in Change in Listings Contracts -29% -3% 10% -19% -17% 18% 26% -20%

10+: Very Low Demand

Northern Westchester County - $2 Million & Higher

Price Range $2,000,000 - $2,499,999 $2,500,000 - $2,999,999 $3,000,000 - $4,999,999 $5,000,000 and up

As of June 30, 2012 SUPPLY DEMAND Supply/ Active Listings in Demand Listings Contract Ratio* 43 6 7 40 5 8 49 4 12 34 1 34

*Supply Demand Ratio Key

1-4: High Demand

As of June 30, 2011 SUPPLY DEMAND Supply/ Active Listings in Demand Listings Contract Ratio* 48 9 5 29 1 29 50 2 25 43 1 43 5-6: Balanced

7-9: Low Demand

2012 vs. 2011 % % Change in Change in Listings Contracts -10% -33% 38% 400% -2% 100% -21% 0%

10+: Very Low Demand

Putnam County - $1 Million & Higher

Price Range $1,000,000 - $1,999,999 $2,000,000 and up

SUPPLY Active Listings 46 12

As of June 30, 2012 DEMAND Supply/ Listings in Demand Contract Ratio* 3 15 1 12

*Supply Demand Ratio Key

1-4: High Demand

SUPPLY Active Listings 41 16 5-6: Balanced

As of June 30, 2011 DEMAND Supply/ Listings in Demand Contract Ratio* 2 21 0 NA 7-9: Low Demand

2012 vs. 2011 % % Change in Change in Listings Contracts 12% 50% -25% NA

10+: Very Low Demand

Dutchess County - $1 Million & Higher

Price Range $1,000,000 - $1,999,999 $2,000,000 and up

SUPPLY Active Listings 73 66

As of June 30, 2012 DEMAND Supply/ Listings in Demand Contract Ratio* 5 15 0 NA

*Supply Demand Ratio Key

1-4: High Demand

Source: Empire Access Multiple Listing Service & Mid-Hudson Multiple Listing Service

SUPPLY Active Listings 69 55 5-6: Balanced

As of June 30, 2011 DEMAND Supply/ Listings in Demand Contract Ratio* 3 23 0 NA 7-9: Low Demand

2012 vs. 2011 % % Change in Change in Listings Contracts 6% 67% 20% NA

10+: Very Low Demand

Southern Westchester (Zones 3-8), Northern Westchester (Zone 1-2)


2nd Q–2012 Luxury Market Report houlihanlawrence.com

Ten-Year Market History Westchester County Median Luxury Sale Price

$3,000,000 $2,500,000

$2,625,000 $2,600,000 $2,660,000 $2,725,000 $2,497,000 $2,600,000 $2,575,000 $2,675,000 $2,550,000 $2,600,000

$2,000,000

341

326

189 123

400

153

300

308 237

208

$1,000,000

500

375

297

$1,500,000

$500,000

Number of Units Sold

Homes Sold $2 Million & Higher

151

229

221

100

96

2010

2011

200

164 122

82

122

100

52

0

0 2003

2004

2005

2006

2007

2008

2009

2012

Units Sold Full Year

Units Sold Year-to-Date

Putnam County Number of Units Sold

Homes Sold $1 Million & Higher

Median Luxury Sale Price

50 $2,000,000 $1,600,000

$1,444,450 $1,432,500 $1,385,000

$1,200,000

26 20

$800000 14

$400000 5

$0

$1,287,500

2003

16 12 8

2004

$1,385,750 $1,347,500 $1,412,500 $1,350,000 $1,150,000 $1,200,000

30

23 14

7

20 16

14 7

2005

2006

2007

6 1

2008

Units Sold Year-to-Date

5 1

2009

2010

12 7

2011

10 5

2012

Number of Units Sold

Homes Sold $1 Million & Higher

$2,000,000

60 $1,705,000 $1,565,000 $1,500,000

$1,600,000 $1,325,000

38

37

$1,200,000

$1,625,000 $1,387,500 $1,327,500 38

$1,700,000

40

24 19

15

18

15

14

$0

16

10 5

2003

18

2005

2006

2007

Units Sold Year-to-Date

2008

2009

21

25

30 20

9

7

9

2010

2011

2012

4

2004

50

$1,512,500 $1,500,000

29

$800,000 $400,000

0

Units Sold Full Year

Dutchess County Median Luxury Sale Price

40

10 0

Units Sold Full Year

Source: Empire Access Multiple Listing Service & Mid-Hudson Multiple Listing Service


2nd Q–2012 Luxury Market Report houlihanlawrence.com A Selection of Houlihan Lawrence’s Recent Luxury Sales

THE PINNACLE

AT

CONYERS FARM

OLD WORLD SPLENDOR

ARMONK Last Offered at $12,995,000

BRONXVILLE Last offered at $5,875,000

LARCHMONT MANOR MASTERWORK

STATELY ELEGANCE

LARCHMONT Last Offered at $6,195,000

SCARSDALE Last offered at $4,995,000

RIVERDALE

CLASSIC BEDFORD ELEGANCE

MILLBROOK Last offered at $3,900,000

BEDFORD Last offered at $2,999,000


HOULIHAN LAWRENCE LUXURY COUNTRY PROPERTIES Over 20 years ago, the Luxury Country Properties Division of Houlihan Lawrence was created to serve the special needs of the luxury marketplace. Headquartered in Bedford, the Luxury Country Properties team, under the leadership of veteran luxury real estate expert, Anthony P. Cutugno, develops customized programs designed to differentiate estate properties from other listings on the market. Founded upon a tradition of exceptional client service and marketing expertise, our programs for these properties are designed to attract discerning customers throughout the region and around the globe. Encompassing a blend of new media as well as traditional time-honored marketing approaches, each program is customized to promote a property’s unique qualities. This expertise when combined with the powerful Houlihan Lawrence brand recognition has made us the leading authority on luxury residential real estate in Westchester, Putnam and Dutchess counties. For more information on our Luxury Country Properties program or to subscribe to our monthly newsletter, please contact us at lcp@houlihanlawrence.com

914.234.0308 houlihanlawrence.com


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