Houlihan Lawrence Luxury Market Report 1st Quarter 2012

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Houlihan Lawrence 1st 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


1st Q–2012 Luxury Market Report houlihanlawrence.com

Welcome to the latest edition of our Luxury Market Report detailing activity in Q-1 2012 for properties priced at $2 Million or more in Westchester County and $1 Million+ in Putnam and Dutchess Counties. With a very busy first quarter behind us, we are delighted to report on substantial improvements in the luxury marketplace in both the number of sales as well as the number of pending transactions. Using Westchester County as our key indicator, there were significant increases in the number of Total Homes Sold - up 28% and Total Dollar Volume - up 24% vs. the same period last year. In select price ranges, pending sales have risen remarkably vs. year ago reflecting the unusually high level of activity we experienced in the luxury marketplace in February and March. Houlihan Lawrence continued to dominate marketwide representing 51% of luxury sales throughout our three-county territory. Why this surge in buyer demand? To some extent, the improved economic outlook and nearly balmy weather drove some of this activity. However, there’s no doubt that both a strong supply of well-priced properties and favorable mortgage rates have stimulated a level of interest in luxury real estate that we have not seen in years. Homes priced between $2-3 Million were particularly popular among high-end buyers and approximately 75% of these homes were either fully renovated or newly constructed. Clearly, today’s luxury buyers are not interested in devoting their time and money to home improvements. At Houlihan Lawrence’s Luxury Division, the good news continues as we are reporting that over 20% of our 100+ listing inventory has either sold or is pending at the end of Q1-2012. Several of these closed or pended sales are for $5 Million or more, and for a select few, we even experienced multiple bidding. We are finding that this boost in interest is not limited to our region alone. Reports from two recent conferences I attended with Houlihan Lawrence’s premier global partners – Christie’s International Real Estate and Luxury Portfolio International – indicate that top-tier real estate is proving popular around the country and across the globe. While it’s too early to predict if this level of demand will be sustainable in the coming months, we are buoyed by these positive results and are expecting a highly successful 2nd Quarter. If you have questions about the luxury market or would like more information about the wide range of distinctive properties that we are currently offering for sale, please contact us at 914.234.0308. A selection of the many impressive properties we represent is found at the end of this report. As the longtime leader for luxury sales, we look forward to sharing our insights with you. Anthony Cutugno Senior Vice-President Houlihan Lawrence Luxury Division


1st Q–2012 Luxury Market Report houlihanlawrence.com

• Regionally, Westchester County remains the strongest luxury market by far with substantial increases in Total Homes Sold and Total Dollar Volume. • Across the board, Median Sales Prices dipped vs. 1st Quarter 2011, a consequence of continued popularity of the lower luxury price ranges. • Quarter vs. quarter decreases in Putnam and Dutchess are not conclusive due to the small number of transactions. Similarly, the exceptional drops in Dollar Volume in these two marketplaces are due to a few exceptionally high-priced sales in 1st Quarter 2011 that have skewed the results.

Westchester County Luxury Home Sales - $2 Million & Higher 1st Q 2012

1st Q 2011

% Change

Full Year 2011

Full Year 2010

% Change

41

32

28%

221

229

- 3.5%

Total Dollar Volume

$238,996,600

$193,442,000

24%

$1,328,282,600

$1,353,228,030

-1.8%

Median Sales Price

$2,600,000

$2,875,000

-10%

$2,575,000

$2,600,000

-1.0%

91.59

90.14

91.95

92.96

-1.1%

230

259

217

204

+6.4%

Total Homes Sold

% Sale Price to List Price Days on Market

2% -11%

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

1st Q 2011

% Change

Full Year 2011

Full Year 2010

2

3

-33%

12

5

+140.0%

Total Dollar Volume

$5,200,000

$10,630,000

-51%

$43,390,000

$18,235,000

+137.9%

Median Sales Price

$1,300,000

$1,450,000

-10%

$1,412,500

$1,347,500

+4.6%

82.02

92.60

-11%

90.70

89.40

+1.4%

255

222

15%

255

358

-28.8%

Total Homes Sold

% Sale Price to List Price Days On Market

% Change

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

1st Q 2011

% Change

Full Year 2011

Full Year 2010

% Change

3

4

-25%

21

18

+16.7%

Total Dollar Volume

$8,350,000

$78,683,200

-89%

$132,890,900

$73,660,312

+80.4%

Median Sales Price

$1,225,000

$9,695,800

-87%

$1,500,000

$1,512,500

-0.8%

% Sale Price to List Price

81

80

1%

85.06

87.19

-2.1%

Days On Market

228

131

74%

261

375

-30.4%

Total Homes Sold

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


1st Q–2012 Luxury Market Report houlihanlawrence.com

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

Westchester County Luxury Home Sales $2 Million & Higher

Houlihan Lawrence 52%

16%

9%

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

Houlihan Lawrence 22%

19% 18%

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


1st Q–2012 Luxury Market Report houlihanlawrence.com

• Properties selling for less than $3 Million account for the majority of luxury home sales region wide. Totally renovated or newly constructed homes accounted for 75% of these sales. • Total number of sales for $3 Million and under homes has surged dramatically vs. 1st Quarter 2011. We expect this segment will remain the most popular range for luxury buyers through year-end. • Few sales have been reported for $3 Million or more and no activity was reported for the $10 Million+ segment. Westchester County Luxury Home Sales 1st Q 2012

1st Q 2011

$2,000,000 – $2,999,999

30

18

67%

$3,000,000 – $4,999,999

9

13

$5,000,000 – $9,999,999

2

$10,000,000 and up Total

Price Range

% 1st Q Change % of Sales

Full Year 2011

Full Year 2010

% Change

2011 % of Sales

73%

150

144

+4.2%

68%

-31%

22%

56

73

-23.3%

25%

1

100%

5%

13

12

+8.3%

6%

0

0

NA

0%

2

0

0

1%

41

32

100%

221

229

-3.5%

100%

Full Year 2011

Full Year 2010

% Change

2011 % of Sales

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

Putnam & Dutchess County Luxury Home Sales 1st Q 2012

1st Q 2011

$2,000,000 – $2,999,999

5

4

25%

57%

28

18

+55%

85%

$3,000,000 – $4,999,999

0

1

-100%

14%

2

5

-60%

6%

$5,000,000 – $9,999,999

0

0

NA

0%

1

0

3%

$10,000,000 and up

0

2

-100%

29%

2

0

6%

Total

5

7

100%

33

23

+43%

100%

Price Range

% 1st Q Change % of Sales

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


1st Q–2012 Luxury Market Report 2011 Luxury Market Report houlihanlawrence.com

houlihanlawrence.com

• There has been little change in the top luxury markets with traditional leading southern Westchester County markets Rye and Scarsdale dominating. • Typically ranked within the top 5 luxury markets, Bronxville sales are relatively low vs. previous quarters possibly a result of limited luxury inventories in early 2012. • There were few sales in Putnam and Dutchess Counties.

Top Luxury Markets Westchester County Luxury Home Sales $2 Million & Higher

School District

# of Sales

Median Luxury Sale Price

Highest Sale Price

Rye

8

$2,690,250

$7,000,000

Scarsdale

8

$2,435,000

$5,300,000

Bedford

6

$2,675,000

$4,800,000

Mamaroneck

4

$2,937,500

$3,690,000

Katonah-Lewisboro

3

$2,350,000

$3,650,000

Harrison

3

$2,600,000

$2,830,000

Byram Hills

2

$2,766,400

$3,250,000

Bronxville

2

$2,975,500

$3,101,000

Putnam County Luxury Home Sales $1 Million & Higher

Town

# of Sales

Median Luxury Sale Price

Highest Sale Price

Philipstown

1

$1,350,000

$1,350,000

Carmel

1

$1,250,000

$1,250,000

Dutchess County Luxury Home Sales $1 Million & Higher

Town

# of Sales

Median Luxury Sale Price

Highest Sale Price

Millbrook

1

$1,750,000

$1,750,000

Rhinebeck

1

$1,225,000

$1,225,000

Red Hook

1

$1,200,000

$1,200,000

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


1st Q–2012 Luxury Market Report houlihanlawrence.com

• There were 571 luxury listings on the market at the end of 1st Quarter 2012, up 17% vs. 1st Quarter 2011. • Despite high inventories, the vitality of the luxury marketplace is best reflected in the notable improvements in the number of pending sales in most price ranges vs. year ago. 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 March 31, 2012 SUPPLY DEMAND Supply/ Active Listings in Demand Listings Contract Ratio* 71 22 3 68 19 4 74 15 5 31 3 10

*Supply Demand Ratio Key

1-4: High Demand

As of March 31, 2011 SUPPLY DEMAND Supply/ Active Listings in Demand Listings Contract Ratio* 69 27 3 41 16 3 63 12 5 27 3 9 5-6: Balanced

7-9: Low Demand

2012 vs. 2011 % % Change in Change in Listings Contracts 3% -19% 66% 19% 17% 25% 15% 0%

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 March 31, 2012 SUPPLY DEMAND Supply/ Active Listings in Demand Listings Contract Ratio* 39 6 7 31 6 5 40 3 13 35 1 35

*Supply Demand Ratio Key

1-4: High Demand

As of March 31, 2011 SUPPLY DEMAND Supply/ Active Listings in Demand Listings Contract Ratio* 41 5 8 22 1 22 44 2 22 37 1 37 5-6: Balanced

7-9: Low Demand

2012 vs. 2011 % % Change in Change in Listings Contracts -5% 20% 41% 500% -9% 50% -5% 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 35 20

As of March 31, 2012 DEMAND Supply/ Listings in Demand Contract Ratio* 2 18 1 20

*Supply Demand Ratio Key

1-4: High Demand

As of March 31, 2011 SUPPLY DEMAND Supply/ Active Listings in Demand Listings Contract Ratio* 26 1 26 8 1 8 5-6: Balanced

7-9: Low Demand

2012 vs. 2011 % % Change in Change in Listings Contracts 35% 100% 150% 0%

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 63 62

As of March 31, 2012 DEMAND Supply/ Listings in Demand Contract Ratio* 2 32 2 31

*Supply Demand Ratio Key

1-4: High Demand

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

As of March 31, 2011 SUPPLY DEMAND Supply/ Active Listings in Demand Listings Contract Ratio* 57 0 NA 51 2 26 5-6: Balanced

7-9: Low Demand

2012 vs. 2011 % % Change in Change in Listings Contracts 11% NA 22% 0%

10+: Very Low Demand

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


1st Q–2012 Luxury Market Report houlihanlawrence.com

Ten-Year Market History Westchester County

Median Luxury Sale Price

$3,000,000

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

500 400

375

341

$2,000,000

326

297

300 237

208

229

$1,000,000

0

Number of Units Sold

Homes Sold $2 Million & Higher

221

204

39

32

41

2010

2011

2012

200

164 55

33

38

54

2003

2004

2005

79

100 62 17

2006

2007

2008

2009

0

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 $1,500,000

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

$1,287,500

26

$1,000,000

20

$500,000 0

14 2

2003

$1,150,000 $1,200,000

2004

20 14

5

3

2005

2006

5

2007

12 6

3

5 0

0

2008

2009

2010

3

2011

7 2

Number of Units Sold

Homes Sold $1 Million & Higher

$2,000,000

60 $1,705,000 $1,565,000 $1,500,000 $1,325,000

38

37

$1,000,000

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

$1,225,000

29 15 2

2003

7

3

2004

40 30

10

0

50

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

24

$500,000

0

2012

Dutchess County

$1,500,000

10

Units Sold Full Year

Units Sold Year-to-Date

Median Luxury Sale Price

40 30

23

16 4

$1,385,750 $1,347,500 $1,412,500 $1,300,000

2005

2006

5

2007

Units Sold Year-to-Date

18

18

2

4

4

3

2009

2010

2011

2012

20 10

8

2008

21

16

0

Units Sold Full Year

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


1st Q–2012 Luxury Market Report houlihanlawrence.com A Selection of Houlihan Lawrence’s Recent Luxury Sales

ISLAND DRIVE

BURGESS ROAD

RYE Last Offered at $7,000,000

SCARSDALE Last Offered at $5,600,000

PENWOOD

OLD APPLE FARM

BEDFORD CORNERS Last Offered at $5,250,000

KATONAH Last Offered at $3,850,000

COURSEVIEW

WEST LAKE MANOR

BRONXVILLE Last Offered at $2,850,000

MAHOPAC Last Offered at $1,675,000


1st Q–2012 Luxury Market Report houlihanlawrence.com A Selection of Properties From Our Current Inventory

DEVONSHIRE

SKY BLUE FARM

NORTHSHIRE

BEDFORD CORNERS Offered at $26,500,000

MILLBROOK Offered at $23,000,000

NORTH SALEM Offered at $18,500,000

GREACEN POINT MAMARONECK Offered at $13,000,000

THE LODGE

AT

LOCH LYALL

BEDFORD HOUSE

GARRISON Offered at $8,900,000

BEDFORD CORNERS Offered at $7,850,000

CIRCA 1920’S PURCHASE ESTATE

ELDERSLIE

MURRAY HILL

PURCHASE Offered at $7,850,000

BRIARCLIFF MANOR Offered at $6,500,000

SCARSDALE Offered at $5,800,000


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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