2014 Residential Luxury Report

Page 1

LIV

Residential Luxury Report 2014


PORTRAIT OF AN AFFLUENT AMERICAN CONSUMER Many affluent American consumers, defined as those with $2 million or more in investable assets, own MULTIPLE PROPERTIES. On average, affluent consumers in the U.S. currently own 3 homes.

54%

HAVE PURCHASED A PROPERTY WITHIN THE PAST 3 YEARS.

Affluent American consumers are not only investing in property– they consider themselves part of the investor class. When asked what best described them, a majority said “AN INVESTOR.”

50%

16%

13%

8%

INVESTOR

INNOVATOR

TRENDSETTER

PHILANTHROPIST

ULTRA HIGH NET WORTH WORTH DEMAND DEMAND FOR FOR RESIDENTIAL RESIDENTIAL PROPERTY: ULTRA HIGH NET PROPERTY:GROWING GROWINGFAST FAST

6.0% 8.9%

US$10,265

US$8,355

billion

6.2%

billion

6.5%

609

74,865

The world’s The world’sUHNW UHNW Sotheby’s International Realty® population by6% 6% populationgrew grew by between 2013 and 2014. between 2013 and 2014. North America North America and and Europe remain the two Europe remain the two most regions, mostsignificant significant regions, accounting for 35% and accounting for 35% and 29% of the global UNHW 29% of the global UHNW population, respectively. population, respectively.

5.8%

61,820 NORTH AMERICA

EUROPE

4.8% 13.1%

12.7%

US$995

US$6,975 billion

The United States

billion

46,635

5,975

ASIA

MIDDLE EAST

4.6%

5.5% 8.3%

US$2,225

12.9%

US$395

billion

billion

14,805

3,005

5.4%

6.2%

US$515

AFRICA

LATIN AMERICA & THE CARIBBEAN

billion

4,170 PACIFIC

2014 UHNW POPULATION

2014 TOTAL WEALTH US$ BILLION

2013 UHNW POPULATION

2013 TOTAL WEALTH US$ BILLION

POPULATION CHANGE %

TOTAL WEALTH CHANGE %

211,275

29,725

199,235

27,770

6.0%

7.0%

|

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LUXURY MARKET AT A GLANCE Colorado’s strong local economy, combined with homeowner equity and property values, continues to climb, indicating that the luxury market is off to a strong 2015. Luxury homes throughout the entire metro area are experiencing an advanced market with a 3.5 to 4 month supply of homes. Luxury homes are selling in a very reasonable time frame, however buyers still want to make an informed decision as to the investment quality of the property. In the resort mountain areas of Eagle and Summit county, the luxury market remains vibrant and healthy, however buyers have become savvier about not just value, but are learning to determine their actual wants and needs. The current real estate climate allows homes to be priced aggressively, yet not without a good understanding of neighborhood area market conditions and buyer preferences. Sellers can do very well but should not take the market for granted by expecting to achieve an unreasonable price.

LUXURY METRICS January through December

2008

2009

2010

2011

2012

Number of Properties Sold

1,145

796

989

888

1,138

Average Price per Square Foot

$454

$382

$418

$385

$369

192

229

275

253

264

$14,900,000

$15,950,000

$14,817,600

$12,500,000

$14,100,000

$2,793,469,242

$1,432,290,479

$1,904,981,551

$1,608,717,591

$2,107,586,306

January through December

2013

2014

% Change

Number of Properties Sold

1,376

1,561

13.44%

Average Price per Square Foot

$385

$411

6.75%

191

156

-18.32%

$13,550,000

$19,000,000

40.22%

$2,337,149,007

$2,184,003,461

-6.55%

Average Days on Market Highest Price Total Dollar Volume

Average Days on Market Highest Price Total Dollar Volume

INCLUDED COUNTIES: ADAMS ARAPAHOE BOULDER BROOMFIELD DENVER DOUGLAS JEFFERSON * EAGLE * SUMMIT * Resort Market

RESIDENTIAL LUXURY REPORT 2014 | COLORADOMARKETREPORTS.COM Based on $1,000,000+ sales in Metropolitan Denver, Boulder, Eagle County and Summit County. Based on information from REColorado, IRES, LLC, Vail Board of Realtors® and SAR MLS. This representation is based in whole or in par t on data supplied by REColorado, IRES, LLC, Vail Board of Realtors® and SAR MLS. REColorado, IRES, LLC, Vail Board of Realtors® and SAR MLS does not guarantee nor is in any way responsible for its accuracy. Data maintained by REColorado, IRES, LLC, Vail Board of Realtors® and SAR MLS may not reflect all real estate activity in the market.


LUXURY MARKET |

MARKETS BY COUNTY

DENVER COUNTY 2008

2009

2010

2011

2012

2013

2014

% Change

222

138

139

156

217

297

322

8.42%

Average Price per Sq. Ft.

$428

$376

$389

$365

$382

$415

$416

0.24%

Average Days on Market

186

260

185

179

153

94

70

-25.53%

$5,500,000

$4,100,000

$5,700,000

$3,815,000

$5,400,000

$4,375,000

$4,925,000

12.57%

$348,773,668

$206,207,578

$215,501,345

$220,147,191

$324,704,119

$439,762,640

$466,936,127

6.18%

January through December Number of Properties Sold

Highest Price Total Dollar Volume

ARAPAHOE COUNTY 2008

2009

2010

2011

2012

2013

2014

% Change

130

101

130

115

183

213

212

-0.47%

Average Price per Sq. Ft.

$400

$337

$323

$322

$352

$359

$380

5.85%

Average Days on Market

147

240

230

193

178

201

124

-38.31%

Highest Price

$13,950,000

$6,700,000

$7,000,000

$8,200,000

$7,500,000

$7,000,000

$5,850,000

-16.43%

Total Dollar Volume

$241,861,049

$176,949,346

$206,414,081

$194,859,212

$318,370,455

$367,820,375

$381,605,285

3.75%

January through December Number of Properties Sold

DOUGLAS COUNTY 2008

2009

2010

2011

2012

2013

2014

% Change

131

70

88

87

103

152

180

18.42%

Average Price per Sq. Ft.

$392

$348

$342

$325

$317

$326

$363

11.35%

Average Days on Market

199

70

315

295

239

184

141

-23.37%

$7,250,000

$3,450,000

$3,630,000

$3,150,000

$3,050,000

$3,400,000

$4,000,000

17.65%

$201,191,078

$105,543,541

$128,228,729

$124,924,511

$140,088,435

$208,232,028

$255,955,232

22.92%

January through December Number of Properties Sold

Highest Price Total Dollar Volume

GROWING WEALTH Yielding a RETURN ON INVESTMENT is a key driver in the purchase of a property for affluent consumers. Compared to 5 years ago, a majority are more confident in the strength of the housing market in their country of primary residence.

RESIDENTIAL LUXURY REPORT 2014 | COLORADOMARKETREPORTS.COM Based on $1,000,000+ sales in Metropolitan Denver, Boulder, Eagle County and Summit County. Based on information from REColorado, IRES, LLC, Vail Board of Realtors速 and SAR MLS. This representation is based in whole or in par t on data supplied by REColorado, IRES, LLC, Vail Board of Realtors速 and SAR MLS. REColorado, IRES, LLC, Vail Board of Realtors速 and SAR MLS does not guarantee nor is in any way responsible for its accuracy. Data maintained by REColorado, IRES, LLC, Vail Board of Realtors速 and SAR MLS may not reflect all real estate activity in the market.


LUXURY MARKET |

MARKETS BY COUNTY

JEFFERSON COUNTY 2008

2009

2010

2011

2012

2013

2014

% Change

70

34

37

48

52

56

77

37.50%

Average Price per Sq. Ft.

$354

$335

$333

$298

$318

$319

$331

3.76%

Average Days on Market

195

340

248

332

267

253

193

-23.72%

$2,795,000

$4,175,000

$2,200,000

$2,575,000

$3,900,000

$3,200,000

$2,755,000

-13.91%

$100,379,227

$49,611,159

$52,011,250

$66,623,601

$77,288,359

$78,054,845 $105,595,665

35.28%

January through December Number of Properties Sold

Highest Price Total Dollar Volume

BROOMFIELD COUNTY 2008

2009

2010

2011

2012

2013

2014

% Change

9

5

6

1

2

7

14

100.00%

Average Price per Sq. Ft.

$314

$343

$399

$365

$235

$306

$340

11.11%

Average Days on Market

252

10

244

2

580

57

67

17.54%

$2,336,360

$2,264,303

$3,480,000

$1,700,000

$1,220,000

$1,610,200

$2,550,000

58.37%

$13,264,852

$7,595,919

$11,409,320

$1,700,000

$2,420,000

$9,127,232

$19,174,309

110.08%

2008

2009

2010

2011

2012

2013

2014

% Change

14

7

5

4

3

4

8

100.00%

Average Price per Sq. Ft.

$264

$298

$274

$296

$265

$283

$266

-6.01%

Average Days on Market

193

318

340

236

43

165

97

-41.21%

$1,375,000

$1,555,000

$2,400,000

$1,675,000

$2,000,000

$1,741,000

$1,750,000

0.52%

$16,080,711

$8,612,929

$6,914,255

$5,200,000

$4,170,000

$5,020,000

$10,378,000

106.73%

January through December Number of Properties Sold

Highest Price Total Dollar Volume

ADAMS COUNTY January through December Number of Properties Sold

Highest Price Total Dollar Volume

PURCHASING MOTIVATIONS AT A GLANCE

RESIDENTIAL LUXURY REPORT 2014 | COLORADOMARKETREPORTS.COM Based on $1,000,000+ sales in Metropolitan Denver, Boulder, Eagle County and Summit County. Based on information from REColorado, IRES, LLC, Vail Board of Realtors速 and SAR MLS. This representation is based in whole or in par t on data supplied by REColorado, IRES, LLC, Vail Board of Realtors速 and SAR MLS. REColorado, IRES, LLC, Vail Board of Realtors速 and SAR MLS does not guarantee nor is in any way responsible for its accuracy. Data maintained by REColorado, IRES, LLC, Vail Board of Realtors速 and SAR MLS may not reflect all real estate activity in the market.


LUXURY MARKET |

MARKETS BY COUNTY

BOULDER COUNTY 2008

2009

2010

2011

2012

2013

2014

% Change

155

120

135

136

184

239

267

11.72%

Average Price per Sq. Ft.

$320

$306

$290

$287

$293

$305

$339

11.15%

Average Days on Market

183

212

198

203

153

126

133

5.56%

$3,800,000

$2,900,000

$4,450,000

$2,790,000

$4,750,000

$6,432,495

$5,300,000

-17.61%

$243,321,198

$187,596,527

$207,387,975

$200,477,180

$262,971,526

$364,644,490

$416,699,248

14.28%

2008

2009

2010

2011

2012

2013

2014

% Change

415

187

331

241

283

277

337

21.66%

Average Price per Sq. Ft.

$1,040

$688

$853

$793

$792

$728

$818

12.36%

Average Days on Market

117

248

278

357

318

309

298

-3.56%

$14,900,000

$15,950,000

$14,817,600

$12,500,000

$14,100,000

$13,550,000

$19,000,000

40.22%

$1,370,418,320

$475,249,980

$890,295,382

$640,649,775

$799,893,595

$671,350,199

$932,712,293

38.93%

2008

2009

2010

2011

2012

2013

2014

% Change

162

134

118

100

111

131

144

9.92%

Average Price per Sq. Ft.

$577

$411

$560

$411

$365

$426

$442

3.78%

Average Days on Market

256

365

438

483

442

329

285

-13.37%

$5,550,000

$8,285,000

$3,950,000

$2,849,000

$5,570,130

$3,400,000

$3,640,593

7.08%

$258,179,139

$214,923,500

$186,819,214

$154,136,121

$177,679,817

$193,137,198

$224,953,302

16.47%

January through December Number of Properties Sold

Highest Price Total Dollar Volume

EAGLE COUNTY January through December Number of Properties Sold

Highest Price Total Dollar Volume

SUMMIT COUNTY January through December Number of Properties Sold

Highest Price Total Dollar Volume

LOCATION IS KING

RESIDENTIAL LUXURY REPORT 2014 | COLORADOMARKETREPORTS.COM Based on $1,000,000+ sales in Metropolitan Denver, Boulder, Eagle County and Summit County. Based on information from REColorado, IRES, LLC, Vail Board of Realtors速 and SAR MLS. This representation is based in whole or in par t on data supplied by REColorado, IRES, LLC, Vail Board of Realtors速 and SAR MLS. REColorado, IRES, LLC, Vail Board of Realtors速 and SAR MLS does not guarantee nor is in any way responsible for its accuracy. Data maintained by REColorado, IRES, LLC, Vail Board of Realtors速 and SAR MLS may not reflect all real estate activity in the market.


COLORADO LUXURY REAL ESTATE EXPERTS BOULDER

CASTLE PINES

1050 Walnut Street Boulder, CO 80302 303.443.6161

858 W. Happy Canyon Road, Suite 100 Castle Rock, CO 80108 303.660.8800

CHERRY CREEK

400 S. Colorado Blvd., Suite 400 Denver, CO 80246 303.893.3200

DENVER TECH CENTER

DOWNTOWN DENVER

BEAVER CREEK VILLAGE

VAIL VALLEY

8000 E. Belleview Avenue, Suite 200 Greenwood Village, CO 80111 303.893.3200

255 Clayton Street, Unit 100 North Denver, CO 80206 303.893.3200

EVERGREEN

1512 Larimer Street, #46R Denver, CO 80202 303.893.3200

26 Avondale Lane, #119 Beaver Creek, CO 81620 970.845.0400

CHERRY CREEK-CLAYTON

31955 Castle Court, #1 South Evergreen, CO 80439 303.674.3200

BRECKENRIDGE

34253 Highway 6, #2A Edwards, CO 81632 970.748.5150

101 South Main Street Breckenridge, CO 80424 970.453.0550

34

LIV Sotheby’s International Realty Locations 36

BOULDER

|

CASTLE PINES VILLAGE

DOWNTOWN DENVER

|

EVERGREEN

BRECKENRIDGE

|

|

|

CHERRY CREEK

GREENWOOD VILLAGE

Boulder

25

VAIL VALLEY

DENVER Downtown Denver

70

Cherry Creek Evergreen

Edwards

Greenwood Village

70

Beaver Creek 24

85

Breckenridge

285

25

Castle Pines Village

RESIDENTIAL LUXURY REPORT 2014 | COLORADOMARKETREPORTS.COM Based on $1,000,000+ sales in Metropolitan Denver, Boulder, Eagle County and Summit County. Based on information from REColorado, IRES, LLC, Vail Board of Realtors® and SAR MLS. This representation is based in whole or in par t on data supplied by REColorado, IRES, LLC, Vail Board of Realtors® and SAR MLS. REColorado, IRES, LLC, Vail Board of Realtors® and SAR MLS does not guarantee nor is in any way responsible for its accuracy. Data maintained by REColorado, IRES, LLC, Vail Board of Realtors® and SAR MLS may not reflect all real estate activity in the market.

24


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