LIV
RESIDENTIAL LUXURY REPORT Quarter 1 2017
PURCHASING CONFIDENCE AMONG EMERGING LUXURY CONSUMERS Many emerging affluent consumers, defined as those with $250K USD - $1M USD in investable assets, have increasing confidence in the housing market and plan to purchase a home within the next three years.
EMERGING LUXURY CONSUMERS’ LIFESTYLE PREFERENCES Emerging luxury consumers have their eyes set on these property lifestyles for their luxury home purchase:
LUXURY MARKET AT A GLANCE - $1M+ LIV Sotheby’s International Realty’s Residential Luxury Report compares Q1 2017 (January - March) statistics, to that of 2016, for single family homes and condos priced $1M and above in the areas we service; Denver Metro (Adams, Arapahoe, Boulder, Broomfield, Denver, Douglas, Jefferson) and the Resort communities of Eagle and Summit County. A full analysis of the performance of the resort luxury market can be found at the end of the report. The luxury market continues to demonstrate growth in Q1 2017, with luxury property sales within the seven counties of Denver metro represented in this report, rising 25.8%, from 264 homes sold in Q1 2016 to 332 homes sold in Q1 2017. Total dollar volume demonstrated a 20.6% increase year-over-year, reaching nearly $500M in Q1 2017, while average price per square foot decreased slightly from $414 in Q1 2017 to $394 in Q1 2017. Luxury home prices appreciated beyond expectations and mortgage rates remain low, despite market perceptions that these rates won’t last. The front range of Colorado has gained notoriety internationally as an excellent investment opportunity, fueling demand in the luxury market even more. Additionally, the spring selling season in the luxury sector is projected to demonstrate continued growth, as buyers are wanting to close on their new property in time for the impending summer months. In Denver metro, luxury buyers are seeking modern-style homes, in addition to more traditional Tudor-type architecture, which has been the go-to style of Denver’s luxury buyers traditionally. In Q1 2017, LIV Sotheby’s International Realty was credited as leveraging the highest luxury sale historically in Cherry Creek. In the resort luxury market, buyers continue to seek mountain-modern homes.
DENVER METRO (INCLUDING BOULDER) January through March
2011
2012
2013
2014
2015
99
126
153
163
218
$203
$244
$320
$347
$378
206
305
180
152
122
$4,800,000
$4,500,000
$7,000,000
$5,800,000
$4,115,000
$150,698,272
$189,936,271
$224,061,018
$251,909,786
$326,555,395
January through March
2016
2017
% Change
Number of Properties Sold
264
332
25.8%
$414
$394
-4.8%
ARAPAHOE
124
175
41.1%
BROOMFIELD
$6,530,000
$6,000,000
-8.1%
$410,887,545
$495,682,651
20.6%
Number of Properties Sold Average Price per Square Foot Average Days on Market Highest Price Total Dollar Volume
Average Price per Square Foot Average Days on Market Highest Price Total Dollar Volume
INCLUDED COUNTIES: ADAMS BOULDER DENVER DOUGLAS JEFFERSON
RESIDENTIAL LUXURY REPORT QUARTER 1 2017 | 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 part 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 January through March
2011
2012
2013
2014
2015
2016
2017
% Change
31
33
44
51
68
93
122
31.2%
Average Price per Sq. Ft.
$366
$345
$400
$420
$433
$475
$470
-1.0%
Average Days on Market
238
215
122
100
118
91
93
2.2%
$2,150,000
$3,100,000
$4,100,000
$4,925,000
$3,522,019
$5,438,873
$2,750,000
-49.4%
$43,547,000
$45,126,908
$64,740,735
$78,332,715
$98,522,988
$147,524,280
$168,822,193
14.4%
Number of Properties Sold
Highest Price Total Dollar Volume
ARAPAHOE COUNTY January through March
2011
2012
2013
2014
2015
2016
2017
% Change
24
29
36
27
43
37
57
54.1%
Average Price per Sq. Ft.
$311
$341
$348
$372
$377
$404
$402
-0.5%
Average Days on Market
158
182
177
98
125
119
121
1.7%
Highest Price
$4,800,000
$4,500,000
$7,000,000
$5,850,000
$4,115,000
$6,530,000
$6,000,000
-8.1%
Total Dollar Volume
$38,614,686
$55,203,449
$60,390,657
$47,514,476
$68,006,970
$71,390,129
$108,963,967
52.6%
Number of Properties Sold
DOUGLAS COUNTY January through March
2011
2012
2013
2014
2015
2016
10
18
29
25
27
46
48
4.3%
Average Price per Sq. Ft.
$284
$277
$326
$349
$364
$344
$351
2.1%
Average Days on Market
481
180
321
161
178
139
175
25.9%
Highest Price
$2,300,000
$2,150,000
$1,776,186
$3,525,000
$2,650,000
$2,875,000
$3,000,000
4.3%
Total Dollar Volume
$14,958,000
$23,812,514
$37,325,522
$34,257,272
$40,658,037
$63,565,405
$65,104,171
2.4%
Number of Properties Sold
2017 % Change
JEFFERSON COUNTY January through March
2011
2012
2013
2014
2015
2016
9
6
6
12
18
22
26
18.2%
Average Price per Sq. Ft.
$257
$228
$349
$340
$321
$354
$370
4.6%
Average Days on Market
312
287
324
162
166
236
232
-1.7%
$1,546,200
$1,455,000
$2,500,000
$2,755,000
$1,425,000
$2,650,000
$5,400,000
103.8%
$11,235,003
$7,692,500
$9,095,122
$16,382,000
$21,838,400
$31,467,397
$40,156,531
27.6%
Number of Properties Sold
Highest Price Total Dollar Volume
RESIDENTIAL LUXURY REPORT QUARTER 1 2017 | COLORADOMARKETREPORTS.COM
2017 % Change
LUXURY MARKET | MARKETS BY COUNTY
BOULDER COUNTY January through March
2011
2012
2013
2014
2015
2016
2017
% Change
25
39
35
44
58
63
75
19.0%
253
185
152
179
107
103
103
0.0%
$4,150,000
$3,100,000
$2,300,000
$4,000,000
$3,400,000
$3,100,000
$2,550,000
-17.7%
$42,343,583
$56,900,900
$48,853,782
$69,703,363
$90,979,000
$90,105,756
$107,410,789
19.2%
Number of Properties Sold Average Days on Market Highest Price Total Dollar Volume
BROOMFIELD COUNTY January through March
2011
2012
2013
2014
2015
2016
2017
% Change
0
1
2
2
1
1
1
0.0%
Average Price per Sq. Ft.
$0
$275
$261
$318
$477
$313
$367
17.1%
Average Days on Market
0
1084
6
113
6
115
301
161.7%
Highest Price
$0
$1,200,000
$1,610,200
$1,170,960
$2,900,000
$1,260,000
$1,975,000
56.7%
Total Dollar Volume
$0
$1,200,000
$2,635,200
$2,220,960
$2,900,000
$1,260,000
$1,975,000
56.7%
2011
2012
2013
2014
2015
2016
2017
% Change
0
0
1
2
3
4
3
-25.0%
Average Price per Sq. Ft.
$0
$0
$237
$282
$293
$594
$395
-33.5%
Average Days on Market
0
0
155
253
151
67
201
200.0%
Highest Price
$0
$0
$1,020,000
$1,750,000
$1,385,000
$3,773,078
$1,250,000
-66.9%
Total Dollar Volume
$0
$0
$1,020,000
$3,499,000
$3,650,000
$7,787,078
$3,250,000
-58.3%
Number of Properties Sold
ADAMS COUNTY January through March Number of Properties Sold
KEY PURCHASING MOTIVATORS FOR EMERGING LUXURY CONSUMERS
I am at the right stage in my life for this type of purchase.
I want a home to fit a particular lifestyle.
I am doing well in my job currently.
I want to make a purchase like this for the benefit of my family.
U.S. U.K. INDIA
U.S. CHINA U.K. INDIA
U.S. U.A.E
CHINA
RESIDENTIAL LUXURY REPORT QUARTER 1 2017 | COLORADOMARKETREPORTS.COM
RESORT LUXURY MARKET - $1M+ The resort luxury market remained robust in Q1 2017 with several eye-popping transactions taking place within Vail and Beaver Creek early in the year, including the sale of 107 Rockledge Road, an 11,509 square foot ski-in, ski-out residence that has set a record high for the sale of a single-family home in the Vail Valley at $23M. LIV Sotheby’s International Realty’s Residential Luxury Report compares Q1 2017 (January - March) statistics, to that of 2016, for single family homes and condos priced $1M and above in the Resort areas the brokerage services; Summit County (Breckenridge, Frisco, Copper, Dillon, Silverthorne), and Eagle County (Vail Valley, Avon, Beaver Creek, Bachelor Gulch, Cordillera, etc.) The Vail Valley saw a higher volume of activity in the luxury market, with the number of properties sold increasing 27.9% from 61 properties sold in Q1 2016, to 78 properties sold in Q1 2017. Average price per square foot held at $860, and average days on the market decreased 10.1% from 307 days on market in Q1 2016 to only 276 days in Q1 2017, an improved average time on market for home buying in the resort luxury sector. In Summit County, luxury sales demonstrated significant increase with 72 properties sold in Q1 2017, over 35 properties sold in Q1 2016, an astonishing 105.7% increase. Average price per square foot increased 9.6%, from an average price of $471 in Q1 2016 to $516 in Q1 2017. Average days on the market decreased 44% from 316 days on market in Q1 2016 to only 177 days in Q1 2017, an excellent time frame in the resort luxury sector. The proximity to the urban offerings of Denver metro, which is less than two hours away from Summit County, continues to position the area as one of the most sought after resort destinations, specifically for those seeking close travel time between Denver and the recreational opportunities the mountain areas offer. In summary, this report concludes that the luxury resort markets of Vail Valley and Summit County remain robust and competitive, with growth projected as we enter the spring selling season.
EAGLE COUNTY (VAIL VALLEY, AVON, BEAVER CREEK, BACHELOR GULCH, CORDILLERA, ETC.) January through March
2011
2012
2013
2014
2015
2016
2017
% Change
56
60
51
72
83
61
78
27.9%
Average Price per Sq. Ft.
$899
$921
$723
$784
$842
$881
$860
-2.4%
Average Days on Market
381
322
279
361
310
307
276
-10.1%
$10,500,000
$14,100,000
$13,550,000
$11,200,000
$10,250,000
$6,735,000
$23,000,000
241.5%
$160,659,775
$188,097,500
$120,407,850
$168,822,249
$203,788,606
$135,883,337
$241,787,875
77.9%
Number of Properties Sold
Highest Price Total Dollar Volume
SUMMIT COUNTY (BRECKENRIDGE, COPPER MOUNTAIN, FRISCO, DILLON, KEYSTONE, ETC.) January through March
2011
2012
2013
2014
2015
2016
2017
% Change
20
24
24
29
34
35
72
105.7%
Average Price per Sq. Ft.
$448
$231
$528
$462
$500
$471
$516
9.6%
Average Days on Market
314
268
178
198
225
316
177
-44.0%
$2,685,000
$3,421,123
$2,700,000
$3,640,593
$3,500,000
$5,675,000
$4,200,000
-26.0%
$28,236,544
$36,155,928
$40,945,989
$47,325,542
$55,676,797
$60,487,040
$123,325,600
103.9%
Number of Properties Sold
Highest Price Total Dollar Volume
RESIDENTIAL LUXURY REPORT QUARTER 1 2017 | COLORADOMARKETREPORTS.COM
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