RESIDENTIAL LUXURY REPORT |
Quarter 1 2018
RESIDENTIAL LUXURY REPORT introduction WELCOME TO LUXURY REAL ESTATE IN COLORADO! As the Colorado luxury real estate market continues to evolve, LIV Sotheby’s International Realty remains committed to helping consumers make sound financial decisions when it comes to the purchase or sale of a luxury home. To clearly outline the performance of the Quarter 1 2018 luxury real estate market in Colorado, LIV Sotheby’s International Realty has created a Residential Luxury Report, which compares January through March 2018 statistics, to those of 2017, for single family homes and condos priced $1 million and above in Denver Metro (Adams, Arapahoe, Boulder, Broomfield, Denver, Douglas and Jefferson Counties) and the resort communities of Eagle County (Vail Valley, Avon, Beaver Creek, Bachelor Gulch, etc.) and Summit County (Breckenridge, Frisco, Copper, Dillon, Silverthorne, etc.). In addition to the analysis of local, county-wide luxury market data, the report also includes powerful statistics about luxury consumers around the world (depicted in infographics throughout the report), to help consumers make better decisions whether buying or selling a luxury home. *Enjoy a full analysis of the performance of the resort luxury market, located at the end of the report.
coloradomarketreports.com
In LIV Sotheby’s International Realty’s Residential Luxury Report, January through March 2018 statistics, are compared to those of 2017, for single family homes and condos priced $1M and above in Denver Metro (Adams, Arapahoe, Boulder, Broomfield, Denver, Douglas, Jefferson). With Denver metro and Boulder consistently ranked as some of the top places to live, work, and play, in the nation, the luxury real estate market in the metro area of Denver and Boulder, are poised for continued growth into the spring selling season of 2018, based on the Quarter 1 2018’s luxury real estate market’s stellar performance. The Quarter 1 2018 Denver metro and Boulder luxury real estate market delivered excellent results, with appreciation in both the number of properties sold and average sales price taking place across the board. Total dollar volume sold increased more than 36% year-over-year, with increased demand for luxury home purchases stemming from buyers’ continued confidence in both the national economy and desire to purchase luxury property in a state they believe offers an excellent investment opportunity. Denver metro and Boulder remain leaders in education, and with Colorado’s unemployment rate hovering just over 3%, the vibrant local economy serves as the leading catalysis, drawing new residents to the state. Within the seven counties of Denver metro represented in this report, luxury property sales rose 30.7% year-over-year, from 332 homes sold January through March 2017, to 434 homes sold during the same time period in 2018. Total dollar volume demonstrated a 36.8% increase year-over-year, surpassing $678M in Quarter 1 2018 - the highest volume of sales to date. As Colorado’s real estate market continues to evolve, the luxury sector is projected to demonstrate continued growth in Quarter 2 2018, as a result of buyers’ continued confidence in both the national economy and purchasing luxury property in a state they believe to be a sound investment.
DENVER METRO (INCLUDING BOULDER) January through March Number of Properties Sold Average Price per Square Foot Average Days on Market Highest Price Total Dollar Volume
2012
2013
2014
2015
2016
2017
2018
% Change
99
126
153
163
264
332
434
30.7%
$203
$244
$320
$347
$414
$394
$381
-3.4%
206
305
180
152
124
175
115
-34.2%
$4,800,000
$4,500,000
$7,000,000
$5,800,000
$6,530,000
$6,000,000
$5,500,000
-8.3%
$150,698,272
$189,936,271
$224,061,018
$251,909,786
$410,887,545
$495,682,651
$678,221,059
36.8%
INCLUD ED COUNTIES:
A DA MS
A RA PA H OE
BOU L D E R
B ROOMF IE L D
DENVER
D OUG L AS
J E F F E RSO N
RESIDENTIAL LUXURY REPORT livsothebysrealty.com
QUARTER 1 2018 • COLORADOMARKETREPORTS.COM
ARAPAHOE
DENVER
January through March
2012
2013
2014
2015
2016
2017
2018
% Change
33
44
51
68
93
122
153
25.4%
$345
$400
$420
$433
$475
$470
$468
-0.4%
215
122
100
118
91
93
81
-12.9%
Highest Price
$3,100,000
$4,100,000
$4,925,000
$3,522,019
$5,438,873
$2,750,000
$4,975,000
80.9%
Total Dollar Volume
$45,126,908
$64,740,735
$78,332,715
$98,522,988
$147,524,280
$168,822,193
$228,617,550
35.4%
2012
2013
2014
2015
2016
2017
2018
% Change
29
36
27
43
37
57
55
-3.5%
$341
$348
$372
$377
$404
$402
$399
-0.8%
182
177
98
125
119
121
89
-26.4%
Highest Price
$4,500,000
$7,000,000
$5,850,000
$4,115,000
$6,530,000
$6,000,000
$4,125,000
-31.3%
Total Dollar Volume
$55,203,449
$60,390,657
$47,514,476
$68,006,970
$71,390,129
$108,963,967
$94,131,599
-13.6%
2012
2013
2014
2015
2016
2017
2018
% Change
18
29
25
27
46
48
66
37.5%
$277
$326
$349
$364
$344
$351
$374
6.6%
180
321
161
178
139
175
188
7.4%
Highest Price
$2,150,000
$1,776,186
$3,525,000
$2,650,000
$2,875,000
$3,000,000
$2,600,000
-13.3%
Total Dollar Volume
$23,812,514
$37,325,522
$34,257,272
$40,658,037
$63,565,405
$65,104,171
$93,219,931
43.2%
2012
2013
2014
2015
2016
2017
2018
% Change
6
6
12
18
22
26
42
61.5%
$228
$349
$340
$321
$354
$370
$338
-8.8%
287
324
162
166
236
232
128
-44.8%
Highest Price
$1,455,000
$2,500,000
$2,755,000
$1,425,000
$2,650,000
$5,400,000
$5,100,000
-5.6%
Total Dollar Volume
$7,692,500
$9,095,122
$16,382,000
$21,838,400
$31,467,397
$40,156,531
$56,785,831
41.4%
Number of Properties Sold Average Price per Square Foot Average Days on Market
January through March Number of Properties Sold Average Price per Square Foot Average Days on Market
JEFFERSON
DOUGLAS
January through March Number of Properties Sold Average Price per Square Foot Average Days on Market
January through March Number of Properties Sold Average Price per Square Foot Average Days on Market
coloradomarketreports.com
BROOMFIELD
BOULDER
January through March
2012
2013
2014
2015
2016
2017
2018
% Change
39
35
44
58
63
75
100
33.3%
185
152
179
107
103
103
87
-15.5%
$3,100,000
$2,300,000
$4,000,000
$3,400,000
$3,100,000
$2,550,000
$5,500,000
115.7%
$56,900,900
$48,853,782
$69,703,363
$90,979,000
$90,105,756
$107,410,789
$178,947,948
66.6%
2012
2013
2014
2015
2016
2017
2018
% Change
1
2
2
1
1
1
8
700.0%
Average Price per Square Foot
$275
$261
$318
$477
$313
$367
$362
-1.4%
Average Days on Market
1084
6
113
6
115
301
115
-61.8%
Highest Price
$1,200,000
$1,610,200
$1,170,960
$2,900,000
$1,260,000
$1,975,000
$3,375,000
70.9%
Total Dollar Volume
$1,200,000
$2,635,200
$2,220,960
$2,900,000
$1,260,000
$1,975,000
$13,600,500
588.6%
2012
2013
2014
2015
2016
2017
2018
% Change
0
1
2
3
4
3
10
233.3%
$0
$237
$282
$293
$594
$395
$344
-12.9%
0
155
253
151
67
201
118
-41.3%
Highest Price
$0
$1,020,000
$1,750,000
$1,385,000
$3,773,078
$1,250,000
$1,800,000
44.0%
Total Dollar Volume
$0
$1,020,000
$3,499,000
$3,650,000
$7,787,078
$3,250,000
$12,917,700
297.5%
Number of Properties Sold Average Days on Market Highest Price Total Dollar Volume
January through March Number of Properties Sold
ADAMS
January through March Number of Properties Sold Average Price per Square Foot Average Days on Market
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 livsothebysrealty.com
QUARTER 1 2018 • COLORADOMARKETREPORTS.COM
Located less than two hours away from Denver metro, Colorado’s world-class resort communities, including Eagle County (Vail Valley, Avon, Beaver Creek, Bachelor Gulch, etc.) and Summit County (Breckenridge, Frisco, Copper, Dillon, Silverthorne, etc.), continue to draw both domestic and international buyers seeking close travel time between the bustling metropolis of Denver and the yearround recreational opportunities the mountain resort areas offer. The higher end of the market demonstrated a surge in activity, and sales are expected to rise in Quarter 2 2018 as a direct result of individuals continuing to seek homes in resort communities for the lifestyle opportunities they provide, coupled with the continued vibrancy taking place in the Denver market. In Eagle County, the luxury market experienced a high volume of activity in Quarter 1 2018, with the number of properties sold increasing 9.0%, to 85 properties sold in January through March 2018, compared to 78 properties sold in January through March 2017. Many sales took place in the 1 to 4-million-dollar range, with most buyers coming from the Front Range and internationally, from Latin America. Several eye-popping sales also took place in Quarter 1 2018 for LIV Sotheby’s International Realty; the $9,800,000 sale of 483 Beaver Dam Road in March 2018, followed by the $5,250,000 sale of 180 Daybreak Ridge Road #508 that took place the same month. These significant sales serve as a testament to the strength of the Vail Valley real estate market. Average price per square foot increased 8.4% year-over-year, and average days on the market decreased 22.1%, from 276 days in January through March 2017 to just 215 days in 2018, a good time frame for the resort luxury market, where homes typically stay on the market longer. This significant 22% decrease in number of days on the market indicates consumers’ continued confidence in the Vail Valley real estate market, and willingness to spend more to purchase homes they truly desire. In Summit County, average days on the market decreased 26.6%, from 177 days in January through March 2017 to just 130 days in 2018, a good time frame for the resort luxury market, where homes typically stay on the market longer. This significant 26% decrease in number of days on the market indicates consumers’ continued confidence in the Vail Valley real estate market, and willingness to spend more to purchase homes they truly desire. The luxury resort markets of Eagle County and Summit County remain robust and competitive, with growth projected as we continue into Quarter 2 2018.
EAGLE
January through March Number of Properties Sold Average Price per Square Foot Average Days on Market Highest Price Total Dollar Volume
SUMMIT
January through March Number of Properties Sold Average Price per Square Foot Average Days on Market Highest Price Total Dollar Volume
2012
2013
2014
2015
2016
2017
2018
% Change
60
51
72
83
61
78
85
9.0%
$921
$723
$784
$842
$881
$860
$932
8.4%
322
279
361
310
307
276
215
-22.1%
$14,100,000
$13,550,000
$11,200,000
$10,250,000
$6,735,000
$23,000,000
$13,500,000
-41.3%
$188,097,500
$120,407,850
$168,822,249
$203,788,606
$135,883,337
$241,787,875
$241,507,050
-0.1%
2012
2013
2014
2015
2016
2017
2018
% Change
24
24
29
34
35
72
54
-25.0%
$231
$528
$462
$500
$471
$516
$467
-9.5%
268
178
198
225
316
177
130
-26.6%
$3,421,123
$2,700,000
$3,640,593
$3,500,000
$5,675,000
$4,200,000
$3,175,000
-24.4%
$36,155,928
$40,945,989
$47,325,542
$55,676,797
$60,487,040
$123,325,600
$78,121,926
-36.7%
coloradomarketreports.com
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:
RESIDENTIAL LUXURY REPORT livsothebysrealty.com
YEAR-END 2017 • COLORADOMARKETREPORTS.COM
The life you love.
livsothebysrealty.com | coloradomarketreports.com All data contained within this report is 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 part 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.