LIV
RESIDENTIAL LUXURY REPORT January-September 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+ The luxury real estate market continued to demonstrate growth in the third quarter of 2017, based on Buyers’ continued confidence in purchasing and investing in luxury real estate in Colorado. With Denver metro currently leading the nation in regard to the unique business, cultural and educational opportunities that are available to its residents, the metro area of Denver, and the state of Colorado as a whole, continue to be an excellent place to invest in luxury real estate. LIV Sotheby’s International Realty’s Residential Luxury Report compares January-September 2017 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 (Vail Valley, Avon, Beaver Creek, Bachelor Gulch, Cordillera, etc.) and Summit County (Breckenridge, Frisco, Copper, Dillon, Silverthorne – data located at the end of this report). Within the seven counties of Denver metro represented in this report, luxury property sales rose 19.5% year-over-year, from 1,234 homes sold in January - September 2016, to 1,475 homes sold during the same time period in 2017. Total dollar volume demonstrated a 19.3% increase year-over-year, surpassing $2.25B in January - September 2017, with average price per square foot increasing 3.1%, to $388. Luxury home prices appreciated beyond expectations and mortgage rates remain consistently low, despite market perceptions that these rates will eventually rise. The Front Range of Colorado continues to gain notoriety internationally as an excellent investment opportunity, fueling demand in the luxury market even more. The ‘flight from coastal markets’ trend continues to emerge, with individuals from coastal metropolises drawn to Denver metro because of the socioeconomic and lifestyle opportunities it offers. The luxury real estate market is projected to demonstrate continued growth for the remainder of 2017, as buyers continue to seek the Colorado lifestyle in a region they believe to be a sound investment.
DENVER METRO (INCLUDING BOULDER) January - September
2011
2012
2013
2014
2015
432
552
758
809
1,040
$269
$310
$325
$348
$352
204
309
155
111
103
$8,200,000
$7,500,000
$8,691,000
$5,950,000
$11,000,000
$661,697,294
$829,936,415
$1,156,560,711
$1,256,677,175
$1,569,293,444
January - September
2016
2017
% Change
Number of Properties Sold
1,234
1,475
19.5%
Average Price per Square Foot
$377
$388
3.1%
95
116
22.4%
$6,705,241
$8,116,000
21.0%
$1,894,534,695
$2,260,574,605
19.3%
Number of Properties Sold Average Price per Square Foot 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
RESIDENTIAL LUXURY REPORT JANUARY-SEPTEMBER 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 - September
2011
2012
2013
2014
2015
2016
Number of Properties Sold
122
166
225
230
324
394
508
28.9%
Average Price per Sq. Ft.
$357
$376
$416
$420
$442
$461
$468
1.6%
Average Days on Market
180
155
102
62
76
71
81
14.1%
$3,815,000
$5,400,000
$4,100,000
$4,925,000
$4,550,000
$5,600,000
$5,850,000
4.5%
$172,312,852
$244,276,077
$330,062,207
$335,685,794
$479,563,780
$591,674,711
$749,262,413
26.6%
Highest Price Total Dollar Volume
2017 % Change
ARAPAHOE COUNTY January - September
2011
2012
2013
2014
2015
2016
2017 % Change
Number of Properties Sold
99
126
173
167
191
200
212
6.0%
Average Price per Sq. Ft.
$326
$348
$359
$389
$394
$408
$411
0.9%
Average Days on Market
198
196
204
124
116
110
103
-6.4%
Highest Price
$8,200,000
$7,500,000
$7,000,000
$5,950,000
$11,000,000
$6,530,000
$6,000,000
-8.1%
Total Dollar Volume
$171,009,212
$221,838,139
$302,242,666
$314,383,011
$328,112,156
$353,799,451
$377,476,874
6.7%
DOUGLAS COUNTY January - September
2011
2012
2013
2014
2015
2016
Number of Properties Sold
66
78
121
135
151
169
234
38.5%
Average Price per Sq. Ft.
$328
$299
$325
$366
$344
$365
$377
3.5%
Average Days on Market
294
271
194
128
129
134
134
0.0%
$3,150,000
$3,000,000
$3,400,000
$4,000,000
$3,075,000
$6,705,241
$8,116,000
21.0%
$94,529,437
$106,165,713
$163,759,623
$193,809,099
$210,724,298
$246,398,380
$348,516,272
41.4%
Highest Price Total Dollar Volume
2017 % Change
JEFFERSON COUNTY January - September
2011
2012
2013
2014
2015
2016
2017
% Change
Number of Properties Sold
36
34
46
61
91
116
129
11.2%
Average Price per Sq. Ft.
$308
$309
$330
$329
$339
$341
$384
12.6%
Average Days on Market
312
253
258
188
155
153
151
-1.3%
$2,575,000
$3,500,000
$8,691,000
$2,755,000
$3,350,000
$3,000,000
$5,400,000
80.0%
$49,705,601
$50,357,236
$73,740,845
$85,056,204
$122,037,020
$154,936,051
$181,434,602
17.1%
Highest Price Total Dollar Volume
RESIDENTIAL LUXURY REPORT JANUARY-SEPTEMBER 2017 | COLORADOMARKETREPORTS.COM
LUXURY MARKET | MARKETS BY COUNTY
BOULDER COUNTY January - September
2011
2012
2013
2014
2015
2016
Number of Properties Sold
105
145
187
201
269
334
364
9.0%
Average Days on Market
209
152
119
112
83
103
88
-14.6%
$4,313,200
$4,050,000
$4,550,000
$5,300,000
$4,900,000
$6,250,000
$6,250,000
0.0%
$168,940,192
$203,079,250
$279,045,170
$308,346,008
$407,300,757
$518,203,002
$565,722,694
9.2%
Highest Price Total Dollar Volume
2017 % Change
BROOMFIELD COUNTY January - September
2011
2012
2013
2014
2015
2016
2017
% Change
Number of Properties Sold
0
1
5
9
2
10
15
50.0%
Average Price per Sq. Ft.
-
$276
$280
$309
$391
$392
$347
-11.6%
Average Days on Market
-
1,084
51
65
75
37
122
229.7%
Highest Price
-
$1,200,000
$1,610,200
$1,868,000
$2,900,000
$2,100,000
$3,420,350
62.9%
Total Dollar Volume
-
$1,200,000
$6,690,200
$11,229,059
$4,050,000
$14,250,250
$23,061,250
61.8%
January - September
2011
2012
2013
2014
2015
2016
2017
% Change
Number of Properties Sold
4
2
1
6
11
11
13
18.2%
Average Price per Sq. Ft.
$296
$251
$237
$272
$290
$293
$343
16.8%
Average Days on Market
236
55
155
98
92
58
135
132.8%
$1,675,000
$2,000,000
$1,020,000
$1,750,000
$1,429,000
$1,880,000
$1,415,000
-24.7%
$5,200,000
$3,020,000
$1,020,000
$8,168,000
$17,505,633
$15,272,850
$15,100,500
-1.1%
ADAMS COUNTY
Highest Price Total Dollar Volume
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 JANUARY-SEPTEMBER 2017 | COLORADOMARKETREPORTS.COM
RESORT LUXURY MARKET - $1M+ The resort luxury market remained robust at the January-September point of 2017, with the higher end of the market demonstrating a strong surge in activity. Sales are expected to rise as a direct result of individuals continuing to seek second homes in the mountains and resort communities for the lifestyle opportunities they provide, in addition to the continued vibrancy taking place in the Denver market. The Vail Valley saw a higher volume of activity in the luxury market, with the number of properties sold increasing 6.2% from 276 properties sold in January - September 2016, to 293 properties sold in January - September 2017. A majority of sales activity took place in the 1 to 4-million-dollar range, with primarily domestic and Front Range buyers, and some purchasers from Latin America. Average price per square foot held at $785, and average days on the market decreased 18.6% from 295 days on market in January September 2016 to 240 days in 2017, a good average time for the resort luxury market. In Summit County, luxury sales demonstrated significant increase with the number of properties sold increasing 54.1% from 159 properties sold in January - September 2016, to 245 properties sold in January - September 2017. Average price per square foot decreased slightly, 4.7%, to $466 in January - September 2017, and average days on the market decreased 2.4% from 166 days in January - September 2016, to only 162 days in January - September 2017, an excellent timeframe for the resort luxury market. 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 a highly sought-after resort destination, 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 continue into the year-end selling season of 2017.
EAGLE COUNTY (VAIL VALLEY, AVON, BEAVER CREEK, BACHELOR GULCH, CORDILLERA, ETC.) January - September
2011
2012
2013
2014
2015
2016
Number of Properties Sold
157
195
192
231
261
276
293
6.2%
Average Price per Sq. Ft.
$828
$794
$707
$808
$796
$789
$785
-0.5%
Average Days on Market
359
321
334
309
274
295
240
-18.6%
$12,500,000
$14,100,000
$13,550,000
$19,000,000
$15,750,000
$14,692,500
$23,000,000
56.5%
$423,261,275
$561,655,751
$438,207,382
$639,055,893
$701,669,289
$644,636,924
$766,098,423
18.8%
Highest Price Total Dollar Volume
2017 % Change
SUMMIT COUNTY (BRECKENRIDGE, COPPER MOUNTAIN, FRISCO, DILLON, KEYSTONE, ETC.) January - September
2011
2012
2013
2014
2015
2016
2017
% Change
Number of Properties Sold
84
93
102
110
148
159
245
54.1%
Average Price per Sq. Ft.
$382
$354
$424
$427
$493
$489
$466
-4.7%
Average Days on Market
307
240
174
197
172
166
162
-2.4%
3,275,000
5,570,130
3,400,000
3,640,593
3,825,000
5,675,000
4,200,000
-26.0%
$123,310,311
$140,397,916
$145,061,254
$164,123,170
$235,128,434
$246,785,540
$385,993,385
56.4%
Highest Price Total Dollar Volume
RESIDENTIAL LUXURY REPORT JANUARY-SEPTEMBER 2017 | COLORADOMARKETREPORTS.COM
Dream it. Find it. LIV it.
Pictured: 1860 Cresta Road, Edwards
The life you love.
The life you love.
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