Luxury Homes Are in High Demand

As people realize their needs are changing, some are turning to luxury housing to find their dream home. While usually associated with its price, the luxury market touts a myriad of considerations. For example, location is an important factor. It could be a condo in Downtown Boca Raton, a spacious home on the Intracoastal, or one with access to luxury activities like arts and entertainment, high-end shopping and dining, and more. The home itself will also include some of the finest features available.

According to the Luxury Market Report from the Institute for Luxury Home Marketing, there’s been a substantial increase in how many buyers are purchasing luxury homes over the past two years. It says:

“. . . North America recorded the fastest growth of demand during the first year of the pandemic. Also, demand has . . . consistently increased, and even in April 2022, we saw a higher volume of sales compared to 2021.”

If you already own a luxury home, it could be a great time to list your house today while demand for South Florida housing is so high. But first, let’s understand where the demand is coming from.

What’s Driving the Heightened Buyer Demand for High-End Homes?

The same report says more people have reached a certain net-worth threshold, and that’s contributing to the increased interest in luxury housing:

“In 2020, we saw a 2.2% growth in the number of individuals with wealth of over $5 million in net value, but in 2021 that number grew by an outstanding 19.8%.

This total increase has resulted in the introduction of over 660,000 new individuals into the high net-worth bracket, which, combined with the existing affluent looking to both diversify and add new properties to their portfolio, provides a true insight into why the demand for luxury properties skyrocketed during 2021 and into 2022.”

So, if you’re looking to make changes to your real estate portfolio or are looking to sell your current house, it may be a great time to list and benefit from the high demand for luxury homes today.

Bottom Line

If you own a luxury home and want to know how strong demand is in Boca Raton, let’s connect so you can capitalize on current market conditions while buyer demand for upscale homes is so high.

Why You Need an Expert To Determine the Right Price for Your House

If your lifestyle has changed recently and you’re ready to make a move, taking advantage of today’s sellers’ market might be just the answer for your summer plans. With Boca Raton homes continuing to get multiple offers, this could be your moment to get the contract you’re looking for on your house if you’re ready to sell.

And here’s the thing – you need an expert on your side to ensure you make all the right moves when you do, especially when it comes to pricing your house. Even in this competitive market, you can’t stick just any price tag on your home and get the deal you want. A key piece of the puzzle is setting the right asking price so you can help buyers notice your home (and get excited about it) from the very first time they view the listing. That’s where a real estate professional comes in.

Why Pricing Your House Right Is Important 

The price you set for your house sends a message to potential buyers. Contrary to what many people believe, pricing your home under market value will generally end up with you getting more for your home than if you set the price at or above market value. But price it too low and you might raise questions about your home’s condition or lead buyers to assume something is wrong with the property.

On the other hand, price it too high, and you run the risk of deterring buyers. When that happens, you may have to do a price drop to try to re-ignite interest in your house when it sits on the market for a while. But be aware that a price drop can be seen as a red flag for some buyers who will wonder why the price was reduced and what that means about the home.

In other words, think of pricing your home as a target. Your goal is to aim a little under market value – not too high, not too low, but under by just enough to peak buyers interest. Pricing your house just under market conditions increases the chance you’ll have more buyers who are interested in purchasing it. That makes it more likely you’ll see multiple offers, too. And if a bidding war happens, you’ll likely get an even higher final sale price. Plus, when homes are priced right, they tend to sell quickly.

Lean on a Professional’s Expertise 

There are several factors that go into pricing your house, and balancing them is the key. That’s why it’s important to lean on an expert real estate advisor when you’re ready to move. A local real estate advisor is knowledgeable about:

• The value of homes in your Boca Raton neighborhood

• The current demand for houses in today’s market

• The condition of your house and how it affects the value

A real estate professional will balance these factors to make sure the price of your house makes the best first impression and gives you the greatest return on your investment in the end.

Bottom Line

If you’re thinking about selling, pricing your house appropriately is key. Let’s connect to make sure your house is priced right for the local market, for your home’s condition, and to stand out from the competition.

Top Sales for May 2022 in Coastal Boca Raton

The top sale in May was a stunning, Mediterranean-style estate home with 101' of water frontage on the Intracoastal. This home had been on the market for just 6 days, sold for over $14M and was the only home traded in Royal Palm Yacht and Country Club this month. Two oceanfront condos are in the top 5, spending under 40 days on the market each and an oceanfront offering at Beresford made the list, spending 0 days on the market. Alina's Phase 1 closed out two of the final three residences available for immediate occupancy. We are beginning to see more homes listed with 113 luxury homes on the market as of June 2, 2022 with the highest price points located in Royal Palm Yacht and Country Club, where 444 E Alexander Palm Road was just listed at $40M.

303 E Alexander Palm Road
6  beds   |  8.5  baths   | 9,448 sq. ft.
$14,500,000

2500 S Ocean Blvd #203
3 beds   |  4.5 baths   | 6,512 sq. ft.
$8,300,000

591 Phillips Drive
6 beds   | 7 baths   | 5,922 sq. ft.
$4,925,000

200 SE Mizner Blvd #107
3 beds   |  3.5  baths   |  3,447 sq. ft.
$4,525,000

1500 S Ocean Blvd #S-501
3 beds   | 3.5  baths   | 3,117 sq. ft.
$4,400,000

200 SE Mizner Blvd #718
3 beds   |  4 baths   | 3,490 sq. ft.
$4,280,250

327 Royal Palm Road #401
3 beds   | 2.5 baths   | 3,462 sq. ft. 
$3,500,000

525 Sandpiper Way
6 beds   |  8 baths   |  8,445 sq. ft
$3,130,000

1241 Banyan Road
4 beds   |  3 baths   |  2,282 sq. ft
$2,650,000

350 S Ocean Blvd #6-A
3 beds   |  3 baths   |  2,523 sq. ft
$2,600,000