Industry News

Luxury prices hold despite slowdown

Future-Proof: Navigate Threats, Seize Opportunities at ICNY 2018 | Jan 22-26 at the Marriott Marquis, Times Square, New York

The stock market plunge and asset crash that hit last fall, along with stricter lending rules such as higher down payments for loans on luxury properties, are contributing to the drag on high-end sales. And while high-cost markets are feeling a pinch in sales, luxury real estate values have generally held the line better than those of other real estate market segments, according to industry data. The Institute for Luxury Home Marketing reported that days on market increased from about 120 days in August 2008 to about 180 days in August 2009 for luxury homes (those priced above $500,000), based on Altos Research data from 31 major U.S. metro market areas. The institute provides training and certification for real estate professionals who work with luxury properties. The median value of U.S. luxury-market homes was about $1.15 million in mid-August 2009, roughly the same as in mid-August 2008, the institute reported this month, based on a 90-day rolling average price statisti...