(Updated August 2014)
Due to the limited quantity of luxury properties and prospective buyers, the listing and sale of luxury real estate may present some challenges. However, with the right marketing mix and a little creativity you can connect your luxury listings with qualified and interested buyers—perhaps a multimillion dollar home could be converted into a winery, convention retreat center, or hotel, or maybe connecting with the international community will help increase the pool of prospective buyers. This updated Field Guide explores trends and performance of the luxury market, and offers tips and techniques for success. (K. Stockert, Information & Web Content Specialist)
Q - ProQuest articles available for NAR members only. Password can be found on the ProQuest/Find Articles page.
Facts About Affluent Homebuyers
- Percent of first-time and repeat buyers with household incomes of $200,000 or more: 8%
- Percent of first-time and repeat buyers who bought homes priced $500,000 and more: 9%
- Percent of first-time and repeat buyers who bought homes 3,501 sq ft or more: 10%
The Luxury Property Market
Listing Luxury, (REALTOR® Magazine, Nov. 2014).
Pricing Luxury Real Estate Is An Art And Science, (CNBC, Sept. 23, 2014).
Luxury Homes: Priced to Sell at $30 Million, (Wall Street Journal, Sept. 10, 2014).
Luxury senior housing and assisted living communities on the rise, (Fresno Bee, Sept. 22, 2014).
Tips for Buying Luxury Real Estate, (Investopedia, Sept. 2, 2014).
Chinese Move into Luxury Manhattan Property, (BBC, Aug. 25, 2014).
Most Orlando Luxury Estate Buyers Come with Cash in Hand, (Orlando Sentinel, Aug. 19, 2014).
The Trouble with Living Large, (The Wall Street Journal, Aug. 14, 2014).
America’s Most Expensive Homes for Sale Right Now, (Forbes, Aug. 4, 2014).
Foreign Buyers Fuel Concerns amid Miami Luxury Condo Boom, (Reuters, July 28, 2014).
All Eyes Are on Texas as Home Prices Set Records, Luxury Market Rises, (StreetInsider.com, July 27, 2014).
S.F. Luxury Home Sales Soar, (SF Gate, July 7, 2014).
Why the Luxury Real Estate Market Remains Hot, (Michigan Avenue, June 27, 2014).
Selling an Upscale Home? You’re in Luck. Sales Remain Strong. (Money, June 16, 2014).
Local Markets Dictate Price, Features of Luxury Housing, (Los Angeles Times, June 12, 2014).
Sky-High Demand for Luxury, (New York Times, June 1, 2014).
Luxury Sales Heat Up Across the Country, (REALTOR® Magazine, May 28, 2014).
Living Large: The Market for Super Luxury Homes, (CBS News, May 18, 2014).
‘Unequal’ Recovery: Luxury-home Sales Thrive in US, (Arab News, May 4, 2014).
Realtor.com® Survey: 13% of Consumers Ready to Buy a Luxury Home, (Realtor.com, April 24, 2014).
Affluent Driving Force Behind Resurgence of Pricey Real Estate, (Toldedo Blade, Feb. 2, 2014).
Luxury Sales Drive Manhattan Home Prices Higher, (CNNMoney, Jan. 2014).
Market for Luxury Homes Selling for Around $1.5 Million is Heating Up, (Washington Post, Jan. 23, 2014).
Million Dollar Listing, (Bravo, n.d.).
Flip that Mansion: Investors See Riches in Luxury Homes, (Reuters, Aug. 2013).
Interluxe Announces Launch of Global Online Luxury Real Estate Auction Platform, (PRWeb, May 2013).
Marketing to the Millionaire: Profile, Preferences, and More
Lavish Clubhouses Woo Luxury Home Buyers, (Wall Street Journal, July 31, 2014).
Luxury Homeowners Snub the Open House, (The Wall Street Journal, June 19, 2014).
Portrait of an Affluent Consumer, (Houston Chronicle, June 24, 2014).
Here’s What Wealthy People Want in Their Luxury Homes, (Business Insider, June 19, 2014).
Living in Luxury Air Parks, (Wall Street Journal, June 5, 2014)
For the Very Rich, U.S. Luxury Homes are a Bargain, (Investors Business Daily, May 21, 2014).
Luxury Residential Real Estate Update: ‘Forget it Jake, It’s Chinatown, (Forbes, May 20, 2014).
Bay Area REALTORS Now Using Drones to Market High End Properties, (CBS Bay Area, Feb. 4, 2014).
10 Things Besides Location Luxury Buyers Should Obsess Over, (Forbes, Oct. 23, 2013).
Five Simple Home Luxuries for Less, (The Seattle Times, Sept. 20, 2013).
Three Essentials to Selling a Million-Dollar Listing, (Inman, Aug. 31, 2012).
Luxury real estate execs share insights on unique clientele, (Inman News, Jan. 18, 2012).
Research on Your Own
National Association of REALTORS®'s Resort & Second Home Property Specialist Certification is an option to gain a more in-depth education in the area of working with luxury homes and home buyers. Luxury Home Magazine’s Twitter account shares lots of luxury home related news from a variety of sources. Log-in to www.twitter.com and follow @luxuryhomemag, or add them to a Twitter list. The Luxury Clues Blog offers opinion on the luxury real estate market, including ideas for marketing and building your luxury real estate network.
To search for the most recent articles on listing and selling luxury properties, log in to NAR's ProQuest account and enter subject terms such as:
- Enter into ProQuest text box as SU (luxury homes)
Luxury homes and Real estate sales
- Enter into ProQuest text box as SU (luxury homes) AND SU (Real estate sales)
Luxury homes and marketing
- Enter into ProQuest text box as SU (luxury homes) AND SU (marketing)
Many websites, such as Wikipedia, can be great resources to quickly get oriented on a subject before conducting more in depth research. However, anyone in the world can create and maintain a website or write a seemingly legitimate article and may, intentionally or unintentionally, publish false or “misinformation.” When reviewing information on the Internet, you should always consider the ABC’s:
- Accuracy. Is the information accurate? Can you confirm the same information using other resources published by a different author or organization?
- Author. Who composed the information? Can you easily identify the author and contact the author or website publisher?
- Bias. What bias might the author or author organization have?
- Credibility. What is the author’s or author organization’s credentials for publishing the information? What expertise, experience, or education does the author have in this area that makes him or her qualified to write on the subject matter?
- Currency. When was the web page last updated? Is it possible the information might have changed since this web page was last published?
- Critical eye! Remember to always use your discretion and critical eye to determine whether information you find on the web (or even in books and news sources!) is trustworthy. Putting websites to the ABC test will get you started in developing a strong critical eye.
eBooks & Other Resources
The following eBooks and digital audiobooks are available to NAR members:
The Luxury Strategy, (Adobe eReader)
Luxury Brand Management, (Adobe eReader)
Selling Luxury, (Adobe eReader)
Books, Videos, Research Reports & More
The resources below are available for loan through Information Central. Up to three books, tapes, CDs and/or DVDs can be borrowed for 30 days from the Library for a nominal fee of $10. Call Information Central at 800-874-6500 for assistance.
The World of Luxury Real Estate, (CreateSpace, 2007).
Rich Buyer, Rich Seller: The Real Estate Agents Guide to Marketing Luxury Homes, (Institute for Luxury Home Marketing, 2003).
Field Guides & More
These field guides and other resources in the Virtual Library may also be of interest:
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The inclusion of links on this field guide does not imply endorsement by the National Association of REALTORS®. NAR makes no representations about whether the content of any external sites which may be linked in this field guide complies with state or federal laws or regulations or with applicable NAR policies. These links are provided for your convenience only and you rely on them at your own risk.