3 Reasons to Buy Luxury Property THIS Year!!

3 Reasons to Buy Luxury Property THIS Year!! | MyKCM

3 Reasons to Buy Luxury Property THIS Year!!

 

1. There are more homes from which to choose

According to a recent Wall Street Journal article, inventory in the upper end is increasing, while it is decreasing at the lower and mid-tier price ranges. Here is a graph showing the average increase/decrease in inventory for the first four months of this year as compared to last year:

3 Reasons to Buy Luxury Property THIS Year!! | MyKCM

2. Prices are becoming more reasonable

In a separate article, the Wall Street Journal also talked about prices in the luxury market. They explained that downward price adjustments have been more common in the luxury market than in markets with lower prices. They went on to say:

“The growing number of price cuts suggests luxury-home sellers are becoming more realistic about property values as sales have slowed, said several real-estate veterans.”

Not only will you have more to choose from, but you may also be able to get the property at a reduced price.

3. Mortgage rates are at historic lows

In the past, one of the drawbacks to purchasing a luxury property was the larger mortgage rate on “jumbo” loans which are often required on high end properties.

However, HSH.com just revealed that jumbo rates just set new record lows:

“While conforming fixed-rate mortgages eased a little this week, 30-year fixed-rate jumbos declined enough to break into new record low territory (3.66%), besting the previous low set in April by two basis points.”

Bottom Line

More choices, better prices and historically low mortgage rates may make this the perfect time for you to own one of those luxury properties you and your family have always fantasized about.

About Joann Samelko, REALTOR®

Hi, I'm Joann and it is my pleasure to serve your real estate needs. I am a Licensed Realtor and have been Licensed as a Broker since 2002. My business focus is on helping buyers and sellers with their real estate needs and goals. I enjoy working with first time homebuyers, people relocating to the area, individuals making a change in their lives, and of course, my former clients and friends. My Designations include the ABR (Accredited Buyer Representative), ASP (Accredited Staging Professional), CRS (Certified Residential Specialist), GRI (Graduate of the Realtor Institute) and SRES (Seniors Real Estate Specialist). In addition to working with buyers and sellers I am also the Director of Relocation for Northside Realty. Prior to becoming a Realtor, my background includes over 20 years of sales and sales management experience in the corporate world.

Buying a Home, Investing in Real Estate, luxury properties, Pricing, sellers

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