Prices of Boston Luxury Homes Are SoaringOctober 26, 2013
The Boston luxury real estate market is on the upswing, and properties are selling fast while the inventory is in short supply. Properties are generally selling fast, but beyond a certain price range, Boston luxury homes are not as active as some sellers are wishing for.
Asking Price Dictates How Quickly Properties Sell
Reading current real estate reports, sellers are under the impression that they can sell their properties for whatever price they desire. Many sellers are oblivious to comparable sales in the marketplace and choose not to listen to their Boston luxury real estate agent’s expert opinion. As a result, we are seeing the prices of large luxury condos getting more and more inflated.
Boston luxury home owners with unique properties and have spent a considerable amount in upgrading construction and/or design, wouldn’t mind selling IF they get between $2400-$3000+ per square foot. In Boston, this is simply not yet attainable. Instead of putting these properties on an open market, they are being marketed quietly and confidentially, knowing full well that the price is so outrageous. Sellers are hoping there may be someone out there falling head over heels in love with their property.
We are seeing more and more condos being put on the market quietly for $7.M to $14.M that are probably worth half that amount in the open market. That said, there is always a buyer who doesn’t care about data or statistics and wants to be in a particular building or neighborhood and pays whatever it takes. But these buyers are few and far between.
This also holds true of investors who accumulated a number of large luxury residential homes and are now hoping to bank on this market rebound. Some investors are trying to sell these properties only after a few months or a year at 50%-80% profit.
Want to find out the true value of your home to sell it quickly? Contact me to discuss your options.