01/31/2018
"Stock market gains and soaring investor confidence set the stage for high demand for luxury homes as 2017 came to a close.
Luxury home prices rose 7.4 percent year over year to an average of $1.76 million in the fourth quarter of 2017... Persistent demand along with shrinking supply contributed to the price increase.
The number of homes for sale priced at or above $1 million fell 23.8 percent compared to the same period last year, marking three consecutive quarters of declines in luxury supply. The number of homes priced at or above $5 million followed the same trend, down 23.4 percent.
'The stock market hit all-time highs with gains in nearly every sector last quarter, instilling confidence among the wealthiest homebuyers,' said Redfin chief economist Nela Richardson. 'As a result, we saw double-digit growth in luxury home sales in the last months of the year.'
Sales of homes priced at or above $1 million were up 15.2 percent from a year ago, and sales of homes priced at or above $5 million were up 13.7 percent. Luxury homes moved off the market quickly, typically finding a buyer in an average of 75 days, eight fewer days than in the fourth quarter of 2016."
- Source: redfin.com
