Luxury homes transition to seller-dominant market
The highest tier of homes for sale, homes priced over $500,000, has been the last part of the market to feel the effects of the housing recovery. The Institute for Luxury Home Marketing reported its Market Action Index has reached 30 for the first time and in subsequent weekly reports the index has maintained its position.
"The ILHM National market is currently slightly in the Seller’s Market zone (greater than 30).The Market Action Index stands at 30 which indicates that luxury demand is relatively strong but the available supply of new listings doesn’t get acquired immediately," the ILHM noted in its June 23 report.
The ILHM Luxury Composite Price for the week ending June 23 was $1,273,414 and the asking price per square foot was $324. Homes have been on the market for an average of 151 days, according to the report.