Realtor.com has released the results of their most recent survey of luxury home buyers, reporting on purchase motivations, amenity priorities and expectations. The numbers are encouraging, with 13% of home buyers looking to buy a luxury home and 26% considering a high-end luxury home. In the niche markets of Santa Barbara and Montecito, properties priced over $1M are considered luxury properties. The report also states that with such a large portion of homebuyers searching for high-end homes, trends in the entire market are being driven by the luxury sector.
A number of factors are motivating luxury homebuyers to make a move, chief among them being recent career success (19%) followed by retirement (17%). Investment and first time home buying were also catalysts to entering the housing market. Challenges homebuyers reported when shopping for a high end home were expected. Challenges included finding a property to meet family needs (40%), a limited inventory (20%) and access to mortgage loans (8%).
Buyers were also questioned on the most desirable amenities and what was the most important features of a home. Chef’s kitchens were the most desirable with 54% of homebuyers listing a fabulous kitchen as their top priority. That million dollar view! Second on the list of desired features was a beautiful view (44%) particularly of an ocean, the mountains or cityscapes. Size also matters. Square footage (38%) and a large master suite (36%) also made the list. Resale value was also taken into consideration with 36% of buyers indicating resale value as “very important” and 27% feeling resale value was “extremely important.”
For a further breakdown of luxury home buyers and information on homebuyers not looking for luxury real estate, view the full Realtor.com report.