Current analysis of the luxury home market in Denver, Colorado it is fragmented to say the least. One of my biggest focuses lately has been expired listings in the Denver metro area. The market has started to shift to a neutral market on the whole it favors neighter buyers or sellers. However certain areas and market segements are unique. To search the Denver luxury home market.
Working my expired listing market is not price constricted it is geographically targeted. I’m going by this house in a great Denver luxury home neighborhood.
This home is designed to be a scrape. The home itself is not that attractive. It was priced around $800,000. It is a well established neighborhood. I absolutely loved the neighborhood driving around in there. It was quiet and out of the way, off the beaten path, surrounded by luxury homes. The buying of a lot and scraping the hold house off is quite common in these areas. It definitely was before the real estate crash. There is a lot of challenges in the construction loan market. There is also a plethora of luxury homes in the Denver market. These scrapes aren’t done nearly as often as they used to.
Building luxury homes is still going on!
Just up the street a new luxury home is being built. This is what really gets the economy moving, new home construction. Absolutely this is a luxury home going in here, just look at the sign. Whenever you see a custom sign for a new home consider that it’s not a tract home. Then you see this going on in the same neighborhood.
The bad news that is going on the same street
Whoops
Here we have a luxury Denver foreclosed property. People are all to familiar with this situation. The foreclosure crisis is even hitting the luxury home market. This makes sense for a few reasons.
- The rich generally have more assets and options than most people. This allows them to delay foreclosure longer. They can liquidate assets to help with their situation.
- Option Arm’s were generally more prevalent among luxury properties. These are finally coming due, resetting, and/or becoming fully amoratizing.
- The stated income loans went away. This takes away the option of refinancing for a lot of people.
So here on one little street you can see a snapshot of the entire luxury home market. If you would like to search for Denver luxury homes. My analysis, especially in this market is that each property and neighborhood is unique. Some favor the buyer and others the seller. There is a great deal of customization of homes and there is a much greater variety and divergence in these homes compared to track homes. On the whole I’d rather be the buyers agent rather than the selling agent.
