If recent sales figures are any indication, real estate is the new gold. Investors looking to diversify their portfolios are increasingly turning to luxury real estate as a long-term venture. Logic tells us that any home purchased at the right price is a solid investment. However, an investment in luxury real estate can yield greater returns in the long run.
Whether you’re searching for your family’s primary residence, a winter vacation getaway, future retirement options or a pure investment, buying a Scottsdale or Phoenix luxury home is a solid bet. Our metro area tops the list of strongest real estate markets, with predicted gains of 6-7% this year. If you’re looking to invest in luxury real estate, here are three things to keep in mind.
Find the Right Agent
When it comes to luxury real estate, it’s important to have the right broker or agent on your side. Agents can help source listings, arrange showings and match you with the perfect property. As Arizona’s #1 selling real estate team, Walt Danley Realty is poised to help you purchase a luxury home that’s a smart investment as well as a great fit for your family. Their agents have access to MLS listings for homes in Phoenix’s most desirable areas, as well as exclusive pocket (private) listings. Walt Danley is also the only affiliate of Christie’s International Real Estate in the state.
Choose Your Market
The “location, location, location” mantra applies doubly to luxury homes. Multiple Listing Service reports showed luxury home sales throughout Phoenix were up 30% in spring 2017 from the same time last year. More than 300 seven-figure homes were sold during the first quarter of the year, most of which were in prime Arcadia, Biltmore, Scottsdale and Paradise Valley locations.
Select Your Home
Homes with classic design, neutral colors and high-end finishes are the most desirable. According to Hans and Steve Wydler, co-authors of Inside the Sell: Top Agents Reveal Unspoken Secrets and Dangers of Buying and Selling Your Home, flow, natural light and layout are also key to attracting luxury home buyers when it’s time to resell. These are the elements of your luxury home that cannot be changed. Look for large, open rooms with a natural flow – for example, a formal dining room that connects directly to the kitchen or great room.
Many investors are attracted to the Phoenix and Scottsdale luxury markets. For example, high-end “flippers” of million-dollar-plus homes in the Phoenix metro area increased 456% in 2011 and 2012. Housing values in Scottsdale and Phoenix have risen dramatically since then, resulting in high profits for investors. With prices predicted to rise even more, buyers are seeing the investment potential in luxury properties. They key is to find an agent you trust and look for the property that best fits your family, your personality and your portfolio. Contact us today for information on luxury homes in your area.