According to the San Antonio Board of REALTORS®, which publishes monthly reports based on listing data for the city, homes priced over the $1,000,000 mark closed at an average 3.1% above listing price.
Texas is known for its luxurious homes, and despite the ongoing economic uncertainty, sales of luxury homes in the state continue to be strong. The luxury real estate market caters to a small but VERY active buyer pool, and has distinct trends that set it apart from the real estate market as a whole. Luxury Real Estate is a difficult label to pin down because its standards can change depending on the market. What may be considered luxury in a sleepy Southern town may not meet the local standards of luxury for a West Coast city or even a "Luxury" home in San Antonio. It is very geographically based depending on a few factors but to make this easy let's just say price. Right now Keller Williams Luxury has San Antonio Luxury starting at $750,000.
The property’s amenities, architectural design, neighborhood amenities and location are all factors into the price point for that area of the market. A property may be marketed by its agent as having a single or a few luxury amenities, but that doesn’t mean it’s worth a luxury price tag, even though some sellers Amy see it that way. To be truly authentic and experienced you have to look at the property as a whole to assess its worth. The Institute for Luxury Home Marketing has data that has shown, "The number of days on the market for luxury single-family homes dropped from 38 in February 2021 to 11 in 2022." that is incredible news in my opinion and I am sure everyone else would agree.
(The picture above was an Off-Market Sale in Alamo Heights in the Fall of 2022)
There are several reasons why luxury homes in Texas remain in high demand, including:
Economic stability: Texas has a diverse and strong economy, which helps to maintain the high value of luxury homes in the state. Many high net worth individuals who are less affected by economic downturns, choose Texas as a place to live.
High population growth: With a rapidly growing population, the demand for luxury homes in Texas continues to be strong. This population growth is driven by job opportunities, lower cost of living and a desirable lifestyle.
Low-interest rates: The current low-interest rate environment has also contributed to the strong sales of luxury homes in Texas. Low-interest rates make it more affordable for buyers to finance a luxury home, which can increase demand.
Diverse real estate options: Texas offers a wide range of luxury homes for buyers to choose from, including sprawling ranch properties, historic homes, and modern waterfront properties. This diversity of options helps to keep the market strong.
Lifestyle and Amenities: Luxury homes in Texas often come with a wide range of amenities, such as golf courses, fitness centers, and swimming pools, which can be attractive to buyers looking for a high-end lifestyle.
In conclusion, luxury homes in Texas remain in high demand, even in a down market. Economic stability, high population growth, low-interest rates, diverse real estate options and lifestyle and amenities are all factors that contribute to the strong sales of luxury homes in Texas. If you're in the market for a luxury home in Texas, it's a great time to buy, as prices are likely to remain strong in the coming months.
