Zillow recently reported that a surge of luxury homes came on the U.S. market in June 2020. This halted a trend that saw them decrease the farthest and fastest when the coronavirus pandemic started earlier this year. New listings of the most expensive homes slowed drastically in April and May, dropping by about 50% compared to 2019. However, the uptick in recent days is attributed to sellers with luxury homes having more flexibility in their decision to list and buyer demand has continued to be strong across the U.S.
Home values are holding steady, and homes are being sold more quickly than last year. In June, sellers of luxury homes—usually about twice the price of the median home in large metro areas—came back into the market. New listings for luxury homes skyrocketed, and they are now down only 9% from 2019.
How is Florida Looking?
The national trend has been the same in Florida. Some metros, including Miami (up 13.1%), are seeing new listings for the most expensive homes that are much higher than 2019. In July 2020, the housing market in Clearwater, FL was a seller’s market, meaning that there are more buyers than there are active homes for sale.
The World Property Journal reports that home sales in Florida jumped 11% over the past month, and The Florida Times-Union says that the buying demand will keep growing in Florida as the local economy gets stronger and the population increases.
Americans are increasingly leaving their homes in dense, expensive cities as employers allow for flexible work-from-home arrangements. That means an influx of new residents and home buyers in Florida and in Clearwater.
How About Clearwater’s Luxury Home Market?
Those in the market for a luxury home in Clearwater have several things to consider on the plus side, including the following:
- Prices have dropped a bit, but home values are expected to remain level or continue to grow at a reasonable level;
- Clearwater real estate prices are still below those of metropolitan areas throughout the country, including other metro areas in Florida:
- The economy is bouncing back;
- Florida property taxes are among the lowest in the country; and
- Mortgage rates are at an all-time low.
It’s a great time to buy a luxury home in Clearwater.
We know that our high-end clients want beautiful amenities, like a chef’s kitchen, luxury pool, an expansive maters bedroom suite, and a gorgeous outdoor living space. They also want a home with access to luxury activities like shopping, dining, and the arts, as well as proximity to other luxury homes. We know just where to find the perfect spot for you and your family in Clearwater.
Stay connected on the latest trends in your area. All the latest luxury real estate trends in Clearwater. Read more on the Smith & Associates blog.