3 Things to Consider about the 2020 Luxury Market
By the end of last year many of the owners of luxury homes found themselves with more equity than they thought and at the same time their earnings had increased. Many times, when we find these two factors come together it can often increase interest for homeowners to think about making a move up to a larger or more expensive home. You may find yourself asking if now is a perfect time to take a closer look at the housing market and how the rest 2020 year will turn out.
Here are 3 Things to Think About in the 2020 Luxury Housing Market
The U.S. economy continues to be strong and there are many buying opportunities throughout the luxury end of the housing market. There has always been strong correlation between luxury real estate prices and positive economic growth.
The level of inventory has always been a key element that influences home prices. Right now, there are a lot more homes on the market in the upper price ranges than in the entry-level market home prices. Being that there is a great selection of homes on the market in the higher priced homes it makes moving up to a luxury home right now a growing reality for many buyers.
2. Increases in the Activity of Home Buying in the Market
With a larger selection of homes on the market right now at the higher end the buying opportunities are seeing an increase active of Buyers.
Many affluent homebuyers will be starting to search for that perfect home as they find rising rents on less appealing homes and that sellers are getting even more willing to negotiable on price.
Because there are more choices Buyers are taking the opportunity to negotiate on price in a segment where the inventory numbers of available homes is greater.
With the current low interest rates Buyers are they have greater purchasing power.
3. Buyers Are Coming Back
Keep in mind if you are looking to move up by selling your entry level home you can take advantage of the inventory shortage at the lower priced homes, thus driving up the sales prices for your current home. With the growing equity in your home you will be selling it’s a great time to make the move up.
By using your extra equity and greater purchasing power your will be able to move off the sidelines and back into the market.
If you’re considering entering the luxury market in 2020 it will be a great year to make that move.