Million Dollar Home Sales Increasing

Over the 2014 year in the United States, the number of 1 million dollar plus home sales rose by 8 percent. Million dollar and up homes have seen a much faster recovery than any other price point. In fact, sales for million dollar and up homes are now almost comparable to prices seen during the housing peak in 2007.

 

Housing analysts believe one reason why the surge has occurred has been the increase in jumbo loans being given to high priced buyers. A jumbo loan is a loan that exceeds $417,000, or in very high priced areas, $625,000. Total dollar volume for jumbo lending has grown to 20% of the total of all home loans. Jumbo loaning hasn’t been this popular since 2002.

 

In general, most of these million dollar homes are often sold in very small geographical areas. In many cases, the location actually creates the million dollar home. For example, the coast of Washington state has many million dollar plus homes, but it is on the waterfront, in the heart of Seattle, where even the most humble of homes can rise above a million. Big Sky, in a way, follows a similar pattern but is not at such high volumes.

 

Rising sales and rising prices at any price level is good news. Hopefully, the rise in million dollar home sales is a preview for what may be coming at lower price points.

 

 

 

 

 

Source: http://realtormag.realtor.org/daily-news/2014/11/12/million-dollar-sales-are-soaring?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+DailyRealEstateNews+%28Daily+Real+Estate+News%29

 

Hart Real Estate Solutions

www.hart.realtor

406.585.0000

Hart Real Estate Solutions Bozeman Montana


  

 

Comment balloon 3 commentsHart Real Estate Solutions • November 13 2014 02:11PM
Million Dollar Home Sales Increasing
share
Over the 2014 year in the United States, the number of 1 million dollar plus home sales rose by 8 percent. Million dollar and up homes have seen a much faster recovery than any other price point. In fact, sales for million dollar and up homes… more
College Towns See Highest Growth in Housing Market
share
College and University towns have outpaced non-university towns in their housing market growth. Cities and towns with a heavy student influx have, in general, outperformed the national averages for housing price trends, according to Clear… more
Allowing MLS to Take the Lead
share
“The power balance in the real estate world is shifting faster than ever. Travel titans, search engines, investment oracles and government entities all want to change the way we do business. Most just want to control a larger… more
New Chapter In Housing Market Recovery
share
The nation experienced a 5. 24% decline in housing inventory this July. At the same time, the national median listing price increased by 5. 27%. “The recovery is entering a new phase where inventory shortfalls are no longer the driving force behind… more
Eminent Domain Plan and Real Estate
share
Freddie Mac is making a bold move by threatening legal action against the city of Richmond, CA because they are planning to use eminent domain to seize underwater mortgages. Richmond’s Stance : In offering to buy troubled loans at below market value… more
Real Estate Milestone Achieved
share
Housing starts are at 1. 04 million, up 7% from this February and up 47% from this time last year. This number is achieved highly due to the recent surge in building apartments and condominiums. These multi-family units alone jumped 82% as compared… more
7 Year-Highs: Home Prices Post Their Biggest Gains
share
Median Existing Single-Family saw their largest annual gain in more than seven years in the first quarter of 2013. The median home price rose from $158, 600 to $176, 600, a gain of 11. 3%! “The supply/demand balance is clearly tilted toward… more
HUD-Owned Homes Predicted to Surge
share
HUD—Who are They? In 1937, the U. S. Housing Act planted the seeds for the development of the Department of Housing and Urban Development in 1965. The mission of HUD is to create strong, sustainable, inclusive communities and quality affordable… more
The Desire to Buy Real Estate
share
The American Dream has at its core the idea of home ownership. The dream, according to CNBC-All-American Economic Survey, is being acknowledged more and more. 79% of Americans believe home ownership is the essential piece of the American dream… more
Montana Ranch Sales: Land Value in Montana
share
Companies from Bozeman to Billings have seen an uptick in investing in working ranches. Cattle prices are good and the prospect of the global world developing a stronger middle class only speaks of the demand for cattle to increase in the future… more