Is it time to sell a luxury house?

Hi Sandra,
There is a rebalancing occurring in the luxury market. From a seller’s market two years ago, it has become a more balanced market.
When ‘any property’ would sell quickly during the oil boom, buyers are now more picky and know they have more bargaining power. Hence properties stay a little longer on the market.
The effect on pricing is not so direct: if your property is in good condition and has features that make it stand out in comparison to the competition, you will still get top dollars for it.
In summary, in this market, you should expect your property to stay longer on the market but you will realize top dollars in sales price if it is in great condition and it is well marketed.
Feel free to read my recent blog post on the subject: http://www.har.com/blog_55075_how-to-market-higher-end-properties
Best,
francois@cozy-homes.com / 713 397 8857

Hi Sandra,

This is a great question and one that is not simply answered. It depends entirely on the property, the area of town, the motivation for selling and, of course, based on being able to predict the future of the market to determine if now or later is a better time to sell.
The first thing I would want to know is what type of property does your friend own (single family or town home) and what part of town is it located in (the suburbs - Katy, The Woodlands; inside the loop - The Heights, West U, etc.; outside the loop - Bellaire, Memorial, Galleria, etc). The type and location within town is an extremely important starting point. For example, there is an overabundance of town homes listed in town. Therefore, you have more competition to sell than if you were a single family home with a larger lot in West U.
The next thing we'd want to determine is the Buyer activity in your particular area for the price range and how your property stacks up against the competition as well as what the market competition as a whole looks like in a particular area. It's a good idea to have your agent look at the last year's worth of data, focusing more of course on the most recent sales and those that are under contract. The Greater Houston area generally has Buyer activity throughout the year (even during holiday times) because of the transient nature of our city due to jobs. While late Spring is the "typical" time people look at listing, you'll be in the group with everyone else who is following that mindset and, thus, more competition. This is why looking at Buyer activity now is important.
The motivation for selling is important as well. If financially it makes more sense to downsize now (vs. 5 years from now) or the desire to downsize is now, you'd want to consider the equity in the property and whether or not the move simply makes sense.
Feel free to reach out for more info!

Darby Grimmett / KW / darby@darbygrimmett.com / 936-827-9217

Personally I think this time of year is a great time to list your luxury home.
In most cases your home always shines the best during the holiday season.
Your decorated home can build an emotional bond with a buyer that is not available any other time of year.
The pool of buyers at this time of year are the serious buyers, not so many looky lous.
There is less competition now than springtime when everyone lists their home.
Buyers are looking for tax advantages for the current year.
The sale is all about attracting the right buyers by using the right marketing.

Ms. Johns, I personally think of it this way - If the homeowner can get what they want in terms of price, would they sell today? Does the seller have a bottom line? Do you believe that the valuation is correct? Would the seller prefer to be in the smaller location now? How long are they willing to wait? Would the spend on the existing home(mortgage and maintenance) be more than the new location? In most cases, the questions lead you to the fact that the happiness now may be worth more than the potential to maximize profits at some unknown date in the future...