Three things luxury sellers should know in 2018

Key insights

• High-end sellers compete with new construction homes, so they may have to make strategic updates in order to compete.
• Sellers who can find their pricing sweet spot are being rewarded with fair buyer offers and a faster path to closing.
• Larger homes have distinctive design potential that many smaller homes do not, so luxury owners may want to consider special projects to help their properties stand out when they’re placed on the market.

You’ll have to compete with brand-new homes

New construction sales are on the rise and many (though not all) newly built homes are priced in the higher end of the market. This means that as a luxury home seller, you may be competing against brand-new properties with smart home integrations, modern design trends and (perhaps most importantly), the ability to customize everything from flooring to paint colors to appliances.

How can you stand out in this environment? The key, says Edina Realty Exceptional Properties Vice President Irene Wright, is for homes to be “in pristine condition from top to bottom.”

Upper-bracket home sellers will benefit from talking to a REALTOR® who can make recommendations about fixes that will help their home stand out online and in person. Whether it’s adding heated floors to the master bathroom or modern hardware and light fixtures to an otherwise flawless kitchen, it can be important for homeowners to tweak their older properties to meet the demands of today’s buyers.

Find your pricing “sweet spot” to sell faster

In the 13-county metro area, sellers with homes priced over $500,000 are waiting just about two months (62 days) before accepting an offer and making their way to the closing table. Perhaps more importantly, those sellers are getting 97 percent of their original list price.

Keep in mind that a $500,000 home is probably not very comparable to a $1 million-plus home in terms of market times, so it’s best to ask your Realtor for the specifics on your property to set realistic expectations.

All this means that while luxury sellers may not be accepting an offer in 24 days (as some under- $500,000 homeowners are), they’re also not waiting for months and months to find the right buyer. And perhaps most importantly, high-end buyers aren’t expecting a bargain. For the right property, they’re willing to pay a fair rate and they’re eager to close quickly.

Edina Realty’s Exceptional Properties agents work every day to find the pricing “sweet spot” of high-end homes so the properties don’t lag on the market. To get a no-pressure evaluation of your home’s value, reach out today.

*Based on information from the REGIONAL MULTIPLE LISTING SERVICE OF MINNESOTA, INC. for the 13-County Twin Cities metro area for April 2018.

Go beyond HGTV when upgrading your high-end home

As you look at home design trends in anticipation of selling, you may be tempted to follow the HGTV trend of all-white kitchens. But, says Wright, luxury homeowners may want to steer clear of this particular design aesthetic.

“While all-white kitchens are the trend in design magazines and on home-based reality TV shows, luxury homes have larger kitchens that can withstand extra color without looking smaller. Take advantage of that extra space by adding colored cabinets or other bright colors to your kitchen and you’ll stand out from the competition.”

Need assistance selling a high-end home?

Edina Realty has luxury specialists working in every area of Minnesota and western Wisconsin. Get in contact today and we’ll match you with an Exceptional Properties agent who can help you sell your home for top dollar.