Despite the bursting of the housing bubble, the ensuing recession, and the slow recovery, buyers have not abandoned luxury homes. It turns out they just took a break. In July 2013, sales of homes costing more than $1 million were up 46.6 percent from the previous July.
When it comes to new homes, bigger is again better. The median size of new homes built for sale peaked in 2007 at 2,295 square feet, then fell to 2,159 two years later, after the housing crisis hit. But the appetite for ever larger homes has returned: In 2012, new homes reached a peak of 2,384 square feet and, according to the National Association of Home Builders, some 41 percent of new homes had four or more bedrooms, up for 34 percent in 2009.
January 26, 2014, the Sunday New York Times reported that “The housing market is being driven by the move up buyer, the luxury buyer,” said Brad Hunter, chief economist and director of consulting at Metrostudy.”And those who have strong incomes, secure jobs, and stock portfolios doing well – are able to buy what they want. And what they are buying is larger houses.”
For What It’s Worth
Buffalo Springfield’s biggest hit was For What It’s Worth. Now Greenwich Real Estate broker Christopher Fountain hits the front pages of the New York Times Sunday Business Section with his very popular real estate blog:
For What It’s WorthThe New York Times calls Fountain the Gadfly of Greenwich, Connecticut Real Estate. The fountain has created a blog that more often than not lampoons the market he serves. Click on the link above for some fairly humorous takes on “Rogues Hill Road.” A three-and-a-half mile stretch of asphalt Mr. Fountain actually serves as a professional realtor. Fountain, a lifetime Greenwich resident, is quoted as saying, “All these aspirational schnooks came out here thinking they had really made it. But then the tide went out and what you’re left with is a bunch of crooks!” Believe it or not, Mr. Fountain makes a living brokering mega mansions real estate deals to these so-called schnooks, among others.