SANTA CRUZ LUXURY HOMES - REAL ESTATE MARKET REPORT FOR HOMES PRICED OVER 1 MILLION DOLLARS
As a Santa Cruz Realtor I am often asked 'How is the Real Estate Market?' I always have to answer 'depends'. What does it depend on? If you are a seller or a buyer, what neighborhood you live in, what price range you are in . . .
The Luxury Home Real Estate Market in Santa Cruz County (for this post we will classify that as property priced over 1 million dollars) has different characteristics than lower end foreclosure & short sale market or the median priced homes. Selling Luxury Homes in Santa Cruz is more challenging than before especially with the new lending guidelines. A surprising # of the luxury home sales in Santa Cruz are bought with all cash.
The current median price of a luxury home in Santa Cruz (again this is Real Estate priced over 1 million dollars) is $1,220,000. The number of luxury homes selling in Santa Cruz has dropped over the past year. For example in month of July 2010 there were 8 luxury home sales over 1 million dollars while in July 2009 there were 13 luxury home sales over 1 million.
The Chart Below shows Supply vs Demand for Luxury Homes priced over 1 million dollars. You can see that demand is down 38% while supply is down only 1%. The green represents demand while the red represents supply.
There have been some foreclosures and short sales of luxury homes in Santa Cruz or homes priced over 1 million dollars. These foreclosed luxury homes offer an opportunity to buy a property at a deep discount. For example, in May 2010 a home on the Upper Westside of Santa Cruz was sold as a foreclosure for $1,425,000. In 2005 this same home had sold for $2,150,000!
Luxury homes that you never thought you would be able to purchase may now be within your reach! I keep a close eye on the Foreclosure market in Santa Cruz, contact me for a list of foreclosures or go here: Santa Cruz Foreclosures for sale
Read my related article: Santa Cruz luxury ocean view foreclosures for sale
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