In today's Las Vegas real estate market, there are over 1,100 million-dollar homes listed for sale. Buyers can find anything from a 2-bedroom, 1000 square foot home built in 1973 on 1.72 acres (a clear redevelopment play) to a 6-bedroom, 11,381 square foot home on nearly ten acres in Wayne Newton's neighborhood listed for a cool $21,000,000.
Sadly for me, I'm not working with a million-dollar buyer right now, just doing some research on this segment of the market to see what opportunities it has for 2008. The Brenkus Team has 33 listings over $1 million, second only to Florence Shapiro of Prudential Americana Group. The total list price of these homes is over $2.3 billion, so getting even a small portion of this market can be significant.
Some of my initial questions were basic. How many photos are in the MLS? Is there a virtual tour? Others were more business-oriented. What is the average buyer's agent split? What areas of the Las Vegas valley have the most listings? Which agents and brands have the greatest share of listings? Here's what I found:
- How many photos are in the MLS?
Our MLS allows a maximum of eight photos. Out of 1,111 million-dollar listings, 839 (75.5%) had 8 photos. Just 67 (6.0%) had no photos. (Some of those may be new listings or under construction.) 118 listings (10.6%) had only 1-4 pictures. - Is there a virtual tour?
Virtual tours are available in 657 listings (59.1%). - What is the average buyer's agent co-op?
Co-ops range from a flat fee to 8%. The average co-op is 3.1%. There are 102 listings offering 4% or higher. - What areas of the Las Vegas valley have the most million-dollar listings?
Our MLS divides the valley into six major areas. Henderson has 413 homes listed, followed closely by southwest Las Vegas with 408. Northwest Las Vegas is a distant third with 178. - Which agents have the greatest number of listings?
A total of six agents have 20 or more listings, with the top agent having 45. 470 agents have a single listing, and another 63 have just two. - Which brands have the greatest market share?
Prudential Americana has 14% of the listings in this market segment. Rounding out the top five are RE/MAX, Coldwell Banker, Century 21, and Keller Williams.
Just from these initial questions, it's clear that there is plenty of opportunity in the Las Vegas luxury market. My next steps will be to look at online and print presence of some of the top listing agents, and then analyze sales transactions for the first nine months to determine top buyer's agents, days on market, and absorption rates. This will be valuable information to help build the luxury homes component of my 2008 business plan.
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