This new listing in Harrods Glen is coming on the market amid a surge in high-end sales.
It’s already April and the first quarter results for the Louisville real estate market are in. Overall, the Louisville housing market remains very healthywith solid activity and gains across the board, but the high-end segment (homes $400,000 and above) continues to outperform the broader market by huge margins. The overall market posted good quarterly results with 7.8% more home sales closed versus the same period last year. This gain occurred despite slightly tighter inventory of available homes, which were down 6.5% compared to last year. Low interest rates, a loosening credit environment and high consumer confidence continue to drive strong activity across the market.

In addition to the macro-economic factors cited above, the wealth effect of the soaring stock market, coupled with the low cost of long-term capital, are fueling a boom in high-end real estate sales. The high-end segment turned in a stellar performance for the quarter with closed sales up 37% and available inventory of homes for sale up 11.5% over last year which will continue to drive sales in the next quarters. The number of homes that went under contract during the quarter (new pending sales) was up an astonishing 73% with 322 high-end homes contracted compared to 186 in the first quarter of last year. By this metric which provides the most real-time information as new sales take an average of 30-45 days to close, the high-end segment is outperforming the overall market by a factor of 4!

High-End Market Report (Homes $400k+) – 1st Quarter Q1 2014, Q1 2015 Closed Sales Active Listings

Pending Sales – Q1 2015 vs. Q1 2014 Overall Market Homes $400,000+Pending Sales % Increase

Driven by the substantial number of high-end sales, the median sale price per square foot for the overall market posted a 6.7% increase year-over-year. Drilling down to the high-end segment only, prices remained flat over last year at roughly $163 per square foot, but activity remains strong and homes in great condition are selling briskly and at a premium.As impressive as the high-end’s performance has been, Lenihan Sotheby’s International Realty has managed to gain significant market share during the quarter due to our unrelenting focus on quality and service. With closed sales for our firm up 47% for the year-to-date and pending sales up an astonishing 123% over the same period last year we continue to lead the way as Louisville’s luxury real estate firm.

For a detailed analysis on how these market trends effect your home, please contact me at 502-417-2837 or send me an email.

 All data used for this statistical analysis sourced from the Greater Louisville Association of Realtors and MetroSearch, Inc.