What I Learned About Luxury Real Estate
by Bianca Rankin
The economy is at last making good progress towards making a full recovery, and the prices of homes and properties are on the rise. The panic surrounding various markets has almost died down, and people are regaining their trust in businesses and investments. The real estate sector is usually considered a fair indicator of progress in the economy, and this market is flourishing across all price brackets.
Although average properties took a major hit during the economic meltdown, luxury real estate comparatively was not much affected. However, different aspects make a property luxurious in different countries. The most distinguishing aspect is usually location of the property. Secondly, large footage area, luxurious amenities, and beautiful landscaping, all play a major role. The location could be an area where there are other luxurious properties, it could be near a beach, or the property could have a fantastic vantage point for witnessing spectacular views. Such properties will obviously be very highly priced, and the estate agents will be different, as they will be dealing with very different class of clientele of the rich and famous.
From the perspective of the real estate market, a luxurious property could be anything from a penthouse in the heart of the city, to a huge mansion on a remote mountain. Both can be defined as upscale, as the one in the city could have a great location, while the one on the mountain could be filled with luxurious amenities. The bottom line is whether the property is able to provide elegant, sumptuous, and refined living standards.
The main reason behind the consistent success of the luxury property market is the limited supply of such properties. However, it does not mean that selling these properties is an easy task. The clientele who can afford such properties have a very discerning taste, know exactly what they want, and they want the best they can get for the huge price tag. Hence, sales may be slow, but they are sure to come about with the right kind of promotion and presentations.
From the buyer's standpoint, the term luxury might differ according to individual tastes and preferences; however, for finding such a property one cannot depend on the average media and usual channels. There are special agents who deal with such properties, and the promotions are usually done by distributing brochures and holding presentations.
From the investment point of view, luxurious properties are relatively safe bets in the present economic scenario. The rise in real estate prices has happened across all categories of housing, which has boosted the luxury sector as well. However, before investing, one should research this segment thoroughly and look for properties that are not yet very popular, but have a good potential in the future.