QUARTERLY NOTE: 3rd QUARTER 2021
Quarterly Note
3rd Quarter 2021
Q3 Market Analysis Summary
The 3rd quarter for luxury homes in Minnesota and South Florida continued to outpace 3rd quarter 2020 in both dollar volume and number of units sold. It carried a continued theme of short supply, low interest rates, millennials interested in buying homes, and the Dow Jones continued to hold its own. That being said, there are some nuances in both Minnesota and South Florida:
The Minnesota luxury market continues the trend of buyers leaving the urban areas and buying larger lots with home offices and yards with more space for their families. This combined with a shortage of million-dollar homes for sale in the Western Suburbs continues the supply and demand law of economics. Speaking from experience, in August alone we secured accepted offers on four homes each between $900,000 - $1.3 million within a 13-day marketing period. Velie Real Estate also expanded our area of influence by selling homes in Orono, Minnetonka, St. Louis Park, Savage, Minneapolis, and St. Paul all in just the third quarter. We believe in this market, the key to selling a home in a short period of time and maximizing the offer(s) is to not over-price the property. Meeting the market value results in increased traffic, demand, and often multiple offers. This market can make the ”buy-side” a bit more challenging, but having an agent that has the network, knows the area, and can move quickly and show an emerging property before it hits MLS is often the key to a successful purchase.
South Florida is still riding the wave of beautiful weather, lack of income tax, and the northeastern migration. Florida is ranked 3rd in the nation of states where the people are moving. Corporations are also relocating to the Miami/Palm Beach area. Some of those include JetBlue, Blackstone, Goldman Sachs, and Amazon. The talent follows and increases the number of qualified buyers in the luxury market. Some of the sold prices in Palm Beach, for instance, rise to numbers no one could previously imagine. Our prediction for the 4th Quarter is that the luxury market will remain hot but may adjust slightly to be a bit more buyer-friendly.
Featured Listing:
Bordering on 700 ft of Smith’s Town Bay to the South and 200 ft of Tanager Lake to the West, flow six stately lots ranging in size from 2 - 4.5 acres. It is very rare that the opportunity arises when it’s possible to live in a place of unparalleled, natural beauty with private acreage on the Lower Shores of Lake Minnetonka. Shoreline Estates offers that opportunity today.
If you want to discuss anything about real estate please contact us:
Decker.velie@cbburnet.com
Bjvelie@cbburnet.com
612-747-5097
-Decker Velie
4th QUARTER PLACES TO BE
Minnesota Fall Color Map
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