QUARTERLY NOTE: 4th QUARTER 2021
Quarterly Note
4th Quarter 2021
Up, Up and Away
Welcome to another quarter of Luxury Home numbers being up in almost all categories. For two years, residential real estate has been a seller’s market helped by low inventory, low interest rates, millennials wanting larger houses with home offices, local movement from inner cities to suburbs with more land, and migration to lower tax states.
The beginning of this upward trend seemed to coincide with the start of the pandemic. While there are predictions of rising interest rates, buyer fatigue, and inflation, the fact remains that new construction has not yet kept up with demand due to supply chain issues, and the need for “more than 2 million new construction workers over the next 3 years.”
There is a bit of brake-pumping in the frantic buying pace, and a softening of prices to some degree, but barring an unforeseen event, 2022 will continue to see a rise in the Luxury Home Market.
In the News:
Shoreline Estates/Tanager Hill: On the Shores of Lake Minnetonka
Velie Real Estate and Michael Steadman are successfully under contract with all six lots, totaling over 13 million dollars, in what many in the industry consider the most significant luxury residential lots and land development in decades for the Twin City Area.
“Shoreline Estates is the collaboration of a very dedicated team of individuals who understood the vision and legacy of this project. The rich history of Tanager Hill has been at the forefront of this development. I am very proud of the relentless efforts and professionalism that our team has shown throughout this process which has resulted in one of the most unique and historical neighborhoods in the state of Minnesota.”
-Trisha Blake (Trustee)
