Louisville Luxury Homes For Sale
The real estate slowdown has impacted all types of homes, from the most inexpensive, to multi-million-dollar mansions that make up our Louisville luxury homes for sale market.
This is good news for buyers hoping to break into the luxury home market. These high-end properties, often boasting amazing onsite amenities, are still far from inexpensive. But prices on luxury homes have fallen.
It’s up to buyers to find the bargains in the high-end real estate market. What’s the best way to do this? Work with a knowledgeable real estate agent with experience in the buying and selling of luxury homes.
What is a Luxury Home?
There’s no formal definition for what makes a house a luxury home. But in general, homes priced at $1 million or more are considered luxury properties according to Luxury Homes Magazine.
These homes generally feature a large number of bedrooms and bathrooms. They usually sit on large plots of land. And they almost always boast an unusual feature or two, whether it be multiple kitchens, an onsite wine cellar or even a high-end fitness center.
The challenge, though, is that high-end homes are relatively rare. There are only so many million-dollar-plus properties in a given market. That’s why it’s important for buyers in this market segment to work with a real estate agent familiar with the local luxury home market.
Not all million-dollar-plus homes that go on sale make it to the Multiple Listing Service. Often, the agents representing luxury homes will bring their listings directly to agents representing buyers who are looking for million-dollar residences. This protects the privacy of the owners of these exclusive properties.
If you’re not working with an agent who specializes in the luxury homes market, then you might lose out on many of the high-end homes in your area. And because the supply of these homes is so limited, this could hamper your efforts to find the luxury home that’s perfect for you and your family.
Before signing on to work with a real estate agent, make sure to ask the agents whom you interview how many luxury home sales they’ve closed on behalf of buyers. Remember, you want to work with an agent whom other agents know is active in the luxury home market. It’s the only way to avoid missing out on potential dream properties.
Housing values have fallen across the country. This holds true in the luxury market, too, which makes this an ideal time to buy high-end homes.
It’s possible today to find homes that, before the real estate crash that began in 2007, were priced at $6 million but are now selling for closer to $2 million. As with all real estate, there are bargains to be had in luxury homes.
Financing these homes can be challenging. Many luxury home buyers don’t take out mortgage loans, of course. But those who do will have to apply for jumbo loans. These loans – called “jumbo” because of their size – usually come with higher interest rates and large down payment requirements. That’s because lenders are taking more risks when they lend the amount of money you’ll need to purchase a luxury home.