Luxury homes are generally described as those in the top 10% of their market. They’re usually located in the most optimal areas in a market, are large, and built with high-end materials. They often have unique design elements and amenities not found in most homes.
If you haven’t purchased in the luxury market before, be aware that the process can be different from buying a standard single-family home. Here are some tips to help you navigate the luxury market:
1) Be patient. Shopping for a luxury home may take longer than average. For one, there aren’t as many of them. Since many luxury homes have distinctive features, finding one that fits your style could take longer. The closing process may also take longer as there is more to inspect, to negotiate on, and often special circumstances to be worked out.
2) Check for possible planned development. Don’t assume that the pond or wooded park behind the property will always be there. Make sure you know of any development plans that may affect your view and future resale value. You don’t want to buy a home for its views to find out another property will be built in the way.
3) Consult financial advisors to ensure you qualify for the purchase amount you’re thinking about. Luxury home sellers will often want to see proof that you qualify to purchase their home before allowing a showing. If you get a showing, you’ll need to have your financial preparations done before you contemplate an offer. Everything is scrutinized more closely in the luxury price range. You should also make yourself aware of all financing options available to you.
4) Work with the right agent and brokerage. Coldwell Banker’s Global Luxury® marketing program allows Luxury Property Specialists to connect with the most affluent clientele worldwide. It offers agents the power of a global network of over 90,000 Coldwell Banker® affiliated agents located in 3,000 offices across 47 countries and territories around the globe.