Luxury properties in Northwest Vermont span a variety of styles and locations, from classic Vermont farmhouses on mountain estates to award-winning modern properties perched on Lake Champlain.
Sales of properties above $800,000 picked up in 2015, with our Realtors noting that 2015’s luxury home sales represented an increase of more than 25 percent from a year earlier. Additional sales in 2015 may fuel future activity by providing market comparables that help support purchaser’s decision making and provide appraisers with current market sales.
Even with the increased activity, the luxury segment still remains a buyer’s market, given that our region has a three-year inventory of homes listed for more than $800,000. In Coldwell Banker Hickok & Boardman Realty’s experience, high-end homes can potentially require years to find a buyer, and many sellers have had to lower their price expectations. In some cases, luxury homes have sold below their assessed value.
While that isn’t heartening for sellers, it represents an opportunity for buyers, given the wide range of choices currently on the market and the potential to negotiate a lower price.
Inventory Concerns
Given the three-year inventory, some prospective buyers are increasingly cautious about purchasing homes in the above-$800,000 range, given that it may take them years to sell if they later decide to move. Senior executives who are more mobile are finding this to be a concern.
Resurgence of “In-Town” Properties
Buyers are increasingly looking for high-end homes that are close to Burlington and its amenities such as restaurants and the Flynn Center for the Performing Arts. Estates with mountain views and large acreage have also proved popular.
Pristine Condition
Given the choices available to luxury buyers, buyers are seeking properties with no deferred maintenance issues. Homes that show well – such as those that have been repainted recently, have no clutter, and excellent landscaping – are also performing better with buyers.
Market Insights
• Thirteen, or about 38%, of last year’s $800,00-plus home sales provided waterfront access.
• Almost two-thirds of the year’s luxury sales were located in Chittenden County.
