About Las Vegas luxury homes for sale & market
Luxury is subjective and especially in real estate it gets thrown around with no true meaning, so we had to think hard about separating Las Vegas luxury homes for sale from the rest.
Thus, we come up with our own definitions of Las Vegas luxury homes & ultra-luxury houses in order to publish an authoritative market report since it is essential in setting the correct asking list and offer prices.
Pricing Las Vegas luxury homes for sale
Pricing custom made homes is not as cut and dried as tract houses because there aren’t any COMPS with the exact same floor plans and square footage in the immediate area like cheaper tract houses. The only way to put a value on these is by price per square foot and not list or sales prices as the price per square foot is more stable and show bang for the buck.
But then again, like luxury, bang for the buck is in the eye of the beholder, so one has to come up with a target market value plus or minus a percentage which shouldn’t exceed 5% except in the rarest cases.
Las Vegas luxury home market report
For an overview of Las Vegas luxury home market-video since real estate recovery video, we conducted an in depth study on the 43 most luxurious houses that sold from July 2016 to July 2017 and will show you the results. These houses sold for more than $300 per square foot.
It took a long time to prepare this market report because in this case, we couldn’t use any of the official MLS data since a few unethical listing agents tamper with the sale results. This has resulted in cutting the days on the market by more than 40% and original asking price over sales price is much lower in reality. Using official MLS data leads to incorrect conclusions, but we as always we have corrected it in our market report.
We didn’t correct the MLS data for houses that are priced at $150-$300 per square foot. This market is similar to the former and showed just show official MLS data.
However, even using official MLS data the days on the market has been stable around 80 days and the median prices are trending down since 2014. But in this case price per square foot is inching up which means home prices are gaining but buyers buy in the same or a bit lower price ranges.
In both cases, we failed to find a “lively market” that you read in news articles and other sites. Their source is an article by a Forbes “news reporter” who resides in New York and knows Jack about either Las Vegas or especially real estate markets.
Deadly mistakes in selling Las Vegas luxury homes
The biggest problem in selling Las Vegas luxury homes is lack of understanding of the market and thinking that median price escalations that you read about in news articles apply to this sector, big mistake.
So when listing these houses, the listing agent has to come up with a target price plus or minus 5% for the best and worst case outcomes. It is not a sin to shoot for the moon and go a little higher but it should be corrected within two weeks to a month. A home sitting on the market with no action for six months or more is only due to incorrect asking list price.
Selling an expensive custom home for even 90% of original asking price could be justified (it is a stretch) if both the seller and his/her agent agree to shoot for the moon as you never know, someone may pay it.
Selling a Las Vegas luxury homes for less than 85% of the original asking price has only two reasons, either the listing agent lied to the seller in order to get his/her listing or is too inept to do the job. But then again a few listing agents know how to cover their track by repeated withdrawals and re-lists of the same listing so they look like a marketing genius to the next prospective seller.
The other mistake is asking for proof of funds before allowing showings for houses that have been listed for months without any sort of action. Many buyers in today’s environment are not at ease about providing their financials to strangers for the privilege of viewing it.
One never knows if the best buyers chose to skip a house due to this stupid requirement that doesn’t provide any advantages for the seller but several for the listing agent that we will talk about in an upcoming video, arrogance, and deception in marketing Las Vegas luxury real estate.
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