About Las Vegas luxury homes for sale
What separates Las Vegas luxury homes for sale from the rest? Well, Luxury is subjective and especially in real estate it gets thrown around with no true meaning. Thus, we came up with our own definition in order to publish authoritative market reports since they are essential in setting the correct asking list and offer prices.
Our definition of Las Vegas luxury homes for sale:
|Price||Higher than $1,000,000|
|Lot size||Larger than 7,000 square feet for room for pool|
|Living area||Larger than 3500 square feet|
|Garage||3 car garage plus|
|Price per square foot||Higher than $150 per square foot|
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 comparable houses 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 asking list prices as price per square foot is more stable and shows bang for the buck.
The other issue is the effect of the Las Vegas luxury home market, which we publish a video about periodically. Lack of knowledge in this area leads to serious losses for buyers and sellers alike. Because it is totally unlike the housing market that you read about and the eyepopping median price gains of cheaper houses doesn’t apply to this sector.
The median price of these highly upgraded houses has actually gone down in the past 2 years while price per square foot has increased. See the above report for a detailed discussion and compare it with a newspaper article that was published a month before ours to see that they couldn’t be more different.
So, if the buyer’s agent tells the buyer that the market is lively and quickly appreciating when it is not, the buyer could agree to needlessly pay a premium which could translate into tens of thousands of dollars.
Deadly mistakes in selling Las Vegas luxury homes
The same problem affects sellers as well, leading to big mistakes in setting asking list price. When asking list price is too high, willing and able buyers will skip it and as we have shown in the market report, there isn’t a lot of them. This results in the listing becoming dated, with all its adverse effects.
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 2-3 weeks. A home sitting on the market with no action for six months or more is only due to incorrect asking list price.
Selling 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 tracks 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, such as the buyers contact information and proof of funds, so they can pester them later in order to get their business, while hurting the seller badly.