Luxury home sales raise SW Florida real estate prices in 2021. In December the average sales price was $567,481 while the median sales price was $399,000. Of the 1,367 sales in December, 124 were for $1 Million plus. 263 sold for $700k +. 528 sold for $500k+.
Certified Luxury Agents
Brett and Sande Ellis are both certified Keller Williams Luxury sales agents. We attend our monthly luxury calls where they share information nationally. Last year Keller Williams sold over $100 Billion dollars of luxury property. This does not include regular sales, only luxury sales. Because luxury agents refer to each other, it is important to be in this group and share information.
Last year the Ellis Team saw an uptick in luxury sales. Our team sold more homes over $1 Million dollars in 2021 than perhaps any other year, and we have some pending for 2022 as well. We believe the luxury market will hold up well. Rising interest rates are typically a headwind to the real estate market. Luxury home sale seem to be less effected by interest rate and economic swings.
Wealth is Relocating
Many of the luxury home buyers are coming to us from high-end markets across the US. While our advanced marketing and artificial intelligence shows us which markets to advertise in for these luxury buyers, perhaps just as important are the relationships we have formed with top luxury agents from across the world.
We have a Million dollar plus buyer under contract right now and the referral came from a Nicaraguan Luxury agent we met inside the luxury agent network. Florida is attracting luxury buyers at a brisk pace. Wealth is relocating from Northern states to Florida.
Tax revenues in Florida are increasing because we are attracting wealth. In November Florida collected $398.8 million more than expected. Florida expects to have about $2.6 Billion in extra revenue this year. Buyers are attracted to our state’s low taxes and quality of life. California on the other hand is talking about raising taxes again to cover a new health care proposal. Their taxes would double to fund a $163 Billion budget.
High Tax State Warning
We saw increased sales in Florida coming from California before due to high taxes and regulation. If this current proposal goes through, we expect a continued mass exodus from California. While Florida was not the primary beneficiary of fleeing California residents, we did receive more than you would think.
Florida did see many relocations from New York, New Jersey, Illinois, Pennsylvania, and other higher tax states. As those states continue to raise taxes to make up for the shortfalls in revenue, the exodus could continue.
Luxury home buyers like to work with agents who understand the luxury home market. At our convention next month, we will be spending time networking with luxury agents from around the world and cultivating those relationships as well as learning about developing trends. Luxury home buyers have different needs, and meeting those needs is critical to working with luxury home buyers.
Luxury Referrals Exploding
Through November of 2021, the Keller Williams network had 7,099 referrals totaling over $15 Billion in sales. We had 22,107 agents in our network sell a home for over $1 Million the first 11 months of 2021.
We see luxury home sales as here to stay and being at the forefront helps us position SW Florida to capture more of those sales. Buyers have choices when moving to Florida and we want to make sure SW Florida is on the map. Luxury home sales raise SW Florida real estate prices. In the coming weeks we will post an article about home much prices rose in 2021.
If you would like to talk to us about buying or selling luxury property in SW Florida or anywhere in the world, call Brett or Sande at 239-310-6500 We’ll be happy to get you connected on the right path and talk about your needs. Or email us at Brett@topagent.com or Sande@topagent.com