LIV SIR Luxury Report Quarter 1 2018

RESIDENTIAL LUXURY REPORT |

Quarter 1 2018

RESIDENTIAL LUXURY REPORT introduction WELCOME TO LUXURY REAL ESTATE IN COLORADO! As the Colorado luxury real estate market continues to evolve, LIV Sotheby’s International Realty remains committed to helping consumers make sound financial decisions when it comes to the purchase or sale of a luxury home.

To clearly outline the performance of the Quarter 1 2018 luxury real estate market in Colorado, LIV Sotheby’s International Realty has created a Residential Luxury Report, which compares January through March 2018 statistics, to those of 2017, for single family homes and condos priced $1 million and above in Denver Metro (Adams, Arapahoe, Boulder, Broomfield, Denver, Douglas and Jefferson Counties) and the resort communities of Eagle County (Vail Valley, Avon, Beaver Creek, Bachelor Gulch, etc.) and Summit County (Breckenridge, Frisco, Copper, Dillon, Silverthorne, etc.).

In addition to the analysis of local, county-wide luxury market data, the report also includes powerful statistics about luxury consumers around the world (depicted in infographics throughout the report), to help consumers make better decisions whether buying or selling a luxury home. *Enjoy a full analysis of the performance of the resort luxury market, located at the end of the report.

coloradomarketreports.com

In LIV Sotheby’s International Realty’s Residential Luxury Report, January through March 2018 statistics, are compared to those of 2017, for single family homes and condos priced $1M and above in Denver Metro (Adams, Arapahoe, Boulder, Broomfield, Denver, Douglas, Jefferson). With Denver metro and Boulder consistently ranked as some of the top places to live, work, and play, in the nation, the luxury real estate market in the metro area of Denver and Boulder, are poised for continued growth into the spring selling season of 2018, based on the Quarter 1 2018’s luxury real estate market’s stellar performance.

The Quarter 1 2018 Denver metro and Boulder luxury real estate market delivered excellent results, with appreciation in both the number of properties sold and average sales price taking place across the board. Total dollar volume sold increased more than 36% year-over-year, with increased demand for luxury home purchases stemming from buyers’ continued confidence in both the national economy and desire to purchase luxury property in a state they believe offers an excellent investment opportunity. Denver metro and Boulder remain leaders in education, and with Colorado’s unemployment rate hovering just over 3%, the vibrant local economy serves as the leading catalysis, drawing new residents to the state.

Within the seven counties of Denver metro represented in this report, luxury property sales rose 30.7% year-over-year, from 332 homes sold January through March 2017, to 434 homes sold during the same time period in 2018. Total dollar volume demonstrated a 36.8% increase year-over-year, surpassing $678M in Quarter 1 2018 - the highest volume of sales to date.

As Colorado’s real estate market continues to evolve, the luxury sector is projected to demonstrate continued growth in Quarter 2 2018, as a result of buyers’ continued confidence in both the national economy and purchasing luxury property in a state they believe to be a sound investment.

DENVER METRO (INCLUDING BOULDER) January through March Number of Properties Sold Average Price per Square Foot Average Days on Market Highest Price Total Dollar Volume

2012

2013

2014

2015

2016

2017

2018

% Change

99

126

153

163

264

332

434

30.7%

$203

$244

$320

$347

$414

$394

$381

-3.4%

206

305

180

152

124

175

115

-34.2%

$4,800,000

$4,500,000

$7,000,000

$5,800,000

$6,530,000

$6,000,000

$5,500,000

-8.3%

$150,698,272

$189,936,271

$224,061,018

$251,909,786

$410,887,545

$495,682,651

$678,221,059

36.8%

INCLUD ED COUNTIES:

A DA MS

A RA PA H OE

BOU L D E R

B ROOMF IE L D

DENVER

D OUG L AS

J E F F E RSO N

RESIDENTIAL LUXURY REPORT livsothebysrealty.com

QUARTER 1 2018 • COLORADOMARKETREPORTS.COM

ARAPAHOE

DENVER

January through March

2012

2013

2014

2015

2016

2017

2018

% Change

33

44

51

68

93

122

153

25.4%

$345

$400

$420

$433

$475

$470

$468

-0.4%

215

122

100

118

91

93

81

-12.9%

Highest Price

$3,100,000

$4,100,000

$4,925,000

$3,522,019

$5,438,873

$2,750,000

$4,975,000

80.9%

Total Dollar Volume

$45,126,908

$64,740,735

$78,332,715

$98,522,988

$147,524,280

$168,822,193

$228,617,550

35.4%

2012

2013

2014

2015

2016

2017

2018

% Change

29

36

27

43

37

57

55

-3.5%

$341

$348

$372

$377

$404

$402

$399

-0.8%

182

177

98

125

119

121

89

-26.4%

Highest Price

$4,500,000

$7,000,000

$5,850,000

$4,115,000

$6,530,000

$6,000,000

$4,125,000

-31.3%

Total Dollar Volume

$55,203,449

$60,390,657

$47,514,476

$68,006,970

$71,390,129

$108,963,967

$94,131,599

-13.6%

2012

2013

2014

2015

2016

2017

2018

% Change

18

29

25

27

46

48

66

37.5%

$277

$326

$349

$364

$344

$351

$374

6.6%

180

321

161

178

139

175

188

7.4%

Highest Price

$2,150,000

$1,776,186

$3,525,000

$2,650,000

$2,875,000

$3,000,000

$2,600,000

-13.3%

Total Dollar Volume

$23,812,514

$37,325,522

$34,257,272

$40,658,037

$63,565,405

$65,104,171

$93,219,931

43.2%

2012

2013

2014

2015

2016

2017

2018

% Change

6

6

12

18

22

26

42

61.5%

$228

$349

$340

$321

$354

$370

$338

-8.8%

287

324

162

166

236

232

128

-44.8%

Highest Price

$1,455,000

$2,500,000

$2,755,000

$1,425,000

$2,650,000

$5,400,000

$5,100,000

-5.6%

Total Dollar Volume

$7,692,500

$9,095,122

$16,382,000

$21,838,400

$31,467,397

$40,156,531

$56,785,831

41.4%

Number of Properties Sold Average Price per Square Foot Average Days on Market

January through March Number of Properties Sold Average Price per Square Foot Average Days on Market

JEFFERSON

DOUGLAS

January through March Number of Properties Sold Average Price per Square Foot Average Days on Market

January through March Number of Properties Sold Average Price per Square Foot Average Days on Market

coloradomarketreports.com

BROOMFIELD

BOULDER

January through March

2012

2013

2014

2015

2016

2017

2018

% Change

39

35

44

58

63

75

100

33.3%

185

152

179

107

103

103

87

-15.5%

$3,100,000

$2,300,000

$4,000,000

$3,400,000

$3,100,000

$2,550,000

$5,500,000

115.7%

$56,900,900

$48,853,782

$69,703,363

$90,979,000

$90,105,756

$107,410,789

$178,947,948

66.6%

2012

2013

2014

2015

2016

2017

2018

% Change

1

2

2

1

1

1

8

700.0%

Average Price per Square Foot

$275

$261

$318

$477

$313

$367

$362

-1.4%

Average Days on Market

1084

6

113

6

115

301

115

-61.8%

Highest Price

$1,200,000

$1,610,200

$1,170,960

$2,900,000

$1,260,000

$1,975,000

$3,375,000

70.9%

Total Dollar Volume

$1,200,000

$2,635,200

$2,220,960

$2,900,000

$1,260,000

$1,975,000

$13,600,500

588.6%

2012

2013

2014

2015

2016

2017

2018

% Change

0

1

2

3

4

3

10

233.3%

$0

$237

$282

$293

$594

$395

$344

-12.9%

0

155

253

151

67

201

118

-41.3%

Highest Price

$0

$1,020,000

$1,750,000

$1,385,000

$3,773,078

$1,250,000

$1,800,000

44.0%

Total Dollar Volume

$0

$1,020,000

$3,499,000

$3,650,000

$7,787,078

$3,250,000

$12,917,700

297.5%

Number of Properties Sold Average Days on Market Highest Price Total Dollar Volume

January through March Number of Properties Sold

ADAMS

January through March Number of Properties Sold Average Price per Square Foot Average Days on Market

KEY PURCHASING MOTIVATORS FOR EMERGING LUXURY CONSUMERS

I am at the right stage in my life for this type of purchase.

I want a home to fit a particular lifestyle.

I am doing well in my job currently.

I want to make a purchase like this for the benefit of my family.

U.S. U.K. INDIA

U.S. CHINA U.K. INDIA

U.S. U.A.E.

CHINA

RESIDENTIAL LUXURY REPORT livsothebysrealty.com

QUARTER 1 2018 • COLORADOMARKETREPORTS.COM

Located less than two hours away from Denver metro, Colorado’s world-class resort communities, including Eagle County (Vail Valley, Avon, Beaver Creek, Bachelor Gulch, etc.) and Summit County (Breckenridge, Frisco, Copper, Dillon, Silverthorne, etc.), continue to draw both domestic and international buyers seeking close travel time between the bustling metropolis of Denver and the yearround recreational opportunities the mountain resort areas offer. The higher end of the market demonstrated a surge in activity, and sales are expected to rise in Quarter 2 2018 as a direct result of individuals continuing to seek homes in resort communities for the lifestyle opportunities they provide, coupled with the continued vibrancy taking place in the Denver market.

In Eagle County, the luxury market experienced a high volume of activity in Quarter 1 2018, with the number of properties sold increasing 9.0%, to 85 properties sold in January through March 2018, compared to 78 properties sold in January through March 2017. Many sales took place in the 1 to 4-million-dollar range, with most buyers coming from the Front Range and internationally, from Latin America. Several eye-popping sales also took place in Quarter 1 2018 for LIV Sotheby’s International Realty; the $9,800,000 sale of 483 Beaver Dam Road in March 2018, followed by the $5,250,000 sale of 180 Daybreak Ridge Road #508 that took place the same month. These significant sales serve as a testament to the strength of the Vail Valley real estate market.

Average price per square foot increased 8.4% year-over-year, and average days on the market decreased 22.1%, from 276 days in January through March 2017 to just 215 days in 2018, a good time frame for the resort luxury market, where homes typically stay on the market longer. This significant 22% decrease in number of days on the market indicates consumers’ continued confidence in the Vail Valley real estate market, and willingness to spend more to purchase homes they truly desire.

In Summit County, average days on the market decreased 26.6%, from 177 days in January through March 2017 to just 130 days in 2018, a good time frame for the resort luxury market, where homes typically stay on the market longer. This significant 26% decrease in number of days on the market indicates consumers’ continued confidence in the Vail Valley real estate market, and willingness to spend more to purchase homes they truly desire.

The luxury resort markets of Eagle County and Summit County remain robust and competitive, with growth projected as we continue into Quarter 2 2018.

EAGLE

January through March Number of Properties Sold Average Price per Square Foot Average Days on Market Highest Price Total Dollar Volume

SUMMIT

January through March Number of Properties Sold Average Price per Square Foot Average Days on Market Highest Price Total Dollar Volume

2012

2013

2014

2015

2016

2017

2018

% Change

60

51

72

83

61

78

85

9.0%

$921

$723

$784

$842

$881

$860

$932

8.4%

322

279

361

310

307

276

215

-22.1%

$14,100,000

$13,550,000

$11,200,000

$10,250,000

$6,735,000

$23,000,000

$13,500,000

-41.3%

$188,097,500

$120,407,850

$168,822,249

$203,788,606

$135,883,337

$241,787,875

$241,507,050

-0.1%

2012

2013

2014

2015

2016

2017

2018

% Change

24

24

29

34

35

72

54

-25.0%

$231

$528

$462

$500

$471

$516

$467

-9.5%

268

178

198

225

316

177

130

-26.6%

$3,421,123

$2,700,000

$3,640,593

$3,500,000

$5,675,000

$4,200,000

$3,175,000

-24.4%

$36,155,928

$40,945,989

$47,325,542

$55,676,797

$60,487,040

$123,325,600

$78,121,926

-36.7%

coloradomarketreports.com

PURCHASING CONFIDENCE AMONG EMERGING LUXURY CONSUMERS Many emerging affluent consumers, defined as those with $250K USD – $1M USD in investable assets, have increasing confidence in the housing market and plan to purchase a home within the next three years.

EMERGING LUXURY CONSUMERS’ LIFESTYLE PREFERENCES Emerging luxury consumers have their eyes set on these property lifestyles for their luxury home purchase:

RESIDENTIAL LUXURY REPORT livsothebysrealty.com

YEAR-END 2017 • COLORADOMARKETREPORTS.COM

The life you love.

livsothebysrealty.com | coloradomarketreports.com All data contained within this report is based on $1,000,000+ sales in Metropolitan Denver, Boulder, Eagle County and Summit County. Based on information from REColorado, IRES, LLC, Vail Board of Realtors速 and SAR MLS. This representation is based in whole or in part on data supplied by REColorado, IRES, LLC, Vail Board of Realtors速 and SAR MLS. REColorado, IRES, LLC, Vail Board of Realtors速 and SAR MLS does not guarantee nor is in any way responsible for its accuracy. Data maintained by REColorado, IRES, LLC, Vail Board of Realtors速 and SAR MLS may not reflect all real estate activity in the market.