What is a good month for Scottsdale luxury second home buyers? When it comes to the market for luxury second homes, virtually any month is a good month, including December. Often these buyers do not vary in their home search due to factors such as interest rates, economic uncertainty, or concerns about the stock market. In fact, it is the market for luxury second homes that seems to be the strongest in the face of these market headwinds. Several factors may be responsible for these trends.
What do the Numbers Show?
Prior to the COVID-19 pandemic, the market for Scottsdale luxury second home buyers was strong. The pandemic’s effect on the luxury second home market then led to a major increase in demand. According to Austin Allison, Co-Founder and CEO of Pacaso, as reported in AZBigMedia, “Luxury second home rate locks were 152% higher in Q3 2022 than they were in Q3 2019, the last reading for the same season before the pandemic. In fact, every quarter from Q3 2020 to Q3 2022 saw rate locks on luxury second homes clock in at more than double the level in the corresponding quarter of 2019.” Source: https://azbigmedia.com/real-estate/luxury-second-home-demand-remains-far-above-pre-pandemic-levels/
Let’s highlight those numbers for rate locks on luxury second homes:
Q3 2020 more than double Q3 2019
Q4 2020 more than double Q4 2019
Q1 2021 more than double Q1 2019
Q2 2021 more than double Q2 2019
Q3 2021 more than double Q3 2019
Q4 2021 more than double Q4 2019
Q1 2022 more than double Q1 2019
Q2 2022 more than double Q2 2019
Q3 2022 more than double Q3 2019
Scottsdale Luxury Second Home Buyers Follow Trends
Several trends resulting from the pandemic affect home buyers. This is true for Scottsdale luxury second home buyers as well:
- Remote work options allowing workers choose different locations from their employer’s location
- Working from home and the rise of fully functional home office spaces
- Desire to spend more time with family and friends
In fact, remote work has seen a ten-fold increase since the start of the pandemic. As a result, desirable communities throughout the nation have seen a corresponding increase in demand for homes. Home prices in these communities also have been able to maintain their value even with rising interest rates and other 2022 economic challenges.
What Does This Mean?
For real estate agents in Scottsdale, this means the market for Scottsdale luxury second home buyers remains strong. Agents in Scottsdale should review their marketing programs to determine if they are reaching this part of the market. With such strong performance throughout the pandemic and through 2022, the market for Scottsdale luxury second home buyers is likely to continue on a steady and strong pace.
Other parts of the home buying market may feel the impact of rising interest rates and respond with less demand. However, the Scottsdale luxury second home buyers market should remain resilient in the face of economic uncertainty.
Is Your Marketing Program Targeting Scottsdale Luxury Second Home Buyers?
Every real estate agent should have a solid understanding of their target market and how to reach them. This includes home buyers as well as home sellers. Does your marketing program target Scottsdale luxury second home buyers? If not, you should learn about the Luxury Division at Keller Williams Arizona Realty.
The Scottsdale luxury second home buyers market remains strong. This is also true for the surrounding communities of Fountain Hills, Paradise Valley, Cave Creek, Chandler, and parts of Phoenix such as Arcadia and Biltmore. However, the market for luxury homes often has high expectations for service. Keller Williams offers a significant amount of marketing power for luxury real estate with syndicated luxury listings, marketing collateral, the KW Luxury Magazine, and other valuable marketing support activities.
There is a reason that Keller Williams Arizona Realty is known as the best Scottsdale real estate brokerage. Our brokerage’s Luxury Division provides agents with everything they need to be successful in the Scottsdale luxury second home buyers market.
Contact us today to learn more about our industry-leading coaching program and other opportunities available for your real estate career at our brokerage. Our Leadership Team members are always glad to share the benefits KWAZ offers to our agents.
Call us today: 480-767-3000