Million-dollar homes in California are making a comeback, selling for a million dollars or more, many rose to their highest levels in 7 years in the past few months. The luxury market continues to do best in the plus $2-million dollar mark and San Diego is definitely holding its own while competing with the top-dog cities in California for bragging rights or more importantly, the shiniest bling!!
Two of the main reasons for the increase in $1 million-plus sales are: increased demand and robust price appreciation — that over the past year has pushed more homes up over the million-dollar threshold.
A total of 265 homes sold for more than $5 million last quarter; an all-time high. In the $4-$5 million range, a record 213 homes sold. In the $3-$4 million range, 469 homes sold, also a record. In the $2-$3 million range, 1,595 homes sold; another high.
In last quarter, 3,882 of the homes that sold for $1 million or more were purchased with cash. In the luxury market, the higher the price, the more frequently cash was used. Of those who did finance their purchase last quarter, the median down payment was 30.0 percent of the purchase price.
The lending institutions most willing to provide mortgage financing for homes that sold for $1 million-plus were Wells Fargo, Union Bank and Bank of America.
The most expensive confirmed purchase last quarter was a 11,637-square-foot, 4-bedroom, 6-bathroom Westwood mansion built in 1931 which sold for $45,000,000 in May. The largest was a 16,840 sq.ft. 6-bedroom, 13-bathroom mansion in Indian Wells that sold for $4.5 million.
In some communities virtually all home sales were in the million-dollar category. Among them: Hillsborough, Rancho Santa Fe, Atherton and Los Altos.
Newly-built homes accounted for 8.8 percent of last quarter’s $1 million-plus sales. Condo sales made up 10.1 percent. Most $1 million-plus condos were sold in the Los Angeles, San Francisco and San Diego counties.
In the $1-$2 million range, 8,381 sold last quarter, still behind the record 9,885 sold in second-quarter 2005.
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Article Reference: http://www.dqnews.com/Articles/2014/News/California/MDCA140731.aspx
Million Dollar Home Sales
Ranked by number of $1 million-plus sales