Though inventory has risen in the last six months, the luxury real estate market is still expected to see growth in 2019, which means finding the right products for those homes will be important.
According to U.S. News and World Report, the market has been caught a vicious cycle. Residential construction has been rising steadily since the recession, but housing starts aren’t on pace to meet demand. As a result, prices have been risinig rapidly, which in turn prices more people out of the market.
Part of the reason this is happening, U.S. News says, is that most new construction has focused on high-end luxury homes. But even that market has become more complicated.
Mansion Global, an online publication that tracks the global real estate market, says investors are now having to make tough decisions about where to buy property, due to rising taxes at the state and federal level.
“In the U.S., multi-million dollar homeowners will prepare to feel the squeeze as Congress limits tax deductions for property taxes and interest on mortgages,” the publication writes. “The removal of tax deductions for state and local income tax may cause a minor shuffle as wealthy self-employed workers, empty nesters, and others look to ditch high-tax states like New York and Connecticut for homes in places like Florida, where there are no state income taxes, experts say.”
There is some good news from all this. As luxury home prices in some markets have stalled, inventory has also risen. As result, many regions have become buyer’s markets, says Mashvisor, a company that provides real estate investment data analysis to real estate investors.
So what are luxury buyer’s looking for in their homes? It depends on who is buying. Tim and Julie Harris, real estate agents and coaches, say young wealthy buyers are looking for urban homes measuring at least 5,000 square feet, with extra space for specialty rooms, contemporary interiors, privacy and security integrated systems with smartphone connections/operations, and essentials such as great outdoor spaces, and commercial grade kitchens and appliances.
For luxury buyers more than 50 years old, contemporary and modern homes are also in, as are big windows, clean/open lines, and new technologies in materials that look used.
No matter the luxury buyers, certain products and materials have resonance. We have have found some for you to consider:
1. La Cornue
The CornuFé 110 43-inch range features two electric convection ovens, five gas burners, and a large storage drawer. It’s available in eight classic colors and three trim accent choices--polished brass, stainless steel, and polished copper. Four Suzanne Kasler Couleurs and two trim accent choices of stainless and brass are also available. Units start at $10,450.
The manufacturer modular cooktops and ventilation appliances can be combined to create a custom kitchen. Fitting together perfectly, the collection includes grill, steamer, downdraft ventilation, deep fryer, and induction or gas cooktops ranging from 15 to 36 inches. Pricing on request.
The No 8677 bin pull has an oval dome center and is secured on either side by teardrop-shaped flanges. A simplification of traditional apothecary pulls, it’s suitable for period and contemporary interiors, the company says. It measures 1½ by 3 7/8 inches and comes in 28 finishes. Pricing on request.
This exposed GoDolphin thermostatic valve features an 8-inch rose and an adjustable riser pipe. Priced at $2,508, it comes in chromium plate, antique gold, or satin nickel finish and has ceramic cross handles.
The For Town kitchen faucet with sidespray by Michael S. Smith harkens back to the elegance of a 1930s Park Avenue apartment, the brand says. Made from solid-brass, it has a two-handle, deck-mount bridge, 8-inch center, and a spout that rotates 36 degrees. It comes in two finishes. Priced from $3,495.
6. Diamond Spas
The manufacturer specializes in a variety of kitchen and bath fixtures made from stainless steel and copper. This custom shower pan can be fabricated in any size or design and adds “dash of class,” the brand says. Pricing on request.
Part of the Italian brand’s K collection by Norbert Wangen, the K6 monoblock features a sliding top with a dual function—concealing the working area when the not in use and also serving as a countertop. The worktop slides alongside the depth and not the kitchen length. It encloses an oven, refrigerator, dishwasher, cupboard and drawer space. Pricing on request.
Carved from Bianco Carrara marble, Dune evokes a windswept desert, the company says. Light plays upon the carved and ridged surface creating dramatic surfacing that can be used for interior walls, backspales, and shower stalls. It’s also available in Smoke limestone. It’s priced from $195 per square foot.
The United Kingdom brand specializes in bespoke cabinetry and other furniture for the home. Custom projects can be handmade from a variety of species, as sustainable European oak, rosewood, mahogany, American walnut, and maple. The company’s American flagship is in New York City. Pricing on request.
10. Made a Mano
In addition to kitchen and bath fixtures, this Danish brand manufactures bold interior and exterior tiles that are made from glazed ceramic and natural vocanic style. Artisans apply a variety of Asian, Dutch, and geometric designs on tiles in various sizes. Pricing on request.
The French brand produces natural stone countertops and tiles made from Volvic lava stone. Cut to order and made-to-measure, the products measure from 5.9 by 5.9 inches to 47 by 23.6 inches, finished pieces can be used un-glazed for flooring or walls. Or designers may specify glazed products in 24 standard colors or in custom hues.