Luxury Real Estate Company

The luxury home market has held up relatively well over the last 2 years compared to the general market. Those of us focusing on the luxury home segment know that this market is usually the last segment to slow down and the first segment to recover.

The profits in this segment of the market are enormous. The number of $1 million + homes in the Tampa market have increased from 3,688 in 2000 to 24,525 in 2007 and the number is expected to exceed 43,436 in 2012. According to the latest World Wealth Report issued by Merrill Lynch and Cap Gemini Group, 2.67 million Americans have a net worth of over one million, excluding primary residence equity. That number is up 6.8% from the previous year. Worldwide, the ranks of the super-rich with assets of $30 million or more grew 10.2% to 85,400, and the number of billionaires grew an astounding 18% in 2006 to 793.

The most recent figures released by The Institute For Luxury Home Marketing show that the median price nationally remained virtually unchanged at $1,154,881. Luxury buyers from around the world will continue to look at U.S. real estate as a safe investment. While many people consider the U.S. housing market to be in shambles, most don't realize that countries like Denmark, New Zealand, The United Kingdom, Spain, Sweden, Canada, & Norway have all had larger annualized price declines in 2008 than United States.

U.S. Census data for the Tampa Bay area showed an average annual growth of 2.47 percent, or a gain of approximately 97,000 residents per year between 2000 and 2006. The combined Greater Tampa Bay region experienced a combined growth rate of 14.8 percent, growing from 3.4 million to 3.9 million and hitting the 4 million mark on April 1, 2007 in the continuous Tampa Bay urban area. Claritas, a market research firm located in San Diego, reported that the number of millionaire households in Tampa reached 62,613, marking an increase of more than 4,000 homes in 2007.

New statistics from the National Association Of Realtors show that over 24% of the people immigrating to the United States end up in Florida. Florida also remains at the top of the list for most retirees searching for sunshine and warm weather. While retirement migration has increased in other Sun Belt states, Florida continues to lead the way in terms of sheer numbers of newly arriving retirees.

Capturing 5% of just the Tampa Bay area luxury home maket (based on average luxury home price), would generate over $1.1 million dollars in revenue.