Sales of luxury million-dollar homes and condos rose last year

After four straight years of declines, sales of luxury million-dollar homes and condos rose last year in all 20 major metro areas, according to DataQuick Information Systems.

On average, these cities saw an 18.6% jump in high-end home sales. "Higher income households are feeling better about their financial security," said Greg McBride, chief economist for Bankrate.com. As their confidence soared, the wealthy took advantage of bargains in expensive homes. An average seaside manor on Jupiter Island, Fla., that might have sold for $4 million in 2006 cost less than $3 million last year. The Brentwood bungalow in L.A. was $1.5 million instead of $2 million, and that Scarsdale colonial fell to $1.1 million after going for $1.5 million four years ago. Getting a home loan for these expensive homes was cheaper as well. Normally buyers have to take out a jumbo loan to finance beyond the $417,000 threshold ($729,000 in high-cost cities such as New York). These loans have higher rates because they are considered non-conforming or higher risk and are not backed Fannie Mae or Freddie Mac. In 2009 buyers of high-end homes paid 1.8 percentage points more in rate than the average buyer. But in 2010, that spread had shrunk to just 0.6 points more.Source: CNN/Money.com

RE/MAX sells more homes than any other real estate company.

For a reason...should we talk?

Let us know what you think or add to our blog by writing a comment. Do you have a real estate question for the Real Estate Wizards? Email us at RealEstateWizard@DowellTaggart.com

Blog post written by the Dowell Taggart Team of RE/MAX Best Associates

Find Your New Home Fast and Simple Search 23,000+ KC Homes for Sale	View Distressed Sales, Short Sales and  Bank Foreclosures	Find Out What Your Home Is Worth Online
Do You Want to List Your Home, or Sell Your Home?	View Our Featured Homes For Sale	Beat Other Buyers To The  Hottest New Listings

YOUR success, health, happiness, and wealth can be attributed to the choices YOU make. Smart web surfers choose www.DowellTaggart.com, intelligent Kansas City home buyers and home sellers choose the Dowell Taggart Team for professional representation, industry leading advice and incredible online marketing. When YOU contact US, YOU work with US, Not a newbie assistant. Who do you know that we can help? Checkout the wealth of information we have compiled for you . . .