Luxury home sales continued their record-breaking pace in July, as prices hit double digit gains in 19 major markets, according to the Realtor.com 2018 Luxury Home Index. Additionally, the number of sales at or above the $1 million mark rose 13% over last year.
According to AudienceSCAN, 5.4% of U.S. adults are Luxury Product Shoppers. The majority of this audience (46.6%) of this audience is between the ages of 17 and 34. Nearly 26% of this audience has an annual household income of $150,000 and above. Only 64.1% of this audience are homeowners, but 10.7% are in the market for a new primary residence.
The pace of sales in the luxury segment continues to break records. The combined median age of inventory in the 91 luxury markets surveyed was 108 days, down eleven days or 9.3% year-over-year, moving faster than any July since Realtor.com started tracking the metric in 2012. Additionally, two thirds of luxury markets are seeing inventory move faster than last year.
In 49 of the 91 markets analyzed, the luxury tier currently has an entry point of at least $1 million. The number of sales at or above the $1 million mark in the 91 markets is up 12% over last year.
"The strong economy is bolstering demand for luxury homes," said Danielle Hale, chief economist for Realtor.com. "They are selling fast and demand for these homes has pushed the entry level price point to more than $1 million in half of the markets studied. Although there are some pockets of weaker performance, we've seen double-digit price growth in 19 markets for the first time in four years."
Nearly 28% of Luxury Product Shoppers view the TV as the most accurate, believable and trustworthy local news source, according to AudienceSCAN. Last year, 56% took action after seeing a commercial on TV. In that same amount of time, 49.1% reacted to an ad they saw on a social network such as Facebook (that 66.3% participate in) and Instagram (44.3% participation). This audience is also 21% more likely than other adults to take action after seeing an ad at a movie theater.
AudienceSCAN data is available for your applications and dashboards through the SalesFuel API. Media companies and agencies can access AudienceSCAN data through the AudienceSCAN Reports in AdMall.