Back in early October, I wrote a post about Louisville luxury homes sales in 2012. This is a followup to that post taking into account the final two months of the year's sales. The Louisville luxury homes market has been a bit sluggish in the past few years due to an anemic economy which has lowered lender's and consumer's risk threshold.
When I mention Louisville luxury homes, I'm talking about single family homes of all kinds of styles, sizes, ages, and locations within Jefferson County in Kentucky. I'm not talking about condos or townhomes or raw acreage, but the best of Louisville's housing stock. When looking at this segment of the Louisville housing market, it's important to realize the nature of the competition.
There are always homes listed for sale in Louisville for more than $1,000,000, however, only the very best of the best end up closing at the $1,000,000 mark or higher. It is a market segment that typically does not turn over all too often. The Louisville luxury home market is also limited by the number of home buyers who can afford a home priced at a minimum of $1,000,000. A third limitation on the activity in the Louisville luxury home market is the number of those who are financially capable of buying a home in this price point and the relative scarcity that it will actually occur. In other words, just because a buyer can afford a million dollar home does not mean he or she will buy one every few years, so there are fewer transactions to be had.
The current Louisville luxury home inventory of homes listed for at least $1,000,000 sits at 43 , which is 16 fewer than in early October when I last wrote on this topic. Such a statistic sounds excellent if it's possible to show that a reason for the decrease is due to sales, and that's partially true, as four Louisville luxury homes have sold since October with asking prices of at least $1,000,000, and another one has closed. So five of the sixteen homes are accounted for in positive light since they actually sold. The other eleven homes were removed from the market, and it's likely more than eleven were removed since there are Louisville luxury homes that have hit the market as new listings since October.
Louisville luxury homes are a diverse lot in terms of location, style, age, and amenities. One of the more interesting pieces of knowledge I gained from writing this post was to see what the "average" Million Dollar home in Louisville looks like in terms of size, acreage, bedrooms, baths, etc.
What follows is a portrait of the Louisville luxury home market by Area as defined by the Greater Louisville Association of Realtors Multiple Listings Service in 2012:
Downtown / Central Business District: Known more for high end condos and ongoing revitalization, Downtown Louisville continues to forge ahead in becoming a vibrant community with the undertaking of many renovations, new construction, interesting and evolving corridors like NuLu and Main Street near the YUM! Center. In October, there was a townhome with live / work space listed for more than $1,000,000, but that unique listing has been removed from the market so there are no single family home listings in this area currently for sale.
The Highlands: The Highlands features the main dining corridor in Louisville, Bardstown Road. It also is known for grand old Victorian Homes, richly detailed Craftsman Bungalows, and great access to pretty much anywhere people want to go. The Highlands is somewhat loosely comprised of two zip codes: 40204 and 40205. In most cases, the main determinate on whether a Highlands home sells for a million or more is its proximity to Cherokee Park. Generally, the closer the better.
The Highlands - 4 Active Listings > $1,000,000 - Low List Price: $1,150,000 - High List Price: $3,950,000 - 0 Closed Sales > $1,000,000 in 2012
St Matthews / Indian Hills / Mockingbird Valley / Cherokee Gardens: East of Downtown Louisville in an area that stretches from the Ohio River to the Watterson Expressway is what is commonly known as St Matthews. This is not technically correct, but it's good enough for our purposes. Within St Matthews and the 40207 zip are two neighborhoods known for million dollar homes: Indian Hills and Mockingbird Valley. The 40206 zip is also represented many years with the very desirable Cherokee Gardens neighborhood.
St Matthews / Indian Hills / Mockingbird Valley / Cherokee Gardens - 9 Active Listings > $1,000,000 - Low List Price: $1,175,000 - High List Price: $4,349,000 - 4 Closed Sales > $1,000,000 in 2012
2012 Closed Sales by address:
535 Fairfield Drive - Cherokee Gardens - Closed 1/31/2012 for $1,050,000 - 12 Days on Market
417 Lightfoot Road - Green Hills / Mockingbird Valley - Closed 7/24/2012 for $1,125,000 - 62 Days on Market
9 River Hill Road - Indian Hills - Closed 10/19/2012 for $1.5 Million - 760 Days on Market
3740 Upper River Road - Mockingbird Valley - Closed 6/4/2012 for $1,780,000
Southeast Louisville / Jeffersontown: Massive recently built homes in Louisville's southeast end are making their case to sell for more than a million dollars. A number of these contenders have substantial acreage of ten or more. The peaceful setting makes for a great place to build a Louisville luxury home. Though no homes sold for more than $1,000,000 in Southeast Louisville in 2012, there are currently four Southeast Louisville / Jeffersontown Luxury homes for sale over a million dollars.
Southeast Louisville / Jeffersontown - 4 Active Listings > $1,000,000 - Low List Price: $1,195,000 - High List Price: $2.7 Million - 0 Closed Sales > $1,000,000 in 2012
East Louisville / Lake Forest / Locust Creek / Anchorage: I would say that when people across the nation think of luxury homes, they think of the type of homes one will find in East Louisville. Louisville luxury homes abound in East Louisville neighborhoods like Lake Forest, Locust Creek, and Anchorage. It's in these zip codes, 40223 and 40245, that one can find newer contemporary homes with open floor plans, towering ceilings, gorgeous finishes, and modern appliances. Anchorage contributes older homes on large lots (1-5+ acres), many of which have been expanded, renovated, and modernized.
East Louisville / Lake Forest / Locust Creek / Anchorage - 5 Active Listings > $1,000,000 - Low List Price: $1,075,000 - High List Price: $2.75 Million - 8 Closed Sales > $1,000,000 in 2012
2012 Closed Sales by address:
14906 Landmark Drive - Lake Forest - Closed 3/15/12 for $1,000,000 - 201 Days on Market
12204 Ridge Road - Anchorage - Closed 8/31/12 for $1,030,000 - 35 Days on Market
1313 Somerhill Place - Anchorage - Closed 3/5/12 for $1,050,000 - 190 Days on Market
1005 Anchorage Woods Circle - Anchorage - Closed 7/2/12 for $1,050,000 - 10 Days on Market
18420 Bridgemore Lane - Bridgemore Estates - Closed 7/31/12 for $1,100,000 - 309 Days on Market
3020 Long Creek Way - Lake Forest - Closed 4/6/12 for $1,174,650 - 176 Days on Market
902 Rugby Place - Hurstbourne - Closed 4/23/12 for $1,175,000 - 3 Days on Market
1809 Arnold Palmer Boulevard - Lake Forest - Closed 3/23/12 for $1,245,000 - 182 Days on Market
Northeast Louisville / Glenview / Prospect / Anchorage: Travel away from Downtown Louisville on River Road, and just before arriving at Lime Kiln Lane is Glenview, one of Jefferson County's most affluent neighborhoods. Glenview is comprised of mostly older country estate homes situated on the bluffs overlooking the Ohio River. From River Road, it's hard to see the variety of properties sprinkled about on typically at least an acre of ground per home, but they are there, and they are grand. It's here that you will find a great many million dollar homes, though few turn over each year. Additionally, Northeast Louisville has a number of other desirable neighborhoods including Norton Commons, Prospect, Sutherland, River Glen, and north Anchorage.
Northeast Louisville / Glenview / Prospect / Anchorage - 20 Active Listings - Low List Price - $1,025,000 - High List Price: $ 6 Million - 3 Closed Sales > $1,000, 000 in 2012
2012 Closed Sales by address:
3617 Glenview Avenue - Glenview - Closed 2/24/12 for $1,060,000 - 84 Days on Market
5821 Orion Road - Glenview Heights - Closed 7/6/12 for $1,114,100 - 121 Days on Market
5400 Farm Spring Court - Prospect - Closed 8/13/12 for $1,290,000 - 48 Days on Market
In 2012, the average (though these homes are far from average) million dollar home that actually sold had the following attributes:
5,791 Finished Square Feet Above Grade
1,540 Square Feet Finished in Basement
5 Full Baths / 1-2 Half Baths
3-4 Car Garage
The homes ranged in age between 3 Years Old all the way up to 95 years old.
The homes averaged 166 days on the market from their original list dates until an acceptable offer was received.
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