Colorado Real Estate News

A LOOK INSIDE A U.S. LUXURY FIRM: COLORADO’S KENTWOOD REAL ESTATE

A Look Inside a U.S. Luxury Firm: Colorado’s Kentwood Real Estate
Graphic credit: RISMedia

From Gretchen Rosenberg:

Many luxury consumers have purchased their dream home in the past 24 months and have also purchased second and third homes. They may be content to enjoy those homes for now, and step aside from trading real estate while they see how the economic transition shakes out. Luxury sellers will need to carefully present their homes as beautiful spaces and price them more aggressively than they would have in 2021. Time on market will increase. The luxury market waxes and wanes like any market, but not always in tangent with mid- and entry-level home markets. Luxury will always have a place, and luxury consumers love beautiful statement homes.

At Kentwood over the past two years we’ve seen an average of 20-25% of our sales be cash, month in and month out. These are buyers who have big jobs and saved, inherited wealth or traded equities for a real estate investment. We don’t anticipate this to dramatically change for two reasons: if price increases flatten or decline, buyers will want to “buy the dip” knowing that long term, real estate will remain a good investment; and as the equities markets correct, more people are cashing out and will want a place to invest that cash.

Luxury consumers’ demands have increased since the pandemic. They expect the highest service and immediate attention. Service providers in the luxury space who anticipate customers’ needs and address them proactively will create long-term relationships and loyalty.

Luxury is a large amount of sales volume, but it’s a smaller percentage of annual sales. While we anticipate the real estate markets to cease being such an insane buyer’s market, we don’t anticipate a pendulum swing over the next few months to be an extreme buyers’ market. We anticipate a shift to more balance, more time on market (one weekend was uncomfortably fast for buyers to make a decision) and more negotiating from both sides.

From Dierk Herbermann:

While there may be a shift in the luxury market in most other major metros, we are not seeing that impact in the Denver Metro region yet. Through May we have closed 33% more luxury listings (over $1 million) with an increase of price per square foot of 8.7% and sales prices at an average of 5.2% over the list price.

While it is too early to tell what true impact the increased mortgage rates will have on the luxury market looking at the first half of June where 104 new listings over $1.8 million have hit the market, over half of those listings are already under contract (66). We are starting to see some price reductions, but of the 75 luxury listings (over $1.8 million) that have closed since June 1, only 10 of those were at a price below the list price.

Colorado, and the Denver Metro market in particular, continue to experience an influx of companies from California, New York, and Europe looking for our educated and talented workforce, relatively affordability and lifestyle. As was the case during the 2007-8 recession, this will help to insulate the Denver Metro Area from the downward housing pressures that were experienced in most of the U.S. While there will be some decrease in demand and potential price corrections in certain areas, we feel that Colorado will continue to be a strong luxury market.

*Originally published by RISMedia July 12, 2022

Colorado Real Estate News

Denver Luxury Market Trends

Luxury Real Estate in the Denver Metro Area Increased Over 2020 – Levels in 2021

The housing market in Colorado reached historic numbers regarding the sale price of homes and inventory has dwindled since the real estate boom in 2020 ignited by the pandemic.

New year-end market reports and year-end luxury reports comparing 2021 real estate performance to 2020’s has been released. The following entails Kentwood’s synopsis of year-end market trends in the Denver Metro Area. 

In 2021, the average sale price for a single-family home in the Denver Metro Area increased by 19 percent to an average of $682,489. Single-attached homes also saw a similar price increase of 14.3%, increasing the average sale price to $428,825. Although it looked like the Denver Metro real estate market was going to slow down in comparison to the boom of 2020, the overall listings closed in the calendar year increased by 0.3 percent.

The Luxury Market of the Denver Metro area continues to show strength through an increase in home buying. The number of luxury properties sold in the Denver Metro area saw a drastic increase of 59.9 percent in 2021 compared to 2020 reaching a total of 4,200 homes. The average sale price of high-end listings in the area increased by 3.7 percent, totaling the average sale price of luxury homes to $1,613,563. The increase in properties sold and a marginal increase in average sale price contributed to a grand 65.7 percent increase in total dollar volume. Indicating that luxury real estate properties in the Denver Metro area accumulated $6,776,964,868 in 2021.

Multiple Denver Metro neighborhoods saw significant improvements in buying activity in 2021. The Huntington Trails/Lexington neighborhood had the largest percent incense in luxury properties sold over 2021 at 66.7 percent. The city of Denver sold 2,051 luxury homes in 2021, a 65.9 percent increase over 2020 and the most in Denver Metro. Washington Park East/Central neighborhood had the second-highest number of luxury real estate sales, totaling 146 homes sold in 2021.

The demand for homes in the Denver Metro area combined with low inventory levels contributed to the appreciation of average sale prices in many neighborhoods. The average sale price for luxury properties in the Polo Reserve neighborhood increased by 40.7 percent in 2021, averaging $2,899,375. The Cherry Hills Village homes sitting on more than one acre of land had the highest average sale price, at $4,264,858. Similarly, homes in Greenwood Village West sitting on more than one acre of land appreciated by 36.8 percent, closing at $3,413,539 on average. Conversely, luxury homes in the Mayfair/Montclair neighborhood had the lowest average sale price of 2021. Homes in this neighborhood closed at an average of $1,352,158.

One big takeaway beyond the increase in the number of luxury properties sold and the average sale price of those homes is the average amount of days on the market. Of the 20 neighborhoods that were included in the year-end luxury report, only two neighborhoods had properties that stayed on the market longer in 2021 compared to 2020. In the Denver Metro area luxury homes remained on the market for an average of 27 days in 2021. A 49.1 percent decrease compared to 2020. The luxury properties in the city of Denver stayed on the market for an average of 29 days, a 31 percent decrease from 2020.

The strength of the real estate market in 2021 is a good indicator that this year may also yield some great opportunities for buyers and sellers looking for their dream home in Colorado.  

Colorado Real Estate News

Polo Club mansion listed for $8.95M

Listed by Sandy Weigand and Chuck Gargotto 1 Polo Club Lane has been listed at $8.95M. The owners spared no expense in entirely rebuilding and renovating this 5-bedroom, 7-bath residence to create a stunning transitional Beverly Hills style designer jewel. With inspiring indoor and outdoor spaces everywhere, clean modern lines blend harmoniously with tradition throughout the property.

Read more about this incredible property on the Denver Business Journal site by clicking here!

Colorado Real Estate News

Rollie Jordan | Featured Agent

Rollie Jordan

Rollie Jordan | Featured Agent

Hometown:

I grew up in Chagrin Falls, Ohio.

What Is One Special Thing About the Place You Grew Up?

My most wonderful memories are of our beautiful home on the Chagrin River and Polo Field, and of our horses and going trail riding with my parents every weekend.

Number of Years in Real Estate:

I’ve been in real estate for 24 years and am celebrating my 20th year anniversary with Kentwood Real Estate Cherry Creek.

How did you end up in Denver?

I went to the University of Denver and never left!

What Was You First Job?

In high school I volunteered at Mount Sinai Hospital in Cleveland, but my first paying job was as a salesperson at Gorsuch Ltd. in Vail.

Hobbies:

I have to say I still love to ride horses, as well as long walks and reading. Of course traveling is also high on my list too.

Describe Yourself In 5 Words:

Energetic, personable, family-oriented, professional, networker.

Favorite Colorado Past-time:

My monthly drive to Aspen and listening to great music along the way. Whether taking Independence Pass or Glenwood Canyon, the ride always clears my head and makes me grateful I live in our beautiful State of Colorado.

Favorite Place to Grab a Drink:

If I’m in Cherry Creek, Quality Italian at the Halcyon Hotel. The Palm if I am Downtown. And Ajax Tavern if I’m in Aspen.

In What Ways Are You Involved in Your Community?

I have been volunteering for over 30 years with many charities in town including being on boards, chairing events, and attending fundraisers. I recently received the “Volunteer of the Year Award” for Denver Health.

Who Inspires You?

My father was always my mentor and after he passed away I have been inspired by my 97-year-old cousin, who is smart as a whip and always helps me with my business and life issues.

What Is Your Proudest Accomplishment and Why?

Raising my 2 sons by myself, not an easy task while working full time.

How Do You Define Success?

What my favorite fortune cookie once said, “Success with pleasure.” But, I also consider raising two smart, successful loving sons to be one of my greatest achievements. I am grateful to have a beautiful, warm home for my family, friends, and clients to always come home to and visit.

What Career Path Would You Have Chosen If You Didn’t Become a Real Estate Broker?

I was in the wholesale and retail clothing business before I was a Broker and have fond memories of those years and my two retail stores, called JJ Trappings, that were Colorado legends before they closed.

If You Could Master Any Skill That You Don’t Currently Have, What Would It Be and Why?

To become a black diamond skier, so I can keep up with my friends and sons.

What Is the Most Adventurous Thing You’ve Ever Done?

I went to camp in Maine when I was 13 years old wearing an 8lb steel and leather brace for my Scoliosis, and rode horses with it on.

If You Could Have Dinner with Anyone, Who Would It Be and Why?

I would have dinner with my father. That way I could have it videotaped for permanent record of all his wonderful stories, and our family history…my one regret.

What’s the Best Concert You’ve Ever Been To? What Made It So Special?

Too many to even to mention! We are a BIG music family and our favorite family tradition is going to concerts together. Starting as a child in Cleveland, my father took me to many concerts: Frank Sinatra, The Beatles, and Bobby Short at the Carlyle in NY are memorable. My first date was to see Bob Dylan and my kids can’t believe I saw The Doors live in concert there too. Then my many years of shows at Red Rocks (before my sons were born and then with them) to see CSNY, Sting, and the London Philharmonic, my two favorites. Our summers are always spent at Jazz Aspen seeing too many musicians to mention.

But since my oldest son is a musician I’ve always enjoyed hearing him perform, especially his first CD he wrote and produced in Denver. My MOST memorable concert I will never forget, is seeing him perform at the Key Club in Hollywood, with my 85-year-old Mother, his grandmother, and many friends and relatives in the house.

If You Could Live in A Book, TV Show, Or Movie What Would It Be and Why?

I would be the attorney and ex-cop Stone Barrington, in Stewart Woods’s novels, as he travels the world flying his own plane, has beautiful homes everywhere, stays in the best hotels, eats in the best restaurants, and has fabulous adventures.