Santa Cruz Luxury Market 2 of 2: What gives?

Typically, I have looked to the activity in the high-end to get a feeling for where the entire market is headed, but in this case, I think we're in such a fundamentally different situation that the typical seems to no longer apply, at least not for the moment.

Just today the National Association of Realtors announced a 5% increase in existing home sales for last month, and such a jump has not been seen for 6 years. Also, the day-to-day activity on the street has ramped up considerably. In the less lofty section of the market, we're still seeing multiple-offer situations constantly, open houses seem packed, and buyers are definitely coming out of the wood-work...but not in the high-end, at least not yet.

Does the lull in the high-end mean that the rush at the low-end is temporary or isolated activity?

How long will this luxury vacation last? I am watching very closely.

What do you think is going on out there? I'd love to hear it.

Andy Salamone

Broker/Owner

Santa Cruz Buyers' Brokerage

http://www.santacruzbuyers.com

abodes@me.com

(831) 295-1093