October 9, 2013
Aspen, CO, was the only non-coastal region among the top 20 United States ZIP codes with the most luxury real estate sales from June 2012 to June 2013, according to the latest Coldwell Banker Previews International Luxury Market Report.
The Luxury Market Report found that Beverly Hills, CA, ranked as the most concentrated ZIP code with 18 sales of $10 million and up, while New York scored four ZIP codes in the top ten including the Upper West Side and the Upper East Side of Manhattan. For the highest volume of sales $10 million and up in a city, New York has a resounding first place with 95 compared to second place Los Angeles' 23.
"The most significant finding is how Aspen is becoming a powerhouse in the ultra-luxury real estate market, as it's ranked fourth in the report among mainstays like Beverly Hills and New York," said Betty Graham, president of Previews International at Coldwell Banker Residential Brokerage, Beverly Hills.
"Luxury marketers should use the data in the report as a resource to see where the most activity is in U.S. luxury real estate markets and areas where luxury consumers are most active," she said.
For the Luxury Market Report, Manhattan area data has been gathered from StreetEasy.com, an online consumer and private industry portal which reports closed real estate transactions from the Real Estate Board of New York, as well as other reporting brokerage resources.
All other data has been gathered from the Multiple Listing Service databases known or believed to be the primary real estate broker cooperative resources for each market referenced in the report. All closed sales activity reported is for the annual period July 1, 2012 through June 30, 2013.
Surging cities
While Aspen ranked fourth for total number of sales in a ZIP code, the mountainous city ranked first for the highest volume of listings $10 million and up with 56. Malibu, CA, the Upper East Side, New York and Beverly Hills followed close behind.
For cities with the highest volume of luxury listings, New York came out on top with 308 and was trailed by Miami and Miami Beach in Florida, Aspen and Malibu, CA. New York's dominance can be explained by the influx of foreigners flocking to the city, according to the report.
The concentration of luxury properties in coastal cities follows the trend of previous reports, but Aspen's sustained surge represents a budding trend.
Viceroy Snowmass Resort
This climb up the ladder is due to the city's slopes, cuisine, resorts and its cultural and creative attractions.
Matching clients
To better match clients with properties, some real estate companies are ramping up social media efforts.
For instance, an executive from The Corcoran Group at the Luxury Interactive 2013 conference provided insights into the digital content strategies such as curated neighborhood tips that allow its agents to engage consumers on a deeper, personal level.
The executive discussed how Corcoran has benefited from digital content strategies even in a difficult housing market during the “Right Content, Right Place, Right Time, Right Person” presentation. Brands should use relevant social content and storytelling to increase conversations and spark consumer emotions (see story).
To maintain strong in-store reputations, luxury brands must shift their focus to emerging hot spots.
"The luxury consumer data provides marketers with information in how consumers view real estate and investment, as well as amenities that are important to them," Ms. Graham said.
Final take
Joe McCarthy, editorial assistant on Luxury Daily, New York
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