CNN reported Tuesday that luxury home sales soared in final months of 2012, which prompted me to do further analysis on our local market. CNN wrote:

Many sellers wanted to cash in on their homes before a widely expected capital gains hike — to 20% from 15% — that was part of the fiscal cliff budget deal. High-income earners (singles with income of $200,000 or more and couples making more than $250,000) also wanted to close sales ahead of a 3.8% Medicare surtax on investment income that was already slated to go into effect this year as part of the Affordable Care Act.

All told, a high-earner would pay $88,000 less in taxes if they made a $1 million profit on their home in 2012 rather than in 2013.

That considerable tax savings motivated many wealthy homeowners to move fast. According to the National Association of Realtors (NAR), sales of homes valued at $1 million or more spiked 51% in November compared with a year earlier.

Locally in Anne Arundel County, we also saw a year-end spike in high-end sales. The Institute for Luxury Home Marketing defines the luxury market as the top 10 percent of sales. For us, these are homes that sold above $600,000.

Sales of homes above $600,000 in Anne Arundel County increased 24% in 2012 over 2011, and the settlements in the fourth quarter were 47% above 2011.

Sales of homes above $1,000,000 also increased, yet not quite as much.  Those sales in 2012 were 12% above 2011, and in the fourth quarter, 8% higher than 2011.

With the market strengthening, especially in the higher end, and interest rates remaining at historic lows, 2013 looks like a good year for those who want to make a move.

P.S. Considering a move?  Please call for a confidential chat.  Your personal needs, wants, and finances are my priority and my passion and my specialties run from waterfront luxury estates to distressed properties.

Call me today for your Annapolis real estate needs, or for an introduction to a great real estate agent anywhere.

Carlyn Lowery, Associate Broker, eXp Realty, Annapolis Real Estate,Annapolis Waterfront Homes, Annapolis Luxury Homes, Anne Arundel County, Maryland, 443-569-3977 or 888-860-7369 x146

Local web sites in and around Annapolis, Maryland

In Anne Arundel County, 2012 sales were much stronger than 2011, with 13.94% more homes sold (a total of 5859).  Plus, they sold 11.48% faster, with an average of 108 days on market.

Sales of waterfront homes in Annapolis in 2012 were up a full 32% compared to 2011.  Across Anne Arundel County, sales of waterfront homes were up 23% compared to the previous year.

Now we have an inventory shortage.  Buyers are shopping, and sellers are needed!  If you or someone you know is thinking of selling this year, it’s time to get started!

Our local real estate market ended the year strong with a busy holiday season.

Last month, 441 sales closed, more than the previous December by 14.84%. Listings are down 22.43%, to 2,085, as compared to 2,688 a year ago.

Anne Arundel County Real Estate Market Statistics December 2012

Here are more numbers on home sales, for December 2012 vs. December 2011 for Anne Arundel County:

• Average Discount Off Original Price: 6.7% (was 11%)
• Average Days on the Market: 96 (down 31.91%)
• Number of Homes for Sale: 2,085 (down 22.43%)
• Total Sales: $153,854,572 (up 15.94%)
• Average Sold Price: $348,877 (up 0.96%)
• Real Buyers (Home Sold): 441 (up 14.84%)

(Source: Metropolitan Regional Information Systems, Inc. – MLS Resale Data Copyright 2013 – Information deemed reliable, but is not guaranteed.)

We have moved from a balanced market into a sellers market, with approximately 4.7 months of inventory.   Of course, conditions differ within sub-markets; each price range and neighborhood differs.

Considering a move? Don’t hesitate to call any time, for a confidential chat.  Let’s get started.

I love to talk about real estate, and sell everything from waterfront luxury estates through distressed properties.

P.S. Considering a move?  Please call for a confidential chat.  Your personal needs, wants, and finances are my priority and my passion and my specialties run from waterfront luxury estates to distressed properties.

Call me today for your Annapolis real estate needs, or for an introduction to a great real estate agent anywhere.

Carlyn Lowery, Associate Broker, eXp Realty, Annapolis Real Estate,Annapolis Waterfront Homes, Annapolis Luxury Homes, Anne Arundel County, Maryland, 443-569-3977 or 888-860-7369 x146

Local web sites in and around Annapolis, Maryland