BusinessWeek Online surveyed million-dollar homebuyers in 20 markets across the country and concluded that buyers today who are seeking $1 million homes can truly afford them and see the purchase as a confirmation of their success – even when there are lots of other nice homes available for less.
In Texas, where $1 million goes further than it does in other parts of the country, buyers demand country-club amenities. Jan Poscovsky of RE/MAX Heritage in Sugarland, Texas, says people who spend $1 million on a home want something more than space. “They’re buying a lifestyle,” she says.
Celia Chen, director of housing economics at Moody’s Economy.com, says $1 million and higher homes are about 2 percent of the market, but they are a very stable niche. Sellers in that price range can afford to wait patiently for the right buyer because “They don’t have to accept a lowball price,” Chen said.
Source: BusinesWeek Online, Prashant Gopal