Luxury home sales in markets north of New York City posted mixed results in the first quarter of 2022, with double-digit increases in Westchester County (sales $2M and higher) and Darien (sales $2 M and higher) while luxury sales declined in Greenwich (sale $3M and higher) and New Canaan (sales $2M and higher). Luxury sales in Putnam & Dutchess Counties (sales $1M and higher) showed no change.
Westchester County reported 99 luxury home sales sold in Q1, an increase of 17.9% from Q1 2021. Luxury homes sold in Putnam and Dutchess Counites totaled 41, unchanged from Q1 2021. The highest sale price for the quarter in Westchester was $8.825 million in Harrison. Putnam’s highest sale price was $2.1 million in Carmel while the top sale price in Dutchess was $12 million in Washington.
In Fairfield County, Greenwich posted 60 luxury homes sold, down 14.3% from Q1 2021. The highest sale price in Greenwich was $11.77 million, which was the highest in the county. Darien had 19 luxury homes sold, up 46.2% from a year ago. The top selling price was $7.05 million. Q1 sales in New Canaan totaled 20, down 33.3% from Q1 2021. The highest sale price in New Canaan was $4.8 million.
“With historically low inventory and continued high demand north of New York City, it is not surprising that several markets posted a decline in closed sales – fewer homes are available to purchase. 2020 and 2021 reached record-breaking sales. It is unlikely that the pace achieved during the past two years will continue unabated unless supply of luxury homes significantly increases,” said Anthony P. Cutugno, Sr. Vice President, Director of Private Brokerage for Houlihan Lawrence.
Cutugno noted the low supply/high demand environment has generated stiff competition for a dwindling number of listings. Multiple offers have pushed up median selling prices. For example, in Westchester, approximately 38% of first quarter luxury sales closed at a premium over list price – the highest being $1M above asking price.
“The media is abuzz with these astounding real estate stories. However, the majority of Westchester’s first quarter luxury sales closed below the asking price, demonstrating that price sensitivity is a reality. Savvy buyers will overlook unrealistically priced listings to the benefit of well-priced and well-presented homes that are selling more quickly than last year. If a listing is languishing on the market, it is often a sign that pricing should be revisited to capitalize on this robust, but not always euphoric, market,” he said.
Cutugno said the lack of inventory will not correct itself soon. “One of many factors contributing to the supply deficit is sellers’ hesitancy to list their home for sale. They are concerned about securing a new home that meets their needs in this environment, perpetuating the shrinking supply of homes on the market.
For sellers who desire to list, there is no better time to do so than now,” he said.
Q1 2022 MARKETS AT A GLANCE
Westchester County Luxury Home Sales /$2M and Higher
Homes Sold: Up 17.9%
Median Sale Price: Up 3.4%
Highest Sale Price: $8,825,000 Harrison
Putnam and Dutchess County Luxury Home Sales /$1M and Higher
Homes Sold: 0%
Median Sale Price: Down 21.5
Highest Sale Price Putnam: $2,100,000 Carmel
Highest Sale Price Dutchess: $12,000,000 Washington
Greenwich Luxury Home Sales /$3M and Higher
Homes Sold: Down 14.3%
Median Sale Price: Up 6.3%
Highest Sale Price: $11,770,000
Darien Luxury Home Sales /$2M and Higher
Homes Sold: Up 46.2%
Median Sale Price: Up 29.6%
Highest Sale Price: $7,050,000
New Canaan Home Sales /$2M and Higher
Homes Sold: Down 33.3%
Median Sale Price: Up 1.9%
Highest Sale Price: $4,800,000