A New Home for a New Year

Posted on: 22 February 2017

When shopping for a home, you may occasionally see the term "luxury home" mentioned in a listing where a home is priced higher than other similar homes in the same area. As a savvy home shopper, you probably know that this term doesn't refer to the size of the home, but rather to the quality of either the home or its location.

It is challenging to determine whether the home actually qualifies as a luxury home or if it is simply over priced. The following tips can help you make this determination so you can know whether it is worthwhile to place an offer on the home.

#1: Does the location stand out?

Even within a single neighborhood there can be locations that are more desirable than others. The neighborhood luxury home should have something about the location that stands out, especially if it's overall quality is similar to other nearby homes of lesser price. For example, the home with the best view, sitting on the green belt, or situated furthest from the loud traffic corridor deserves the distinction of being the neighborhood luxury property.

#2: Is the quality higher than in surrounding properties?

Every home in the area may be of similar size with similar layouts, but something about the luxury home usually stands out. For example, it may have more expensive carpets, or slate tile floors instead of vinyl. Or, perhaps it is made of brick when the rest of the homes in the area are vinyl siding.

Often, the luxury name comes from the appliances in the home, such as a top of the line stove and oven in the kitchen or better than average fixtures and plumbing design in the bathroom. Generally, a home with builder's grade fixtures and finishing touches won't qualify as luxury unless the location is simply amazing.

#3: Are their extra features in the home?

Sometimes a home may seem fairly similar to neighboring properties in most regards, except for one amazing feature. For example, a home with a beautifully landscaped back yard, complete with swimming pool, built in gas barbecue, and amply entertaining spaces may be considered a luxury home. Or, perhaps the home as a fully appointed game room complete with a small viewing theater or a built-in wine cellar.

Although these features will only appeal to a small subset of the home shopping public, they are sufficient to earn the luxury qualifier.

Knowing what to look for when shopping for a house ensures you actually buy a home that is a luxury in more than just name.