Fort Worth is one of the five top luxury home markets to watch in 2020, as wealthy residents leave high-tax states, causing a rise in “secondary” luxury markets, according to a new report.
The 2020 Global Luxury Market Insight Report, released by Coldwell Banker, names Boise, Idaho; Charlotte, North Carolina; Cincinnati, Ohio; and Colorado Springs, Colorado, to the top five list.
Fort Worth’s business-friendly environment and its appeal as a place to live and work contribute to the city’s rise as a luxury market, Laurie Kelfer, a real estate agent with Coldwell Banker Residential Brokerage, said in an interview with the Dallas Business Journal.
“There’s a great allure to Fort Worth,” Kelfer said. “It’s obviously growing and expanding. It’s a great business climate, with jobs and affordable housing. It’s got a desirable quality of life and a vibrant community spirit.”
“In the luxury market, it’s particularly strong and steady,” she added.
The report weighed economic factors such as job and population growth against annual metrics, including sales-price-to-list-price ratios, days on market, median list price and inventory.
Nearly half of the state’s 500,000 annual newcomers head for Dallas-Fort Worth, according to the report. Many are equity-rich and looking for luxury in Fort Worth or in more expensive nearby enclaves like Colleyville and Westlake, where the average sales prices are more than $1 million, the analysis says.
The report also points out that, according to the U.S. Census, the city grew 20.2 percent since 2010, outpacing Texas’ 14.1 percent population growth and becoming the country’s 13th most-populous city in 2018.
M. Ryan Gorman, president, and CEO of Coldwell Banker, said in the report that nationwide, 2019 was transitional for the high-end property market as fears of a recession in the U.S. and concerns about a global economic slowdown eventually gave way to cautious optimism.
Some traditional hotspots along the coasts plateaued, while others, like Malibu, maintained solid year-end numbers, Gorman said in the report.
“The surprise has been the expansion of the affluent sector into mid-sized markets like Boise, Charlotte and Fort Worth,” he said. “Part of this is due to wealth migration from higher-tax states to lower-tax states. These secondary luxury markets represent new pockets of opportunity.”
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