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2006 Market Review of Luxury Homes (includes 2 solds from last quarter) in East St Paul

• 20 bungalows sold – with 9 of solds having a creek view/and or walk out basement
• Average size was 2248 sq. ft
• Average sold price of all homes was sitting @ $583,075 and $259.38 psf

• Note: Only 2 solds were in the smaller size range of 1784 & 1809 sq. ft- with price psf- $271 & $286 psf.
• This supports the fact that smaller homes sell for a higher price per sq. ft. One need not need to be cautious about designing the 1800-1900 sq. ft. homes with same quality of luxury finishing as the larger 2000+ models. Many will pay for the luxury and this need not tied to the size. The best designed plan would be more/just as important as the size.

· Creek - walk out bungalows had an average selling price of $292.87 psf

• The creek homes sold between $510,000 ($286 psf) 1784 sq. ft. to $850,000 ($342 psf) and was 2485 sq. ft.

• It is fair to say that most homes on the creek with a walk out design are 2200 + sq. feet. The purchasers looking for water homes typically are looking for larger homes with all the bells and whistles and more and have been a younger profile as well.(30-40 years of age)

Conclusion

• People will pay the price for the right product. It is the combined qualities of having a wow factor and luxury finishes and good building componants that secure the higher prices.

• We are of the opinion that not everyone wants to have a walk out basement that they have to finish.For lots of people the open exposure that is a natural componant of the creek walk- out setting can be of concern.