Although increasing numbers of high-end homes are becoming foreclosures, Beverly Hills is bucking the trend, with owners asking and often getting millions more than they paid.
A prime example is Jennifer Aniston, who sold her 10,000 ft.² home for $36 million, which is a pretty healthy increase on the $13.5 million she paid in 2006. The price of this property set a per square foot record for homes in the vicinity at $3,600. The house was designed by architect Harold W Levitt, and there is another of his homes currently on the market for $10.9 million, reduced from $14.9 million. The owner bought the home for $4.6 million last year but has spent another $3.5 million on renovating it and still feels optimistic about making a profit even with the substantial reduction in price.
Another house recently sold for $14.4 million after being purchased in 2009 for just $9.8 million. According to the report in the Wall Street Journal, the appetite for luxury homes is still very healthy, especially for well renovated homes. During the last year 25 homes in the greater Beverly Hills area have sold for $10 million or more, compared to 16 in 2006 and 21 in 2007 when the property market was truly considered to be booming.
Some homes aren't even being renovated, as a European businessman bought a 20,000 ft.² contemporary home in Beverley Park for $16.5 million last year, without even seeing it. Even though it hasn't had any work done, it's now back on the market for $25 million and according to the agent the owner stands a good chance of making a substantial profit on the home due to the scarcity of such large houses.