Despite a slowdown in overall market activity, luxury home prices have risen by 2.7% year over year, outpacing the broader market's growth of 1.4%. Sales activity initially surged in March but experienced a significant downturn in April, reflecting buyers' cautiousness following stock market volatility. Limited inventory and enduring demand for high-end properties are keeping values stable. However, high mortgage rates and economic uncertainty still pose challenges for potential luxury buyers. The luxury market features wide price variation across the U.S., with the most expensive homes found in California's major cities.
Despite a slower market, home prices have continued to climb—a promising sign for sellers considering listing their properties, Orphe Divounguy said in a statement.
As economic conditions begin to stabilize, the luxury housing market could regain some momentum—although high mortgage rates and elevated prices continue to impact buyer decisions.
While luxury buyers often have more liquidity and equity, high mortgage rates and general economic uncertainty are weighing on their housing decisions, according to Zillow.
Luxury prices vary widely across the country, with San Jose leading the pack at nearly $6 million, followed by Los Angeles and San Francisco.
Collection
[
|
...
]