The average luxury residence in West Palm Beach was sold for $4.5 million, which is 8.9 times the price of the average non-luxury home sold in the three months ending in May, according to new data from Redfin.
Among the 49 most populous housing markets in the U.S., the South Florida metro area exhibits the highest luxury home price premium, closely followed by Miami, where the average luxury home sold for 8.8 times the price of the average non-luxury home. Following closely, but with a significantly lower luxury home price premium, is New York City, where the average luxury home is priced at 5.5 times that of the average non-luxury home.
Top 10 Metros With the Biggest Luxury Home Price Premiums:
| Ranking | Metro area | Luxury median home sale price | Non luxury median home sale price | Median luxury-to-non luxury home price ratio | Median luxury-to-non luxury home price ratio (May 2025) |
| 1 | West Palm Beach, FL | $4,510,196 | $506,609 | 8.9 | 8.7 |
| 2 | Miami | $4,855,331 | $554,441 | 8.8 | 7.6 |
| 3 | New York | $4,380,249 | $789,723 | 5.5 | 5.5 |
| 4 | Los Angeles | $4,512,482 | $916,294 | 4.9 | 4.8 |
| 5 | Phoenix | $2,225,630 | $460,574 | 4.8 | 4.3 |
| 6 | Nashville, TN | $2,190,591 | $473,412 | 4.6 | 4.4 |
| 7 | Philadelphia | $1,342,284 | $295,000 | 4.6 | 4.3 |
| 8 | Tampa, FL | $1,650,875 | $374,440 | 4.4 | 3.8 |
| 9 | Anaheim, CA | $5,276,971 | $1,206,764 | 4.4 | 4.4 |
| 10 | San Francisco | $6,648,922 | $1,558,458 | 4.3 | 4.2 |
“West Palm Beach and Miami are wealth magnets for ultra-rich Americans thanks to Florida’s favorable tax environment, warm climate and waterfront lifestyle,” said Sheharyar Bokhari, Principal Economist at Redfin. “South Florida has evolved into one of the country’s most popular destinations for luxury homebuyers. While buyers are drawn by the beaches, climate and international connectivity, Florida’s tax advantages remain an important part of the equation for ultra-wealthy households. That combination continues to funnel demand into markets like West Palm Beach and Miami.”
Dina Blau, a Principal Agent at Redfin, has observed that the homebuyers relocating to West Palm Beach in recent years are both wealthier and younger compared to those who previously moved to the area.
“We’re seeing strong migration from New York, New Jersey, California and other high-cost metro areas. Many buyers are relocating earlier in life than in past cycles—often in their 40s and 50s—driven by remote and hybrid work, tax advantages and lifestyle flexibility,” Blau said.
Metros With the Smallest Luxury Home Price Premiums:
| Ranking | Metro area | Luxury median home sale price | Non luxury median home sale price | Median luxury-to-non luxury home price ratio | Median luxury-to-non luxury home price ratio (May 2025) |
| 1 | Portland, OR | $1,459,821 | $553,396 | 2.6 | 2.6 |
| 2 | Sacramento, CA | $1,721,234 | $583,254 | 3 | 2.8 |
| 3 | Columbus, Ohio | $1,017,342 | $350,000 | 2.9 | 2.9 |
| 4 | Riverside, CA | $1,723,962 | $580,962 | 3 | 2.9 |
| 5 | Cincinnati | $952,523 | $305,707 | 3.1 | 3.3 |
| 6 | Virginia Beach, VA | $1,105,952 | $367,393 | 3 | 2.9 |
| 7 | Montgomery County, PA | $1,544,219 | $499,953 | 3.1 | 3 |
| 8 | San Antonio | $968,344 | $309,307 | 3.1 | 3 |
| 9 | Milwaukee | $1,098,057 | $349,985 | 3.1 | 3 |
| 10 | Indianapolis | $1,009,314 | $313,242 | 3.2 | 3 |
Across the nation, the average luxury home is priced at 3.6 times that of a typical non-luxury home, a slight increase from last year’s ratio of 3.5. In May, the prices of luxury homes surged nearly five times faster than those of non-luxury homes. High-end buyers appear largely unaffected by the combination of elevated prices and mortgage rates, which are currently preventing most Americans from purchasing a home unless absolutely necessary.
Portland, OR boasts the lowest luxury home price premium in the country, with the average luxury home costing 2.6 times more than a typical non-luxury home. Following Portland are Sacramento, CA (3) and Columbus, Ohio (2.9).
Note: This report is based on a Redfin analysis of MLS data that is subject to revision. All figures cover a three month period ending in May 2026. Redfin defines luxury homes as those estimated to be in the top 5% of their metro area’s price range, while non-luxury homes fall into the 35th-65th percentile.
