In the three months ended April 30, the median U.S. luxury house sale price increased 3.6% year over year to $1.39 million, more than doubling the 1.4% increase in non-luxury sale prices. This is based on a recent report from Redfin, the Rocket-powered real estate agency.
As demand for luxury residences rises, so do luxury prices. Luxury house pending sales increased 4.3% annually, the biggest increase since January 2025. The 4% increase in non-luxury pending sales, which was the most since December 2024, is marginally less than that. Although rates have been more erratic in May, homebuyer demand has typically been increasing due to a better employment market and a drop in mortgage rates last month.
One reason the luxury market is doing pretty well, according to Stacey Bryant, a Redfin Premier real estate agent in Boston, is that luxury buyers are generally less sensitive to changes in mortgage rates than non-luxury purchasers.
“When I have a buyer looking at a home above $1 million, interest rates and geopolitical uncertainty don’t matter as much,” Bryant said. “They want to buy a home and have the means to do it, so a 6.3% mortgage rate versus a 6.1% mortgage rate doesn’t really make a difference.”
San Francisco recorded an estimated 48.4% year-over-year increase in luxury pending sales in April, the biggest since June 2021, more than any other metro Redfin examined. Due to the AI boom, which has given many workers large salaries and bonuses, San Francisco’s housing market has been improving. More affluent homeowners are probably being encouraged to list their properties for sale due to the rise in demand and prices for luxury homes in several regions of the nation.
In the three months ended April 30, new listings of luxury homes in the United States increased 2% year-over-year, while non-luxury new listings increased by 0.6%. The second-biggest increase in new listings occurred in San Francisco.
Luxury Market Overview:
| Metric | Luxury | Non Luxury |
|---|---|---|
| Median sale price | $1,388,230 | $377,734 |
| Median sale price, YoY change | 3.6% | 1.4% |
| Pending home sales, YoY change | 4.3% | 4.0% |
| Homes sold, YoY change | 0.8% | 1.6% |
| New listings, YoY change | 2.0% | 0.6% |
| Active listings, YoY change | 1.4% | 2.3% |
| Median days on market | 60 | 51 |
| Median days on market, YoY change | 6 | 5 |
Note: The report is based on a Redfin analysis of MLS data that is subject to revision. All figures cover rolling three-month periods. 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.
Metro-Level Luxury Highlights (Three months ending April 30):
Luxury prices increased most in:
- Tampa, FL (17.1%)
- Las Vegas (16.1%)
- Kansas City, MO (15.2%)
Overall, they fell in just four metros: Detroit (-2.4%), Cincinnati (-1.6%), New York (-0.6%) and Denver (-0.6%).
Luxury pending sales rose most in San Francisco (48.4%), Tampa (35.8%) and West Palm Beach, FL (15.8%), falling most in Nassau County, NY (-27%), Minneapolis (-15.9%) and Seattle, WA (-14.4%).
Luxury closed home sales jumped most in:
- San Francisco (43.2%)
- Tampa, FL (42%)
- Kansas City, MO (24.8%)
Closed home sales decreased most in Cincinnati (-22.8%), Seattle, WA (-20.8%) and Anaheim, CA (-19.9%).
Luxury new listings rose most in Warren, MI (26.6%), San Francisco (17.7%) and St. Louis (15.2%), falling most only in Miami (-16.7%), New York (-13.7%) and Orlando, FL (-13.7%).
Luxury new listings ticked up most in:
- Warren, MI (26.6%)
- San Francisco (17.7%)
- St. Louis (15.2%)
Miami (-16.7%), New York (-13.7%) and Orlando, FL (-13.7%) saw the highest drops.
Luxury active listings increased most in Detroit (22.8%), Seattle (16.1%) and Atlanta (15.4%), falling most in Anaheim, CA (-24.2%), New York (-18.3%) and Miami (-15.5%).
Among the metro areas examined, Pittsburgh had the largest decline of median days on market, with the average luxury house going under contract in 64 days, down 17 days from a year prior. Tampa, FL (-14) and Austin, Texas (-16) came next. New York (33), Las Vegas (31), and Philadelphia (18) saw the largest rises.
To read the full report, click here.
