Luxury Real Estate Sales Increased Year-Over-Year for First Half of 2025
Sales of properties priced at $10 million and above increased in the first half of 2025, compared to the same time last year.
According to 2025 Mid-Year Luxury Outlook by Sotheby’s International Realty, luxury real estate sales of properties priced at $10 million and above have increased year-over-year, and have even outperformed the mainstream market.
Demand for owning hard assets like luxury real estate has continued throughout the first half of 2025 despite economic uncertainties, like stock market fluctuations. Additionally, many high-net worth individuals purchasing these properties have opted to pay all cash to avoid high interest rates, with all cash purchases totaling 88% in the first half of 2025 according to the report.
“Ultra-high-net-worth individuals continue to view real estate as an essential portfolio component,” said Philip White, president and CEO, Sotheby’s International Realty. “High-net-worth buyers remain actively engaged, particularly in the ultra-luxury real estate segment, where unique properties continue to command premium prices.”
Demand for luxury real estate is predicted to continue to outperform against the mainstream real estate market due to current political and economic dynamics with more luxury listings expected to continue to enter the market throughout the year.
The top concerns for homebuyers this year are inflation and interest rates, according to a 2025 Mid-Year Sotheby’s International Realty agent survey. Politics, climate change and tax reforms were noted as other issues that may influence the real estate market as 2025 continues.
Read the full 2025 Mid-Year Luxury Outlook Report by Sotheby’s International Realty here.