Ultra-prime residential property markets closed the year with a surge in blockbuster transactions, even as annual momentum cooled modestly from mid-year highs, underscoring a bifurcated global luxury housing landscape shaped by tax policy, cross-border capital flows and shifting investor sentiment.
The median sale price of a luxury home in the United States climbed 4.6% from a year earlier to $1.31 million in December, significantly outpacing gains in the broader housing market, where non-luxury prices rose just 1.4% to $375,000 -- the slowest rate of appreciation recorded since tracking began in 2013.
Homebuyers in 2025 secured historically large discounts off asking prices, according to new data from Redfin, reflecting one of the strongest buyer's markets in recent memory.
The U.S. housing market swung decisively into buyer-friendly territory at the end of last year, as a widening mismatch between supply and demand reached levels unseen in more than a decade.
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