The nation’s luxury housing market showed slight softening in September, as prices dropped slightly and high-end homes took longer to sell. The national luxury benchmark (which accounts for the top 10% of listings) fell to about $1.24 million, marking a small month-to-month and year-over-year decline. Homes at that level spent an average of roughly 79 days on the market, which is nearly a week longer than a year ago. This shift signals a gradual return to more typical market conditions after years of rapid activity.
September 2025 Luxury Trends
- Luxury benchmark dips slightly: The national luxury threshold (90th percentile) declined 0.5% month over month and 2.4% year over year to $1.24 million, marking a fourth consecutive month of modest softening.
- Time on the market lengthens modestly: Homes in the 90th percentile spent a median of 79 days on the market, 1 day longer than August and 5 days longer than one year ago.
- Santa Barbara is the priciest: The Santa Maria–Santa Barbara, CA, metro now leads all U.S. luxury markets, with a 90th percentile price of $8.95 million,
- Luxury values vary widely: A $1 million to $2 million budget yields a median of 2,994 square feet nationally, but more than 4,500 square feet in Atlanta, versus less than 1,700 square feet in Urban Honolulu, underscoring sharp regional differences in what luxury dollars can purchase.
Top Five Markets by 90th Percentile Listing Price
| Rank | Area | Monthly Rank Change | Metro/Micro | 10% Most Expensive Listings Start at: | YoY 10% Most Expensive Listing Prices | Million-Dollar Listings | Multiple to Local Median Listing Price |
| 1 | Santa Maria-Santa Barbara, CA | New | Metro | $8,950,000 | -0.4% | 504 | 4.7 |
| 2 | Heber, Utah | — | Micro | $6,500,800 | 8.4% | 953 | 4.5 |
| 3 | Key West-Key Largo, FL | — | Micro | $4,602,250 | 3.4% | 665 | 3.7 |
| 4 | Bridgeport-Stamford-Danbury, CT | ↑ 1 | Metro | $4,263,400 | -7.3% | 630 | 5.3 |
| 5 | Los Angeles-Long Beach-Anaheim, CA | ↓ 1 | Metro | $3,995,611 | -7.2% | 10,319 | 3.6 |
California Metros Remain Costly Compared to Others
The metro of Santa Maria–Santa Barbara in California is now the nation’s costliest luxury market, with a 90th-percentile price approaching $9 million. The area also boasts one of the highest shares of million-dollar listings in the country, making up nearly three-quarters of all homes for sale. Despite its small size, Santa Barbara’s high-end market continues to attract wealthier buyers drawn by its coastal setting and limited housing stock.
Luxury listings nationwide continue to take longer to sell than average homes. Properties in the top 10% of the market typically stay on the market about three weeks longer than the median-priced home, while those at the very top (the ultra-luxury tier) often linger for months due to complex sales and a smaller buyer pool.
National Overview — Pricing, Percentiles & More
| Pricing | September 2025 | Monthly Change | YoY Change |
| Luxury Threshold 90th Percentile | $1,243,506 | -0.5% | -2.4% |
| High-End Luxury Threshold 95th Percentile | $1,953,281 | -1.2% | -2.3% |
| Ultraluxury Threshold 99th Percentile | $5,411,354 | -0.2% | -5.7% |
| Million-Dollar Listing Share | 13% | 0pp | -1pp |
Also of note is the fact that elevated mortgage rates have slowed overall sales and reduced affordability, though high-end buyers often rely more heavily on cash purchases. Close to one-third of million-dollar homes sell without financing, reflecting a buyer base that is not as sensitive to rate fluctuations.
When speaking of different regions within the nation currently, what qualifies as “luxury” one region may look very different in another. For example, a $1 million home buys just 1,700 square feet in Honolulu, but offers more than 4,500 square feet in Atlanta, where the presence of newer construction and greater land availability are able to stretch luxury budgets much further. Other metros offering generous space and bang for the buck include Minneapolis, Houston, and Dallas.
As for the country’s top small luxury market? Among this upper echelon is Heber, Utah. Clearly, its proximity to Park City and access to mountain recreation continue to attract affluent buyers seeking newer, spacious homes in a scenic setting.
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