Luxury housing prices continued to rise in 2024, with Sotheby’s sold homes reaching new price records in regions worldwide.
Housing prices in the luxury market have been increasing at a higher rate than non-luxury home prices since 2019, according to a report by Sotheby’s.
“As we enter 2025, the global luxury property market remains resilient,” said Sotheby’s chief marketing officer A. Bradley Nelson. “We’re seeing encouraging signs across key markets, with inventory stabilizing and returning to healthy levels in prime locations worldwide, and we hope to see pent-up demand drive a global increase in transactions in the coming months.”
Regions such as Florida, Dubai, and New Zealand saw new records for the most expensive luxury home sold through Sotheby’s. In the Florida Panhandle, a US$28.5 million (A$45 million) beachfront property became Sotheby’s most expensive sale ever in the area.
Nearly half of Sotheby’s agents surveyed said at least 75% of their luxury housing buyers paid in cash.
Around 128,000 high-net-worth individuals migrated to new countries in 2024, according to the report. The United Arab Emirates was the leading recipient of high-net-worth migrants, due largely to its strong luxury real estate market and tax incentives.
Australia’s luxury property market has continued to grow, with more than 250 luxury homes listed for sale at the end of 2024. The number of homes selling for more than A$5 million rose by 240% between 2019 and 2021, before slowing down in 2022 and 2023.
"Over the past year, we’ve seen a significant influx of buyers seeking beachfront homes, rural estates and properties that offer proximity to these tropical destinations,” said Lana Faulkner, Queensland Sotheby’s head of growth and performance.
The United States saw the lowest level of foreign-buyer housing purchases since 2009, due to higher interest rates and a strong dollar.
Millennials surpassed Baby Boomers to become the largest group of homebuyers in the U.S. in 2024, representing 38% of property purchasers.
