North American Luxury Market Overview – June 2025
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Resilient Market: Despite slower activity, luxury home prices remain strong, indicating stability rather than weakness.
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Mixed May Performance:
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Condo/townhome pending sales dropped 12%.
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Single-family homes declined only 2.9% year-over-year, with some month-over-month growth.
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Inventory Trends:
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Single-family home inventory is up 30.3% YOY, but new listings increased just 18.3%, suggesting cautious seller behavior.
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Price Growth:
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Single-family home prices rose 2.2%.
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Condo/townhome values increased 1.4%—both outpacing the general housing market.
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Buyer Behavior: High-net-worth buyers are more influenced by stock markets and global signals than interest rates, and are taking a strategic, long-term approach.
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Luxury as a Safe Haven: Luxury homes are seen as secure, tangible assets offering emotional and lifestyle value, not just financial return.
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Outlook: The market is paused, not declining. Tight supply and lifestyle-driven demand could fuel renewed momentum later in 2025.
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Realtor Role: Success in this market requires knowledgeable, tech-savvy agents who prioritize security and local insight.
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Agent Commitment: A proactive agent can help clients capitalize on current conditions while others retreat.
