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15 cities with the most luxury home sales

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Editor’s Note: This story originally appeared on Inspection Support Network.

One of the dominant economic stories since the COVID-19 pandemic began has been the fiercely competitive real estate market. The median home sales price in the US topped $400,000 for the first time in 2021 amid aggressive bidding from buyers and bidding wars in markets across the country.

Today’s real estate market challenges stem from a potent combination of supply and demand side factors. The United States has underbuilt housing supply for years, with mortgage lender Freddie Mac estimating a shortage of 3.8 million housing units as of 2020.

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Before the pandemic began, the median home sale price in the US was $329,000. For the third quarter of 2021, the median sales price shot up to a high of $411,200. With more than half of homes now selling for more than $400,000, there are fewer options available to low-income or first-time buyers, and current homeowners looking to upgrade to bigger or better homes have to pay a price. taller to do it.

But even before the recent spike, US high-end home sales had risen in share over time.

To determine the metro areas with the highest percentage of luxury home sales, Inspection Support Network researchers analyzed the most recent data from the Home Mortgage Disclosure Act. The researchers ranked metro areas by the percentage of mortgaged home sales greater than $1 million. In the event of a tie, the metro area with the highest median property value for homes over $1 million ranked higher. Read more about our methodology at the end.

Here are the cities with the highest percentage of luxury home sales.

15. Phoenix-Mesa-Chandler, AZ

Phoenix, Arizona
f11photo / Shutterstock.com
  • Percentage of luxury home sales ($1 million or more): 3.11%
  • Median property value for homes over $1 million: $1,345,000
  • Median income for buyers over $1 million: $350,000
  • Median down payment for homes over $1 million: $410,000

14. Portland-Vancouver-Hillsboro, OR-WA

Aerial view of Portland with Mount Hood in the background.
josemaria-toscano / Shutterstock.com
  • Percentage of luxury home sales ($1 million or more): 3.38%
  • Median property value for homes over $1 million: $1,255,000
  • Median income for buyers over $1 million: $315,000
  • Median down payment for homes over $1 million: $390,000

13. Nashville-Davidson-Murfreesboro-Franklin, TN

Nashville, Tennessee
jdross75 / Shutterstock.com
  • Percentage of luxury home sales ($1 million or more): 3.92%
  • Median property value for homes over $1 million: $1,335,000
  • Median income for buyers over $1 million: $336,000
  • Median down payment for homes over $1 million: $420,000

12. Austin-Round Rock-Georgetown, TX

austin, texas
Photograph by Roschetzky / Shutterstock.com
  • Percentage of luxury home sales ($1 million or more): 4.30%
  • Median property value for homes over $1 million: $1,375,000
  • Median income for buyers over $1 million: $377,000
  • Median down payment for homes over $1 million: $410,000

11. Sacramento-Roseville-Folsom, CA

Sacramento, Calif.
Andrew Zarivny / Shutterstock.com
  • Percentage of luxury home sales ($1 million or more): 4.31%
  • Median property value for homes over $1 million: $1,255,000
  • Median income for buyers over $1 million: $346,000
  • Median down payment for homes over $1 million: $400,000

10. Denver-Aurora-Lakewood, CO

Denver, Colo.
Kevin Ruck / Shutterstock.com
  • Percentage of luxury home sales ($1 million or more): 4.98%
  • Median property value for homes over $1 million: $1,285,000
  • Median income for buyers over $1 million: $300,000
  • Median down payment for homes over $1 million: $420,000

9. Miami-Fort Lauderdale-Pompano Beach, Florida

Miami Florida
GagliardiImages / Shutterstock.com
  • Percentage of luxury home sales ($1 million or more): 6.13%
  • Median property value for homes over $1 million: $1,455,000
  • Median income for buyers over $1 million: $451,000
  • Median down payment for homes over $1 million: $490,000

8. Washington-Arlington-Alexandria, DC-VA-MD-WV

Washington, DC traffic with the Capitol building in the background.
Atomazul / Shutterstock.com
  • Percentage of luxury home sales ($1 million or more): 9.01%
  • Median property value for homes over $1 million: $1,305,000
  • Median income for buyers over $1 million: $311,000
  • Median down payment for homes over $1 million: $360,000

7. Boston-Cambridge-Newton, MA-NH

Boston skyline summer day.
Danica Chang / Shutterstock.com
  • Percentage of luxury home sales ($1 million or more): 12.11%
  • Median property value for homes over $1 million: $1,355,000
  • Median income for buyers over $1 million: $320,000
  • Median down payment for homes over $1 million: $400,000

6. New York-Newark-Jersey City, NY-NJ-PA

New York
Songquan Deng / Shutterstock.com
  • Percentage of luxury home sales ($1 million or more): 12.28%
  • Median property value for homes over $1 million: $1,435,000
  • Median income for buyers over $1 million: $378,000
  • Median down payment for homes over $1 million: $420,000

5. Seattle-Tacoma-Bellevue, WA

Aerial view of highways leading into Seattle at sunset.
Photograph by Punit Sharma / Shutterstock.com
  • Percentage of luxury home sales ($1 million or more): 14.70%
  • Median property value for homes over $1 million: $1,305,000
  • Median income for buyers over $1 million: $272,000
  • Median down payment for homes over $1 million: $390,000

4. San Diego-Chula Vista-Carlsbad, CA

Sean Pavone / Shutterstock.com
  • Percentage of luxury home sales ($1 million or more): 19.40%
  • Median property value for homes over $1 million: $1,375,000
  • Median income for buyers over $1 million: $290,500
  • Median down payment for homes over $1 million: $430,000

3. Los Angeles-Long Beach-Anaheim, CA

The streets of Los Angeles, where the median rent is relatively low
Sean Pavone / Shutterstock.com
  • Percentage of luxury home sales ($1 million or more): 27.51%
  • Median property value for homes over $1 million: $1,405,000
  • Median income for buyers over $1 million: $300,000
  • Median down payment for homes over $1 million: $430,000

2. San Francisco-Oakland-Berkeley, CA

Houses in San Francisco, California
Sergei Novikov / Shutterstock.com
  • Percentage of luxury home sales ($1 million or more): 49.36%
  • Median property value for homes over $1 million: $1,425,000
  • Median income for buyers over $1 million: $290,000
  • Median down payment for homes over $1 million: $400,000

1. San Jose-Sunnyvale-Santa Clara, CA

The San Jose skyline, which has a median rent lower than the average mortgage payment
stellamc / Shutterstock.com
  • Percentage of luxury home sales ($1 million or more): 61.12%
  • Median property value for homes over $1 million: $1,455,000
  • Median income for buyers over $1 million: $289,000
  • Median down payment for homes over $1 million: $400,000

Methodology

Man analyzing data on a laptop
fizkes/Shutterstock.com

To determine the metro areas with the highest percentage of luxury home sales, researchers with the Inspection Support Network analyzed the most recent Home Mortgage Disclosure Act data from the Federal Financial Institutions Examination Council.

Only conventional home loans originated in 2020 were considered in the analysis. The researchers ranked metro areas by the percentage of mortgaged home sales greater than $1 million.

In the event of a tie, the metro area with the highest median property value for homes valued at more than $1 million ranked higher. To improve relevance, only metropolitan areas with at least 100,000 inhabitants were included.

Disclosure: The information you read here is always factual. However, we sometimes receive compensation when you click on links within our stories.

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