What Are Luxury Home Shoppers Looking For?

By NICOLE MURRAY

Luxury sales are making headlines as demand for high-end homes increases in certain markets.

Mansion Global reported on Monday that 41 contracts were signed last week on homes with an asking price of $4 million or more in Manhattan. That’s the busiest week since May of 2022 in the New York City borough known as the home to Wall Street.

The area around Washington, DC, has been enjoying a “Trump Bump” in its luxury home market since November, when the demand for homes worth at least $5 million increased, according to FOX Business.

They reported that in addition to wealthy members of President Donald Trump’s administration moving into the area, CEOs, consultants for big companies, and attorneys are fueling the luxury market.

And an oceanfront home near the Bush family compound in Kennebunkport, Maine, recently sold for $12 million – the highest price sale in York County history – after spending just 90 minutes on the open market, according to the Portland Press Herald.

It was sold to a “Chicago-based industrialist with significant ties to Maine.”

So what are luxury shoppers looking for in 2025?

Industry professionals who spoke with The Mortgage Note about the luxury real estate market revealed that buyers looking for high-end homes in 2025 are prioritizing size, convenience, new construction, a view, and privacy.

Size

Luxury shoppers want a larger home so they have flexibility on how to utilize the space.

“They want space but more specifically, a house with multiple rooms so they can customize the space how they want,” said Jules Zaphire, a real estate professional at The Pantiga Group. He is licensed in New York and Connecticut.

“They can spend the money to transform rooms into offices or basements into gyms or saunas but the space has to be there to attract their attention.”

Convenience

Whether it be a quick train ride to the city or close to downtown, luxury shoppers are looking for a convenient location.

“Luxury shoppers want to be able to live near a train and be in the city within an hour or be a hop, skip, and a jump from downtown,” said Katie Jaffe, a sales associate with Weichert Realtors in New Jersey. “It’s all about primetime location. You can install a sauna or add the pool, but you can’t change where a home is located.”

Luxury shoppers are also searching for homes that are located in top school districts for their children.

“Location also applies to areas with solid school systems,” Jaffe added. “Homes in these neighborhoods are going for hundreds of thousands over asking because parents are paying to live in that good neighborhood.”

New Construction

The phrase, “newer is better,” comes into play here. Luxury shoppers want a home that is move-in ready.

“The home can be brand new or extensively renovated to catch the attention of a luxury shopper,” explained Rob Jensen, broker/owner of the Rob Jensen Company in Las Vegas.

“Most people don’t have the time to renovate or update things so they’d rather buy something ready to go. Dated homes will sell but there is usually a steep price difference.”

Views

There is nothing like having a home with a view. Anything that is open, spacious, and overlooks a beautiful area will attract high-end buyers.

“Views of the strip in Vegas are the most popular in this area but I’ve also had people request mountain views or even views of a golf course,” explained Jensen.  

Privacy

The more private the space, the better.

“It is not appealing to have people able to look into your backyard. Privacy is priceless,” said Jensen.

Security is also important to luxury buyers in Las Vegas. Jensen’s team of real estate experts specializes in guard-gated luxury communities.

What’s the outlook for the luxury market?

Last month, Coldwell Banker Real Estate LLC and the Coldwell Banker Global Luxury program released The Trend Report, which shows a positive outlook for the luxury market driven by renewed confidence, a greater selection of desirable properties, and more purchasing power for buyers.

“The luxury real estate market has proven its resilience, even amidst broader market fluctuations, and we are confident that 2025 will see continued consumer optimism. For high-net-worth individuals, real estate remains a constant necessity and their desire for exceptional properties with unique designs and premium amenities is stronger than ever,” Michael Altneu, vice president of Coldwell Banker Global Luxury, said in a statement.

The report highlighted the rise of multigenerational living; the emergence of Gen X and “She-Elites” as market leaders; and drivers for up-and-coming luxury hotspots such as Austin and Houston in Texas.

Editor Kimberley Haas contributed to this report.