The Institute for Luxury Home Marketing’s March 2025 Luxury Market Report serves as your guide for analyzing trends in the luxury real estate market. ILHM produces this report monthly, and it provides a detailed view of the top luxury residential markets in the United States as well as Canada.
The report for March 2025 includes several statistics such as:
- Days on Market
- Sales Price vs List Price
- Total Sales Ratio
- Median List Price
- Median Sale Price
- New Listings
- Total Sold
Sales, Inventory, and New Listings on an Upward Trend in March 2025 Luxury Market Report
Single Family Homes
February’s data continues to reflect a positive trend compared to February 2024. Single-family home sales increased by 4.4% year-over-year and 16.2% month-over-month, while condos and townhomes saw an uptick of 2.3% year-over-year and 18.7% increase month-over-month. Additionally, this sales increase coincides with increasing inventory levels.
- Single-family home inventory grew by 24.2% from 2024
- New listings entering the market increased by 17.9% from February 2024
- Month-over-month, single-family inventory saw a 10.9% rise
- Month-over-month, new listings rose by only 2.3%, indicating a degree of seller caution
Condominiums and Townhouses
- Condos and townhomes experienced a 27.8% increase in inventory
- New Listing rose by 15.7% compared to February 2024
- Month over month, condos and townhomes inventory grew by 10.7%
- Month over month, new listings declined by 6.3%
These cautious sentiments echo a broader market trend. Even while sales are increasing, inventory is expanding at a faster pace. Declining new listings entering the market reflect a “wait and see” attitude by sellers as market conditions continue to shift with some economic uncertainty
March 2025 Luxury Market Report: Similarities and Differences Between Canada and US Luxury Markets
Luxury real estate in Canada and the US shares key trends while also showing distinct differences. The March 2025 Luxury Market Report highlights factors shaping the high-end housing sector in both countries.
Similarities in the Luxury Real Estate Market
1. Interest Rates and Buyer Caution
Higher interest rates impact luxury buyers in both Canada and the US. Many take a cautious approach before making high-end investments.
2. Ultra-Luxury Segment Resilience
Despite economic uncertainties, ultra-luxury homes remain in demand. High-net-worth buyers in both countries prioritize exclusivity, privacy, and prime locations.
3. Growing Inventory and Generational Shifts
The March 2025 Luxury Market Report reveals increased luxury home listings as older generations downsize and younger buyers enter the market.
4. Single-Family Homes as a Preferred Asset
Luxury buyers in Canada and the US still favor single-family estates over condos. Privacy, space, and custom amenities drive demand.
5. Strategic Pricing and Buyer Selectivity
Sellers price homes strategically to attract serious buyers. Affluent buyers in both markets remain selective, seeking high value for their investment.
Differences in the Luxury Real Estate Market
1. Economic Concerns Affecting Market Trends as Noted in the March 2025 Luxury Market Report
The March 2025 Luxury Market Report notes Canada’s economic slowdown impacts luxury sales, while the US sees more regional fluctuations.
2. Market Dynamics and Regional Performance
US luxury markets, especially in tax-friendly states, attract investors. Canada’s high-end market faces stricter financing and foreign buyer restrictions.
3. Demographic Influence on Luxury Demand
The US luxury market benefits from international buyers. Canada’s luxury market remains more reliant on domestic high-net-worth individuals.
4. Regulatory Environment and Taxation
Canada’s luxury property taxes and foreign buyer bans affect demand. The US luxury market remains more flexible, with fewer ownership restrictions.
Key Takeaways from the March 2025 Luxury Market Report
Luxury real estate in both Canada and the US faces economic shifts, changing buyer preferences, and evolving regulations. The March 2025 Luxury Market Report underscores the importance of location, pricing strategy, and long-term value in both markets. While similarities drive broader trends, national policies and economic conditions shape distinct market movements. Buyers and sellers must navigate these factors for successful transactions in today’s evolving luxury landscape.
Partner with an Expert in Luxury Real Estate to Leverage the March 2025 Luxury Market Report
Successfully navigating the luxury market requires a knowledgeable and skilled specialist. Buyers and sellers benefit from working with an agent who understands high-end properties and the nuances of the local market. A true luxury real estate professional offers extensive experience, market insight, and a keen eye for the details that define elite homes. In this exclusive space, expertise and a proven track record are essential.
Get exclusive insights into the upper-tier real estate market. Join one of The Institute for Luxury Home Marketing’s live or online training sessions. Enroll today!
Trusted Expert in Luxury Real Estate
With in-depth knowledge of the luxury market, I provide expert guidance for buying or selling high-end properties. My specialized marketing strategies, industry expertise, and professional credentials ensure a seamless and successful experience. I am dedicated to delivering exceptional service, making the process effortless and tailored to your unique goals.
Certifications and designations include all of the following, and more:
- Certified Luxury Home Marketing Specialist (CLHMS)
- Graduate REALTOR® Institute (GRI)
- Military Relocation Professional (MRP)
- KW Relocation Specialist
- Certified Risk Management Specialist (CRMS)
- Resort & Second-Home Property Specialist (RSPS)
- Professional Standards Committee, Hearing Panel for Arizona Association of REALTORS®
- Master of Real Estate Society, Arizona Association of REALTORS®
- Keller Concierge Certified, Ready-to-Sell Program
- Senior Real Estate Specialist (SRES)
Call me today! I will be happy to provide a complimentary consultation: 480-788-5446
