WHYTT magazine have spent this summer with luxury property experts from Sotheby’s International Realty, who shared their mid-year insights on trends and developments shaping the high-end real estate market.
Amid an era defined by global uncertainty—shaped by geopolitical shifts, inflationary pressure, and fluctuating interest rates—the luxury property market has remained one of the most resilient sectors in real estate. Despite experiencing significant headwinds over the past 5 to 10 years, including the fallout from the COVID-19 pandemic, economic slowdowns, and evolving buyer behavior, the sector has consistently demonstrated strength, adaptability, and long-term appeal.
In 2020, the pandemic brought many transactions to a standstill. However, by 2021, luxury property markets around the world had not only recovered but began to surge, driven by renewed interest in space, wellness, and lifestyle-centric living. This momentum carried into 2024 and early 2025, with global luxury real estate outperforming broader markets. According to Knight Frank’s Wealth Report 2024, prime global residential prices rose an average by 4.2% annually over the last decade, highlighting both durability and investor confidence in the segment.
Sotheby’s International Realty’s 2025 Mid-Year Luxury Outlook Report further reinforces this outlook. The report presents an in-depth analysis of the forces shaping the global luxury market, including evolving definitions of luxury, demand for experiential living, and the rise of sustainability in high-end property development. In an exclusive with WHYTT Magazine, the Sotheby’s International Realty team noted:
"So here’s what we know:
The shift toward “experiential luxury”—is an evolving consumer trait that has become prominent in real estate, particularly at premium price points. “What’s driving today’s high-end market is the feeling a home delivers as much as its address.”
“Passion investments” and generational trends—high-end real estate purchases made not purely for financial return, but driven by personal interest, lifestyle aspirations, or emotional connection.
Drive in interest of sustainable high-end property—The growing interest in sustainable high-end property is driven by a combination of environmental awareness, lifestyle priorities, financial foresight, and social responsibility—especially among affluent buyers who are increasingly seeking homes that align with their values without compromising on luxury.
“The luxury real estate market saw a strong finish in 2024, meeting and even surpassing expectations in several areas,” says Philip A. White Jr., president and CEO, Sotheby’s International Realty. “The Sotheby’s International Realty brand’s U.S. sales volume growth outpaced the broader market in 2024, achieving 9.4% compared to the industry’s 5.2% overall market growth reported by the National Association of REALTORS® (NAR).” Luxury property purchases in 2024 and early 2025 outperformed the rest of the market because of the same period in 2024, according to analysis published in May 2025 by The Wall Street Journal. Sales were up 50% in Palm Beach, Florida; 48% in Miami, Florida; 44% in Aspen, Colorado; 33% in Beverly Hills, California; 29% in Los Angeles, California; and 21% in Manhattan, New York, according to the report.
The strength of sales in the 2024 luxury real estate market continued in some markets in 2025. White says, with properties that were priced correctly selling quickly. The assurances felt around the luxury real estate market stem from two main themes. First, a volatile global election year is over, removing some elements of uncertainty for wealthy individuals. Second, while inventory is growing in some areas, an inventory shortage of luxury homes is anticipated to continue to push prices higher, increasing the value of property portfolios. In the U.S., the top half of the wealthiest households saw the biggest gains in real estate value among all homeowners in 2024, according to an April 2025 report by Realtor.com®. Sales of US$1-million-plus properties continued the appeal of owning hard assets and the ability of upper-bracket buyers to pay cash rather than borrow at higher interest rates."
Read the full article, featuring the Grand Estate in Corfu - here.