The 2025 Luxury Reset: Why Speed and Strategy Matter More Than Ever 

This blog—and the report it draws from—examines the 10 highest-grossing real estate transactions across 56 of the nation’s most elite luxury markets. While the properties in this data set represent the top end of the spectrum, they often serve as early indicators for broader market dynamics. The latest Luxury Homes Index confirms what many of us in the field have been sensing: the market is shifting—and sharpening—in meaningful ways.

This segment of the market may seem to operate in its own orbit, but it remains a critical pulse point for the rest of the industry. I’ve long believed that the top of the market has a way of speaking first, and if you know how to listen, it tells you where we’re headed next.

Chicago Snapshot:

• The average luxury sale in Chicago closed at $7.2M, a 7% dip from 2023.

• Properties are taking significantly longer to sell—323 days on average, a 64% increase in time on market.

• Pricing right matters more than ever. Homes that sold within 180 days achieved 98% of asking price, while slower sales fetched only 85%—a staggering 15-point gap.

Takeaway: Properties in Chicago that linger on the market are seeing steep discounts—15% below list on average. The near-doubling of DOM suggests a cooling trend and signals a more buyer-favorable landscape. This makes a precise pricing strategy essential in 2025.

National Luxury Trends:

• Across the country, luxury home prices rose 4.7% year-over-year, though most markets remain below their 2021 peaks.

• The average time on market for top-tier properties is now 319 days.

• Sellers who wait too long or overprice may lose up to 25% of their asking price over time.

What It Means for Sellers and Buyers:

Sellers: Strategic pricing and preparation are critical. Overpricing is costly—not just in dollars, but in time, energy, and perception.

Buyers: You may find greater leverage in properties that have been sitting, but act decisively on well-positioned listings—they’re still commanding top dollar.

Pricing Strategy Insights:

Takeaway: Overpricing is Punished. A seller listing at $8M may net closer to $6.6M if the property doesn’t sell within six months. Speed Sells. Properties that hit the market at the right price and move quickly tend to perform exponentially better.

Whether you’re thinking of listing, buying, or simply keeping your pulse on the luxury market, we approach this work with clarity, strategy, and a long-view perspective. The Hogan Zavala Group isn’t just reading the trends—we’re responding to them. Because in today’s market, the difference between selling and sitting often comes down to timing, expertise, and the ability to see the bigger picture.

Let’s talk about whether your next move aligns with where the market is going, not just where it’s been.

We invite you to explore the properties, neighborhoods, and insights that make our blog and channels distinct. Whether you’re a local buyer, a global investor, or a luxury seller in Chicago or Puerto Vallarta, our platform was built with you in mind.

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Hogan Zavala Group
hoganzavalagroup.evrealestate.com

Luxury Real Estate. Local Expertise. Global Reach.

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Photo courtesy of @amesgroupchicago | Ames Group Chicago. It is the view from this standout apartment!