Nashville, Tennessee, took second place, benefiting from a favorable tax environment and a surge in business relocation due to the state’s business incentives. Indianapolis, Indiana came in third, emerging as a surprise candidate that has transformed into a net immigrant winner in the post-pandemic landscape.
“Why focus on high-end products? Simply put, high-end product buyers are one of the most powerful groups today,” said Ari Wolf, chief economist at Zonda. “Our national Zonda market rankings show that the high-end market outperformed throughout 2024 and is poised to shape the housing market in 2025.”
The strengths of luxury housing include the relative isolation of buyers from the effects of interest rates, significant wealth accumulation from strong stock market performance and rising home prices, and consistent wage growth in a robust labor market. It is driven by several important factors.
Seattle and Raleigh round out the top five. Seattle is emerging as a center for artificial intelligence and technological innovation, and Raleigh benefits from the Research Triangle’s thriving job base.
The remaining markets, Columbia, Charlotte, Las Vegas, Boston, and Los Angeles/Orange County, each present unique advantages, from tax incentives to cultural amenities to economic diversity.
