High-End Heat: A Look at May's Luxury Market Data

Manhattan’s luxury real estate market is surging. During the week of May 19th, 55 contracts were signed for properties priced at $4 million and above—marking the busiest single week in the segment since November 15th, 2021, when 67 contracts were signed. For context, that 2021 figure was the highest since tracking began in 2006. The total dollar volume for the week of May 19th topped $400 million—an impressive showing for a seven-day stretch and a clear sign that confidence has returned to the top end of the market.

Looking at the full month, May 2025 stands out as the strongest May for luxury contracts signed since the post-COVID rebound in 2021 and 2022. This month, 155 luxury contracts were signed—well above the 118 recorded in May 2024 and the 129 in May 2023. The strong performance confirms that high-end buyers are returning in force, bringing renewed energy to the Manhattan luxury market.

So far this year, the upper tier is clearly leading the way. Listings priced at $2 million and above are up 18% year-over-year, while listings under $2 million have increased by just 2.6%. And it’s not just a matter of quantity—the quality of deals is improving as well. The average luxury property is now selling at just 7% below the original asking price, compared to the 15%+ discounts seen in 2021. Days on market have also dropped significantly—from 174 days to about 100—indicating a faster-moving, more competitive environment.

Several factors are fueling this momentum. Chief among them is the performance of the stock market. The S&P 500 is on pace for its best May since 1990, gaining around 6% this month alone. When markets are strong, affluent buyers tend to feel more confident—and more liquid—prompting them to move capital into real assets like real estate, especially in globally resilient markets such as New York City.

Meanwhile, the ultra-wealthy continue to accumulate capital. The U.S. now has over 6 million millionaires, nearly 11,000 centi-millionaires (with $100 million or more), and more than 850 billionaires. A substantial share of that wealth is based in New York, which remains the world’s wealth capital with more than 380,000 millionaires.

Given this backdrop, it’s no surprise that the luxury segment is moving faster and commanding stronger interest from the purchase market. Today’s high-end buyers aren’t just shopping for trophy homes—they’re making strategic financial decisions. They’re parking capital, hedging against inflation, and placing long-term bets on the strength and resilience of New York City.